Downer Edi Limited · ASX:DOW

Downer Edi — Investor Day (2016)

20 slides from Downer Edi's investor day presentation, 2016

  1. Slide 1: Relationships creating success

    Relationships creating success

  2. Slide 2: Our purpose, promise and pillars

    OU R PU RPOSE, PROM I SE A N D PI L L A RS 2

  3. Slide 3: Our expertise

    At Downer, we support our customers through the life of their assets — from initial feasibility and design through to production and operations and eventual decommissioning. We aim to employ the best people and bring thought leadership to each stage of the asset lifecycle as we support our customers

  4. Slide 4: What we do

    reuse | po |’ jiu) ; | SERVICES y :*| Surfacing Network Bitumen and Transport Management Logistics. Infrastructure Manufacturing Public Transport Operations UTILITIES SERVICES _; EAS iting succes

  5. Slide 5: Where we do it

    WH ERE WE DO I T Downer employs about 19,000 people across more than 200 sites and projects. Number of Sites Region Technology & Transport Utilities Rail Mining Communications EC&M Services Services Services NSW 11 11 8 16 State-wide 5 QLD 10 5 13 11 State-wide 6 ACT 1 - - 1 State-wide - VIC 14 2 1

  6. Slide 6: The majority of our revenue relates to government infrastructure

    T H E M A J ORI T Y OF OU R REV EN U E REL AT ES TO GOV ERN M EN T I N FRA ST RU CT U RE 11% 25% 44% 21% 7% 56% 11% 25% Transport Services Tech & Comms Services Utilities Services EC&M Mining Rail Public Private 6

  7. Slide 7: Strong NPAT and cash performance

    ST RON G N PAT A N D CA SH PERFORM A N CE NPAT (STATUTORY) ($'M) OP CASH AND EBITDA CONVERSION 700 100% 250 95% 600 90% 200 500 85% 150 80% 400 75% 300 100 70% 200 65% 50 60% 100 55% 0 0 50% FY11 FY12 FY13 FY14 FY15 FY16G FY11 FY12 FY13 FY14 FY15 -50 Op Cash ($'m) EBITDA Conversion (%) 7

  8. Slide 8: Low debt and gearing

    LOW DEB T A N D GEA RI N G December 2015 Net debt $188.4 million Gearing: net debt to net debt plus equity 8.4% Gearing (including off balance sheet debt) 13.8% Interest cover 9.2 Net Debt / EBITDA 0.3 Adjusted Net Debt / adjusted EBITDAR 1.8 8

  9. Slide 9: Debt maturity profile

    DEB T M AT U RI T Y PROFI L E BY LIMIT AS AT 31 MAR 2016 - 300 (POST SYNDICATED FACILITY EXTENSION) Finance leases USPP 200 ECA finance A$m Equivalent A$MTN 100 Syndicated bank facility Bilateral bank facilities 0 Jun-16 Dec-16 Jun-17 Dec-17 Jun-18 Dec-18 Jun-19 Dec-19 Jun-20 Dec-20 Jun-21 Dec-21 Ju

  10. Slide 10: Our TSR performance against our peers

    -100 -50 0 50 100 150 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11 Nov-11 Dec-11 Jan-12 Feb-12 Mar-12 Apr-12 May-12 Jun-12 Jul-12 Aug-12 DOW Sep-12 Oct-12 Nov-12 Dec-12 UGL Jan-13 Feb-13 Mar-13 Apr-13 May-13 BRS Jun-13 Jul-13 Aug-13 Sep-13 Oct-13 WOR Nov-13 Dec-13 Jan-14 Feb-14 Mar-14 Apr-14 MND May-14

  11. Slide 11: Outlook

    OU T LOOK  Confirm guidance for FY16  Around $180 million NPAT 11

  12. Slide 12: Strategy

    ST RAT EGY 1. DRIVE IMPROVEMENT IN EXISTING BUSINESSES  leverage our brand  reduce costs, increase efficiency and productivity  improve revenue management 2. INVEST IN GROWTH  strengthen market leading positions, capability and “IP”  technology  we have a strong balance sheet  strategic M&A 3

  13. Slide 13: Transport services

    T RA N SPORT SERV I CES Market Position Drive improvement Invest in growth Create positions Surfacing  Market leading positions in  Standardising process in  R&D and technology  Strategic geographic Australia and NZ plants and field operations  New products and expansion  Streamlining systems

  14. Slide 14: Utilities services

    U T I L I T I ES SERV I CES Market Position Drive improvement Invest in growth Create positions Power and Gas  Market leader in Australia  Continuous improvement  Asset and data  Government outsourcing  Strong offering across driven by Lean management systems  Distribution company Australia an

  15. Slide 15: Technology and communications services

    T ECH N OLOGY A N D COM M U N I CAT I ON S SERV I CES Market Position Drive improvement Invest in growth Create positions Construction  Leading provider for NBN in  Optimisation of field  UFB2 build  Broader offer across Australia and UFB in NZ operations  Mobile build range of asset owners  C

  16. Slide 16: Rail

    RA I L Market Position Drive improvement Invest in growth Create positions Manufacturing  Market leader in passenger  Bidding and winning  CRRC partnership  Light rail vehicles in  Market leader in freight  PMO capabilities Australia through EMD  Partner CRRC offshore  Waratah platform “offs

  17. Slide 17: Engineering, construction and maintenance

    EN GI N EERI N G, CON ST RU CT I ON A N D M A I N T ENA N CE Market Position Drive improvement Invest in growth Create positions Engineering  Market leader:  Optimising market offering  Niche industrial and  Next Generation - coal & minerals processing in specialised engineering minerals enginee

  18. Slide 18: Mining

    MINING Market Position Drive improvement Invest in growth Create positions Open Cut  Market leader  Leaner support structure  Support long term large  Geographic expansion  Respected technical skills  Drive productivity and contracts (Adani)  Develop relationships  Long term relationships ef

  19. Slide 19: Downer

    DRIVESINVESTEGREAULE: Downer ! Relationships cre Ig success atin

  20. Slide 20: Appendix: Structure and service lines

    A PPEN DI X : ST RU CT U RE A N D SERV I CE L I N ES GRA N T FEN N CEO Downer Group Or g a n i s a t i o n a l SERGIO CINERARI COS BRUYN BRENDAN PETERSEN MICHAEL MILLER DAVID OVERALL St r u c t u re CEO CEO CEO Acting CEO CEO Infrastructure Services New Zealand EC&M Rail Mining Se r v i c e Transpor

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