Analyst Presentation FY2013 Preliminary Figures. Dr. Stefan Schulte, CEO & Dr. Matthias Zieschang, CFO

Transcription

1 Analyst Presentation FY inary Figures Fraport Headquarters in Frankfurt March 7, 2014 Dr. Stefan Schulte, CEO & Dr. Matthias Zieschang, CFO

2 2 Analyst Presentation FY preliminary Disclaimer This document has been prepared by Fraport solely for use in this presentation. The information contained in this document has not been independently verified. No representation or warranty whether express or implied is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained therein. Neither the company nor any of its affiliates, advisors or representatives shall have any liability whatsoever (in negligence or otherwise) for any loss arising from any use of this document or its content or otherwise arising in connection with this document. This document does not constitute an offer or invitation to purchase or subscribe for any shares and neither this document nor any part of it shall form the basis of, or be relied upon in connection with, any contract or commitment whatsoever. This document contains forwardlooking statements t t that t are based on current estimates t and assumptions made by the management of Fraport to the best of its knowledge. Such forwardlooking statements are subject to risks and uncertainties, the nonoccurrence or occurrence of which could cause the actual results including the financial condition and profitability of Fraport to differ materially from or be more negative than those expressed or implied by such forwardlooking statements. This also applies to the forward looking estimates and forecasts derived from thirdparty studies. Consequently, neither the Company nor its management can give any assurance regarding the future accuracy of the opinions set forth in this document or the actual occurrence of the predicted developments. By accepting this document, you agree with the foregoing.

3 3 Analyst Presentation FY preliminary Agenda Financial Highlights g Traffic Insight Business Development Outlook 2014 Financials in Detail

4 4 Analyst Presentation FY preliminary Financial Highlights Fraport Group Figures FY (P&L) FY FY2012** yoy*** Revenue mil. 2,561 2, % EBITDA mil % EBIT mil % Group Result* mil % 63% Traffic Figures up, small upside in FRA Revenue increase by 4.9% adjusted by IFRIC12: 3.4% GroupEBITDA +3.7% Mainly due to Aviation / Retail / External Activities Group Result decrease by 6.3% due to extraordinary performance in asset management in 2012 and impact from Pulkovo * before minorities ** 2012 figures adjusted for IAS 19 *** Percent change based on unrounded figures

5 5 Analyst Presentation FY preliminary Financial Highlights Fraport Group Figures FY (Cash Flow, Debt, Capex) FY FY2012** yoy*** Operating Cash Flow mil % Capex* mil % Free Cash Flow mil % Net debt mil. 2,975 2, % 14% Gearing mil % 104.9% 3.6PP OCF up due to good operating performance and less tax payments Clear downward trend in Capex Free Cash Flow positive again after 7 years of heavy investment Net debt slightly up FCF could not yet compensate dividend Gearing slightly down as equity increase outpaces net debt increase * Capex as: Cash Flow used in PPE, airport operating projects, intangible assets and investment property ** 2012 figures adjusted for IAS 19 *** Percent change based on unrounded figures

6 6 Analyst Presentation FY preliminary Agenda Financial Highlights g Traffic Insight Business Development Outlook 2014 Financials in Detail

7 7 Analyst Presentation FY preliminary Traffic Insight Frankfurt Airport inary FRA Traffic: February 2014: +1.8% YTD 2014: +2.6% Jan 2014 % FY % FY2012 Passengers* in 000 4, , ,520 Movements 35, , , MTOW in `000 tons 2, , ,913 Cargo** , ,066 in `000 tons Seat load factor 90,0% 0% 80,0% 70,0% 60,0% Jan Feb Mar Apr May Jun 2012 Jul Aug Sep Oct Nov Dec Passenger per movement FY FY % Passenger guidance FY2014: 23% upside * ACI definition, commercial traffic only ** Freight & Mail

8 8 Analyst Presentation FY preliminary Traffic Insight Frankfurt Airport Traffic Shares 12M vs. 12M 2012 Western Europe Domestic Eastern Europe North America 14% +2% Latin America 4% +3% 42% 0% Frankfurt Airport Africa 4% 4% 11% +1% Middle East 5% 1% 8% +5% Far East 12% +1% Continental Intercontinental Traffic Share vs. previous year 61% +2% 39% +1%

9 9 Analyst Presentation FY preliminary Traffic Insight Peer Comparison Absolute Figures in mil. Relative vs LHR +3.3% CDG +0.7% FRA +0.9% AMS +3.0% madrid IST MAD +13.6% 12.1% MUC +0.8%

10 10 Analyst Presentation FY preliminary Traffic Insight Group Passenger Figures (above 10% stake) IATA Code Airport Share FY in 000 Delta vs in % CAGR (in %) 2010 FRA Frankfurt, Germany 100% 58, LIM Lima, Peru 70.01% 14, BOJ Burgas, Bulgaria 60% 2, VAR Varna, Bulgaria 60% 1, AYT Antalya, Turkey 51% 26, LED St. Petersburg, Russia 35.5% 12, HAJ Hanover, Germany 30% 5, XIY Xi an, China 24.5% 26,

11 11 Analyst Presentation FY preliminary Traffic Insight New Summer Schedule 2014 (beginning end of March) 1Positive economic prospects for Germany show effect in air traffic 2 of Summer schedule with a seat upside ~4% 3 around Passenger movements up by 1% 4 New Airlines: Air Europa, Biman Bangladesh, MIAT Mongolian, new Far East carrier to be announced & upgrade of existing routes 5 Ongoing modernization of fleet plus new seat configuration at Lufthansa main driver for seat upside

12 12 Analyst Presentation FY preliminary Agenda Financial Highlights g Traffic Insight Business Development Outlook 2014 Financials in Detail

13 13 Analyst Presentation FY preliminary Business Development in a Nutshell Customer Processes Internal Process Optimization Capex Further focus on Great to have you here Focus on strong leadership of employees as key for future success Capex reviewed and reduced FRAConnect introduced Cargo processes under evaluation Process efficiency program and cost benchmark started first implementation in Ground Handling Terminal 3 changes to construction granted and application filed Airport Portfolio Portfolio continuously developed capacity upgrade in Russia & Bulgaria bids for new projects not successful Political l Changes & Noise Reduction New government in the State of Hesse Noise abatement t measures continuously implemented / significantly less antinoiseprotests

14 14 Analyst Presentation FY preliminary Business Development Noise Abatement at FRA Prolonged testing Description Status Quo CDA/CDO* GBAS (ground based augmentation system) allows for a smooth, constantangle descent to landing Providing very precise navigation data for precision approach and landings (complex or straightin approaches) Since Oct in normal operation; positive testing in 2012: 41.1% of all landings on single day Construction in progress, inauguration in degrees approach Steeper approach procedure Prolonged testing, tendency of noise reduction confirmed Segmented approach Diversion during approach to less inhabited areas In operation for late landings after 11pm, extension planned DROps (dedicated runway operation system) Selected runway operations at dedicated times In operation for early morning landings since mid Aviation charges price system High diversification of noise driven charges to incentive low noise emission aircraft Since in place *Continuous descent approach / Continuous descent operations

15 15 Analyst Presentation FY preliminary Business Development Operational Challenges at 68 million Passengers Prozess Terminal 1 Terminal 2 CheckIn Security Checks Passport Outbound Gate Availability Bus gates Availability Passport Inbound Luggage

16 16 Analyst Presentation FY preliminary Business Development Other Construction Projects in Terminal 1 Terminal overview Y New PTSStation in CD Area to improve processes in Terminal 1

17 17 Analyst Presentation FY preliminary Agenda Financial Highlights g Traffic Insight Business Development Outlook 2014 Financials in Detail

18 18 Analyst Presentation FY preliminary Outlook Fraport Group fulfilled, growing 2014 expected Outlook 2014 including new IFRS 11 on Joint Venture accounting! Outlook FY restated Outlook 2014 Passengers FRA about previous year s level Revenue growth up to 5% bn. EBITDA mil. 733 mil. EBIT between 2012 s level and up to ~ 520 mil growth between 2% and 3% revenue growth up to ~ 2.45 bn. between ~ 780 and ~ 800 mil. 439 mil. growth up to ~ 500 mil. Group Result* decrease 236 mil. slightly above Dividend proposal 1.25 per share at least stable *Group Result before minorities

19 19 Analyst Presentation FY preliminary Agenda Financial Highlights g Traffic Insight Business Development Outlook 2014 Financials in Detail

20 20 Analyst Presentation FY preliminary Group P&L FY * Increase from Operations, negative Financial result mil. mil. 849 IFRIC Organic Organic 18 IFRIC mil EBITDA 2012 Revenue Other Cost of Personnel Other opex EBITDA revenue materials expenses 16 mil Group result 2012 EBITDA D&A Financial result Taxes Group result EPS 2012 EPS *2012 figures adjusted for IAS 19

21 21 Analyst Presentation FY preliminary Financial Result FY Result from Associates & other Result down mil. FY 13 FY 12 %* Q4 13 Q4 12 %* Interest income Interest expenses Capitalized Interest Associates Pulkovo Xi An Other result Financial result *Percent change based on unrounded figures

22 22 Analyst Presentation FY preliminary Cash Flow FY Less Capex & good operating Result improve FCF mil. Operating cash flow Intangible assets PPE Airport operating projects Investment property Free cash flow Cash Flow FY Cash Flow FY

23 23 Analyst Presentation FY preliminary Financial Position & Gearing FCF at 73 mil., Net Debt < 3 bn., Gearing < PY mil. YE 2011/2012 YE FCF Liquidity Gross debt FCF at 73.1 mil., Q4: flat at 1 mil. FCF Q4 improvement vs. PY by 87 mil. Group liquidity down at 1.49 bn. Decline due to dividend payout of 115 mil. and debt redemption 136 mil. decline in gross debt to 4.46 bn % 105% 101% Net debt at 2.98 bn. After deducting the expected payout for FY : Gearing ratio at 101% below PY * * Net debt Equity Gearing *Equity less noncontrolling interests and profit earmarked for distribution 2012 and 2011 equity adjusted for IAS19

24 24 Analyst Presentation FY preliminary Capex and Cash Flow Overview Lower Capex leads to 1 st positive FCF since 2006 Capex * in mil Free Cash Flow in mil , Capex* in % of D&A 2006 Net debt in mil. & Gearing % 14% 39% 67% 78% 98% 105% 101% 2,647 2,935 2,975 2,024 1, *Capex as: CF used in PPE, airport operating projects, intangible assets and investment property

25 25 Analyst Presentation FY preliminary Aviation Revenue, EBITDA & EBIT up mil. FY 13 FY 12* %* Q4 13 Q4 12* %* Revenue Airport charges Security Services Other EBITDA Margin EBIT Margin % % % % % % Employees 6,194 6, ,080 6, Solid increase in revenue driven by higher airport charges as of Jan. 1, Security and other revenue almost flat on 2012 Additional cost mainly from firsttime fullyear operation of APlus Strong increase in EBIT, due to lower D&A *Percent change based on unrounded figures 2012 figures adjusted for IAS 19

26 26 Analyst Presentation FY preliminary Retail & Real Estate Growth driven by Retail / APlus mil. FY 13 FY 12* %* Q4 13 Q4 12* %* Revenue ** Retail Real Estate t Parking Other ** >100 EBITDA Margin 74.8% 74.0% 70.4% 69.2% EBIT Margin % % % % 19.1 Employees Strong increase in retail revenue due to fullyear operation of APlus Additional revenue from Real Estate (Lounges A Plus) Other revenue down due to higher property sales in 2012 * Percent change based on unrounded figures; 2012 figures adjusted for IAS 19 ** 2012 includes property sales on Mönchhof site of 16.5 mil. / : 10.0 mil

27 27 Analyst Presentation FY preliminary Retail & Real Estate Retail per Passenger in Q4 firsttime above 4 Retail revenue per passenger in 3.32 FY 2011: 3.17 FY 2012: 3.32 FY : Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 mil. Shopping Services Advertis

28 28 Analyst Presentation FY preliminary Retail & Real Estate Track Record of Retail Growth Retail revenue in mil. Retail revenue per passenger in CAGR 7.1% CAGR 5.5% Next Targets 4 per passenger remains midterm target! Headwind from F/X depreciation Waiting time at security Utilization and traffic structure of APlus

29 29 Analyst Presentation FY preliminary Retail & Real Estate FXDevelopment in show Impact on Retail Spend Currency devaluation in in countries with high retail performance Traffic shares departing passengers Currency compared to indexed to 100 (= Jan ) Other 7% share Share in Duty Free sales * Jan Source: Bloomberg March Russian Ruble Indian Rupee May July Sep Brazilian Real Japanese Yen Nov Jan Other 17% share * Based on ticket /Heinemann data > only indication of nationality

30 30 Analyst Presentation FY preliminary Ground Handling Revenue Increase, BottomLine under Pressure mil. FY 13 FY 12* %* Q4 13 Q4 12* %* Revenue Ground Handling Infrastructure EBITDA Margin % % EBIT Margin Employees 9,017 8, ,107 9, % 3 1.7% >100 Growing infrastructure revenue helped due to price effects Slight positive effects also from DeIcing Despite passenger growth Ground Handling revenue flat on 2012, due to decline in MTOW Bottomline still under pressure! *Percent change based on unrounded figures 2012 figures adjusted for IAS 19

31 31 Analyst Presentation FY preliminary External Activities & Services Strong Performance of External Investments mil. FY 13 FY 12* %* Q4 13 Q4 12* %* Revenue excl. IFRIC 12 EBITDA Margin Adjusted margin % 54.4% % 56.1% EBIT Margin 29.5% 31.9% 18.5% 21.6% Adjusted margin 33.2% 33.8% 20.8% 24.1% % 46.6% % 51.0% Employees 5,088 5, ,625 4, Unbroken traffic upward trend in Lima, Antalya, Varna & Burgas Traffic performance translated in earnings growth Terminal inaugurations in Varna & Burgas will help 2014 retail performance *Percent change based on unrounded figures 2012 figures adjusted for IAS 19

32 32 Analyst Presentation FY preliminary External Activities Antalya Airport Figures before Consolidation mil. FY 13 FY 12 %* Q4 13 Q4 12 %* Revenue Airport charges Retail EBITDA Margin % % EBIT Margin 55.5% 53.7% 36.1% 29.6% % % 12.8 Passengers in mil Employees *Percent change based on unrounded figures

33 33 Analyst Presentation FY preliminary External Activities Lima Airport * mil. FY 13 FY 12 %* Q4 13 Q4 12 %* Revenue Airport charges Retail ** excl. IFRIC EBITDA Margin 34.3% 34.2% 32.5% 31.4% Adjusted d margin 36.8% 36.4% 35.5% 5% 33.8% EBIT Margin Adjusted margin % 29.8% % 29.2% % 28.6% % 26.6% 12.0 Passengers in mil Employees *Figures refer to IFRS accounting, not local GAAP, percent changes based on unrounded figures **Parts of Retail revenue in reorganized to other revenue, a.o., catering revenue

34 34 Analyst Presentation FY preliminary External Activities Twin Star Varna & Burgas Airport mil. FY 13 FY 12 %* Q4 13 Q4 12 %* Revenue Airport charges Retail excl. IFRIC EBITDA Margin 27.9% 40.9% Adjusted d margin 56.9% 56.4% EBIT Margin Adjusted margin % 40.7% % 41.0% Passengers in mil Employees 1,051 1, *Percent change based on unrounded figures

35 35 Analyst Presentation FY preliminary Restated FY IFRS 11 Accounting Change as of Jan. 1, 2014 Group Figures FY in mil. Restated t Figures FY in mil Revenue EBITDA EBIT EBT Group result External Activities & Services FY in mil Revenue EBITDA EBIT EBT Group result Restated Figures FY in mil Revenue EBITDA EBIT Revenue EBITDA EBIT

36 36 Analyst Presentation FY preliminary Restated FY IFRS 11 Accounting Change as of Jan. 1, 2014 Figure FY Restated FY Change Operating cash flow 575 mil. 454 mil. 121 mil. Free cash flow 73 mil. 17 mil. 56 mil. Total assets 9,523 mil. 8,836 mil. 687 mil. Shareholders equity* 3,099 mil. 3,117 mil mil. Net debt 2,975 mil. 2,871 mil. 104 mil. Gearing ratio 101% 97% 4PP *Equity including noncontrolling interests and profit earmarked for distribution

37 37 Analyst Presentation FY preliminary Cash Flow Outlook Further Improvement of FCF expected mil Operating Cash Flow Capex FRA Capex External Activities 54 Investment property Free Cash Flow Dividend Change in Net debt Projection 200 Growth in line with operations, balance sheet dilutions possible Below Below ~stable Improvement At least stable Impact on net debt could be stable/positive Cash Flow INCL. IFRS 11

38 38 Analyst Presentation FY preliminary Cash Flow Outlook MultiYear Overview Lima Capex plans not finalized yet changes to Group Capex & FCF possible! Capex peaks and FCF lows due to FRA North and Expansion Expected Capex peak for T et seq Capex Free Cash Flow Expected FCF low, softened by growing g OCF Next Capex Peak: End of Decade Anyhow, Free Cash Flow will remain positive!

39 39 Analyst Presentation FY preliminary Segment Outlook fulfilled, growing 2014 expected! Outlook 2014 including new IFRS 11 on Joint Venture accounting! Aviation Retail & Real Estate Ground Handling External Activities & Services Outlook FY restated Outlook 2014 Slight increase in Revenue: 846 mil. Rev. growth up to 5%, revenue, EBITDA EBITDA: 205 mil. EBITDA & EBIT growth and EBIT EBIT: 88 mil. by up to 20 mil. Significant increase in revenue, EBITDA and EBIT Revenue: 468 mil. EBITDA: 351mil. EBIT: 268 mil. Slight increase in revenue, EBITDA and EBIT Minor increase in Revenue: 649 mil. Slight increase in revenue, revenue, EBITDA and EBITDA: 33 mil. EBITDA and EBIT at about EBIT at about PY level EBIT: 6 mil. PY level Organic increase in revenue, EBITDA and EBIT at about PY level Revenue: 416 mil. EBITDA: 145 mil. EBIT: 89 mil. Organic increase in revenue, EBITDA & EBIT with singledigit million growth

40 Thank you for your Attention!

41 41 Analyst Presentation FY preliminary Group P&L mil. FY 13 FY 12* Change % Change Revenue 2, , Change in workinprocess Other internal work capitalized Other operating income Total revenue 2, , Cost of materials Personnel expenses Other operating expenses EBITDA D&A EBIT Interest income Interest expenses Result from associated companies Other financial result Financial result EBT Taxes on Income Group result Thereof noncontrolling interests Thereof shareholders of Fraport AG *2012 figures adjusted for IAS 19

42 42 Analyst Presentation FY preliminary Group Cash Flow Statement mil. FY 13 FY 12* Profit attributable to Fraport shareholders Profit attributable to noncontrolling interests Adjustments for Taxes on income Depreciation and amortization Interest result Disposal of noncurrent assets Others Fair value changes in associated comp. Changes in inventories Changes in receivables and financial assets Changes in liabilities Changes in provisions Operating activities Financial activities Interest paid Interest received Taxes on income paid CF from operating activities Investments in airport operating projects Capex for other intangible assets Capex for ppe mil. FY 13 FY 12* Investment property Dividends from associated companies Loans to affiliated companies Proceeds from disposal of noncurrent assets CF used in investing activities w/o investments in cash deposits and sec. Financial investments in securities and promissory note loans Proceeds from disposal of securities and promissory note loans Decrease of time deposits with a duration of more than 3 months CF used in investing activities Dividends paid to Fraport shareholders Dividends paid to noncontrolling interests Capital increase Cash inflow from longterm financial debt Repayment of longterm financial debt Changes in shortterm financial debt CF used in/from financing i activities iti Change in restricted cash Change in cash and cash equivalents F/X effects on cash and cash equivalents Cash and cash equivalents as at Dec *2012 figures adjusted for IAS 19

43 43 Analyst Presentation FY preliminary Group Financial Position Assets in mil. YE 13 YE 12 Goodwill Investments in airport operating projects 1, ,031.2 Other intangible assets Property, plant and equipment 5, ,927.3 Liabilities & equity in mil. YE 13 YE 12 Issued capital Capital reserve Revenue reserves 1, ,403.2 Equity attr. to Fraport shareholders 3, ,912.5 Investment property Investments in associated companies Other financial assets Other receivables and financial assets Income tax receivables Deferred tax assets Total non current assets 8, ,140.8 Inventories Noncontrolling interests Shareholders equity 3, ,948.2 Financial liabilities 4, ,401.0 Trade accounts payable Other liabilities ,006.4 Deferred tax liabilities Provisions for pensions and similar oblig Provisions for income taxes Trade accounts receivable Other receivables and financial assets Income tax receivables Cash and cash equivalents Current assets 1, ,499.8 Total assets 9, , Other provisions Noncurrent liabilities 5, ,893.1 Financial liabilities Trade accounts payable Other liabilities Provisions for income taxes Other provisions Current liabilities Total liabilities & equity 9, ,640.6 *2012 figures adjusted for IAS 19

44 44 Analyst Presentation FY preliminary Special & Extraordinary Effects FY mil. FY 13 FY 12 Group financial result Market valuation of derivatives & F/X fluctuations mil mil mil. Aviation Creation of provision for regional fund, Q2/2012 EBITDA: 10.5mil. Retail & Real Estate Property sales Mönchhof area Revenue: mil. Revenue: mil. Ground Handling Release of provision, Q2/2012 EBITDA: mil. External Activities & Services

45 45 Analyst Presentation FY preliminary Maturity Profile & Cash Position as of Dec. 31, mil Fraport debt conditions on average ~ 4% interest rate ,3 ~ 5.5 years maturity 1.172, ,1 507,3 499,3 413,4 561,1 234,7 411,3 323,8 19,2 0 Liquidity Liquidität zum as at 31. Dec. Dezember 31,

46 46 Analyst Presentation FY preliminary Investor Relations Team Contact Details Fraport AG Frankfurt Airport Services Worldwide Frankfurt am Main Stefan J. Rüter Head of Finance & Investor Relations Svenja Ebeling Investor Relations Assistant Marc Poeschmann Manager Investor Relations Florian Fuchs Manager Investor Relations & Financial Reporting Tanja Nagel Manager Investor Relations & Financial Reporting