Fugro Nv · EURONEXT:FUR
Fugro Nv — Shareholder Meeting (May 2009)
68 slides from Fugro Nv's shareholder meeting presentation, May 7, 2009
Slide 1: Annual General Meeting of Shareholders 7 May 2009
www.fugro.com Annual General Meeting of Shareholders 7 May 2009 1
Slide 2: Agenda
Algemene Vergadering van Aandeelhouders, 7 mei 2009 Agenda 1 Opening van de vergadering 2 Verslag van de Directie en de Raad van Commissarissen over 2008 3 Vaststelling van de jaarrekening 4 Decharge van de leden van de Directie voor het door hen gevoerde beleid 5 Decharge van de leden van de Raad v
Slide 3: Agenda
Algemene Vergadering van Aandeelhouders, 7 mei 2009 Agenda 1 Opening van de vergadering 2 Verslag van de Directie en de Raad van Commissarissen over 2008 3 Vaststelling van de jaarrekening 4 Decharge van de leden van de Directie voor het door hen gevoerde beleid 5 Decharge van de leden van de Raad v
Slide 4: Agenda
Algemene Vergadering van Aandeelhouders, 7 mei 2009 Agenda 1 Opening van de vergadering 2 Verslag van de Directie en de Raad van Commissarissen over 2008 3 Vaststelling van de jaarrekening 4 Decharge van de leden van de Directie voor het door hen gevoerde beleid 5 Decharge van de leden van de Raad v
Slide 5: www.fugro.com Annual General Meeting of Shareholders 7 May 2009
www.fugro.com Annual General Meeting of Shareholders 7 May 2009 5
Slide 6: Fugro N.V. Annual General Meeting – Business update
Fugro N.V. Annual General Meeting of Shareholders The Hague, The Netherlands, 7 May 2009 Business update: Ir. K.S. Wester www.fugro.com Annual General Meeting of Shareholders 7 May 2009 6
Slide 7: Results 2008
Results 2008 • Net result EUR 283.4 million (2007: EUR 216.2 million) Increase 31.1% • Revenue EUR 2,154.5 million (2007: EUR 1,802.7 million) Increase 19.5% • Strong second half with margin improvement • Net profit margin 13.2% (2007: 12.0%) • Earnings per share EUR 3.88 (2007: EUR 3.11) Increase 2
Slide 8: Major developments 2008
Major developments 2008 • Strong markets during the year • Capacity expansion results in strong organic growth • Broader range of services through acquisitions (additional EUR 64 million in revenue) • Higher net profit margin through more operational efficiency and good price level • Increasing unce
Slide 9: Revenue
Revenue (EUR x million) 2200 2,155 1925 1,803 1650 1,434 1375 1,161 1100 1,008 993 Revenue 825 2nd half year 826 Revenue 652 1st half year 550 518 480 275 0 www.fugro.com 2004 2005 2006 Annual General Meeting 2007 of Shareholders 7 May 2009 2008 9
Slide 10: Geographical distribution of revenue
Geographical distribution of revenue Based upon the location of project execution (estimate) 4% Netherlands 26% Europe other/Africa 42% Middle East/ Asia/Australia North & South 28% America www.fugro.com Annual General Meeting of Shareholders 7 May 2009 10
Slide 11: Net result
Net result (EUR x million) 300 283 250 216 200 141 150 Net result 99 2nd half year 100 Net result 109 1st half year 86 49 50 54 32 15 0 www.fugro.com 2004 2005 2006of Shareholders Annual General Meeting 2007 7 May 2009 2008 11
Slide 12: Market developments oil and gas
Market developments oil and gas Oil and gas market (75% of revenue) • Worldwide investments increased substantially again: about 22% in 2008 to USD 450 billion • External market research forecasts investments in international segment to drop by 6% to USD 300 billion in 2009 • Depletion rate of 6-8%
Slide 13: Market developments infrastructure
Market developments infrastructure Market for infrastructure projects (15% of revenue) • Large infrastructural projects for coastal protection, transport and energy most relevant for Fugro • Opportunities for special services like water management and road maintenance • More volatility in regional m
Slide 14: Market developments mining
Market developments mining Mining (4% of revenue) • (Semi-) government: activities continue for regional mapping of geology • Private sector: reduced activity by smaller players in exploration • New technologies improve efficiency and give better data (Falcon) and open opportunities to use in onshor
Slide 15: Geotechnical division
Geotechnical division Offshore: • Continuing development deepwater projects for large international and national oil companies • More work for offshore wind farms Onshore: • Focus on business growth in regional markets • World wide • Global expansion nearshore capabilities • Focus on global water ma
Slide 16: Survey division
Survey division Offshore: • Continuing high field development activity • Expansion capacity with ROVs and vessels • More involved in IRM related services Geospatial: • Investments in high accuracy laser technology • Focus on more international work and larger projects www.fugro.com Annual General Me
Slide 17: Geoscience division
Geoscience division Oil and gas: • Strong growth marine seismic (2008 revenue EUR 465 million) • Modernisation and capacity expansion seismic fleet • Growth in services like data storage and reservoir analysis • Entry Marine Electro Magnetics (EM) through acquisition (EMMET) Mining: • Slowdown of ac
Slide 18: Capacity renewal/expansion 2008
Capacity renewal/expansion 2008 • Vessels - seismic: Geo Caribbean - survey: Fugro Saltire and Fugro Navigator - geotechnical: short-term charters - decommissioning two survey vessels • ROVs (Remotely Operated Vehicles) (125) • Jack-up platforms for nearshore work (30) www.fugro.com Annual General M
Slide 19: Acquisitions 2008
Acquisitions 2008 Geotechnical division • William Lettis, USA • HGN, Germany • PMS, Australia • Roadware, Canada • In Situ Geotecnia, Brazil • Risk Engineering, USA • Beatty Marine Plant, Ireland • Geo LLC, USA Survey division • Remaining 38% OceansatPEG, Brazil • SureSpek, Australia • NPA, UK • BKS
Slide 20: Geotechnical division 2008
Geotechnical division 2008 (EUR x million) 2008 2007 2006 Revenue Onshore Geotechnics 303 254 223 Revenue Offshore Geotechnics 238 189 148 Total 541 443 371 Result from operating activities (EBIT) 95 78 58 In % of revenue 18 18 16 www.fugro.com Annual General Meeting of Shareholders 7 May 2009 20
Slide 21: Survey division 2008
Survey division 2008 (EUR x million) 2008 2007 2006 Revenue Offshore Survey 803 731 624 Revenue Geospatial Services 157 121 85 Total 960 852 709 Result from operating activities (EBIT) 235 205 146 In % of revenue 24 24 21 www.fugro.com Annual General Meeting of Shareholders 7 May 2009 21
Slide 22: Geoscience division 2008
Geoscience division 2008 (EUR x million) 2008 2007 2006 Revenue Development & Production 547 406 268 Revenue Airborne Survey 107 102 86 Total 654 508 354 Result from operating activities (EBIT) 154 115 66 In % of revenue 24 23 19 www.fugro.com Annual General Meeting of Shareholders 7 May 2009 22
Slide 23: Consolidated income statement
Consolidated income statement For the year ended on 31 December (EUR x 1,000) 2008 2007 Revenue 2,154,474 1,802,730 Third party costs (cost of sales) (722,321) (604,855) Net revenue own services 1,432,153 1,197,875 Other income 17,841 14,448 Personnel expenses (618,633) (518,146) Depreciation (140,4
Slide 24: Expenses as % of revenue
Expenses as % of revenue 40 37 34 31 28 25 22 19 16 13 10 2004 2005 2006 2007 2008 Third party costs Staff costs Other operating expenses www.fugro.com Annual General Meeting of Shareholders 7 May 2009 24
Slide 25: Consolidated balance sheet (1-2)
Consolidated balance sheet (1-2) Per 31 December (EUR x 1,000) 2008 2007 Assets Property, plant and equipment 859,088 599,298 Intangible assets 452,130 407,587 Investments in equity accounted investees 1,293 1,532 Other investments 2,953 6,275 Deferred tax assets 26,289 18,037 Total non-current asse
Slide 26: Consolidated balance sheet (2-2)
Consolidated balance sheet (2-2) Per 31 December (EUR x 1,000) 2008 2007 Equity Share capital 3,830 3,521 Share premium 431,441 301,550 Reserves 209,646 178,705 Unappropriated result 283,412 216,213 Total 928,329 699,989 Minority interest 7,482 7,033 Total equity 935,811 707,022 Liabilities Loans an
Slide 27: Investments
Investments (EUR x million) 2007 2008 2009* 2010* Maintenance capex 93 87 80 75 Investments for capacity 198 236 240 300 expansion/fleet renewal Capital expenditure 291 323 320 375 Movement in assets under construction 41 57 30 (175) Total cash effect 332 380 350 200 * estimate www.fugro.com Annual
Slide 28: Financing
Financing (EUR thousands) 31/12/08 31/12/07 Long-term - USPP 104,718 101,061 - Convertible - 119,427 - Bank 290,000 200,000 - Other 27,151 35,929 421,869 456,417 Of which short-term: - Loans 26,485 6,460 Total long-term 395,384 449,957 Net Bank overdraft 81,294 6,469 Credit facilities with banks 300
Slide 29: Financing
Financing • Good interest cover (EBIT/net interest expense) of 14 (financial target >5) • Solvency 44% (target 30-35%) • Gearing 51% • Positive feedback from banks for extension of loans maturing in 2010 • Conversion convertible www.fugro.com Annual General Meeting of Shareholders 7 May 2009 29
Slide 30: Backlog per 1 January
Backlog per 1 January (EUR x million) 1800 1,600 1600 1,459 1400 452 1,146 1200 515 1000 357 814 800 - Backlog increase: +9.7% 805 589 219 600 648 - On basis constant 157 544 currencies: +16.1% 400 429 295 200 343 245 295 137 166 0 2005 2006 2007 2008 2009 www.fugro.com Geotechnics Survey Annual Gen
Slide 31: Organisational changes per 1 January 2009
Organisational changes per 1 January 2009 Survey division • The ROV activities are split from Offshore Survey and will form a new business line: Subsea Services • The satellite positioning activities, were partly in Offshore Survey and partly in Geospatial Services are now combined as Positioning gr
Slide 32: Market prospects
Market prospects Oil & gas • Slowdown in demand • Volatile oil price • Some NOCs increase investments • A number of large international oil companies intend to maintain 2008 investment levels • Highly leveraged (smaller) companies deferring investments • Investment budgets international segment expe
Slide 33: Oil Price
Oil Price The development of the oil price from 1995 up to Q1-2009 (USD per barrel) 140.00 120.00 100.00 80.00 60.00 40.00 20.00 0.00 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 -19 -19 -19 -19 -19 -20 -20 -20 -20 -20 -20 -20 -20 -20 -20 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q w
Slide 34: Depletion
Depletion www.fugro.com Annual General Meeting of Shareholders 7 May 2009 34
Slide 35: New opportunities – Offshore renewable energy
New opportunities – Offshore renewable energy 6 Others so urce: The W o rld Of f sho re W ind Rep o rt - Do ug las-W est wo o d Offshore Windpower Capex ($ billion) UK 5 Sw eden The Netherlands 4 Germany Denmark 3 Belgium 2 1 0 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 • To 2012 UK to be big
Slide 36: Acquisitions/Alliances 2009
Acquisitions/Alliances 2009 Acquisitions Onshore Geotechnical • LoadTest, USA Geospatial • VIB Weinhold, Germany General Geophyscial Services • Interaction A/S, Norway • Data Storage activities Divestco, Canada Alliances Strategic alliance EMGS, Norway www.fugro.com Annual General Meeting of Shareho
Slide 37: Marine Electromagnetics
Marine Electromagnetics Strategic Alliance with Electromagnetic Geoservices ASA (EMGS) • Has a global market presence and marine operational expertise • Commercial Cooperation – Fugro • Has a good understanding of electromagnetics from existing Geoscience activities – EMGS • Has good technology • Is
Slide 38: Marine Electromagnetics
Marine Electromagnetics Ocean surface Transmitter Receivers www.fugro.com Annual General Meeting of Shareholders 7 May 2009 38
Slide 39: Marine Electromagnetics (EM)
Marine Electromagnetics (EM) EM anomaly helps to prioritize Seismic indicates structure and prospective seismic structures. potential hydrocarbon reservoirs. Data courtesy of Murphy Oil www.fugro.com Annual General Meeting of Shareholders 7 May 2009 39
Slide 40: Vessels 2009
Vessels 2009 Vessels • Commencement charters Geo Natuna (seismic) and Fugro Solstice (ROV support) • Cancelled charter Fugro Energy (ROV support, new built) • Cancelled charter 2 vessels (one geotechnical, one seismic) • Decommission one survey vessel (scrapped) www.fugro.com Annual General Meeting
Slide 41: Fugro's Strengths
Fugro’s Strengths • Broad activity portfolio of key services • Flexibility in fleet and staffing • Services in many phases of the life-cycle of an oil or gas field • Strong market positions in niche markets • Geographical spread • Wide range of clients www.fugro.com Annual General Meeting of Shareho
Slide 42: Trading update
Trading update First months of 2009 • continuing activity for NOC and large international Oil & Gas Companies • reduced activity smaller players • price pressure some activities • Order backlog - is at same level as at start of year (€ 1.6 billion) - increase 15% compared to one year ago • Staffing
Slide 43: Trading update
Trading update Outlook first half year of 2009 • Baring unforeseen circumstances and strong currency fluctuations: – Revenue over € 1 billion (H1-2008: 992.9 Mln) – Net result about € 110 million (H1-2008: 109.3 Mln) – Net profit margin over 10% (H1-2008: 11.0%) Results first half 2009 and outlook f
Slide 44: www.fugro.com Annual General Meeting of Shareholders 7 May 2009
www.fugro.com Annual General Meeting of Shareholders 7 May 2009 44
Slide 45: Annexes
Annexes • Distribution of shareholders • Agenda • Contact details • Result • Acquisitions 2008 • Comments Profit & Loss • Change in number of shares issued www.fugro.com Annual General Meeting of Shareholders 7 May 2009 45
Slide 46: Distribution of shareholders
Distribution of shareholders 80,000 64,000 48,000 32,000 16,000 0 end end end end end end end end end end end 98 99 00 01 02 03 04 05 06 07 08 United Kingdom United States Luxembourg Belgium France Germany Switzerland Other The Netherlands www.fugro.com Annual General Meeting of Shareholders 7 May 2
Slide 47: Agenda
Agenda 2009 Friday 7 August Half-yearly figures 2009; press conference and analysts’ meeting (+ web cast) Thursday 19 November Trading update 2010 Friday 5 March Annual figures 2009; press conference and analysts’ meeting (+ web cast) www.fugro.com Annual General Meeting of Shareholders 7 May 2009 4
Slide 48: Contact
Contact Fugro N.V. Address Veurse Achterweg 10 P.O. Box 81 2260 AA Leidschendam The Netherlands Telephone +31 70 3111107 +31 70 3202703 (fax) E-mail [email protected] Website www.fugro.com www.fugro.com Annual General Meeting of Shareholders 7 May 2009 48
Slide 49: Result
Result (EUR x million) 600 500 400 300 200 100 0 2004 2005 2006 2007 2008 Net result EBIT EBITDA www.fugro.com Annual General Meeting of Shareholders 7 May 2009 49
Slide 50: Acquisitions 2008
Acquisitions 2008 Acquisitions in 2008 for Fugro in total: Total revenue: EUR 64 million Total expense: EUR 66 million + EUR 20 million assets Acquisitions in 2007 for Fugro in total: Total revenue: EUR 76 million Total expense: EUR 68 million www.fugro.com Annual General Meeting of Shareholders 7 M
Slide 51: Comments Profit & Loss
Comments Profit & Loss • Profit before income tax influenced by: - Negative effect estimated impact economic crisis EUR 25 million - Positive effect rate of exchange EUR 26 million 2008 2007 EBIT without effects crisis 411.2 324.8 Estimated effect crisis (25.0) - Reported EBIT 386.2 324.8 Net financ
Slide 52: Change in number of shares issued
Change in number of shares issued 2008 2007 Issued on 1/1 70,421,443 69,582,201 Optional dividend 1,028,345 838,830 Conversion of subordinated convertible bond 5,158,170 412 Issued on 31/12 76,607,958 70,421,443 Purchased for option plan at 31/12 1,469,696 542,716 Entitled to dividend as of 31/12 75
Slide 53: www.fugro.com Annual General Meeting of Shareholders 7 May 2009
www.fugro.com Annual General Meeting of Shareholders 7 May 2009 53
Slide 54: Agenda
Algemene Vergadering van Aandeelhouders, 7 mei 2009 Agenda 1 Opening van de vergadering 2 Verslag van de Directie en de Raad van Commissarissen over 2008 3 Vaststelling van de jaarrekening 4 Decharge van de leden van de Directie voor het door hen gevoerde beleid 5 Decharge van de leden van de Raad v
Slide 55: Agenda
Algemene Vergadering van Aandeelhouders, 7 mei 2009 Agenda 1 Opening van de vergadering 2 Verslag van de Directie en de Raad van Commissarissen over 2008 3 Vaststelling van de jaarrekening 4 Decharge van de leden van de Directie voor het door hen gevoerde beleid 5 Decharge van de leden van de Raad v
Slide 56: Agenda
Algemene Vergadering van Aandeelhouders, 7 mei 2009 Agenda 1 Opening van de vergadering 2 Verslag van de Directie en de Raad van Commissarissen over 2008 3 Vaststelling van de jaarrekening 4 Decharge van de leden van de Directie voor het door hen gevoerde beleid 5 Decharge van de leden van de Raad v
Slide 57: Agenda – Dividend
Algemene Vergadering van Aandeelhouders, 7 mei 2009 Agenda 1 Opening van de vergadering 2 Verslag van de Directie en de Raad van Commissarissen over 2008 3 Vaststelling van de jaarrekening 4 Decharge van de leden van de Directie voor het door hen gevoerde beleid 5 Decharge van de leden van de Raad v
Slide 58: Agenda – Dividend
Algemene Vergadering van Aandeelhouders, 7 mei 2009 Agenda 1 Opening van de vergadering 2 Verslag van de Directie en de Raad van Commissarissen over 2008 3 Vaststelling van de jaarrekening 4 Decharge van de leden van de Directie voor het door hen gevoerde beleid 5 Decharge van de leden van de Raad v
Slide 59: Agenda – Dividend
Algemene Vergadering van Aandeelhouders, 7 mei 2009 Agenda 1 Opening van de vergadering 2 Verslag van de Directie en de Raad van Commissarissen over 2008 3 Vaststelling van de jaarrekening 4 Decharge van de leden van de Directie voor het door hen gevoerde beleid 5 Decharge van de leden van de Raad v
Slide 60: Agenda – Supervisory Board appointments
Algemene Vergadering van Aandeelhouders, 7 mei 2009 Agenda 1 Opening van de vergadering 2 Verslag van de Directie en de Raad van Commissarissen over 2008 3 Vaststelling van de jaarrekening 4 Decharge van de leden van de Directie voor het door hen gevoerde beleid 5 Decharge van de leden van de Raad v
Slide 61: Agenda – Supervisory Board appointments
Algemene Vergadering van Aandeelhouders, 7 mei 2009 Agenda 1 Opening van de vergadering 2 Verslag van de Directie en de Raad van Commissarissen over 2008 3 Vaststelling van de jaarrekening 4 Decharge van de leden van de Directie voor het door hen gevoerde beleid 5 Decharge van de leden van de Raad v
Slide 62: Agenda – Supervisory Board appointments
Algemene Vergadering van Aandeelhouders, 7 mei 2009 Agenda 1 Opening van de vergadering 2 Verslag van de Directie en de Raad van Commissarissen over 2008 3 Vaststelling van de jaarrekening 4 Decharge van de leden van de Directie voor het door hen gevoerde beleid 5 Decharge van de leden van de Raad v
Slide 63: Agenda
Algemene Vergadering van Aandeelhouders, 7 mei 2009 Agenda 1 Opening van de vergadering 2 Verslag van de Directie en de Raad van Commissarissen over 2008 3 Vaststelling van de jaarrekening 4 Decharge van de leden van de Directie voor het door hen gevoerde beleid 5 Decharge van de leden van de Raad v
Slide 64: Agenda
Algemene Vergadering van Aandeelhouders, 7 mei 2009 Agenda 1 Opening van de vergadering 2 Verslag van de Directie en de Raad van Commissarissen over 2008 3 Vaststelling van de jaarrekening 4 Decharge van de leden van de Directie voor het door hen gevoerde beleid 5 Decharge van de leden van de Raad v
Slide 65: Agenda
Algemene Vergadering van Aandeelhouders, 7 mei 2009 Agenda 1 Opening van de vergadering 2 Verslag van de Directie en de Raad van Commissarissen over 2008 3 Vaststelling van de jaarrekening 4 Decharge van de leden van de Directie voor het door hen gevoerde beleid 5 Decharge van de leden van de Raad v
Slide 66: Agenda
Algemene Vergadering van Aandeelhouders, 7 mei 2009 Agenda 1 Opening van de vergadering 2 Verslag van de Directie en de Raad van Commissarissen over 2008 3 Vaststelling van de jaarrekening 4 Decharge van de leden van de Directie voor het door hen gevoerde beleid 5 Decharge van de leden van de Raad v
Slide 67: Agenda
Algemene Vergadering van Aandeelhouders, 7 mei 2009 Agenda 1 Opening van de vergadering 2 Verslag van de Directie en de Raad van Commissarissen over 2008 3 Vaststelling van de jaarrekening 4 Decharge van de leden van de Directie voor het door hen gevoerde beleid 5 Decharge van de leden van de Raad v
Slide 68: Thank you for attending the 2009 shareholders meeting
Raad van Commissarissen en Directie van Fugro N.V. danken u hartelijk voor uw aanwezigheid op de aandeelhoudersvergadering van 2009 www.fugro.com Annual General Meeting of Shareholders 7 May 2009 68