Holcim Ltd · SIX:HOLN
Holcim — H1 2012 Earnings Presentation
35 slides from Holcim's earnings presentation, 2012
Slide 1: Half-year results 2012
Half-year results 2012 First cement plant in Holderbank (Switzerland) © 2012 Holcim Ltd/Switzerland
Slide 2: Key financial figures - Q2 2012
Key financial figures - Q2 2012 Million CHF Q2 +/- (if not otherwise stated) 2011 2012 LFL CIS FX Total Sales volumes - Cement (mt) 37.7 38.8 2.1% 0.8% 2.9% - Aggregates (mt) 47.0 43.9 -7.0% 0.6% -6.4% - Ready-mix (mm3) 12.7 12.5 -2.7% 0.6% -2.1% Net sales 5,486 5,597 4.7% -0.1% -2.6% 2.0% Operating
Slide 3: Key financial figures - H1 2012
Key financial figures - H1 2012 Million CHF Full Year 6M +/- (if not otherwise stated) 2011 2011 2012 LFL CIS FX Total Sales volumes - Cement (mt) 144.3 70.9 74.0 3.8% 0.6% 4.4% - Aggregates (mt) 173.0 81.3 75.6 -8.2% 1.2% -7.0% - Ready-mix (mm3) 48.4 23.1 22.8 -2.7% 1.4% -1.3% Net sales 20,744 10,1
Slide 4: Cement – Sales volumes by region
Cement – Sales volumes by region Million t Total Group 6M 2010 67.8 6M 2011 70.9 12.0 12.8 12.3 6M 2012 74.0 5.0 5.0 5.4 41.2 36.5 38.1 4.7 4.4 4.5 ∆ 6M 11/6M 12 LFL Change in Total 12.1 structure 11.1 11.7 Asia Pacific 7.6% 0.5% 8.0% Latin America 3.3% 0.0% 3.3% Europe -6.3% 2.2% -4.1% North Americ
Slide 5: Aggregates – Sales volumes by region
Aggregates – Sales volumes by region Million t Total Group 41.3 37.6 35.2 6M 2010 73.2 6M 2011 81.3 6M 2012 75.6 15.5 17.5 18.0 13.0 14.4 14.3 1.3 1.1 1.1 ∆ 6M 11/6M 12 LFL Change in Total structure 7.0 7.0 Asia Pacific -0.9% 0.0% -0.9% 5.9 Latin America 0.3% 0.0% 0.3% Europe -15.4% 0.6% -14.8% Nort
Slide 6: Ready-mix concrete and asphalt – Sales volumes by region
Ready-mix concrete and asphalt – Sales volumes by region Million m3/t Total Ready-mix 7.8 8.0 7.1 6M 2010 21.9 6M 2011 23.1 2.9 2.8 6M 2012 22.8 2.2 3.6 2.5 2.9 1.5 1.5 1.4 6.2 6.4 6.3 0.5 0.6 0.6 5.0 5.3 5.3 ∆ 6M 11/6M 12 LFL Change in Total structure Asia Pacific -2.3% 0.0% -2.3% Latin America -0.
Slide 7: Exchange rates
Exchange rates Statement of income 6M 10 6M 11 6M 12 +/- average exchange rates in CHF 1 EUR 1.43 1.27 1.21 -4.9% 1 GBP 1.65 1.46 1.46 0.2% 1 USD 1.08 0.90 0.93 2.6% 1 LATAM Basket (MXN, BRL, ARS, CLP) 1 1.13 1.00 0.93 -7.4% 1 Asian Basket (AUD, IDR, INR, THB, PHP) 1 1.13 1.00 0.95 -4.9% Statement o
Slide 8: Foreign exchange rate impact
Foreign exchange rate impact Million CHF Net sales impact Operating EBITDA impact 2.5% 2.9% 139 41 -32 -41 -73 -47 -38 -2.2% -98 -178 -4.1% -8.0% -181 -6.2% -140 -3.3% -228 -203 -10.5% -244 -14.7% -2.6% -3.1% -4.3% -14.2% -5.2% -435 -9.2% -508 -9.0% -854 -916 -15.1% -14.9% Q2 10 Q3 10 Q4 10 Q1 11 Q2
Slide 9: Net sales
Net sales Million CHF 10,902 10,143 10,357 Like-for-Like (LFL) -85 -0.8% 503 4.6% 588 5.8% Change in structure 680 6.7% 88 0.8% 11 0.1% Forex movements 225 2.2% -1,351 -12.4% -385 -3.8% Total change 820 8.1% -759 -7.0% 215 2.1% 6M 10 6M 11 6M 12 8 © 2012 Holcim Ltd/Switzerland Half-year results 2012
Slide 10: Net sales by region
Net sales by region Million CHF 6M 2010 6M 2011 3304 6M 2012 3086 2783 1405 1189 1343 4195 4065 4398 596 483 498 ∆ 6M 11/6M 12 LFL Change in Currency Total structure 1725 1644 1707 Asia Pacific 13.7% 0.2% -5.7% 8.2% Latin America 8.9% -0.5% -4.5% 3.9% Europe -6.5% -0.6% -2.7% -9.8% North America 8.5
Slide 11: Net sales by region
Net sales by region Net sales 6M 2012 10 © 2012 Holcim Ltd/Switzerland Half-year results 2012
Slide 12: Operating EBITDA
Operating EBITDA Million CHF Margin 21.5% 18.7% 18.7% 2,343 1,897 1,933 2,343 1,897 1,933 Like-for-Like (LFL) 42 1.9% -169 -7.2% 120 6.3% Change in structure 105 4.9% 0 0.0% 0 0.0% Forex movements 53 2.5% -276 -11.8% -85 -4.5% Total change 199 9.3% -445 -19.0% 35 1.9% 6M 10 6M 11 6M 12 11 © 2012 Hol
Slide 13: Operating EBITDA by region
Operating EBITDA by region Million CHF 6M 2010 6M 2011 6M 2012 500 378 282 1072 1001 140 92 137 928 209 168 160 ∆ 6M 11/6M 12 LFL Change in Currency Total structure 523 Asia Pacific 14.3% 0.1% -6.6% 7.8% 438 462 Latin America 8.6% -0.1% -3.2% 5.3% Europe -23.3% 0.0% -2.0% -25.4% North America 48.0%
Slide 14: Operating profit
Operating profit Million CHF Margin 13.0% 10.7% 10.8% 1,416 1,084 1,117 Like-for-Like (LFL) 13 1.0% -160 -11.3% 107 9.9% Change in structure 53 4.1% -8 -0.5% -12 -1.1% Forex movements 44 3.4% -164 -11.6% -62 -5.8% Total change 110 8.4% -332 -23.4% 33 3.0% 6M 10 6M 11 6M 12 13 © 2012 Holcim Ltd/Switz
Slide 15: Operating profit by region
Operating profit by region Million CHF 6M 2010 1 6M 2011 6M 2012 193 107 26 -40 -63 -16 777 728 678 181 144 136 ∆ 6M 11/6M 12 LFL Change in Currency Total 419 structure 337 358 Asia Pacific 14.8% 0.2% -7.5% 7.5% Latin America 9.0% 0.0% -2.8% 6.2% Europe -71.3% -7.0% 2.5% -75.8% North America 87.0% -
Slide 16: Net income
Net income Million CHF Net income Net income (loss) - attr. to shareholders of Holcim Ltd 611 624 586 389 357 331 -4.2% 6.6% -22.4% 9.0% 8.0% -37.3% -17.5% -19.6% -76.7% 6M 10 6M 11 6M 12 15 © 2012 Holcim Ltd/Switzerland Half-year results 2012
Slide 17: Cash flow from operating activities
Cash flow from operating activities Million CHF 8.3% 0.7% 2.0% 906 72 211 Like-for-Like (LFL) 22 2.7% -801 -88.4% 175 244.1% Change in structure 51 6.3% -16 -1.8% -2 -3.5% Forex movements 28 3.4% -17 -1.9% -33 -46.4% Total change 101 12.5% -835 -92.1% 139 194.2% 6M 10 6M 11 6M 12 16 © 2012 Holcim Lt
Slide 18: Cash flow statement
Cash flow statement Full Year 6M Million CHF +/- 2011 2011 2012 Cash flow from operating activities 2,753 72 211 194.2% Net investments to maintain productive -752 -259 -228 12.0% capacity and to secure competitiveness Free cash flow 2,001 -188 -18 90.7% Expansion investments -886 -361 -287 20.5% Fi
Slide 19: Financial position
Financial position Million CHF Net financial debt Total shareholders' equity Gearing 64.8% 60.9% 58.8% 18,838 19,656 19,963 12,205 11,549 12,161 30.6.2011 31.12.2011 30.6.2012 18 © 2012 Holcim Ltd/Switzerland Half-year results 2012
Slide 20: Financial debt, maturities and liquidity as of June 30, 2012
Financial debt, maturities and liquidity as of June 30, 2012 Maturity profile (CHF million) Liquidity summary Cash + marketable securities: CHF 2,998 million 5,000 Cash + marketable securities + unused committed credit Loans lines: CHF 6,923 million Capital markets 4,000 Debt summary Current f
Slide 21: Cost and capex guidance for 2012
Cost and capex guidance for 2012 Energy costs per tonne of cement produced below CHF 17.00 per tonne Fixed costs to benefit from the measures taken by the Leadership Journey program Average interest rate slightly above the 4.4 percent level recorded in 2011 Long term expected tax rate of 27
Slide 22: Asia Pacific – regional overview
Asia Pacific – regional overview Million CHF 6M +/- (if not otherwise stated) 2011 2012 LFL CIS FX Total Cement volumes (mt) 38.1 41.2 7.6% 0.5% 8.0% - of which mature markets 2.2 2.2 -0.5% 0.0% -0.5% - of which emerging markets 35.9 39.0 8.1% 0.5% 8.6% Aggregates volumes (mt) 14.4 14.3 -0.9% 0.0% -
Slide 23: Latin America – regional overview
Latin America – regional overview Million CHF 6M +/- (if not otherwise stated) 2011 2012 LFL CIS FX Total Cement volumes (mt) 11.7 12.1 3.3% 0.0% 3.3% Aggregates volumes (mt) 7.0 7.0 0.3% 0.0% 0.3% Ready-mix volumes (mm3) 5.3 5.3 -0.1% 0.0% -0.1% Net sales 1,644 1,707 8.9% -0.5% -4.5% 3.9% Operating
Slide 24: Europe – regional overview
Europe – regional overview Million CHF 6M +/- (if not otherwise stated) 2011 2012 LFL CIS FX Total Cement volumes (mt) 12.8 12.3 -6.3% 2.2% -4.1% - of which mature markets 8.3 7.4 -10.4% 0.0% -10.4% - of which emerging markets 4.6 4.9 1.3% 6.1% 7.4% Aggregates volumes (mt) 41.3 35.2 -15.4% 0.6% -14.
Slide 25: North America – regional overview
North America – regional overview Million CHF 6M +/- (if not otherwise stated) 2011 2012 LFL CIS FX Total Cement volumes (mt) 5.0 5.4 8.6% 0.0% 8.6% Aggregates volumes (mt) 17.5 18.0 -1.3% 4.1% 2.8% Ready-mix volumes (mm3) 2.9 3.6 14.9% 11.1% 26.0% Net sales 1,189 1,343 8.5% 2.8% 1.6% 12.9% Operatin
Slide 26: Africa Middle East – regional overview
Africa Middle East – regional overview Million CHF 6M +/- (if not otherwise stated) 2011 2012 LFL CIS FX Total Cement volumes (mt) 4.4 4.5 2.7% 0.0% 2.7% Aggregates volumes (mt) 1.1 1.1 2.1% 0.0% 2.1% Ready-mix volumes (mm3) 0.6 0.6 1.9% 0.0% 1.9% Net sales 483 498 5.7% -0.3% -2.1% 3.3% Operating EB
Slide 27: Cement – Price/volume variances per region
Cement – Price/volume variances per region Domestic clinker and Domestic cement prices cement volumes ∆ 6M 11/6M 12 * ∆ 6M 11/6M 12 Asia Pacific 1 7.8% 7.6% India 11.4% 7.9% Sri Lanka 10.0% 10.4% Bangladesh 15.6% 10.0% Thailand -11.5% 11.7% Vietnam 8.8% -19.9% Malaysia -1.7% 5.8% Indonesia 2 6.6% 16
Slide 28: Cement – Price/volume variances per region
Cement – Price/volume variances per region Domestic clinker and Domestic cement prices cement volumes ∆ 6M 11/6M 12 * ∆ 6M 11/6M 12 Latin America 1 6.5% 3.3% Mexico 2.2% 6.0% El Salvador 6.1% 2 9.0% Costa Rica -11.1% 2 3.9% Nicaragua 4.8% 2 17.6% Colombia 28.1% 7.4% Ecuador 6.2% 2 3.1% Brazil 2.8% -
Slide 29: Cement – Price/volume variances per region
Cement – Price/volume variances per region Domestic clinker and Domestic cement prices cement volumes ∆ 6M 11/6M 12 * ∆ 6M 11/6M 12 Europe 1 2.2% -6.3% Belgium -0.3% -15.9% France 0.0% -11.4% Germany -2.7% -6.1% Switzerland -1.1% -13.2% Italy 30.1% -29.9% Hungary 1.9% 0.5% Czech Republic -6.4% -6.3%
Slide 30: Cement – Price/volume variances per region
Cement – Price/volume variances per region Domestic clinker and Domestic cement prices cement volumes ∆ 6M 11/6M 12 * ∆ 6M 11/6M 12 North America 1 2.0% 8.6% Canada -1.1% 13.5% USA 1.5% 8.6% Africa Middle East 1 3.2% 2.7% Morocco 2 -3.0% 6.4% Lebanon 2 3.2% -8.1% Indian Ocean 7.3% -6.3% Group 1 5.5%
Slide 31: Aggregates – Price/volume variances per region
Aggregates – Price/volume variances per region Domestic aggregates Domestic aggregates prices volumes ∆ 6M 11/6M 12 * ∆ 6M 11/6M 12 Asia Pacific 1 8.7% -0.9% Indonesia 2 15.1% -6.0% Australia 9.5% -1.5% Latin America 1 4.3% 0.3% Mexico -1.7% 5.6% Brazil 7.1% 2.3% * If not otherwise indicated calcula
Slide 32: Aggregates – Price/volume variances per region
Aggregates – Price/volume variances per region Domestic aggregates Domestic aggregates prices volumes ∆ 6M 11/6M 12 * ∆ 6M 11/6M 12 Europe 1 4.6% -15.4% United Kingdom 3.9% -12.8% Belgium -1.5% -10.3% France 7.2% -13.6% Germany 2.3% 7.2% Switzerland 4.3% -21.9% Italy 0.7% -28.7% Romania 14.3% 19.8%
Slide 33: Contact information and event calendar
Contact information and event calendar Contact information Event calendar Corporate Communications November 7, 2012 Press and analyst conference for Phone +41 58 858 87 10 the third quarter 2012 Fax +41 58 858 87 19 February 27, 2013 Press and analyst conference [email protected] annual resu
Slide 34: Disclaimer
Disclaimer Cautionary statement regarding forward-looking statements This presentation may contain certain forward-looking statements relating to the Group’s future business, development and economic performance. Such statements may be subject to a number of risks, uncertainties and other important
Slide 35: Strength. Performance. Passion.
Strength. Performance. Passion. First cement plant in Holderbank (Switzerland) © 2012 Holcim Ltd/Switzerland