Slide 1: OCI N.V. Corporate Presentation
OCI N.V. Corporate Presentation May 2014
Slide 2: Overview
Overview Company Overview and History 3 FY 2013 Summary and Q1 2014 Trading Update 7 Fertilizer & Chemicals Group Highlights 12 Engineering & Construction Group Highlights 15 Strategy & Outlook 2014 - 2018 17 Appendix Company Overview 23 Additional Information on 2013 Results and Q1 Trading 28 2013
Slide 3: Company Overview
Company Overview Leading global natural gas-based fertilizer & chemicals producer and engineering & construction company OCI N.V. Re-domiciled from Egypt to The Netherlands through an exchange and tender offer for Egypt-listed OCI S.A.E. Employs approximately 72,000 people worldwide Began tr
Slide 4: Business Segments
Business Segments Produces nitrogen fertilizers, methanol and other natural gas based products, serving agricultural and industrial customers from the Americas to Asia Fertilizer & Production facilities in The Netherlands, USA, Egypt and Algeria Chemicals Top 5 five global nitrogen-based ferti
Slide 5: Company History
Company History Established in the 1950s by Onsi Sawiris as a construction contractor in Egypt. 1950 - Present Construction Developed into a leading industry player with a backlog of US$ 6.3 billion as at 30 June 2013 across the Middle East, Asia, USA and Europe. 1996 - Started the cement grou
Slide 6: 2013: A Transformational Year
2013: A Transformational Year OCI N.V. lists on the NYSE January OCI N.V. begins trading on Euronext Amsterdam on 25 January 2013 Euronext Amsterdam Tax claim EGP 7.1 billion Settled in April 2013 for EGP 7.1 billion (c. $ 1 billion) over ten installments April First instalment of $ 360 millio
Slide 7: FY 2013 Results and Q1 2014 Trading Update
FY 2013 Results and Q1 2014 Trading Update
Slide 8: Consolidated Results Financial Highlights
Consolidated Results Financial Highlights Consolidated Financials $ million 2013 2012 %Δ H2 2013 H2 2012 %Δ Revenue 6,131.8 5,286.5 16.0% 3,049.0 2,659.5 14.6% EBITDA excluding one-off items 812.2 754.7 7.6% 429.3 220.6 94.6% EBITDA margin 13.2% 14.3% 14.1% 8.3% EBITDA 742.3 754.7 -1.6% 375.0 220.6
Slide 9: EBITDA Bridge | Non-Operating Events & One-off Items
Consolidated Results EBITDA Bridge | Non-Operating Events & One-off Items 2012 one-off items include an adjusted goodwill amortization of $ 900.0 million One-off items impact EBITDA negatively by $ 69.9 million in 2013 One-off items impact net income positively by $ 135.8 million in 2013 $ mil
Slide 10: Debt Overview
Debt Overview As at 31 December 2013, OCI N.V. had total gross debt outstanding of $ 6,066.1 million Of which $ 2.9 billion (c. 48% of total) is related to Sorfert and Iowa Fertilizer Company. The two projects did not contribute to EBITDA in 2013 Debt position increased by $ 848.7 million due
Slide 11: Performance by Group
Performance by Group
Slide 12: Fertilizer & Chemicals Group Highlights: Financial Snapshot FY 2013
Fertilizer & Chemicals Group Highlights Financial Snapshot FY 2013 $ million 2013 2012 %Δ H2 2013 H2 2012 %Δ Revenue 2,633.3 2,448.5 7.5% 1,282.1 1,360.8 -5.8% EBITDA excluding one-off items 708.2 849.1 -16.6% 380.7 455.0 -16.3% EBITDA Margin excluding one-off items 26.9% 34.7% 29.7% 33.4% EBITDA 63
Slide 13: Q1 2014 Trading Update – Fertilizer & Chemicals
Q1 2014 Trading Update – Fertilizer & Chemicals The Fertilizer & Chemicals Group benefitted from positive contribution from Sorfert and higher volumes during Q1 2014. Positive developments were partially offset by lower prices year-on-year and a lower contribution from OCI Beaumont as a result o
Slide 14: Q1 2014 Fertilizer and Chemicals Group Volumes
Q1 2014 Fertilizer and Chemicals Group Volumes Product – Sales Volumes (000 metric tons) Q1 2014 Q4 2013 %Δ Q1 2013 %Δ Granular Urea OCI Product Sold 429.5 270.0 59.1% 158.5 171.0% Third Party Traded 25.6 183.1 -86.0% 343.6 -92.5% Total Granular Urea 455.1 453.1 0.4% 502.1 -9.4% Ammonia OCI Product
Slide 15: Engineering & Construction Group Highlights: Financial Snapshot FY 2013
Engineering & Construction Group Highlights Financial Snapshot FY 2013 $ million 2013 2012 %Δ H2 2013 H2 2012 %Δ Revenue 3,498.6 2,838.0 23.3% 1,767.0 1,298.6 36.1% EBITDA 129.5 53.2 143.5% 50.3 -116.0 NM EBITDA Margin 3.7% 1.9% 2.8% -8.9% Backlog 5,893.8 7,043.0 -16.3% 5,893.8 7,043.0 -16.3% New aw
Slide 16: Q1 2014 Trading Update – Engineering & Construction
Q1 2014 Trading Update – Engineering & Construction The Group continues to expand its presence in key markets, focusing on the United States, Egypt, Saudi Arabia and Algeria We expect improving Engineering & Construction Group margins as recently awarded higher margin projects kick in The outl
Slide 17: Engineering & Construction Backlog and New Awards Snapshot
Engineering & Construction Group Highlights Backlog and New Awards Snapshot as at 31 March 2014 Backlog by Geography Backlog by Sector Algeria 5.9% Egypt Commercial 30.6% 16.4% USA 36.7% Infrastructure Asia 51.4% 1.4% Industrial Other GCC 32.3% 2.0% Other Saudi Arabia 0.3% Iraq 19.6% 3.5% Backlog by
Slide 18: Strategy & Outlook | 2014 - 2018
Strategy & Outlook | 2014 - 2018
Slide 19: 2014 Outlook
2014 Outlook Segment 2014 Expectations Ramp-up of Sorfert: ‒ Total sellable capacity: 0.8 mtpa ammonia and 1.26 mtpa urea ‒ Sorfert is expected to produce at capacity from April 2014 onwards as the export license issues have been resolved Egyptian gas supply remains uncertain. We have been advis
Slide 20: Looking Forward | Strategy & Outlook | 2014 - 2018
Looking Forward | Strategy & Outlook | 2014 - 2018 Segment Growth initiatives Total sellable capacity 7.5 mtpa as at end-2013 Ramping up production capacity in the US Addition of c. 4.4 mtpa to total capacity of 11.9 mtpa over next three years: ‒ Sorfert: ramp-up to sellable capacity of 2.1 mt
Slide 21: Fertilizer & Chemicals | Ramping-Up Capacity
Fertilizer & Chemicals | Ramping-Up Capacity Design Capacities¹ Total Ammonia Fertilizer Chemicals for sale Plant Country Gross Net⁶ Urea UAN⁷ CAN Methanol Melamine DEF for sale Egyptian Fertilizers Company² Egypt 800 - 1,550 - - 1,550 - - - 1,550 Egypt Basic Industries Corp. Egypt 730 730 - - - 730
Slide 22: Iowa Fertilizer Company
Fertilizers & Chemicals Organic Growth Initiatives Iowa Fertilizer Company In the heart of the corn belt benefiting from a first mover advantage in the US for greenfield plants – broke ground on 19 Plant November 2012 and scheduled to begin commissioning in Q4 2015 Overview Orascom Engineering &
Slide 23: Appendix
Appendix
Slide 24: OCI N.V.’s Acquisition of Orascom Construction Industries (OCI S.A.E.)
OCI N.V.’s Acquisition of Orascom Construction Industries (OCI S.A.E.) OCI N.V. launched a share exchange offer with a cash alternative for OCI S.A.E.’s outstanding ordinary shares listed on the EGX on 27 June 2013, concluding with OCI N.V. owning 97.4% of OCI S.A.E. ‒ 89.4% of the offer size resp
Slide 25: Ownership Structure Post-Completion of Tender Offer
Ownership Structure Post-Completion of Tender Offer OCI N.V. directly owns all international 99.8% of OCI S.A.E. OCI N.V. 100% directly operations through The Netherlands OCI S.A.E. owns the Egyptian and Algerian construction operations, EFC OCI S.A.E. Chemicals Construction and Sorfert OCI Egyp
Slide 26: Production Facilities
Production Facilities OCI Beaumont – MLP (78.3%1) OCI Nitrogen (100%) Egyptian Fertilizers Company (EFC) (100%) USA-based Netherlands-based Egypt-based Capacity: Capacity: Capacity: − 265 ktpa of ammonia − 1.4 mtpa of CAN − 1.55 mtpa of urea − 730 ktpa of methanol − 350 ktpa of sellable
Slide 27: OCI Fertilizer Global Distribution Presence
OCI Fertilizer Global Distribution Presence A global distribution network with a strong presence in Europe and strategic joint ventures in Brazil and the USA While OCI maintains good relations with major international fertilizer traders, the majority of OCI sales are direct to customers Sales
Slide 28: Engineering & Construction Group
Engineering & Construction Group Consolidated Brand Overview construction backlog of US$ 3.90 billion as at 30 September Core markets: Egypt, Algeria, Abu Dhabi and Saudi Arabia. 2013 2013 ENR Rankings: 141 on International Contractors list; 182 on Global Contractors list. Leading MENA indus
Slide 29: 2013 Benchmark Prices
Fertilizer & Chemicals Group Highlights 2013 Benchmark Prices Granular Urea Middle East FOB ($/ton) Ammonia Arab Gulf FOB ($/ton) CAN Germany CIF FOB ($/ton) 471 365 362 420 423 691 342 403 404 646 311 311 320 591 303 295 354 537 303 313 507 440 439 365 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2013 2012
Slide 30: 2013 Sales Volumes
Fertilizer & Chemicals Group Highlights 2013 Sales Volumes 000 metric tons Q1 2013 Q2 2013 Q3 2013 Q4 2013 2013 2012 % change Urea 502.1 152.8 320.0 453.1 1,428.1 1,357.3 5.2% OCI Production 158.5 116.1 289.3 270.0 834.0 1,187.6 -29.8% Third Party Traded 343.6 36.7 30.7 183.1 594.1 169.7 250.2% Ammo
Slide 31: Consolidated Income Statement
Consolidated Income Statement US$ million 2013 2012 Revenue 6,131.8 5,286.5 Cost of sales -5,270.4 -4,249.9 Gross profit 861.4 1,036.6 Other income 348.6 156.6 General, selling and administrative expenses -466.1 -685.2 Other expenses -97.5 -30.1 Transaction cost -89.3 - Impairment loss on goodwill -
Slide 32: Consolidated Balance Sheet
Consolidated Balance Sheet US$ million 31 December 2013 31 December 2012 ASSETS Non-current assets Goodwill and other intangible assets 986.0 996.2 Property, plant and equipment 4,918.4 4,446.6 Trade and other receivables 198.7 232.1 Associates 188.2 144.9 Other investments 51.9 54.9 Deferred tax as
Slide 33: Consolidated Balance Sheet
Consolidated Balance Sheet US$ million 31 December 2013 31 December 2012 EQUITY Share capital 272.1 191.6 Share premium 1,441.8 725.7 Reserves 109.6 -14.4 Retained earnings -102.2 378.8 Equity attributable to owners of the Company 1,721.3 1,281.7 Non-controlling interest 366.3 418.9 Total equity 2,0
Slide 34: Cash Flow Statement
Cash Flow Statement US$ million 2013 2012 Net income 259.2 -1,859.2 Depreciation and amortisation 327.0 276.8 Impairment of goodwill 0.0 900.0 Income tax expense 86.0 1,243.3 Other adjustments to net income -1,015.5 -172.8 Net financing costs 6.8 32.7 Decrease (increase) in working capital needs -37
Slide 35: Disclaimer
Disclaimer NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART, IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION. THIS DOCUMENT IS NOT AN EXTENSION INTO THE UNITED STATES OF THE OFFER MENTIONED BELOW AND IS NOT AN OF
Slide 36: For OCI N.V. investor relations enquiries contact
For OCI N.V. investor relations enquiries contact: Hans Zayed hans.zayed@oci.nl T +31 (0) 6 18 25 13 67 Erika Wakid erika.wakid@oci.nl T +44 (0) 20 7297 8841 OCI N.V. corporate website: www.ocinv.nl