Enka Insaat Ve Sanayi A.s. · BIST:ENKAI
Enka Insaat Ve Sanayi A.s — Q2 2019 Earnings Presentation
41 slides from Enka Insaat Ve Sanayi A.s's earnings presentation, 2019
Slide 1: Engineering for a Better Future
ENGINEERING FOR A BETTER FUTURE
Slide 2: Introduction
Introduction EXPERIENCE RELIABILITY EVALUATION 62 Years of construction 523 projects in 46 countries have been Traded publicly on experience worldwide completed or under construction with Borsa Istanbul (BIST) historical value of USD 48,3 Billion with a market cap of USD 5,1 Billion (@ 30.06.2019) S
Slide 3: Milestones [1957-1976]
Milestones [1957-1976] Founded Focused on The Partnership as a limited liability design, engineering and was transformed into a partnership as Şarık Tara & construction activities of joint stock company as Sadi Gülçelik Enka Limited industrial plants, ENKA İnşaat ve Sanayi A.Ş. Şirketi buildings and
Slide 4: Milestones [1977-1996]
Milestones [1977-1996] Foundation First Natural Gas Outstanding ENKA Sports, education combined cycle power achievements with fast- and culture foundation and plant in Turkey 600 MW track projects in Libya, Sadi Gülçelik sports center Trakya CCCP Russia and Former establishments Soviet Union Countri
Slide 5: Milestones [1997-2019]
Milestones [1997-2019] Retail Business Power Generation Certified Development of shopping Power Generation by BSI for ISO 9001 Quality malls and retail business in as Independent Power Management System & ISO Moscow, Russia Producer (IPP) 14001 Environmental Management System & OHSAS 18001 Occupatio
Slide 6: Milestones [1997-2019]
Milestones [1997-2019] Gas Fired CCPP EPC in Russia Airport 790 MW Rijnmond Natural ENKA as a main Completion of Gas Fired CCPP has been contractor has been Sheremetyevo Airport completed in 22 months by awarded 400 MW Yajva Terminal 3 in Moscow, the ENKA Bechtel Joint State District Power Plant Rus
Slide 7: Milestones [1997-2019]
Milestones [1997-2019] Iraq Re-Entry Northern Iraq Oil & Gas ENKA’s re-entry into Iraq oil First contract awarded in Al-Najybia 500 MW gas & gas market by winning Northern Iraq after two decades turbine power plant and the contract for Rumaila Crude Oil Pumping mechanical, electrical and Erbil Combi
Slide 8: Milestones [1997-2019]
Milestones [1997-2019] Caucasus Pipeline Kosovo Power Plants A contract related to South After successfully completing EPC contracts awarded; Caucasus Pipeline Expansion the Route 7 Motorway Project, Simple Cycle Power Plant (SCPX) has been awarded to the new phase; Route 6 has Project at Bazyan, Be
Slide 9: Mission, Vision and Values
Mission, Vision and Values Mission Vision Values Our Mission Our Vision Our Values to design, build and deliver safe, high- to be one of the best and define how we do work at ENKA. We quality and cost-effective construction innovative engineering & will not undertake or execute a projects on schedul
Slide 10: Shareholder Structure
Shareholder Structure 5,87% 1,20% ENKA Foundation ENKA Treasury Stock 11,33% Free Float 31,41% 50,20% Gülçelik Family Tara Family As of 28 March 2019 Address: 10 of 40 Balmumcu Mah., Zincirlikuyu Yolu No: 10 Phone : +90 (212) 376 10 00 (pbx) Fax : +90 (212) 272 88 69 Besiktas, Istanbul, Turkey 34349
Slide 11: Consolidated Financial Highlights
Consolidated Financial Highlights 2Q 2019 2018 2017 2016 2015 TOTAL ASSETS 7.947 7.796 8.031 7.587 7.145 TOTAL EQUITY 6.386 6.103 6.207 5.667 5.126 CASH & MARKETABLE SECURITIES 3.547 3.252 3.479 3.194 2.950 REVENUE 1.008 2.881 2.900 3.506 4.555 EBITDA 228 757 745 732 721 EBITDA MARGIN 22,6% 26,3% 25
Slide 12: Revenues by Business Lines
Revenues by Business Lines 2Q 2019 2018 2017 2016 2015 USD % USD % USD % USD % USD % CONSTRUCTION 533 52,9 1.011 35,1 1.195 41,2 1.453 41,5 1.492 32,8 POWER GENERATION 278 27,6 1.474 51,2 1.337 46,1 1.582 45,1 2.512 55,1 REAL ESTATE 168 16,7 329 11,4 319 11,0 319 9,1 382 8,4 TRADE 58 5,8 165 5,7 234
Slide 13: EBITDA by Business Lines
EBITDA by Business Lines 2Q 2019 2018 2017 2016 USD % MRG USD % MRG USD % MRG USD % MRG CONSTRUCTION 77 34 14 209 28 21 212 28 18 162 22 11 POWER GENERATION 51 22 18 326 43 22 312 42 23 331 45 21 REAL ESTATE 97 43 58 204 27 62 193 26 61 223 31 70 TRADE 3 1 5 17 2 10 28 4 12 15 2 6 ELIMINATION 0 0 1
Slide 14: Share Capital Increases (Shares Dividend-Bonus Issue)
Share Capital Increases (Shares Dividend-Bonus Issue) DATE PREVIOUS SHARE INCREASE INCREASE INCREASED CAPITAL (%) SHARE CAPITAL 25.05.2012 2.500 300 12,00 2.800 12.06.2013 2.800 400 14,29 3.200 21.05.2014 3.200 400 12,50 3.600 06.05.2015 3.600 400 11,11 4.000 23.05.2016 4.000 200 5,00 4.200 27.04.20
Slide 15: Dividend Payments
Dividend Payments CASH DIVIDEND D.P.F.S.* YEAR DATE GROSS RATE NET RATE TL USD TL USD 11.11.2015 7,00% 5,95% 280 96,2 0 0 2015 20.04.2016 8,00% 7,10% 320 112,9 22 7,8 2015 TOTAL 600 209,1 22 7,8 28.09.2016 3,33% 2,83% 140 47,1 0 0 2016 14.12.2016 3,33% 2,83% 140 40,3 0 0 19.04.2017 12,00% 10,81% 504
Slide 16: Work Force
Work Force ENKA TURKEY Technical : 357 Administrative : 94 ENKA ABROAD Workers : 90 ENKA Abroad Total : 541 Technical : 574 Administrative : 318 Workers : 12.989 Total : 13.881 SUBSIDIARIES TURKEY Technical : 846 Administrative : 484 SUBSIDIARIES Workers : 1.397 Total : 2.727 ABROAD Technical : 34 A
Slide 17: Awards & Achievements
Awards & Achievements YAJVA ADMIRED COMPANY ENKA’s 411 MW CCPP Yajva State "Most Admired Construction District Power Plant EPC Project has Company of Turkey awards" for the been awarded “the Best Project in the years 2005 - 2012 by CAPITAL, a Power/Industrial Category” in 2013 business and economics
Slide 18: Awards & Achievements
Awards & Achievements RISK MANAGEMENT DEVELOPMENT Turkish Power Company ENKA POWER Kuntsevo Plaza, has been awarded in has world class risk management three categories of the prestigious article which praises ENKA's awards in 2016: Best Retail commitments and achievements in Architecture Russia, Bes
Slide 19: Address: of
Address: 19 of 40 Balmumcu Mah., Zincirlikuyu Yolu No: 10 Phone : +90 (212) 376 10 00 (pbx) Fax : +90 (212) 272 88 69 Besiktas, Istanbul, Turkey 34349 Web: www.enka.com E-mail: corporate.finance@enka.com
Slide 20: Engineering & Construction
Engineering & Construction The fields of Engineering & ENKA’s global solutions span Construction activities are; the entire project life cycle: • Oil & Gas Facilities, Pipelines Engineering, • Petrochemical Plants Fabrication, • Power Plants Procurement, • Industrial Plants Construction, • Airports,
Slide 21: Backlog as of June 30th, 2019
Backlog as of June 30th, 2019 Country Backlog % Special Projects 702 28,2 Iraq 660 26,5 Kazakhstan 449 18,0 Russia 309 12,4 Turkey 271 10,9 United States 39 1,5 Others 63 2,5 Total 2.493 100 All figures given above are in Million US Dollars Address: 21 of 40 Balmumcu Mah., Zincirlikuyu Yolu No: 10 P
Slide 22: Selected Projects Under Construction
Selected Projects Under Construction Samawa and Dhi Qar Combined Cycle Power Plant Projects Job Owner : Ministry of Electricity Location : Samawa (293 Km Northwest of Basra) Nasiriyah (230 Km Northwest of Basra) ENKA Share : USD 741 Million ENKA, with its partner General Electric, will design and bu
Slide 23: Selected Projects Under Construction
Selected Projects Under Construction PJSC NIZHNEKAMSKNEFTEKHIM 495 MW CCGT-TPP Job Owner : PJSC Nizhnekamskneftekhim, a member of TAIF Group Location : Nizhnekamsk, Republic of Tatarstan - Russia Siemens signed a contract for building 495 MW natural gas fired combined cycle power plant on a turnkey
Slide 24: Selected Projects Under Construction
Selected Projects Under Construction Route 6 Hani i Elezit Motorway Project - Kosovo Bechtel – ENKA General Partnership (50% - 50%) Contract price: EUR 608 Million 60-kilometer motorway linking the capital, Pristina to neighboring Macedonia. The new motorway, Route 6, will connect Kosovo with the su
Slide 25: Selected Projects Under Construction
Selected Projects Under Construction South Caucasus Pipeline Expansion (SCPX) Project – Georgia Contract price: USD 878 Million Contract for the construction and commissioning support of the SCPX Project facilities in Georgia has been awarded to the Bechtel-ENKA Joint Venture The scope of work under
Slide 26: Selected Projects Under Construction
Selected Projects Under Construction Crude Shipment Capacity New Tank Farm Project Tengiz, Kazakhstan Job owner : Tengizchevroil Contractor : Senimdi Kurylys (Bechtel – ENKA Joint Venture with equal shares) An EPC contract of new crude oil storage tanks, switching manifolds and export pumps along wi
Slide 27: Selected Projects Under Construction
Selected Projects Under Construction FGP 3GP Mechanical, Electrical & Instrumentation Installation Works Tengiz, Kazakhstan Job owner : Tengizchevroil Contractor : Senimdi Kurylys (Bechtel – ENKA Joint Venture with equal shares) Senimdi Kurylys LLP has been awarded a contract for mechanical, electri
Slide 28: Selected Projects Under Construction
Selected Projects Under Construction Umm Qasr BMT Container Terminal Yard 5, Quay Wall & Marine Works Basra, Iraq Job owner : Aloreen Investment Ltd. ENKA İnşaat ve Sanayi A.Ş. signed a contract with Aloreen Investment Ltd. (Parent Companies: Terminal Investment Limited Holding S.A. and Misnak Inter
Slide 29: Address: of
Address: 29 of 40 Balmumcu Mah., Zincirlikuyu Yolu No: 10 Phone : +90 (212) 376 10 00 (pbx) Fax : +90 (212) 272 88 69 Besiktas, Istanbul, Turkey 34349 Web: www.enka.com E-mail: corporate.finance@enka.com
Slide 30: Real Estate Portfolio
Real Estate Portfolio TYPE SIZE (NLA) OCCUPANCY RATE Class A Office Area 368.000 m2 88% USD 600/m2/year Retail Area 351.000 m2 96% USD 340/m2/year 5 Star Hotel 235 Rooms * * All assets are located in Moscow, except 1 shopping center which is located in St.Petersburg. * Occupancy and rate of rooms of
Slide 31: Investments in Russia
Investments in Russia RETAIL ( 351.000 m2 ) OFFICE ( 368.000 m2 ) 1 1 Leningradsky 12 Naberezhnaya Tower 2 Kuntsevo Plaza 13 Paveletskaya 3 Maryina Roshcha 14 Moskva Krasnye Holmy 3 4 Kashirskaya 15 MosENKA 5 Sevastopolsky 12 15 9 6 Vernadskogo 2 4 13-14 7 Belyaevo 6 8 Podolsk 5 9 Orekhovo-Zuyevo 7
Slide 32: Real Estate Revenue & EBITDA
Real Estate Revenue & EBITDA YEAR RENTAL REVENUE EBITDA EBITDA MARGIN 2Q 2019 168 97 57,7% 2018 329 204 62,0% 2017 319 193 60,5% 2016 319 223 69,9% 2015 382 267 69,9% 2014 485 337 69,6% 2013 478 346 72,5% All figures given above are in Million US dollars Address: 32 of 40 Balmumcu Mah., Zincirlikuyu
Slide 33: Real Estate – Some Tenants
Real Estate – Some Tenants Address: 33 of 40 Balmumcu Mah., Zincirlikuyu Yolu No: 10 Phone : +90 (212) 376 10 00 (pbx) Fax : +90 (212) 272 88 69 Besiktas, Istanbul, Turkey 34349 Web: www.enka.com E-mail: corporate.finance@enka.com
Slide 34: Real Estate New Investments
Real Estate New Investments Investment projects of ENKA TC (Fully owned by ENKA) Kuntsevo Multifunctional 1 Trade & Business Center Total Investment: USD 484 Million Total Area: 245.000 m2, Net Leasable Area: 90.000 m2 29.000 m2 Office and 61.000 m2 Retail Completion: 2015 Kashirskaya Plaza 2 Multif
Slide 35: Real Estate Further Investments
Real Estate Further Investments Investment projects of ENKA TC (Fully owned by ENKA) Maryina Roshcha 1 Shopping Mall Existing shopping center is planned to be demolished in 2019. Total Investment: USD 335 Million Total Area: 245.000 m2, Net Leasable Area: 105.000 m2 Vernadskogo Leningradsky Pravaber
Slide 36: Address: of
Address: 36 of 40 Balmumcu Mah., Zincirlikuyu Yolu No: 10 Phone : +90 (212) 376 10 00 (pbx) Fax : +90 (212) 272 88 69 Besiktas, Istanbul, Turkey 34349 Web: www.enka.com E-mail: corporate.finance@enka.com
Slide 37: Power Generation Overview
Power Generation Overview 3 gas-fired combined cycle power plants (total 3.854 MW) Gebze 1.554 MW Adapazarı 777 MW Izmir 1.523 MW Annual generation is 32 Billion Kwh net and the annual natural gas consumption is around 6.5 Billion CBM, Capability of meeting 11% of Turkey’s total demand, since Turkey
Slide 38: Power Generation Debt Funding
Power Generation Debt Funding COMMITTED AMOUNTS TOTAL PROJECT FINANCE TOTAL Total Debt (75%) 1.530 US EXIM, USA 860 Total Equity (25%) 510 OPIC, USD 300 Total Project Cost 2.040 HERMES, GERMANY 185 OND, BELGIUM 125 OTHER BANKS 60 TOTAL 1.530 All outstanding project finance loans have been fully paid
Slide 39: Turkey's Energy Consumption in 2018
Turkey’s Energy Consumption in 2018 SOURCES Million Kwh % Coal 111,790 38.3 Natural Gas 90,060 30.9 Hydro 59,726 20.5 Wind 19,809 6.8 Geothermal 6,907 2.4 Others 3,836 1.3 International (Net) (614) (0.2) Total Consumption 291,514 100 Source: Energy Exchange Istanbul (www.epias.com.tr) Address: 39 of
Slide 40: Turkey's Energy Demand
Turkey’s Energy Demand BILLON KWH CHANGE 12% 275 10% 8% 225 6% 4% 175 2% 0% 125 -2% 128 127 133 141 150 161 175 190 198 194 210 230 242 246 255 264 275 290 292 75 -4% 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Address: 40 of 40 Balmumcu Mah., Zinci
Slide 41: ENKA İnşaat ve Sanayi A.Ş.
İNŞAAT VE SANAYİ A.Ş. Balmumcu Mah., Zincirlikuyu Yolu No: 10, 34349 Beşiktaş / İstanbul Tel: +90 (212) 376 10 00 (pbx) Fax: +90 (212) 272 88 69
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