DMCI Holdings Inc. · PSE:DMC

DMCI — Investor Presentation (February 2014)

20 slides from DMCI's investor presentation, February 2014

  1. Slide 1: DMCI Holdings, Inc.

    DMCI Holdings, Inc. 3/F, DACON Building 2281 Pasong Tamo Ext. Makati 1231 Philippines Dr. Victor Limlingan, Managing Director Investor Relations: [email protected] 1 Disclaimer • The information contained in this document is strictly confidential. Neither DMCI Holdings, Inc. (DMCI), n

  2. Slide 2: Contents

    The DMCI Group: Engineering Expertise 3 Contents • History of DMCI • The DMCI Group: Financials • Portfolio Management • Target Portfolio (5-year plan) • Investors 4

  3. Slide 3: History of DMCI

    History of DMCI • Founded in 1954, it is acknowledged as one of the leaders in the Philippine construction industry • Built more than 500 buildings & structures (including national landmarks) • One of the first to use precast, pre-stressed & high-strength ready-mixed concrete 5 David M. Consunji Fou

  4. Slide 4: The DMCI Group: Subsidiaries

    Contents • History of DMCI • The DMCI Group: Financials • Portfolio Management • Target Portfolio (5-year plan) • Investors 7 The DMCI Group: Subsidiaries Listed subsidiaries NAV (Pm)* Stakes *5 November 2013, Deutsche Bank AG/HK Semirara 63,023 56% Toledo Mining 989 93% Unlisted subsidiaries Maynil

  5. Slide 5: The DMCI Group: Net Income & NAV

    The DMCI Group: Net Income & NAV Subsidiaries Net Income Php NAV (Pm)* % of 2013 After Minority Interest, For 9-mos. Ended September *5 November 2013, Deutsche Bank AG/HK 30, 2013 (unaudited) Semirara & Sem- 19% 3,039,056,044 63,023 Calaca (4% & 15%, respectively) Maynilad Water 1,483,480,094 21,192

  6. Slide 6: DMCI Holdings, Inc.: Portfolio

    Contents • History of DMCI • The DMCI Group: Financials • Portfolio Management • Target Portfolio (5-year plan) • Investors 11 DMCI Holdings, Inc.: Portfolio • Grow A. Power (Sem-Calaca) B. Construction • Develop A. DMCI Mining (metal-mining) B. DMCI Power (SPUG) C. Infrastructure (as a proponent) •

  7. Slide 7: Power (Sem-Calaca)

    Power Sem-Calaca: 1,000 MW expansion in addition to existing 600 MW capacity. Phase 1: ongoing construction of 2x150 MW plants (CFB). Phase 2: planned construction of 2x350 MW plant (pulverized coal) 13 Power (Sem-Calaca) BEFORE 2009 AFTER 2012 3Q 2013 Generation (GWh) 181 Generation (GWh) 2, 463 2,

  8. Slide 8: Construction: Awards and Award 1: NAIA Expressway

    Construction DMCI Construction: Awards ~ NAIA Expressway & MRT 7; Bids ~ Metro Manila Skyway, LRT 1 Ext. & CALA Expressway; Prospects ~ NLEX-SLEX Connector Rd., LRT Line 2 East Ext., & C-6 Skyway (Stage 4) 15 Award 1: NAIA Expressway Awards 2: Embankment Awards 3: Terminal 1 16

  9. Slide 9: Award 4: Connector Road; Award 5: MRT-7

    Award 4: Connector Road (CITRA)* • Blue Segment = MPIC • Red Segment = CITRA • 5 km _Common Segment_ *No Photo Available: Award 2: Embankment & Award 3: Terminal 1 17 Awards 5: MRT - 7 18

  10. Slide 10: Prospects: Connector Road, LRT-1 Extension, CALA Expressway

    Prospects 1: Connector Road (MPIC) (left: blue segment) Prospects 3: CALA Expressway (right) 19 Prospects 2: LRT - 1 Extension 20

  11. Slide 11: Prospects 4: C-6; DMCI Holdings, Inc.: Portfolio

    Prospects 4: C - 6 (CITRA) 21 DMCI Holdings, Inc.: Portfolio • Grow A. Power (Sem-Calaca) B. Construction • Develop A. DMCI Mining (metal-mining) B. DMCI Power (SPUG) C. Infrastructure (as a proponent) • Hold A. Coal (Semirara Mining) B. Real Estate (DMCI Homes) C. Maynilad Water 22

  12. Slide 12: DMCI Mining: Nickel Assets ENK & Toledo

    DMCI Mining Improvement of operating capacity of nickel assets (ENK & TMC) underway. Long term option is to use Direct Shipping Ore to create capital to undertake nickel processing of lateritic nickel ore (<1.2% nickel ore) 23 Nickel Assets: ENK & Toledo • European Nickel (ENK): two mines - • Toledo

  13. Slide 13: DMCI Power (SPUG): Power Plants 1

    DMCI Power (SPUG) Investing in off-grid areas & delivering power at a competitive price. Construction & operation of coal-fired plants in order to reduce cost or production to ~ Php 5.00/kWh. DMCI Power to use 100% Semirara coal. 25 SPUG Power Plants 1: MASBATE PROJECT (24.4MW) LOCATION( RATED(CAPACI

  14. Slide 14: SPUG Power Plants 2 and 3

    SPUG Power Plants 2: PALAWAN PROJECT (33.1MW) LOCATION( RATED(CAPACITY( FUEL(TYPE( 18&X&1.21&MIT.AKSA& 1&X&1.268&MIT.KILTON& IRAWAN& DIESEL& 5&X&1.25&&CAT&/&& (29.298(MW( LOCATION( RATED(CAPACITY( FUEL(TYPE( 3&X&1.268&MIT.KILTON&/& ABORLAN& DIESEL& (3.804(MW( 27 SPUG Power Plants 3: Under Constructi

  15. Slide 15: Infrastructure; DMCI Holdings, Inc.: Portfolio

    Infrastructure • Proponent vs. Contractor 29 DMCI Holdings, Inc.: Portfolio • Grow A. Power (Sem-Calaca) B. Construction • Develop A. DMCI Mining (metal-mining) B. DMCI Power (SPUG) C. Infrastructure (as a proponent) • Hold A. Coal (Semirara Mining) B. Real Estate (DMCI Homes) C. Maynilad Water 30

  16. Slide 16: Coal: Semirara (Coal Mining)

    Coal Maintain production: 7.7 MTs/yr 31 Semirara (Coal Mining) BEFORE 1996 AFTER 2012 3Q 2013 Production (‘000 MT) 806 Production (‘000 MT) 7, 657 5, 082 ROM Revenue (Php Mn) 654 Revenue (Php Mn) 14, 450 7, 504 Net Income (PhP Mn) (2, 335) Net Income (PhP Mn) 3, 088 589 Total Consoliated FOB Price (

  17. Slide 17: Real Estate; Maynilad Water

    Real Estate Our “Hold” approach in Real Estate translates into modest growth. Target 10% year-on-year growth in sales from 2013 to 2014. Projected increase in 2013 to 2014 net income is also 10%. 33 Maynilad Water After the partial sale of its stake in Maynilad Water, DMCI Holdings maintains or “hol

  18. Slide 18: Water

    Water BEFORE 2007 AFTER 2012 3Q 2013 Billed Volume (mcm) 286 Billed Volume (mcm) 428 330.93 Revenue (Php Mn) 7, 377 Revenue (Php Mn) 15, 834 12, 500 100% 100% Net Income (PhP Mn) 1, 666 Net Income (PhP Mn) 6, 386 5, 040 100% 100% NRW (%) 66.00 NRW (%) 43.47 39.43 Purchase Price (Php Mn) Market Value

  19. Slide 19: DMCI Holdings, Inc. - Target Portfolio (2019)

    DMCI Holdings, Inc. - Target Portfolio (2019) Portfolio 2014 2019 Grow Power 25% 30% Construction 25% 10% Develop DMCI Mining 0% 10% DMCI Power 0% 10% Infrastructure 0% 10% Hold Coal 15% 10% Real Estate 20% 10% Maynilad 15% 10% 37 Contents • History of DMCI • The DMCI Group: Financials • Portfolio M

  20. Slide 20: Pledge to Investors

    Pledge to Investors • DMCI will seek a fair, not an over valuation of its shares • DMCI will focus on the long-term, not the short-term • DMCI will respect the rights of its Minority Stockholders 39

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