Slide 1: 2014 Full Year Results
mi Monadelphous 2014 Full Year Results 19 August 2014 ee: oe WE DELIVER.
Slide 2: Company Profile
Company Profile For personal use only Monadelphous Group Limited (ASX:MND) is a S&P/ASX 100 company that provides construction, maintenance and industrial services to the resources, energy and infrastructure sectors throughout Australasia. ^Underlying basis. Refer to slide 23 for reconciliation. 2
Slide 3: Group Highlights
Group Highlights For personal use only • Sales revenue down 10.9% to $2,330m • NPAT of $146.5m down 6.3%, underlying NPAT^ down 11.3% to $138.6m • Underlying EPS^ down 13.1% to 150.4c, DPS 123c • Robust cashflow from operations of $117.6m, conversion rate^ of 83% • Record safety performance – 21% im
Slide 4: Contract Activity
For personal use only 4 Contract Activity
Slide 5: Sales Revenue Analysis
Sales Revenue Analysis For personal use only End Customer Market Service Market Geography 5
Slide 6: Contracts Secured
Contracts Secured For personal use only $1.8 billion in new contracts 6
Slide 7: Productivity
Productivity For personal use only Company-wide cost reduction program • Consolidation of support and services structures • Remuneration levels adjusted to reflect change in market conditions Cost saving of • Review of project management and delivery ~$53m p.a. realised methodologies to • Renegotiat
Slide 8: Safety Scorecard
Safety Scorecard For personal use only Injury Frequency Rates * • Record safety performance – TCIFR improved 21%, LTIFR result a 57% improvement • New incident management system implemented. 8
Slide 9: People Performance
People Performance For personal use only Employee Numbers* Employees by Division *Comparatives rebased to exclude Skystar employees • Employee numbers reduced in line with slowing resources construction activity and timing of ramp-up on oil and gas projects • Improved availability of labour contribu
Slide 10: Financial Performance
Financial Performance For personal use only Group highlights *pp = percentage points. ^ Underlying basis. Refer to slide 23 for reconciliation. # Comparatives restated to reflect a change in accounting policy. Refer to slide 24 for details. 10
Slide 11: Financial Position and Funding
Financial Position and Funding For personal use only Robust balance sheet 11
Slide 12: Historical Performance
Historical Performance For personal use only ^ Underlying basis. Refer to slide 23 for reconciliation. # Comparatives restated to reflect a change in accounting policy. Refer to slide 24 for details. *2012 comparative excludes sale of Norfolk Group Limited shares. Refer to slide 23 for details. 12
Slide 13: Cash Flow Performance
Cash Flow Performance For personal use only Operating Cash Flow ($m) Cash Flow Conversion * • Robust cash flow from operations and cash flow conversion • Continued focus on contract administration and collections driving improved performance. ^ Underlying basis. Refer to slide 23 for reconciliation.
Slide 14: Net Profit After Tax Analysis
Net Profit After Tax Analysis For personal use only NPAT Waterfall ($m) ^Underlying basis. Refer to slide 23 for reconciliation. 14
Slide 15: Sales Revenue Summary
Sales Revenue Summary For personal use only Divisional Highlights Revenue by Division 15
Slide 16: Engineering Construction
Engineering Construction For personal use only Highlights End Customer Sales Revenue ($m) • $1.34b of new contracts • Largest ever contract award (Ichthys LNG Project ~$680m) • Secured three upstream CSG contracts. Major Contract Activity Major Contract Awards • Bechtel, Wheatstone Project, Onslow,
Slide 17: Maintenance and Industrial Services
Maintenance and Industrial Services For personal use only Highlights End Customer Sales Revenue ($m) • $415m of new contracts and extensions • Continued growth in oil and gas maintenance • Expansion of services with Woodside. Major Contract Activity New Contract Awards • BHP Billiton Olympic Dam, Ro
Slide 18: Revenue by End Customer Market
Revenue by End Customer Market For personal use only 18
Slide 19: Revenue by Service Market
Revenue by Service Market For personal use only 19
Slide 20: Market Growth Strategy
Market Growth Strategy For personal use only Monadelphous’s long-term sustainable growth will come through maximising returns in our core service markets and broadening our revenue base through targeted entry into new customer markets and service markets. 20
Slide 21: Australian Market Conditions
Australian Market Conditions For personal use only Total Resources (A$b) Total Energy (A$b) Total Infrastructure (A$b) Total Maintenance (A$b) 21
Slide 22: Outlook
Outlook For personal use only • Mining and minerals market forecast to remain tight • Iron ore expansions, optimisations and sustaining capital will provide ongoing opportunities • LNG developments continue to provide construction and maintenance opportunities (upstream and downstream) • Decreased l
Slide 23: Notes to Financials
Notes to Financials For personal use only Non-IFRS Financial Information Monadelphous Group Limited results are reported under International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board. The Company discloses certain non-IFRS measures that are not pr
Slide 24: Notes to Financials (continued)
Notes to Financials (continued) For personal use only # Restatement of Comparatives – Change in Accounting Policy From 1 July 2013, the Group has elected to recognise the excess of the research and development tax offset over the statutory rate (‘the R&D offset’) being an additional 10% deduction as
Slide 25: Important Notice Disclaimer
Important Notice For personal use only Disclaimer Information, including forecast financial information, in this presentation, should not be considered as a recommendation in relation to holding, purchasing or selling shares, securities or other instruments in Monadelphous Group Limited or any other
Slide 26: For more information
For more information: Rachel Cooper, Investor Relations Manager Telephone: +61 (08) 9315 7429 Email: rcooper@monadel.com.au www.monadelphous.com.au TOGETHER WE DELIVER. mi Monadelphous