Corporate Presentation

Transcription

1 Corporate Presentation Chevreux - Western Europe & Emerging Markets Conference London 2-3 June 2009

2 Agenda 1. METKA Group Overview 2. Financial Review Stock Data 3. Business Areas 4. Activity Review 5. Business Outlook 6. Conclusion

3 1 Group Overview

4 METKA - Introduction EPC Projects Industrial Profile A leading regional player in turn-key energy and electro-mechanical projects. World-class manufacturing of complex fabrications with high value-added capability. Markets Energy Infrastructure Defence Complete power plants: engineering, procurement, construction ( EPC ). Full EPC scope or consortium with technology suppliers. Main emphasis for future growth. Focus on technically demanding infrastructure applications. Complex steel structures (bridges, athletics facilities), mining & minerals, port equipment, refineries. Manufacturing co-production with defence majors. Land defence systems, submarine pressure hulls. Major supplier of the Hellenic Armed Forces.

5 Group History Corporate Developments 1962: Company established. 1980: Absorption of the technical contracting firm TECHNOM 1999: Majority acquired by Mytilineos Holdings. 2005: Acquisition of 83.5% of ELEMKA : Listed on the Athens Stock Exchange. 1989: Acquisition of 99.98% of SERVISTEEL 2002: Acquisition of TCB and RODAX 2002: Acquisition of stake in EKME (40%), 3KP (40%). 2007: Acquisition of ETADE.

6 Mytilineos Group - Structure MYTILINEOS HOLDINGS Mkt Cap*: 660 mn METALLURGY & MINING ENERGY EPC VEHICLE MANUFACTURING 54.0% ALUMINA & ALUMINIUM (100%) ENDESA (HELLAS) (49.99%) METKA (56.6%*) ELVO (43%) Not Listed Not Listed Mkt Cap*: 423 mn Not Listed DELPHI DISTOMON (100%) Non Core Sector Not Listed * Market data valid 20 May 2009.

7 METKA Group Structure METKA Group SERVISTEEL (99.98%) EKME (40%) RODAX (100%) ELEMKA (83.5%) ETADE (100%) Steel service center - processing of steel plate and sections for METKA and third parties in the region Primarily active in refinery, petrochemicals sector in Greece - manufacturing of equipment and construction activities Specialist in electrical and instrumentation scope for energy sector (EPC) projects. Applied technology for civil engineering projects; activities in Greece and internationally Manufacturing and projects, mainly energy and industrial sector. Strong experience in small hydro power plants

8 Organizational Structure Board of Directors Managing Director Internal Audit Quality, HSE Recent Changes Projects Division to focus on execution, with Operation Groups for expanded project management capacity. Newly formed Development & Sales Division. Dedicated Technical Department will strengthen technical capability and develop know-how. Manufacturing Division Projects Division Development & Sales Division Financial & Admin Services Division Quality Assurance & Control Engineering Construction Raw Materials & Logistics Commercial Financial & Admin Manufacturing Project Management Op. Group I Procurement Commissioning Technical Human Resources Project Management Op. Group II Contracts, Cost Control & MIS

9 Human Resources We continue to strengthen the team with selected new, highly qualified engineering recruits. Emphasis on continuous development of personnel Human Resources Education Univ. Tech. Other

10 2 Financial Review Stock Data

11 Financial Summary 2008 Results Amounts in m % change Significantly increased in relation to 2007 Turnover % EBITDA remains at high level (17.5%) EBITDA % Net Profits % Development of Turnover & EBITDA Amounts in m Turnover Turnover EBITDA EBITDA

12 Financial Performance Sales - Earnings Key Indicators mil Turnover EBITDA EAT % EBITDA 30.0% 24.0% 25.0% 20.7% 20.1% 17.5% 20.0% 15.0% % % % % 45.0% 40.0% 35.0% 30.0% 25.0% 20.0% 15.0% 10.0% 5.0% 0.0% ROCE ROE 46.2% 43.0% 36.1% 36.6% 33.1% 33.3% 28.3% 26.8% Turnover Analysis Balance Sheet mil 350 Turnover Analysis Energy Infrustructure Defence 300 Current Assets Current Liabilities Current Ratio Source: Company Information.

13 Stock Data Key Data Capitalization: 423 m [ ] Av. Trading Vol.: 0,84 m / day [2008] No. of shares: Stock Information ASE: METKA Reuters: MTKr.AT Bloomberg: METTK GA Listing: FTSE/ASE Mid-40, FTSE Med 100, MSCI Small Cap & HSBC Small Cap Dividend per share ( ) Shareholder Structure* Capital return Mytilineos Holdings 56.6% Retail 11.9% Foreign Institutional 17.5% * Data Greek Institutional 14,0%

14 3 Business Areas

15 Energy (EPC) Projects Industry Needs Engineering, Procurement & Construction ( EPC ) project execution methodology is commonly used in the energy sector. EPC contracts are turn-key type, with demanding requirements for delivery time and plant performance, and fixed lump-sum price. EPC is the preferred form of contract for most utilities and independent power plant (IPP) developers in the power industry. METKA Solutions Delivery of complete power generation plants on EPC basis. Current technology focus: gas-fired combined cycle plants. Broad range of skills in project management, engineering, procurement, construction and plant commissioning. METKA execute EPC projects as main contractor or in consortium with the main equipment suppliers.

16 Evolution of Energy Projects Business Key Points Continuous development in scale and complexity of projects Significant increase in value added contribution Recent growth in international projects 1991: First of 3 major contracts for PPC Thissavros 3x100MW hydro 2001: Linoperamata 43MW gas turbine 1st energy project as EPC contractor 2005: EPC contract Cogeneration Project of Aluminium of Greece (Endesa Hellas) 2007: 220MW combined cycle power plant (CCPP), KESC, Pakistan 430MW CCPP, Endesa Hellas 417MW CCPP PPC Aliveri : PPC Ag. Dimitrios Units I/II, 2x300MW Lignite fired. First major energy project as equal member of consortium 1996: PPC Lavrio Unit IV in consortium with GEC Alsthom. First combined cycle project in Greece. 2004: EPC contract PPC Lavrio Unit V CCGT 378MW 2006: PPC Lavrio Unit V commercial operation 2008: Petrom (OMV) 860MW Romania in consortium (50/50) with GE PEEGT 700MW Deir Ali II contract award

17 METKA Manufacturing METKA Volos SERVISTEEL Volos METKA Industrial Plants Volos factory established in 1964 Largest in Greece and competitive internationally Emphasis on complex, high value added manufacturing activity EKME Thessaloniki

18 Typical Manufacturing Projects Manufacturing Projects Energy: thermal and hydro power plants Defence: Leopard tank, submarine hulls, patriot launcher Infrastructure Leopard 2-Hel Battle Tank Steam Turbine Repair Rio-Antirio Bridge Major Steel Fabrications

19 4 Activity Review

20 Main Contracts 2008 KESC Korangi Combined cycle plant, 220MW Open cycle gas turbines in operation Commissioning of the combined cycle mid 2009

21 Main Contracts 2008 PPC Aliveri 417MW at SES Aliveri Gas-fired combined cycle Main contractor Engineering and procurement of equipment progressed. Permitting and delivery of the site for construction activity still pending on PPC

22 Main Contracts 2008 Endesa Hellas - Ag. Nikolaos Combined cycle (430MW) with natural gas METKA Main contractor Engineering and procurement of main equipment completed Construction works restarted in February 2009.

23 Recent EPC Contract Awards OMV Austria / Petrom Romania 860MW at Petrom in Brazi Gas fired combined cycle GE-METKA Consortium, with GE leader PEEGT, Syria Energy Projects 700MW at Deir Ali, south of Damascus Combined cycle METKA-Ansaldo Consortium, with METKA leader Korinthos Power 437MW at Motor Oil Gas fired combined cycle METKA main contractor

24 Main Contracts 2008 Co-production of Battle Tank Leopard 2-Hel Continuation of the contract for co-production of 170 main battle tanks with KMW (Kraus-Maffei Wegmann) on behalf of the Hellenic armed forces. Within turrets and 53 hulls were delivered. Completion of the contract mid 2009.

25 5 Business Outlook

26 Backlog Trends Backlog Significant increase in backlog Emphasis on international EPC projects Amounts in m Signed contracts Contract awards PPC 12% Backlog composition Mytilineos/ Endesa Hellas 26% Backlog in m International EPC projects 58% Other 4% Q1 09

27 Industry Outlook EPC Business Greece Fundamentals Tight supply demand balance expected to continue despite new CCGT projects. Majority of existing capacity is old and inefficient. Prospects PPC Megalopolis 800MW CCGT first part of PPC s major new-build program. EPC for continuation of Endesa Hellas investment program: 400MW IPP plant in Volos. South-East & Central Europe, Turkey Middle East EU membership and convergence impose obligations for plant upgrades and/or closures whilst power consumption increasing. Years of near zero investment. Government support and relatively high level of acceptance for nuclear Emphasis on mega-projects in the Gulf, several affected by global financial crisis. Gas for power generation becoming scarce increased need for fuel efficiency. SEE: 11,000 MW new capacity needed up to Rehabilitation of 11,500 MW of existing generation - 4.8bn** Turkey: major investments in gas and indigenous coal plants. **Source: EC/World Bank, GIS for SEE report, Combined cycle projects across the Middle East. Numerous Integrated Water & Power Plant (IWPP) projects in the Gulf. Developing Countries Despite global economic slow-down there is continued power demand growth in developing countries. Power shortages common. Massive need for energy infrastructure investments, often on fast-track basis. Pakistan: multiple IPP projects under development.

28 6 Conclusion

29 Contact Information Nikos Kontos Investor Relations Officer Tel: Fax: Paul Smith Sales Director Tel: Fax: Mytilineos Holdings S.A. 5-7 Patroklou Str Maroussi Athens Greece Tel: Fax: METKA S.A. 11 Mar. Antypa Str N. Iraklio Athens Greece Tel: Fax: