Tubacex, S.a. · BME:TUB
Tubacex — 9M 2024 Earnings Presentation
22 slides from Tubacex's earnings presentation, November 2024
Slide 1: Results Release Nine Months 2024
RESULTS RELEASE NINE MONTHS 2024 NOVEMBER 2024 9M 2024 RESULTS / PAG. 1
Slide 2: Main Considerations
MAIN CONSIDERATIONS GRADUAL IMPROVEMENT IN RESULTS AND GROWTH TREND MANUFACTURE OF THE ADNOC ORDER HAS COMMENCED ($1B) Tubacex has closed the strategic agreement with Mubadala Investment on November 31st, resulting in a cash inflow of 182.1 million euros, equivalent to 41.1 % of the Group’s net fi
Slide 3: Main Financial Figures
MAIN FINANCIAL FIGURES 9M 2024 9M 2023 % Var. Q3 2024 Q3 2023 % Var. (€M) Sales 569.1 641.9 -11.4% 171.1 207.2 -17.4% EBITDA 78.1 93.8 -16.8% 28.0 29.5 -5.0% EBITDA Margin 13.7% 14.6% 16.4% 14.2% EBIT 45.8 60.6 -24.5% 18.3 19.6 -6.3% EBIT Margin 8.0% 9.4% 10.7% 9.4% Earnings Before Taxes 18.2 38.9 -
Slide 4: Main Figures from the Income Statement
MAIN FIGURES FROM THE INCOME STATEMENT The sales figure for the first nine months of the year stood at €569.1M, below the SALES 641.9 figure reached in the same period of the previous year €M 569.1 - Declining trend in nickel prices: turnover of the most commodity products is being negatively affect
Slide 5: Main Figures from the Balance Sheet: Net Financial Debt
MAIN FIGURES FROM THE BALANCE SHEET: NET FINANCIAL DEBT Net Financial Debt Tubacex has closed the strategic agreement with Mubadala Investment on November 1st, resulting in a cash inflow of 182.1 million euros €M 442.8 With this cash inflow, the net financial debt, which stood at €442.8M at the
Slide 6: Revenues Breakdown
REVENUES BREAKDOWN PREMIUM PRODUCTS New businesess Good positioning with key customers and the strategy of signing long-term E&P Gas agreements are allowing us to maintain a high-margin portfolio level in strategic 19.0% 27.0% products ORDER INTAKE Very good figures in high value-added products, wit
Slide 7: Backlog Evolution ≈1,600M€
BACKLOG EVOLUTION ROBUST SITUATION OF THE BACKLOG Book-to-bill ratio TOTAL BACKLOG INCLUDING ADNOC’S PROJECT ≈1,600M€ 9M 2024 ≈ 1.0x Backlog remains stable compared to the 2023 year-end This figure is concentrated in projects with high added value Book-to-bill ratio for the year is 1.0x, slightly hi
Slide 8: Commercial Remarks (I) E&P Oil&Gas
COMMERCIAL REMARKS (I) E&P OIL&GAS OCTG UPSTREAM - Tubacex has secured €64.5 Million Strategic Contract with Petrobras, Enhancing its Global Leadership in Premium Gas Extraction Solutions - Tubacex continues to advance in the establishment of world class manufacturing and service facilities to sup
Slide 9: Commercial Remarks (II) Industrial & PowerGen
COMMERCIAL REMARKS (II) INDUSTRIAL & POWERGEN INDUSTRIAL The industrial sector continues to account for a major part of Tubacex’s sales High nickel alloys and ceramic-coated tubes have maintained high levels of profitability The distribution sector is the most exposed to the cycle and is there
Slide 10: Commercial Remarks (III) Low Carbon & New Businesses
COMMERCIAL REMARKS (III) LOW CARBON & NEW BUSINESESS LOW CARBON Carbon Capture - Some slowdown in bidding activity in the USA (the most dynamic region to date) due to delays in the execution of operators' projects as a result of delays in approvals - Good positioning in various projects in the USA
Slide 11: Main ESG KPIs
MAIN ESG KPIs Indicator Ud. 2019* 9M 2024 Goal 2030 ENVIRONMENT Mwh/ Energy Intensity(1) 2.85 1.54 2.13 GAV ENERGY & Ton CO2/ CLIMATE Scope 1 y 2 Emissions intensity(2) 0.70 0.24 0.28 GAV % total % Renewable Energy 0% 33.2% 40% energy CIRCULAR Waste recycled % total 60.5% 83.4% 95% ECONOMY generated
Slide 12: Stock Information
STOCK INFORMATION GROWTH POTENTIAL Stock Evolution Key Data €/share # shares outsanding 126,549,251 3,8 3.64€ 3,6 3.32€ 3,4 €/share (09.30.24) 3.32€ 3,2 3,0 Market Cap. (M€) 420.1M€ 2,8 2,6 2.70€ 2,4 % evolution -5.1% 2,2 2,0 Maximun 3.64€ (Jan. 5) 31/12/2023 10/01/2024 20/01/2024 30/01/2024 09/02/2
Slide 13: Closing of the Strategic Agreement
CLOSING OF THE STRATEGIC AGREEMENT TUBACEX BOOSTS ITS GROWTH WITH THE ENTRY OF MUBADALA IN ITS OCTG BUSINESS SETTING UP OF A JOINT VENTURE IN WHICH TUBACEX HOLDS THE MAJORITY STAKE The operation is structured as a Joint Venture in which TUBACEX holds 51% and Mubadala Investment Company enters with 4
Slide 14: Conclusions: Growth Prospects Over the Coming Quarters
CONCLUSIONS GROWTH PROSPECTS OVER THE COMING QUARTERS ACTIVATION OF THE ADNOC ORDER BACKLOG PROJECT Order backlog remains at historical levels and is Manufacture of materials for the ADNOC project concentrated in high value-added products has commenced Strategic positioning as a key partner in Brazi
Slide 15: New Strategic Plan NT2
NEW STRATEGIC PLAN NT2: NEW TUBACEX NEXT TRANSITION NT2 2027 TARGETS DRIVING SUSTAINABLE VALUE AND TO REDUCE OIL MARKET & GAS LEADERS IN ENTERING INTO A NEW PHASE OF VALUE EXPOSURE TO LOW CARBON CREATION FOR OUR SHAREHOLDERS 1/3 OF THE BUSINESS BUSINESS TO BE A POINT REVENUE REASONS TO INVEST IN TUB
Slide 16: Appendix
APPENDIX 9M 2024 RESULTS / PAG. 16
Slide 17: Consolidated Income Statement Detail
CONSOLIDATED INCOME STATEMENT DETAIL €M 9M 2023 9M 2024 % var. Q3 2023 Q3 2024 % var. Sales 641.9 569.1 -11.4% 207.2 171.1 -17.4% Change in inventories 20.8 38.2 83.4% (16.8) 7.2 n.m. Other income 10.9 10.2 -6.5% 3.1 2.9 -6.5% Cost of materials (293.1) (264.9) -9.6% (83.0) (77.6) -6.5% Personnel exp
Slide 18: Consolidated Balance Sheet Detail
CONSOLIDATED BALANCE SHEET DETAIL (€M) 31/12/23 30/09/24 %var. (€M) 31/12/23 30/09/24 %var. Intangible assets 112.6 114.3 1.6% Equity, Group Share 240.0 236.1 -1.6% Tangible assests 306.7 326.1 6.3% Minority interests 53.6 53.8 0.4% Financial assets 99.1 99.2 0.1% Equity 293.6 289.9 -1.3% Non-curren
Slide 19: Historical Quarterly Evolution: Sales & EBITDA
HISTORICAL QUARTERLY EVOLUTION: SALES & EBITDA Sales €M 207.2 173.3 171.1 152.8 107.6 86.4 Q3 2019 Q3 2020 Q3 2021 Q3 2022 Q3 2023 Q3 2024 EBITDA 29.5 28.0 €M 24.8 16.4% 14.3% 14.2% 13.0 6.6 4.7 8.5% 6.1% 5.5% Q3 2019 Q3 2020 Q3 2021 Q3 2022 Q3 2023 Q3 2024 % EBITDA Margin 9M 2024 RESULTS / PAG. 19
Slide 20: Alternative Performance Measures - APM I
ALTERNATIVE PERFOMANCE MEASURES – APM I Tubacex presents its results in accordance with the generally accepted accounting principles (IFRS). Furthermore, this report provides other non- IFRS financial measures, called Alternative Performance Measures (APM), which are used by management to assess the
Slide 21: Alternative Performance Measures - APM II
ALTERNATIVE PERFOMANCE MEASURES – APM II PROFIT BEFORE TAXES Tubacex presents the calculation of the Profit before tax margin as the ratio between the Profit before tax and the sales figure MARGIN NET FINANCIAL DEBT Tubacex presents the calculation of Net Financial Debt as the difference between the
Slide 22: 9M 2024 RESULTS / PAG. 22
9M 2024 RESULTS / PAG. 22