14 slides from Southern Cross Electrical Engineering's conference presentation, May 26, 2008
Slide 1: ASX Release: Investor Presentation
SOUTHERN CROSS ELECTRICAL ENGINEERING LIMITED For personal use only ASX RELEASE 26 May 2008 Manager Company Announcement Office Australian Stock Exchange Level 4, 20 Bridge Street SYDNEY NSW 2000 Investor Presentation Southern Cross Electrical Engineering Limited (ASX:SXE) will be presenting the fol
Slide 2: Southern Cross Electrical Engineering Limited Investor Presentation May 2008
For personal use only Southern Cross Electrical Engineering Limited Investor Presentation May 2008
Slide 3: Who We Are
Who We Are For personal use only • Established 30 years ago, listed in November 2007 • Approximately 460 staff in Australia and overseas • Specialise in electrical, control and instrumentation installation and testing services • Remote locations specialist • Have won many industry awards for quality
Slide 4: Where We Have Worked
Where We Have Worked For personal use only Completed project locations
Slide 5: Our Current Markets
Our Current Markets For personal use only ¾ 170 Gold treatment plants ¾ Port upgrades ¾ Material handling facilities (electrical engineering world ¾ Harbour container cranes ¾ Food processing plants record) ¾ Power generating facilities ¾ Refinery shutdowns ¾ Underground mine and ¾ Overhead lines an
Slide 6: The Participants
The Participants For personal use only SCEE differentiates itself from its competitors by: • having a proven track record with blue-chip customers and suppliers; • deeply experienced and loyal team; • reputation for ethical behaviour; • proven ability to work in remote locations; and Source: Managem
Slide 7: Current Trends
Current Trends For personal use only Net Profit After Tax • Earnings growth has been driven by 14 12 investment in the mining industry 10 • Approximately 80% of SCEE m $ 8 revenue comes from the Pilbara, 6 the balance from overseas 4 2 • Typical electrical component in a 0 mining construction projec
Slide 8: The Metrics
The Metrics For personal use only Measure Note Value Market capitalisation 1 $141.6m Net cash 2 $23.4m Enterprise Value $118.2m • Strong balance Proforma EBITDA 3 $18.5m sheet • Low capital Proforma NPAT 3 $12.2m requirement EV/EBITDA 6.4x • Prospectus PER 9.7x earnings on track Return on shareholde
Slide 9: The Outlook: Upcoming Mining Projects
The Outlook Upcoming Mining Projects For personal use only Project Est. Start Est. Cost Date Hope Downs Stage 2 Jun 08 $401m Worsley Alumina Jun 08 $1,500m Balla Balla Jun 08 $603m Karara Iron Ore Jul 08 $1,700m Balmoral South Aug 08 $2,600m Sino Iron Project Sep 08 $5,200m Southdown Iron Ore Nov 08
Slide 10: FY09 SCEE Outlook
FY09 SCEE Outlook For personal use only FY09 revenue under contract ~ $55m FY09 tenders in Strong FY09 progress > $120m earnings growth Strong pipeline to be tendered
Slide 11: FY09 Challenges
FY09 Challenges For personal use only The Challenge The Impact The Solution Access to quality Creates revenue Overseas operations tradesmen capacity constraints + loyal crew Competition is Potential to impact Large pipeline = increasing margins capacity constraints Tenders awarded at Potential to de
Slide 12: The Future
For personal use only The Future
Slide 13: Oil & Gas
Oil & Gas For personal use only • Previous O & G experience Oil & Gas • Key staff recruited • Accreditation process in progress • Attended Offshore Technology Conference in Houston • Discussions with potential clients commenced • Facilities under construction • Targeting small FY09 contribution
Slide 14: Summary
Summary For personal use only SCEE: • Has 30 years experience in the electrical construction business • Has a strong reputation for safety and quality • Has a proven track record for winning work in Australia and overseas • Has a strong team with long tenure • Has confirmed it is on track to meet pr