Aperam S.a. · EURONEXT:APAM
Aperam — Q1 2015 Earnings Presentation
16 slides from Aperam's earnings presentation, May 5, 2015
Slide 1: First quarter 2015
First quarter 2015 May 5, 2015 © Aperam 1
Slide 2: Disclaimer
Disclaimer Forward-Looking Statements This document may contain forward-looking information and statements about Aperam and its subsidiaries. These statements include financial projections and estimates and their underlying assumptions, statements regarding plans, objectives and expectations with re
Slide 3: Introduction & overview
Introduction & overview Highlights: • Health and Safety frequency rate of 1.3x in Q1 2015 compared to 1.8x in Q4 2014 • Shipments of 469 thousand tonnes in Q1 2015 compared to shipments of 439 thousand tonnes in Q4 2014 • EBITDA of USD 133 million in Q1 2015, compared to EBITDA of USD 117 million in
Slide 4: Health & Safety Performance
Health & Safety Performance Lost Time Injury Frequency rate* 4.0 3.0 2.0 1.0 0 Profit improvement in Q1 due to market Health andfrequency & Safety internal initiatives butin rate of 1.3x Q2Q1 expected 2015 to be more challenging * WorldSteel-standard: Fr = lost time Injuries per 1.000.000 worked hou
Slide 5: Environment and markets
First quarter 2015 Environment and markets 5
Slide 6: Stainless steel prices
Environment and markets Stainless steel prices Nickel - LME Cash (USD/t) Chinese versus European CR 304 2B 2mm coil transaction price (USD/t) 35 000 5000 30 000 4500 25 000 4000 20 000 3500 15 000 3000 10 000 2500 5 000 2000 Chinese prices European prices The continuous decrease of the nickel price
Slide 7: Performance and prospects
First quarter 2015 Performance and prospects 7
Slide 8: First quarter operating performance
Performance and prospects First quarter operating performance Shipments (‘000t) Q1 2015 EBITDA per division (USD million) [1] 475 469 466 110 94 439 433 Q1 2014 Q2 2014 Q3 2014 Q4 2014 Q1 2015 EBITDA (USD million) 164 137 133 129 18 117 13 14 11 Q4 2014 Q1 2015 Q4 2014 Q1 2015 Q4 2014 Q1 2015 Q1 201
Slide 9: Leadership Journey
Performance and prospects Leadership Journey® Cumulated gains (USD million) Asset upgrade program launched on best performing assets 600 • Productivity improvement of the downstream 550 facilities in Genk (CAP2), Gueugnon (CAP10) Tranche 1 and Timoteo (Sendzimir Mill #1). 500 USD52m of Capex • Upgra
Slide 10: Financial results
First quarter 2015 Financial results 10
Slide 11: First quarter P&L highlights
Financial results First quarter P&L highlights EBITDA to net income (USD million) (47) 133 (35) 3 (12) 86 54 42 EBITDA Depreciation Operating Net interest & Forex Pre-tax Tax & Net income & impairment income financing & derivatives income Non-controlling Costs gains interests Profit improvement in Q
Slide 12: First quarter cash flow highlights
Financial results First quarter cash flow highlights Free cash flow (USD million) (43) (10) 133 (34) 80 46 EBITDA Working Capital Financial Cash-flow CAPEX Free charges, tax from Cash-flow & other operations Profit improvement in Q1 due Continued to market focus andwith on cash internal USD initiati
Slide 13: First quarter balance sheet highlights
Financial results First quarter balance sheet highlights Assets & liabilities (USD million) Equity & net debt (USD million) [1] 23% 22% 21% 21% 20% 603 1 183 3 026 3 149 2 851 2 676 2 856 2276 2 276 689 663 591 536 508 Assets Liabilities 31/03/14 30/06/2014 30/09/2014 31/12/14 31/03/15 Non-current a
Slide 14: Sustainable cash flow from operations across the cycles
Financial results Sustainable cash flow from operations across the cycles Cumulated net cash provided by operating activities Quarterly Aperam's net debt evolution (USD million) (USD million) 1,150 1,200 1,050 1,000 950 800 850 600 750 400 650 200 550 0 450 Profit improvement in Q1 due continued Sol
Slide 15: Diversified and improved funding structure
Aperam performance Diversified and improved funding structure Gross debt maturity profile (USD million) as of March 31, 2015 Debt restructuring actions in 2014 ¾ Convertible Bond Ornane of USD300m issued in June 700 2014 at coupon of 0.625% and premium of 32.5% 600 ¾ BBF reduced by half during 2014
Slide 16: Q&A
Q&A courtesy of SIDEM Desalination project, Al Zour North (Kuwait)