Aeroports de Paris · EURONEXT:ADP
Aeroports de Paris — FY2016 Earnings Presentation
41 slides from Aeroports de Paris's earnings presentation, Feb 22, 2017
Slide 1: 2016 Full Year Results
2016 FULL YEAR RESULTS t 23 février 2017 22 February 2017
Slide 2: Agenda
AGENDA 2016 HIGHLIGHTS Augustin de Romanet, Chairman and CEO 2016 FINANCIAL RESULTS Philippe Pascal, CFO 2017 OUTLOOK Augustin de Romanet, Chairman and CEO Q&A Groupe ADP - 2016 Full Year Results| 1
Slide 3: A new head office closer to our customers
An open space dedicated to the airport community Overlooking the airport With a welcoming atrium, a gym and the new Environment Centre A new head office closer to our customers A new head office supporting the Company's transformation Collaborative work spaces Innovation Centre Common areas
Slide 4: 2016 Highlights
01 2016 HIGHLIGHTS Augustin de Romanet Chairman and CEO
Slide 5: Responsiveness of Groupe ADP in a difficult year in 2016
RESPONSIVENESS OF GROUPE ADP IN A DIFFICULT YEAR IN 2016 SOLIDITY OF OUR RESULTS IN THIS CONTEXT Paris Aéroport traffic : +1.8 % at 97.2 mpax Resistance of Paris and Groupe ADP traffic : +2.0% at 147 million passengers(1) in spite of a decrease in Group traffic Istanbul Atatürk traffic Improve
Slide 6: Good resistance of most of our indicators in 2016
GOOD RESISTANCE OF MOST OF OUR INDICATORS IN 2016 THE DYNAMISM IN REVENUES RELATED TO BARS AND RESTAURANTS OFFSET THE SLOWDOWN IN ACTIVITIES OF AIRSIDE SHOPS / DYNAMISM OF PARIS AÉROPORT TRAFFIC / GROUPE ADP’S STAKE-WEIGHTED TRAFFIC(1) +1.8% +2.0% mpax mpax 95.4 97.2 Paris-Orly 147 29.6 31.3 +5.3% 1
Slide 7: Departing passenger satisfaction higher in 2016
DEPARTING PASSENGER SATISFACTION HIGHER IN 2016 IN SPITE OF THE STRENGTHENING OF CONTROLS THANKS TO STRONG ACTIONS FOR QUALITY OF SERVICE CARRIED OUT BY OUR NEW BRAND Accelerated schedule for a deployment in / DEPARTING PASSENGER SATISFACTION Commitment to 2017 of PARAFE border control equipment r
Slide 8: Opening of the Instant Paris lounge in Terminal 2E
OPENING OF THE "INSTANT PARIS" LOUNGE IN THE INTERNATIONAL AREA OF TERMINAL 2E MAKING LONG LAYOVERS A MAJOR ASPECT OF THE HUB'S COMPETITIVENESS / « Instant Paris » Free access for all passengers An elegant and cosy Parisian ambiance: – 4,500 m² of facilities – Yotel hotel with 80 rooms – Naked r
Slide 9: 2016, a key year for the launch of the CDG Express project
2016, A KEY YEAR FOR THE LAUNCH OF THE CDG EXPRESS PROJECT MAJOR HURDLES OVERCOME ENSURING THE PROJECT'S LAUNCH AND DELIVERY IN 2023(1) Adoption by Parliament of the Act relating to a rail link between Paris and Paris-CDG Airport Creation of a special contribution from 2024 in the form of a tax
Slide 10: Ethifinance extra-financial rating up by 4 points at 82/100
ETHIFINANCE EXTRA-FINANCIAL RATING UP BY 4 POINTS IN 2016 AT 82/100 PROGRESS OF GROUPE ADP IN ALL SUBJECT AREAS EVALUATED GROUPE ADP RATING 82/100 +4 points Governance 81* +4 pts Commitments in all areas of Corporate Environment 86* +4 pts Social Responsibility in our strategic plan Fight agains
Slide 11: 2016 Financial Results
02 2016 FINANCIAL RESULTS Philippe PASCAL CFO
Slide 12: Solid performance in the face of particular circumstances
SOLID PERFORMANCE IN THE FACE OF PARTICULAR CIRCUMSTANCES €m Aviation activities up influenced by growth in traffic +0.4% Revenues volumes 2,947 Slight growth in revenue Stable revenue from retail activities despite reduction 2,935 in sales/pax by 8.0% Good performance from the Hub One Mobilit
Slide 13: Groupe ADP Traffic
GROUPE ADP TRAFFIC RESILIENCE OF PARISIAN TRAFFIC IN SPITE OF WORRIES ABOUT SAFETY IN EUROPE / ADP VS PEERS / MONTHLY CHANGE IN PARIS AÉROPORT TRAFFIC mpax 2016 / 2015 Q1 Q2 Q3 Q4 Paris-CDG+ORY 97 +1.8% 2016 : + 1.9 % 2016 : + 1.2 % 2016 : -0.1 % 2016 : +4.9 % 2015: + 2.0 % 2015 : + 1.0 % 2015 : + 8
Slide 14: Growth in Paris Aéroport traffic in 2016
GROWTH IN PARIS AÉROPORT TRAFFIC (PARISIAN AIRPORTS) IN 2016 DRIVEN BY EUROPEAN TRAFFIC AND THE RECOVERY OF INTERNATIONAL TRAFFIC AT THE END OF 2016 % Paris Aéroport (Paris airports) total traffic (departures and arrivals) 2016 / 2015 change in Paris France Europe North America 16.8% 43.9% 9.7% +3.4
Slide 15: Revenue slightly up at €2,947m
REVENUE SLIGHTLY UP AT €2,947M RESISTANCE OF ALL ACTIVITIES IN A DIFFICULT CONTEXT / CONSOLIDATED REVENUE: +0.4% Aviation: +0.5% m€ Retail and Services: +0.7% 8 8 6 2 2,947 1 12 8 3 +0.4% -0.8% +1.0% +3.6% 2,935 5 12 10 2015 Aviation Ancilliary Revenues Other Airside shops Other shops, Other retail
Slide 16: EBITDA up slightly at €1,195 million
EBITDA UP SLIGHTLY AT €1,195 MILLION CONTROL OVER OPERATING COSTS EXCLUDING NON-RECURRING EXPENSES / EBITDA 2016: +0.4 % Control over operating expenses 2016/2015 Group operating expenses controlled at +0.9% In m€ 2016 restated excluding impact of non-recurring expenses for -€44m Revenue 2,947 +
Slide 17: 2016 net result attributable to the Group slightly up
2016 NET RESULT ATTRIBUTABLE TO THE GROUP SLIGHTLY UP EXCEPTIONAL INCOMES OFFSET EXCEPTIONAL EXPENSES Of which capital gain from the Of which: Of which disposal of - Decrease in nominal tax TAV A: decrease in disposal of the investment in the Parisian head Mexican airports for €58m* rate from 38% to
Slide 18: Solid financial situation as of 31 December 2016
SOLID FINANCIAL SITUATION AS OF 31 DECEMBER 2016 / DEBTS REPAYMENT SCHEDULE (€M) m€ 667 31/12/2016 31/12/2015 600 550 Net debt (€bn) 2.7 2.6(2) 500 500 500 400 400 Share of fixed-rate 85 % 85 % debt(2) Average maturity 5.9 years 6.9 years 135 Average cost 2.4% 2.4% 100 Gearing 63 % 64 %(3) 2017 2018
Slide 19: 2017 Outlook
03 2017 OUTLOOK Augustin de Romanet Chairman and CEO
Slide 20: 2020 targets confirmed
THE YEAR 2016 AND EXPECTED AND IDENTIFIED ACTIONS ENABLING TO CONFIRM GROUP 2020 TARGETS Strength of 2016 Resilience of traffic in Paris performance in the face Resistance of retail activities in the context of a slowdown in of a particular international tourism environment Slight growth in EB
Slide 21: Launch in 2016 of Connect 2020 principal shop development projects
LAUNCH IN 2016 OF CONNECT 2020 PRINCIPAL SHOP DEVELOPMENT PROJECTS TO MEET THE €23/PAX TARGET FOR FULL YEAR REVENUE/PAX AFTER INFRASTRUCTURE DELIVERY 2016 2017-2018 2020 Implementation in 2016 of the 1st steps TERMINAL 1 TERMINAL 2E TERMINAL 2E OPENING OF 2B-2D CENTRAL BUILDING HALL K HALL L CONNE
Slide 22: Implementation of the new real estate strategy
IMPLEMENTATION OF THE NEW REAL ESTATE STRATEGY WITH THE FIRST HOTEL INVESTMENT PROJECT AS A JOINT VENTURE WITH MELIA Implementation of the Connect 2020 real estate strategy Capturing more of the value from exploiting our Strengthening the air cargo position of Paris- land reserves by analysing t
Slide 23: Implementation of our international strategy
IMPLEMENTATION OF OUR INTERNATIONAL STRATEGY TO SERVE OUR AMBITION ADP Ingénierie : back to profitability in 2016 Optimisation of the results of our ADP Management : growth in activity linked to the takeover of Santiago international subsidiaries de Chile airport concession and to the first serv
Slide 24: Uninterrupted growth of dividend per share since 2013
UNINTERRUPTED GROWTH OF DIVIDEND PER SHARE SINCE 2013 PROPOSITION OF MAINTAINING A 60 % PAYOUT OF 2017 NRAG WITH A MINIMUM LEVEL FOR DIVIDEND/SHARE / DIVIDEND AND NET EARNINGS PER SHARE GROWING SINCE 2013 Maintaining a €/share minimumdividend +42.7% of 2.64** euros in 4.35 4.40 2017 4.07 3.02 2.61 2
Slide 25: 2017 forecasts: EBITDA oriented upward and 60% pay-out
2017 FORECASTS: EBITDA ORIENTED UPWARD AND UPHOLDING OF 60% PAY-OUT FOR 2017 NRAG, WITH A MINIMUM LEVEL OF DIVIDEND/SHARE IN EUROS Traffic growth assumption of between +1.7% and +2.2% in 2017 Traffic compared to 2016 Upward trends compared to 2016, 2017 EBITDA impacted favourably by planned to d
Slide 26: Appendices
04 APPENDICES
Slide 27: Impact of the change in allocation keys for regulated assets base
IMPACT OF THE CHANGE IN ALLOCATION KEYS FOR THE REGULATED ASSETS BASE ON 2015 FINANCIAL STATEMENTS As a reminder, the change of the allocation keys for the regulated assets base, as proposed by ADP in January 2015(1) and confirmed by the Airport Consultative Committee (Commission Consultative Aéropo
Slide 28: 2016 Detailed P&L
2016 DETAILED P&L In €m (unless stated otherwise) 2016 2015 restated 2016/2015 Paris Aéroport passengers (m) 97.2 95.4 +1.8% Revenue 2,947 2,935 +0.4% Operating expenses (1,807) (1,747) +3.4% Other incomes and expenses 56 4 +€52m EBITDA 1,195 1,191 +0.4% Amortisation and depreciation (479) (458) +4.
Slide 29: Solid performance of the Group thanks to traffic and retail optimisation
SOLID PERFORMANCE OF THE GROUP THANKS TO THE GOOD PERFORMANCE OF TRAFFIC AND OPTIMISATION OF RETAIL ACTIVITIES Parent company: Aéroports de Paris SA(1) Subsidiaries and associates (2) Group International Retail and Aviation Real Estate and airport Other activities services development €2,947m(3) Rev
Slide 30: Aviation
AVIATION 2016 FINANCIAL STATEMENTS / Revenue (m€) / EBITDA & Op. income from operating activities 6 m€ 12 1,743 m€ +3.0% 3 +4.1% 1,735 488 469 15 32 22 181 186 Margin 27.0 % 10.4 % 28.0 % 10.7 % Restated Passengers Landing Parking Ancilliary Revenue Other 2016 2015 restated* 2016 2015 fees from prod
Slide 31: Aviation: Group traffic by airport
AVIATION GROUP TRAFFIC BY AIRPORT Stake-weighted Group traffic 2016/2015 Groupe ADP traffic (in million passengers) change stake(1) (mPax) Paris Aéroport @ 100% 97.2 +1.8% Zagreb @ 20.8% 0.6 +6.9% Jeddah-Hajj @ 5% 0.4 +6.8% Groupe ADP Amman @ 9.5% 0.7 +4.4% Mauritius @ 10% 0.4 +10.6% Conakry @ 29% 0
Slide 32: Retail and Services
RETAIL AND SERVICES 2016 FINANCIAL STATEMENTS / Revenue (m€) / EBITDA & Op. income from operating activities m€ 941 m€ -7.1% -2.3% 3 540 527 935 5 440 409 8 12 3 Margin 57.7 % 47.1 % 56.0 % 43.5 % Restated Airside Landside Bars and Car rental Other 2016 2015 restated* 2016 2015 shops shops restauran
Slide 33: Retail and Services: commercial rents and sales/pax
RETAIL AND SERVICES FOCUS ON COMMERCIAL RENTS AND SALES/PAX(1) IN 2016 / RETAIL ACTIVITIES / SALES/PAX 2016 (€) : -8.0% TO €18.2 En m€ -0.5% 451 449 36.2 -8.0% 33.3 -8.5 % Airside shops: -4.0% 311 299 19.7 18.2 -8.3 % Landside shops: +21.4% 15 18 7.3 7.1 Bars and restaurants: +24.6% 31 39 -1.8% Adve
Slide 34: Retail and Services: commercial joint ventures
RETAIL AND SERVICES FOCUS ON COMMERCIAL JOINT VENTURES In m€ -51.7% 3.4% SDA (Retailing joint venture with Lagardère Travel 41 Retail) 808 782 Revenue (-2.8%) impacted by the unfavourable traffic mix -87.0% 20 34 22 689 708 Relay@ADP 18 Revenue slightly decreasing (-1.3%) due to a 18 3 negat
Slide 35: Real Estate
REAL ESTATE 2016 FINANCIAL STATEMENTS / Revenue (m€) / EBITDA & Op. income from operating activities -9,0% m€ 265 m€ 164 1 149 1 263 105 105 Margin 61.9 % 39.4 % 56.7 % 39.8 % Restated Lands Buildings 2016 Revenue 2015 revenue 2015 restated* 2016 EBITDA Op. income from operating activities (includin
Slide 36: Real Estate: projects pipeline as at end of December 2016
REAL ESTATE PROJECTS PIPELINE AS AT THE END OF DECEMBER 2016 Airport Segment ADP Role Operator Project Opening Floorspace (m²) CDG Diversification Developer Sogafro/SDV Offices and warehouses 2016 37,500 CDG Aeronautical Investor Aerolima Equipment maintenance centre 2016 4,700 CDG Aeronautical Deve
Slide 37: International and Airports Developments
INTERNATIONAL AND AIRPORTS DEVELOPMENTS 2016 FINANCIAL STATEMENTS / Revenue (m€) / EBITDA & Op. income from operating activities 97 m€ m€ 96 54 5 4 3 -8 Restated ADP Aéroports de Paris 2016 Revenue -49 2015 revenue Ingénierie Management 2015 2016 2015 EBITDA 2016 2016/2015 (in millions of euros) res
Slide 38: International footprint – 2016 passenger traffic
INTERNATIONAL AND AIRPORTS DEVELOPMENTS INTERNATIONAL FOOTPRINT – 2016 PASSENGER TRAFFIC France Schiphol Group (8%) Liège (25.6%) Zagreb airport (ADP 21% and Macedonia (100%) Georgia (76%) Paris-CDG: 65.9mpax 63.6 mpax 0.7 m tonnes of freight TAV 15%) Skopje & Ohrid: 1.8mpax Tbilisi & Batu
Slide 39: Other Activities
OTHER ACTIVITIES 2016 FINANCIAL STATEMENTS / Revenue (m€) / EBITDA & Op. income from operating activities m€ m€ +15.1% 223 +4.7% 1 29 27 7 14 12 215 Margin 12.8 % 5.8 % 12.9 % 6.4 % CA 2015 retraité Hub One Hub Safe 2016 Revenue 2015 2016 EBITDA 2015 Op. income from operating activities (including s
Slide 40: CDG Express project: overall schedule
CDG EXPRESS PROJECT: OVERALL SCHEDULE End 2023-start 2014 2015 2016 2017 2018 2024 CDG Express Creation Launch of Traffic and Start of rail of project Feasibility Financial consultation Commissioning infrastructure network studies studies arrangements to appoint the of CDG Express studies works comp
Slide 41: Disclaimer
Disclaimer This presentation does not constitute an offer of, or an invitation by or on behalf of Aéroports de Paris to subscribe or purchase financial securities within the United States or in any other country. Forward-looking disclosures are included in this press release. These forward-looking