2011 03-28 cteep-presentation_4_q10
TRANSCRIPT
© Todos os direitos reservados para CTEEP
São Paulo, March 28th 2011
2010 Results Presentation
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Agenda
Capital Market Performance
2010 Results
IFRS – Key Impacts
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IFRS - Key Impacts Equity
2010 2009 01.01.2009
According BR GAAP 4,440,350 4,185,346 4,103,296
Concession agreements 165,611 112,959 - Employee Benefit - 13,601 68,503 Negative Goodwill 32,557 49,541 66,525 Deferred income Tax and Social Contribution (74,683) (66,718) (59,601)Accounting of the proposal of dividend payment - 368,282 228,390
According IFRS 4,563,835 4,663,011 4,407,113
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IFRS – Key ImpactsIncome Statement
BR GAAP Adjustment IFRSOperational Revenues 1,912.8 543.1 2,455.8
Deductions from gross revenues (256.3) (50.5) (306.8) Net Operating Revenue 1,656.5 492.5 2,149.0
Operational Costs and Expenses (289.3) (644.0) (933.3) EBITDA 1,367.2 (151.4) 1,215.7 % EBITDA Margin 82.5% 56.6%
Depreciation (219.8) 215.1 (4.7) EBIT 1,147.4 63.6 1,211.0
Financial Income 154.2 1.9 156.0 Finacial Expenses (424.9) (2.9) (427.7) Other operating expenses (31.2) (16.9) (48.1)
Income before taxes/ social contribution 845.4 45.8 891.2 Taxes and social contribution (268.1) (11.7) (279.8) Interest on own capital 250.6 - 250.6
Net Income 828.0 34.0 862.0 % Net Margin 50.0% 40.1%
2009
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IFRS - Key Impacts Balance Sheet
BR GAAP Adjustment IFRS BR GAAP Adjustment IFRS
ASSETS 6,321.0 67.0 6,388.0 5,669.5 (49.2) 5,620.3Current Assets + Long Term 1,571.5 4,793.4 6,364.9 1,359.7 4,242.2 5,601.9
Cash and cash equivalents (ST + LT) 43.2 0.0 43.2 123.0 0.0 123.0
Clients 351.6 4,735.7 5,087.3 344.4 4,242.3 4,586.7
Deferred Taxes (ST + LT) 98.6 (70.1) 28.4 88.0 (60.8) 27.1
Inventory (LT) 0.0 126.9 126.9 0.0 70.6 70.6
Other 1,078.1 1.0 1,079.1 804.3 (9.8) 794.5
Property, Plant and Equipament (Own + Concession) 4,749.6 (4,726.4) 23.1 4,309.9 (4,291.4) 18.5
CURRENT LIABILITIES 6,321.1 67.0 6,388.1 5,669.6 (49.3) 5,620.3Non-Current Liabilities + Long Term 2,135.8 (410.7) 1,725.1 1,566.3 (353.1) 1,213.2
Loans, Financing and Bonds (ST + LT) 1,049.4 0.0 1,049.4 856.8 0.0 856.8
Deferred Taxes (ST + LT) 0.0 3.1 3.1 0.0 0.6 0.6
Negative Goodwill 49.5 (49.5) 0.0 66.5 (66.5) 0.0
PIS and COFINS deferred 0.0 60.2 60.2 0.0 9.7 9.7
Interest on Shareholder´s Equity 374.4 (368.3) 6.1 233.3 (228.4) 4.9
Installment of Adjustment (ST + LT) 42.6 (42.6) 0.0 0.0 0.0 0.0
Amounts Payable - Fund. CESP 13.6 (13.6) 0.0 66.5 (66.5) 0.0
Other (ST + LT) 606.3 0.0 606.3 343.2 (2.0) 341.2
Shareholder´s Equity 4,185.3 477.7 4,663.0 4,103.3 303.8 4,407.1
01.01.2009R$ million
2009
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2010 Results
6
Agenda
Capital Market Performance
IFRS – Key Impacts
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Gross Operating Revenue
Gross Operating Revenue increased 3.9%, to R$ 2,551.5 million in 2010 against R$ 2,455.8 million in 2009due to the growth of 22.7% in construction revenues and 2.0% in financial revenues, partially offset by thereduction of 11.5% of operation and maintenance revenues.
(R$ milliion)
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Net Operating Revenue
Net operating revenue increased 5.0% totaling R$ 2,256.3 million in 2010 againstR$ 2,149.0 million in 2009 due to the factors mentioned above.
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Costs of the Operating Services and Operational Expenses
Major changes:
Construction, operational and maintenance costs rose 32.6% to R$ 948.3 million in2010 against R$ 715.0 million in 2009. This increase reflects the 33.1% hike inconstruction costs together with the rise of 32.1% in operational and maintenance costs.
The increase reported in construction costs was the result of the advance in work atIEMadeira offset by a reduction in upgrading and expansion work at CTEEP and theconclusion of work or startup of operations at the IEMG, IENNE and Pinheiros controlledcompanies.
Growth registered in operation and maintenance costs was the result of a largernumber of maintenance events at CTEEP’s installations and the entry into operation ofthe IEMG, IENNE and Pinheiros controlled companies.
General and administrative expenses posted a 38.1% reduction to R$ 137.9 million in2010 against R$ 223.0 million in 2009 due to a fine imposed in the course of regularizinga tax issue in 2009.
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Ebitda and Ebitda Margin
In 2010, the EBITDA margin was 52.1%, totaling R$ 1,176.1 million, a reduction of 3.3% compared with2009 when the margin reached 56.6% and EBITDA, R$ 1,215.7 million, due to an increase of 32.6% inconstruction and operation costs.
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Financial Results
Major changes:
The financial result was an expense of R$ 356.3 million in 2010, corresponding to anincrease of 31.1% in relation to R$ 271.7 million in 2009 due to higher debt in 2010compared to 2009, largely reflecting overheads with a debenture issue in January 2010.
If the impact of interest on shareholders’ equity is excluded, then the financial result for2010 would have reported an expense of R$ 104.7 million.
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Net Income
(R$ million)
Earnings per share were R$ 5.36207 in 2010
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Capital StructureThe debt ratio (ratio of net debt and equity), in the end of 2010 reached 30.1%.
*With the bonus of 1.5% due performance of the cost of debt is 8.5% per year in the second line of IENNE.
BNDESTJLP + 2.3% year 15/6/2015 421.146 514.117 606.169 TJLP + 1.8% year 15/6/2015 160.605 ‐ ‐
IEMG TJLP + 2.4% year 15/4/2023 37.630 40.680 ‐ IEMADEIRA TJLP + 2.8% year 15/4/2011 185.134 ‐ ‐ Comercial Papers1st Series ‐ 17/9/2009 ‐ ‐ 199.068 2sd Series 119.5% year CDI 19/4/2010 ‐ 213.696 ‐ 3rd Series 106.5% year CDI 13/1/2010 ‐ 208.029 ‐ Debentures1st Issuance CDI + 1.3% year 15/12/2014 490.405 ‐ ‐ 2sd Issuance IPCA + 8.1% year 15/12/2017 65.388 ‐ ‐ Banks
CDI + 2% year ‐ 1.396 45.717 51.010 10,0% year 19/5/2030 56.094 ‐ ‐
IESUL CDI + 1.5% year 11/3/2011 8.297 24.537 ‐
Eletrobras ‐ 15/11/2021 441 491 541 Leasing ‐ ‐ 1.702 2.143 ‐
Total 1.049.410 856.7881.428.238
Funding Charges Maturity 2010 2009 1/1/2009
CTEEP
IENNE
56.3%35.0%
4.6%4.1%
Distribuition of debt burdens
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2010 Results
Capital Market Performance
IFRS – Key Impacts
Agenda
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Capital Markets
170.4 thousand trading transactions in 2010 (690 daily average traded).
Present on all trade days;
Component of Ibovespa;
R$ 8.3 billion market capitalization.
0.00
5.00
10.00
15.00
20.00
25.00
J-10 F-10 M-10 A-10 M-10 J-10 J-10 A-10 S-10 O-10 N-10 D-10
Trading Financial - 2010(R$ million)
Total R$ 1,768.05 million Daily Avarege: R$ 7.2 million
80
85
90
95
100
105
110
115
120
TRPL4 Ajustad
TRPL4 Unadjusted
IBOVESPA
IEE
+ 6.47%
+18.09%
+ 11.98%
+ 1.04%
TRPL4, IBOV e IEE(base 30/12/2009 = 100)
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American Depositary Receipts - ADRs
16
Capital Markets
Increase of 19.5% in the price of ADRs against the 2009
Financial Volume of ADRs increase 20% compared with 2009
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Shareholder Remuneration
During 2010, CTEEP approved the payout of R$ 188.6 million in interest on shareholders equity corresponding to R$ 1.24 per share and R$ 578.2 million in dividends equivalent to
R$ 3.83 per share.
EVENT DATE TOTAL P/SHARE
RCA 9/30/2010 Dividends 2010 146,280,110.02 0.963453 10/25/2010RCA 9/30/2010 Int. Equ. Cap. 2010 63,719,889.98 0.419682 10/25/2010RCA 6/28/2010 Int. Equ. Cap. 2010 62,925,824.42 0.414452 7/23/2010RCA 6/28/2010 Dividends 2010 63,671,569.98 0.419364 7/23/2010
AGO/E 4/29/2010 Dividends 2009 77,302,605.60 0.509143 7/23/2010RCA 3/30/2010 Int. Equ. Cap. 2010 61,920,147.06 0.411002 4/20/2010RCA 3/30/2010 Dividends 2009 129,979,852.90 0.862756 4/20/2010RCA 1/11/2010 Dividends 2009 161,000,000.00 1.068656 1/22/2010
766,799,999.96 5.068508
AMOUNT R$ DATE OF PAYMENT
TOTAL OF PAYMENT
TYPE FISCAL YEARAUTHORIZED
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Disclaimer
All statements contained herein with regard to the Company’s business prospects, projected results and the potential growth of its business aremere forecasts, based on local managementexpectationsin relation to the Company’s future performance.
Dependent as they are on market shifts and on the overallperformance of the Brazilian economy and the sector
and international markets, such estimates are subject to changes.
© Todos os direitos reservados para CTEEP2010 Results Presantion 19Apresentação de Resultados 2010 19
Investor Relations
Phone: +55 11 3138-7557email: [email protected]/ir