Aperam S.a. · EURONEXT:APAM
Aperam — Q2 2016 Earnings Presentation
16 slides from Aperam's earnings presentation, Jul 27, 2016
Slide 1: Second quarter 2016
Second quarter 2016 July 27, 2016 © Aperam 1
Slide 2: Disclaimer
Disclaimer Forward-Looking Statements This document may contain forward-looking information and statements about Aperam and its subsidiaries. These statements include financial projections and estimates and their underlying assumptions, statements regarding plans, objectives and expectations with re
Slide 3: Introduction & overview
Introduction & overview Highlights: • Health and Safety frequency rate of 2.1x in Q2 2016 compared to 1.1x in Q1 2016 • Shipments of 520 thousand tonnes in Q2 2016, compared to 483 thousands tonnes in Q1 2016 • EBITDA of USD 123 million in Q2 2016, compared to USD 112 million in Q1 2016 • Net income
Slide 4: Health & Safety Performance
Health & Safety Performance Lost Time Injury Frequency rate* 4.0 3.0 2.0 1.0 0 Profit improvement in Q1 due to market Health andfrequency & Safety internal initiatives butin rate of 2.1x Q2Q2 expected 2016 to be more challenging * WorldSteel-standard: Fr = lost time Injuries per 1.000.000 worked hou
Slide 5: Environment and markets
Second quarter 2016 Environment and markets 5
Slide 6: Environment and markets: Stainless steel prices
Environment and markets Stainless steel prices Nickel - LME Cash (USD/t) Chinese versus European CR 304 2B 2mm coil transaction price (USD/t) 35 000 5000 30 000 4500 25 000 4000 3500 20 000 3000 15 000 2500 10 000 2000 5 000 1500 Chinese prices European prices Stainless steel selling prices have sta
Slide 7: Performance and prospects
Second quarter 2016 Performance and prospects 7
Slide 8: Financial results: Solid evolution of profitability
Financial results Solid evolution of profitability Quarterly Ebitda evolution (mUSD) Quarterly Net income evolution (mUSD) 12,3% 85 0,9 10,6% 11,0% 75 0,85 0,8 10,4% 9,7% 9,7% 65 0,68 0,7 0,63 55 0,6 0,54 45 0,42 0,5 0,40 155 35 66 0,4 133 53 123 25 49 0,3 108 105 112 42 15 31 33 0,2 5 0,1 -5 0 Q1 2
Slide 9: Second quarter operating performance
Performance and prospects Second quarter operating performance Shipments (‘000t) Q2 2016 EBITDA per division (USD million) [1] 520 486 483 101 476 90 455 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 EBITDA (USD million) 155 27 123 19 108 105 112 6 7 Q1 2016 Q2 2016 Q1 2016 Q2 2016 Q1 2016 Q2 2016 Q2 2015
Slide 10: Leadership Journey
Performance and prospects Leadership Journey® Cumulated gains (USD million) Asset upgrade program launched on best performing assets Status • Productivity improvement of the downstream 600 facilities in Genk (CAP2), Gueugnon (CAP10) Tranche 1 and Timoteo (Sendzimir Mill #1). USD52m of Capex 550 •
Slide 11: Financial results
Second quarter 2016 Financial results 11
Slide 12: Second quarter P&L highlights
Financial results Second quarter P&L highlights EBITDA to net income (USD million) (43) 3 (13) 123 (17) 80 70 53 EBITDA Depreciation Operating Net interest & Forex Pre-tax Tax & Net income & amortisation income financing & derivatives income non -controlling costs gains interests Profit improvement
Slide 13: Second quarter cash flow highlights
Financial results Second quarter cash flow highlights Free cash flow (USD million) 18 (29) (25) 123 112 87 EBITDA Working capital Net financial Cash-flow Capex and other Free cash-flow before charges, taxes from investing activities dividend & others operations Profit improvement in Q1 due Record se
Slide 14: Second quarter balance sheet highlights
Financial results Second quarter balance sheet highlights Assets & liabilities (USD million) Equity & net debt (USD million) [1] 19% 19% 14% 14% 11% 591 905 2449 2225 2411 2466 2 780 2222 2 466 454 419 316 338 280 Assets Liabilities 30/06/2015 30/09/2015 31/12/2015 31/03/2016 30/06/2016 Non-current
Slide 15: Balance sheet and financial ratios
Financial results Balance sheet and financial ratios Quarterly net debt evolution Net debt to EBITDA (LTM) (USD million) 1 200 4,0 3,76 1 100 3,5 1 000 900 3,0 2,60 800 2,5 2,36 2,20 700 2,0 600 1,5 500 0,98 400 1,0 0,63 0,63 300 0,5 200 0,0 2010 2011 2012 2013 2014 2015 H1 2016 Profit improvement i
Slide 16: Q&A
Q&A City hall of Illkirch Graffenstaden, France Atelier Fillipini / © Fillipini