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Coffey International Limited UBS Presentation6 November 2013

1. Review of FY2013

6 November 2013UBS Presentation

2

Tough times – robust and responsive strategy

• Safety disciplines are strong

• A diversified portfolio strategy – stable International Development revenues offsetting a more volatile Geosciences revenue

• Geosciences margins remain our greatest challenge and opportunity

• International Development performing well

• Fixed costs reduced significantly

• Ongoing debt reduction

• Staff turnover below target

• A flatter and more responsive management structure

• A refreshed brand facilitates cross-selling and efficiencies

• Changed behaviours are driving a better business

• Continuing to do great work for our clients


Safety discipline remains strong

*LTIFR = Lost Time Injury Frequency Rate

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

Jun-10 Dec-10 Jun-11 Dec-11 Jun-12 Dec-12 Jun-13

Coffey LTIFR* (12 month rolling average) June 2010 to Sept 2013

LTIFR External Benchmark

FY2013 Full Year Results


4

5

A robust portfolio strategy

Significant divestments Focused portfolio

• LA Environments divested – June 2011

• Commercial Advisory closed – July 2011

• Middle East Project Management closed – September 2011

• Coffey Rail sold – February 2012

• Running off existing STA* contracts with reduced overhead

* Specialist Training Australia

Australia Offshore

• Geosciences 80% 20%

• Project Management 70% 30%

• International Development 30% 70%


Positive operating cash flow

* Total restructuring cost of $10.2m of which $4.0m cash outflow will incur in FY2014

$15.9m

($4.9m)

$21.8m$18.1m

$6.2m

FY2010 FY2011 FY2012 FY2013

Operating cash flow

Internally funded restructure costs*


6

Continuous debt reduction – facilities extended for three years

$121.2m

$32.3m

$66.0m

$39.7m

$58.0m

$28.8m

Net debt UnderlyingEBITDA



Net debt/EBITDA= 1.7



FY2011 FY2012 FY2013


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Reasonable results in a tough Geosciences market

FY12 FY13($m) ($m)

Total revenue 678.1 688.4 2%

Fee revenue 421.5 411.0 (2%)

Underlying EBITDA1 39.7 28.8 (28%)

Underlying EBITDA from continuing businesses2 36.8 28.8 (22%)

Restructuring costs (1.2) (10.2)

Vendor earn-out (1.6) 0.0

Impairment (37.4) 0.0

EBITDA3 (0.5) 18.6

EBIT (9.6) 9.2

NPAT attributable to members of Coffey International Limited (34.5) (1.0)

EPS (Basic - cents per share) (16.3) (0.4)

Change FY13 V FY12

1 Underlying EBITDA - EBITDA (Earning Before Interest, tax, Depreciation and Amortisation) before restructure costs, impairment and vendor earn-out. 2 Comparative period includes discontinued businesses³ EBITDA Earnings Before Interest, Tax, Depreciation and Amortisation


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$36.8m

$29.5m

($0.3m)

$14.8m

$28.8m

$17.1m

($1.8m)

$18.3m

Coffey Continuing Businesses Geosciences Project Management International Development

FY2012 FY2013

Resilient profits – responsive management

Underlying EBITDA

Coffey continuing businesses Geosciences Project Management International

Development

$10.2m $7.3m $2.5m $0.3m

Restructuring costs incurred in FY2013*

* Restructuring costs of $1.9m reported in H1 with $8.3m incurred in late H2 FY2013.


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$13.7m $9.8m $2.2m

$118.3m $128.7m $148.4m $152.9m $154.0m

$24.1m $24.1m $22.4m $17.9m $14.6m

$157.3m $172.3m $170.2m $189.0m $159.9m

$313.4m$334.9m $343.3m $359.8m

$328.5m

H2 2011 H1 2012 H2 2012 H1 2013 H2 2013

Geosciences Project Management International Development Other*

Our business

Total revenue by segment

* Discontinued businesses

49%

4%

47%


10

Coffey headcount

Employee numbers reflect current market conditions

* 30 more redundancies scheduled in H1 FY2014. All notified and provisioned** International Development includes 1,300 contractors

350 340 310 280 220

1,600 1,612 1,600 1,700 1,700

200 200 200 170 150

1,650 1,800 1,950 1,920 1,700

3,800 3,952 4,060 4,0703,770

Jun-11 Dec-11 Jun-12 Dec-12 Jun-13

Geosciences Project Management* International Development** Corporate & Functional shared services


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Geosciences – margin uplift our biggest challenge

15%

8%

16%

9%7%

12% 12%10% 9%

4%

H1 2009 H2 2009 H1 2010 H2 2010 H1 2011 H2 2011 H1 2012 H2 2012 H1 2013 H2 2013

Geosciences Underlying EBITDA margin %(EBITDA/ Fee revenue)


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PNG LNG Project, Exxon Mobil, Papua New Guinea - Coffey conducted and compiled the environmental impact assessment for the PNG LNG Project. The Project’s environmental impact statement (EIS) was approved in 2009 by the PNG Department of Environment and Conservation (DEC).The PNG LNG Project is an integrated development that includes natural gas production and processing facilities, onshore and offshore pipelines and liquefaction facilities. The PNG LNG Project is operated by Esso Highlands Limited, a subsidiary of Exxon Mobil Corporation, in co-venture with Oil Search Limited, National Petroleum Company PNG Limited, Santos Limited, JX Nippon Oil and Gas Exploration Corporation, Mineral Resources Development Company Limited and Petromin PNG Holdings Limited, and their affiliates.Photo: PNG Highlands

Geosciences - projects

Sydney, Australia Basement and pile foundation designs for the high rise office towers on Barangaroo South.. The site will be the centre of a second CBD, entertainment precinct, and residential accommodation for Sydney. The $6.0 billion Barangaroo project – which is on a former ports site –is the largest urban redevelopment in Sydney. Photo: Barangaroo Development Authority

Christchurch, New Zealand – Detailed geotechnical consultancy for repairs and reconstruction of damaged buildings, land and infrastructure across Christchurch following the devastating earthquakes in 2011. Work is contracted through to 2014. Project Management for the new bus interchange in the central city. Approx. 100 Coffey experts are working in Christchurch. Photo: Coffey International


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International Development projects

USAIDIraq - developed the Social Safety Net system for Iraq’s Ministry of Labor and Social Affairs, streamlining the process for Iraq’s poor and marginalized citizens to receive benefits. Savings to the Iraqi Government: more than US $20 million.

AusAIDAustralia Awards scholarship program managing seven scholarship programs across the Asia-Pacific region on behalf of AusAID. These programs are critical in developing capacity and leadership skills so that individuals can contribute to development activities in their home countries and build people-to-people linkages at the individual, institutional and country levels throughout the region.

DFID - evaluating the effectiveness, impact and value for money of a multi-year, multi-country Girls' Education Challenge Fund (GEC) –one of the biggest evaluations DFID has ever commissioned.

Dr Chhim Sotheara, an Australia Awards Cambodia Alumni recently received the Leitner Centre’s (New York) Annual Human Rights Award


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2. Q1 update


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First quarter update

• Net debt of $60.6m compares favourably to historic levels

• Geosciences fee revenues are down 4.5% on the prior quarter

− Australian fee revenues are down 12%

− International revenues are up 24%

− Australia accounted for 72% of Geosciences fee revenue in Q1 FY2014

• Geosciences margins are up on H2 FY2013 but still short of expectations

• Geosciences staff numbers have been reduced by 120 through redundancy and natural attrition. Restructuring costs of $2.5m incurred in H1 FY2014

• Project Management broke even

• International Development revenues were up 5% on the prior quarter

• Coffey’s contracted fee revenue is up 6% on June 2013

− Geosciences is down 6% on June 2013

− Project Management is flat

− International Development is up 25% on June 2013

• The remainder of FY2014 holds reasons for optimism – and significant challenges

• Coffey will present its H1 FY2014 results in February 2014 and will provide a further update in May 2014


September debt compares favourably to historic levels


• Net debt of $60.6m at September 2013 is 20% lower than September 2012 but up 4.5% on June 2013

0

20

40

60

80

100

120

140

160

180

June 11 Sept 11 Dec 11 Mar 12 June 12 Sept 12 Dec 12 Mar 13 June 13 Sept 13

Net Debt Cash

$60.6m Net debt

$92.9m Gross debt

$115m Facility Limit

Geosciences – diversified exposure


• Geosciences fee revenues down 4.5% on prior quarter− Australian fee revenue down 12%− Overseas fee revenue up 24% − Australia accounts for 72% of Geosciences fee revenue.

International Development – strong revenue

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• International Development total revenue was up 5% on the prior quarter

International Development quarterly total revenue by region


$101m

$20m

$90m

$108m

$18m

$72m

$100m

$14m

$73m

$94m

$13m

$91m

June 12 June 12 June 12Dec 12 Dec 12 Dec 12June 13 June 13 June 13Sept 13 Sept 13 Sept 13

Geosciences Project Management International Development

12 Month Contracted Fee Revenue

Contracted fee revenue increasing


• Total contracted fee revenue at September 2013 $198m as compared to $187m at June 2013

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Reasons for optimism Challenges

Corporate • Diversified revenue streams

• Fixed costs decreasing

• Debt and interest expense decreasing

• Australian political uncertainly resolved

• Geosciences risk in Australian market

• Lower global commodity prices

Geosciences • Leading position in Australia

• Good industry diversification

• Coalition government committed to physical infrastructure

• Offshore opportunities

• Falling $AUD exchange rate is improving competitiveness

• Opportunity for margin improvement

• Uncertainty in Australian markets

• Lower global commodity prices

• Current margin levels

Project Management • Heavily restructured

• Good client portfolio

• Falling interest rates

• Subdued markets

International Development

• Steady reliable growth

• Consistent margins

• Ongoing recovery in the UK offsetting a tough US market

• Coalition government Aid priorities and private sector empathy may create opportunities

• Tight budgets in all key donor countries

• Coaliton government will slow the growth in Aid spending

• US political impasse producing uncertainty

Reasons for optimism - and challenges


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Q & A


Disclaimer

The material in this presentation is a summary of the results of Coffey International Limited (Coffey) for the 12 months ended 30 June 2013 and an update on Coffey’s activities and is current at the date of preparation, 6 November 2013. Further details are provided in the Company’s full year accounts and results announcement released on 12 August 2013.

No representation, express or implied, is made as to the fairness, accuracy, completeness or correctness of information contained in this presentation, including the accuracy, likelihood of achievement or reasonableness of any forecasts, prospects, returns or statements in relation to future matters contained in the presentation (“forward-looking statements”). Such forward-looking statements are by their nature subject to significant uncertainties and contingencies and are based on a number of estimates andassumptions that are subject to change (and in many cases are outside the control of Coffey and its Directors) which may cause the actual results or performance of Coffey to be materially different from any future results or performance expressed or implied by such forward-looking statements.

This presentation provides information in summary form only and is not intended to be complete. It is not intended to be reliedupon as advice to investors or potential investors and does not take into account the investment objectives, financial situation or needs of any particular investor.

Due care and consideration should be undertaken when considering and analysing Coffey’s financial performance. All references to dollars are to Australian Dollars unless otherwise stated.

To the maximum extent permitted by law, neither Coffey nor its related corporations, Directors, employees or agents, nor any other person, accepts any liability, including, without limitation, any liability arising from fault or negligence, for any loss arising from the use of this presentation or its contents or otherwise arising in connection with it.

This presentation should be read in conjunction with other publicly available material. Further information including historical results and a description of the activities of Coffey is available on our website, coffey.com

Photos owned by Coffey or Coffey employees and permission is provided.


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