Keller Group Plc · LSE:KLR
Keller — Investor Day (October 2012)
17 slides from Keller's investor day presentation, Oct 16, 2012
Slide 1: Keller Group plc Capital Markets Day: Keller EMEA
Keller Group plc Capital Markets Day 16 October 2012 Keller EMEA
Slide 2: Contents
Contents • Overview of Keller EMEA • Market conditions and outlook • Major opportunities and challenges • Recent projects • Summary 1
Slide 3: Keller EMEA - Overview
Keller EMEA - Overview • Established businesses in all major European markets; present in Middle East and North Africa • Managed as seven separate business units • Clear market leader in ground improvement – Full service foundation business in selected markets • Employing around 2,800 people, cultur
Slide 4: EMEA Revenue by Region
EMEA Revenue by Region Highly diversified Current split of revenue geographically Reduced revenues in 6% challenging markets such 6% 20% as Iberia, France and Middle East 12% Focus on strong markets 20% in central regions of 17% Europe Local management from 19% region/country 3
Slide 5: Keller EMEA – Competitive Advantages
Keller EMEA – Competitive Advantages Added Value: • Engineering = design of alternative solutions • Reputation with many customers (international) • Part of a larger group = brand value • Scale = capacity • Productivity = reliable but competitive supplier 4
Slide 6: Outlook for Major European Construction Markets
Outlook for Major European Construction Markets In per cent Stable growth rate for 2010 2011 2012 2013 Western Europe 11,3 expected 4,3 After strong years of 3,7 3,3 2,6 2,6 growth Poland 2,0 1,8 1,6 1,6 1,3 0,9 0,2 0,2 currently shows a declining construction -0,1 -1,3 -1,3 market -3,0 -3,9 4,3 Spa
Slide 7: Outlook for Infrastructure, 2011 - 2016
Outlook for Infrastructure, 2011 - 2016 In per cent Only slow growth expectation for European infrastructure projects until 2016 Growth potential in Germany and the Netherlands Further decline expected in Spain All other markets remain stable Source: International Construction, September 2012 *Own e
Slide 8: Keller’s positioning in EMEA
Keller’s positioning in EMEA Stable Germany, construction Poland, Austria, markets Saudi Arabia Countries represent 55% of with low current revenue expectations Countries where restructuring required Single opportunities
Slide 9: Summary Market Outlook
Summary Market Outlook • Recent data indicate that EMEA’s construction markets as a whole may be improving • Significant differences within Europe – Germany expected to stay stable – Iberia remains challenging – Poland still preparing complex projects – UK dependent on large key projects • Middle Ea
Slide 10: Adjusting to Current Market Conditions
Adjusting to Current Market Conditions Measures taken/ongoing Results • Focus on stable markets • Results improved since May 2012 • In challenging markets, structures reduced to a • Poorly-performing contracts significantly minimum reduced • Structured cost-cutting initiatives in all regions • Signi
Slide 11: Success Factors in Key Markets
Success Factors in Key Markets • Germany – Responsive and competitive on smaller contracts, combined with large project capability – Continued expansion of project offering (e.g. complex excavation pits) • Poland – Strong technical office key to winning work despite fierce competition – Excellent tr
Slide 12: London infrastructure upgrade
London infrastructure upgrade Specialty grouting, Victoria Station Upgrade Compensation grouting, Crossrail London, UK London, UK Contract value: £37m Contract value: £20m (Keller’s share) 11
Slide 13: Tunnel Gdansk, Poland
Tunnel Gdansk, Poland Contract value: €36m Redesign key to winning the project Geotechnical work involving more than 10 units for jet grouting, large diameter piling and uplift anchors 12
Slide 14: Chile: Harbour Remediation after 2010 Earthquake
Board Meeting Falk-EE-1120925 v1.0 Chile: Harbour Remediation after 2010 Earthquake technology transfer + local partner ASMAR TALCAHUANO STONE COLUMNS – OFF SHORE: S-ALPHA HYDRAULIC SYSTEM CRANE: MANITOWOK 999 (275t) Keller EMEA | EF September 25, 2012 No. 13
Slide 15: Erzin, Turkey
Erzin, Turkey First job in Turkey Contract value: €10m 900 MW power plant 3 vibrocats and 12 piling rigs 14
Slide 16: Summary
Summary • Europe – Defend strong market positions in Germany, Austria, Poland – Adapt elsewhere, as required – Complete range of geotechnical services – Innovation, centres of excellence • Middle East – Building expertise for large complex projects – Teaming up with successful main contractors • Foc
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