Aluminium Bahrain B.S.C · BAHRAIN:ALBH
Aluminium Bahrain B.S.C — Q1 2015 Earnings Presentation
24 slides from Aluminium Bahrain B.S.C's earnings presentation, 2015
Slide 1: Investor Relations Presentation Q1 2015
Aluminium for the world INVESTOR RELATIONS PRESENTATION Q1 2015
Slide 2: Disclaimer
Aluminium for the world This document has been prepared and issued by and is the sole responsibility of Aluminium Bahrain B.S.C. (the “Company”). The document is being supplied to you solely for your information and for use at the Company’s presentation. No information made available to you in conne
Slide 3: Contents
Aluminium for the world CONTENTS 01 02 03 04 05 Industry ALBA Q1 2015 Industry 2015 Highlights Highlights Results Perspectives ALBA Priorities in 2015 3
Slide 4: Industry Highlights
Aluminium for the world 01 INDUSTRY HIGHLIGHTS
Slide 5: Industry Highlights - Q1 2015: Global Physical Demand
Aluminium for the world Industry Highlights - Q1 2015 Global Physical Demand to Grow at a Slower Rate World consumption up by +4% YoY Demand in North America relatively strong (5% YoY) with a robust demand in the transport sector (new Ford F-150 truck model production) Asian demand up by 5% YoY desp
Slide 6: Industry Highlights - Q1 2015: Production Evolution
Aluminium for the world Industry Highlights - Q1 2015 Production Evolution World production up by 7% YoY China output at 7.5 million metric tonnes - (+11% YoY) supported by new capacity ramp-ups and changes in government export tariffs World market in surplus with China (+1,081 kt) & in deficit with
Slide 7: Industry Highlights - Q1 2015: LME & Premiums
Aluminium for the world Industry Highlights - Q1 2015 LME & Premiums LME inventories at 3.9 million metric tonnes in March 1Q15 cash-average was $1,801/t with LME ranging between $1,742/t on March 12 and $1,871/t on February 6 Physical premiums tumble across the globe - US Mid West premiums at $505/
Slide 8: Alba Highlights
Aluminium for the world 02 ALBA HIGHLIGHTS
Slide 9: Alba Highlights - Operational Highlights & Achievements
Aluminium for the world Alba Highlights - Q1 2015 Operational Highlights & Achievements Continuous improvement in Safety performance Alba achieves 5 million hours without Lost Time Injuries (LTI) Alba metal sales at 228,307 metric tonnes (an increase of 1,835 mt) Production up by 2.4% YoY (237,774 m
Slide 10: Project Titan - Improve Cash Cost of $150/t by January 2016
Aluminium for the world Alba Highlights - Q1 2015 Project Titan - Improve Cash Cost of $150/t by January 2016 Q1 2015: Project Titan on Track with Projected Savings of $110/t Project Titan - US$ per MT 150 100 110 2014 Target YTD March January 2016 2015 Final Target 1. Savings from Project Titan rep
Slide 11: Financial Key Performance Indicators
Aluminium for the world Alba Highlights - Q1 2015 Financial Key Performance Indicators Adjusted EBITDA up due to solid physical premiums, higher overall sales & favourable plant performance Q1: US$144 million up by 52% YoY Adjusted Net Income up driven by higher EBITDA levels Q1: US$93 million up by
Slide 12: Q1 2015 Results
Aluminium for the world 03 Q1 2015 RESULTS
Slide 13: Sales Analysis 1Q15 vs. 1Q14
Aluminium for the world Q1 2015 Results FAVOURABLE MANAGEMENT PERFORMANCE Sales Analysis 1Q15 vs. 1Q14 Higher Premium & Higher Sales Volume 1Q15 vs. 1Q14 - Metal Sales Bridge (US$M) 600 4 43 27 1 400 531 459 200 Metal Sales LME Product Mix Pricing Power Volume Metal Sales 1Q14 1Q15 13
Slide 14: Increase Value-Added Sales & Leverage Pricing Power
Aluminium for the world Q1 2015 Results FAVOURABLE MANAGEMENT PERFORMANCE Increase Value-Added Sales & Leverage Pricing Power 1Q15 vs. 1Q14 - Premium Above LME Trend US$ Per MT Sales by Product Line Bridge (MT’000) 300 500 4 1 3 200 300 492 226 228 311 100 100 Sales Value Liquid Commodity Sales 1Q14
Slide 15: Cost Analysis 1Q15 vs. 1Q14
Aluminium for the world Q1 2015 Results FAVOURABLE MANAGEMENT PERFORMANCE Cost Analysis 1Q15 vs. 1Q14 1Q15 vs. 1Q14 - Direct Cost Bridge (US$M) 2 400 13 17 2 11 7 3 1 300 392 379 200 Direct Cost RM RM Energy Alumina Inventory Plant One-Off Line-6 Direct Cost 1Q14 Price Cons. Cons. Sales Change Spend
Slide 16: Adjusted EBITDA Bridge Gap Analysis
Aluminium for the world Q1 2015 Results FAVOURABLE MANAGEMENT PERFORMANCE Adjusted EBITDA Bridge Gap Analysis - 1Q15 vs. 1Q14 Adjusted EBITDA Margin at 26.1% 1Q15 vs. 1Q14 - EBITDA Bridge (US$M) 165 9 13 1 EBITDA 26.1% 2 72 EBITDA 19.4% 95 144 94 25 EBITDA 1Q14 Metal Other Sales Direct Cost Derivati
Slide 17: Cash Flow Bridge - 1Q15 vs. FY14
Aluminium for the world Q1 2015 Results FAVOURABLE MANAGEMENT PERFORMANCE Cash Flow Bridge - 1Q15 vs. FY14 Sustained Cash Flow Trend FY14 to 1Q15 Cash Flow Bridge (US$M) Free Cash Flow (US$M) 300 63 142 19 120 56 200 39 100 179 143 80 60 0 0 Cash CF WC CAPEX Payment Net Debt Cash 1Q14 1Q15 Balance f
Slide 18: Financial Summary Q1 2015 vs Q1 2014
Aluminium for the world Q1 2015 Results FAVOURABLE MANAGEMENT PERFORMANCE Sound Management Performance with an Upward Trend in Sales Financial Summary Q1 2015 Q1 2014 Average Cash LME (US$/MT) 1,801 1,708 Total Sales (US$M) 549 486 EBITDA (US$M) 144 94 EBITDA% 26.1% 19.4% Net Income/ (Loss) (US$M) 9
Slide 19: Industry Perspectives in 2015
Aluminium for the world 04 INDUSTRY PERSPECTIVES IN 2015
Slide 20: Industry Perspectives in 2015
Aluminium for the world Industry Perspectives in 2015 Production to Continue to Climb on the Back of Lower Oil Prices Key factors to be observed: LME volatility will continue Premiums will continue to be under pressure Strong US dollar will continue to weigh on commodities LME price to range between
Slide 21: Raw Materials Price Trends
Aluminium for the world Industry Perspectives in 2015 Raw Materials Price Trends Alumina spot index to remain relatively stable Green Petroleum Coke prices to slightly increase due to Chinese production curtailment Alumina Fluoride (ALF3) and Liquid Pitch prices to remain at current levels 21
Slide 22: 2015 Alba Priorities
Aluminium for the world 05 2015 ALBA PRIORITIES
Slide 23: 2015 Alba Priorities
Aluminium for the world 2015 Alba Priorities Continuous Improvement & Readiness for Future Growth Continuous Focus on Safety & Training Initiatives Deliver on Project Titan Sustained focus on Value-Added Sales Line 6 Expansion 23
Slide 24: For More Information, Contact Us
Aluminium for the world For More Information, Contact Us on: IR@alba.com.bh Alba4World alba4world user/Alba4World photos/alba4world 24
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