Apa Group · ASX:APA
Apa — FY2005 Earnings Presentation
17 slides from Apa's earnings presentation, 2005
Slide 1: Chairman's Presentation
Chairman’s Presentation George Bennett
Slide 2: Agenda
Agenda Highlights Financials Regulation Half Year Financial Strategy and OutlookResults 6 Months Ended June 2005 2
Slide 3: Highlights
Highlights Fifth consecutive increase in operating profit after tax and before significant items Increased utilisation of APA pipeline assets Continued management of regulation Active capital management Half Year Financial Results 6 Months Ended June 2005 3
Slide 4: Highlights: Acquisitions
Highlights Acquisitions of :- Primary remaining interest in Goldfields Gas Transmission Pipeline Dampier Parmelia Gas Pipeline and gas business Newman GOLDFIELDS GAS TRANSMISSION PIPELINE Half Year Financial Results Mt Magnet 6 Months Ended June 2005 Windimurra Kalgoorlie PARMELIA PIPELINE APA Pipel
Slide 5: Highlights: Carpentaria Gas Pipeline interest
Highlights Remaining 30% interest in Carpentaria Gas Pipeline Half Year Financial Results 6 Months Ended June 2005 5
Slide 6: FY2005 Financial Highlights
FY2005 Financial Highlights Continuation of Growth Trend Year Ended 30 2005 2004 Change June $m $m % Revenue* 375.8 278.1 35.1 EBITDA* 178.9 133.9 33.6 EBIT 142.1 111.4 27.6 NPAT* – 51.0 45.0 13.4 recurring Half Year Financial Significant items (after tax) Results 18.7 76.3 (75.5) 6 Months Ended Jun
Slide 7: Distributions
Distributions First Increase in Annual Distribution Since 2002 24 • FY2005 final distribution 22 of 6.0c declared 30 August 2005 20 6.0 4.5 6.4 18 8.5 Capital • Final distribution franked 16 Profit at 40% 22.5 14 17.0 Half Year Financial Results 12 12.5 15.5 15.1 6 Months Ended June 2005 10 Actual 0
Slide 8: Capital Management
Capital Management Equity – private placement 24.5 million units ($61.7m) – DRP 4.0 million units ($11.5m) DRP – suspended after 1st interim distribution – remains suspended until further need for capital arises Debt Half Year Financial Results – syndicated borrowings refinanced in first half 6 Mont
Slide 9: Significant Items
Significant Items FY2005 Pre- Tax After tax $m tax $m $m Stress corrosion (23.5) 7.1 (16.4) cracking provision APA Group tax - 33.7 33.7 consolidation benefit Due diligence costs 2.0 (0.6) 1.4 refunded HalfTotal Year FY2005 Financial significant items – Results (21.5) 40.2 18.7 6 Months Ended June 2
Slide 10: Regulatory Matters
Regulatory Matters Moomba to Sydney Pipeline Australian Competition Tribunal affirms APA position - ACCC has appealed to Federal Court - APA expects Court will maintain the essence of Tribunal’s decision Goldfields Gas Transmission Pipeline HalfAccess Year Financial arrangement finalised Results - A
Slide 11: Strategic Direction
Strategic Direction Core Strategy remains Expanding utilisation of existing pipelines Greenfields projects in Australia Acquiring pipeline assets Diversification of Assets Complementary Assets Half Year Financial Results 6 Months Ended June 2005 Kogan North Parmelia Pipeline 11
Slide 12: Portfolio Diversification
Portfolio Diversification MSP Reliance Reduced MSP - Moomba to Sydney RBP - Roma to Brisbane APA Revenues 12 Months to 30 June 2004 APA Revenues 12 Months to 30 June 2005 CGP - Carpentaria Gas AGT - Amadeus Gas Trust MWP (WA) GGT - Goldfields Gas MWP (WA) 0.5% 0.5% Transmission MWP - Mid West GGT (W
Slide 13: Strategic Direction
Strategic Direction Core Strategy remains Expanding utilisation of existing pipelines Greenfields projects in Australia Acquiring pipeline assets Diversification of Assets Complementary Assets Half Year Financial Results 6 Months Ended June 2005 Kogan North Parmelia Pipeline 13
Slide 14: Gas Issues: Gas Supplies to south-eastern Australia
Gas Issues Gas Supplies to south-eastern Australia Kutubu Gobe PAPUA - Kopi NEW GUINEA Northern gas to south-eastern Australia most likely solution Torres Strait Port Moresby Bamaga Cape PNG firming and APA is positioned to Gove York AGL/Petronas PNG - Qld Gas Pipeline Upstream PNG Gas Pipeline Weip
Slide 15: Gas Issues: Natural Gas
Gas Issues Natural Gas Important in the energy mix of Australia Fuel of transition to reduce environmental effects of greenhouse gases Needs a representative body to champion its benefits Half Year Financial Results 6 Months Ended June 2005 RBP Gatton Compressor Station 15
Slide 16: Objective
Objective Sensible and profitable investment in existing and new pipeline infrastructure and complementary businesses Half Year Financial Results 6 Months Ended June 2005 16
Slide 17: Outlook
Outlook GTD revenue continues although reduced - third party revenues are increasing SCC plan will ensure that MSP meets safety, legislative and contractual obligations Queensland and Western Australian business opportunities will continue Year to date performance is on track, and APA expects to, at