Slide 1: Financial Results – 9 Months 2011
Financial Results – 9 Months 2011 Analysts’ conference call Athens, November 10, 2011
Slide 2: Disclaimer
Disclaimer •This document contains forward-looking statements relating to the Group’s future business, development and economic performance. It also includes statements from sources that have not been independently verified by the Company. •Such statements may be subject to a number of risks, uncert
Slide 3: Agenda
Agenda Group Financial Results Market Overviews Outlook 3
Slide 4: Severe Greek Recession and Euro Affect 9M 2011 Results
Severe Greek Recession and Euro Affect 9M 2011 Results 4
Slide 5: Declining Sales Volumes Driven by Weak Demand in Greece and Shutdown of N. Africa
Declining Sales Volumes Driven by Weak Demand in Greece and Shutdown of N. Africa Export Markets 9 Months 3rd Quarter 14.0 5.0 13.1 4.4 11.6 2010A 2010A 12.0 4.0 10.1 2011A 4.0 2011A 10.0 3.1 8.2 2.8 3.0 8.0 -12%(3) -9%(3) 6.0 2.0 -19%(3) -7%(3) 4.0 2.94 2.72 0.97 0.90 1.0 2.0 -7%(3) -7%(3) 0.0 0.0
Slide 6: 9M 2011 Results Affected by Sharp Decline in Greece Sales and Strong Euro
9M 2011 Results Affected by Sharp Decline in Greece Sales and Exacerbated by Strong Euro Turnover Reconciliation EBITDA Reconciliation 9 months Turnover Reconciliation EBITDA Reconciliation 3rd Quarter 21.4% 18.9% Note: Organic growth includes changes net of translation and scope impacts. Excluding
Slide 7: NPAT after Minorities Adversely Impacted by Weak Markets and Strong Euro
NPAT after Minorities Adversely Impacted by Weak Markets and Strong Euro 9M 2011 Group Net Profit After Taxes and Minorities (Reconciliation vs. 9M 2010) (€ in millions) 7
Slide 8: Strengthening of the Euro Leads to Substantial Drop in Profitability and Net Equity
Strengthening of the Euro in 9M 2011 Leads to a Substantial Drop in Profitability and Net Equity FX Gains/Losses (Variance) FX Impact in Million € (Variance) Local Loan Country 9M 2011 Currency Currency Q1 Q2 Q3 9M Egypt EGP EUR +4.2 P&L EBITDA -2 -7 -4 -13 Translation Impact Turkey TRY EUR, USD -8.
Slide 9: Group Generates €107m in Operating Free Cash Flow in 9M 2011
Group Generates €107m in Operating Free Cash Flow in 9M 2011 Sources and Uses of Cash (€ in millions) Operating Free Cash Flow 250 220 (30) 200 (42) (41) 150 4 (107) 100 50 €107m 5 9 0 EBITDA 9M Non-Cash CapEx Operating Acquisitions/ Interest, Tax, Net FX Impact Change in 2011 Items Working Disposal
Slide 10: Deleveraging Remains a Top Priority for the Group
Deleveraging Remains a Top Priority for the Group Group Net Debt 2008 2009 2010 2011 10
Slide 11: Agenda
Agenda Group Financial Results Market Overviews Outlook 11
Slide 12: €219.8m Group EBITDA Driven Mainly by SEE and EMED
€219.8m Group EBITDA Driven Mainly by SEE and EMED 9M 2011 Turnover (€m) 9M 2011 EBITDA (€m) 29% 15% 38% 42% 27% -11 25% -11 14% 30% 9% 20% 30% 73% 28% 55%
Slide 13: Profitability in Greece Plummets amidst Severe Recession
Profitability in Greece Plummets amidst Severe Recession Greek recession leads building activity to a tailspin. Dramatic decline in sales volumes across all products and market segments. Export volume almost at 1/3 of 2010 due to collapse of North African exports. Selling prices quarter-on-q
Slide 14: Continued Weakness in the USA
Continued Weakness in the USA Economic recovery slow and fragile. Housing market remains weak. Sales volume growth across all products, as a result of targeted activities. Selling prices stabilize at the low levels of year-end 2010 for all products. ST profitable growth continues with sales
Slide 15: Continued Growth in SE Europe, whilst Profitability Remains Stable
Continued Growth in SE Europe, whilst Profitability Remains Stable Modest macroeconomic improvement in the region leads to growing demand in construction materials. 5% average cement sales growth in the region. Cement prices grow or stabilize quarter on quarter but are still below the 9M 2010
Slide 16: EMED Region Delivers Solid Performance Amidst Weakening Market Fundamentals in Egypt
EMED Region Delivers Solid Performance Amidst Weakening Market Fundamentals in Egypt Political volatility in Egypt affects the construction industry. In Egypt sales shrink by 9%, affected by weak July-August demand and increasing S/D imbalance. EBITDA in Egypt affected by €25m positive contrib
Slide 17: Agenda
Agenda Group Financial Results Market Overviews Outlook 17
Slide 18: Outlook 2011
Outlook 2011 • Increasing Global uncertainty • Greece: Downward trend continues • US: Stability at very low levels • South Eastern Europe: Upside opportunity more visible • Eastern Med: Growth in Turkey, short-term slowdown in Egypt • Energy costs stabilizing • Pricing power differs by region • Focu