Irish Continental Group Plc · EURONEXT:IR5B
Irish Continental — H1 2011 Earnings Presentation
24 slides from Irish Continental's earnings presentation, Aug 30, 2011
Slide 1: Irish Continental Group plc Half Year to 30 June 2011
Irish Continental Group plc Half Year to 30 June 2011 30 August 2011 1
Slide 2: ICG Business Units
ICG Business Units 1. Ferries Division Irish Ferries, the leading ferry company operating between UK/Continent and Republic of Ireland 2. Container Division Eucon and Feederlink, leading Container operators between Ireland/UK and the Continent with own container terminals in Dublin & Belfast Turnove
Slide 3: ICG - Group Results
ICG - Group Results H1 2011 H1 2010 Change FY 2010 Turnover €126.6m €122.4m 3.4% €262.2m Operating Costs (exc. Dep) €110.5m €102.4m 8.2% €208.6m EBITDA €16.1m €20.0m -19.5% €53.6m Profit on sale of vessel - - €9.4m Profit From Operations €6.5m €8.8m -26.1% €40.9m Adjusted EPS 24.0c 34.3c -30.0% 121.
Slide 4: Results By Division
Results By Division H1 H1 % 2011 2010 Ferries €m €m Revenue 68.2 68.0 0.3% Costs exc. fuel 49.0 48.6 0.8% Fuel 16.0 12.9 24.0% EBIT 3.2 6.5 -50.8% Container Revenue 58.4 54.4 7.4% Costs exc. fuel 46.7 44.9 4.0% Fuel 8.4 7.2 16.7% EBIT 3.3 2.3 43.5% 4 3
Slide 5: ICG Cash Flow
ICG Cash Flow H1 2011 H1 2010 FY 2010 EBITDA 16.1 20.0 53.6 Working Capital Movement 9.7 6.8 (4.7) Pension Payments (2.2) (1.1) (4.6) Other 0.3 (2.1) (0.5) Cash generated from Operations 23.9 23.6 43.8 Interest (0.4) (0.1) (0.3) Tax (0.4) (0.1) (0.6) Capex (3.7) (4.6) (7.2) Free Cash Flow 19.4 18.8
Slide 6: Dividend / Share Buybacks
Dividend / Share Buybacks €99.1 million returned to shareholders over last 4 years (2007 – 2010) 2011 2010 2009 2008 2007 H1 Adjusted EPS (Cent) 24.0 121.0 107.7 148.9 178.6 Dividend/Redemption (Cent) 33.0* 100.0 100.0 100.0 100.0 * Interim €4m share buyback H1 2011 5
Slide 7: ICG Fuel Costs
ICG Fuel Costs H1 2011 H1 2010 FY 2010 Consumption (000 tons) Heavy Fuel Oil 43.2 43.1 86.0 Marine Diesel 6.9 7.3 15.4 50.1 50.4 101.4 Price (€ per ton) Heavy Fuel Oil €451 €367 €374 Marine Diesel €652 €526 €539 Brent Crude (guide) $111.05 / €79.17 $78.40 / €59.02 $80.27/ €60.50 Total Cost (inc. lub
Slide 8: Ferries Division
Ferries Division • Brand: Irish Ferries • 3 Conventional combined Car / RoRo ferries • 1 fast car carrying ferry, light freight • 4,100 sailings p.a. - UK (Holyhead 2,650 Pembroke 1,450) Sailing Time - Holyhead Cruise Ferry 3¼ hours Holyhead Fast Ferry 2 hours Pembroke Cruise Ferry 4 hours • 290 sai
Slide 9: Ferries Division
Ferries Division H1 2011 H1 2010 Change 2010 €m €m €m Turnover 68.2 68.0 0.3% 153.7 Operating Costs 56.8 51.7 9.9% 110.1 EBITDA 11.4 16.3 -30.1% 43.6 Depreciation/Amortisation (8.2) (9.8) -16.3% (19.1) Operating Profit 3.2 6.5 -50.8% 24.5 Passenger, Car & On Board revenue down 2.2% to €40.0 million
Slide 10: Ferries Revenues 2010
Ferries Revenues 2010 Other Cars & Freight Passengers 30% 4% 66% (2009 – 5%) (2009 – 35%) (2009 – 60%) 10 9
Slide 11: Ferries Costs H1 2011
Ferries Costs H1 2011 Other (2010 - 15%) 13% Payroll Depreciation 21% 13% (2010 - 24%) (2010 15%) Repairs & Insurance 7% (2010 - 5%) Port Costs 21% (2010 - 20%) Fuel 25% (2010 - 21%) 11 10 11
Slide 12: Irish Sea Routes
lrish Sea Routes DUBLIN @ ee DUN LAOGHAIRE @\. ~ ~ ee Sn sy ~e LIVERPOOL ~ x) * HOLYHEAD ROSSLARE CORK . e. es ee * , @ FISHGUARD : . "e PEMBROKE \ @ SWANSEA : : \ \ \ \ IRISH FERRIES om ga OTHERS @ eee \ STENA P&O SEATRUCK () BRITTANY FERRIES CHERBOURG CELTIC LINK FASTNET LINE we ayy IRISH CONTINEN
Slide 13: Passenger Market
Passenger Market CAGR H1 H1 3 Year 5 Year 2011 2010 2007 - 2010 2005 - 2010 Irish Ferries -4% +12% -1% +1% Republic of Ireland -7% +9% -2% -1% All Ireland -6% +8% -1% -1% 13 12
Slide 14: Car Market
Car Market CAGR H1 H1 3 Year 5 Year 2011 2010 2007 - 2010 2005 - 2010 Irish Ferries -3% -1% -3% 0% Republic of Ireland -6% 3% -1% 0% All Ireland -5% 4% -1% 0% 14 13
Slide 15: RoRo Market
RoRo Market CAGR H1 H1 3 Year 5 Year 2011 2010 2007 – 2010 2005 - 2010 Irish Ferries +11% -13% -12% -3% Republic of Ireland -1% 3% -5% -1% All Ireland 0% 2% -4% -1% 2010 2009 2008 1992 -2007 Irish Ferries -9% -19% -9% +8% Republic of Ireland 3% -12% -4% +10% All Ireland 2% -10% -4% +6% 15 14
Slide 16: Container & Terminal Division
Container & Terminal Division H1 2011 H1 2010 Change FY 2010 €m €m €m Turnover 58.4 54.4 7.4% 109.8 Operating Costs 53.7 50.7 5.9% 99.8 EBITDA 4.7 3.7 27.0% 10.0 Depreciation/Amortisation (1.4) (1.4) - (3.0) Operating Profit 3.3 2.3 43.5% 7.0 Container volumes down 2.5% at 205,300 teu (Ireland – Con
Slide 17: Operations
Operations • 8 chartered vessels • 2,800 owned containers, 5,250 teu (20ft, 40ft, 45ft, reefers, flats, curtain siders) • 13 ports served (2 owned terminals) • Ireland / Continent - Door to Door plus Quay to Quay (feeder) • DFT Terminal in Dublin - Principal terminal in ROI • BCT Terminal in Belfast
Slide 18: Container Routes
Container Routes ICG owns and operates terminals in Dublin & Belfast. Other ports are operated by third parties. ICG owns and operates terminals in Dublin & Belfast. Other ports are operated by third parties. 22 24 17
Slide 19: Container Handling Irl.
Container Handling Irl. LoLo Market 1.0m Teu’s in 2010 CAGR H1 1 Year 3 Year 5 Year Market Share 35% H1 2011 2011 2010 2007-2010 2005-2010 ICG 14% 1% -8% 1% All Ireland -1% -4% -12% -4% 19 18
Slide 20: Outlook
Outlook • RoRo market: Market flat with Irish Ferries out performing • Some excess RoRo capacity removed in early 2011 (Dublin – Liverpool) • Passenger Car market: reductions in capacity by some operators – Winter 2011/12 • Fuel costs higher (unhedged, in line with historic practice) • Chartering co
Slide 21: Appendix: Ferries - Fleet
Ferries - Fleet APPENDIX FLEET 21
Slide 22: Ferries - Fleet
Ferries - Fleet Ulysses Year Built 2001 Cost €106m GT 50,900 tons PAX 1875 Cars 1342 Lane Metres 4.1km Speed 22 knots Jonathan Swift Year Built 1999 Cost €38m GT 6,000 tons PAX 800 Cars 200 Speed 39 knots 22 APP
Slide 23: Ferries - Fleet
Ferries - Fleet Isle of Inishmore Year Built 1997 Cost €81m GT 34,000 tons PAX 2200 Cars 855 Lane Metres 2.1km Speed 21.5 knots Year Built 1987 Oscar Wilde Purchased in 2007 €51m - plus upgrade GT 32,000 tons PAX 1458 Beds 1376 Cars 580 Lane Metres 1.2km Speed 21.5 knots 23 APP 14
Slide 24: Ferries - Fleet
Ferries - Fleet Year Built 1995 Kaitaki Cost €62m GT 22,300 tons PAX 1650 Beds 274 Cars 600 Lane Metres 1.7km Speed 19 knots 24 APP 15
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