Dalrymple Bay Infrastructure Ltd. · ASX:DBI
Dalrymple Bay Infrastructure — H1 2024 Earnings Presentation
32 slides from Dalrymple Bay Infrastructure's earnings presentation, Aug 26, 2024
Slide 1: 2024 Half Year Financial Results – Investor Presentation
ASX Announcement 26 August 2024 2024 Half Year Financial Results – Investor Presentation Dalrymple Bay Infrastructure Limited (ASX:DBI) (“DBI” or “the Company”) releases today the attached Investor Presentation of its 2024 Half Year Financial Results for the period ended 30 June 2024. -ENDS- Authori
Slide 2: Investor Presentation 2024 Half Year Financial Results
Investor Presentation 2024 Half Year Financial Results
Slide 3: Today’s presenters and agenda
Today’s presenters and agenda 01 H1-24 Financial and Operational Highlights 02 Stable and Predictable Cashflow Format photo 03 Financial Performance Michael Riches Chief Executive Officer Stephanie Commons Chief Financial Officer 04 Growth and DBI Competitive Advantages 05 Strategic Priorities 06 Ap
Slide 4: Dalrymple Bay Infrastructure (DBI)
Dalrymple Bay Infrastructure (DBI) DBI through its foundation asset, the Dalrymple Bay Terminal (DBT), aims to provide safe and efficient port infrastructure and services for producers and consumers of high quality Australian metallurgical coal exports. Through further organic investment in DBT and
Slide 5: H1-24 Financial and Operational Highlights
H1-24 Financial and Operational Highlights 4
Slide 6: H1-24 financial overview
H1-24 financial overview EBITDA FFO TIC Rate Growth Distributions $136.5m $73.9m $3.59/t ~$395m 10.75cps +8.6% vs HY1-23 +4.2% vs HY1-23 +4.2% in TY-24/25 vs of capital projects +7% vs HY1-23 TY-23/241 underway2 1. TIC Year (TY) runs from 1 July to 30 June. i.e., TY-24/25 is 1 July 2024 to 30 June 2
Slide 7: H1-24 operational highlights
H1-24 operational highlights Zero Serious Safety Incidents1 29.9mt of coal exports (29.8mt in H1-23) 71% of exports were to Japan, South Korea, India, China and Taiwan (68% in H1-23) +30% uplift in coal export to India vs H1-23 81% of revenue from predominantly met coal mines (82% in H1-23)2 1. Seri
Slide 8: Stable and predictable cashflows
Stable and predictable cashflows 7
Slide 9: TY-24/25 Terminal Infrastructure Charge (TIC) up 4.2% YoY
TY-24/25 Terminal Infrastructure Charge (TIC) up 4.2% YoY Inflation linked nature of the TIC provides robust pricing upside DBI’s TIC has 3 components1 1. Base TIC Indexed annually in line with the Australia all groups Consumer Price Index (CPI). The CPI applied for TY-24/25 was 3.6%. 2. NECAP Charg
Slide 10: Stable and growing revenue profile
Stable and growing revenue profile TIC revenue is not impacted by: Resulting in: • Throughput or coal price – 100% take-or-pay contracts • Predictability of cashflows • Force Majeure – no payment relief for customers for a FM event1 • EBITDA growth expected to outpace inflation with inflation-linked
Slide 11: Growth in revenue leads to growth in distributions
Growth in revenue leads to growth in distributions Q2-24 Distribution DBI Quarterly Distributions – by Period Earned1 (cps) • Q2-24 Distribution of 5.375 cps, in line with previous guidance • The distribution will be a combination of a fully franked dividend and part principal repayment of the stapl
Slide 12: Financial Performance
Financial Performance 11.
Slide 13: Profit and Loss
Profit and Loss For H1-24 DBI reported net profit after tax of $36.8m, up 8.2% on H1-23 1 TIC Revenue Prof it & Loss, A$ million N ote H 1-24 H 1-23 The Terminal Infrastructure Charge (TIC) applicable during H1-24 was $3.44 per tonne compared to the TIC during H1-23 of $3.18 per tonne. The TIC appli
Slide 14: Cashflow statement
Cashflow statement Funds From Operations for H1-24 is $73.9m, up 4.2% on H1-23 1 Net Finance Costs Cashfl o w, A $ mi l l i o n No t e H 1-24 H 1-23 Net Finance Costs includes interest on external borrowings and borrowing costs, net of interest income. The increase in interest on external borrowings
Slide 15: Balance sheet
Balance sheet DBI maintained an investment grade balance sheet with funding secured for substantial NECAP growth pipeline Balance Sheet A$ million Note 30-Jun-24 31-Dec-23 1 Cash Cash 1 147.3 71.1 $50m of term deposits have been reclassified from Financial assets to Cash during the half year to 30 J
Slide 16: Investment grade balance sheet
Investment grade balance sheet Investment grade credit profile with a weighted average tenor of 7.2 years1 Funding Source • ~A$2.67 billion2 of total limits of which ~$2.16 billion2 was drawn at 30 June (By Facility Limit, %) 2024 • All USD debt swapped back to AUD – 100% foreign exchange hedge • In
Slide 17: Growth
Growth 16
Slide 18: Growth through DBI’s core competitive advantages
Growth through DBI’s core competitive advantages Our competitive advantages, along with the long-term resilience of DBT, provide the opportunity to develop a portfolio of assets via organic and external growth opportunities 1 2 3 4 5 Regulatory Capital deployment Operational Funding Key expertise ca
Slide 19: Organic growth − Non-Expansion Capital Expenditure (NECAP)
Organic growth − Non-Expansion Capital Expenditure (NECAP) NECAP spend in the decade to 2031 forecast to be over $500m • ~ $395m1 of NECAP projects currently NECAP Summary Status Report2 underway which will be funded by existing debt facilities and internal cash flow • Proposed NECAP spend includes
Slide 20: Growth Capital Project: Shiploader SL1 Replacement
Growth Capital Project: Shiploader SL1 Replacement Project Description: • SL1 is 41 years old and due to operational requirements is being replaced with a new Shiploader SL1A • The project is being undertaken using a Design-Bid-Build execution model • Project commenced in April 2023, with commission
Slide 21: Organic growth opportunity – 8X Project
Organic growth opportunity – 8X Project 8x Expansion Commercials • Incremental optimisation project within the existing • 8X is expected to involve a cost per tonne of capacity that is more than previous expansions. DBI will therefore terminal footprint likely require, subject to the structure of fi
Slide 22: New energy options
New energy options The Port of Hay Point is one of only five priority ports in Queensland A funding agreement to complete feasibility studies agreed between DBI and three other consortium partners was signed on 23 February 2022.1 Dalrymple Bay is ideally positioned for the export of new energy produ
Slide 23: DBI’s external growth opportunities
DBI’s external growth opportunities DBI’s competitive advantages together with defined growth filters frame the external growth opportunities that may be assessed to drive shareholder value beyond DBT DBI’s Growth Filters High barriers Outsourced Potential for capital Focused primarily on Provide op
Slide 24: Strategic Priorities
Strategic Priorities 23
Slide 25: Strategic priorities over the next 12 months
Strategic priorities over the next 12 months DBI’s strategic priorities are focussed on delivering total shareholder returns Delivering organic revenue growth through the implementation of approved 1 NECAP Projects Progressing opportunities to capture long-term Bowen Basin metallurgical coal 2 produ
Slide 26: Appendices
Appendices 25
Slide 27: Social and governance highlights
Social and governance highlights Safety, Health & Wellbeing Employee Diversity and Inclusion Community and Partnerships A review of the DBI Safety Culture Strategy DBI established a People and Culture Committee DBI’s Community Investment, Partnership and identified opportunities for improved safety
Slide 28: Pathways to decarbonisation
Pathways to decarbonisation Emission scope Emissions1 Short term Medium Term Long Term Scope 1: 54 (tCO2-e/YEAR) Commence transition to hybrid, plug in Remainder of vehicles to be at Transition fleet to electric DBI site vehicles hybrid or fully electric for some site least hybrid or plug in hybrid,
Slide 29: Reconciliation of statutory borrowings to drawn debt
Reconciliation of statutory borrowings to drawn debt Borrowings A$ million Note 3 0 -Jun-2 4 3 1 -D ec-2 3 1 Fair value adjustments booked on acquisition of DBT Group entities On acquisition of the DBT Entities, a fair value adjustment of $48.4m was recognised. This adjustment is being amortised ove
Slide 30: Debt maturities at 30 June 2024
Debt maturities at 30 June 2024 Reconciliation of drawn debt to statutory borrowings 1. Borrowings denominated in foreign currency are converted at the hedge rate applicable at the time cross currency swaps are put in place. Refer to table below for reconciliation of drawn debt to debt disclosed in
Slide 31: Glossary
Glossary $ Australian Dollar unless otherwise stated FFO Funds From Operations means EBITDA less net interest expense and less any cash /t Per metric tonne tax payable. 8X Project Expansion program to bring terminal capacity to 99.1Mtpa Group DBI and its wholly owned or controlled entities AU Access
Slide 32: Disclaimer and important notices
Disclaimer and important notices This presentation has been prepared by Dalrymple Bay Infrastructure Limited ACN 643 302 032 (DBI or the Company). Financial data Summary Information All figures in the presentation are Australian dollars ($ or A$) unless stated otherwise. This presentation contains s
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