analysts presentation trevi group 3q13 presentation.ppt ......financial results conference call...
TRANSCRIPT
Financial Results
CONFERENCE CALL
Cesena
15th November 2013
2013 Third Quarter Results
Ended 30th September 2013
1. TREVI Group
2. 9M 2013 Financial Results
3. Q&A
4. Appendix
2
Rome (ITALY) Metro Line Soilmec Hydromill
FOUNDATION
ENGINEERING
TREVI Group: Competitive Advantage
3
Special foundation services
Special foundation rigs
Oil drilling rigs
Oil drilling services
GROUP SYNERGIES
CONSTANT INNOVATION
OUR COMPETITVE
ADVANTAGE
STRENGTHENING MARKET LEADERSHIP
OIL&GAS
Thailand
Venezuela
U.S.A.
Mozambique
Nigeria
U.A.E.
Oman
Italy
Colombia
Qatar
New Zealand
Peru
Austria
Venezuela
Argentina
AlgeriaPhilippines
Panama
Angola
Colombia
Saudi Arabia
Libya
PETREVENDivision
TREVIDivision
Italy
Chile
Denmark
Kuwait
Turkey
Brazil
4Argentina
Brazil
Hong Kong
34 Operating Companies in 25 Countries – 48 Business Units
TREVI Group: Services Presence
Germany
Canada
Japan
China
Singapore
Italy
U.S.A.
France
India
Germany
U.S.A.
Australia
Italy
Brazil
Algeria
U.A.E.
Hong Kong
Colombia
Russia
UK
DRILLMECDivision
SOILMECDivision
5
18 Operating Companies in 13 Countries – 21 Business Units
TREVI Group: Mechanical Engineering Presence
Canada
Brazil
Columbia
Argentina
U.A.E.
Ethiopia
Australia
Singapore
Belarus
� Improved all KPIsAll major Key Performance Indicators increased in the nine months
� Marginality is on track for delivery and in line with expectations The Group is progressing on a clear path of normalizing performance; 3Q results confirm
� Backlog at attractive levelsGood outlook for future business going ahead
� Foundation services a good performer Growth in profitability continues
� Oil & Gas business proceeding with upgrades in orders Performance showing signs of improvement & delivery for Offshore to be expected by 2Q14
� Strategic orders in finalizing phase of negotiationsNew orders to be acquired by the end of current year
6
TREVI Group: 9M 2013 Key messages
Group’s Overlook 9M 2013SP
EC
IA
L F
OU
ND
ATIO
NS SER
VIC
ES
•Resilient 9M contracts execution & performance
•Easing Outlook in Key markets
•Increase in Revenues & Margins
•Italian market situation still difficult to unwind
•Interesting large infrastructure sector & construction sector still under pressure
OIL &
GA
S S
ER
VIC
ES
•Registered growth of over 24% growth YoY
•Relocation of some rigs taking place
•HH rigs operating with targeted efficiency rates
OIL &
GA
S R
IG
S
•Reassuring 44% increase in YoYrevenues showing sound growth
•Prospective growing interest in Offshore markets with sound opportunities ahead
•Delivery of Offshore contract postponed for upgrade of order to 2Q14
•Onshore continuing demand
•Exploration and Production capexon track S
PEC
IA
L F
OU
ND
ATIO
NS R
IG
S
•Comforting backlog; Record high in the last year
•New orders on the way for production in the 4Q
•Competitive pressure from markets remains
•Demand very sluggish & mixed markets perspective
•Higher competition hindering pricing and marginality
7
1. TREVI Group
2. 9M 2013 Financial Results
3. Q&A
4. Appendix
8
Copenaghen (DENMARK) CITYRINGEN work site
9
9M 2013 Results
� Strong growth in consolidated revenues Increased volume of sales +16,3%
� Marginality improved Strong business performance & delivery +36,8%
� Backlog mostly unchanged Significant visibility on future revenues
� Net Financial Position slightly higherThe net indebtedness increased vs 9M12
Revenues: €952m €818m vs 9M12
EBITDA: €101m €74m vs 9M12
EBIT: €56m €32m vs 9M12
PBT: €25m €16m vs 9M12
Backlog: €838m €871m vs 9M12
NFP: €505m €480m vs 9M12
10
TREVI Group: (KPI) Key Performance Indicators
REVENUES
EBT
EBITDA
EBIT
+16,3% +36,8%
+73,8% +61,4%
9M12 vs 9M13
Eur
mln
9M 2013 % 9M 2012 % ∆%
VALUE OF PRODUCTION 975,5 854,8 14,1%
REVENUES 951,9 100,0% 818,5 100,0% 16,3%
EBITDA 100,8 10,6% 73,7 9,0% 36,8%
EBIT 55,8 5,9% 32,1 3,9% 73,8%
FINANCIAL COSTS (20,4) C2,1% (16,0) C2,0% 26,9%
TAXES 11,1 1,2% 10,1 1,2% A9,9%
NET PROFIT 12,0 1,3% 4,9 0,6% 143,0%
9M 2013 9M 2012 ∆%
NET CAPITAL EMPLOYED 938,8 914,4 2,7%
EQUITY 432,8 433,8 A0,2%
NET FINANCIAL POSITION 505,2 480,0 A5,3%
BACKLOG 838,2 871,5 A3,8%
9M 2013 9M 2012
NFP / EBITDA 3,76X 4,88X
NFP / EQUITY 1,17X 1,11X
9M 2013 9M 2012
EMPLOYEES 7.427 6.25611
Financial Highlights 9M13 yoy
Eur mln
Eur mln
Based on non Consolidated data12
Services
46,3%
Mechanical
Engineering
53,7%
Oil & Gas
48,0%
Core
Business
52,0%
One Group: Two Points of view
To
tal
Reven
ues 9
M1
3:
Eu
r9
51
.9 m
ln
13
Revenues Before and After Consolidation
Eur mln 9M13 9M12 ∆% ∆% ∆% ∆%
Special Foundation Services (TREVI) 358,8 331,4 8,3%
Drilling Services (PETREVEN) 92,1 73,9 24,6%Interdivisional Adjustments and Eliminations (2,7) (3,4)
SubCTotal Foundations and Drilling Services Sector 448,3 401,9 11,5%
Machines for Special Foundations (SOILMEC) 148,2 171,0 713,3%Drilling Rigs (DRILLMEC) 375,4 259,2 44,8%
Interdivisional Adjustments and Eliminations (0,4) (1,5)
SubCTotal Mechanical Sector 523,1 428,7 22,0%
Parent Company 10,6 10,2Interdivisional Eliminations (30,1) (22,3)
TOTAL CONSOLIDATED REVENUES 951,9 818,5 16,3%
14
Breakdown per Geographical Area
469,0
589,0
779,9
836,4
689,1
724,1
818,5
951,9
15
Backlog
Foundation Sector
681,0783,5
1.228,6
759,4
1.021,2
871,5 838,2
Drilling Sector
GEOGRAPHICAL AREA (Eur mln) 9M13 %
Italy 143,0 17,1%
Europe (Italy excl.) 90,3 10,8%
U.S.A. and Canada 71,4 8,5%
Latin America 366,0 43,7%
Africa 62,9 7,5%
Middle East and Asia 71,9 8,6%
Far East 32,7 3,9%
TOTAL 838,2 100,0%
NFP 9M13NFP FY12 EBIT + D&A
FREE CASH FLOW
C 56,5 mln Eur
Eur
mln
INVESTMENTS INTERESTS EXCHANGE DIFFERENCES
OTHERTAXES ∆ WORKING CAPITAL
16
Net Financial Position
Eu
r m
ln
EBITDA/Net Fin. Exp.17
Financial Ratios
9M 09 9M 10 9M 11 9M 12 9M 139M 089M 07
5,0x4,6x7,9x11,5x11,7x10,8x8,4x
142,6
441,8
247,9
385,7
480,0
395,7
505,2
149,5
294,4
218,4
376,6
505,2
349,6
433,8
112,7
432,8
Eur mln
EQUITY NET FINANCIAL POSITION
Short Term Debt
Long Term Debt
18
Equity and Net Financial Position
19Based on non Consolidated Data
Foundations and Drilling Services
284,3
427,9
359,4 362,1354,8
401,9
448,3
Based on non Consolidated Data20
Mechanical Engineering
323,1
417,1444,3
342,4
397,3428,7
523,1
Guidance & Results
21
� Increase in Revenues
� Significant improvement of marginality in the Oil & Gas sector
� NFP tracks the increase in production
� Important contracts to be finalized by year end 2013
More challenging
Outlook for the year
2013*
REVENUES
EBITDA
NFP Targeting9M13 levels
+5/10%
+5/10%
* vs Results FY 2012
1. TREVI Group
2. 9M 2013 Financial Results
3. Q&A
4. Appendix
22
Drillmec HHA201
23
Income Statement 9M13 vs 9M12
Eur 000 9M13 9M12 ∆% ∆% ∆% ∆%
TOTAL REVENUES 951.911 818.452 16,3%
Changes in inventories of finished and semiCfinished products 11.466 19.698
Increase in fixed assets for internal use 12.086 16.600
Other nonCordinary operating revenues 0 0
VALUE OF PRODUCTION 975.463 854.751 14,1%
Raw materials and external services 691.952 608.650
Other operating costs 12.126 10.213
VALUE ADDED 271.385 235.888 15,0%
Personnel expenses 170.550 162.157
EBITDA 100.835 73.731 36,8%
% Total Revenues 10,6% 9,0%
Depreciation 39.092 36.118
Provisions and writeCdowns 5.961 5.525
EBIT 55.782 32.088 73,8%
% Total Revenues 5,9% 3,9%
Financial revenues/(expenses) (20.364) (16.048)
Gains/(Losses) on exchange rates (9.951) (359)
Other Gains/(Losses) (152) 0
EBT 25.315 15.680 61,4%
Tax 11.090 10.089
Minorities 2.207 647
GROUP NET PROFIT 12.018 4.945 143,0%
24
Statement of Financial Position 9M13 vs 9M12
Eur 000 9M13 9M12 ∆% ∆% ∆% ∆%
Fixed assets
C Tangible fixed assets 346.328 338.532
C Intangible fixed assets 31.175 25.576
C Financial fixed assets 6.922 10.181
Net working capital
C Inventories 554.891 479.202
C Trade receivables 444.571 343.734
C Trade payables (C) (313.792) (194.065)
C PreCpayments (C) (148.194) (80.319)
C Other assets (liabilities) 37.926 11.974
Fixed assets plus net working capital 959.826 934.816 2,7%
PostCemployment benefits (C) (21.040) (20.367)
NET INVESTED CAPITAL 938.785 914.448 2,7%
Financed by:
Group net shareholders' funds 412.010 420.865
Minorities' share of net shareholders' funds 20.765 12.903
Net financial position 506.010 480.681
TOTAL SOURCES OF FINANCING 938.785 914.448 2,7%
1. TREVI Group
2. 9M 2013 Financial Results
3. Q&A
4. Appendix
25
Works on the Panama Canal – (PANAMA)
The Executive in charge of the preparation of accounting documents “Daniele Forti” declares,pursuant to paragraph 2 of article 154Cbis of the consolidated law on finance, that the
accounting information contained in this presentation corresponds to the document results,
books and accounting records.
This presentation, prepared by TREVI – Finanziaria Industriale SpA, contains forward lookinginformation and statements about the group and in no case may it be interpreted as an offer or
an invitation to sell or purchase any security issued by the company or its subsidiaries.
These statements include financial projections and estimates and their underlying assumptions,
statements regarding plans, objectives and expectations to future operations, products andservices, and statements regarding future performance.
Forward looking statements involve inherent risks and uncertainties are current only at the
date they are made.
However, the management of TREVI – Finanziaria Industriale SpA believes that the
expectations are reasonable, but, at the same time, points out to holders and investors that all
the information and all the statements are subject to various risk and many of which are very
difficult to predict and to control.
TREVI – Finanziaria Industriale SpA does not undertake any obligation to update forward
looking statements to reflect any changes in own expectations with regard thereto or any
changes in events.
26
Disclaimer
