Manila Water Co. Inc. · PSE:MWC
Manila Water — FY2006 Earnings Presentation
14 slides from Manila Water's earnings presentation, Feb 2, 2007
Slide 1: Full Year 2006 Briefing
Full Year 2006 Briefing February 2, 2007 South Room A&B, Tower One, Makati Outline 6 2006: A good year for Manila Water Operational Highlights Awards and Recognitions Sustainable Development Initiatives 6 2006 Financial Highlights 6 Prospects for 2007and beyond 6 Summary Full Year 2006 Briefin
Slide 2: 2006: A good year for Manila Water
2006: A good year for Manila Water Operational Highlights Embarked on Major Capital Programs in kilometers 2,000 1,877 1,800 1,600 1,400 1,274 1,200 1,000 Total Investment (1997-present) = P23.0 B 793 800 600 424 400 235 174 200 29.6 0 0 5.4 0 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 Full Y
Slide 3: Operational Highlights: Billed Volume and Water Losses
Operational Highlights Sustained Growth in Billed Volume in Million Liters per Day 1,000 948 900 864 825 800 767 758 751 706 700 645 594 600 500 440 400 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 6 10% growth highest in 5 years Full Year 2006 Briefing Operational Highlights Continuous reducti
Slide 4: Operational Highlights: 24-hour Supply and Customer Base
Operational Highlights Provided 24-hour water supply to Metro Manila 1997 2006 26% 98% 24 hours 13-23 hours 0-12 hours 6 100% coverage in Quezon City, San Juan, Mandaluyong, Pasig, Makati, Manila, Marikina and Pateros Full Year 2006 Briefing Operational Highlights Increased customer base Number of h
Slide 5: Met/Exceeded Regulatory Targets
Operational Highlights Met/Exceeded Regulatory Targets Target Performance Assessment Key Indicators Dec. 2006 Dec. 2006 vs. RR target New Connections (HH) 532 870 Water availability 100% by 2007 98% (@ Central Distribution System – CDS) Billed Volume 913 mld 948 mld NRW % 44.6% 30.3% Collection Effi
Slide 6: Sustainable Development Initiatives and Awards
Sustainable Development Initiatives Served more customers in the poor communities Tubig Para Sa Barangay Equivalent 180 170 POPULATION 160 141 Number of HOUSEHOLDS in thousands 140 123.3 120 101 100 1.0 M 80 63.9 60 50.5 40 27.6 13.6 20 1.5 0 1998 1999 2000 2001 2002 2003 2004 2005 2006 Full Year 20
Slide 7: 2006 Awards and Recognitions
2006 Awards and Recognitions 2nd Best Over-all for Corporate Governance in the Philippines 6 Polled by Asiamoney 6 Criteria for the survey disclosure and transparency responsibilities of management and the board of directors shareholders’ rights and equitable treatment investor relations 6 8
Slide 8: Financial Highlights and Borrowings
Financial Highlights Sustained financial performance 17% increase in revenues In Million Pesos 6,000 6,488 5,544 19 % increase 5,000 in EBITDA 19 % increase in net income 4,000 3,507 3,000 2,955 2,394 2,000 2,011 1,000 0 Revenues EBITDA Net Income 2006 2005 6 EPS at P1.05, up 19% from 2005 (based on
Slide 9: Strategic Impact of the Maynilad Bid
Prospects for 2007 and beyond Strategic Impact of the Maynilad Bid 6 Reprivatization of Maynilad 6 Have a stronger partner in joint undertakings such as development of new water sources 6 Reduce regulatory risk through improved water supply in the West Zone 6 Demonstrated capability to support a lar
Slide 10: Rate Rebasing – A major driver for the next 5 years
Rate Rebasing – A major driver for the next 5 years … 6 Rate rebasing adjustment largely driven by net investments/ capex spending 6 Manila Water’s target is to keep spread through lower borrowing costs 6 Past capital investments (total of P23B) to still earn the 10.4% guaranteed rate of return 6 Ma
Slide 11: Expansion Projects and Sewerage Services
Expansion Projects 6 Population in the expansion areas to reach more than 2 million in 5 years 6 Planned road networks to spur faster growth 6 Major business districts and BPO’s located in the East Zone Road network Major pipeline projects Full Year 2006 Briefing Expansion of Sewerage Services 1997
Slide 12: New Water Sources and Expansion Areas
New Water Sources Rodriguez Wellfields Wawa Laguna Lake IW Laiban Dam Full Year 2006 Briefing Expansion Areas Outside the East Zone Asian Region NEW BUSINESS Philippines 6 Opportunities in key cities and provinces within the Philippines (85m population) 6 New projects being explored within the Asian
Slide 13: Summary
Summary Summary 6 2006 a banner year for operating efficiencies Non-Revenue Water 5% points decrease from last year Billed volume 10% up from last year Opex maintained at manageable levels 6 Steady growth in financials will support expansion projects 6 Continued focus on expansion within and o
Slide 14: Thank You!
Manila Water > THANK YOU! 14