Infratil Limited · NZX:IFT
Infratil — Investor Day (March 2011)
16 slides from Infratil's investor day presentation, Mar 8, 2011
Slide 1: Infratil Investor Day 8 March 2011
Infratil Investor Day 8 March 2011
Slide 2: Where we have come from and where we are at present
Before talking about what comes next, we should acknowledge where we have come from and where we are at present Where we have done well: ? Safe and reliable operations ? Market leader or first equal in all market EBITDA ($m) ROACE (line) segments ? Some advantaged infrastructure ? Concentrated Retai
Slide 3: Sunset industry, although the sun will take a long time to set
We appreciate that some describe us as a sunset industry, although we assert that the sun will take a long time to set • The economic and product life cycles of the sector were factored in to our models at the time of negotiating the purchase • Fossil fuels have a long decline ahead with the threats
Slide 4: Evolution of the Store illustrates how we can optimise our Retail footprint
The evolution of the Store is an illustration of how we can optimise our Retail footprint and leverage the millions of fuel transactions we already have Up to 1980 • 30 m2 stores Automotive parts • Turnover $150k pa @ 30% GP with a workshop • Category lost to specialist stores 1980’s • 50-75 m2 stor
Slide 5: Continued poor returns will catalyse restructuring of the sector
Continued poor returns will catalyse restructuring of the sector providing both threats and opportunities to Greenstone Supply and Manufacturing Terminals and Distribution Sales and Marketing • Access to global • Cost of entry ticket is • Asset rationalisation scale for Supply high • Changing busine
Slide 6: Relationship with the New Zealand Refining Company
The relationship with the New Zealand Refining Company is long standing and has fully transitioned to Greenstone • 17.1% equity holder and a customer under the tolling agreement • Guidance consistent with that of NZRC • Manufacturing 55% of Petrol, 90% of Diesel and 100% of Jet demand • Both agreeme
Slide 7: Growth options within the core business
Following a formal Strategic Review we have identified growth options within the core business that will be progressively actioned Supply and Manufacturing Terminals and Distribution Sales and Marketing • Partner with another • Operating efficiency • Eliminate the for scope and scale through one mod
Slide 8: Benefits of being a well funded and focused local player
There are tangible and intangible benefits that flow from being a well funded and focused local player with a market leading position • Local procurement sometimes outweighs global deals • Capture inorganic opportunities ahead of the competition • Sensibly respond to growing economic nationalism and
Slide 9: Going beyond the core will be subject to strategic consideration
Going beyond the core will be subject to thorough strategic consideration over the next year or two Biofuels Upstream Supply feedstock Oil & Gas Tolling at Manufacture overseas refinery First and second Contango New Distribute generation plays geography Biofuels Sell Fuel mgmt Store POS Third party
Slide 10: Deliberate and strategic about our business, customer offers and Brand
We have been very deliberate and strategic about what we do with our business as well as our customer offers and Brand Strategic Review • 9 month project staffed by an international cross functional team • Defined the role of “business units” and developing an options mindset • Deliverables include
Slide 11: Insights from research about how we could tell our Brand story
There were insights from our research about how we could tell our Brand story and position the company in the minds of consumers From this To this forgotten down under aware of our place in the world no. 8 fencing wire creating the best with less cultural cringe confident in our way tall poppy syndr
Slide 12: What customers expected from us as a local company
Existing customers and potential customers had plenty to say about what they expected from us as a local company • The Shell brand is trusted and credible, has earned respect • NZ consumers are value seekers • A desire for a new experience at service stations • Expectations for different behaviour f
Slide 13: NZ consumer market divided into six key segments
Our extensive market research tells us that the NZ consumer market in 2010 can be divided into six key segments Professionals Gas ‘n’ Go Gary We have Simon & Sarah personalised our segments What they are Just let me get in, get what Its where I get my thinking I need and get on my way gas, full stop
Slide 14: The Store captures food and beverage on the move
The Store represents a strategic move to capture the growing segment of food and beverage on the move for our existing customers
Slide 15: Guidance: next financial year similar EBITDAF
Although we have yet to publish our annual results, our guidance is that the next financial year will result in a similar EBITDAF Variables FY2011 Forecast FY2012 Guidance Brent crude $95/bbl $95/bbl Gross refinery margin $6.00/bbl $6.00/bbl Processed barrels 12.0 m bbls 12.7 m bbls Sales volumes 2.
Slide 16: Infratil Investor Day 8 March 2011
Infratil Investor Day 8 March 2011