Abengoa Sa · OTC:AGOAF
Abengoa Sa — H1 2012 Earnings Presentation
43 slides from Abengoa Sa's earnings presentation, Jul 31, 2012
Slide 1: First Half 2012 Earnings Presentation
Innovative Technology Solutions for Sustainability ABENGOA First Half 2012 Earnings Presentation July 31st, 2012
Slide 2: Forward-looking Statement
Forward-looking Statement This presentation contains forward-looking statements and information relating to Abengoa that are based on the beliefs of its management as well as assumptions made and information currently available to Abengoa. Such statements reflect the current views of Abengoa wit
Slide 3: Agenda
Agenda 1 H1 2012 Business Highlights 2 H1 2012 Financial Highlights 3 Conclusions 4 Appendix 3
Slide 4: H1 2012 Business Highlights
Agenda 1 H1 2012 Business Highlights 2 H1 2012 Financial Highlights 3 Conclusions 4 Appendix 4
Slide 5: H1 2012 Key Highlights
H1 2012 Key Highlights Strong results in challenging environment Revenues EBITDA 3,691 M€ 563 M€ 17% (3,143 M€ H1 2011) 21% (464 M€ H1 2011) Net Income Corp. Leverage 110 M€ 3.0x 8% (102 M€ H1 2011) from 2.6x at Q1 2012 Diversification leads our strong resilience 5
Slide 6: Executive Summary
Executive Summary Financials Business 1,663 M€ Syndicated Loan Excellent performance from E&C, Concessions and extended Recycling businesses 33 M€ of positive working Bookings of 1,501 M€ and capital cash flow in Q2 Backlog of 7,092 M€ Ethanol margins YTD lower Completed sale of than exp
Slide 7: E&C: Excellent performance, great visibility
E&C Excellent performance, great visibility 1,972 M€ Revenues in H1 2012, an increase of 26% Y-o-Y Landmark projects awarded 236 M€ EBITDA achieved in H1 2012, with margins of 12.0% 380 M€ CCGT plant in Poland 74.5 B€ Pipeline of new opportunities at June 30, 2012 360 M$ PV plant in USA 45 M$
Slide 8: Concession-type Infrastructures
Concession-type Infrastructures Solid operation, solid cash flow 243 M€ Revenues in H1 2012, an increase of 27% Y-o-Y 160 M€ EBITDA o-Y achieved in H1 2012 , an increase of 19% Y- 425 M€ Equity investment by Abengoa during H1’12 from a total capex of 1,617 M€ 4 new assets commenced operation during
Slide 9: Timeline: Main Projects in Execution
Timeline: Main Projects in Execution As of Jun. 30 ‘12 Abengoa Expected Ann. Fully (Equity 2012 2013 2014 2015 EBITDAe Start Up Funded? Location Capacity Ownership %) (M€) Solacor 1-2 Spain 50 MW x2 74% Q1 12 43 Solaben 2-3 Spain 50 MW x2 70% Q3/Q2 12 41 Helios 1-2 Spain 50 MW x2 100% Q2/Q3
Slide 10: Abengoa Equity Capex Plan
Abengoa Equity Capex Plan Committed equity is fully funded Diversified by Asset Type Diversified by Geography M€ (as of Jun’ 12) Solar 347 Power Transmission 142 320 85 405 Biofuels 85 Cogeneration 11 89 Water 9 297 594 11 64 6 11 264 53 50 3 35 41 101 27 185 129 33 33 9 H2 2012e 2013e 2014e Our 609
Slide 11: Industrial Production
Industrial Production Disappointing ethanol margins; Impressive recycling Biofuels: Production (ML) 913 M€ of revenues for the period, a 7% decrease Y-o-Y 1,183 1,085 5 M€ EBITDA achieved in H1 2012, a 93% decrease Y-o-Y due to low crush margins in the period 3 plants temporarily shut down H1'11 H1'
Slide 12: Ethanol Margins Update
Ethanol Margins Update US and EU crush spread (CS) margins have been suppressed in 1H 2012 Highlights USD/gal Crush Spread LTM 1.20 1.00 Severe drought in US 0.80 0.60 0.40 0.39 Severe rain in Brazil 0.20 0.00 jul-11 sep-11 nov-11 ene-12 mar-12 may-12 jul-12 3 plants idled at the end of June EUR/m3
Slide 13: H1 2012 Financial Highlights
Agenda 1 H1 2012 Business Highlights 2 H1 2012 Financial Highlights 3 Conclusions 4 Appendix 13
Slide 14: H1 2012 Key Financial Highlights
H1 2012 Key Financial Highlights Building strength in a challenging environment Growth Diversification Deleverage/Liquidity Protection E&C Syndicated Loan Extension Revenues 1,972 M€ +26% 1,663 M€ 3,691 M€ Concessions already secured 243 M€ +27% 17% (3,143 M€ H1 2011) Industrial Production IDB Revol
Slide 15: E&C Cycle
E&C Cycle Securing revenues going forward from identified opportunities Figures as of H1’12 Pipeline Bookings 5% 11% 18% 17% 30% 1% 1% 18% 20% 5% 5% 38% Backlog 5% 26% 6% 7% 74,450 M€ 1,501 M€ 25% 23% 16% 5% 18% Asia Rest of Europe Brazil Africa Rest of LatAm USA E&C 7,092 M€ Spain Revenues +26% 15
Slide 16: High Revenue Visibility
High Revenue Visibility Backlog (M€) Estimated Conversion to Revenues Jun. 2012 Rest of 2012e 2013e 2014e+ E&C Order Book 7,092 3,050 2,423 1,619 33,515 Concession-type 32,527 Asset based, recurring revenues 239 749 Industrial Production 15,500 (1) 11,200 2,800 1,500 (1) Illustrative calculation acc
Slide 17: Capex Plan – Financing secured
Capex Plan – Financing secured Committed Capex fully financed through a balanced mix Diversified by Financing Source Track record of successful closing M€ (as of Jun’ 12) of non-recourse, ring-fence Committed Non- 1,601 structure financing, for concession Recourse Debt projects awarded Committed 1
Slide 18: Reinforced Capital Structure
Reinforced Capital Structure Continue to monitor leverage on track M€ Jun 2011 Dec 2011 Jun 2012 Corporate Debt 4,951 4,830 5,140 Corporate Cash, Equiv. & STFI (2,340) (3,346) (2,743) Total net corporate debt 2,611 1,484 2,397 N/R Debt 4,542 5,390 6,000 N/R Cash Equiv. & STFI (1,201) (1,406) (974) T
Slide 19: Key Leverage Ratios
Key Leverage Ratios Continue to monitor leverage on track H1 2011 FY 2011 H1 2012 Corporate 4.6x 2.1x 3.0x (excl. pre-op. debt) 2.9x 0.3x 1.4x Non-Recourse 8.4x 8.7x 12.0x (excl. pre-op. debt) 5.3x 4.5x 6.5x Consolidated 6.4x 5.0x 6.2x (excl. pre-op. debt) 4.0x 2.1x 3.2x 19
Slide 20: Net Debt Bridge
Net Debt Bridge Net cash generated from operating activities Consolidated 108 M€ 235 1,814 (563) 361 7,423 5,468 Net Debt EBITDA NWC Total Net Net Interest FX and Other Net debt Dec´11 Investment Paid and Taxes Jun´12 20
Slide 21: Debt Maturity Profile
Debt Maturity Profile Improved maturity profile and liquidity position at June 30, 2012 Corporate Debt (M€) Highlights 2,743 No refinancing needs at corporate level through 2014 1,297 912 930 875 Proactive management of maturities: 682 534 456 506 250 extension process for syndicated loans 357 s
Slide 22: Conclusions
Agenda 1 H1 2012 Business Highlights 2 H1 2012 Financial Highlights 3 Conclusions 4 Appendix 22
Slide 23: 2012 Guidance update
2012 Guidance 2012 Guidance update Guidance Highlights Previous New Revenue 7,550 – 7,750 M€ Great visibility from E&C Backlog Revenue growth 8% √ EBITDA 1,275 - 1,325 M€ 1,175 - 1,225 M€ Excellent operating performance from our concessional assets EBITDA growth 18% 9% 780 - 800 M€ 730 – 750 M€
Slide 24: Appendix
Agenda 1 H1 2012 Business Highlights 2 H1 2012 Financial Highlights 3 Conclusions 4 Appendix 24
Slide 25: Business Diversification
Business Diversification Robust growth from diversified source of revenues H1 2012 Revenues (M€) Q2’11 Q2’12 Var% H1’11 H1’12 Var% E&C 784 1,041 33% 1,569 1,972 26% Concession-type 40% 105 140 33% 192 243 27% Infrastructure 53% Industrial Production 756 746 -1% 1,382 1,476 7% Total 1,645 1,927 17% 3
Slide 26: Results by Activity
Results by Activity M€ Revenues EBITDA Margin H1 2011 H1 2012 Var (%) H1 2011 H1 2012 Var (%) H1 2011 H1 2012 Engineering and Construction E&C 1,569 1,972 25.7% 183 236 29.0% 11.7% 12.0% Total 1,569 1,972 25.7% 183 236 29.0% 11.7% 12.0% Concession-type Infrastructure Transmission 116 61 -47.4% 92 46
Slide 27: Geographic Diversification
Geographic Diversification A truly global business Revenues H1 2012 5% 2% 13% E&C Geographies 13% 4% Concessions Spain Rest of Latin America 11% Industrial Production 28% 16% Brazil Asia & Oceania US Africa 17% 19% Rest of Europe E&C Concessions Industrial Production 1% 1% 2% 7% 16% 4% 17% 27% 24% 2
Slide 28: Cash-flow Statement
Cash-flow Statement Operating cash flow affected by seasonality working capital M€ Jun 2011 Jun 2012 Consolidated after-tax profit 117 132 Non-monetary adjustments to profit 341 259 Variation in working capital 364 (361) Discontinued activities (98) 0 Cash generated by operations 724 30 Net interest
Slide 29: 2012 Guidance
2012 Guidance M€ E&C Evolution Total Revenues E&C Concession-Type 7,650 4,100 Infrastructures 7,089 3,526 2,302 Industrial Production 1,683 3,085 2009 2010 2011 2012e 3,136 4,860 Concession-Type Infrastructures Evolution 465 3,444 2,250 427 1,542 308 308 427 465 4,100 219 219 3,526 2,302 2009 2010 2
Slide 30: E&C: A global leader in the power sector
E&C A global leader in the power sector (M€) Revenues EBITDA Backlog 1,972 7,078 7,092 1,569 236 183 11.7% 12.0% H1 2011 H1 2012 H1 2011 H1 2012 Q1 2012 H1 2012 Bookings Revenue Breakdown2 2,1701 1,501 24% External with Equity External 76% H1 2011 H1 2012 1Includes Mojave CSP plant for 1,200 M$ cont
Slide 31: E&C Backlog
E&C Backlog Solid backlog, well diversified, provides revenue visibility Backlog (M€) By Geography By Type* LatAm External 22% 30% USA 38% External with Equity Europe 62% 7,535 23% 7,078 7,092 25% RoW 6,122 By Sector By Size 10% Solar < 100 M€ 13% T&D 1% 27% 30% Environment 100-500 M€ 15% 47% Conven
Slide 32: E&C – Bookings
E&C – Bookings Solid booking activity securing backlog at high levels Bookings (M€) By Geography By Type Asia 7% External 17% 21% 2,1701 LatAm External with Equity Europe 18% 43% 1% Africa 93% 1,501 USA By Sector By Size Solar < 100 M€ 16% 20% Environment 22% 5% T&D 100-500 M€ 2% 9% Conventional Pow
Slide 33: E&C – Pipeline
E&C – Pipeline Continuing to find new opportunities M€ By Geography By Type 74,450 Asia 72,537 5% External 11% 24% 30% LatAm External with Equity 23% Europe Internal Africa 76% 31% USA By Sector By Size T&D < 100 M€ 18% 24% Conventional 28% 1% Power 100-500 M€ 42% 12% Environment Solar > 500 M€ 12%
Slide 34: Concessional Asset Portfolio
Concessional Asset Portfolio Significant capacity increase when completing capex plan Concession-type infrastructures Solar (MW) Transmission (km) 1,653 6,988 150 50 860 5,167 643 1,771 643 1,771 Jun 2012 E2013/14 Jun 2012 E2013/14 Cogeneration & Others (MW) Desalination (Ml/day) 920 807* 60 114 560
Slide 35: Concession-type Infrastructure: Balanced Asset Portfolio
Concession-type Infrastructure Balanced Asset Portfolio Under Total Non Capex Operating Construction/ Gross Recourse Invested at (M€) (Gross) Development Assets Net Assets1 ABG Equity Net Debt Partners Jun. 2012 Trasmission 542 1,627 2,169 2,143 720 1,171 252 475 CSP 2,635 1,463 4,098 3,976 1,239 2,
Slide 36: Capex Plan
Capex Plan Focused investment strategy to diversify business profile Diversified by Asset Type Diversified by Geography M€ (as of Jun’ 12) Solar 1,410 Power Transmission 548 1,336 232 1,568 Biofuels 232 Cogeneration 65 352 Water 85 1,109 1,090 2,340 65 57 65 28 196 261 69 157 131 417 74 774 501 141
Slide 37: Capex Committed by segment (I)
Capex Committed by segment (I) Amounts based on the company´s best estimate as of June 30, 2012. Actual investments or timing thereof may change. Total Total Entry in ABG Committed (M€) Capacity Abengoa (%) Country Operation Investment Pending Corporate Partners Debt Capex Solar 3,799 1,410 347 6 1,
Slide 38: Capex Committed by segment (II)
Capex Committed by segment (II) Amounts based on the company´s best estimate as of June 30, 2012. Actual investments or timing thereof may change. H2 2012 2013 2014 Total ABG Total ABG Total ABG Committed (M€) Capex Corporate Partners Debt Capex Corporate Partners Debt Capex Corporate Partners Debt
Slide 39: Non-Committed Capex Plan
Non-Committed Capex Plan Focused investment strategy to diversify business profile Diversified by Asset Type Diversified by Geography M€ (as of Jun’ 12) Solar 1,462 Power Transmission 33 944 Cogeneration 104 Water 374 Recycling 100 518 971 2,073 64 703 153 2 55 24 43 276 9 49 399 34 600 675 178 187
Slide 40: Capex Non-Committed by segment (I)
Capex Non-Committed by segment (I) Amounts based on the company´s best estimate as of June 30, 2012. Actual investments or timing thereof may change. Total Total Entry in ABG Non-Committed (M€) Capacity Abengoa (%) Country Operation Investment Pending Corporate Partners Debt Capex Solar 1,486 1,462
Slide 41: Capex Non-Committed by segment (II)
Capex Non-Committed by segment (II) Amounts based on the company´s best estimate as of June 30, 2012. Actual investments or timing thereof may change. H2 2012 2013 2014+ Total ABG Total ABG Total ABG Non-Committed (M€) Capex Corporate Partners Debt Capex Corporate Partners Debt Capex Corporate Partn
Slide 42: Syndicated Loans Extension
Syndicated Loans Extension Great success obtained in challenging credit environment Terms of the operation 1,663 M€ extension already closed with 37 banks 3.36 years average life of the new debt (vs. previous 0.93 years) 375-425 bp spread of new debt, escalating from 2012-2016 period Protecting liqu
Slide 43: Thank you
Innovative Technology Solutions for Sustainability ABENGOA Thank you July 31st, 2012