Titan S.a. · EURONEXT:TITC
Titan — Titan Cement Company — 9M 2018 Earnings Presentation
19 slides from Titan's earnings presentation, Nov 8, 2018
Slide 1: Financial Results – 9 Months 2018
Financial Results – 9 Months 2018 Investors’ and Analysts’ Presentation Athens, 8 November 2018
Slide 2: 2018 9M Highlights
2018 9M Highlights Titan recorded improved Group performance in Q3 2018 with Turnover rising by 5% (vs Q3 2017) to €389m and EBITDA reaching €75m (up 3.2% vs Q3 2017). Group Turnover in 9M 2018 at €1,102m (-3.7% vs 9M 2017, +1.2% excluding €56m H1 2018 FX translation impact) and EBITDA at €197m
Slide 3: Improved Q3 Financial Performance Followed Soft H1 2018
Improved Q3 Financial Performance Followed Soft H1 2018 Group Turnover Group EBITDA Group NPAT 9 Months €-56.2m translation impact; +1.2% excl. fx impact €-9.6m translation impact; 3.8% drop excl. fx impact 3rd Quarter €+1m translation impact €+0.6m translation impact Investors' and Analysts' Presen
Slide 4: Stable Volumes in Q3. Strong Markets in USA, Central/West SEE and Stable Greece
Stable Volumes in Q3. Strong Markets in USA, Central/West SEE and Stable Greece. 3rd Quarter Sales Volume 9 Months Sales Volume -4%(3) 14.3 13.7 2017A 2017A 2018A 2018A -2%(3) +7%(3) -4%(3) 4.9 4.9 11.8 12.6 +7%(3) -2%(3) 4.16 3.98 3.8 4.1 1.38 1.35 Cement (1), (2) Aggregates (2) Ready-mix (2) Cemen
Slide 5: Higher Q3 Profitability. NPAT 9M 2018 Higher Due to FX Gains and Lower Effective Tax Rate
Higher Q3 Profitability. NPAT 9M 2018 Higher Due to FX Gains and Lower Effective Tax Rate In Million Euros, unless otherwise stated 9M 2018 9M 2017 Variance Q3 2018 Q3 2017 Variance Net Sales 1,101.9 1,144.5 -3.7% 389.4 370.7 5.0% Cost of Goods Sold -800.8 -812.4 -1.4% -280.6 -257.7 8.9% Gross Margi
Slide 6: Lower EBITDA Offset by Lower Seasonal WC Needs and Less CAPEX Leading to Higher OFCF
Lower EBITDA Offset by Lower Seasonal WC Needs and Less CAPEX Leading to Higher OFCF (€62m) Sources and Uses of Cash 9M Operating Free Cash Flow (€ in millions) 200 197 (1) (77) €62m 150 (57) 100 (18) 50 (105) (61) 0 -50 -100 EBITDA 9M Non-Cash CapEx Operating Acquisitions Interest, FX Impact Increa
Slide 7: Seasonal Increase in Net Debt Levels
Seasonal Increase in Net Debt Levels Group Net Debt Evolution (€ in millions) Net debt 1,200 1112 1,100 986988 1,000 930947 874 900 831 800 739739 732 754 758 738751784 787 707 713 716 723 674 660 650 661 700 632 630 621605 602 596 578 600 562 552563 541 541 529 509 490 500 400 Q2 Q4 Q2 Q4 Q2 Q4 Q2
Slide 8: Titan Group Balance Sheet
Titan Group Balance Sheet Variance In Million Euros, unless otherwise stated 30 Sep' 18 30 Sep' 17 31 Dec' 17 30 Sep '18 vs 30 Sep '17 Property, plant & equipment and inv. Property 1,490.2 1,493.0 1,478.2 -2.8 Intangible assets and goodwill 359.8 344.2 346.0 15.6 Investments/Other non-current assets
Slide 9: Voluntary Tender Offer by Titan Cement International for all Titan Shares
Voluntary Tender Offer by Titan Cement International for all Titan Shares Type of offer: Voluntary Tender offer Titan Cement International Titan Cement International has announced an offer to Titan Cement International was founded by members of the acquire all of the ordinary shares and preferen
Slide 10: Market Overviews
Market Overviews 10 Investors' and Analysts' Presentation 9 Months 2018
Slide 11: US Records Growth in Q3 Overcoming H1 Problems. Promising Outlook for 2018
US Records Growth in Q3 Overcoming H1 Problems. Promising Outlook for 2018. USA 3rd Quarter USA 9 Months € in m illions € in millions -7.9% € in m illions -4.2% € in m illions 6.6% 2.8% 667.2 -27.9 138.8 -10.9 639.3 127.9 240 211.1 13.9 225.0 60 600 120 46.4 1.3 47.7 180 45 450 90 120 30 300 60 60 1
Slide 12: In Greece Cement Market Remained Flat. Exports Absorbed Excess Capacity
In Greece Cement Market Remained Flat. Exports Absorbed Excess Capacity. Greece/WE 3rd Quarter Greece/WE 9 Months € in millions € in millions -18.8% € in m illions -8.7% € in m illions -47.7% -3.1% 240 60 600 120 180 45 450 90 120 30 300 60 189.9 -16.5 173.4 60.7 -1.9 58.9 -9.7 60 15 150 30 20.4 6.7
Slide 13: SEE Sales Growth in Q3, Leading to Improved Overall Performance in 2018
SEE Sales Growth in Q3, Leading to Improved Overall Performance in 2018 SEE 3rd Quarter SEE 9 Months € in m illions € in m illions -0.4% 10.4% € in m illions 1.1% € in m illions 240 120 0.6% 60 600 180 45 450 90 120 30 300 60 20.6 -0.1 44.2 0.3 44.5 6.8 72.1 20.5 173.2 2.0 175.2 65.3 60 15 150 30 0
Slide 14: In Egypt Price Improvement Offset by Rise in Energy Costs and Clay Tax
In Egypt Price Improvement Offset by Rise in Energy Costs and Clay Tax EMED 3rd Quarter EMED 9 Months - € in m illions € in m illions -0.2% € in m illions € in m illions -0.4% 183.8 25.4% 240 50 % 600 120 180 35 450 90 120 20 300 60 2.4 1.1 114.3 -0.3 114.0 60 33.6 -0.1 33.5 5 -1.3 150 30 2.8 13.9 1
Slide 15: 9M 2018 – Joint Ventures' Performance
9M 2018 – Joint Ventures’ Performance In Brazil, regional market conditions improved with Apodi recording stronger Q3 performance. Apodi profitability rose (EBITDA €8.8m), supported by volume and price growth. In Turkey serious deterioration of macro environment affected Adocim performance as
Slide 16: Outlook
Outlook 16 Investors' and Analysts' Presentation 9 Months 2018
Slide 17: Outlook 2018
Outlook 2018 • Bottom-up analysis strongly supports continued growth prospects. USA • Focus on delivering on both growth and profitability. • Slowly improving outlook for domestic demand. Greece • Focus on cost competitiveness and optimization of exports profitability. • Overall, positive demand out
Slide 18: Disclaimer
Disclaimer This presentation has been prepared by Titan for informational purposes only. Although the information contained in this presentation has been obtained from sources which Titan believes to be reliable, it has not been independently verified and no representation or warranty, express or im
Slide 19: Thank you
Thank you 19 Investors' and Analysts' Presentation 9 Months 2018