Irish Continental Group Plc · EURONEXT:IR5B
Irish Continental — FY2018 Earnings Presentation
33 slides from Irish Continental's earnings presentation, Mar 7, 2019
Slide 1: 2018 Results Presentation
2018 Results Presentation 7th March 2019
Slide 2: Full Year 2018 Performance Summary
Full Year 2018 Performance Summary • Revenue for the year decreased by 1.5% to €330.2 million (2017: €335.1 million). In the Ferries division revenue* Revenue decreased by 8.0% to €188.1 million (2017: €204.4 €330.2m million) while in the Container and Terminal division revenue* increased by 8.7% to
Slide 3: ICG Business Units
ICG Business Units Ferries Division Container & Terminal Division Irish Ferries, the leading ferry Eucon, the leading container shipping company operating between the operator between Ireland and the UK/Continent and the Republic of Continent. Dublin Ferryport Terminals Ireland. The division is also
Slide 4: Ferries Division
Ferries Division Irish Continental Group 2018 Results Presentation - 7th March 2019 4
Slide 5: Ferries Division - Routes
Ferries Division - Routes Weekly Sailings 2018 2019 Dublin - Holyhead Ulysses 28 28 Dublin Swift 28 28* Epsilon / W.B. Yeats 18 26/28 74 82/84 Rosslare - Pembroke Isle of Inishmore 28 28 Total Ireland - UK 102 110/112 Ireland - France Oscar Wilde 7 - Epsilon / W.B. Yeats 2 6/7 Total Ireland-France 9
Slide 6: Ferries Division
Ferries Division Sailings 2018 Brand: Irish Ferries Owned: - 4 cruise ferries 7% - 1 fast ferry 26% Holyhead: 3,100 Sailings - 4 container ships 29% Pembroke: 1,400 On order: - 1 cruise ferry 66% Sailings Charter in: - 1 ropax ferry 64% France: 350 Sailings Always On irishferries.com Strategic route
Slide 7: Ferries Division
Ferries Division Car Market CAGR (Volumes) 1 Year 3 Years 5 Years 10 Years 26 Years 2018 2015 – 2018 2013 - 2018 2008 - 2018 1992 - 2018 Irish Ferries -8% -1% +3% +0% +2% Republic of Ireland -2% +0% +1% +0% +1% All Ireland -2% +1% +1% -1% +1% RoRo Market CAGR (Volumes) 1 Year 3 Years 5 Years 10 Year
Slide 8: Ferries Division - Ship Chartering activities
Ferries Division -Ship Chartering activities Ship Chartering Revenue FY 2018 FY 2017 €m €m External 2.1 7.4 Internal 8.1 7.7 Total 10.2 15.1 • External charter revenues down €5.3 million following sale of Kaitaki in 2017 for a profit before tax of €28.7 million and redeployment of Westpac Express to
Slide 9: Cruise Ferry Investments
Cruise Ferry Investments General • Two new cruise ferries contracted with German yard FSG for intended deployment on Irish Ferries services. • Total contract value €314 million. • W.B. Yeats construction was completed in 2018 and the ship was delivered to Irish Ferries in December 2018. • The invest
Slide 10: New Cruise Ferry, Hull 777, ordered by ICG from Flensburger (FSG)
New Cruise Ferry, Hull 777, ordered by ICG from Flensburger (FSG) for Dublin – Holyhead route (for delivery late 2020) New Build 2 (Hull 777) MV Ulysses Effective Peak Freight Capacity 300 200 Passenger/Crew Capacity 1,800 1,850 Cars 1,500 1,342 Engine output (4 engines) 33,600kw 31,200kw Speed 23.0
Slide 11: New Cruise Ferry, W.B. Yeats, delivered in late 2018
New Cruise Ferry, W.B. Yeats ordered by ICG from Flensburger (FSG) delivered in late 2018 Cruise Ferry Details Cost €144 million (excl Scrubber) Deck Capacity (Maximum) 165 Trucks or 1,216 Cars Deck Capacity (Mix) 165 Trucks and 300 Cars Passenger/Crew Capacity 1,885 Passenger Cabins 440 Engine outp
Slide 12: Ferries Division
Ferries Division 2018 2017 Change €m €m Revenue* 196.2 212.1 -7.5% Operating Costs (142.6) (144.8) -1.5% EBITDA 53.6 67.3 -20.4% Non-trading item 13.7 28.7 -52.3% Depreciation/Amortisation (19.4) (18.2) +6.6% Operating Profit 47.9 77.8 -38.4% • Passenger, Car & On Board revenue down 7.4% to €109.2 m
Slide 13: Container & Terminal Division
Container & Terminal Division Irish Continental Group 2018 Results Presentation - 7th March 2019 13
Slide 14: Container & Terminal Division
Container & Terminal Division • 6 chartered vessels • 3,800 owned and leased containers, 7,400 teu (20ft, 40ft, 45ft, reefers, flats, curtain siders) • Operating between the Ports of Dublin, Cork and Belfast to Rotterdam and Antwerp • Door to Door (52%) Transport plus Quay to Quay (48%) (feeder) • D
Slide 15: Container & Terminal Division
Container & Terminal Division Irish Continental Group 2018 Results Presentation - 7th March 2019 15
Slide 16: Container & Terminal Division - Terminals
Container & Terminal Division - Terminals 2 strategically located container handling terminals at Dublin (DFT) and Belfast (BCT). • 150 year lease in Dublin from 1972 • Concession from Belfast Harbour • Annual throughput of 182,500 lifts Commissioners (BHC) for 5 years from (2017: 172,800 lifts) Jun
Slide 17: Container & Terminal Division - Container Handling Irl.
Container & Terminal Division - Container Handling Irl. CAGR (Volumes) 1 Year 3 Year 5 Year ICG 4% 8% 13% ICG*Excl. Belfast 4% 4% 7% All Ireland 4% 4% 5% Irish Continental Group 2018 Results Presentation - 7th March 2019 17
Slide 18: Container & Terminal Division
Container & Terminal Division 2018 2017 Change €m €m Revenue* 143.3 131.9 +8.6% Operating Costs (128.5) (118.2) +8.7% EBITDA 14.8 13.7 +8.0% Depreciation/Amortisation (2.7) (2.5) +8.0% Operating Profit 12.1 11.2 +8.0% • Container volumes up 1.9% at 327,600 teu. • Terminal volumes up 4.4% at 310,000
Slide 19: Group
Group • Results • Fuel Costs • Cash Flow • Share Performance/Dividends/Share Buybacks • Net Cash and Available Borrowing Facilities • Current Trading/Outlook • Refinancing of Group Debt Irish Continental Group 2018 Results Presentation - 7th March 2019 19
Slide 20: Group - Results
Group - Results 2018 2017 Change Revenue €330.2m €335.1m -1.5% Operating Costs (exc. Dep) €261.8m €254.1m +3.0% EBITDA €68.4m €81.0m -15.6% Non-trading items €13.7m €28.7m -52.3% Operating Profit €60.0m €89.0m -32.6% Basic EPS 30.4c 44.1c -31.1% Adjusted EPS 23.1c 31.0c -25.5% Dividend Per Share* 8.
Slide 21: Group - Fuel Costs
Group - Fuel Costs 2018 2017 Change Consumption (000 tons) Heavy Fuel Oil 69.6 71.0 -2.0% Marine Diesel 39.0 39.9 -2.3% 108.6 110.9 -2.1% Average Price (€ per ton) Heavy Fuel Oil €376 €310 +21.3% Marine Diesel €543 €438 +23.9% Brent Crude (guide) $72/€61 $55/€48 +30.9%/+27.1% Total Cost (inc. lubs)
Slide 22: Group - Cash Flow
Group - Cash Flow 2018 2017 €m €m EBITDA 68.4 81.0 Working Capital Movement (3.8) (1.9) Pension Payments (1.6) (1.1) Other 1.7 0.5 Cash Generated from Operations 64.7 78.5 Interest paid (1.0) (1.1) Tax (2.2) (5.6) Purchases of property, plant and equipment & intangible asset before new vessel (15.6)
Slide 23: Group – Share Performance/Dividends/Share Buy Backs
Group – Share Performance/Dividends/Share Buy Backs ICG shares: Total return CAGR last 10 years to 31/12/18 13.9% Total return CAGR since flotation on 14/04/88 16.1% Cash Returned to Shareholders 2008 - 2018 Buyback/ Year Interim (Cent) Final (Cent) Total (Cent) €m Tender Offer €m 2008 Nil 10.0c 10.
Slide 24: Net Cash and Available Borrowing Facilities
Net Cash and Available Borrowing Facilities Latest Fixed Rate Facility Undrawn On-hand / drawn Maturity €m €m €m Cash - 124.7 124.7 Committed lending facilities: Bank overdrafts Annually Variable 15.4 15.4 - Revolving credit Up to 2024 Variable 75.0 75.0 - EIB Amortising Loan #1 2030 1.724% 75.0 - 7
Slide 25: Group - Current Trading/Outlook
Group - Current Trading/Outlook General • There is heightened uncertainty at the moment over the manner of the proposed exit of the United Kingdom from the European Union. This is bound to be affecting the timing of corporate investment decisions and continued uncertainty may have a negative impact
Slide 26: Appendix Fleet
Appendix Fleet Irish Continental Group 2018 Results Presentation - 7th March 2019 26
Slide 27: Appendix – Fleet
Appendix – Fleet Ulysses Year Built 2001 Cost €106m GT 50,900 tons PAX 1875 Cars 1342 Lane Meters 4.1km Speed 22 knots Route Dublin/Holyhead Isle of Inishmore Year Built 1997 Cost €81m GT 34,000 tons PAX 2200 Cars 855 Lane Meters 2.1km Speed 21.5 knots Route Rosslare/Pembroke Irish Continental Group
Slide 28: Appendix – Fleet
Appendix – Fleet Dublin Swift (formerly Westpac Express) Year Built 2001 (refurbished 2018) Cost $13.25m GT 8,403 tons PAX 817 Cars 250 Speed 35 knots Route Dublin/Holyhead from March-September Oscar Wilde Year Built 1987 Purchased in 2007 - plus upgrade €51m GT 31,914 tons PAX 1458 Beds 1376 Cars 5
Slide 29: Appendix – Fleet
Appendix – Fleet W.B. Yeats Delivery 2018 Cost (incl. Scrubber) €151m GT 54,975 tons PAX 1,885 Beds 1,706 Cars (Max) 1,216 Lane Meters (excl Car 2.8km Deck) Speed 22.5 knots Route Dublin/Holyhead, Dublin/France Irish Continental Group 2018 Results Presentation - 7th March 2019 29
Slide 30: Appendix – Fleet
Appendix – Fleet New Build for Dublin - Holyhead Hull 777 (under construction) Delivery 2020 Cost (incl. Scrubber) €165.2m GT 67,300 tons Passenger and Crew Capacity 1,800 Cars (Max) 1,526 Lane Meters 5,610km Speed 23 knots Epsilon (chartered in) Year Built 2011 GT 26,375 tons PAX 500 Beds 272 Lane
Slide 31: Appendix – Fleet
Appendix – Fleet Ranger IMO 9322542 Built 2005 LOA 140.59 Breadth 21.8 GT 7,852 Dead Weight 9,300 Size TEU 803 TEU @ 14tns 518 Elbfeeder IMO 9388522 Built 2008 LOA 139.60 Breadth 22 GT 8,246 Dead Weight 11,157 Size TEU 974 TEU @ 14tns 580 Irish Continental Group 2018 Results Presentation - 7th March
Slide 32: Appendix – Fleet
Appendix – Fleet Elbtrader IMO 9388534 Built 2008 LOA 139.60 Breadth 22 GT 8,246 Dead Weight 11,153 Size TEU 974 TEU @ 14tns 580 Elbcarrier IMO 9388510 Built 2007 LOA 139.60 Breadth 22 GT 8,246 Dead Weight 11,166 Size TEU 974 TEU @ 14tns 580 Irish Continental Group 2018 Results Presentation - 7th Ma
Slide 33: Disclaimer
Disclaimer This presentation may contain certain forward-looking statements. These statements are made by the Directors in good faith based on the information available to them up to the time of their approval of this presentation. These forward-looking statements should be treated with caution due
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