Babcock International Group PLC · LSE:BAB
Babcock International — H1 2001/02 Earnings Presentation
12 slides from Babcock International's earnings presentation, November 2001
Slide 1: Interim Results November 2001
Interim Results November 2001 1
Slide 2: The Babcock Strategy
THE BABCOCK STRATEGY • To enhance shareholder value by becoming a successful support services company • To exit the materials handling and engineering businesses • To grow in the support services sector organically and by targeted acquisition in the defence and civil sector • To maximise the cash ge
Slide 3: Half Term Report
HALF TERM REPORT • Hunting acquisition bedded in and results ahead of expectations • Railcare and BMH Wood Handling Systems sold, for a net benefit of £9.1m cash • Strong performance at Rosyth exceeding previous 2 half years’ profits • Order books increased since year end • BMH needs to work harder
Slide 4: Profit and Loss Account
Profit and Loss Account 6 months to 30 Sept 2001 6 months to 30 Sept 2000 £M Before Operating Total Before Operating Total except exceptionals except exceptionals TURNOVER -Continuing 213.0 - 213.0 184.7 - 184.7 -Discontinued 14.0 - 14.0 28.2 - 28.2 227.0 - 227.0 212.9 - 212.9 OPERATING PROFIT befor
Slide 5: Profit and Loss Account
Profit and Loss Account EARNINGS PER SHARE 30 Sept 30 Sept 00/01 2001 2000 FULL YEAR EPS - AFTER EXCEPTIONAL ITEMS (0.64)p 5.11p (3.34)p EPS - BEFORE EXCEPTIONAL ITEMS 1.64p 5.11p 0.58p EPS - BEFORE EXCEPTIONAL ITEMS AND GOODWILL 2.39p 4.66p (0.35)p __________________________________________________
Slide 6: Segmental Analysis 6 months to 30 September
Segmental Analysis 6 months to 30 September £m T/O PBIT PBIT/SALES 01 00 01 00 01 00 £m £m £m £m % % Continuing activities BES 103.8 97.6 7.9 6.7 7.6 6.9 HCS 31.8 - 3.2 - 10.0 - BMH 77.3 87.1 (3.1) 4.1 (4.0) 4.7 Unallocated costs & other income - - (1.0) (1.0) - - ___________________________________
Slide 7: Balance Sheet
Balance Sheet £m 30/9/01 31/3/01 30/9/00 SHAREHOLDERS’ FUNDS 99.3 105.6 148.4 MINORITY INTERESTS - 3.2 5.2 CAPITAL EMPLOYED 99.3 108.8 153.6 FIXED ASSETS -INTANGIBLE 73.4 74.9 12.6 -TANGIBLE 31.4 37.2 44.0 -INVESTMENTS 4.1 2.6 2.3 108.9 114.7 58.9 CURRENT ASSETS -STOCKS & WIP 22.3 27.9 31.9 -DEBTORS
Slide 8: Cash flow and Borrowings
Cash flow and Borrowings 2002 2001 2001 80 1H 1H 60 Operational cash flow 6.7 (11.0) (12.7) 40 Net capital expenditure (4.6) (7.2) (2.9) Acquisitions/disposals 4.7 (59.6) 3.3 20 £'m Taxation (0.5) (0.7) (1.0) 0 Dividends (2.2) (4.3) (2.8) -20 -40 Other 1.6 (22.7) 2.8 -60 94-95 95-96 96-97 97-98 98-9
Slide 9: Operations Review BES
Operations Review BES TURNOVER (£m) OPERATING PROFIT BEFORE EXCEPTIONALS (£M) 6 months to 6 months to 6 months to 6 months to 6 months to 6 months to Sept 2001 March 2001 Sept 2000 Sept 2001 March 2001 Sept 2000 103.8 93.0 97.6 7.9 6.5 6.8 • Order book £168m up from £128m at March 2001 • Type 23 fri
Slide 10: Operations Review HCS
Operations Review HCS TURNOVER (£m) OPERATING PROFIT BEFORE EXCEPTIONALS (£M) 6 months to 6 months to 6 months to 6 months to Sept 2001 March 2001 Sept 2001 March 2001 31.8 3.7 3.2 0.4 • Order book at September 2001 £70.5m compared to £79.3m at March 2001 • Renewals booked at Cranwell, FSAST, FRADU
Slide 11: Operations Review BMH (excluding Africa)
Operations Review BMH (excluding Africa) TURNOVER (£m) OPERATING PROFIT BEFORE EXCEPTIONALS (£M) 6 months to 6 months to 6 months to 6 months to 6 months to 6 months to Sept 2001 March 2001 Sept 2000 Sept 2001 March 2001 Sept 2000 59.6 84.4 72.7 (3.2) (2.0) 4.5 • Order book (excluding Wood) at Septe
Slide 12: Summary
SUMMARY • Consistent strategy • Implementation commenced with HCS integrated and BES ahead of targets and sale of BMH commenced • Two-thirds of Babcock has secure long term profitable contracts • Balance sheet ungeared • Growth through contract wins and selective acquisitions 12
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