Ypf Sa Class D · BCBA:YPFD
Ypf Sa Class D — Q3 2014 Earnings Presentation
23 slides from Ypf Sa Class D's earnings presentation, Nov 6, 2014
Slide 1: 3rd Quarter 2014 Earnings Webcast
3rd Quarter 2014 Earnings Webcast November 6, 2014
Slide 2: Disclaimer
Disclaimer Safe harbor statement under the US Private Securities Litigation Reform Act of 1995. This document contains statements that YPF believes constitute forward-looking statements within the meaning of the US Private Securities Litigation Reform Act of 1995. These forward-looking statements ma
Slide 3: Contents
Contents 1 Q3 2014 Results 2 Financial Situation 3 Summary 3
Slide 4: Results Highlights
Q3 2014 Results Highlights Revenues of ARS 38.2 bn (+58% vs. Q3 2013) Adj. EBITDA(1) reached ARS 13.5 bn (+105%) Operating Cash Flow topped 18.2 bn (+95%) Operating Income was ARS 8 bn (+134%) Net Income was ARS 3.2 bn (+127%) Total Capex was ARS 13.8 bn (+72%) Crude oil production 246.0 Kbbl/d (+4.
Slide 5: Results Expressed in US Dollars
Q3 2014 Results Expressed in US Dollars Volume and sales growth resulted in margin expansion. Adj. EBITDA grew by 38% and Operating Income by 58% y-o-y. Revenues (1) Adj. EBITDA (1) (2) Operating Income (1) (MUSD) (MUSD) (MUSD) 4,632 975 1,632 +6% +38% +58% 4,355 1,182 619 Q3 2013 Q3 2014 Q3 2013 Q3
Slide 6: Operating Income
Q3 2014 Operating Income Higher revenues fueled Operating Income increase of 134% in Q3 2014. In millions of ARS 13,965 397 -3,830 -2,477 8.044 -2,255 -1,173 -27 3,444 Q3 2013 Revenues Others Other costs Purchases DD&A SG&A Exploration Q3 2014 expenses of sales expenses 6
Slide 7: Operating Income
Q3 2014 Operating Income Continued solid performance across both business segments. In millions of ARS 2,328 8,044 -58 2,330 3,444 Q3 2013 Downstream Upstream Administration & Others Q3 2014 7
Slide 8: Upstream Results
Q3 2014 Upstream Results Upstream Operating Income reached ARS 4.5 bn (+109%) due to higher revenues driven by the increase in production and prices. In million of ARS 8,394 368 -3,515 -1,943 4,463 -976 2,135 Q3 2013 Revenues Other expenses1 Production costs DD&A Royalties Q3 2014 (1) Includes ARS 4
Slide 9: Upstream Results – Production
Q3 2014 Upstream Results – Production Total y-o-y production growth of 15.4%: 4.6% in crude oil and 26.1% in natural gas Crude oil production (1) Natural gas production (1) Total production (1) (Kbbl/d) (Mm3/d) (Kboe/d) 573,0 +4.6% 246.0 +26.1% 44.9 +15.4% 235.1 496,5 36 Q3 2013 Q3 2014 Q3 2013 Q3 2
Slide 10: Upstream Results – Production
Q3 2014 Upstream Results – Production Continuous growth in tight gas and shale oil. Tight gas production is more than 10% of total natural gas production. Crude oil production Natural gas production (kbbl/d) (Mm3/d) 246.0 44.9 241.6 240.9 43.5 239.3 235.1 9.5 6.4 6.8 3.8 5.5 226.3 228.2 9.5 7.9 6.0
Slide 11: Upstream Results – Tight gas update
Q3 2014 Upstream Results – Tight gas update Loma La Lata (121 km2 – 29,900 acres)1 Rincón del Mangrullo (183 km2 - 45,200 acres) Objective: Lajas formation Objective: Mulichinco formation • Invested over USD 540 million • Invested over USD 173 million • 69 wells drilled • 29 wells drilled • 56 produ
Slide 12: Upstream Results – Shale Update
Q3 2014 Upstream Results – Shale Update After only 2 years, Loma Campana has become the 2nd largest oil producing field in Argentina. Vertical shale oil wells drilled in Loma Campana´s sweet spot are producing at or above forecasted type well curve, with decreasing drilling & completion costs. Encou
Slide 13: Downstream Results
Q3 2014 Downstream Results Downstream Operating Income grew 152% to ARS 3.9 bn in Q3 2014, due to higher revenues and lower increase in purchases. In millions of ARS 12,583 -7,981 3,864 -1,086 -843 -266 -77 1,534 Q3 2013 Revenues Purchases Production SG&A DD&A Other Q3 2014 costs expenses 13
Slide 14: Downstream Results - Sales
Q3 2014 Downstream Results - Sales Refinery utilization reached 94% helped by lighter crude coming from unconventional production. Imported volumes of diesel dropped 36% against Q3 2013. Crude processed Domestic sales of refined products (kbbl/d) (Km3) +2.6% 2.4% 299 4,188 4,297 292 Others LPG +3.3%
Slide 15: Refined Products Demand
Q3 2014 Refined Products Demand Brand recognition; solid demand based on slight market share growth. Monthly Gasoline and Diesel Sales (1) Gasoline and Diesel Market Share (1) (Km3) (Km3) 61% 1.100 60% 60% 60% 59% 59% 1.050 2014 59% 59% 58% 58% 58% 58% 57% 57% 57% 2013 57% 57% 1.000 56% 56% 56% 56%
Slide 16: Capex
Q3 2014 Capex (1) In millions of ARS Upstream Neuquina basin: Loma Campana, Upstream Rincón del Mangrullo, Aguada Downstream Toledo and Chachahuen 13,776 Others +71.6% Golfo San Jorge basin: Manantiales Behr, El Trébol and Los Perales 8,028 Drilling +200% 75 rigs (2) 58 63 65 69 73 52 46 42 36 25 Q1
Slide 17: Contents
Contents 1 Q3 2014 Results 2 Financial Situation 3 Summary 17
Slide 18: Cash Flow From Operations
Q3 2014 Cash Flow From Operations Self financed Q3 2014 capex; Cash Flow From Operations grew ARS 9 bn against Q3 2013. Sound capital structure; Net Debt / Adj. EBITDA LTM down to 0.75x(3). Consolidated statement of cash flows Cash flow from operations (in million of ARS) (in million of ARS) 18,249
Slide 19: Financial Situation Update
Financial Situation Update1 Cash position covers debt maturities for next 18-months. Continued to extend average life of debt. Financial debt amortization schedule (1) (2) (MUSD) Peso denominated debt 32% 1,751 Average interest rates of 6.64% in USD and 25.10% in ARS Average life of almost 4 years 1
Slide 20: Contents
Contents 1 Q3 2014 Results 2 Financial Situation 3 Summary 20
Slide 21: Summary
Summary Continued to improve results and expand margins Increased oil & gas production by 15.4%, with an impressive 26% growth in natural gas; shale and tight already represent 8% of total hydrocarbon production Announced 3rd shale pilot project with Petronas Strong brand recognition allowed an incr
Slide 22: Questions and Answers
Questions and Answers 3rd Quarter 2014 Earnings Webcast
Slide 23: 3rd Quarter 2014 Earnings Webcast
3rd Quarter 2014 Earnings Webcast November 6, 2014