Road Show London April 2016

Transcription

1 Road Show London April 2016 Dr. Matthias Zieschang CFO Florian Fuchs Investor Relations

2 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 forwardlooking 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 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 Agenda Financial Highlights Traffic Insight Main Features and Latest Development Status Greek Regional Airports Terminal 3 Services FRA / Multichannel Retail 2016 Outlook FY Financials in Detail

4 4 Financial Highlights Fraport Group Figures FY 2015 (P&L) in mil. FY2015 FY2014 yoy Revenue 2,599 2, % EBITDA % EBIT % Group result* % Traffic Figures up, FRA with 2.5% upside in passenger traffic Revenue increased by 9% (IFRIC12 adjusted +8%) Group EBITDA rose to 849 million, an upside of 7% All segments contributing, mostly Retail and External Activities Group result increased by 18% mostly due to operating performance * Before minorities

5 5 Financial Highlights Fraport Group FY 2015 (Cash Flow, Leverage, Capex) in mil. FY2015 FY2014 yoy Operating Cash Flow % Capex* % Dividend from Investments % Free Cash Flow % Gearing in % 84% 97% 13PP Net Debt 2,774 3,013 8 % Operating Cash Flow significantly up due to good operating performance Flat Capex Substantial increase in Free Cash Flow to just under 400 million Gearing & Net Debt down despite dividend payment * as used in PPE, airport operating projects, investment property, at equity investments, and other intangible assets

6 6 Agenda Financial Highlights Traffic Insight Main Features and Latest Development Status Greek Regional Airports Terminal 3 Services FRA / Multichannel Retail 2016 Outlook FY Financials in Detail

7 7 Traffic Insight Group Passenger Development (stakes above 10%) IATA Code Airport Share MAR 2016 D previous year YTD 2016 D previous year FY 2015 CAGR FRA Frankfurt, Germany 100% 4, % 12, % 61, % LJU Ljubljana, Slovenia 100% % % 1, % LIM Lima, Peru 70% 1, % 4, % 17, % BOJ Burgas, Bulgaria 60% % % 2, % VAR Varna, Bulgaria 60% % % 1, % AYT Antalya, Turkey 51% % 2, % 27, % LED St. Petersburg, Russia 35.5% % 2, % 13, % HAJ Hanover, Germany 30% % 1, % 5, % XIY Xi an, China 24.5% 2, % 8, % 32, %

8 8 Traffic Insight Frankfurt Airport MAR 2016 D % YTD 2016 D % FY 2015 Passengers in `000 4, , ,032 Movements 37, , ,153 MTOW in `000 tons 2, , ,543 Cargo in `000 tons ,077 90% 85% 80% Seat load factor YTD 2016 YTD 2015 Passenger per movement +2.6 Pass. 75% 70% 65% Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Passenger guidance FY2016: Growth between ~1% and ~3% Passenger figures according to ACI, commercial traffic only; cargo includes air freight and air mail

9 9 Traffic Insight Peer Comparison Absolute Figures in mil. Relative 2015 vs LHR CDG IST FRA AMS % +3.1% +9.1% +2.5% +6.0% MAD MUC % +3.2% Germany %

10 10 Traffic Insight Summer Schedule FRA 2016 GeoPolitical situation impacts passenger development Summer schedule with a slight positive seat upside / movements slightly negative New Low Cost Carrier WOW in Frankfurt flying to Iceland and on to North America Airlines*: 95 Destinations*: 289 Countries*: 98 Summer Schedule from End of March to End of October 2016 * Passenger Flights

11 11 Agenda Financial Highlights Traffic Insight Main Features and Latest Development Status Greek Regional Airports Terminal 3 Services FRA / Multichannel Retail 2016 Outlook FY Financials in Detail

12 12 Main Features and Latest Development Status Greek Regional Airports Concession contract signed end of 2015 # of passengers 2015: 23.4 mil. / +7% Remaining conditions precedent required are to most extent: project financing ratification of concession contract by the parliament green light from the Greek competition authority setting up the operating entity (labor, IT, processes for transfer of operations, etc.) Administration company in Athens will comprise about 100 employees plus another 350 to 400 on the 14 airports Transfer of the airports and closing of the transaction is expected to take place in Q4/2016 Outlook of Fraport Group given for 2016 not reflecting any consolidation Consolidation impact from 2017 onwards: Minimum 200 mil. Revenue, minimum 100 mil. EBITDA Net Debt increase above 1 bn. / Gearing will go up to about 100% Further more noticeable P+L impacts by D&A and interest expenses

13 13 Main Features and Latest Development Terminal 3 Summer 2015 January 2016 Main Features: Capex budget bn. in total Additional passenger capacity 14 mil. Floor space ca. 90,000 sqm Large stateoftheart Retail facilities 24 gate positions at the building 4 CheckinAreas with 100 counters Opening 2022 Status / Next Steps: Mild winter supported good time schedule Excavation for dry work to go until 3/2016 Special heavy construction works due to ground water to follow up from Q4/2016 Capex 2015: ~ 40 mil Capex 2016: ~ 60 mil Capex 2017: ~ 110 mil

14 14 Main Features and Latest Development Insight on Retail Customers 1 TOP 5 BY RETAIL VALUE 2 TOP 5 BY VOLUME 3 ALL OTHER DESTINATIONS Destinations with very high retail value, average passenger volumes, highly defined consumption patterns easy reachability and addressability Destinations with very large passenger volumes, moderate retail value, and moderate reachability and addressability Large number of destinations (104) with a highly heterogeneous passenger mix, greatly varying retail value and difficult addressability because of the wide range of languages, consumption patterns, gates etc. China Russia South Korea Japan Vietnam USA Turkey Germany UAE India 7% pax* 31% revenue* 30% pax 18% 63% 50% revenue pax revenue * Source: sales/revenue data of Gebr. Heinemann by destinations 2015

15 15 Main Features and Latest Development Our ServiceStrategy for a Better Stay of our Passengers Welcome and Way Finding Ambience and Infrastructure Individual Experience esp. for Transfers First Impression Initial positive impression, facing safety, no stress, clear orientation Well Being Individual identity and happy to be back again rather than being anonym in a cold atmosphere. Sharing of positive experience Individual needs count Realization of important expectations: relaxing, working, findout, shopping

16 16 Main Features and Latest Development Multichannel Retail Successive Rollout of Activities Time Line MultichannelActivities 12/2015 LAUNCH H1 / 2016 Online Shopping, Frankfurt Airport Rewards, Frankfurt Airport App & Webpage LoungeDelivery und Inflight Shopping joint project with Lufthansa Launch for possibility of online payment and Home Delivery (Germany) Continuous expansion of reward program (partner & benefits) H2 / 2016 Further rollout of Interactive Airport Desks and professionalizing of all Info Screens in Terminal 1 and 2 Offering additional supply varieties at the airport (PickUpPoints, Gates etc.) Doubling the number of participating retailers for the online shopping

17 17 Agenda Financial Highlights Traffic Insight Main Features and Latest Development Status Greek Regional Airports Terminal 3 Services FRA / Multichannel Retail 2016 Outlook FY Financials in Detail

18 Outlook Financial Results* 2015 Outlook 2015 Results 2016 Outlook Passengers FRA between +~3% and +~4%** 2.5% between +~1% and +~3% Revenue (IFRIC 12 adjusted) revenue between ~ 2.55 and ~ 2.6 bn. 2.6 bn up to 2.65 bn EBITDA between ~ 840 and ~ 850 mil. 849 mil. between ~ 850 and ~880 mil. EBIT between ~ 520 and ~ 530 mil. 521 mil. between ~ 520 and ~550 mil. Group result*** between ~ 275 and ~ 295 mil. 297 mil. on PY level or slightly above Dividend proposal stable stable at 1.35 / share at least stable *Without taking account of potential closing of Greek deal ** before strike effects ***Group result before minorities

19 Outlook Balance Sheet and Cash Flow* in mil Results 2016 Outlook Capex** 291 on PY level or slightly above Free Cash Flow (FCF) 394 on PY level*** Net Debt 2,774 deleverage by up to 10% Gearing in % 83.8 decline by up to 10 PP Equity Share in % 37.4% up by 3 to 4 PP *Without taking account of potential closing of Greek deal **as used in PPE, airport operating projects, investment property, at equity investments, and other intangible assets ***2016 outlook also depending on Antalya development

20 20 Agenda Financial Highlights Traffic Insight News from FRA Status Greek Regional Airports Terminal 3 Services FRA / Multichannel Retail 2016 Outlook FY Financials in Detail

21 21 Group P&L FY 2015 Strong Increase in Group Financials P&L in mil. FY15 FY14 % Revenue 2,599 2, excl. IFRIC 12 2,584 2, EBITDA EBIT EBT Group result EPS in Comments All segments with increasing EBITDA Tailwind from Retail, FRA pricing, US$ conversion, and new Airmall and Ljubljana investments Improvement in financial result despite negative CHF loan valuation Group result and EPS with doubledigit growth Revenue by segment in mil. EBITDA by segment in mil. 2, , Revenue FY 2014 Aviation Retail & Real Estate Ground Handling External Activities & Services Revenue FY 2015 EBITDA FY 2014 Aviation Retail & Real Estate Ground Handling External Activities & Services EBITDA FY 2015 Due to commercial rounding slight discrepancies may occur when summing up, percent changes based on unrounded figures

22 22 Group P&L FY 2015 External Activities key Driver for Group EBITDA mil AMU LJU effect mil. 29 AMU LJU effect AMU LJU effect 12 9 AMU LJU effect 849 EBITDA FY 2014 Revenue ex. IFRIC 12 IFRIC12 revenue Other income Cost of materials ex. IFRIC 12 IFRIC 12 cost of materials Staff cost Other opex EBITDA FY 2015 Segment share in Group EBITDA FY 2014 Segment share in Group EBITDA FY 2015 External Activities & Services Ground Handling 19.3% 5.6% 30.0% Aviation External Activities & Services Ground Handling 21.9% 5.5% 28.0% Aviation 45.1% Retail & Real Estate 44.6% Retail & Real Estate Due to commercial rounding slight discrepancies may occur when summing up

23 23 Group P&L FY 2015 Improved Interest Result supports Earnings Momentum + 45 mil mil Group result FY 2014 EBITDA D&A Financial result Taxes Group result FY 2015 EPS FY 2014 EPS FY 2015 Split of financial result Comments mil FY 15 FY 14 % Interest income Interest expenses At equity result Other result 1 11 >100 Financial result Improved interest result from lower interest rates payable, lower net debt position, and lower interest cost added back on provisions Split of equity result: Antalya down due to less Russian travelers Xi an and Hanover up Other financial result up, despite negative impact from CHF loan market valuation Due to commercial rounding slight discrepancies may occur when summing up, percent changes based on unrounded figures

24 24 Group Asset & Financial Situation FY 2015 FCF +60% to just under 400 mil. Operating cash flow Intangible assets PPE Capex in investments Investment property DVDs from investments Free cash flow mil FY 2015 FY development OCF +146 mil. due to good earnings and lower cash outs for interests and taxes Total capex on 2014 level Incl. dividends from investments FCF 147 mil. up at 394 mil. FCF per share at Outlook 2016 Capex on 2015 level or slightly above Subject to dividends from Antalya, 2016 FCF expected to be on 2015 level Including DVD payout, 2016 FCF with potential to delever Group by up to c.10 % to net debt/ebitda < 3x w/o Greek deal Due to commercial rounding slight discrepancies may occur when summing up

25 Due to commercial rounding slight discrepancies may occur when summing up 1) Net debt divided by equity less noncontrolling interests and profit earmarked for distribution 25 Group Asset & Financial Situation FY 2015 FCF +60% to just under 400 mil. FCF Liquidity Gross debt Net debt Equity Gearing 1 mil. 12% 9% 8% +7% 13PP +60% ,043 1,180 3,817 4,192 2,774 3,013 3,512 3,286 84% 97% Cash development FCF of 394 mil. clearly above previous year Repayment of gross debt and cash out for DVD led to decline in liquidity to 1.04 bn. Net debt below 2.8 bn. Net debt/ebitda at c.3.3x, slight diluting effects from interest cost added back Balance sheet Group result, valuation of derivatives, and currency effects led to increase in equity to more than 3.5 bn. Gearing c.13 PP down at 84% Equity ratio at 37.4% (Dec. 31, 2014: 34.4%)

26 26 Segment Aviation FY 2015 Additional Revenue offset by Oneoffs & other Cost Items P&L in mil. FY 15 FY 14 % Revenue Airport charges Security Services Other EBITDA EBIT Employees 6,043 6, Comments FRA traffic drives revenue growth Headwind among others from: Revenue increase slowed down by flat 2015 movements 15 mil. wage increases 10 mil. provision for fire brigade Noncapitalizable capex Further provisions created Quality measures EBITDA performance in mil. Revenue split Security Services 12.7% 4.4% Other EBITDA FY 2014 Revenue Other income Staff cost Other EBITDA FY % Aviation charges Due to commercial rounding slight discrepancies may occur when summing up, percent changes based on unrounded figures

27 27 Segment Retail & Real Estate FY 2015 More Traffic & higher spend per Passenger = strong Result P&L in mil. FY 15 FY 14 % Revenue Retail Real Estate Parking EBITDA EBIT Employees Comments All businesses with revenue increase 6m extra revenue from q4 property sale Other cost items a.o. up due to noncapitalizable capex and property sale EBITDA & EBIT with noticeable increase EBITDA performance in mil. Revenue split Parking 2.7% Other 16.8% 42.9% Retail EBITDA FY 2014 Revenue Other income Staff cost Other EBITDA FY 2015 Real Estate 37.6% Due to commercial rounding slight discrepancies may occur when summing up, percent changes based on unrounded figures

28 28 Segment Retail & Real Estate FY 2015 Retail per Passenger +5.5% reaching Alltimehigh Retail revenue per Passenger FY 12: 3.32 FY 13: 3.60 FY 14: 3.43 FY 15: mil. Shopping Services Advertis. Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q

29 29 Segment Retail & Real Estate FY 2015 Development of Core Spending Destinations Top 5 by Retail Value Top 5 by Volume Volume Development Change vs in % Retail Revenue per Passenger in EUR Change vs in % China Russia South Korea Japan Vietnam USA Turkey Germany UAE India Source: sales/revenue data of Gebr. Heinemann by destinations 2015

30 30 Segment Ground Handling FY 2015 Positive Earnings Momentum due Revenue Increase P&L in mil. FY 15 FY 14 % Revenue Ground Handling Infrastructure EBITDA EBIT Employees 9,262 9, Comments Revenue increase due to higher volumes and prices in infrastructure Lower GH revenue due to sale of 51% stake in Cargo subsidiary as of Nov.15 Staff cost up due to volume and price, decline in other cost from Cargo JV EBITDA up & EBIT down, also due to oneoff D&A on Cargo JV of c.2 mil. EBITDA performance in mil. Revenue split Infrastructure 44.2% 55.8% Ground Handling EBITDA FY 2014 Revenue Other income Staff cost Other EBITDA FY 2015 Due to commercial rounding slight discrepancies may occur when summing up, percent changes based on unrounded figures

31 31 Segment External Activities & Services FY 2015 Growth from Lima and new Investments P&L in mil. FY 15 FY 14 % Revenue excl. IFRIC AMU >100 Ljubljana 35 7 >100 EBITDA EBIT Employees 4,791 4, Comments Strong increase from Lima traffic and positive US$ effect Full year contribution of AMU & LJU Lower earnings from Varna/Burgas and termination of Saudi mgmt. contracts Other income with 8m AirIT book gain Strong increase in EBITDA and EBIT EBITDA performance in mil. Revenue split Other Ljubljana 6.8% 16.5% EBITDA FY 2014 AMU LJU LAP Twin Star Saudi Arabia AirIT Other EBITDA FY 2015 Twin Star 10.6% 11.7% Airmall 54.5% Lima Due to commercial rounding slight discrepancies may occur when summing up, percent changes based on unrounded figures

32 32 External Activities FY 2015 Fully consolidated Investments 1 Airmall 2 Ljubljana 2 Lima Twin Star mil. FY 15 FY 14 % FY 15 FY 14 % FY 15 FY 14 % FY 15 FY 14 % Revenue ex IFRIC > > EBITDA margin adjusted % % > % 2 > % 38.1% % 37.5% % 60.3% % 60.0% 9.2 EBIT margin adjusted 4 6.0% 1 4.4% > % % 31.4% % 30.2% % 38.9% % 41.0% 14.3 Result 4 1 > Passengers in mil ) Figures refer to IFRS accounting, not local GAAP, percent changes based on unrounded figures 2) Airmall acquired August 2014 and Ljubljana October 2014

33 33 External Activities FY 2015 At Equity consolidated Investments Antalya Pulkovo Hanover Xi An mil. FY 15 FY 14 % FY 15 FY 14 % FY 15 FY 14 % FY 15 FY 14 % Revenue ex IFRIC EBITDA margin adjusted % % % 60.3% % 45.0% % % % % 49.6 EBIT margin adjusted % % % 41.9% % 27.8% % 7 5.1% % % 24.5 Result > Passengers in mil Figures refer to IFRS accounting, Xi an 2014 values adjusted, percent changes based on unrounded figures

34 34 Thank you for your Attention!

35 35 Appendix Subsequent financial information

36 36 Appendix Special Effects FY 2015 mil. FY 15 FY 14 Group financial result Market valuation of derivatives & F/X fluctuations Segment External Activities IFRIC 12 revenue AMU Holdings acquired August 2014 Revenue EBITDA EBIT Aerodrom Ljubljana acquired Oct Revenue EBITDA EBIT Air Transport IT disposed April 2015 Revenue EBITDA EBIT Fraport Saudi Arabia ended June 2014 Revenue 9.7 EBITDA 2.7 EBIT 2.6

37 37 Appendix Maturity Profile & Cash Position as at December 31, 2015 mil. 4,500 4,000 3,500 3,817.4 Fraport debt conditions on average ~ 3.4 % interest rate ~ 4.6 years maturity 3,000 2,500 2,000 Book value Nominal value 1,500 1,000 1, , Liquidityas of Dez 31, 2015 Financial Gross Liabilities debt

38 38 Appendix Status Greece Acquisition Airports 14 Greek regional airports, 77% international share, around 23 million passengers in 2015 Fraport Share & Partner Upfront payment Fraport will hold minimum 65 percent 1.2 bn. upfront payment Concession Payment Concession Length 22.9 mil. fixed annual concession payments (indexed with Greek inflation rate) From 2020 variable payment of ~28.5% of EBITDA (before variable concession payment ) 40 years Capex Regulation ~ 330 mil. capex requirements between , afterwards maintenance capex, capex for further extension depending on traffic growth Dual Till Airport Charges Retail Development Traffic Growth Assumption Capped at 13 per departing passenger in 2017, after initial capex capped at 18.50, thereafter indexation with 90% of the Greek inflation rate annually Very small retail outlets existing; space will roughly triple after first construction phase; new operating concepts like walk through will be introduced Not disclosed in detail business case assumes conservative growth over concession period of about 2.5% p.a.

39 39 Appendix IR Contact Fraport AG Frankfurt Airport Services Worldwide Frankfurt am Main Stefan J. Rüter Head of Finance & Investor Relations Svenja Ebeling Investor Relations Assistant Florian Fuchs Manager Investor Relations & Financial Reporting