Constellium Se · NYSE:CSTM
Constellium — Q1 2015 Earnings Presentation
22 slides from Constellium's earnings presentation, May 14, 2015
Slide 1: First Quarter 2015 Earnings Conference Call
First Quarter 2015 Earnings Conference Call May 14, 2015
Slide 2: Forward-looking statements
Forward-looking statements Certain statements contained in this presentation may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. This presentation may contain “forward looking statements” with respect to our business, results of opera
Slide 3: Non-GAAP measures
Non-GAAP measures This presentation includes information regarding certain non-GAAP financial measures, including Adjusted EBITDA, Adjusted EBITDA per metric ton, Adjusted Free Cash Flow and Net Debt. These measures are presented because management uses this information to monitor and evaluate finan
Slide 4: Pierre Vareille, Chief Executive Officer
Pierre Vareille Chief Executive Officer
Slide 5: Q1 2015 Highlights, including Wise Metals
Q1 2015 Highlights, including Wise Metals (% change vs Q1 2014) ► Shipments of 381 thousand metric tons, up 41% ► Revenue of €1.4 billion, up 58% ► Adjusted EBITDA of €95 million, up 34% ► P&ARP revenue more than doubles due to Muscle Shoals consolidation ► Automotive rolled product shipments up 19%
Slide 6: Packaging and Automotive Rolled Products Segment
Packaging and Automotive Rolled Products Segment Segment Outlook/Mix Shipments of 266 kt in Q1 2015, up 71% from 156 kt in Q1 2014 Automotive rolled products shipments of 21 kt, up 19% from Q1 2014 Constellium Recent Developments Significant growth in all key metrics as a result of Muscle Shoals acq
Slide 7: Aerospace and Transportation Segment
Aerospace and Transportation Segment Segment Outlook/Mix Solid demand in aerospace market with majority of business under long term contracts Softer transportation and industry markets Q1 2015 shipments of 59 kt, down 3% from 61 kt in Q1 2014 Constellium Recent Developments Improved operational perf
Slide 8: Automotive Structures and Industry Segment
Automotive Structures and Industry Segment Segment Mix/Outlook Automotive Structures market demand remains strong, Industry market remains competitive Q1 2015 shipments of 56 kt, up 5% from 53 kt in Q1 2014; Automotive extrusions volume up 12% Constellium Recent Developments Plant expansion in Van B
Slide 9: Didier Fontaine, Chief Financial Officer
Didier Fontaine Chief Financial Officer
Slide 10: Q1 2015 Adjusted EBITDA vs Q1 2014
Q1 2015 Adjusted EBITDA vs Q1 2014 € millions 3 (2) (3) 26 95 71 Adjusted P&ARP A&T AS&I H&C Adjusted EBITDA 2014 EBITDA 2015 First Quarter 2015 – Earnings Call 10
Slide 11: Q1 2015 Adjusted EBITDA vs Q1 2014 – Foreign Exchange and Premium Effect
Q1 2015 Adjusted EBITDA vs Q1 2014 – Foreign Exchange and Premium Effect € millions (7) 1 (3) 23 (5) 15 95 71 Adjusted FX impact Premium P&ARP A&T AS&I H&C Adjusted EBITDA 2014 increase EBITDA 2015 Slightly higher Q1 premiums negatively impacted Adjusted EBITDA by (€5) million, foreign exchange impa
Slide 12: Q1 2015 Segment Performance vs Q1 2014
Q1 2015 Segment Performance vs Q1 2014 Segment Adjusted EBITDA (€m) Adjusted EBITDA per ton (€) P&ARP Shipments: 156kt 266kt +71% +13% +16% A&T Shipments: 61kt 59kt (3)% AS&I Shipments: 53kt 56kt +5% First Quarter 2015 – Earnings Call 12
Slide 13: Adjusted Free Cash Flow
Adjusted Free Cash Flow Three months Three months € millions ended ended March 31, 2015 March 31, 2014 Cash flow from operating activities 12 (4) Margin calls included in cash flow from operating activities - (11) Cash flow from operating activities excluding margin calls 12 (15) Capital expenditure
Slide 14: Wise Metals Acquisition Resets Trade Working Capital
Wise Metals Acquisition Resets Trade Working Capital 37 days 571 514 470 463 401 373 29 days 381 320 285 295 298 289 221 204 Q4 11 Q1 12 Q2 12 Q3 12 Q4 12 Q1 13 Q2 13 Q3 13 Q4 13 Q1 14 Q2 14 Q3 14 Q4 14 Q1 15 Consolidation of Wise Metals provides room for future improvement First Quarter 2015 – Earn
Slide 15: Strong Liquidity Provides Flexibility
Strong Liquidity Provides Flexibility € millions March 31, 2015 Total Debt (*) 2,168 Cash and Cash Equivalents 352 Net Debt 1,816 Liquidity (**) 700 Net debt and leverage increased due to consolidation of Wise Metals debt, including a non-cash foreign exchange translation impact of €100 million (*)
Slide 16: Key Takeaways
Key Takeaways ► Q1 2015 Shipments, Revenues and Adjusted EBITDA, +41%, +58% and +34% respectively, compared to Q1 2014 ► P&ARP shipments, revenues, and Adjusted EBITDA +71%, +115% and +98% respectively, due to Muscle Shoals consolidation ► Automotive expansion projects progressing on track ► A&T res
Slide 17: Q&A
Q&A First Quarter 2015 – Earnings Call 17
Slide 18: Appendix
Appendix First Quarter 2015 – Earnings Call 18
Slide 19: IFRS – Income Statement
IFRS – Income Statement Three months ended Three months ended € millions March 31, 2015 March 31, 2014 Revenue 1,393 883 (Loss) / income from operations (4) 56 Other expenses - (1) Finance costs – net (43) (9) Share of loss of joint-ventures (1) - (Loss) / income before income taxes (48) 46 Income t
Slide 20: IFRS – Statement of Financial Position
IFRS – Statement of Financial Position € millions March 31, 2015 December 31, 2014 Non-current assets 2,372 952 Current assets 1,940 2,046 Assets held for sale 16 14 Total Assets 4,328 3,012 Equity (88) (37) Non-current liabilities 3,025 1,991 Current liabilities 1,382 1,050 Liabilities held for sal
Slide 21: Net Debt Reconciliation
Net Debt Reconciliation € millions March 31, 2015 December 31, 2014 Borrowings 2,277 1,252 Fair value of cross currency interest rate swap (97) (29) Cash and cash equivalents (352) (989) Cash pledged for issuance of guarantees (12) (10) Net Debt 1,816 224 First Quarter 2015 – Earnings Call 21
Slide 22: Reconciliation of net income to Adjusted EBITDA
Reconciliation of net income to Adjusted EBITDA Three months Three months € millions ended ended March 31, 2015 March 31, 2014 Net (loss) / income (31) 30 Income tax (benefit) / expense (17) 16 (Loss) / income before income tax (48) 46 Finance costs - net 43 9 Other expenses - 1 Share of loss of joi