2008 General Meeting. May 7, 2008

Transcription

1 2008 General Meeting May 7, 2008

2 Bruno Lafont

3 Financial results Jean-Jacques Gauthier

4 Another year of strong growth Excellent results Sustained organic growth, driven by strong dynamism of emerging markets Cost reduction actions delivering Strong improvement in operating margin ROCE: + 160bp, already exceeding 2008 target EPS UP 41%, exceeds 11 4

5 A very strong earnings growth m Sales , ,614 Variation + 4% Earnings per share up 41 % Current Operating Income 2,772 3, % Of which Emerging Markets as a % of total Operating Margin 1,159 42% 16.4% 1,480 46% 18.4% + 28% + 200pb + 41% Net income Group share 1,372 1, % 7.86 Net dividend (in ) (2) % ROCE (3) 9.4% 11.0% + 160pb 5 (1) Average number of shares: m in 2006, m in 2007 (2) Submitted to shareholders today (3) Using the effective tax rate for 2007 (2006 as published) EPS (in )

6 Cement

7 Cement: Solid Growth in Emerging Markets and Visible Cost Cutting Operating margin (2) MT Volumes Variation + 3% + 230bp 24.1% 21.8% m Sales (1) Current Operating Income Of which Emerging Markets 9,641 2,103 49% 10,280 2,481 53% + 7% + 18% ROCE EBITDA / t % + 180bp 10.3% 12.1% 7 (1) Before elimination of inter divisional sales (2) Current Operating Income / Sales

8 Aggregates & Concrete

9 Aggregates & Concrete Highlights: Pricing Gains, Strict Cost Control and Increased Penetration of Value Added Products Operating margin (2) + 220bp Variation 8.7% 10.9% Volumes Béton (Mm 3 ) % Volumes Granulats (MT) m Sales (1) 262 6, ,597-1% + 2% ROCE Current Operating Income % + 200bp Of which Emerging Markets 16% 18% 9.7% 11.7% 9 (1) Before elimination of inter divisional sales (2) Current Operating Income / Sales

10 Gypsum

11 Gypsum: Adverse Market Conditions in the US; Strong Improvement Elsewhere Operating margin (2) - 480bp 12.1% Mm² Volumes Variation + 1% 7.3% m Sales (1) 1,632 1,581-3% EBITDA % ROCE Current Operating Income Of which Emerging Markets % % - 41% - 460bp 11.7% 7.1% 11 (1) Before elimination of inter divisional sales (2) Current Operating Income / Sales

12 Investments and Divestments Development capital expenditure m Sustaining capital expenditures Development capital expenditures Acquisitions Capital expenditure Divestments ,287 4, ,203 3,170 2,492 New cement capacitiy: Morocco, China, Zambia, Indonésia, India, Ecuador, the US, South Africa, Chile, Egypt and Poland New gypsum capacity: Silver Grove (US), United Kingdom, Ukraine Acquisitions Aggregates & concrete: North America Minority stakes in Heracles, in Greece 4,6% stake in Cimpor 12

13 Acquisition of Orascom: Accelerating the transformation of the Group A decisive acceleration to our Cement strategy in emerging markets High profitability and cash generation A substantial rise of our financial targets with an EPS exceeding 15 by 2010 Emerging markets 55% Mature markets 45% Iraq Romania Poland Egypt Algeria France US Malaysia Estimated split of 2008 EBITDA South Africa Canada Nigeria India Greece Spain UK Other growth < 2% each Other mature markets 13

14 Balance sheet A Solid Financial Structure As of 12/31/07 Fixed Assets 21,274 12,077 Shareholder s Equity 2,416 Provisions Working Capital 1,904 8,685 Net Debt Cash flow / Net Debt 2006* 29 % % * Computed with cash flow from operations and Net Debt of the Roofing Division 14

15 15 Lafarge share

16 Dividend evolution over 3 years In 4.00 (1) 3.30 Average annual growth: 25% 4.40 (1) % Net dividend Loyalty dividend (1) Submitted to shareholders today Dividend payment in cash: May 26, 2008

17 Share price evolution from January Lafarge Holcim CAC 40 Saint Gobain Cemex 40 janv 06 avr 06 juil 06 oct 06 janv 07 avr 07 juil 07 oct 07 janv 08 avr 08 17

18 Results and Outlook Bruno Lafont

19 Statutory auditors reports

20 Report on the consolidated financial statements Audit objective and approach Obtain a reasonable assurance as to the fair presentation and consistency of the financial statements and the financial information Audit conducted in over 800 entities located in 76 countries Group specificities taken into account (businesses, countries, acquisitions) Audit Committee and Board of Directors notified of conclusions Particular attention given to the description of the Orascom Cement acquisition No modification in the section of our report that provides a justification of our assessments and includes additional information on: The value of goodwill and intangible assets Opinion on the financial statements: unqualified 20

21 Other reports issued by the Statutory Auditors Statutory auditors report on the Lafarge SA company financial statements Statutory auditors special report on regulated agreements and commitments with related parties Statutory auditors report on internal control Statutory auditors report on the report prepared by the Chairman with regard to the internal control procedures relating to the preparation and treatment of financial and accounting information 21

22 Questions & Answers

23 Vote

24 Resolutions to be submitted to the Ordinary shareholders meeting

25 First résolution Approval of the 2007 Company financial statements and operations 25

26 Second résolution Approval of the 2007 consolidated financial statements 26

27 Third résolution Appropriation of earnings and setting of the dividend 27

28 Fourth résolution Related-party agreements 28

29 Fifth résolution Related-party agreement 29

30 Sixth résolution Term of office of M. Gérald Frère as a Director 30

31 Seventh résolution Term of office of M. Jérôme Guiraud as a Director 31

32 Eighth résolution Term of office of M. Michel Rollier as a Director 32

33 Ninth résolution Appointment of Auditex as deputy auditor 33

34 Tenth résolution Authorization granted to the Company to buy and sell its own shares 34

35 Eleventh résolution Powers for formalities 35

36 2008 General Meeting May 7, 2008