Abengoa Sa · OTC:AGOAF
Abengoa Sa — Q1 2014 Earnings Presentation
27 slides from Abengoa Sa's earnings presentation, May 14, 2014
Slide 1: First Quarter 2014 Earnings Presentation
Innovative Technology Solutions for Sustainability ABENGOA First Quarter 2014 Earnings Presentation May 14, 2014
Slide 2: Forward-looking Statement
Forward-looking Statement • This presentation contains forward-looking statements (within the meaning of the U.S. Private Securities Litigation Reform Act of 1995) and information relating to Abengoa that are based on the beliefs of its management as well as assumptions made and information currentl
Slide 3: Agenda
Agenda 1 Strategy & Business Update 2 Financial Overview 3 2014 Outlook & Targets 4 Appendices 3
Slide 4: Strategy & Business Update
Agenda 1 Strategy & Business Update 2 Financial Overview 3 2014 Outlook & Targets 4 Appendices 4
Slide 5: Q1 2014 Overview
Q1 2014 Overview Improvement Change in main KPI’s +58% Pipeline Y-o-Y 159 B€ Backlog +16% Y-o-Y 7,244 M€ Revenues -4% Y-o-Y 1,584 M€ EBITDA +24% Y-o-Y 302 M€ Pro-Forma * Net Income +94% Y-o-Y 42 M€ Corp. -0.8x Leverage Y-o-Y 2.5x (*) Pro-forma net income excludes the mark-to-market of derivatives (h
Slide 6: Q1 2014 Executive Summary
Q1 2014 Executive Summary 1 Positive performance of main Business KPI’s… Strong new bookings performance (1.5 B€) with strategic contracts confirming good prospects for H2 2014 Growing backlog +16% y-o-y and 7% q-o-q to 7,244 M€ Pipeline growing 58% y-o-y. Expected to sign new attractive projects 2
Slide 7: Engineering & Construction Highlights
E&C Highlights 1 • As expected some big solar projects (Solana, Spain CSP) are now fully executed, driving a softer execution in Q1 Engineering • Strong new bookings in Q1 proves ability of business development division & to turn pipeline into backlog Construction • Strong pipeline and backlog provi
Slide 8: Concessions-type Infrastructures
Concessions Highlights 2 • Increase in EBITDA margins due to higher contribution of Solana CSP and Pemex cogeneration plants, and better operating efficiencies achieved Concessions- • Larger contribution expected in 2014 from concessions as new assets come type into operation in 2014: Mojave, Norte
Slide 9: Industrial Production
Industrial Production Highlights 3 • +360% EBITDA growth y-o-y thanks to significantly higher Crush Spread in US, compensating a still challenging environment in Europe Industrial • Revenues flat y-o-y, despite higher volumes, due to lower ethanol prices in Production Europe. Brazil null contributio
Slide 10: Geographic Diversification
Geographic Diversification Diversifying our business mix to capture global growth opportunities Q1’14 Revenues 1,584 M€ Rest of EU 13% 13% 202 M€ Spain 10% 9% North America* ME, Asia & 45% 157 M€ Oceania 34% 3 % 7% 722 M€ Africa 45 M€ 13% 9% 136 M€ South America 20% 24% 322 M€ Q1 Q1 2014 2013 Consol
Slide 11: Technology Update
Technology Update Continued development of our technology Cutting Edge Technologies Milestones of the year Solana, the largest solar power plant of its kind, fully operating. Meets expected production helping utility cover demand peaks at night Solar SpaceTube (larger aperture trough) already under
Slide 12: Financial Overview
Agenda 1 Strategy & Business Update 2 Financial Overview 3 2014 Outlook & Targets 4 Appendices 12
Slide 13: Q1 2014 Financial Performance
Q1 2014 Financial Performance Strong Business and Financial Performance… 1 2 Positive performance of … with leverage impacted by main KPI’s… seasonality in Q1 … E&C 7,244 M€ +16% YoY LTM 975 M€ Backlog Corporate +7% QoQ +37% YoY EBITDA E&C 159 B€ Pipeline +58% YoY Corporate 90 M€ +15% QoQ CAPEX -67%
Slide 14: Q1 2014 Financial Performance (cont'd)
Q1 2014 Financial Performance (cont’d) … with a great potential for Corporate Free Cash Flow generation 3 4 … but setting the path for a … and proactively monetizing positive FCF generation… investment in concessions Ebitda Growth Potential • 3.5 B€ backlog for rest of 2014E Yieldco • Progressin
Slide 15: E&C Backlog
E&C Backlog Strong bookings during Q1 strengthens backlog Backlog (B€) …by Sector …by Region 6,796 7.2 +16% 1% 14% 6.8 12% 21% 8% 28% 8% 6.3 +7% 11% 20% 21% 31% 25% T&D Water North America * Brazil Renewable Europe Industrial Plants Asia Mar. Dec. Mar. Power 2013 2013 2014 Conventional Others Rest o
Slide 16: Net Debt Position
Net Debt Position Proactive management of Corporate Net Debt to meet 2014 leverage targets Mar. 2013 Dec. 2013 Mar. 2014 Corporate Net Debt 2,374 2,124 2,421 Concessions NR Net Debt (1) 4,883 5,850 6,087 Total Net Debt Position 7,257 7,974 8,508 Corporate net debt / Corporate EBITDA 3.3x 2.2x 2.5x (
Slide 17: Improved Maturity Profile
Improved Maturity Profile Reinforced and extended maturity profile, diversified in sources No refinancing needs through 2015 186 Mar‘14 HY Bond issued 678 @ 6.00% to replace 300 100 E+513bps (2) 9.625% HY Bond 6,875% 9,625% 250 200 (2) 4,50% E+473bps 192 500 550 317 8,50% 473 (1) 327 313 8,875% 400
Slide 18: Cash-flow Overview
Cash-flow Overview Cash generated from operations affected by seasonality, with disciplined investment Q1 2013 Q1 2014 • EBITDA 244 302 • Working Capital (232) (573) • Net Interest Paid (95) (135) • Taxes & Other Financial Cost 18 (32) • Non-monetary Adjust. 24 (11) • Discontinued operations 21 0 Ca
Slide 19: 2014 Outlook & Targets
Agenda 1 Strategy & Business Update 2 Financial Overview 3 2014 Outlook & Targets 4 Appendices 19
Slide 20: FY 2014 Business Guidance & Targets
FY 2014 Business Guidance & Targets 2014 Guidance Confirmed 1 Positive Performance of Main Business KPI’s Strong Business Momentum despite Q1 Seasonality Q1 2014 Concessional operations growing with new operating assets and Highlights YieldCO project progressing as planned Biofuels confirms its reco
Slide 21: Appendices
Agenda 1 Strategy & Business Update 2 Financial Overview 3 2014 Outlook & Targets 4 Appendices 21
Slide 22: Results by Activity
Results by Activity € in Millions Revenues EBITDA EBITDA Margin Q1 2014 Q1 2013 Var (%) Q1 2014 Q1 2013 Var (%) Q1 2014 Q1 2013 Engineering and Construction E&C 995 1,083 -8% 138 137 1% 13.9% 12.7% Technology & Others 57 91 -37% 43 70 -38% 75.9% 76.8% Total E&C 1,052 1,174 -10% 181 207 -12% 17.3% 17
Slide 23: E&C Results Visibility - Pipeline
E&C Results Visibility - Pipeline Our growing pipeline of opportunities spans great visibility on future results Pipeline Evolution (B€) 159.4 …by Sector …and by Region 10% 11% 9% 2% 139.0 20% 124.5 +15% 11% 12% 110.2 25% 99.3 17% 14% 38% +58% 20% 10% T&D Water Spain Brazil Africa Renewable Industri
Slide 24: Capex under construction by segment (I)
Capex under construction by Amounts based on the company´s best estimate as of Mar. 31, 2014. Actual investments or timing thereof may change. segment (I) Ann. Total EBITDAe Pending (M€) Capacity Abengoa (%) Country Start Up (M€) Investment Capex ABG Equity Partners Debt Solar 1,946 316 46 21 249 Mo
Slide 25: Capex under construction by segment (II)
Capex under construction by Amounts based on the company´s best estimate as of March 31, 2014. Actual investments or timing thereof may change. segment (II) 2014 2015 2016+ Pending ABG Pending ABG Pending ABG (M€) Capex Equity Partners Debt Capex Equity Partners Debt Capex Equity Partners Debt Solar
Slide 26: Asset Portfolio Capacity
Asset Portfolio Capacity Revenue visibility backed by our solid asset portfolio Extensive concessional asset base once current capex plan completed Solid producing assets Solar (MW) Transmissions (km) 1,863 Biofuels (Ml/year) 320 12,400 3,175 3,270 95 430 1.223 9.740 3,175 1.223 2.660 2,660 Mar. 201
Slide 27: Thank you
Innovative Technology Solutions for Sustainability ABENGOA Thank you May 14, 2014