Phoenix Solar Ag · HAM:PS4
Phoenix Solar — Investor Presentation (November 2015)
40 slides from Phoenix Solar's investor presentation, November 2015
Slide 1: Phoenix Solar AG: Consolidate the Turnaround!
Phoenix Solar AG Consolidate the Turnaround! November 2015
Slide 2: Table of Contents
Table of Contents 1. Investment Case 2. Profile and Business Model 3. Market Overview 4. Financial Results Q2 2015 5. How to Consolidate the Turnaround 6. The Next Steps 7. Strategic Outlook 8. Executive Summary 2
Slide 3: 2015 Q3 numbers show Phoenix Solar is on track for its turnaround
2015 Q3 numbers show: Phoenix Solar is on track for its turnaround Key figures and highlights as of September 30, 2015 First nine months of FY 2015: Top-line growth of 400% over nine months of 2014 In Q3: Positive operating earnings (EBIT: EUR+1.1 mn) for the first time after six quarters (ex on
Slide 4: Phoenix Solar is Excellently Positioned in the PV Growth Regions
Phoenix Solar is Excellently Positioned in the PV Growth Regions in the USA, Middle East and Southeast Asia Investment Considerations One of the pioneers in the photovoltaic (“PV”) industry and independent international PV system integrator with a strong brand recognition One of the last remaini
Slide 5: Table of Contents
Table of Contents 1. Investment Case 2. Profile and Business Model 3. Market Overview 4. Financial Results Q2 2015 5. How to Consolidate the Turnaround 6. The Next Steps 7. Strategic Outlook 8. Executive Summary 5
Slide 6: Phoenix Solar: Capabilities Across the Solar Value Chain
Phoenix Solar: Capabilities Across the Solar Value Chain Project Development Skills EPC Skills O&M Skills Due Project Enginee-rin Construction & Operations & Origination Proposal Diligence Finance g & Design Commissioning Maintenance Compre- Select the hensive, Strong management optimal sites compet
Slide 7: Phoenix Solar is a Pioneer of the Photovoltaic Industry
Phoenix Solar is a Pioneer of the Photovoltaic Industry Mainly Focussed on the Construction of Power Plants The predominant business model is „EPC“ of photovoltaic power plants – both, roof-top and green-field. Customers Retail, commercial and institutional investors, utilities Operations Operatio
Slide 8: Our Offering: Excellence in EPC
Our Offering: Excellence in EPC Range of Services Final Product Site assessment Turn Key PV Solar Power Plants Consulting Energy production modeling Turn Key Development & EPC Phase Power Range: 1 - 75 MWp Economic and financial consulting Installed capacity: approx. 600 MWp System plann
Slide 9: Customer Satisfaction: Duke Energy, Fayetteville NC
Customer Satisfaction Duke Energy - Fayetteville, NC USA Green Field Power Plant – 32.1 MWp Duke Energy - Key Customer Customer Feedback, June 9: USD 25 bn Revenues Duke is impressed by Phoenix Largest Utility in the USA Highest Standards re Quality and Safety Excited by engineering, team,
Slide 10: Table of Contents
Table of Contents 1. Investment Case 2. Profile and Business Model 3. Market Overview 4. Financial Results Q2 2015 5. How to Consolidate the Turnaround 6. The Next Steps 7. Strategic Outlook 8. Executive Summary 10
Slide 11: The Solar PV Market: Global Installed Capacity Reaches New Peaks
The Solar PV Market: Global Installed Capacity Reaches New Peaks Photovoltaic Global Capacity Ongoing strong worldwide growth: installed capacity approaches 200 GWp Biggest base in Europe, Asia is catching up USA on an ambitious growth path China remains a closed shop for foreign vendors Sou
Slide 12: Photovoltaic Capacity Continues to Grow Fast
Photovoltaic Capacity Continues to Grow Fast– Phoenix Solar Takes its Share of the Market Market Forecasts Installed capacity today at approx. 180 GWp Capacity Added Estimated to reach 54 GWp in 2015 Low Case Estimates until 2019 approx. 400 GWp High Case Estimates until 2019 approx. 540 GWp
Slide 13: Solar Increases its Share in Total Energy Production
Solar Increases its Share in Total Energy Production Source: EIA, GWEC, Deutsche Bank Estimates 13
Slide 14: The Solar PV Market: Cost Base Down 78% from 2009 through 2014
The Solar PV Market: Cost Base Down 78% from 2009 through 2014 LCoE = Levelized Cost of Energy (Total Generating Cost) Solar is competitive now, has almost overtaken cost of wind Coal at $66 - 151/MWh – Natural gas/ CCGT at $61 - 87/MWh – Nuclear at $92 - 132/MWh Source: Lazard, LCOE Study, 09
Slide 15: Table of Contents
Table of Contents 1. Investment Case 2. Profile and Business Model 3. Market Overview 4. Financial Results Q3 2015 5. How to Consolidate the Turnaround 6. The Next Steps 7. Strategic Outlook 8. Executive Summary 15
Slide 16: Key Profit and Loss Figures First Nine Months of FY2015
Key Profit and Loss Figures First Nine Months of FY2015* 9M 2015 9M 2014 % Change Revenues 82.2 €M 19.5 €M > 100 % > of which Components & Systems 3.0 €M 12.5 €M -76 % > of which Power Plants 79.2 €M 7.0 €M >100 % > share of international business 82.0 €M 16.9 €M > 100 % Other operating income 2.9 €
Slide 17: Key Balance Sheet and Cash Flow Statement Figures
Key Balance Sheet and Cash Flow Statement Figures First Nine Months of FY 2015* 09/30/2015 12/31/14 Non-current assets 17.1 €M 17.9 €M Inventories 1.9 €M 2.1 €M Receivables from long-term construction contracts 6.6 €M 1.0 €M Trade receivables 6.2 €M 10.4 €M Shareholders‘ equity - 8.7 €M - 1.6 €M Tra
Slide 18: Table of Contents
Table of Contents 1. Investment Case 2. Profile and Business Model 3. Market Overview 4. Financial Results Q2 2015 5. How to Consolidate the Turnaround 6. The Next Steps 7. Strategic Outlook 8. Executive Summary 18
Slide 19: How to Consolidate the Turnaround? (1) Cost Structure Significantly Improved
How to Consolidate the Turnaround? (1) Cost Structure Significantly Improved Other operating Personnel expenses expenses 40 40 35,9 - 70 % 30,0 - 68 % 30 30 25,2 21,1 20 20 14,6 12,3 10,9 9,6 10 8,3 10 7,6 0 0 2011 2012 2013 2014 2015e * 2011 2012 2013 2014 2015e* *) Forecast for 2015 arithmetically
Slide 20: How to Consolidate the Turnaround? (2) Improve Sales Performance
How to Consolidate the Turnaround? (2) Improve Sales Performance Free Order Backlog / Order Intake 140 131,2 140 120 120 102,1 100 93,2 100 85,5 80 80 60 60 45,5 40 40 41,0 24,7 20 20 0 0 Mar 14 Jun 14 Sep 14 Dec 14 Mar 15 Jun 15 Sep 15 Power Plants Components & Systems Order Intake 20
Slide 21: How to Consolidate the Turnaround? (3) Top Line Growth, EBIT Break Even
How to Consolidate the Turnaround? (3) Significant Top Line Growth, EBIT ≈ Break Even 180 160 120 +1 0 -1,4 -1 141,2 140 60 -4,6 33,8 0 -5 2013 2014 2015 2013 2014 2015 actual actual forecast actual actual forecast Group Revenues EBIT 21
Slide 22: Table of Contents
Table of Contents 1. Investment Case 2. Profile and Business Model 3. Market Overview 4. Financial Results Q2 2015 5. How to Consolidate the Turnaround 6. The Next Steps 7. Strategic Outlook 8. Executive Summary 22
Slide 23: Next Steps at Phoenix Solar AG: Six Point Plan (1)
Next Steps at Phoenix Solar AG: Six Point Plan (1) Growth 2015: Dedicated focus on closing profitable projects 1 Gain momentum, in operations, financials and share price Continue to differentiate: 2 High quality EPC and Services … support project financing, O&M, utilize network in favor of our c
Slide 24: Next Steps at Phoenix Solar AG: Six Point Plan (2)
Next Steps at Phoenix Solar AG: Six Point Plan (2) Reduce operating cost per Wp for competitive reasons by approx 4 6-8 % p.a. Forge Strategic Alliances 5 Short term: vendors, project developers, sub contractors Mid term: strategic partners Base corporate culture on communication, 6 processes, p
Slide 25: 2015 Focus on Core Markets in Growth Regions
2015 Focus on Core Markets in Growth Regions: Competent Teams on Location, Systematic Approach Europe Americas • France • USA • Spain Middle East • Latin Ame- • Greece rica • Turkey Phoenix Solar AG, Germany • Jordan Asia/Pacific (Since Nov. 1999) • Saudi Arabia Phoenix Solar SAS, France • UAE •
Slide 26: Project Pipeline 2016
Project Pipeline 2016 Already Good Demand – Competent EPC are Being Searched for USA: Booming market, utility segment alone is to reach 6 to 8 GWp in 2016 Middle East: growth markets in Jordan and Turkey: we are well positioned and networked Asia/Pacific: Expanding the team, Focus on the Phili
Slide 27: Global Sales and Project Pipeline per Milestone
Global Sales and Project Pipeline per Milestone 350 MWp per Milestone - weighted M3 M4 M5 300 250 90,8 200 16,4 70,3 150 43,6 70,3 90,8 90,8 64,4 100 191,4 25,1 19,6 19,6 50 48,9 106,6 69,3 65,0 62,8 31,2 0 Mai 15 Jun 15 Jul 15 Aug 15 Sep 15 Okt 15 M5 = Under construction, M4 = Contract signed, M3 =
Slide 28: Table of Contents
Table of Contents 1. Investment Case 2. Profile and Business Model 3. Market Overview 4. Financial Results Q2 2015 5. How to Consolidate the Turnaround 6. The Next Steps 7. Strategic Outlook 8. Executive Summary 28
Slide 29: Value Chain and Growth Potential
Value Chain and Growth Potential Potentials Cube: Systematically Assess Market Trends and Volumes Explore and Seize Opportunities Along Our Strategic Guidelines Utility 1. Market 3. Geographies Segments C&I Rooftop Off-Grid Residential Project development EPC 2. Value Chain
Slide 30: Table of Contents
Table of Contents 1. Investment Case 2. Profile and Business Model 3. Market Overview 4. Financial Results Q2 2015 5. How to Consolidate the Turnaround 6. The Next Steps 7. Strategic Outlook 8. Executive Summary 30
Slide 31: Executive Summary
Executive Summary Well Positioned – Turnaround Ahead – Long-term Growth Perspectives Global solar market continues to grow fast, great opportunities! Focus on turnaround in 2015; revenue forecast at lower end of forecast range of €140-160 mn with ≈ EBIT break-even Good working global sales pro
Slide 32: Phoenix Solar AG: Excellence in Global EPC
Phoenix Solar AG “Excellence in Global EPC”
Slide 33: Appendix
(phoenix Appendix
Slide 34: Share Price Development
Share Price Development (May 05 – Nov 04, 2015) 13,6*14,88 Appendix 34
Slide 35: Competent, Skilled, International Management Team
The Company is Led by a Competent, Skilled, International Management Team with Broad Solar Industry Expertise Tim P. Ryan Manfred Dr. Murray CEO since 01/2015 Hochleitner Cameron CFO since 01/2015 Founder, Member of the Executive Board (2003) Broad experience in growth - oriented With extensive expe
Slide 36: Project Experience: Georgia (USA)
Project Experience: Georgia (USA) Simon Solar Farm: 38.6 MWp Location: Georgia (USA) Commissioned: November 2013 1000 V system IPP (Silicon Ranch) selling power under a PPA to Georgia Power Services Site due diligence and design Equipment Development services Approx. 130,000 JA (305/31
Slide 37: Project Experience: Thailand and Riyadh
Project Experience: Thailand (Asia) and Riyadh (Saudi Arabia) Solar Park Solarco: 36.0 MWp Solar Park KAPSARC: 3.55 MWp Location: approx. 2h from Bangkok (Thailand) Location: Riyadh (Saudi Arabia) Connected: November & December 2013 Connected: December 2012 Scope of work Phoenix: Engineering, Procur
Slide 38: Phoenix Solar Share in Brief
Phoenix Solar Share in Brief International Securities Identification Number DE000A0BVU93 (ISIN) German Securities Identification Number (WKN) A0BVU9 Symbol PS4 Number of shares issued and outstanding 7,372,700 no-par bearer shares Share Capital € 7,372,700 Market Segment Official Market (Deutsche Bö
Slide 39: Disclaimer
Disclaimer The content of this presentation is solely for information purposes and is not intended to constitute a recommendation for investment or a solicitation to subscribe or an offer to buy or sell securities of the company. Phoenix Solar AG shall undertake no liability whatsoever for any loss
Slide 40: Contact Details
Contact Details Phoenix Solar AG Dr. Joachim Fleing Hirschbergstrasse 4 D-85254 Sulzemoos Germany Phone +49 8135 938-315 Fax +49 8135 938-429 www.phoenixsolar-group.com [email protected] Appendix 40
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