Magontec Limited · ASX:MGL
Magontec — Shareholder Meeting (May 2017)
14 slides from Magontec's shareholder meeting presentation, May 17, 2017
Slide 1: Annual General Meeting of Shareholders
Magontec Limited (ASX: MGL) Nicholas Andrews Executive Chairman Annual General Meeting of Shareholders 17 May 2017
Slide 2: Disclaimer
Disclaimer This Presentation has been prepared by Magontec Limited (ABN 30 147 131 Past performance Investment Risk and other risks 977) (Magontec or the Company). This Presentation contains summary information about Magontec and its activities current as at the date of this Past performance informa
Slide 3: Magontec Limited – 2017 Annual General Meeting
Magontec Limited – 2017 Annual General Meeting Profitable Platform Capital Expenditure Slide No. 1
Slide 4: FY 2016 Review: Strong improvements in cash flow and margins
FY 2016 Review Strong improvements in cash flow and margins have led to continued growth Magontec Gross Profit and GP margin ($M) Cashflow ($M) $4.9 9.3% 11.3% $3.6 GP Margin 6.4% $0.5 $8.5 $12.9 $14.4 Gross Profit FY14 FY15 FY16 Slide No. 2
Slide 5: FY 2016 Review: EBITDA and EBIT improved significantly
FY 2016 Review EBITDA and EBIT has also improved significantly in the last three years FY14 FY15 FY16 EBITDA EBIT $1.61m $3.30m $1.49m $4.25m $2.54m -$0.31m Slide No. 3
Slide 6: FY 2016 Review: Underlying earnings now positive
FY 2016 Review Underlying earnings are now positive, prior to SOP at Golmud Underlying NPAT* $1.50m $1.12m $1.00m $0.50m 0 -$0.50m -$0.25m -$1.00m -$1.50m -$2.00m -$2.00m -$2.50m FY14 FY15 FY16 Slide No. 4
Slide 7: 1Q 2017 Earnings Review
1Q 2017 Earnings Review 1Q15 1Q16 1Q17 EBITDA Profit & Cash $0.56m EBIT Achievements & Challenges NPAT* $0.11m $0.11m $0.92m $0.49m $1.27m $0.49m $1.57m $1.19m *excluding unrealised foreign exchange Slide No. 5
Slide 8: Five recycling and manufacturing facilities in China, Germany and Romania
Magontec has five recycling and manufacturing facilities in China, Germany and Romania Production Sales Office Bottrop Santana Shanxi Toronto Golmud Tokyo Technology Centre Rhode Is Xi’an Cast House Project Sydney Melbourne Headquarters Slide No. 6
Slide 9: Qinghai electrolytic magnesium smelter complex
Qinghai electrolytic magnesium smelter complex Dehydration Reduction Cast house Agreements 56,000 mtpa Exclusive Mg alloy rights Off-take price Lease (10+10 yrs) Production 4* Mg alloy cast lines 85% renewable energy Future growth option Slide No. 7
Slide 10: Magontec Qinghai will triple production
Magontec Qinghai will triple production and make Magontec the world’s largest supplier of electrolytic Mg alloy ~10% Mg alloy market share 2015 Target > 20% Mg alloy market share Largely high CO2 Largely high CO2 “Pidgeon process” “Pidgeon process” Slide No. 8
Slide 11: Qinghai will use the lowest CO2 Mg ever produced
Magontec Qinghai will use the lowest CO2 Mg ever produced* 45 Future Present Past 40 Qinghai Kg CO2eq / kg Mg 35 incl. credits for incl. use 30 Use of waste gas of SF6 25 incl. credits for by-products 20 15 incl. credits for by-products 10 5 0 Golmud 2017 Israel 2011 China 2011 Norway 1997 Electroly
Slide 12: Corporate transformation creates an exceptional platform for growth
Magontec’s corporate transformation creates an exceptional platform for growth Improving Mg alloy “Green” Profit ASX Listed financial production magnesium “inflexion” point Capitalisation fundamentals volumes to triple $45m Slide No. 10
Slide 13: Magontec Limited
Magontec Limited MAGONTEC MAGONTEC GmbH MAGONTEC Xian Co., Ltd Head Office, Sydney Industriestraße 61 No. 40, Feng Cheng 3 Road, Suite 1.03 46a Macleay St 46240 Bottrop Xian Economic and Potts Point Sydney NSW Germany Development Zone AUSTRALIA 2011 Xian, China, 710021 Tel +61 2 8005 4109 Tel +49 (0
Slide 14: Magontec Limited
Magontec Limited (ASX: MGL) Nicholas Andrews Executive Chairman 1/2Q 2017