S.C. Fondul Proprietatea SA · BVB:FP
S.C. Fondul Proprietatea SA — Fondul Proprietatea — H1 2022 Earnings Presentation
33 slides from S.C. Fondul Proprietatea SA's earnings presentation, Aug 31, 2022
Slide 1: Fondul Proprietatea – H1 2022 Results Conference Call
Fondul Proprietatea – H1 2022 Results Conference Call 31 August 2022
Slide 2: Fund Information
Fund Information Is FONDUL ey FRANKLIN » TEMPLETON eel
Slide 3: Key Facts
Key Facts Adjusted Share Price (RON) vs. Discount / Fund Details Premium (%) 31 July 2022 NAV RON USD 6% 2.08 1.90 0% Total NAV 16.27 bn 3.36 bn 1.73 -6% NAV/Share 2.8202 0.5826 1.55 -13% Key trading figures as at 30 August 2022 1.38 -19% Price / Share 1.9660 0.4054 1.20 -26% Price / GDR 97.96 20.20
Slide 4: Shareholder structure
Shareholder structure Evolution (% Held)1 2% 2% 3% 3% 6% 3% 3% 10% 10% 8% 7% 10% 10% 6% 4% 3% 12% 12% 14% 14% 4% 3% 10% 3% 18% 3% 3% 3% 5% 6% 20% 3% 3% 3% 3% 14% 14% 54% 25% 22% 3% 17% 15% 12% 43% 55% 53% 12% 15% 11% 16% 14% 14% 17% 16% 6% 18% 14% 28% 22% 18% 17% 16% 31% 34% 37% 35% 30% 39% 37% 36%
Slide 5: NAV, Share price and GDR Performance
NAV, Share price and GDR Performance Since H1 Performance 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 YTD2 Inception2 NAV (0.5)% 8.9% 13.3% 1.4% (0.6)% 7.3% 13.1% 19.9% 31.2% 2.2% 47.8% 28.9% 30.7% 366.9% (RON) Share Cumulative Price (30.3)% 38.3% 61.3% 14.5% (4.1)% 4.9% 21.5% 9.9% 4
Slide 6: Attribution to NAV Performance for Q2 2022
Attribution to NAV Performance for Q2 2022 % Change in share Weight in total Change in NAV Change in NAV Company Status price/ NAV per NAV1 performance per share (RON) share Hidroelectrica Unlisted 76.9% 23.39% 0.5488 26.6% OMV Petrom Listed 5.0% 0.58% 0.0136 3.7% Top Salrom Unlisted 1.6% 0.45% 0.01
Slide 7: Attribution to NAV Performance for H1 2022
Attribution to NAV Performance for H1 2022 % Change in share Weight in total Change in NAV Change in NAV Company Status price/ NAV per NAV1 performance per share (RON) share Hidroelectrica Unlisted 76.9% 36.21% 0.8192 47.3% Salrom Unlisted 1.6% 0.50% 0.0113 16.9% Top Bucharest Airports Unlisted 4.3%
Slide 8: Portfolio
Portfolio — 7 = ie %
Slide 9: Portfolio Structure
Portfolio Structure Listed vs Unlisted By Sector (% of NAV as at 31 July 2022)1 (% of NAV as at 31 July 2022)1 2% 0.8% 2.0% 1.7% 6% 5.5% 6.2% 6.6% 77.2% 92% Power Utilities: Generation Oil & Gas Unlisted Listed Net Cash & receivables Infrastructure Heavy industry Power & Gas Utilities: Others Distri
Slide 10: Largest Holdings by NAV
Largest Holdings by NAV NAV as at % in NAV Majority % FP 31 July 2022 as at Portfolio Company Status Shareholder Stake1 (USD mn) 31 July 2022 Hidroelectrica Unlisted Romanian State 19.9% 2,594.4 77.2% OMV Petrom Listed OMV 2.9% 184.9 5.5% Bucharest Airports Unlisted Romanian State 20.0% 143.7 4.3% E
Slide 11: Top Portfolio Holdings – Key financials
Top Portfolio Holdings – Key financials EBITDA (RON mn) Net Profit (RON mn) Top Holdings H1 2021 H1 2022 % y.o.y. H1 2021 H1 2022 % y.o.y. Hidroelectrica 2,442.3 3,454.5 41.4% 1,687.4 2,637.8 56.3% OMV Petrom 3,161.2 7,504.1 137.4% 979.6 4,646.1 374.3% Bucharest Airports 11.4 232.4 1,938.6% (53.6) 1
Slide 12: Hidroelectrica – Update
Hidroelectrica – Update H1 2022 preliminary results IPO • According to the management, in the first six months of the year, the • Listing approval: On 31 March 2022 shareholders approved company registered compared to the same period of 2021: the initiation of the listing of the Company’s shares on
Slide 13: OMV Petrom – Update
OMV Petrom – Update In H1 2022: • Consolidated sales revenues increased by 153% y.o.y., supported mainly by higher prices and volumes sold of petroleum products and electricity. • Clean CCS Operating result increased to RON 5,901 mn compared to RON 1,504 mn in H1 2021, on the back of strong performa
Slide 14: Bucharest Airports – Update
Bucharest Airports – Update Financials 2016 2017 2018 2019 2020 2021 H1 2021 H1 2022 % y.o.y. Operating revenues (mn RON) 754.7 890.9 992.6 1,066.6 405.6 578.0 181.5 444.1 144.7% Operating result (mn RON) 263.6 337.6 445.9 399.0 (175.3) 40.8 (52.4) 160.0 405.3% Net Income/Loss (mn RON) 224.7 290.7 3
Slide 15: Constanta Ports – Update
Constanta Ports – Update Financial performance 2016 2017 2018 2019 2020 2021 H1 2021 H1 2022 % y.o.y. Operating revenues (RON mn) 314.0 330.5 345.2 369.0 398.8 418.9 215.6 250.2 16.0% Operating profit (RON mn) 54.8 93.8 95.8 117.0 145.9 140.6 108.4 106.8 (1.5)% Net Income (RON mn) 36.8 79.7 75.7 108
Slide 16: Salrom – Update
Salrom – Update Financial performance 2016 2017 2018 2019 2020 2021 H1 2021 H1 2022 % y.o.y. Operating revenues (RON mn) 312.4 394.1 436.9 469.2 300.2 374.5 161.2 195.4 21.2% Operating profit (RON mn) 36.3 107.3 93.5 84.6 15.8 70.1 26.0 41.7 60.4% Net Income (RON mn) 27.4 81.1 76.4 77.0 11.5 60.2 22
Slide 17: Enel Group companies – Update
Enel Group companies – Update • Starting with H2 2021, the companies are struggling with the crisis that hit the entire energy sector following the increase of the electricity prices, and the introduction of the Support scheme for the payment of the electricity and gas bills between April 2022 – Mar
Slide 18: Corporate Actions
Corporate Actions FONDUL @. FRANKLIN -° TEMPLETON
Slide 19: Distributions to Shareholders
Distributions to Shareholders Annual Distributions to Shareholders (RON mn) 1,124.3 552.7 507.7 1,499.0 1,778.5 923.6 1,190.8 1,743.7 1,870.6 1,081.3 1,483.0 1,508.1 1,788.1 2,000 25.4% 29% 18.3% 21.9% 17.5% 18.3% 23% 1,500 583.1 600.0 328.1 711.5 832.5 15.5% 1,121.5 14.8% 17% 10.5% 14.5% 15.3% 236.
Slide 20: Buy-back programs
Buy – back programs No. of shares (to be) repurchased/ Average % of the Fund’s share price Cancellation Program Period Status issued share capital (RON/share) Broker of shares1 1 Jan – Auerbach Grayson, Twelfth Finalized 800.00 mn/12.48% 1.68782 Ongoing 31 Dec 2021 Swiss Capital The cancellation of
Slide 21: Annual dividend income – Top 10 portfolio companies
Annual dividend income – Top 10 portfolio companies Dividend Payout (%) FP Net Dividend (RON mn) Top 10 Holdings1 2017 2018 2019 2020 2021 2018 2019 2020 2021 2022 Hidroelectrica 90 90 90 90 90 226.2 358.7 250.0 256.6 564.6 OMV Petrom 46 38 48 100 90 107.6 145.3 166.8 88.9 54.7 Bucharest Airports 90
Slide 22: Total dividend income from portfolio companies
Total dividend income from portfolio companies FP Net Dividend 2013 2014 2015 2016 2017 2018 2019 2020 2021 202212 Total Dividends from Listed Companies (RON mn) 373.9 538.6 251.5 36.0 148.1 199.6 223.0 200.2 117.0 127.7 Total Dividends from Unlisted Companies (RON mn) 275.81 143.5 315.9 315.2 404.5
Slide 23: Fondul Proprietatea 2022 Investor Days Conference
Fondul Proprietatea 2022 Investor Days Conference Sheraton Bucharest Hotel • Conference, Panels • Conference, One-on- • Hidroelectrica Portile de Fier I Power-plant • Conference, One-on-one one meetings (Frontier site visit meetings (Frontier Days Days with WOOD & with WOOD & Company) Company) 14 Se
Slide 24: 14 September – Site visit
14 September – Site visit 8.30 am Pick-up from Sheraton Bucharest Hotel and departure to Otopeni Airport 9:20 am Departure to Craiova 10:10 am Departure to Drobeta Turnu Severin 12:30 pm Hidroelectrica, Portile de Fier I Power-plant Site Visit 2:30 pm Departure to Taverna Sarbului restaurant, Drobet
Slide 25: 15 September – Conference
15 September – Conference Platinum conference room, Sheraton Bucharest Hotel 8:00 – 9:00 am Breakfast & Registration Keynote speaker 9:00 – 9:15 am His Excellency, Mr. Nicolae-Ionel Ciucă, Prime-minister of Romania Embassy of the United Kingdom 9:15 – 9:30 am His Excellency Mr. Andrew Noble, Ambassa
Slide 26: 15 September – Conference
15 September – Conference Platinum conference room, Sheraton Bucharest Hotel 10:45 – 11:30 am Panel 2: Energy Mr. Johan Meyer, CEO Franklin Templeton and Portfolio Manager Fondul Proprietatea Fondul Proprietatea – Moderator Ministry of Energy Mr. Casian Nitulescu, State Secretary OMV Petrom Ms. Chri
Slide 27: 15 & 16 September – Conference & 1on1s
15 & 16 September – Conference & 1on1s Platinum conference room, Sheraton Bucharest Hotel 12:15 – 1:00 pm Panel 4: Hidroelectrica IPO Mr. Daniel Naftali, Deputy Portfolio Manager Fondul Proprietatea – Fondul Proprietatea Moderator Hidroelectrica Mr. Bogdan Badea, CEO IPO Investment Bank TBC 1:00 – 2
Slide 28: Financial results
Financial results FONDUL | QERANELIN » TEMPLETON 3) FRANKLIN @. TEMPLETON
Slide 29: Statement of Financial Position
Statement of Financial Position 30 June 2022 31 December 2021 RON mn Unaudited Audited Cash and current accounts 137.6 68.2 Deposits with banks 121.1 347.4 Government bonds 178.5 77.1 Dividend receivables 229.8 – Equity investments 15,873.0 12,577.7 Non-current assets held for sale – 1,135.20 Other
Slide 30: Statement of Comprehensive Income
Statement of Comprehensive Income H1 2022 H1 2021 RON mn Unaudited Unaudited Unrealised loss from equity investments at fair value through profit or loss (288.8) (103.5) Unrealised gain from equity investments at fair value through profit or loss 3,584.1 1,293.1 Gross dividend income 858.9 655.1 Net
Slide 31: Disclaimer (I)
Disclaimer (I) This presentation is made solely to the intended recipient and should not be distributed to, or acted upon by, any other person. It is for general information only and reflects the personal views of the presenter. Nothing herein is intended to constitute advice on investment, legal or
Slide 32: Disclaimer (II)
Disclaimer (II) In addition, the list of investor rights can be found in the Constitutive Act, available on the Fund’s website, in the Corporate Governance section, here: https://www.fondulproprietatea.ro/about-fund/fund-overview/corporate-governance. The price of shares and income from them can go
Slide 33: Thank You
Fondul Proprietatea Premium Point Buzesti Street 76-80, 1st District Bucharest 011017 www.fondulproprietatea.ro Thank You