Slide 1: Corporate Presentation 2006
CORPORATE PRESENTATION 2006
Slide 2: Contents
Contents Ι Introduction ΙΙ Activity ΙΙΙ Facilities ΙV Strategy V Sector’s Data VI Expansion in the Balkans VII Financial Accounts VΙII Management Team 2
Slide 3: I. Introduction
Ι. Introduction 3
Slide 4: II. Activity
ΙΙ. Activity 4
Slide 5: Sectors of Activity
Sectors of Activity SIDMA activates in the steel market, operating modern Steel Service Centers. The Company has industrial and commercial activities, and at the same time offers services as follows: Consolidated Turnover Breakdown per a) Manufacturing of steel coils and a) Manufacturing of steel co
Slide 6: Product Categories
Product Categories SIDMA operates modern Steel Service Centers in Athens and Thessalonica Consolidated Turnover Breakdown per product category for 2005 The Company’s major products are the following: (€ 000΄) 9 Flat products: hot rolled steel sheets, pickled and oiled steel sheets, cold rolled steel
Slide 7: Customer Base
Customer Base 9 Manufacturers and industries, utilizing More than 2,500 customers steel sheets as raw material for their No customer represents more than 2% of the total annual turnover products in every quality Κατηγορίες Πελατών 9 Traders of steel and related materials 4,2% 0,3% 19,6% 9 Constr
Slide 8: III. Facilities
Facilities z STEEL PRODUCTS
Slide 9: Aspopyrgos
Aspopyrgos • Land – 35,000 square meters • Storage facilities and offices – 13,500 square meters • Machinery equipment – Cut-to-length lines, slitting line & packing line – Shot-blasting machine, saw & flame- cutting line • Production – Production capacity 200 thousand metric tones per annum • Custo
Slide 10: Thessalonica
Thessalonica • Land – 53,000 square meters • Storage facilities and offices – 20,000 square meters • Machinery equipment – Cut-to-length lines, slitting lines – C-and Z- profiling line • Production – Production capacity 180 thousand metric tons per annum • Customers – Merchants – Industries and manu
Slide 11: IV. Strategy
IV. Strategy (PSMA Ss.
Slide 12: Strategy
Strategy Our Strategy is based on the following actions and corporate policies: Minimizing the Cyclical Activity Effect Expansion in the Balkans Low inventory levels Positive prospects Long-term relationships with suppliers Existing clients Experienced senior employees Existing infrastru
Slide 13: Competitive Advantages of SIDMA
Competitive Advantages of SIDMA SIDMA’s leadership is based on the following factors: 9 Experienced and efficient workforce with long-term presence in the steel market. 9 Constant upgrade of machinery equipment, aiming at higher productivity and quality advancement of final products. 9 Special proce
Slide 14: V. Sector's Data
V. Sector’s Data @|SIDMA S.A. 7 STEEL PRODUCTS
Slide 15: Major Characteristic: Cyclical Activity
Major Characteristic : Cyclical Activity The steel sector constitutes a cyclical activity : • The international market presents a relative cyclical activity with periods of especially high prices and demand, and with periods of recession. This volatility in steel prices generates uncertainty in the
Slide 16: Higher Demand in International Level
Higher Demand in International Level Source: Source: 16
Slide 17: VI. Expansion in the Balkans
VI. Expansion in the Balkans 17
Slide 18: Expansion in the Balkans
Expansion in the Balkans Objective: Creation of a network consisting of modern steel trade and service centers. First expansion countries: Bulgaria and Romania. Strategic alliance in these two countries: with Packer Plada, one of the largest steel processing corporations in Israel with turnover high
Slide 19: Expansion in the Balkans
Expansion in the Balkans Business Opportunities: • Satisfactory growth rates (4.5%) • Increased demand for steel products (modernization of infrastructures, shipyards, metallic constructions, white products industry) • Increased capital inflows due to the imminent entry of these countries in the Eur
Slide 20: Romania
Romania • The subsidiary SID-PAC Steel and Construction Products SRL (50%) was established in March 2005 • Business Plan for 5-year period : – Total investment : € 5 million – Sales target : € 15-20 million – Employed personnel : 45-50 persons • Completion of purchase of land in Bucharest (November
Slide 21: Bulgaria
Bulgaria • The subsidiary SID-PAC Bulgaria S.A. (75%) was established in August 2005 • Business Plan for 5-year period : − Total investment : € 5 million – Sales target : € 15-20 million – Employed personnel: 35-40 persons • Completion of purchase of older industrial facilities in Sofia (November 20
Slide 22: Growth Strategy – Investments in Emerging Markets
Growth Strategy – Investments in Emerging Markets BULGARIA Growth Rate : 4.3% 2006 (EIU) Steel consumption / habitant : 125 kilos Establishment of Commencement of Commencement of Strengthening the Strengthening the subsidiary sales from owned activity SSC Company’s trading Company’s trading Purchase
Slide 23: VII. Financial Accounts
VII. Financial Accounts (PSMA Ss. °
Slide 24: Condensed Financial Accounts
Condensed Financial Accounts € εκ. Turnover € εκ. Gross Profit* 200 30 25,7 65 25 150 59 20 17,0 31 44 47 51 14,4 15,1 15 12,8 100 10,3 10 134 124 50 111 95 97 102 5 0 0 1 1 2000 2001 2002 2003 2004 2005 2000 2001 2002 2003 2004 2005 Sidma Consignment * before depreciation charges % Profitability Ra
Slide 25: Progress of the Investment Plan
Progress of the Investment Plan Total Investments of Fixed Assets 2001 – 2005: € 12 million EUR million € εκ. 4.000 3.497 3.500 2.954 3.000 2.710 2.500 2.212 2.000 1.500 1.000 412 500 0 2001 2002 2003 2004 2005 25
Slide 26: VIII. Management Team
VIII. Management Team @|SIDMA SA z STEEL PRODUCTS
Slide 27: Management Team
Management team Daniel Benardout General Manager, age 52. Mr. Benardout holds a Bachelor's and Master's Degree in Civil Engineering from Technion Institute of Technology (Israel) and an MBA from the Athens University of Economics and Business. He joined SIDMA in 1981. Anastasios Kolyvanos Commercial