Sembcorp Industries Ltd. · SGX:U96
Sembcorp Industries — FY2011 Earnings Presentation
24 slides from Sembcorp Industries's earnings presentation, Feb 27, 2012
Slide 1: FY2011 Results Announcement
FY2011 Results Announcement February 27, 2012 © Sembcorp Industries 2012 Scope of Presentation • CEO’s Report • Financial Review • Group Outlook © Sembcorp Industries 2012 2 1
Slide 2: CEO's Report: FY2011 Performance Round-up
CEO’s Report Tang Kin Fei Group President & CEO © Sembcorp Industries 2012 FY2011 Performance Round-up Turnover at S$9.0 billion, up 3% Profit from Operations at S$1.3 billion, down 5% Net Profit before EI at S$809.3 million, up 6% Net Profit after EI at S$809.3 million, up 2% EPS at 45.3 cents ROE
Slide 3: Strong Platforms and Utilities Contribution
Strong Platforms Utilities Marine Integrated Urban Development Other Businesses 63% 29% 55% 37% FY2010 Net Profit* 37% FY2011 Net Profit* 45% S$787.0 m S$829.1 m 5% 3% 5% 3% *Net Profit before Exceptional Items excluding Corporate Costs © Sembcorp Industries 2012 5 Strong Contribution from U
Slide 4: Awards & Accolades 2011
Awards & Accolades 2011 International Recognition of Capabilities Water Company of the Year Asia Pacific Waste Recycling Winner Company of the Year 2011 Global Water Awards Winner Global Water Intelligence 2011 Frost & Sullivan Asia Pacific Best Practices Awards Desalination Deal of the Year Winner
Slide 5: Utilities FY2011 Scorecard
Utilities FY2011 Scorecard Record FY2011 Highlights Net Profit Key Contributors Singapore • S$1.6 billion of new and renewed contracts secured in FY2011 Net Profit Singapore primarily for gas supply, with S$304.4 million 32% S$410 million secured in 4Q2011 • Strong performance largely attributable
Slide 6: Utilities: Other Project Completions
Utilities Other Project Completions Sembcorp Woodchip Boiler Plant • Energy-from-waste project utilising UK waste wood collected and processed by the Solid Waste Management unit • Capacity to produce 20 tph of steam for industrial customers on Jurong Island • Commenced commercial operations in mid-N
Slide 7: Marine
Utilities Working towards Vision 2015 In the Right Markets to Capitalise on Growth Opportunities © Sembcorp Industries 2012 13 Marine Ultra-large high specification harsh environment jack-up rig, West Elara © Sembcorp Industries 2012 with semi-submersibles West Capricorn and West Leo at Sembcorp Mar
Slide 8: Marine FY2011 Scorecard
Marine FY2011 Scorecard Strong start Net Orderbook (as at Feb 23, 2012) to FY2012 S$6.3 billion Contracts Secured (as at Feb 23, 2012) Conversion/Offshore & Platforms S$1.3 billion Drillship Semi-submersible Rigs Jack-up Rigs Net Profit* • Major milestone with first drillship S$456.2 million
Slide 9: Integrated Urban Development FY2011 Scorecard
Integrated Urban Development © Sembcorp Industries 2012 VSIP Hai Phong Integrated Township & Industrial Park, Vietnam Integrated Urban Development FY2011 Scorecard Good FY2011 performance Remaining Saleable Land Land Commitments 2,711 hectares 227 hectares • New 500 hectares saleable landbank added
Slide 10: Strong Project Development Pipeline; Financial Review
Integrated Urban Development Strong Project Development Pipeline to Underpin Growth • Seven projects in key cities and regions in Vietnam and China • 2,711 hectares of landbank available for sale • Potential to further enhance yield through selective C&R development Remaining saleable landbank (hect
Slide 11: Group Profit & Loss; Group Turnover
Group Profit & Loss (S$M) FY11 FY10 Δ% Turnover 9,047 8,764 3 EBITDA 1,336 1,425 (6) Profit from Operations1 1,272 1,343 (5) EBIT 1,101 1,183 (7) Share of results: Associates & JVs 171 160 7 Net Finance Cost (1) (28) 95 PBT 1,271 1,315 (3) Tax (125) (194) 36 Non-Controlling Interests (337) (360) 6 N
Slide 12: Group Profit from Operations; Group Net Profit
Group Profit from Operations (PFO) (S$M) FY11 FY10 Δ% Utilities 420.8 313.5 34 Marine 792.4 992.4 (20) Integrated Urban Development 46.1 40.4 14 Other Businesses 26.7 21.5 24 Corporate1 (14.3) (24.5) 42 PFO 1,271.7 1,343.3 (5) 1 Corporate cost breakdown Corporate (14.3) (13.0) (10) Acquisition-relat
Slide 13: Utilities Net Profit
Utilities Net Profit By Geography (S$M) FY11 FY10 Δ% Singapore 183.2 147.3 24 China 27.9 17.9 57 Rest of Asia1 & Australia 33.2 43.9 (24) Middle East & Africa2 26.2 20.0 31 UK 30.6 18.1 69 The Americas3 9.9 2.4 315 Corporate (6.6) (18.3) 64 TOTAL NET PROFIT 304.4 231.3 32 1 Rest of Asia comprises Vi
Slide 14: Group Capex and Equity Investment; Free Cash Flow
Group Capex and Equity Investment (S$M) FY11 Capital Expenditure – Utilities 611.4 – Marine 471.5 – Integrated Urban Development 0.7 – Others 8.4 1,092.0 Equity Investment – Utilities 163.0 – Marine 8.6 – Integrated Urban Development 26.0 197.6 © Sembcorp Industries 2012 27 Group Free Cash Flow (S$M
Slide 15: Group Borrowings
Group Borrowings (S$M) Dec 31,11 Dec 31,10 PF loans 1,024 581 Long-term 1,013 1,132 Short-term 147 30 Gross 2,184 1,743 Less: Cash and cash equivalents (2,995) (3,488) Net Debt / (Cash) (811) (1,745) Net Gearing Ratio Net Cash Net Cash Exclude PF1 Net Debt / (Cash) (1,799) (2,282) Net Gearing Ratio
Slide 16: Financial Indicators; Group Outlook
Financial Indicators FY11 FY10 Before EI EPS (cents) 45.3 42.6 ROE (%) 20.4 21.4 ROTA (%) 10.7 11.7 Interest Cover (times) 20 23 After EI EPS (cents) 45.3 44.4 ROE (%) 20.4 22.2 ROTA (%) 10.7 12.2 Interest Cover (times) 20 24 Per Share NAV (S$) 2.31 2.13 Economic Value Added EVA (S$M) 728.2 809.4 ©
Slide 17: Group Outlook
Group Outlook Marine Our Marine business has a current net orderbook of S$6.3 billion with completion and deliveries stretching till the second quarter of 2015. This includes S$3.72 billion in contract orders secured in 2011 and S$1.3 billion worth of contracts secured since the start of 2012. Despi
Slide 18: Disclaimer
Vital Partners. Essential Solutions. Disclaimer This presentation contains certain statements that are not statements of historical fact, i.e. forward-looking statements. These forward-looking statements are based on current expectations, projections and assumptions about future events. Although Sem
Slide 19: Appendix: Group Profit & Loss 4Q11
Appendix © Sembcorp Industries 2012 Group Profit & Loss (S$M) 4Q11 4Q10 Δ% Turnover 2,246 2,069 9 EBITDA 368 420 (13) Profit from Operations 346 397 (13) EBIT 304 341 (11) Share of results: Associates & JVs 42 56 (26) Net Finance Cost (4) (14) 70 PBT 342 383 (11) Tax 20 (36) NM Non-Controlling Inter
Slide 20: Group Turnover; Group Profit from Operations
Group Turnover (S$M) 4Q11 4Q10 Δ% Utilities 1,211 1,034 17 Marine 997 983 1 Integrated Urban Development 2 5 (65) Other Businesses 36 47 (24) TOTAL TURNOVER 2,246 2,069 9 © Sembcorp Industries 2012 39 Group Profit from Operations (PFO) (S$M) 4Q11 4Q10 Δ% Utilities 110.1 66.7 65 Marine 211.4 310.5 (3
Slide 21: Group Net Profit; Utilities Turnover
Group Net Profit (S$M) 4Q11 4Q10 Δ% Utilities 88.2 54.4 62 Marine 138.3 145.8 (5) Integrated Urban Development 20.8 19.4 8 Other Businesses 7.1 5.4 33 Corporate1 (2.5) 3.7 NM NET PROFIT BEFORE EI 251.9 228.7 10 Exceptional Items (EI) - - - NET PROFIT AFTER EI 251.9 228.7 10 1 Corporate cost breakdow
Slide 22: Utilities Profit From Operations; Net Profit
Utilities Profit From Operations (PFO) By Geography (S$M) FY11 FY10 Δ% Singapore 258.6 197.2 31 China 41.2 27.0 53 Rest of Asia1 & Australia 34.2 44.8 (24) Middle East & Africa2 32.9 21.7 51 UK 45.0 30.8 46 The Americas3 10.1 2.3 333 Corporate (1.2) (10.3) 88 TOTAL PFO 420.8 313.5 34 4Q11 4Q10 Δ% Si
Slide 23: Utilities Turnover and PFO by Product Segment
Utilities Turnover By Product Segment (S$M) FY11 FY10 Δ% Energy 4,166.9 3,357.6 24 Water 400.2 310.3 29 On-site Logistics & Solid Waste Management 370.3 363.9 2 TOTAL TURNOVER 4,937.4 4,031.8 22 4Q11 4Q10 Δ% Energy 1,012.3 821.6 23 Water 106.4 127.4 (16) On-site Logistics & Solid Waste Management 10
Slide 24: Utilities Net Profit by Product Segment
Utilities Net Profit By Product Segment (S$M) FY11 FY10 Δ% Energy 189.1 165.2 15 Water 79.7 50.0 59 On-site Logistics & Solid Waste Management 42.2 34.4 23 Corporate (6.6) (18.3) 64 TOTAL NET PROFIT 304.4 231.3 32 4Q11 4Q10 Δ% Energy 50.8 32.8 55 Water 29.2 17.4 68 On-site Logistics & Solid Waste Ma