Murray & Roberts — Investor Presentation (June 2017)
24 slides from Murray & Roberts's investor presentation, Jun 26, 2017
Slide 1: Business Platform Presentations: Group Overview – Henry Laas
BUSINESS PLATFORM PRESENTATIONS Group Overview – Henry Laas 26 June 2017 ENGINEERED EXCELLENCE
Slide 2: Major Moments During the Past Six Years
MAJOR MOMENTS DURING THE PAST SIX YEARS Recovery Year (FY12) Two Growth Years (FY13 & FY14) New Strategic Future (FY15+) Disposal of Sale of Clough becomes Negotiated debt Clough’s 36% Settled GPMOF Resumes Settled Gautrain Infrastructure & a wholly-owned package investment in claim realising divide
Slide 3: Attributable Earnings: A Glance Back in History
ATTRIBUTABLE EARNINGS*: A GLANCE BACK IN HISTORY • Competition Commission • Global Financial Crisis in Settlement in 2013 2008 (impact on ME) • Portfolio optimisation 2013 - • Build-up to the FIFA World 2017 (Materials, Forge, Clough) Cup in 2010 From inception to 2007, • Collapse of oil price Nov 2
Slide 4: A New Strategic Future Unfolding
A NEW STRATEGIC FUTURE UNFOLDING 4 Robust near orders and project pipeline – Diversified business model has resulted in a better quality order 3 Strong balance sheet allows book M&R to navigate through the – Despite the Oil & Gas order commodity down cycle book coming under pressure, – Low leverage
Slide 5: A Multinational Specialist Engineering and Construction Group Focused on the Natural Resources Market Sector
A MULTINATIONAL SPECIALIST ENGINEERING AND CONSTRUCTION GROUP FOCUSED ON THE NATURAL RESOURCES MARKET SECTOR STOP.THINK.ACT.24/7: SAFETY FIRST IN EVERYTHING WE DO BUSINESS PLATFORMS OIL & GAS UNDERGROUND MINING POWER & WATER PURPOSE VISION VALUES Enabling fixed By 2025, to be a Integrity capital inv
Slide 6: Order Book and Near Orders as at 30 April 2017
AS AT 30 APRIL 2017 Rbn Order Book Near Orders Oil & Gas 4,0 0,9 Underground Mining 15,4 6,9 Power & Water 4,2 0,3 Middle East 0,5 - Continuing Operations Totals 24,1 8,1 NEAR ORDER DEFINITION Tenders where the Group is the preferred bidder and final award is subject to financial / commercial close
Slide 7: Platform Outlook and Key Risks
Oil & Gas • Ongoing weakness in the oil and gas market – lack of large project opportunities Underground • Organic growth with turn in the commodity cycle – resource constraints Mining • Commercial close-out with MHPSA on Medupi and Kusile Power & Water • Replacement work post completion of Medupi a
Slide 8: FY2017 EBIT Low Point and Outlook
1. FY2017 EBIT is expected to be at a low point: • Continuing Operations Middle East loss – R445m provided in FY17 (FY17 H1 – R130m) against claims and variations on close-out of last four construction projects and 2011 arbitration award against the Group • Discontinued Operations Voluntary Rebuild
Slide 9: Forward-Looking Statements
1. This presentation includes certain various “forward-looking statements” within the meaning of Section 27A of the US Securities Act 10 1933 and Section 21E of the Securities Exchange Act of 1934 that reflect the current views or expectations of the Board with respect to future events and financial
Slide 10: Business Platform Presentations: Appendix
BUSINESS PLATFORM PRESENTATIONS Group Overview – Henry Laas Appendix ENGINEERED EXCELLENCE
Slide 11: Oil & Gas, Underground Mining, Power & Water
Oil & Gas Underground Mining Power & Water © Murray & Roberts 2017 | 11 ENGINEERED EXCELLENCE
Slide 12: Oil & Gas
OIL & GAS The Oil & Gas platform works with some of the world’s largest energy and resources companies to engineer, construct, commission and maintain a comprehensive range of infrastructure for energy, chemical, mining and mineral projects. The platform operates from offices in Australia, South Afr
Slide 13: Clough, Enercore and e2o businesses
Clough works with some of the world’s largest companies to engineer, construct, commission and maintain a comprehensive range of facilities for oil and gas, metals and minerals, and infrastructure projects. The company’s full project lifecycle delivery model reduces risk and optimises safety, produc
Slide 14: Engineered Excellence
© Murray & Roberts 2017 | 14 ENGINEERED EXCELLENCE
Slide 15: Underground Mining
UNDERGROUND MINING The Underground Mining platform provides specialist engineering, construction and operational services in the underground mining environment to the global mining and metals sector. The platform comprises the following businesses: Murray & Roberts Cementation (Johannesburg); Cement
Slide 16: Cementation Canada & USA, Africa and RUC Mining
Cementation Canada & USA is a leading provider of underground mining contracting and engineering services throughout North and South America. The company specialises in the design and construction of underground facilities including shaft, ramp accesses, mine development and raises, as well as large
Slide 17: Engineered Excellence
© Murray & Roberts 2017 | 17 ENGINEERED EXCELLENCE
Slide 18: Power & Water
POWER & WATER The Power & Water platform, which is focused on engineering, procurement, construction and maintenance services, is playing a major role in building two of the world’s largest coal-fired power stations in South Africa, Eskom’s Medupi and Kusile Projects. The platform comprises three bu
Slide 19: Murray & Roberts Power & Energy and Water
Murray & Roberts Power & Energy is the platform’s engineering, procurement and construction ("EPC") projects implementer, adding unique value to the constructability, integration and ultimate performance of the projects it undertakes. Murray & Roberts Power & Energy offers the full spectrum of multi
Slide 20: Mondi Paper Mill Vale Water Treatment
Mondi Paper Mill Vale Water Treatment © Murray & Roberts 2017 | 20 ENGINEERED EXCELLENCE
Slide 21: International Diversification into Main Geographic Markets
INTERNATIONAL DIVERSIFICATION INTO MAIN GEOGRAPHIC MARKETS • International diversification approach - Permanent presence (offices) in regions with major opportunity in Vancouver Calgary North Bay Glasgow selected natural resources Rouyn-Noranda market segments Salt Lake South Korea - Follow clients
Slide 22: Significant Improvement of Safety Performance
SIGNIFICANT IMPROVEMENT OF SAFETY PERFORMANCE WITH SEVERAL KEY INITIATIVES INTRODUCED AND EMBEDDED Fatalities LTIFR* 14 1.40 1.28 1.14 12 1.20 10 1.00 0.82 0.80 0.78 8 0.80 0.68 0.57 6 0.60 4 0.40 2 0.20 12 4 2 4 4 2 1 0 0.00 2011 2012 2013 2014 2015 2016 3QA 2017 Fatalities L.T.I.F.R. (per 1 millio
Slide 23: Sponsored Level 1 ADR Programme
Murray & Roberts has a sponsored Level 1 ADR programme (Since 2009) Bloomberg ticker: MURZY CUSIP: 626805204 Ratio: 1 ADR: 1 Ordinary Share Exchange Traded: Over-the-counter (OTC) market Depositary bank: Deutsche Bank Trust Company Americas Depositary bank contact: James Eaves ADR broker helpline: +
Slide 24: Business Platform Presentations: Group Overview
BUSINESS PLATFORM PRESENTATIONS Group Overview – Henry Laas This presentation is available on www.murrob.com ENGINEERED EXCELLENCE
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