Altri, SGPS, S.A. · EURONEXT:ALTR
Altri, SGPS — Investor Presentation (June 2017)
24 slides from Altri, SGPS's investor presentation, June 2017
Slide 1: Pulp and forest: Presentation on Altri
Pulp and forest Presentation on Altri June 2017
Slide 2: Altri's overview
Altri’s overview Business development BHKP Market Appendix 2 2
Slide 3: Forest management
Forest management 81K ha rented in Portugal – 20% self sufficiency rate – Mainly focused on eucalyptus globulus – Biological asset recorded@102M€ on BS Strategic location – High yield locations – 10/12 years growing age – 10 m3 per ha per year Focus on R&D – Over 40 years of experience – Genetic imp
Slide 4: 2 types of pulp produced
2 types of pulp produced BEKP – Celbi and Celtejo – 926 K tonnes produced in 2016 Dissolving pulp – Caima – 105 K tonnes produced in 2016 1031 thousand tonnes of pulp produced in 2016 4
Slide 5: Altri sales: main markets
Altri sales: main markets 100% eucalyptus (hardwood) pulp production Breakdown 2016 Main end uses Main markets – Tissue (49%) – Printing and writing (22%) Paper – Specialties (15%) – Dissolving pulp (10%) Fabrics (rayon) 93% of total production exported – Paper pulp (BEKP): strategic focus on Europe
Slide 6: Key financial indicators € million
Key financial indicators € million Total revenues EBITDA 700,0 665 250,0 612 221 600,0 550 522 534 200,0 495 500,0 472 161 167 143 141 400,0 150,0 113 114 279 273 300,0 253 100,0 81 69 200,0 51 50,0 100,0 0,0 0,0 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2007 2008 2009 2010 2011 2012 2013 20
Slide 7: Pulp production: evolution
Pulp production: evolution From 115K ton in 2005 to above 1 million in 2016 Celbi’s expansion project: 365 M€ 1200 Acquisition of Celbi: 431 M€ 1.022 1.031 973 991 1000 910 Acquisition 847 of Celtejo: 787 Thousand tones 800 40 M€ 655 576 600 511 400 255 200 115 0 2005 2006 + 2007 + 2008 2009 2010 20
Slide 8: Deleveraging trend
Deleveraging trend 361 million Euros in Net Debt reduction over the last 7 years 800,0 728,0 688,3 630,2 573,7 € million 525,4 442,6 438,6 2009 2010 2011 2012 2013 2014 2015 2016 8
Slide 9: Free cash flow evolution
Free cash flow evolution Avg 2010-16 free cash flow per tonne: 68 €/tonne FCF/tonne 92 € 52€ 68€ 63€ 57€ 147€ 53€ 150,5 83 72,0 62,2 61,6 56,9 68 55,3 € million 72 43,8 57 45 58 41 51 48 40 32 27 23 17 16 9 4 4 5 4 2010 2011 2012 2013 2014 2015 2016 net debt reduction (M€) Dividends (M€) CAPEX Free
Slide 10: Altri's overview
Altri’s overview Business development BHKP Market Appendix 10 10
Slide 11: Altri: looking forward
Altri: looking forward Ramping up to produce 1 million tons of BHKP Debottlenecking in Celbi – 727 thousand tonnes produced in 2016 – 750 thousand tonnes by 2018E Celtejo – 199 thousand tonnes produced in 2016 – Undergoing investment to increase capacity above 250 thousand tonnes 11
Slide 12: Altri: looking forward
Altri: looking forward Dissolving wood pulp in Caima mill – 105K tonnes of DP produced in 2016 Significant added value – One of the lowest cost producers worldwide – Prime quality rayon grade producer – Ambition to produce higher value added products: specialty grades – Step by step approach 12
Slide 13: Value added strategic objective
Altri: looking forward Dissolving pulp project in Caima mill Value added strategic objective Source: Hawkins Wright 13
Slide 14: Altri's overview
Altri’s overview Business development BHKP Market Appendix 14 14
Slide 15: Global BHKP pulp market
Global BHKP pulp market Global hardwood demand grew 4.6% (CAGR) between 1990 – 2015 European hardwood demand grew 2.6% (CAGR) between 1990 – 2015 – From 4.8 M tonnes in 1990 to 9.2 M tonnes in 2015 (+4.3 M tonnes) – Mkt share decreased from 50% in 1990 to 31% in 2015 Chinese demand grew 16.0% (CAGR)
Slide 16: Global BHKP pulp market
Global BHKP pulp market Global BHKP market BHKP supply and demand 2011-2016 (thousand tonnes) 2012-2016 (incremental thousand tonnes) 40000 93,0% 1600 35000 92,5% 1400 92,0% 30000 1200 91,5% 25000 1000 91,0% 20000 800 90,5% 15000 600 90,0% 10000 400 89,5% 5000 89,0% 200 0 88,5% 0 2011 2012 2013 2014
Slide 17: Global BHKP pulp market
Global BHKP pulp market Pulp price weekly evolution: 2007 to date USD & EUR Source: FOEX 17
Slide 18: Altri's overview
Altri’s overview Business development BHKP Market Appendix 18 18
Slide 19: Business structure and shareholders
Business structure and shareholders 100% 50%* Celbi Celtejo Caima EDP Bioeléctrica Pulp mill Pulp mill Pulp mill Biomass * Joint venture with EDP Major shareholders Free float 205.132 million shares 34% Management 66% 19
Slide 20: Biomass power production
Biomass power production 50% joint venture with EDP – 62 MW in operation Mortágua 1 8.6 MW – #1 biomass player in Portugal In operation – Equity accounting Celtejo Tariff 12.8 MW In operation – 106€/MWh updated yearly on recorded inflation – Feed in tariff granted for 25 years Financial highlights 2
Slide 21: 1Q17 P&L
1Q17 P&L ALTRI, SGPS, S.A. CONSOLIDATED STATEMENTS OF PROFIT AND LOSS (Amounts expressed in Euro) 1Q2017 1Q2016 Sales 154,999,151 157,663,504 Services rendered 2,411,633 2,198,818 Other income 2,425,030 1,843,640 Cost of sales (69,261,460) (60,239,977) External supplies and services (41,783,093) (40
Slide 22: 1Q17 BS – assets
1Q17 BS – assets ALTRI, SGPS, S.A. CONSOLIDATED STATEMENTS OF FINANCIAL POSITION (Amounts expressed in Euro) ASSETS 31.03.2017 31.12.2016 NON CURRENT ASSETS: Biological assets 100,988,950 102,302,637 Tangible fixed assets 378,030,864 359,638,821 Investment property 113,309 113,310 Goodwill 265,531,4
Slide 23: 1Q17 BS – shareholders' funds & liabilities
1Q17 BS – shareholders’ funds & liabilities SHAREHOLDERS' FUNDS AND LIABILITIES 31.03.2017 31.12.2016 SHAREHOLDERS' FUNDS: Share capital 25,641,459 25,641,459 Legal reserve 5,128,292 5,128,292 Other reserves 314,861,924 235,894,619 Consolidated net profit / (loss) 17,124,089 76,977,826 Total shareho
Slide 24: Disclaimer
Disclaimer All data contained in this presentation may contain confidential and/or privileged information, and it is exclusively intended for its addressees. Unauthorized copy, reproduction or distribution is strictly prohibited. This presentation is provided “as is” without any express or implied w