Hochtief Aktiengesellschaft · XETR:HOT
Hochtief Aktiengesellschaft — Investor Day (October 2005)
28 slides from Hochtief Aktiengesellschaft's investor day presentation, Oct 27, 2005
Slide 1: HTE overview: structure, organization, figures, market presence
HTE overview: structure, organization, figures, market presence Dr Burkhard Lohr, CFO HTE Dr. Burkhard Lohr CMD 10.2005 No. 1 V14
Slide 2: HOCHTIEF worldwide
HOCHTIEF worldwide America: Asia/ Pacific: HOCHTIEF Construction HOCHTIEF Construction Services Americas Services Asia Pacific Europe: HOCHTIEF Construction Services Europe Australia: HOCHTIEF Construction Services Asia Pacific Dr. Burkhard Lohr CMD 10.2005 No. 2 V14
Slide 3: Structure HOCHTIEF Europe
Structure HOCHTIEF Europe Struktur HT Markt Operational Level Northwest East Southwest Southeast Streif Infrastructure Construction HOCHTIEF Strategie Baulogistik Europe and International Consult Tunneling Revitalization Berlin- Frankfurt Munich Construction Frankfurt Civil Major International Build
Slide 4: We will increase our earnings on a sustainable basis
Despite the shrinking market in Germany HOCHTIEF Europe managed a successful turnaround Struktur HT EBT (EUR m) Markt 40 28,7 20 10.4 Strategie 0 DER BAU: -20 - Vor - -40 - Während - - Nach - -60 -80 Ausblick -100 -120 -105.3 2002 2003 2004 We will increase our earnings on a sustainable basis. Dr. B
Slide 5: Strategic responses / Success factors
Strategic responses / Success factors Struktur HT 1. We open up growth regions Markt 2. We set new standards Strategie 3. We manage risks DER BAU: - Vor - - Während - - Nach - Ausblick Dr. Burkhard Lohr CMD 10.2005 No. 5 V15
Slide 6: We open up growth regions: Overview of regional markets
Success factor 1 We open up growth regions Struktur HT Markt Strategie Overview of regional markets DER BAU: - Vor - - Während - - Nach - Ausblick Dr. Burkhard Lohr CMD 10.2005 No. 6 V15
Slide 7: Development of the European construction markets
Development of the European construction markets Average growth p.a. 2005-2007 (in %) Struktur HT Markt Strategie DER BAU: - Vor - - Während - <= 0.0 - Nach - <= 3.0 <= 6.0 Ausblick <= 10.0 Source: Euroconstruct Dr. Burkhard Lohr CMD 10.2005 No. 7 V15
Slide 8: Market attractiveness: Growth market Eastern Europe
Growth market Eastern Europe Attractiveness for HOCHTIEF Struktur HT Markt Market sizes: Poland EUR 0 to 2 bn Czech Rep. Strategie > EUR 2 to 5 bn Russia medium Market attractiveness Hungary > EUR 5 to 10 bn DER BAU: Ukraine Romania good - Vor - - Während - Bulgaria >EUR 10 to 15 bn Latvia Lithuania
Slide 9: Go Europe: Starting situation
Go Europe Starting situation Struktur HT New orders 2004 – New orders 2005 forecast – Domestic/International Domestic/International Markt Strategie 1% 6% DER BAU: 28% - Vor - 36% - Während - 58% - Nach - 71% Ausblick Domestic Europe Outside Europe Domestic Europe Outside Europe HTE is evolving into
Slide 10: HTE positioning: Continuous expansion in Eastern Europe
HTE positioning Regional: Continuous expansion of position in Eastern Europe Struktur HT HT Russia HT Polska HT VSB HT Hungary HT Bulgaria HT Ukraine HT Romania Markt 1991 1996 1999 2004 2005 200x 200x Strategie HT HTRussia Russia Work done 2004: EUR 24.5 m HT HTPolska Polska Work done 2004: EUR 118
Slide 11: We set new standards
Success factor 2 We set new standards Struktur HT Markt Strategie HTE identifies and taps into DER BAU: profitable market segments on a continuous basis – - Vor - - Während - - Nach - Ausblick in Germany as elsewhere Dr. Burkhard Lohr CMD 10.2005 No. 11 V15
Slide 12: Market developments: Construction is a cyclical business
Market developments Construction is a cyclical business Struktur HT Markt Strategie Newly opened multiplex cinemas in Germany 30 (1990 - 2002) DER BAU: - Vor - 20 - Während - - Nach - 10 Ausblick 0 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 Dr. Burkhard Lohr CMD 10.2005 No. 12
Slide 13: Growth markets - Portfolio, Market Germany
Market Germany Growth markets - Portfolio Struktur HT Markt Market volume (in EUR bn) Residential <5 construction Strategie DER BAU: Logistics Shopping centers 1-5 - Vor - Tunneling - Während - Education Healthcare Sports Energy - Nach - Ausblick 0–1 Offshore wind Public-sector building PPP power co
Slide 14: Growth market: Transport infrastructure
Growth market: Transport infrastructure Germany Transport undergoing marked growth Struktur HT 40% more truck traffic Markt up to 2020 20 % more car traffic Strategie DER BAU: “Germany as the road intersection of Europe” - Vor - - Während - - Nach - Goods distribution is changing Ausblick -Investmen
Slide 15: Our competence in transport infrastructure
Our competence in transport infrastructure At HOCHTIEF Construction, two divisions with a total of 14 business units Struktur HT are responsible for the business field transport infrastructure. Markt Substantial synergy effects within the Group (example: PPP Solutions) Strategie DER BAU: - Vor -
Slide 16: Growth market: Tunneling
Growth market: Tunneling Requirements in Germany Requirements in Austria Struktur HT Markt In total, more than 220 kilometers of tunnels are currently in the planning Strategie phase in Austria. DER BAU: Metros - Vor - 6 km - Während - Road tunnels 65 km - Nach - Construction start planned from 2004
Slide 17: Competence in tunneling
Competence in tunneling HOCHTIEF Construction is one of the biggest tunnel-builders in the world Struktur HT and operates in this field in all the continents. Numerous technical solutions developed by our planning departments and Markt business units have become standard for the industry. Strate
Slide 18: Growth market: Shopping centers
Growth market: Shopping centers New-build potential Present and planned SC by federal state Struktur HT 90 80 Markt Bestand Existing SCan04/2004 SC 04/2004 Source: IfG, April 2004 80 70 Geplante Eröffnungen 2004 bis 2010 Planned openings 2004-2010 Strategie 60 53 46 47 50 DER BAU: 40 35 31 32 31 26
Slide 19: Our competence in shopping centers
Our competence in shopping centers HOCHTIEF Europe is the key account construction partner of the two biggest shopping center developers in Europe Struktur HT (strong expansion, for instance in Eastern Europe) Markt The business unit Kassel/Shopping Centers serves client ECE on an exclusive basi
Slide 20: Growth market: Healthcare
Growth market: Healthcare Development of population Proportion of over-50s in population (in %) Struktur HT 60 Markt Source: Federal Statistics Office Basis: Migration balance 200,000 people/year (variant 2) 55 50 Strategie 49,5 48,5 45 46,8 + 40.2 % 45,5 40 DER BAU: 39,4 - Vor - 35 35,3 - Während -
Slide 21: Our competence in healthcare facilities
Our competence in healthcare facilities HOCHTIEF is world market leader in healthcare facilities (source: ENR) Business unit Healthcare Facilities under the management of a physician Struktur HT is unique in the European construction industry Markt High demand for nursing homes (FormArt) Sub
Slide 22: Growth market: Harbor construction
Growth market: Harbor construction Development of container cargo volume (forecast to 2010) Struktur HT Markt Strategie DER BAU: - Vor - - Während - - Nach - Ausblick Dr. Burkhard Lohr CMD 10.2005 No. 22 V15
Slide 23: Our competence in harbor construction
Our competence in harbor construction HOCHTIEF Construction operates worldwide Struktur HT Excellently positioned with CEM, HOCHTIEF Consult and MIP units Markt Currently three major projects worldwide Strategie DER BAU: - Vor - - Während - - Nach - Ausblick Container Terminal IV, Deep Sea Har
Slide 24: HTE develops new products and services
Success factor 2 We set new standards Struktur HT Markt Strategie HTE develops new products and DER BAU: services. - Vor - - Während - - Nach - The new market presence of Ausblick HOCHTIEF Construction AG primarily strengthens the service business. Dr. Burkhard Lohr CMD 10.2005 No. 24 V15
Slide 25: Four pillars that stand for added value
Four pillars that stand for added value. ConTrust PreFair (traditional GC business) Struktur HT (partnership model) Investment dependability Assured budget, scheduling and quality Markt Quality management Risk profiles After sales service Saving time and money Advice on financing Strategie
Slide 26: Client strategy: Support during the life cycle process
Client strategy Support during the life cycle process Struktur HT Markt Asset Building Project management Diagnosis development Strategie Facility management ViCon DER BAU: - Vor - After Sales Property life cycle PreFair - Während - Service (Preconstruction) - Nach - Ausblick PreFair ConTrust Dr. Bu
Slide 27: Targeted output distribution
Targeted output distribution 2006 Struktur HT Markt Targeted Targeted RoNA: RONA: Strategie Output distribution > 30 % > 30 % Contract Contract volume 2006: volume 2006: DER BAU: EUR 100 m EUR 60 m - Vor - - Während - Targeted Targeted RONA: RONA: - Nach - > 20 % > 15 % Contract Contract volume Ausb
Slide 28: The new market presence increases earnings on a sustained basis
The new market presence increases earnings on a sustained basis Yield % Struktur HT 120 Markt 100 Strategie 80 PreFair & ConTrust DER BAU: 60 - Vor - 40 - Während - FormArt 20 - Nach - AdMore Ausblick 0 Time Stable, growth-oriented base for project earnings from traditional construction business Dr.
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