Murray & Roberts — H1 FY2009 Earnings Presentation
42 slides from Murray & Roberts's earnings presentation, 2009
Slide 1: Interim Report to Stakeholders for the Six Months Ended December 2008
INTERIM REPORT TO STAKEHOLDERS FOR THE SIX MONTHS ENDED DECEMBER 2008 ' Murray \ . &Roberts \
Slide 2: Focus on Performance CEO quote
“Our world and markets have entered a period of sudden and unprecedented uncertainty. This is not the time to trumpet past achievements or predict future outcomes. Our job is quite simply to focus on what we do best — the job at hand. Do it diligently and competently, preserve our capital and work t
Slide 3: Order Book
ORDER BOOK — Revenue | | OrderBookat31 December2008 Focus on Performance
Slide 4: Salient Features
SALIENT FEATURES +44% +40% Focus on Performance
Slide 5: Salient Features
SALIENT FEATURES +10% Focus on Performance
Slide 6: Middle East Projects
MIDDLE EAST PROJECTS 8 c & E £ a & ° id | o °o Le
Slide 7: Order Book Development Months to December 2008
ORDER BOOK DEVELOPMENT 6 Months to 31 December 2008 R55bn R 13bn mT, (R 10bn) Order Book Order Book New Orders Order Book Cancelled Confirmed 31 Dec 2008 Focus on Performance
Slide 8: Order Book Geographic Distribution
ORDER BOOK GEOGRAPHIC DISTRIBUTION Middle East : 28% North America : 6% Australasia : 13% Focus on Performance
Slide 9: Order Book Sector Distribution
ORDER BOOK SECTOR DISTRIBUTION Engineering - Contracting -33% Mining Intemational : 7% Construction ii SADE is Construction Middle East : 28% Focus on Performance
Slide 10: Opportunity Pipeline Months to December 2008
OPPORTUNITY PIPELINE 6 Months to 31 December 2008 R96bn = (R35bn) R50bn R98bn Incl Nuclear 1 Incl UAE Nuclear (R18bn) “J ities (R 16bn) A Incl R18bn on hold Incl R24bn on hold Opening Balance Lost / Converted ta Increase in New Closing Balance 30 June 2008 Cancelled Declined Order Book Scope Prospec
Slide 11: Level 5 BEE Contributor Procurement Recognition
» Level 5 = 80% BEE Procurement Recognition, however... >» Murray & Roberts is a value adding contributor, so the BEE Procurement Recognition level is multiplied by 1.25, therefore... * 100% BEE Procurement Recognition BBBEE RATING =—S EMPOWERLOGIC Your Logicat Empowerment Soiwtion Broad Based Black
Slide 12: Corporate Citizenship
CORPORATE CITIZENSHIP R81,5 million in 3 years Letsema Bokamoso General Staff Trust R15.8 million in dividends paid to 14,125 employees Letsema Khanyisa Black R10.7 million in bursaries and houses allocated to Employee Benefit Trust employees and their children Letsema Vulindlela Black R4.6 million
Slide 13: Committed to Zero Harm
COMMITTED TO ZERO HARM LTIFR: 2,41 at Dec 2008 (Dec 2007 : 2,66) > FIFR : 0,08 at Dec 2008 (Dec 2007 : 0,08) 101 million hours worked to Dec 2008 (Dec 2007 : 110 million) 6.00 + 5,00 FY2006 FY2007 FY¥2008 4.00 ' LTIFR 3.00 ! 2.00 100 | 7 : 4 414 2 3 4 3 3 4 2 3 8 3S O 4 Fatalities 0.00 - —t Focus on
Slide 14: South African Projects
SOUTH AFRICAN PROJECTS Focus on Performance
Slide 15: Balance Sheet
BALANCE SHEET {R millions) Dec 2008 Dec 2007 16 281 4418 11 863 16 281 4602 1376 |__.10 303 Focus on Performance
Slide 16: Income Statement
INCOME STATEMENT Revenue Operating Profit R904m i eS Headline Eamings Focus on Performance
Slide 17: Segmental Revenues
SEGMENTAL REVENUES Construction & Engineering R 13,0 billion Materials & Services R3,5 billion Corporate & Properties R79 million Fabrication & Manufacture R 1,0 billion Focus on Performance
Slide 18: Segmental Operating Profit
SEGMENTAL OPERATING PROFIT 8,3% MARGIN Construction & Engineering R 1,1 billion Fabrication & Manufacture R67 million Materials & Services R 416 million * excluding Corporate {(R 121 million) Focus on Performance
Slide 19: Construction SADC
CONSTRUCTION SADC 5,7% MARGIN R4,5bn R28bn R257m Ge la Revenue Operating Profit SALIENT POINTS >» CAPEX R193 million > R1,3 billion Order Book cancelled » Order Book R10,2 billion (June 2008: R12,4 billion) Focus on Performance
Slide 20: Construction Middle East
CONSTRUCTION MIDDLE EAST 8,0% MARGIN R1,8bn R1,5bn | R145m Gi R100m Revenue Operating Profit SALIENT POINTS > CAPEX R17 million > R5,4 billion Order Book cancelled » Order Book R16,7 billion (June 2008: R11,5 billion) Focus on Performance
Slide 21: Mining Contracting SADC
MINING CONTRACTING SADC 4,8% MARGIN R1,9bn R1,5bn | [am R92m R8&2m [em Revenue Operating Profit SALIENT POINTS > CAPEX R58 million > R200 million Order Book cancelled >» Order Book R1,7 billion (June 2008: R3,2 billion). Focus on Performance
Slide 22: Mining Contracting International
MINING CONTRACTING INTERNATIONAL 9,7% MARGIN R1,6bn Ra9am Fe] te ae [oe |] PR i =] Revenue Operating Profit SALIENT POINTS > CAPEX R88 million > R900 million Order Book cancelled » Order Book R3,8 billion (June 2008: R2,5 billion) Focus on Performance
Slide 23: Engineering Contracting
ENGINEERING CONTRACTING 17% MARGIN R1388m R1,1bn R729m [am a02%, R37m ry Revenue Operating Profit SALIENT POINTS > CAPEX R17 million > R900 million Order Book cancelled >» Order Book R9,9 billion (June 2008: R11,0 billion) Focus on Performance
Slide 24: Fabrication & Manufacturing
FABRICATION & MANUFACTURING 6,7% MARGIN R1,0bn R676m i] — [am js Revenue Operating Profit SALIENT POINTS > CAPEX R277 million > All facilities operating at capacity » Order Book R9Q,7 billion (June 2008: R4,5 billion) Focus on Performance
Slide 25: Construction Materials Steel
CONSTRUCTION MATERIALS STEEL 7,6% MARGIN R1,bn R1,2bn R 136m ca ‘te Revenue Operating Profit SALIENT POINTS >» CAPEX R130 million > Extreme steel price volatility > Lower global demand Focus on Performance
Slide 26: Construction Materials Infrastructure
CONSTRUCTION MATERIALS INFRASTRUCTURE 14,5% MARGIN Ra96m R644m R 130m ia Revenue Operating Profit SALIENT POINTS > CAPEX R49 million > Pricing pressure in Rocla » Increased demand for Much Asphalt Focus on Performance
Slide 27: Construction Materials Housing
CONSTRUCTION MATERIALS HOUSING 7,9% MARGIN R317m R333m R50 im R25m (ij @ a7 = Revenue Operating Profit SALIENT POINTS > CAPEX R24 million > 50% of Oconbrick mothballed > Technicrete stable Focus on Performance
Slide 28: Construction Services
CONSTRUCTION SERVICES 29,1% MARGIN R 433m R 126m |] oy - | Oo 7 . Revenue Operating Profit SALIENT POINTS > CAPEX R3 million » Johnson refocused in Abu Dhabi > Tolcon stable Focus on Performance
Slide 29: Consolidated Cash Flow
CONSOLIDATED CASH FLOW R1,7bn (R670m) (R11m) (R554m) =a am (R419m) a) R4,3bn (R1,3bn) R3,0bn Opening Operating Working Financing Interest, Dividends Investing Closing Cash Cash Capital Activities Tax & Forex Paid Activities Cash Focus on Performance
Slide 30: Clough Limited
CLOUGH LIMITED {AUD millions) Dec 2008 Dec 2007 Revenue 316,3 273,5 EBIT 31,9 14,9 Attributable Eamings 28,4 29,0 excluding Petrosea Focus on Performance
Slide 31: Gautrain Stations
GAUTRAIN STATIONS Focus on Performance
Slide 32: Green Point Stadium
GREEN POINT STADIUM Focus on Performance
Slide 33: Strength in Diversity
STRENGTH IN DIVERSITY South African GDP* Agriculture, forestry Personal Services & fishing Government Mining & Quarrying Financial sd . services Manufacturing Electricity, gas & water Construction Transport, storage & communication Wholesale, retail, h! otels & resteurants “Source : Reserve Bank (20
Slide 34: Strength in Diversity
STRENGTH IN DIVERSITY South African GDP* Agriculture, forestry & fishing Personal Services Mining & Quarryin: Financial sidetaiateiiecaiial services Manufacturing Electricity, gas & water Murray & Roberts Trenepar ff Construction storage i communication Middeces Infrastructure Construction SADC Whol
Slide 35: Economic Crisis: Employee Impact
ECONOMIC CRISIS Employee Impact Retrenchments 3385 400 75 40 3900 Sieg 851 0 72 27 950 ‘eassigned New Jobs Created 1250 0 793 2 1331 *50% of South African retrenchments in Mining Focus on Performance
Slide 36: Economic Crisis: Order Book Impact
ECONOMIC CRISIS Order Book Impact Trump Towers Al Salam Resort Devil Creek Reindeer Mining Engineering Houghton TOTAL R Billions 0,2 0,9 0,4 1,5 0,7 0,7 3,3 2,1 5,4 1,3 1,3 0,2 2,8 3,3 21 1,3 1,3 4,4 0,9 0,4 10,4 Focus on Performance
Slide 37: Reframing Murray & Roberts
REFRAMING MURRAY & ROBERTS Same Picture — Different Context » Deliver on Prospect Statement » Safety in the Work Place » Anti-competitive Behaviour » Commercial Entitlements » New Business Development » Waste and Cost Elimination » Organisational Change Focus on Performance
Slide 38: Reframing Murray & Roberts
REFRAMING MURRAY & ROBERTS Same Picture — Different Context OPERATIONS « Construction SADC « Major Projects SADC « Middle East « Engineering « Mining Contracting * Clough Limited « Steel « Construction Matenals CORPORATE « Financeand Administration « Commercialand Risk « Enterprise Capability « Secr
Slide 39: Reframing Murray & Roberts
REFRAMING MURRAY & ROBERTS Same Picture — Different Context R100 billion New Orders by June 2012 Revenue R'bn 8 2008 2009 2010 2011 2012 oo) Revenue fr Contracting E rtities 2009 Order Book ——Order Book Focus on Performance
Slide 40: Prospects Statement
PROSPECTS STATEMENT “Diluted headline eamings per share for the year fo 30 June 2009 is expected to increase in the range 25% and 35% including the loss of earnings in the second half year as a result of the planned disposal of indonesian subsidiary PT Petrosea out of Australian subsidiary Clough Li
Slide 41: Disclaimer
DISCLAIMER We may make statements that are not historical facts and relate to analyses and other information based on forecasts of future results and estimates of amounts not yet determinable. These are forwardtooking statements as defined in the U_S_ Private Secunties Litigation Reform Act of 1995.
Slide 42: Thank You
THANK YOU This presentation is available on http /Avww_murrob.com
Murray & Roberts Holdings — H1 FY2009 Earnings Presentation on 6ix