FY2014. Frankfurt March 19, Dr Stefan Schulte CEO. Dr Matthias Zieschang CFO

Transcription

1 FY2014 Frankfurt March 19, 2015 Dr Stefan Schulte CEO Dr Matthias Zieschang CFO

2 Slide 2 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 forward-looking statements that are based on current estimates and assumptions made by the management of Fraport to the best of its knowledge. Such forwardlooking statements are subject to risks and uncertainties, the non-occurrence 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 third-party 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 Slide 3 Agenda Financial Highlights Traffic Insight Terminal 3 Business Development Outlook 2015 Financials in Detail

4 Slide 4 Financial Highlights Fraport Group Figures FY2014 (P&L) in mil. FY2014 FY2013** yoy*** Revenue 2,395 2, % EBITDA % EBIT % Group Result* % Traffic Figures up, FRA with 2.6% upside in passenger traffic Revenue increase by 1%, adjusted by IFRIC12 +3% Group-EBITDA rose to 790 million, upside of 8% All segments contributing, mostly Aviation performance Group Result increased by 7% due to operating performance * Before minorities

5 Slide 5 Financial Highlights Fraport Group Figures FY2014 (Cash Flow, Debt, Capex) in mil. FY2014 FY2013 yoy Operating Cash Flow % Capex* % Dividend from Investments % Free Cash Flow >100% Cash out for External Acquisitions >100% Gearing in % 97% 98% -1PP OCF up due to good operating performance Downward trend in Capex, higher dividends from subsidiaries, Free Cash Flow rising substantially Net debt slightly up due to dividend payment and Ljubljana/AMU acquisition * As used in PPE

6 Slide 6 Agenda Financial Highlights Traffic Insight Terminal 3 Business Development Outlook 2015 Financials in Detail

7 Slide 7 Traffic Insight Fraport Group Traffic Figures (above 10% stake) Airport Share FY 2014 in 000 Delta vs in % CAGR (in %) Frankfurt, Germany 100% 59, Ljubljana, Slovenia 97.88% 1, Lima, Peru 70.01% 15, Burgas, Bulgaria 60% 2, Varna, Bulgaria 60% 1, Antalya, Turkey 51% 27, St. Petersburg, Russia 35.5% 14, Hanover, Germany 30% 5, Xi an, China 24.5% 29,

8 Slide 8 Traffic Insight Frankfurt Airport Traffic FRA passengers in February 2015: + 4.6% FY2014 % FY2013 Passengers* in , ,037 Movements 469, ,692 MTOW in `000 tons 28, ,416 Cargo** in `000 tons 2, ,095 Seat load factor Passenger per movement 85% 80% 75% 70% 65% Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec FY 2014 FY % Passenger guidance FY2015: 2-3% upside Cargo guidance FY2015: up to plus 3% * ACI definition, commercial traffic only ** Freight & Mail

9 Slide 9 Traffic Insight Frankfurt Airport Traffic Shares 2014 Western Europe Domestic Eastern Europe North America 14% +1% Latin America 4% -4% 42% +5% 11% +2% Frankfurt Airport Africa 4% -5% 9% +6% Middle East 5% 3% Continental Far East 11% -1% Intercontinental Traffic Share vs. previous year 62% +5% 38% -1%

10 Slide 10 Traffic Insight Peer Comparison Absolute Figures in mil. Relative 2014 vs LHR CDG FRA IST AMS % +2.8% +2.6% +10.6% +4.6% MAD MUC % +2.7% Germany %

11 Slide 11 Traffic Insight Frankfurt Airport Summer Schedule Volatile European economic development strong in Germany 2 Summer schedule with a moderate seat upside of ~2% - reflected in Outlook 3 Passenger movements up by around 1% 4 Lufthansa main driver for seat upside

12 Slide 12 Agenda Financial Highlights Traffic Insight Terminal 3 Business Development Outlook 2015 Financials in Detail

13 Slide 13 Terminal 3 Facts Terminal capacities restricted from 2016/18 depending on traffic-growth, critical at the latest from mil. passengers possible in a temporary overload situation Given the restricted space in the northern airport area no construction alternatives possible on time and on budget Additional dedicated capacity of 14 mil. to launch in end of 2021/ beginning of 2022 Capex budget bn. in total Consultants ordered by the Hessian Government confirmed in principle our traffic growth audits as well as Terminal 3 to be the right option Hessian Government proposed alternatives for Terminal 3: A-Plus-North Pier C Refurbishment Final decision will be taken soon

14 Slide 14 Terminal 3 FRA peaking after ~5 Years of T3 construction Maintenance Capex T3 FRA 500 Capex in External Activities not included Start of T3 construction 0 Maintenance mil plus 2% p.a. T3 start Peak after 5 years End after 8 years

15 Slide 15 Agenda Financial Highlights Traffic Insight Terminal 3 Business Development Outlook 2015 Financials in Detail

16 Slide 16 Business Development 2014 in a Nutshell Customer Macro Intensified focus on modern passenger needs: Free WIFI 24/7, easier directions, recreation areas -> overall satisfaction >80% European environment remaining weak Situation at security remains challenging Currency impact from Russian Ruble and Japanese Yen with negative impact on Retail Capex, Cash & Costs Capex FRA remaining low; good Free Cash Flow Attractive 400 mil. refinancing placed Productivity gains & staff reductions Noise Ground Based Augmentation System (GBAS) Modified Arrival Routes Dedicated Runway Operations (DROps) Aviation charges pricing system FRAConnect introduced High diversification of noise charges Airport charges to be fixed by summer 2015 International Integration of newly acquired business Ljubljana & Airmall Closing and financing of acquisition in Greece expected for end of 2015, early 2016 no financial impact before signing

17 Slide Business Development Challenges from Ruble Exposure at FRA, AYT & LED FRA Russians with very high retail spend 60 AYT 1/3 Russian traffic share 30 /Ruble Development ( ) LED International traffic down FRA AYT LED Retail Antalya St. Petersburg Facts Expectation 2015 Russian traffic share only around 2%, but shopping behavior nearly 4 times average 1/3 Russian traffic share, normally late booking behavior, high retail spenders Good operative year 2014 (new Terminal) but declining share of international passengers Deterioration in Retail per passengers has stopped now, upside in 2015 expected Lower expectations than in 2014 on traffic; Impact on Net Result expected to be higher than in FY2014 Operations challenging, financials also depending on Ruble development

18 Slide 18 Business Development International Antalya Performance The busiest Mediterranean Airport More than 300 destinations today Country share of traffic 2014 AYT Only 14 destinations in % 25% 33% Russia Germany Other AYT

19 Slide 19 in mil Business Development International Lima Airport Significant traffic growth for more than a decade with nearly 11% CAGR Dividend payments to Fraport: 5.2 million in 2014 (cumulated: 53.5 million ) Upgrade of infrastructure necessary within the next decade: 2 nd terminal, new runway, extension of taxiways, new tower, additional access ways to the airport Runway construction within 5 years after land transfer of the Peruvian state, subsequently construction of a 2 nd Terminal Traffic Development Y CAGR: 10.8% Above 15 million passengers

20 Slide 20 Agenda Financial Highlights Traffic Insight Terminal 3 Business Development Outlook 2015 Financials in Detail

21 Slide 21 Outlook 2015 Strike risk could impact traffic and financial outlook Outlook 2014 Result Outlook 2015 Passengers FRA growth between 2% and 3% +2.6% growth between 2% and 3% Revenue revenue growth up to ~ 2.45 bn. 2.4 bn. revenue between ~ 2.55 and ~ 2.6 bn. EBITDA between ~ 780 and ~ 800 mil. 790 mil. between ~ 820 and ~ 840 mil. EBIT growth up to ~ 500 mil. 483 mil. between ~ 500 and ~ 520 mil. Group Result* slightly above mil. between ~ 265 and ~ 285 mil. Dividend proposal at least stable 1.35 stable *Group Result before minorities

22 Slide 22 Agenda Financial Highlights Traffic Insight Business Development Outlook 2015 Financials in Detail

23 Slide 23 Group P&L FY 2014 Traffic Growth translated in Financials mil % Revenue -excl. IFRIC 12 2,395 2,384 2,376 2, EBITDA EBIT EBT Group result EPS in % 25% EBITDA margin +2.2PP 33.0% 30.8% EBIT margin +1.7PP 20.2% 18.5% Comments Top-line affected by less IFRIC 12 income, w/o EBITDA effect Underlying revenue up due to traffic performance Positive effects also from FRA pricing Lower opex a.o. from mild winter Solid increase in EBITDA and margin Higher tax rate due to tax provisions Group result and EPS up 0% FY 2014 FY 2013 FY 2014 FY 2013 Percent change based on unrounded figures

24 Slide 24 Group P&L FY 2014 EBITDA up due to Revenue Increase mil EBITDA FY 2013 Revenue ex. IFRIC 12 IFRIC 12 revenue Other revenue Cost of materials ex. IFRIC12 IFRIC12 cost of materials Personnel expenses Other opex EBITDA FY 2014 Segment share in Group EBITDA FY 2013 Segment share in Group EBITDA FY 2014 External Activities & Services 19.2% Aviation Ground 28.4% Handling 4.7% External Activities & Services Ground Handling 5.6% 19.3% 30.0% Aviation 47.7% Retail & Real Estate 45.1% Retail & Real Estate Due to roundings differences can occur, when summing up to Group EBITDA.

25 Slide 25 Group P&L FY 2014 Group Result up, despite Taxes & higher D&A mil Group result FY 2013 EBITDA D&A Financial result Taxes Group result FY 2014 EPS FY 2013 EPS FY 2014 mil FY14 FY 13 % Interest income Interest expenses Split of financial result At equity result >100 Other result Financial result Comments Interest income on PY level Interest expenses up due to booking effects At equity result key drivers: Good Antalya performance No impact from negative Pulkovo result in Fraport P&L as book value is 0 Other result down due to market valuation of derivatives Due to roundings differences can occur, when summing up to Group result.

26 Slide 26 Group Asset & Financial Situation FCF enough to cover DVD and Debt Repayment FCF 1 2 Liquidity Gross debt Net debt Equity Gearing mil. 4,239 4,192 2,871 3,013 3,099 3,286 98% 97% ,368 1,180 Dec. 31, 2013 Dec. 31, 2014 Strong FCF covers DVD payout, Airmall acquisition and 2014 debt repayment Main FCF driver: less capex DVD inflow included in FCF see next slide Enlargement of external portfolio, debt repayment and DVD decreases liquidity Gross debt also below PY Net debt up due to M&A and DVD payout Equity close to 3.3 bn. Gearing ratio flat on 2013 Outlook 2015: FRA capex: slightly above 2014 level Ongoing strong positive FCF, clearly enough to cover DVD 1) FCF pre-dividend payout; figures correspond to FY figures 2) Net debt divided by equity less non-controlling interests and profit earmarked for distribution

27 Slide 27 Group Cash Flow Statement Capex Split & Updated Definition mil. Cash Flow FY 2014 Cash Flow FY 2013 Operating cash flow Intangible assets PPE Airport operating projects Investment property Free cash flow DVDs from investments Free cash flow Old definition OCF improvement reflects positive operational performance Strong decline in capex for PPE despite ongoing preparation for Terminal 3 Decline in capex for airport operating projects due to lower spend for Twin Star DVD inflow from investments mainly refered to AYT Due to roundings differences can occur, when summing up to free cash flow

28 Slide 28 Group Value Management Updated Calculation as of Jan. 1, 2015 Until Dec. 31, 2014 Asset base adjusted by: Construction in progress at cost/2 9.5 % pre tax WACC EBIT - Fraport assets x WACC = Value added As of Jan. 1, 2015 EBIT + At equity results before taxes - Fraport assets x WACC = Value added At equity results before taxes now Group wide included in value added Asset base now including: Construction in progress at cost/2 & Investments in at equity consolidated companies at book value WACC adjusted to 8.6 % pre tax WACC due to current debt market conditions

29 Slide 29 Segment Aviation Revenue, EBITDA & EBIT Increase mil % Revenue Airport charges Security serv. Other EBITDA EBIT Employees 6,082 6, Comments Revenue increase due to FRA traffic & higher aviation charges as of Jan. 1, 2014 Security rev. Up due to new contracts and price effects Tailwind in EBITDA from less costs for winter services Strong EBIT increase 40% 20% 0% EBITDA margin +2.2PP 26.8% 24.6% EBIT margin +2.4PP 13.1% 10.7% FY 2014 FY 2013 FY 2014 FY 2013 Other 4.9% Sec. services 12.4% Security ch. 4.6% Parking ch. 5.1% Landing ch. 7.1% Emission ch. 10.7% Revenue split FY % Passenger charges Percent change based on unrounded figures

30 Slide 30 Segment Retail & Real Estate Lower Expenses lead to EBITDA-Growth mil % Revenue Retail Real Estate Parking Other EBITDA EBIT Employees Comments Downturn in revenue due to weak performance in retail and other revenue Real Estate stable despite lower need for utilities from mild winter Decline on cost side EBITDA and EBIT up on PY 90% 60% 30% 0% EBITDA margin +2.9PP 78.2% 75.3% EBIT margin +2.8PP 60.3% 57.5% FY 2014 FY 2013 FY 2014 FY 2013 Revenue split FY 2014 Other 1.2% Parking 17.1% 42.4% Retail 39.4% Real Estate Percent change based on unrounded figures

31 Slide 31 Segment Retail & Real Estate Less Intercont Traffic & F/X fluctuations show Effects Retail revenue per Passenger FY 2012: 3.32 FY 2013: 3.60 FY 2014: Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 mil. Shopping Services Advertis

32 Slide 32 Segment Ground Handling Operational Increase, EBIT positive mil % Revenue Ground Handl. Infrastructure EBITDA EBIT Comments Growing revenue due to infrastructure services by price effects Despite wage increase EBITDA up, reason: less non-staff costs EBIT turned into positive Employees 9,038 8, EBITDA margin +1.5PP EBIT margin +1.1PP Revenue split FY % 5% 0% 6.8% 5.3% 1.1% -% FY 2014 FY 2013 FY 2014 FY 2013 Central Infrastructure 42.0% 58.0% Ground Handling Percent change based on unrounded figures

33 Slide 33 Segment External Activities & Services Sound underlying Operations lift up EBITDA mil % Revenue -excl. IFRIC EBITDA EBIT Employees 4,662 4, Comments Ongoing growth in Lima Good summer season, additional retail revenue from Terminal inaugurations in Varna & Burgas Airmall consolidated as of Aug. 1 Ljubljana consolidated as of Oct. 1 Higher D&A from Varna & Burgas EBITDA margin +4.4PP EBIT margin +0.8PP Revenue split FY % 25% 0% 38.2% 33.8% 21.3% 20.5% FY 2014 FY 2013 FY 2014 FY 2013 Ljubljana Airmall Others 1.8% 5.2% Twin Star 15.2% 24.0% 53.8% Lima Percent change based on unrounded figures

34 Slide 34 External Activities Fully consolidated Investments* Airmall Ljubljana Lima Twin Star * Airmall and Ljubljana since inclusion in Fraport Group, Ljubljana passenger figures represent full year numbers Figures refer to IFRS accounting, not local GAAP, percent changes based on unrounded figures

35 Slide 35 External Activities At equity consolidated Investments* Antalya St. Petersburg Hanover Xi an ** *Except for Xi an all figures refer to IFRS accounting, percent changes based on unrounded figures **Includes ~ -320 mil. translational effects from the conversion of denominated loans into ruble

36 Thank you for your Attention!

37 Slide 37 Group Financials Maturity Profile & Cash Position (as of December 31, 2014) mil. 4,500 4,000 4,192.4 Fraport debt conditions on average 3,500 ~ 3.6 % interest rate ~ 5.3 years maturity 3,000 2,500 Book Value 2,000 Nominal Value 1,500 1,000 1, , Liquidity Gross debt

38 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