Fletcher Building Limited · NZX:FBU
Fletcher Building — Investor Presentation (May 2013)
13 slides from Fletcher Building's investor presentation, May 21, 2013
Slide 1: Fletcher Analysts Briefing: Pipelines Division Overview
Page 1 For personal use only Fletcher Analysts Briefing Pipelines Division Overview 21 May 2013
Slide 2: Business: Plastic Pipe & Fittings Systems
Page 2 Business: Plastic Pipe & Fittings Systems For personal use only Plastic pipe and fittings systems for distribution of Water, Gas & Conduits for Telecommunications & Electrical
Slide 3: Locations: Australia and New Zealand
Page 3 Locations: Australia and New Zealand For personal use only Darwin Innisfail Townsville Northern Territory Black Coal Basin (CSG) Western Queensland Palmerston Australia North Toowoomba Brisbane South New Zealand Australia New South Perth Wales Sydney Christchurch Adelaide Albury Victoria Melb
Slide 4: Factory Layouts
Page 4 Factory Layouts For personal use only PE Plant – Welshpool WA Palmerston North, NZ Plant PVC Pipe Plant – Reservoir VIC Adelaide PVC Fittings Plant
Slide 5: Product Overview
Page 5 Product Overview For personal use only PVC Pipe and Fittings • Higher pressure ratings – diameters up to 600mm • Joined using rubber-ring sealed fittings • Lower cost raw material than PE PE Pipe and Fittings • Lower pressure ratings - diameters up to 2,000mm • Joined by a butt-weld process o
Slide 6: Distribution Capability
Page 6 Distribution Capability For personal use only • National coverage • 110 local fleet & 40 semi trailers loaded per day. • We ship pipe from 1m to 25m length (18mm to 2metre diameter), coils, metals, fittings • RF technology for pick-pack • Truck route planning tools used at major sites • Order
Slide 7: Markets Trends - Australia
Page 7 Markets Trends - Australia For personal use only Base market conditions in Australia are trending toward levels lower than FY10 – Mining drop the most pronounced Pipelines Australia A$M 600 • Base market conditions weak – trending down 550 over the three year period 500 450 400 CSG • Our Plum
Slide 8: Markets Trends - New Zealand
Page 8 Markets Trends - New Zealand For personal use only Strong economic conditions in NZ and the Christchurch rebuild activity are both driving solid sales growth Pipelines New Zealand NZ$M 90 • Rural sector strengthening - partly off some 80 market growth and also due to Iplex business 70 initiat
Slide 9: Key Stories Emerging from Business Results
Page 9 Key Stories Emerging from Business Results For personal use only • A subdued Australian economy is impacting our base market sectors: – Spare Industry capacity and annual cost escalations requires the forming of several business ‘reset’ initiatives in order to drive profit growth in flat mark
Slide 10: The CSG Demand Story
Page 10 The CSG Demand Story For personal use only The emerging CSG market is generating immediate demand in QLD with NSW evolving Townsville QUEENSLAND 1 Bowen Basin (Coal) 2 Roma Miles 1 1 Surat Basin (CSG) Dalby 2 Brisbane 2 1 Brisbane Toowoomba 2 Toowoomba NEW SOUTH WALES CSG Developer Toowoomba
Slide 11: The CSG Process
Page 11 The CSG Process For personal use only Gas Extraction Process • Gas extracted by drilling into coal seams • Well depth generally 400-700m meters • Both gas and water is released Gas Well Head • New well head in field at Santos • Up to 500-1,000 in typical gas field • Well life up to 5-10 year
Slide 12: Iplex Expansion for CSG
Page 12 Iplex Expansion for CSG For personal use only • Produced 30,000T in FY12 and Forecast 35,000 in FY13 • Initial production at Albury - now moved to new Toowoomba plant First Loads ex-Toowoomba • Toowoomba plant built on time & on budget (A$12M + site lease) • Installed new technologies improv
Slide 13: Strategy & Initiatives
Page 13 Strategy & Initiatives For personal use only Vision Number 1 supplier in all our major markets through a lowest delivered cost position and targeted customer value creation Manufacturing Merchant Capability Sector Performance Order Fulfillment Closer Customer Performance Relationships