Presentation to Investors · Promote global best practices, single risk management and cost control...
Transcript of Presentation to Investors · Promote global best practices, single risk management and cost control...
The world’s leading infrastructure developer
Presentation to Investors
September 2012
Areas of Activity
Index
2
Introduction
Corporate Strategy
Consolidated Financial Results
Additional data
Grupo ACS
3
The world’s leading infrastructure & concessions developer Engineering contractor and greenfield developer
with annual revenues over €35bn
In the fields of civil and industrial engineering: developing civil works, energy, oil&gas, mining, environment and support services
Active in 5 continents with a stable presence in 50 countries, employing 163,000 people
Through a worldwide, decentralized and flexible structure of local leading companies
Focused on generating sustained shareholders value
Construction Environment Industrial Services
Group’s history
In less than three decades Grupo ACS has become one of the largest infrastructure developers of the world
183 196 510 755 955 911 792 731 792 976 2.166 2.460 2.700 3.410 3.921 4.420 8.429
10.354 11.582 13.507 14.892 15.276 15.387 15.380
28.472
35.000
1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012e
Sales evolution 1987-2012e (€ million)
4
Key historical milestones for ACS
5
Origins (1983 – 1992)
1 Consolidation (1993 – 1999)
2
Growth (2000 – 2006)
3 Leadership (2006, now)
4
Three engineers acquire in 1983 a small construction company (Padros) with financial difficulties and turned it around
Story repeated with the transaction of Ocisa (1986)
First diversification to Industrial Services: Acquisitions of Semi and Cobra
Integration of all companies to create OCP in 1992
Acquisition of Auxini (1996), a medium sized construction company in Spain
Merger with Gines Navarro (1997) to create ACS, Actividades de Construcción y Servicios SA
The resulting Group becomes top 5 in Spain, well diversified and financially stronger after the downturn of the 90s
Merger with Dragados. ACS becomes the largest contractor in Spain and top 10 in the world
Synergies, culture and skills are shared, ACS becomes the most profitable construction company in Spain
ACS and La Caixa create Abertis, the leading concessions company in the world
ACS develops its investment strategy: applying cash flows to diversify towards activities we know well.
Anticipation of the downturn in Spain: ACS sells Urbis (Real Estate) in the peak and internationalizes its activities (Hochtief and US activities)
Invests in energy with the expertise of Industrial Services
Focus on its core contracting businesses to become global leader, cover all key markets and promote profitability
Grupo ACS areas of activity
6
Technology-oriented Group with a decentralized operational structure
Industrial Services Construction Environment
Promotes Entrepreneurship Global Competitive Advantages
Grupo ACS human capital
7
29%
33%
38%
Employees with a degree
31%
69%
Rest of employees
Total number of employees 163,021 Number of employees with a degree 49,823
Number of training hours per year More than 940,000
Number of senior engineers 14,338
Senior Engineers
Other Senior degrees*
* Architects, Economists, lawyers, other technical degrees
Other middle technical degrees
32%
12% 18%
35%
3%
America
Spain
Asia Pacific
Rest of Europe
Africa
Top 3 in the US
Leader in Spain and Germany
Leading Industrial
player Leader in Asia &
Australia
World leader in mining and concessions
Global & Local leadership
8
ACS covers the most important markets of the world with profitable, competitive and reputed companies.
Employees by geo area
Consolidated operating key figures
9
Turnover € 28,472 mn +98.7% € 18,833 mn 98.8%
EBITDA € 2,318 mn +61.9% € 1,578 mn +75.9%
EBIT € 1,333 mn +28.3% € 831 mn +27.9%
Margin 8.1% 8.4%
Margin 4.7% 4.4%
Backlog € 67,919 mn 22 months € 70,562 mn +9.0%
Recurrent Net Results € 951 mn +8.8% € 430 mn -15.4%
Note: Hochtief fully consolidated since June 1st , 2011
2011 Var 11/10 1H12 Var.
Consolidated financial key figures
10
Net Debt € 9,334 mn +16.6% € 8,579 mn -12.9%
2011 Var 11/10 1H12 Var.
Hochtief AG € 990 mn € 1,810 mn
Net Worth € 6,191 mn € 5,284 mn
Rest of activities € 8,344 mn € 6,769 mn
Net Investments € 2,902 mn € (522) mn
Gross Investments € 4,755 mn € 1,591 mn Disposals € 1,854 mn € 2,113 mn
Revenues breakdown as of 1H12
11
76%
19%
5%
Construction € 14,349 mn
Turnover 1H 12 € 18,833 mn
Environment € 859 mn
Industrial Services € 3,641 mn
19%
10%
31%
39%
1% 5,90
3,90 3,52
0,86 0,65 0,51 0,45 0,35 0,27 0,24
Australia US Spain Germany Mexico Indonesia Canada UAE Poland Brazil
Turn
over
by
coun
try,
1H1
2 €b
n America € 5,836 mn
Spain € 3,528 mn
Asia Pacific € 7,418 mn
Rest of Europe € 1,961 mn
Africa € 90 mn
Corporación Financiera ALBA
18,3%
Florentino Pérez 12,5%
Corporación Financiera ALCOR
9,0% Iberostar Hotels
5,6% Treasury Stock
6,2%
Other managers & Employees
4,0%
Free float: Retail 15,0%
Free Float: Institutionals
29,4%
Shareholder structure
12
As of June 2012
Areas of Activity
Index
13
Introduction
Corporate Strategy
Consolidated Financial Results
Additional data
Grupo ACS is…
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…a world leader in infrastructure development…
…a Group involved in the development of key economic industries…
…related to civil and industrial engineering…
Vision
…committed with the social and economic development
Searching for global leadership
Optimizing profitability
Promoting sustainable growth
Mission
Culture and Values to promote growth and profitability
15
Risk management and control Technical excellence
Client orientation Decentralization and lean structure
ACS is promoting globally its competitive advantages, culture and values
Investment capacity Operating efficiency
Local presence, global management Diversification
Service culture
Technical capabilities
Entrepreneurship
Grupo ACS competitive advantages
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Efficient management of resources
Constant search of sustainable and growing profitability
Rigorous investment in attractive business opportunities
Commitment orientation
Civil engineering Specialization in civil works
infrastructure development Large projects
management capability Development, construction
and management of concessions
Industrial Engineering Value chain integration:
engineering, development, procurement, construction and maintenance Specialized in large and
complex “turn key projects” Investment capacity in:
energy concessions, high voltage transmission lines and desalinization
Client Knowledge Flexibility and
adaptability Local presence
and global leadership for clients worldwide
Ethics and professionalism
Grupo ACS Corporate Targets
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A long term industrial approach covering two main goals
Commercial coordination to achieve profitable activity growth
Promote global best practices, single risk management and cost control
Strengthen ACS’s position as the leading
infrastructure company in the world
Increase profitability in our areas of activity
A global leader in infrastructure development
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Source: ENR Magazine, August 2012. Data in US$ million Source: Public Works Finacing Magazine, October 2011.
Private clients Administrations
Cont
ract
or
Conc
essi
ons o
pera
tor
Energy projects
Electricity
Oil & Gas PPPs
Transportation
Environment
Telecomm
Construction
Main areas of activity of Grupo ACS In the global infrastructure development industry Main areas of activity of Grupo ACS In the global infrastructure development industry
19
Mining
Macroeconomic long term growth trends Infrastructures are macro growth engines
20
Advanced economies invest normally c. 5% of GDP
Emerging markets surpass 10% on GDP, led by China
They are a key tool for the social and economical development of any country
There are factors that clearly promote an investment trend in infrastructures
Multiply the effect of other investments
Increase productivity Promote employment
Developing or improving energy & resources infrastructures
Developing transportation networks
In the maintenance of their existing assets
Increase of income per capita
Demographic changes
Regulatory, environmental or technological changes
Key markets in infrastructure development Current situation: plenty of opportunities
Asset renewal Energy & Resources
Energy, transportation and social infrastructures
Maintenance Energy Convergence
Oil & Gas
Energy & Resources, huge transportation infrastructures
Energy & Resources Transportation Concessions
Key markets in infrastructure development
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Energy, Resources, social infrastructures
• Limited public spending • Demanding governments • High per capita rent users • Stable regulatory frameworks • Strong financial markets • Sophistication:
New PPP models Availability payment Shadow tolls
Clean energy & Renewables
Environmental assets • Large investments in
maintenance & renewal of assets
Opportunities Challenges
Main characteristics
Private financing opportunities
Strong concurrence
Availability of capital intensive projects
Requires size and a strong local presence
Increasing demand
Less risk means less profitability
22
Advanced economies
• Large energy and resources projects to be developed
• Private collaboration demand to provide: Technical capacity Financial resources
• Huge demographic changes
Opportunities Challenges
Inefficient subcontracting industry
Changing regulatory frameworks
Unstable Local currencies
Very strong demand
Lack of qualified local concurrence
Underdeveloped financial markets
Ethics and professionalism Users payment capacity
Growing & dynamic economies
Brazil, Mexico, India, South Africa…
Obsolete or inexistent assets
Oil, gas, resources, transportation
23
Emerging markets
Strategy wrap up considerations I
24
There are plenty of profitable opportunities • Transportation
concessions foster civil works activities
• Strong demand for natural resources make mining contracting a growing business
• Increasing demand for energy assets
Long term visibility: infrastructures are always demanded • In advanced economies to
keep competitiveness
• Existing infrastructures insufficient to promote development in emerging markets
A coherent diversification generate business opportunities • Technical excellence in a
varied portfolio of activities facilitates serving client needs
• Strong local presence allows better knowledge of clients and quick reaction time
Strategy wrap up considerations II
25
Large investments
require sizeable
companies
With significant global financial muscle
With global technical
capabilities and resources
availability
With an efficient and balanced global risk
management
With local presence to serve clients
Areas of Activity
Index
26
Introduction
Corporate Strategy
Consolidated Financial Results
Additional data
27
Construction
Environment Industrial Services
Construction
ACS Construction activity
28
Largest construction company of the western world focused in the development of infrastructures worldwide
Includes the contribution of several companies of the Group: Dragados (leader in Spain) Hochtief (leader in Germany) Leighton (leader in Australia) Turner & Flatiron (Top 3 USA) PolAqua (Top 5 Poland) Iridium (World leader in concessions development)
Develops highly sophisticated Civil Works, Mining and General contracting activities in 30 countries, with a technical team including 10,000+ engineers
ACS is the leading greenfield concession developer in the world, with a current portfolio of over 48 projects
€ mn 2011 Var. 1H12 Var.
Turnover 19,802 +247% 14,348 +187%
% Abroad 85.1% 91.3%
EBITDA 1,210 +183% 1,028 +194%
margin 6.1% 7.2%
EBIT 449 +30.8% 375 +67%
margin 2.3% 2.6%
Backlog 50,336 +354% 53,522 +9.8%
% abroad 91.4% 93.2%
Net Debt 2,442 +100% 3,234 +9.7%
Revenues 2011
Construction activity: General contracting
29
Specialized en large contracts, ACS companies develop complex projects for clients worldwide
€ 16.3 billion
84%
16%
Abroad
Revenues In Spain
Top ranked companies in the most important markets for construction. Specialized teams developing concessions, PPPs,
tunneling Main areas of growth:
Australia & SE Asia, large civil works projects US & Canada, PPPs and infrastructure refurbishing Central Europe: convergence needs in civil works
General Contracting
Construction activity: Contract mining
30
Leighton: world leader in a fast growing activity in emerging markets: Asia and Africa. Leader in Australia.
€ 3.5 billion
Mining management and exploitation for third parties. Long term contracts with high visibility Capital intensive business Huge growth potential:
Australia, Indonesia, Mongolia, India, Africa Leighton might explore new business models and
opportunities to keep growing
Mining Contracting
100%
Revenues Abroad
Revenues 2011
Promotion Financing Construction Ramp-up Operation
5 24 43
Construction activity: Greenfield Concessions
31
ACS is the leading greenfield concessions developer in the world, with more than 70 projects under way and close to 50 offers in course
* As of Dec 31st, 2011
Long term investment activity synergic with general contracting Worldwide opportunities, specially in 1st world Relies on ACS’s financial strength
Concessions US&Can Spain
Other Countries
Greenfield development phase
€ 1.1 billion ACS Equity Investment*
Brownfield
Number of projects
Industrial Services
ACS Industrial Services Activity
32
Industrial Services is a leading support services & EPC contractor with a decisive presence in emerging markets
Very strong presence in Latin America and Middle East, growing in Asia Pacific
With companies specialized in the development of energy infrastructures through turn key projects
Very strong capabilities in industrial maintenance services
Developing projects for oil, gas, electricity, renewables, power lines, industrial maintenance and high-speed rail
High technical, financial and environmental sophistication, with a workforce that includes more than 2,000 engineers
€ mn 2011 Var. 1H12 Var.
Turnover 7,045 -1.6% 3,641 +0%
% Abroad 48% 55%
EBITDA 907 +10.5% 453 +0.4%
margin 12.9% 12.5%
EBIT 828 +31.8% 429 +7.7%
margin 11.7% 11.8%
Backlog 6,875 +0.4% 7,217 +8.2%
% abroad 61% 63%
Cash position 835 +60.5% 1,063 +200%
ACS Industrial Services: Support Services
33
ACS is a global player in the support services and industrial maintenance industry, as a supplier of utilities and energy companies
€ 4.4 billion Revenues 2011
48% 52%
Abroad
Revenues In Spain
Includes three segments of activity: Networks: Maintenance services for electricity,
gas and water distribution assets Specialized products: Maintenance of power
plants, high speed railroad and transmission lines Control Systems: Support services for
municipalities like lightening and traffic lights management and road security
Support Services
ACS Industrial Services: EPC Projects
34
ACS is a world reference in the Engineering, procurement and construction activities for utilities and oil&gas companies
€ 2.3 billion Revenues 2011
52% 48%
Abroad
Revenues In Spain
Development of turn key projects Electricity generation projects: Power plants
installment, CCGTs & renewable energy Oil & gas facility projects (off-shore platforms,
refineries, etc) Growth potential in Central Europe, South
America, Asia and Australia Joint ventures with Hochtief and Leighton
EPC Projects
Industrial Services investments in energy assets
35
Wind Parks Thermosolar Transmission lines Desalinization Gas storage
One of the leading project developers in the world after having built assets with a combined investment > € 7 bn
Assets
2,000 MW built in the last years
Assets
350 MW built, very advanced technology
250 MW in operation
€ 0.8 bn invested
Assets
>20 lines built in Brazil & Peru
Concessional investor
€ 0.3 bn invested
Assets
2 plants in the Mediterranean
International expansion to Australia, Mexico and Middle East
€ 0.3 bn invested
Assets
Castor project: Strategic natural gas storage facility in Spain
> € 1bn total investment
1,000 MW in operation
Environment
ACS Environment activity
36
Waste management, treatment, recycling and urban services. A very visible, stable and profitable activity
World leader in design, construction and operation of waste treatment plants, a capital-intensive activity that requires a strong technological and financial capacity
The Group currently operates over 300 facilities, including energy recovery plants, biogas production, composting, transfer, pre-treatment and landfills
Mainly in Europe, where Urbaser is a leader in the provision of urban services, especially in France, United Kingdom and Spain
Visibility and predictability of revenues due to long term contracts
€ mn 2011 Var. 1H12 Var.
Turnover 1,686 +11.6% 859 +0.5%
% Abroad 24% 23%
EBITDA 253 +6.7% 123 -5.3%
margin 15% 14.3%
EBIT 112 -10.3% 54 -10.9%
margin 6.6% 6.3%
Backlog 8,941 -7.5% 9,823 +5.2%
% abroad 37% 43%
Net Debt 1,124 -5.5% 755 -37%
Companies participated by ACS
37
• First in class electric utility • Worldwide renewable energy
generation leader
14.8% stake
• Regulated sector under continuous consolidation process
• Sustainable & predictable long-term growth
• Strong entry barriers
Market value over € 20 bn
• Telecommunications service company: majority stakeholder TeliaSonera telecommunications group
17.0% stake
• Sales 2011: € 841 mn • EBITDA 2011: € 47 mn • Book Value: € 198 mn
ACS acts as the local partner of TeliaSonera since the development of the license back in 2000
Areas of Activity
Index
38
Introduction
Corporate Strategy
Consolidated Financial Results
Additional data
Sales
39
76%
19%
5%
Construction € 14,349 mn (+186.5%) (+8.1% pf.*)
Sales 1H12 € 18,833 mn +98.8% (+6.0 pf.*)
Environment € 859 mn (+0.5%)
Industrial Services € 3,641 mn (+0%)
* Adding back HOCHTIEF results from January to May 2011
69%
25%
6%
Construction € 19,802 mn (+247%)
Sales 2011 € 28,472 mn +98.7%
Environment € 1,686 mn (+11.6%)
Industrial Services € 7,045 mn (-1.6%)
Geographical Diversification - Sales
40
19%
10%
31%
39%
1%
Sales per geographical areas 1H12
America € 5,836 mn
Spain € 3,528 mn
Asia Pacific € 7,418 mn
Rest of Europe € 1,961 mn
Africa € 90 mn
International Sales
€ 15,305 mn (81% of the total)
27%
12%
27%
33%
1%
Sales per geographical areas 2011
America € 7,819 mn
Spain € 7,823 mn
Asia Pacific € 9,306 mn
Rest of Europe € 3,345 mn
Africa € 179 mn
International Sales
€ 20,649 mn (73% of the total)
Backlog
41
76%
10%
14%
Backlog 1H12 € 70,562 mn
Environment € 9,823 mn
Construction € 53,522 mn
Industrial Services € 7,217 mn
17%
16%
23%
43%
1%
Backlog per geographical areas 1H12
America € 16,455 mn
Spain € 11,962 mn
Asia Pacific € 30,626 mn
Rest of Europe € 11,084 mn
Africa € 435 mn
International Backlog
€ 58,599 mn (83% of the total)
Operating Results
42
EBITDA 1H12
EBIT 1H12
Margin 8.4%
Margin 4.4%
€ 897 mn
€ 1,578 mn
EBITDA 30/06/11 EBITDA 30/06/12
€ 681 mn (+75.9%)
€ 650 mn € 831 mn
EBIT 30/06/11 EBIT 30/06/12
€ 181 mn (+27.9%)
HOCHTIEF fully consolidated since June 1st, 2011
EBITDA 2011
EBIT 2011
Margin 8.1%
Margin 4.7%
€ 1.432 mn
€ 2.318 mn
EBITDA 2010 EBITDA 2011
€ 886 mn (+61.9%)
€ 1.039 mn € 1.333 mn
EBIT 2010 EBIT 2011
€ 294 mn (+28.3%)
1H12 Impact on results - Iberdrola cleaning-up process
43 * Processes closed on July 2012
1H12 € million
Recurrent net results 430
Sale of Abertis 193
Iberdrola value adjustment by impairment test (962)
Sale of 3,7% Iberdrola (599)
Sale of other assets 73
Net results before provisions & adjustments 97
Iberdrola financing restructuring costs * (302)
Others (66)
Net results after provisions & adjustments (1,233)
Million Euro 1H11 1H12 Var.
Turnover 5,009 14,348 +186.5%
EBITDA 350 1,028 +194.1%
Margin 7.0% 7.2%
EBIT 225 375 +66.9%
Margin 4.5% 2.6%
Net Profit 134 98 -27.4%
Margin 2.7% 0.7%
Backlog 48,741 53,522 +9.8%
Months 22 22
Construction
44
9%
10%
30%
51% 7%
13%
24%
56% Sales 1H12
Backlog 1H12
Million Euro 2010 2011 Var.
Turnover 5,703 19,802 +247.2%
EBITDA 427 1,210 +183.4%
Margin 7.5% 6.1%
EBIT 343 449 +30.8%
Margin 6.0% 2.3%
Net Profit 187 370 +97.5%
Margin 3.3% 1.9%
Backlog 11,088 50,336 +354.0%
Months 24 22
15%
12%
27%
46% 9%
14%
22%
55% Sales 2011
Backlog 2011
America Spain Asia Pacific Rest of Europe
Construction - Main awards in the last months
45
Construction of a new children's hospital in Perth and the Royal
Adelaide Hospital, Australia > € 1,200 mn
Construction of the Al Mafraq hospital in Abu Dhabi
€ 278 mn
Construction of the Forth Replacement Crossing
project in Scotland
€ 250 mn
Design and Construction of the tunnel for the SR-
99 in Seattle (US)
€ 438 mn
Construction of a railway bridge, tunnel, elevated/underground stations
and viaduct for the South Island railway line in Hong Kong
€ 408 mn
Planning, financing, upgrading, operating and maintenance of a A8
highway section in Germany
€ 382 mn
Construction, operation and conservation of the A-308 highway from Iznalloz to Darro in Granada
(Spain)
€ 199 mn
Renovation including demolishing and rebuilding
parts of the existing Oakland Medical Mart and Convention
Center, Oakland, CA
€ 225 mn
Section 5 of S8 highway between Sieradz Poludnie
and Lask
€ 330 mn
Anthony Henday Drive for the Edmonton Ring Road
€ 374 mn
Multiple mining contracts
> € 3.650 mn
Gas projects
> € 1.600 mn
Environment
46
57% 33%
4% 5% 1%
77%
10%
9% 1% 3%
Million Euro 1H11 1H12 Var.
Turnover 855 859 +0.5%EBITDA 130 123 -5.3%Margin 15.2% 14.3%
EBIT 61 54 -10.9%Margin 7.1% 6.3%
Net Profit 56 45 -19.7%Margin 8.3% 22.7%
Backlog 9,335 9,823 +5.2%Months 70 70
Note: 2011 data include Consenur figures, sold in July 2011
Million Euro 2010 2011 Var.
Turnover 1,511 1,686 +11.6%
EBITDA 237 253 +6.7%
Margin 15.7% 15.0%
EBIT 125 112 -10.3%
Margin 8.3% 6.6%
Net Profit 152 128 -15.8%
Margin 10.1% 7.6%
Backlog 9,669 8,941 -7.5%
Months 77 64
63%
26%
4% 5% 2%
76%
12%
7% 2% 3%
America Spain Asia Pacific Rest of Europe Rest of the World
Sales 1H12
Backlog 1H12
Sales 2011
Backlog 2011
Environment - Main awards in the last months
47
Contract for waste collection and street cleaning services in Gosport
Borough Council (U.K) € 26 mn
Urban solid waste collection in La Ciotat (Marseille, France)
€ 16 mn
Contract for urban solid waste collection in Boucle de la Seine
(France)
€ 17 mn
Contract extensions > € 500 mn
Design, construction and operation of a waste treatment
plant in Essex, UK. € 997 mn
Several contracts for street cleaning and waste
collection in different areas of Madrid Region
> € 180 mn
Several gardening, cleaning and street cleaning contracts in
different municipalities in Spain
> € 160 mn
Million Euro 1H11 1H12 Var.
Turnover 3,640 3,641 +0.0%
EBITDA 451 453 +0.4%
Margin 12.4% 12.5%
EBIT 398 429 +7.7%
Margin 10.9% 11.8%
Ordinary Net Profit 227 227 +0.0%
Margin 6.2% 6.2%
Backlog 6,669 7,217 +8.2%
Months 11 12
Industrial Services
48
37%
12%
43%
3% 5%
45%
12%
39%
2% 2%
Million Euro 2010 2011 Var.
Turnover 7,158 7,045 -1.6%
EBITDA 821 907 +10.5%
Margin 11.5% 12.9%
EBIT 628 828 +31.8%
Margin 8.8% 11.7%
Net Profit 400 492 +23.0%
Margin 5.6% 7.0%
Backlog 6,846 6,875 +0.4%
Months 11 12
39%
13%
42%
3% 3%
52%
10%
33%
3% 2%
America Spain Asia Pacific Rest of Europe Rest of the World
Sales 1H12
Backlog 1H12
Sales 2011
Backlog 2011
Industrial Services- Main awards in the last months
49
EPC contract for a 500 MW combined cycle power plant in
Parnaíba (Brazil)
€ 262 mn
Works for the high-speed railway line between Mecca and Medina
(Saudi Arabia)
€ 420 mn
Contract for the development of Renace II hydroelectric project
(Guatemala)
€ 152 mn
Engineering, procurement and construction (EPC) of two jackets for Eldfisk II oil platform in the North Sea
(Norway)
€ 96 mn
Construction of a liquefied petroleum gas storage plant in Quito (Ecuador)
€ 95 mn
Signalling and other services for a group of roads in Huesca (Spain)
€ 91 mn
Sauz CCGT power plant construction in Querétaro
state (Mexico)
€ 116 mn
EPC contract for a 100 MW thermosolar plant in Tonopah
(Nevada, USA)
€ 587 mn
EPC contract for a 200 MW thermal power plant in
Lambeyeque area (Peru)
€ 90 mn
Construction of a distribution oil pipeline of 77 km in the offshore
platform Enlace Litoral
€ 204 mn
High tension line between the states of Rio Grande do Sul, Santa Catarina
and Parana
€ 160 mn
Ma’aden Bauxite Mine
€ 70 mn
Tangible and Intangible Assets
€ 8,942 mn
Financial Assets € 6,870 mn
Net Assets Held for Sale € 3,032 mn
Other Assets € 2,064 mn
Working Capital € (3,087) mn
Net Worth € 5,284 mn
Net Debt € 8,579 mn
Other Liabilities € 3,959 mn
Net Assets Equity and Liabilities
As of June, 30th, 2012
Consolidated Balance Sheet
50
Total Net Assets
€ 17,882 mn
€ 4,558 mn
Net Debt evolution LTM
51
Total € 9,849 mn € 9,334 mn € 10,496 mn € 8,579 mn
Rest of Grupo ACS
SPVs Iberdrola
HOCHTIEF AG € 1,100 mn
€ (2,754) mn
€ 384 mn
€ 710 mn
€ 4,965 mn
€ 4,174 mn
June 2011 June 2012
€ 1,810 mn
€ 2,211 mn
March 2012
€ 1,864 mn
€ 3,517 mn
€ 5,115 mn
Dec 2011
€ 990 mn
€ 3,639 mn
€ 4,705 mn
€ (1,270) mn
€ (54) mn
€ (1,306) mn
€ (557) mn
€ (1,917) mn
Debt variation
L12M L3M
€ 9,334 mn
€ 8,579 mn
€ 396 mn
€ 2,113 mn
€ 1,591 mn
€ 388 mn € 225 mn
Net Debt 31/12/2011
Net Debt 30/06/12
Net debt evolution since 31/12/11
52
Net cash flow from
the operating activities ACS € 492 mn HOT € (96) mn
Investments payments
Shareholders remuneration
Cash from Disposals
Others
Res. Monte Carmelo (IBD) € 1,599 mn
Refinancing processes
53
ACS does not have any significant LT debt maturity up to Nov14
Since 31/12/11 > € 4,900 mn
Syndicated loan ACS € 1,430 mn
Syndicated loan Urbaser € 506 mn
July 2012
Elimination of margin calls Elimination of the exposure to share
price falls for a 8.25% of IBE Keeping exposure for a potential
upside
1H2012
Natixis (IBD) € 1,434 mn
Maturity July 2015 Maturity November 2014
Elimination of margin calls Reduction of € 1,000 mn of non
recourse debt from Iberdrola
Investments
54
Operating activities
Concessional assets
Corporation
€ 1,148 mn € 424 mn € 19 mn
Gross Investments = € 1,591 mn
Total Net Investments 1H12 = € (522) mn
Total Disposals = € 2,113 mn
Construction
€ 197 mn
Environment
€ 84 mn
Industrial Services
€ 130 mn
Corporation
€ 1,703 mn
Sale of obsolete mining material
Clece (EV € 506 mn)
Wind farms 3,69% IBE (€ 798 mn) 10,28% ABE (€ 897 mn)
Equipment, Victoria D.P. (LEI) Bidding
Airports (HOT) Energy Projects
Operating activities
Concessional assets
Corporation
€ 1,387 mn € 2,262 mn € 1,106 mn
Gross Investments = € 4,755 mn
Total Net Investments 2011= € 2,902 mn
Total Disposals = € 1,854mn
Construction
€ 944 mn
Environment
€ 230 mn
Industrial Services
€ 680 mn
Highways, mining contracts
Hospital waste business Ports
Transmission lines, renewable assets
Equipment, Bidding
Energy Projects Highway concessions Hochtief
3,377 2,969
4,578 5,099
4,755
1,591
902
2,798
5,905
2,782
1,854 2,113
2007 2008 2009 2010 2011 1H12
Investments Disposals
Investment track record
55
Grupo ACS has invested in the last 5½ years more than € 22.3 bn
€ mn UNF Sale Debt reduction effort
Net Investments
2,475 171
(1,327)
2,317 2,901
(522)
1.668
Hochtief
655 1.222
183
Areas of Activity
Index
56
Introduction
Corporate Strategy
Consolidated Financial Results
Additional data
Financial Statements 2011
57
Grupo ACS Income statement
Million Euro Var.
Net Sales 14,329 100.0 % 28,472 100.0 % +98.7%
Other revenues 339 2.4 % 519 1.8 % +53.0%
Total Income 14,668 102.4 % 28,991 101.8 % +97.7%
Operating expenses (9,995) (69.8 %) (20,355) (71.5 %) n.s.
Personnel expenses (3,241) (22.6 %) (6,319) (22.2 %) +94.9%
Operating Cash Flow (EBITDA) 1,432 10.0 % 2,318 8.1 % +61.9%
Fixed assets depreciation (391) (2.7 %) (954) (3.4 %) n.s.
Current assets provisions (2) (0.0 %) (30) (0.1 %) n.s.
Ordinary Operating Profit (EBIT) 1,039 7.3 % 1,333 4.7 % +28.3%
Results on fixed assets disposals (18) (0.1 %) (40) (0.1 %) n.s.
Other operating results (0) (0.0 %) 81 0.3 % n.s.
Operating Profit 1,021 7.1 % 1,374 4.8 % +34.7%
Financial income 490 3.4 % 521 1.8 % +6.4%
Financial expenses (803) (5.6 %) (1,217) (4.3 %) +51.6%
Ordinary Financial Result (313) (2.2 %) (695) (2.4 %) +122.4%
Foreign exchange Results 25 0.2 % (22) (0.1 %) n.a.
Impairment non current assets results (1) (0.0 %) (98) (0.3 %) n.s.
Results on non current assets disposals 536 3.7 % 367 1.3 % -31.5%
Net Financial Result 248 1.7 % (449) (1.6 %) n.s.
Results on equity method 222 1.5 % 318 1.1 % +43.6%
PBT of continued operations 1,490 10.4 % 1,244 4.4 % -16.5%
Corporate income tax (217) (1.5 %) (181) (0.6 %) -16.6%
Net profit of continued operations 1,273 8.9 % 1,063 3.7 % -16.5%
Profit after taxes of the discontinued operations 81 0.6 % 46 0.2 % -43.6%
Consolidated Result 1,354 9.5 % 1,108 3.9 % -18.2%
Minority interest (42) (0.3 %) (147) (0.5 %) n.s.
Net Profit Attributable to the Parent Company 1,313 9.2 % 962 3.4 % -26.7%
2010 2011
Grupo ACS Consolidated balance sheet
Million Euro Var.
Intangible Fixed Assets 1,614 4.7 % 4,753 9.9 % +194.6%
Tangible Fixed Assets 1,218 3.6 % 3,344 7.0 % +174.5%
Concession Projects Assets 2,380 7.0 % 835 1.7 % -64.9%
Property Assets 57 0.2 % 80 0.2 % +39.1%
Investments accounted by Equity Method 2,333 6.8 % 1,570 3.3 % -32.7%
Long Term Financial Investments 7,509 22.0 % 7,352 15.3 % -2.1%
Financial Instruments Debtors 60 0.2 % 24 0.0 % -60.3%
Deferred Taxes Assets 824 2.4 % 2,083 4.3 % +152.8%
Fixed and Non-current Assets 15,995 46.8 % 20,040 41.8 % +25.3%
Non Current Assets Held for Sale 4,577 13.4 % 8,087 16.9 % +76.7%
Inventories 618 1.8 % 1,775 3.7 % +187.2%
Accounts receivables 6,939 20.3 % 10,703 22.3 % +54.2%
Short Term Financial Investments 3,502 10.2 % 3,006 6.3 % -14.2%
Other Short Term Assets 101 0.3 % 221 0.5 % +119.6%
Cash and banks 2,453 7.2 % 4,155 8.7 % +69.4%
Current Assets 18,190 53.2 % 27,948 58.2 % +53.6%
TOTAL ASSETS 34,185 100 % 47,988 100 % +40.4%
Shareholders' Equity 5,519 16.1 % 5,682 11.8 % +3.0%
Adjustment s from Value Changes (1,341) (3.9 %) (2,363) (4.9 %) +76.3%
Minority Interests 264 0.8 % 2,872 6.0 % n.a.
Net Worth 4,442 13.0 % 6,191 12.9 % +39.4%
Subsidies 70 0.2 % 58 0.1 % -16.9%
Long Term Financial Liabil ities 9,621 28.1 % 9,604 20.0 % -0.2%
Deferred Taxes Liabil ities 271 0.8 % 1,175 2.4 % +333.7%
Long Term Provisions 407 1.2 % 2,033 4.2 % +399.3%
Financial Instruments Creditors 240 0.7 % 422 0.9 % +75.4%
Other Long Term Accrued Liabil ities 161 0.5 % 184 0.4 % +14.3%
Non-current Liabilities 10,771 31.5 % 13,477 28.1 % +25.1%
Liabil ities from Assets Held for Sale 3,590 10.5 % 4,995 10.4 % +39.1%
Short Term Provisions 233 0.7 % 1,268 2.6 % +443.6%
Short Term Financial Liabil ities 4,337 12.7 % 6,891 14.4 % +58.9%
Trade accounts payables 10,155 29.7 % 14,561 30.3 % +43.4%
Other current payables 656 1.9 % 604 1.3 % -8.0%
Current Liabilities 18,971 55.5 % 28,320 59.0 % +49.3%
TOTAL EQUITY & LIABILITIES 34,185 100 % 47,988 100 % +40.4%
December-10 December-11
Stock market evolution
58
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ene 10 abr 10 jul 10 oct 10 ene 11 abr 11 jul 11 oct 11 ene 12 abr 12 jul 12 sep 12
Price Base 100 for Actividades de Construccion y Servicios S.A. (ES Listing) (ES) in EUR as of 07/09/12
Actividades de Construccion y Servicios S.A. (ES Listing) (Rebased) Hochtief AG (Rebased) Iberdrola S.A. (Rebased)
The world’s leading infrastructure developer
Disclaimer This document contains forward-looking statements on the intentions, expectations or forecasts of Grupo ACS or its management at the time the document was drawn up and in reference to various matters including, among others, its customer base, its performance, the foreseeable growth of its business lines and its overall turnover, its market share, the results of Grupo ACS and other matters relating to the Group’s activities and current position. These forward-looking statements or forecasts can in some cases be identified by terms such as “expectation”, “anticipation”, “proposal”, “belief” or similar, or their corresponding negatives, or by the very nature of predictions regarding strategies, plans or intentions.
Such forward-looking statements or forecasts in no way constitute, by their very nature, guarantees of future performance but are conditional on the risks, uncertainties and other pertinent factors that may result in the eventual consequences differing materially from those contained in said intentions, expectations or forecasts.
ACS, Actividades de Construcción y Servicios, S.A. does not undertake to publicly report on the outcome of any revision it makes of these statements to adapt them to circumstances or facts occurring subsequent to this presentation including, among others, changes in the business of the company, in its strategy for developing this business or any other possible unforeseen occurrence. The points contained in this disclaimer must be taken fully into account by all persons or entities obliged to take decisions or to draw up or to publish opinions on securities issued by Grupo ACS and, in particular, by the analysts and investors reading this document. All the aforesaid persons are invited to consult the public documentation and information that Grupo ACS reports to or files with the bodies responsible for supervising the main securities markets and, in particular, with the National Securities Market Commission (CNMV in its Spanish initials).
This document contains financial information drawn up in accordance with International Financial Reporting Standards (IRFS). The information has not been audited, with the consequence that it is not definitive information and is thus subject to possible changes in the future