Grupo Tmm Sab Class A · BMV:TMM/A
Grupo Tmm Sab Class A — Q2 2008 Earnings Presentation
22 slides from Grupo Tmm Sab Class A's earnings presentation, Jul 29, 2008
Slide 1: Second-Quarter & First Six-Months 2008 Financial and Operational Review
Second-Quarter & First Six-Months 2008 Financial and Operational Review July 29, 2008
Slide 2: Forward-Looking Statements
Forward-Looking Statements Included in this presentation are certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements speak only as of the date t
Slide 3: On Today's Call...
On Today’s Call... Jose Serrano, Chairman and CEO Fernando Sanchez, President Jacinto Marina, Chief Financial Officer Luis Ocejo, Maritime and Ports Jaime Glenn, Commercial Division, TMM Logistics Jorge Septien, Operations Division, TMM Logistics 3
Slide 4: 2008 Strategic Initiatives
Grupo [TMM 1M 2008 Strategic Initiatives
Slide 5: Successfully Completed Mexican Trust Certificates Program
Successfully Completed Mexican Trust Certificates Program Total proceeds 8.94 billion pesos Program non recourse to Company and rated AA by Fitch First 3 years – Interest rate cap at 11.5% Financing Financing Terms Terms Term Tranche 1 Tranche 2 Tranche 3 Initial Issuance 3B (MXP)/$291.2M (US$
Slide 6: Fleet Expansion Underway
Fleet Expansion Underway Of 15 new vessels, 6 have contracts with Pemex and other clients Start of Count Vessel Type Year Built Delivery date Operations 1 Isla Monserrat Supply 2007 January 25, 2008 May 16, 2008 2 Isla León AHTS 2008 June 11, 2008 August 1, 2008 3 Isla Blanca Mini supply 2008 July
Slide 7: Expanded Maritime Fleet
Expanded Maritime Fleet Overview TMM will manage a fleet of 57 vessels 5 Parcel Tankers International Trade 35 Offshore Vessels Offshore Drilling Support 12 Product Tankers Cabotage Trade 5 Harbor Tugs Manzanillo, Colima 7
Slide 8: Revenue Growth with New Vessels
Revenue Growth with New Vessels New vessels will add more than 27% to the Company’s current consolidated revenues from Q3 2008 to Q4 2009 *CONSOLIDATED REVENUE INCREASE WITH NEW VESSELS 6% 1% 1% 7% 6% 120% 6% 100% 80% 127% 60% 100% 40% 20% 0% Base 2Q 08 3Q 08 4Q 08 1Q 09 2Q 09 3Q 09 4Q 09 RR 4Q 09
Slide 9: Incorporation of New Vessels Will Increase Profitability
Incorporation of New Vessels Will Increase Profitability New vessels will increase Q4 2009 EBITDA run rate to approximately $132.0M (assuming no change in current EBITDA run rate as adjusted for one-time dry dock events in Q2 2008) *INCREMENTAL RUN RATE EBITDA $140 $1.0 $120 Annual $6.5 $90.0 $16.
Slide 10: Focus on Asset Monetization and Corporate Debt Reduction
Focus on Asset Monetization and Corporate Debt Reduction After completing the Mexican Trust Certificates financing Final step to consolidate financial stability: refinancing existing securitization facility Significant amortizations and high interest cost, although: TMM has strong cash reser
Slide 11: Second Quarter & First Six Months 2008 Operating and Financial Results
Second Quarter & First Six Months 2008 Operating and Financial Results
Slide 12: 1H 2008 Maritime Operations
1H 2008 Maritime Operations Revenue up 13.4% to $99.1M compared to $87.4M in 1H 2007 Improved average daily rate in offshore segment 3 additional product tankers in operation Improved freight mix in chemical tankers Increased vessel calls at Manzanillo in tugboats segment Transportation
Slide 13: 1H 2008 Port Operations
1H 2008 Port Operations Revenues and transportation income down Cruise ship and shipping agencies down due to lower volumes Cruise Ship Calls 100 23.8% 80 84 60 40 64 20 0 1H 2007 1H 2008 13
Slide 14: 1H 2008 Logistic Operations
1H 2008 Logistic Operations Revenues up 41.4% to $70.7M compared to $50.0M in 1H 2007 Incremental revenues from new clients at trucking segment Improved fill ratio at warehousing facilities Revenue contribution from auto hauling business, which began in 2008 Transportation loss of $3.1M
Slide 15: Trust Certificates Program
Grupo [TMM 1M Trust Certificates Program
Slide 16: Credit Fundamentals for the Certificates
Credit Fundamentals for the Certificates By reserving cabotage to Mexican ship owners, the Mexican Navigation Law operates as a franchise type protection Investment grade of clients’ credit rating Proven performance of TMM in operation and commercialization of shipping in Mexico, with no recou
Slide 17: Cash Flow to TMM From Trust Certificates Program
Cash Flow to TMM From Trust Certificates Program = Cash flow to TMM Trust to fund • Operating expenses and monthly 5% of Payments from Pemex and/or other clients Go to collected revenues to TMM • Fund reserve accounts • Interest expense • Scheduled and unscheduled principal • payments If trust can m
Slide 18: Non-Restricted Cash Generation
Non-Restricted Cash Generation Approximately $445 million of non-restricted cash will be generated between 2007 and 2023 Plus residual value of vessels, which can represent approximately 20% of the original investment (US$ millions) Non-Restricted Cash Generation $90 $80 $70 $60 $50 $40 $30 $20
Slide 19: Estimated Debt Reduction
Estimated Debt Reduction Each tranche’s outstanding balance is expected to be paid down before their respective 20-year maturity periods (US$ millions) Trust Certificates Program – Estimated Debt Balance $900 20 Year Maturity $800 $700 $600 $500 $400 $300 $200 $100 $0 2008 2009 2010 2011 2012 2013
Slide 20: Total Net Debt
Total Net Debt Estimated As of As of June 30, 2008 * December 31, 2008 * Mexican Trust Certificates (MTC): Non-recourse secured portion 310.5 661.5 Non-recourse unsecured Portion 109.8 141.5 Securitization Facility 121.4 114.0 Other Corporate Debt 81.6 72.3 Total Debt $623.3 $989.3 Less Unsecure por
Slide 21: Exercise of Potential Investment Return
Exercise of Potential Investment Return Assuming incremental run rate EBITDA including new vessels Assuming estimated outstanding net debt for 2010 without the non-recourse unsecured Portion of the MTC For EV multiples-used similar EBITDA multiples of our peers Valuation* *Incremental Run Rate
Slide 22: Second-Quarter & First Six-Months 2008 Financial and Operational Review
Second-Quarter & First Six-Months 2008 Financial and Operational Review July 29, 2008