Industrial Holding Bulgaria Ad · BSESOF:IHB
Industrial Holding Bulgaria Ad — Industrial Holding Bulgaria (IHB) — Bulgaria Forum, German Equity Forum 2008
22 slides from Industrial Holding Bulgaria Ad's conference presentation, Nov 12, 2008
Slide 1: Bulgaria Forum, German Equity Forum
PRESENTATION Bulgaria Forum German Equity Forum 10-12 November 2008 Frankfurt am Main Borislav Gavrilov Member of the Management Board
Slide 2: About IHB
About IHB Public limited company managing a portfolio of companies Listed on the official market of BSE-Sofia The shares are in the indexes: BG40, SOFIX, BGTR30, DJSTOXX EU Enlarged, Dow Jones Wilshire, Dow Jones STOXX Balkan 50 Equal Weighted Index In businesses of strategic interest - a co
Slide 3: Capital and shareholders
Capital and shareholders At present Issued capital of BGN 43 756 118 (EUR 22 372 491), distributed in 43 756 118 ordinary voting shares with BGN 1 nominal value Shareholders’ structure as at 30 Sept 2008 Institutional : over 200 – 84% / Retail : over 55 000 – 16% of the capital Domestic : 60
Slide 4: Portfolio
Portfolio Shipbuilding, ZMM Bulgaria 100% 100% ship repair and ship design Holding 61.5% Bulyard Shipbuilding Industry Metal cutting 50% VIK-Sandvik-IHB Design River Cruises 94.1% ZMM Sliven 48.4% Port activities Dunav Tours Maritime Business Machine Building ZMM Nova Zagora 93.6% Dockyard Port 98.2
Slide 5: Summary
Summary Sustainability: Focused on export oriented, strategic internationally sectors as shipbuilding, ship repair, port activities, shipping and machine building /hydro power energy infrastructure/. Pursuing constant optimization of the investment portfolio. Present focal areas are maritime,
Slide 6: Summary: risks in the economic crisis and measures
Summary Potential risks in the present economic crises prospective / Reflection on IHB / measures undertaken: Lack of confidence in the market – share prices fall, difficulties with financing projects IHB has just issued successfully a convertible bonds issue for BGN 22 m for investment projects
Slide 7: Group Revenues Breakdown
Group Revenues Breakdown Operating revenue 2004 2005 2006 2007 1H2007 1H2008 by industries (‘000 BGN)* Shipbuilding** 0 7 327 66 439 82 935 18 888 7 667 Ship repair 18 232 14 627 7 361 3 827 2 116 3 136 Port operations 0 484 1 039 3 176 1 436 2 307 Classification and certification 1 731 2 076 1 921
Slide 8: IHB | Revenues
IHB | Revenues Operating revenue (BGN '000) and YoY growth rates 250 000 Sustained 195 000 operating 200 000 revenues growth 162 393 driven by 150 000 135 088 shipbuilding 92 130 100 000 49 531 50 000 6% 86% 47% 20% 20% 0 2004 2005 2006 2007 f2008 8
Slide 9: IHB | Profitability
IHB | Profitability EBITDA (BGN '000) and EBITDA margin 35 000 33% 35% 30 000 30% 2005 profitability hike 25 000 25% due to sale of the real 20 000 20% estate portfolio and 15 000 16% 10% 15% 10 000 9% 10% 10% the 12%-stake in 5 000 16 582 5% Dockyard Odessos 8 034 30 151 12 089 19 000 29 900 0 0%
Slide 10: Maritime Business
Maritime Business Shipbuilding, Ship repair, Ship design Bulyard Shipbuilding Industry Building of whole ships, construction of separate ship sections and units Operations took off in 2005 and already in 2007 shipbuilding generates 46% of total operating revenues Ship repair and reconstruction
Slide 11: Bulyard SI | Order-book
Bulyard SI | Order-book Order book and deliveries Contracts signed for construction of 15 new ships of different type: 3 ships - 9800 DWT bulk carrier / multypurpose , 3 ships - 21000 DWT bulk carrier, 2 ship – 42000 DWT, 7 ships - 56000 DWT Super Handymax F56 /Contract with IHI Marine United In
Slide 12: Maritime Business: Shipping
Maritime Business Shipping IHB Shipping Co Operating the ships owned by IHB and subsidiaries Privat Engineering and KLVK 5 ships total, 2 ships – 9800 DWT /delivery 2009/, 1 ship – 21 000 DWT /delivery 2009/ and 2 ships F56 type – 57 000 DWT /delivery 2010-2011/ Start operations from 2009 when t
Slide 13: Maritime Business: Port operations
Maritime Business Port operations Dockyard Port Bourgas, Odessos PBM Port operations and related activities on/from ships and land vehicles Certificates for processing of general, liquid and bulk cargo Located on own terrain In 2007 both ports expanded the scope of processed freight 2007 c
Slide 14: Machine Building
Machine Building ZMM Bulgaria Holding Metal-cutting & Electrical machines & Foundry Even though the sector is in mature phase, revenues are growing healthily at a CAGR of 16% over the last 4 years. Despite their falling share in IHB’s operating revenues (2004: 75%; 2007: 34%) the companies are a
Slide 15: Machine Building: Looking ahead
Machine Building Looking ahead To prolong the products’ life cycle, the companies undertake constant improvements in the design and technical characteristics, as well as search for new markets and customers. Production facilities are constantly being modernized to improve quality and working con
Slide 16: Electric Machines
Electric Machines Renewable energy sources capabilities Elprom ZEM The largest manufacturer of rotating electric machines in the region with 60 years experience in producing and repair of electric machines Hydro Generators lifecycle support provider – from research & development and design throu
Slide 17: River Cruises
River Cruises Dunav Tours Owner of 5 four- and five-star passenger ships for river cruises on the rivers Rhine – Main – Danube and the Moselle. Total capacity: 817 passengers. Owns a pontoon on the Danube River suitable for all types of river vessels and servicing more than 280 ships in a year.
Slide 18: Furniture Production
Furniture Production Avgusta Mebel Production of hotel, home, office and industrial furniture. Since 2007 started producing ship furniture and furniture for containers for living of workers. Size and capacity of plant are suitable for serial production in large quantities, hence the company’s ab
Slide 19: Strategy and Objectives
Strategy and Objectives Decentralization – IHB participate mainly in strategic management and decision-making or by providing expertise at all levels Portfolio management decisions undertaken after extensive periodic evaluations of the sector, the company’s competitive position and growth potent
Slide 20: Competitive Advantages
Competitive Advantages Experienced and committed management with many years in the company Qualified, skilled and motivated personnel Facilitated access to various sources of financing due to IHB asset base and public statute ‘Cash cows’ subsidiaries provide the necessary capital for carryin
Slide 21: Thank you!
Borislav Gavrilov Member Management Board T: +359 2 980 71 01 F: +359 2 980 70 72 E: [email protected] Thank you! www.bulgariaholding.com 21
Slide 22: Disclaimer
Disclaimer • This presentation is for the use of the addressees only and may not be reproduced, redistributed or passed on to any other person or published, in whole or in part, for any purpose, without the prior written consent of FFBH and IHB Plc. This presentation is NOT for distribution in the U
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