Irish Continental Group Plc · EURONEXT:IR5B
Irish Continental — FY2016 Earnings Presentation
32 slides from Irish Continental's earnings presentation, Mar 6, 2017
Slide 1: 2016 Results Presentation
2016 Results Presentation 6th March 2017
Slide 2: Full Year 2016 Performance Summary
Full Year 2016 Performance Summary Revenue EBITDA Net Debt Adjusted EPS €325.4 m €83.5 m €37.9 m 31.4 c +1.5% +10.6% -14.4% +7.9% • Revenue for the year grew 1.5% to €325.4 million (2015: €320.6 million). In the Ferries division revenue* decreased by 0.4% to €202.7 million (2015: €203.6 million) whi
Slide 3: ICG Business Units
ICG Business Units Ferries Division Container & Terminal Division Irish Ferries, the leading ferry company operating Eucon, the leading container shipping operator between the UK/Continent and the Republic of between Ireland and the Continent. Dublin Ireland. The division is also engaged in ship Fer
Slide 4: Ferries Division
Ferries Division 2016 Results Presentation (6th March 2017) 4
Slide 5: Ferries Division - Routes
Ferries Division - Routes Weekly Sailings Dublin - Holyhead Ulysses 28 Jonathan Swift 28 Epsilon 18 74 Rosslare - Pembroke Isle of Inishmore 28 Total Ireland - UK 102 Ireland - France Oscar Wilde 7 Epsilon 2 9 Total 111 2016 Results Presentation 6th March 2017 5
Slide 6: Ferries Division
Ferries Division France 400 sailings • Brand: Irish Ferries 8% • 4 Conventional combined Pembroke Car/RoRo ferries 1,400 • 1 fast car carrying ferry sailings • 1 ferry on charter to Kiwi Rail 26% Holyhead (New Zealand) to June 2020 3,500 • 4 container ships on Charter sailings 66% • 1 fast craft on
Slide 7: Ferries Division
Ferries Division Revenue 2016 Costs 2016 (Exclusive of Chartering activities) Charter 4% Other 18% Payroll Cars & 27% Passengers 58% Depreciation Freight 10% 38% Repairs/Insurance Port Costs 5% Fuel 23% 17% 2016 Results Presentation (6th March 2017) 7
Slide 8: Ferries Division - Car Market
Ferries Division - Car Market CAGR (Volumes) 1 Year H2 H1 3 Year 7 Year 15 Years 2016 2016 2016 2013 – 2016 2009 – 2016 1992 - 2007 Irish Ferries +3% +2% +6% +6% +2% +4% Republic of Ireland +1% +1% +1% +2% -1% +2% All Ireland +2% +2% +1% +1% -1% +2% 2016 Results Presentation (6th March 2017) 8
Slide 9: Ferries Division - RoRo Market
Ferries Division - RoRo Market CAGR (Volumes) 1 Year H2 H1 3 Year 7 Year 15 Years 2016 2016 2016 2013 – 2016 2009 – 2016 1992 - 2007 Irish Ferries +5% +4% +6% +12% +6% +12% Republic of Ireland +7% +7% +7% +7% 3% +10% All Ireland +6% +6% +6% +4% 2% +6% 2016 Results Presentation (6th March 2017) 9
Slide 10: Ferries Division - Ship Chartering activities
Ferries Division -Ship Chartering activities • Revenue from ship chartering activities amounted to €15.8 million at 31 December 2016 (including €7.1m inter-segment revenue) and €4.3 million at 31 December 2015 (€0.3 inter-segment revenue). • The ’Kaitaki’ (22,365 GT) delivered in 1995 which has a ca
Slide 11: Ferries Division
Ferries Division 2016 2015 Change €m €m Revenue* 209.8 203.9 +2.9% Operating Costs (139.1) (140.2) -0.8% EBITDA 70.7 63.7 +11.0% Depreciation/Amortisation (18.4) (15.6) +17.9% Operating Profit 52.3 48.1 +8.7% • Passenger, Car & On Board revenue down 4.4% to €117.3 million. • RoRo Freight revenue dow
Slide 12: New Cruise Ferry ordered by ICG from Flensburger for delivery first half 2018
New Cruise Ferry ordered by ICG from Flensburger (FSG) for delivery first half 2018 Cruise Ferry Details Cost €144 million (excl Scrubber) Deck Capacity (Maximum) 165 Trucks or 1,216 Cars Deck Capacity (Mix) 165 Trucks and 300 Cars Passenger/Crew Capacity 1,885 Passenger Cabins 435 Engine output (4
Slide 13: Container & Terminal Division
Container & Terminal Division 2016 Results Presentation (6th March 2017) 13
Slide 14: Container & Terminal Division
Container & Terminal Division • 5 chartered vessels • 3,200 owned and leased containers, 6,200 teu (20ft, 40ft, 45ft, reefers, flats, curtain siders) • Operating between the Ports of Dublin, Cork and Belfast to Rotterdam and Antwerp • Door to Door (54%) Transport plus Quay to Quay (46%) (feeder) • D
Slide 15: Container & Terminal Division
Container & Terminal Division 2016 Results Presentation (6th March 2017) 15
Slide 16: Container & Terminal Division - Terminals
Container & Terminal Division - Terminals 2 strategically located container handling terminals at Dublin (DFT) and Belfast (BCT). • 150 year lease in Dublin from 1972 • Concession from Belfast Harbour • Annual throughput of 165,000 lifts Commissioners (BHC) for 5 years from (2015: 162,000 lifts) Jun
Slide 17: Container & Terminal Division - Container Handling Irl.
Container & Terminal Division - Container Handling Irl. CAGR (Volumes) 1 Year 3 Year 5 Year ICG 16% 18% 9% ICG*Excl. Belfast 2% 5% 2% All Ireland 5% 7% 4% (Estimate) 2016 Results Presentation (6th March 2017) 17
Slide 18: Container & Terminal Division
Container & Terminal Division 2016 2015 Change €m €m Revenue* 123.9 118.2 +4.8% Operating Costs (111.1) (106.4) +4.4% EBITDA 12.8 11.8 +8.5% Depreciation/Amortisation (2.5) (2.7) -7.4% Operating Profit 10.3 9.1 +11.0% • Container volumes up 4.9% at 303,600 teu. • Terminal volumes up 18.9% at 288,100
Slide 19: Group
Group • Results • Fuel Costs • Dividends/Share Buybacks • Current Trading/Outlook 2016 Results Presentation (6th March 2017) 19
Slide 20: Group - Results
Group - Results 2016 2015 Change Revenue €325.4m €320.6m +1.5% Operating Costs (exc. Dep) €241.9m €245.1m -1.3% EBITDA €83.5m €75.5m +10.6% Operating Profit €62.6m €57.2m +9.4% Basic EPS 31.4c 28.9c +8.7% Adjusted EPS 31.4c 29.1c +7.9% Dividend Per Share* 11.78c 11.025c Net Debt €37.9m €44.3m - 14.4
Slide 21: Group - Fuel Costs
Group - Fuel Costs 2016 2015 Change Consumption (000 tons) Heavy Fuel Oil 69.2 69.2 - Marine Diesel 40.9 38.5 +6.2% 110.1 107.7 +2.2% Average Price (€ per ton) Heavy Fuel Oil €233 €288 -19.1% Marine Diesel €371 €468 -20.5% Brent Crude (guide) $45/€40 $54/€48 -14.6% Total Cost (inc. lubs) €32.2m €39.
Slide 22: Group - Cash Flow
Group - Cash Flow 2016 2015 €m €m EBITDA 83.5 75.5 Working Capital Movement 4.7 (1.6) Pension Payments (1.8) (2.7) Other 0.1 0.6 Cash Generated from Operations 86.5 71.8 Interest paid (2.3) (2.8) Tax (2.1) (0.8) Capex *(57.0) (35.0) Free Cash Flow 25.1 33.2 Proceeds from asset sales 1.3 0.1 Dividend
Slide 23: Group - Dividend / Share Buybacks
Group - Dividend / Share Buybacks Cash Returned to Shareholders 2007 - 2016 Year Interim (Cent) Final (Cent) Total (Cent) €m Buyback/ Tender Offer €m 2007 Nil 10.0c 10.0c 24.5 2008 Nil 10.0c 10.0c 24.6 2009 Nil 10.0c 10.0c 25.0 2010 Nil 10.0c 10.0c 25.1 2011 3.3c 6.7c 10.0c 24.9 4.0 2012 3.3c 6.7c 1
Slide 24: Group - Current Trading/Outlook
Group - Current Trading/Outlook General • Irish and UK economies growing. Continued efforts to stimulate Eurozone economy. • Irish GDP growth forecast of 3.2% in 2017, UK GDP of 1.2% in 2017. Eurozone GDP growth forecast of 1.6% in 2017 (source: OECD) • Irish unemployment rate now 6.6%, down from 15
Slide 25: Appendix Fleet
Appendix Fleet 2016 Results Presentation (6th March 2017) 25
Slide 26: Appendix – Fleet
Appendix – Fleet Ulysses Year Built 2001 Cost €106m GT 50,900 tons PAX 1875 Cars 1342 Lane Meters 4.1km Speed 22 knots Route Dublin/Holyhead Isle of Inishmore Year Built 1997 Cost €81m GT 34,000 tons PAX 2200 Cars 855 Lane Meters 2.1km Speed 21.5 knots Route Rosslare/Pembroke 2016 Results Presentati
Slide 27: Appendix – Fleet
Appendix – Fleet Jonathan Swift Year Built 1999 Cost €38m GT 6,000 tons PAX 800 Cars 200 Speed 39 knots Route Dublin/Holyhead Oscar Wilde Year Built 1987 Purchased in 2007 - plus upgrade €51m GT 32,000 tons PAX 1458 Beds 1376 Cars 580 Lane Meters 1.2km Speed 21.5 knots Route Rosslare/France 2016 Res
Slide 28: Appendix – Fleet
Appendix – Fleet Epsilon Year Built 2011 GT 26,375 tons PAX 500 Beds 272 Lane Meters 2.8km Speed 23 knots Route Dublin/Holyhead, Dublin/France Kaitaki Year Built 1995 Cost €62m GT 22,300 tons PAX 1650 Beds 274 Cars 600 Lane Meters 1.7km Speed 19 knots Route Chartered Out 2016 Results Presentation (6
Slide 29: Appendix – Fleet
Appendix – Fleet Westpac Express Year Built 2001 Cost $13.25m GT 8,400 tons PAX 900 Cars 251 Speed 35 knots Route Chartered Out New Build Delivery Early 2018 Cost (excl Scrubber) €144m GT 50,000 tons PAX 1,885 Beds 1,885 Cars (Max) 1,216 Lane Meters (excl Car Deck) 2.8km Speed 22.5 knots 2016 Result
Slide 30: Appendix – Fleet
Appendix – Fleet Ranger IMO 9322542 Built 2005 LOA 140.59 Breadth 21.8 GT 7,852 Dead Weight 9,300 Size TEU 803 TEU @ 14tns 518 Elbfeeder IMO 9388522 Built 2008 LOA 139.60 Breadth 22 GT 8,246 Dead Weight 11,157 Size TEU 974 TEU @ 14tns 580 2016 Results Presentation (6th March 2017) 30
Slide 31: Appendix – Fleet
Appendix – Fleet Elbtrader IMO 9388534 Built 2008 LOA 139.60 Breadth 22 GT 8,246 Dead Weight 11,153 Size TEU 974 TEU @ 14tns 580 Elbcarrier IMO 9388510 Built 2007 LOA 139.60 Breadth 22 GT 8,246 Dead Weight 11,166 Size TEU 974 TEU @ 14tns 580 2016 Results Presentation (6th March 2017) 31
Slide 32: Disclaimer
Disclaimer This presentation may contain certain forward-looking statements. These statements are made by the Directors in good faith based on the information available to them up to the time of their approval of this presentation. These forward-looking statements should be treated with caution due
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