Slide 1: FQ4 and FY15 Results FY16 Outlook
FQ4 and FY15 Results FY16 Outlook John Walsh President & CEO, UGI Kirk Oliver Chief Financial Officer, UGI Jerry Sheridan President & CEO, AmeriGas 1
Slide 2: About This Presentation
About This Presentation This presentation contains certain forward-looking statements that management believes to be reasonable as of today’s date only. Actual results may differ significantly because of risks and uncertainties that are difficult to predict and many of which are beyond management’s
Slide 3: 2015 Fiscal Year Recap
2015 Fiscal Year Recap John Walsh President & CEO, UGI 3
Slide 4: FY15 Earnings Recap
FY15 Earnings Recap Adjusted Diluted Earnings Per Share • Second consecutive year of record-level results • Strong operational performance, but with less extreme cold weather and volatility than in FY14 • FY16 guidance reflects underlying strength of the business and contributions from new investmen
Slide 5: Key Accomplishments – FY15
Key Accomplishments – FY15 Midstream & Marketing Gas Utility • Completed Auburn III expansion, Union • Added ~15,000 new residential customers Dale lateral, and Temple LNG expansion • Added ~2,400 commercial and industrial • Announced Sunbury Pipeline and filed accounts with FERC • Several large com
Slide 6: Key Accomplishments – FY15
Key Accomplishments – FY15 AmeriGas International • 14% growth in National Accounts • Acquired Finagaz (Total’s LPG • Closed 9 acquisitions distribution in France) for €423 million • Significantly accretive in FY16 • Continued investment in technology to drive efficiencies • Acquired Total’s LPG dis
Slide 7: Financial Review
Financial Review Kirk Oliver Chief Financial Officer, UGI 7
Slide 8: Weather
Weather VERSUS NORMAL1 (8.9%) 3.6% 3.8% (3.7)% VERSUS PRIOR YEAR1 Warmer Colder Colder Warmer 1Percent change in Heating Degree Days. 8
Slide 9: Financial Results – Gas Utility
Financial Results – Gas Utility Gas Utility 2014 2015 Weather ($ in millions) 2014 Income Before Taxes $ 199.6 vs. Normal Total Margin $ 4.0 Operating and Administrative Expenses $ (13.1) Depreciation and Amortization $ (4.2) Interest Expense $ (2.5) Other $ 3.6 3.7% warmer 2015 Income Before Taxes
Slide 10: Financial Results – Midstream & Marketing
Financial Results – Midstream & Marketing Midstream & Marketing 2014 2015 ($ in millions) 2014 Income Before Taxes $ 195.7 Total Margin $ (7.6) Operating and Administrative Expenses $ (2.4) Depreciation and Amortization $ (4.1) Interest Expense $ 0.8 Other $ 0.3 2015 Income Before Taxes $ 182.7 • Lo
Slide 11: Volatility – Q2 Basis Differentials
Volatility – Q2 Basis Differentials Spot Price Comparison $90 Location – Texas Eastern Zone M-3 $80 $70 $60 $/mcf $50 $40 $30 $20 $10 (WARMER) $0 1/1 1/8 1/15 1/22 1/29 2/5 2/12 2/19 2/26 3/5 3/12 3/19 3/26 FY 2012 FY 2013 FY 2014 FY 2015 Less extreme price volatility in FY15 vs. FY14 11
Slide 12: Financial Results – AmeriGas
Financial Results – AmeriGas AmeriGas 2014 2015 Weather ($ in millions) 2014 Operating Income $ 472.0 vs. Normal Retail Volume $ (101.0) Total Retail Unit Margin $ 47.2 Margin Wholesale and Other Total Margin $ (6.7) Operating and Administrative Expenses $ 10.0 Depreciation and Amortization $ 2.3 Ot
Slide 13: Financial Results – UGI International
Financial Results – UGI International UGI International 2014 2015 Antargaz Flaga Weather Weather ($ in millions) 2014 Income Before Taxes $ 87.4 vs. Normal vs. Normal Total Margin $ 24.1 Operating and Administrative Expenses $ (23.5) Depreciation and Amortization $ (5.3) Interest Expense $ (5.2) Oth
Slide 14: Finagaz Acquisition Update
Finagaz Acquisition Update • Immediately accretive in FY16 • Integration has been progressing as planned, with some operational efficiencies achieved ahead of schedule • Expect ~$0.15 accretion in FY16, with results improving as operations are aligned over the next few years • Transition expenses ex
Slide 15: Growth Profile
Growth Profile 11% EPS CAGR at midpoint of guidance driven by several growth projects 15
Slide 16: Growth Profile: Strong Pipeline of Projects
Growth Profile Strong Pipeline of Projects 16
Slide 17: Accelerating Cash Generation
Accelerating Cash Generation Income-producing businesses generate cash for growth opportunities and dividends Cash Flow Dividends Base business earnings growth $320 MM- $160 MM- 3-4% $180 MM* $360 MM* Organic Investment and M&A1 Incremental earnings growth $160 MM- 3-6% $180 MM* *multi-year average
Slide 18: Fiscal Year Recap
Fiscal Year Recap Jerry Sheridan President & CEO, AmeriGas 18
Slide 19: Q4 and FY15 Adjusted EBITDA
Q4 and FY15 Adjusted EBITDA Weather in FY15 was 8.9% $48.2 warmer than FY14 $39.7 Weather in Q4 was 32% warmer than the prior year period driven by September weather that was 38% warmer Q4 2014 Q4 2015 than the prior year FY15 Unit margins $0.08 higher y/y $664.7 $619.2 FY 2014 FY 2015 19
Slide 20: Growth Initiatives
Growth Initiatives • National Accounts volume increased 14% in fiscal 2015 • Closed nine acquisitions • 3rd consecutive year acquisitions were funded by the proceeds of the sale of excess assets • Acquisition pipeline remains strong • AmeriGas Cylinder Exchange continued to grow • Continued focus on
Slide 21: Conclusion
Conclusion John Walsh President & CEO, UGI 21
Slide 22: Conclusion
Conclusion • Unprecedented demand for natural gas, along with the lag in pipeline capacity have accentuated the infrastructure gap • Our Pipeline, LNG, and Utility capital projects have several benefits: Closing the infrastructure gap Doubling our ability to meet peaking demand Fee-based reven
Slide 23: Appendix
Appendix UGI CORPORATION
Slide 24: UGI Supplemental Footnotes
UGI Supplemental Footnotes Management uses "adjusted net income attributable to UGI" and "adjusted diluted earnings per share," both of which are non-GAAP financial measures, when evaluating UGI's overall performance. Adjusted net income attributable to UGI is net income attributable to UGI Corpor
Slide 25: UGI Adjusted Net Income and EPS
UGI Adjusted Net Income and EPS Three Months Ended Twelve Months Ended September 30, September 30, 2015 2014 2015 2014 Adjusted net income attributable to UGI: Net (loss) income attributable to UGI Corporation $ (9.2) $ (19.8) $ 281.0 $ 337.2 Net after-tax losses on commodity derivative instruments
Slide 26: AmeriGas Supplemental Footnotes
AmeriGas Supplemental Footnotes The enclosed supplemental information contains a reconciliation of earnings before interest expense, income taxes, depreciation and amortization ("EBITDA") and Adjusted EBITDA to Net Income. EBITDA and Adjusted EBITDA are not measures of performance or financial c
Slide 27: AmeriGas Adjusted EBITDA
AmeriGas Adjusted EBITDA Three Months Ended Twelve Months Ended September 30, September 30, 2015 2014 2015 2014 EBITDA and Adjusted EBITDA: Net income (loss) attributable to AmeriGas Partners, L.P. $ (49,695) $ (47,347) $ 211,211 $ 289,893 Income tax expense 420 407 2,898 2,611 Interest expense 40,4
Slide 28: AmeriGas Adjusted EBITDA Guidance
AmeriGas Adjusted EBITDA Guidance Forecast Fiscal Year Ending September 30, 2016 Net income attributable to AmeriGas Partners, L.P. (estimate) (d) $ 317,000 Interest expense (estimate) 166,000 Income tax expense (estimate) 3,000 Depreciation (estimate) 147,000 Amortization (estimate) 42,000 Adjusted
Slide 29: Liquidity
Liquidity • Balance sheet remains flexible with significant borrowing capacity • All segments have sufficient liquidity to meet investment needs UGI Midstream & Corporate & Total AmeriGas International Utilities Marketing Other Cash on Hand $384.1 $14.8 $272.6 $3.1 $20.6 $73.0 Revolving Credit Facil
Slide 30: Investor Relations
Investor Relations: Will Ruthrauff 610-456-6571 30 ruthrauffw@ugicorp.com