Ugi Corporation · NYSE:UGI
Ugi — Q1 FY2019 Earnings Presentation
25 slides from Ugi's earnings presentation, Feb 6, 2019
Slide 1: Fiscal 2019 First Quarter Results
Fiscal 2019 First Quarter Results John L. Walsh President & CEO, UGI Corporation Ted J. Jastrzebski Chief Financial Officer, UGI Corporation Hugh J. Gallagher President & CEO, AmeriGas
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: First Quarter Recap
First Quarter Recap 3 John L. Walsh President & CEO, UGI
Slide 4: First Quarter Earnings Recap
First Quarter Earnings Recap • GAAP EPS of $0.36 and Adjusted EPS1 of $0.81 • Domestic temperatures were marginally colder than prior year and less volatile • International temperatures were significantly warmer-than-normal and warmer than prior year Adjusted EPS1 Q1 2019 Weather Versus: Normal Mids
Slide 5: Key Accomplishments
Key Accomplishments • The Steelton LNG storage and vaporization facility is fully online and operational for the current heating season • Midstream & Marketing acquired South Jersey Energy’s retail natural gas business which includes 2,500 commercial and industrial customer contracts supplying ~6,00
Slide 6: First Quarter Financial Review
First Quarter Financial Review Ted J. Jastrzebski Chief Financial Officer, UGI
Slide 7: First Quarter Adjusted Earnings
First Quarter Adjusted Earnings (Millions of dollars, except per share) Q1 FY18 Q1 FY19 Net income attributable to UGI Corporation (GAAP) $ 365.9 $ 64.2 Net (gains) losses on commodity derivative instruments1,3 (4.6) 81.2 Unrealized losses (gains) on foreign currency derivative instruments1 0.1 (5.8
Slide 8: First Quarter Results Recap
First Quarter Results Recap $1.20 Adjusted EPS1 $1.01 $0.01 ($0.11) ($0.04) $1.012 ($0.06) $0.00 $0.81 3 $0.34 UGI Utilities $0.81 1 EPS $0.28 $0.21 Midstream & Marketing $0.17 Adjusted Adjusted 6.3% 7.3% 5.2% 1.5% Colder Warmer Colder Colder $0.31 UGI International $0.20 than prior year $0.16 Ameri
Slide 9: Financial Results - AmeriGas
Financial Results - AmeriGas (Millions of dollars) Q1 FY18 Q1 FY19 Weather versus normal 1 Adjusted EBITDA $194.1 Colder Retail Margin 19.5 Total Margin 4.9% Wholesale and Other Total Margin 1.0 Operating and Administrative Expenses (4.8) Other Income and Expense, net 0.9 (1.4)% Adjusted EBITDA1 $21
Slide 10: Financial Results – UGI International
Financial Results – UGI International (Millions of dollars) Q1 FY18 Q1 FY19 Weather versus normal Income Before Taxes $82.6 Colder Total Margin (37.3) Operating and Administrative Expenses (0.7) Depreciation and Amortization 0.8 Interest Expense 0.2 (0.7)% Other Income and Expense, net 1.9 (8.0)% In
Slide 11: Financial Results – Midstream & Marketing
Financial Results – Midstream & Marketing (Millions of dollars) Q1 FY18 Q1 FY19 Weather versus normal Income Before Taxes $52.6 Colder Total Margin (7.1) Operating and Administrative Expenses (3.6) Depreciation and Amortization (1.4) 4.1% Interest Expense 0.4 (1.1)% Other Income and Expense, net 1.2
Slide 12: Financial Results – Utilities
Financial Results – Utilities (Millions of dollars) Q1 FY18 Q1 FY19 Weather versus normal Income Before Taxes $85.4 Colder Total Margin (8.1) Operating and Administrative Expenses (8.3) Depreciation (2.1) Interest Expense (0.8) (1.9)% (0.5)% Other Income and Expense, net (0.4) Income Before Taxes $6
Slide 13: AmeriGas First Quarter Recap
AmeriGas First Quarter Recap Hugh J. Gallagher President and CEO, AmeriGas
Slide 14: First Quarter Earnings Recap
First Quarter Earnings Recap Adjusted EBITDA1 1 (Millions of dollars) • Q1 Adjusted EBITDA up 9% year over $210.7 year • Weather in Q1 was 5% colder than $194.1 normal and 6% colder than Q1 2018 • December was 6% warmer than normal and 9% warmer than December Q1 2018 minimizing the colder than norma
Slide 15: Growth Initiatives
Growth Initiatives National Accounts and Cylinder Exchange • ~3,700 more Cylinder Exchange locations than Q1 2018 • Added 12 new National Accounts customers in Q1 2019 • Both continue to perform as growth drivers for the business Home Delivery • Integration of business acquired in FY 2018 going smoo
Slide 16: Conclusion and Q&A
Conclusion and Q&A John L. Walsh President & CEO, UGI
Slide 17: Strategic Overview
Strategic Overview • The PennEast Partnership submitted its PA DEP permit application and received approval to perform necessary surveys on the privately owned properties in NJ. We expect to have the pipeline in service by the end of 2020 • New Bethlehem LNG storage and vaporization will come online
Slide 18: Q&A
Q&A
Slide 19: Appendix
Appendix
Slide 20: 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. For the periods presented, adjusted net income attributable to UGI is net income
Slide 21: UGI Adjusted Net Income and EPS Three months Ended December 31, 2018
UGI Adjusted Net Income and EPS Three months Ended December 31, 2018 AmeriGas UGI Midstream & Corporate & Total UGI Utilities (Millions of dollars, except per share) Propane International Marketing Other (b) Adjusted net income attributable to UGI Corporation: Net income (loss) attributable to UGI C
Slide 22: UGI Adjusted Net Income and EPS Three months Ended December 31, 2017
UGI Adjusted Net Income and EPS Three months Ended December 31, 2017 AmeriGas UGI Midstream & Corporate & Total UGI Utilities (Millions of dollars, except per share) Propane International Marketing Other Adjusted net income attributable to UGI Corporation: Net income (loss) attributable to UGI Corpo
Slide 23: 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 24: AmeriGas EBITDA and Adjusted EBITDA
AmeriGas EBITDA and Adjusted EBITDA (Millions of dollars) Three months Ended December 31, 2018 2017 EBITDA and Adjusted EBITDA Net income attributable to AmeriGas Partners $ 44.5 $ 104.4 Income tax expense 0.4 2.4 Interest Expense 42.4 40.6 Depreciation and amortization 45.7 47.4 EBITDA 133.0 194.8
Slide 25: Investor Relations: Brendan Heck
Investor Relations: Brendan Heck 610-456-6608 heckb@ugicorp.com