Mesaieed Petrochemical Holding Company Q.s.c. · QSE:MPHC
Mesaieed Petrochemical Holding Company Q.s.c — Mesaieed Petrochemical Holding Company — Q3 2019 Earnings Presentation
27 slides from Mesaieed Petrochemical Holding Company Q.s.c's earnings presentation, 2019
Slide 1: Mesaieed Petrochemical Holding Company IR Presentation Q3 2019
Mesaieed Petrochemical Holding Company IR Presentation Q3, 2019 “one of the region’s premier diversified petrochemical conglomerates with interests in the production of olefins, polyolefins, alpha olefins and chlor-alkali products.”
Slide 2: Disclaimer
Disclaimer The companies in which Mesaieed Petrochemical Holding Company Q.P.S.C. directly and indirectly owns investments are separate entities. In this press release, “MPHC” and “the group” are sometimes used for convenience in reference to Mesaieed Petrochemical Holding Company Q.P.S.C. This pres
Slide 3: About MPHC
About MPHC 3
Slide 4: About MPHC
About MPHC Mesaieed Petrochemical Holding Company Through its group companies, MPHC Q.P.S.C. (“MPHC” or “the group”; QE: MPHC) operates in 2 business segments - was incorporated on May 29, 2013 ▫ and was Petrochemical (Q-Chem / Q-Chem II) listed on the Qatar Stock Exchange on and Chlor-Alkali (Q
Slide 5: MPHC group structure
About MPHC 65.5% Qatar Petroleum 34.5% Free Float 49.0% MPHC MPHC 55.2% MPHC 49.0% CPCIQH 31.9% Qapco 2.0% QP 12.9% QP 49.0% MPHC 49.0% CPCIQH 2.0% QP Q-Chem Q-Chem II QVC Q-Chem Q-Chem II Ras Laffan Distribution Distribution Olefins Company Company Company (53.31% Q-Chem (100% Q-Chem) (100% Q-Chem
Slide 6: MPHC Board of Directors
MPHC Board of Directors Mr. Ahmad Saif Al Sulaiti Chairman Mr. Mohamed Salem Alyan Almarri Mr. Abdulrahman Ahmad Al Shaibi Vice Chairman Member Mr. Abdulaziz Mohammed Al Mannai Mr. Abdulaziz Jassim Mohd Al Muftah Member Member Mr. Ali Nasser Telfat Mr. Mohammed Essa Al-Mannai Member Member 6 Mesaiee
Slide 7: Competitive Advantages
Competitive Advantages • Assured feedstock supply. • Solid liquidity position. • Feedstock competitively • Cash flow generation even priced. under stressed conditions. • Economies of scale. • Sound dividend record. • Synergy benefits. • Stable EBITDA margin. • Operationally diversified. Strong Low c
Slide 8: Results at glance (2014 to 2018)
Results at glance (2014 to 2018) 8
Slide 9: Results at a glance (2014 to 2018)
Results at a glance (2014 to 2018) Production (MT’000) Utilization (%) Production remained relatively stable since the incorporation of MPHC ▪ Utilization and sales volume remained relatively flat in line with the stable production ▪ Selling prices had a drop in 2015 and 2016, then witnessed a relat
Slide 10: Results at a glance (2014 to 2018)
Results at a glance (2014 to 2018) Revenue (Million QR) Net Income (Million QR) In line with lower product prices, both revenue and net profit witnessed a marginal decrease during 2015 to 2018 ▪ Total assets grew marginally while the cash grew significantly over the period. Total Assets (Million QR)
Slide 11: Results at glance (Year-to-date, Q3, 2019)
Results at glance (Year-to-date, Q3, 2019) 11
Slide 12: Key Highlights
Key Highlights For period ended 30 September 2019 (MPHC Share) Production (MT’000) Sales Volumes (MT’000) Selling Prices ($/MT) Production down on previous Sales volumes down on previous All product prices, except EDC and 1- year due to the unplanned year in line with the drop in Hexene, down on pre
Slide 13: Net Profit Variance Analysis (versus Actual 2018)
Net Profit Variance Analysis (versus Actual 2018) QR in Million Year-on-year performance lower by QR 535 million due to: Unfavorable variance • Reduced product prices -12%; • Lowered sales volumes -6% • Impairment of tax refund receivable QR 170 million; and • Reduced tax refund income by QR 98 mill
Slide 14: Dividends & Market Statistics
Dividends & Market Statistics 14
Slide 15: Dividends & Market Statistics (2013-2018)
Dividends & Market Statistics (2013-2018) Dividends Per Share Payout Ratio 1.1 80.9% 80.8% 0.8 72.1% 77.0% 76.0% 0.7 0.7 0.6 72.0% 0.35 2013 2014 2015 2016 2017 2018 Market Cap (QAR Billion) 37.06 18.88 24.37 19.85 15.82 2014 2015 2016 2017 2018 • To date, cash dividends totaling QR 5.3 billion have
Slide 16: Segment Details
Segment Details 16
Slide 17: Te
Te
Slide 18: Segmental Details: Petrochemical
Segmental Details: Petrochemical Q-Chem and Q-Chem II are both owned 49% by MPHC, 49% by Chevron Phillips Chemical International Qatar Holdings L.L.C., and 2% by QP; Q-Chem II also has an effective ownership of 53.85% in Ras Laffan Olefins Company Limited which owns an ethane cracker which provi
Slide 19: Slide 19
Slide 20: Segmental Details: Chlor-Alkali
Segmental Details: Chlor-Alkali Qatar Vinyl Company Limited Q.S.C. (“QVC”) is owned 55.2% by MPHC, 31.9% by Qapco and 12.9% by QP; QVC’s operations have been integrated with Qapco bringing additional synergies to the group. The segment is engaged in the production of a range of chlor-alkali pr
Slide 21: CAPEX and Cash Flows (2019 - 2023)
CAPEX and Cash Flows (2019 - 2023) o Cumulative CAPEX spend of only QR 1.5 billion CAPITAL EXPENDITURE (in QR Million) across all segments during 2019-2023; 2019 2020 2021 2022 2023 Total New Furnace 11 64 85 25 0 185 o QChem/QChem II Near zero liquid discharge 2 48 56 33 5 143 • CAPEX of QR 1.3 bil
Slide 22: Sales and Marketing
Sales and Marketing 22 INDUSTRIES QATAR | Quarterly Financial Update (2014 Q4) | Page 22
Slide 23: Sales and Marketing
Sales and Marketing • Qatar Chemical and Petrochemical Marketing and Distribution Company Q.J.S.C. (trading as “Muntajat”), a wholly-owned company of the government of the State of Qatar, has the exclusive rights to purchase, market, sell and distribute the State’s production of petrochemical regula
Slide 24: Governance Structure
Governance Structure 24
Slide 25: Governance
Governance Board Structure Board Committees MPHC Board of Directors consists of seven (7) The Board of Directors established Board Committees Directors, all of whom were appointed by the Special and Special Committees to carry out specific tasks. The Shareholder, which is Qatar Petroleum. QP app
Slide 26: Governance
Governance Remuneration • Board of Directors Shareholders rights The Company has developed a periodically The Company’s Articles of Associations provide for the rights revisited remuneration policy for Board of shareholders, particularly the rights to receive dividends, members. The policy has f
Slide 27: Contact information
For further information, Mesaieed Petrochemical Holding Company can be contacted as follows: Telephone: (974) 4013 2080 Fax: (974) 4013 9750 Email: mphc@qp.com.qa Address: PO Box 3212, Doha, State of Qatar Please refer to www.mphc.com.qa for the latest information, publications, press releases and p
Mesaieed Petrochemical Holding Company — Q3 2019 Earnings Presentation on 6ix