Corporate Presentation

Transcription

1 Corporate Presentation

2 Ferreycorp: a successful story 3s 4s 5s 6s 7s 8s 9s s 1997: IPO 194: Opens its first branch in Arequipa 1962: Registry in Lima Stock Exchange 1988: USS$ 1MM Revenue 1996: First securitization 21: International expansion Established : First bond issuance : CAT Dealership 1965: Massey Fergusons representation 1967: Established Fiansa 1994: 1st OHT 21: USS$ 1,MM Revenue 26: Winner 1st Good Corporate Governance Contest 212: 2nd IPO 212: Acquisition Bucyrus representation Diversified growth Among the top 25 Peruvian companies Pioneer in the Peruvian capital market

3 US$ Million Company overview 46% 1,4 1,2 1, % 4% 2% 1% 42% Sales by Commercial Line Q212 Machinery Parts and Services Rental Used equipment Automotive Agriculture Others 2% 8% 5% 3% 5% 32% 45% High growth rates, tripled business revenue over past 6 year period. Coverage: key markets of the economy. Diversified portfolio of products. Business model: focus on aftermarket sales. Record in sales: US$ 1.4 billons in 211 surpassing the record of the billion reached in 21. Shareholders: 2,37 Shares : ,873 Market cap : US$ 664MM Market leadership in capital goods market, spare parts and services which allows Ferreyros to support its customers throughout the life cycle of their business. Key Financials USD MM Q212 Net sales 1,43 1, EBITDA Net debt/ EBITDA Net debt/ Equity

4 US$ Million Sales approach to main economic sectors 1,4, Revenue Distribution by Economic Sectors 1,2, 1,, 8, 6, 4, 2, Q212 3% 5% 7% 3% 4% 27% 8% 44% Mining Construction Agriculture Fishing Trasport Industry Hydrocarbons Others Mining Construction Agriculture Fishing Transport Industry Hydrocarbons Others Mining Diversification Construction Diversification

5 Overview of Ferreycorp Strategy Strategy aligned with Caterpillar business model Strategy basis Leadership Achieve results Positive Impact World Class Capabilities

6 Capabilities Team of seasoned executives Business Control and Systems Central Management Hugo Sommerkamp (27) Administration and Finance Central Management Patricia Gastelumendi (25) Human Resources Central Management Andrés Gagliardi (26) Internal Audity Division Management Raúl Vásquez (34) Excecutive President Óscar Espinosa (29) Central Bussines Management Gonzalo Díaz (8) Central Marketing Management José Miguel Salazar (43) Product Support Central Management José López (31) Central Subsidiaries Management Luis Bracamonte (32) General Management Mariela García (24) Subsidiaries Division Management Jorge Duran(18) Mining Division Management Fernando Armas (2) Construction and Mining Division Management Enrique Salas (5) Light Construction Management Oscar Rubio (37) Automotive Management Henri Borit (2) Corporate Affairs Division Management Eduardo Ramírez del Villar (13) Component Repair Center Management Carlos Dongo (33) Avg.almost 25yrs of experience in the company

7 Capabilities Customer-oriented matrix organization Rental Fleet business 8, 5 IRevenues US$MM 6, 4, 2, Q Units Rental fleet composed of approximately 4 Caterpillar units. 14 m2 location dedicated to rental and sale of used equipment Personnel recruitment and retention Number of technicians by year Certification and training programs Service Pro: over 25, certifications to +1,1 technicians completed during In 211 awarded 5-Star LCAT certification on training programs. During 29 and 211: +1, operator training courses executed. +121,927accumulated man-hours during training + 3,5 graduated operators

8 Capabilities Lean logistics and infrastructure Efficient handling: 1, SKU (Sales Key Unit). $9MM inventory on average (parts and components) Day 1: 83% of requests, Day 2: 95% 365 d, 24x7 operation, including expedited process for urgent requests Direct B2B interfaces with key customers. CAT PST in Miami Freight forwarder Transport Air / Sea Customs Expedite CDR + Inland Mine Site Operations FORBIS LOGISTICS FARGOLINE We guarantee hours delivery from US to mine site Constantly improving efficiency and technology to ensure best practices

9 Capabilities Product support infrastructure Location Shops Lima 8 Arequipa 3 Cajamarca 2 Piura 1 Lambayeque 1 Trujillo 1 Chimbote 1 Huaraz 1 Cusco 1 Huancayo 1 Iquitos 1 Pucallpa 1 Tarapoto 1 24 More than 6, m 2 in infrastructure. Component Rebuild Center (CRC) achieved World Class certification 5-star in contamination control ISO 91 certified Top marks on contamination control Ferreyros standard is required to comply with all world-class mining operations Audited by SGS per customer requirements 3, man-hours/year invested in safety training. Dedicated safety team at mine site

10 Capabilities Good corporate governance and capital market Stock Market recognizes Ferreyros among the ten companies with best Corporate Governance practices in Peru ( since 28) - Is part of the Peruvian Good Corporate Governance Index. - Self validation. High degree of compliance with the good corporate governance principles: - International recognition: World Finance Award 211 and 212. Lira 11 winner. - Since 25 Ferreyros is a member of the Companies Circle of the Latin America Governance Roundtable launched by OECD and IFC: it brings together 2 leading companies with practical experience in implementing best CG practices.

11 Geographical Diversification Ferreyros establishment Branches expansion Projects in situ Branches expansion International expansion Local International Andoas Tumbes Talara Piura Bagua Iquitos Lambayeque Cajamarca Tarapoto Trujillo Chimbote Huaraz Tingo Maria Huánuco Pucallpa Cerro de Pasco La Merced Branches 7 offices in Lima, 12 branches and 4 offices in Ayacucho, Talara, La Merced and Tumbes Sites Projects Clients Subsidiary branches Lima Ica Huancayo Ayacucho Cusco Puerto Maldonado Puno Arequipa

12 Organizational Structure Guatemala El Salvador Belice

13 US$ Million US$ Million Strong financial performance Revenue growth with stable gross margin ROA - ROE 28% 25% 22.41% 24% 2% 15% 17.74% 16.28% 17.55% 14.76% 2% 16% 1% 5% 3.67% 5.25% 4.66% 5.81% 3.97% 12% Q212 % Q 212* ROA ROE EBITDA Net Profit 14% 12% 1% 8% 6% 4% 2% % Q212 EBITDA EBITDA Margin Q212

14 US$ Thousands US$ Thousand Units US$ Thousand US$ Thousand Investment in assets 1,6, 1,4, 1,2, 1,, 8, 6, 4, 2, Assets Q212* Assets Sales Main Assets Accounts 1,4, 1,2, 1,, 8, 6, 4, 2, Q212* Inventory Investments Fixed Assets Receivables CAPEX Fixed assets and rental fleet 1, 8, 6, 4, 2, Infraestructura Flota de Alquiler Maquinaria y Equipo 5, 4, 3, 2, 1, Q212 Fixed Assets Rental Fleet

15 US$ Million US$ Million Diversified borrowing base Financial Liabilities Q 212 Local Banks Foreign Banks Commercial Papers Finance Lease Bonds Caterpillar Financial Hannover Re Liabilities Structure Financial Covenants Q212 Interest Coverage > 1.5 Total Liabilities / Equity < 3.2x Cost of Debt Average Interest Rate Current Non-Current Hannover Re CFS Bonds Banks 6.5% 6.% 5.5% 5.% 4.5% 4.% 3.5% Q212 Av. Interest Rate 6.24% 5.25% 4.96% 4.88% 4.2%

16 US$ Million Ferreyros in the Capital Market Cost of Debt - Bonds Corporate Bonds and Commercial Papers % 8% 7.31% % 5.75% 3 5.5% 4.63% 4.69% 4.56% 4% 5.56% % 15 3 year 8% 7.31% 4.63% 4.69% 4% 4 year 6.25% sep-7 dic-8 feb-9 nov-9 may-1 jun-1 ago-1 may-11 oct-11 5 years 4.56% 5.56% 5.75% IRD Program features Second IRD Program Amount: Up to US$ 13 MM Outstanding amount: US$ 87 MM Ratings: Equilibrium: A+ PCR: A+ Apoyo y Asociados: A Commercial Papers Bonds

17 Contact: Patricia Gastelumendi: Liliana Montalvo: Elizabeth Tamayo:

18 Growth model I) CAT: Growth strategies and Perspectives IV) International Expansion II) Ferreyros: Sustained organic growth III) Subsidiaries: New markets and brands

19 US$ Million US$ Million Investment in mining and infrastructure 8, Investment in mining 7, 6, 5, 4, 3, 2, 1, PREPARATION OTHER INFRASTRUCTURE EXTRACTION EXPORATION MINING EQUIPMENT PLANT EQUIPMENT Ene-Apr '11 9, Ene-Apr '12 Peruvian infrastructure gap 8, 7, US$ 34Bn 6, 5, 4, 3, 2, 1, Electricity Road Networks Water and Sewage Telecom. Natural Gas Ports Railways Airports

20 ene-11 feb-11 mar-11 abr-11 may-11 jun-11 jul-11 ago-11 sep-11 oct-11 nov-11 dic-11 ene-12 feb-12 mar-12 abr-12 may-12 Ferreycorp in the capital market Shareholders Share price Market Price Pension funds 37% Local 35% Brokers Comparables (PER) Retail 9% Foreign 19% Last years S/. Per share Historical stock price evolution Average monthly traded volume S/. 5,, 4,, 3,, 2,, 1,,

21 Dividend policy annual compliance In 1997, the company s shareholders approved the dividend policy. A modification was approved to assign minimum and maximum ranges. Cash dividends will amount to 5% of the capital or a ceiling equal to 5% of freely available profits. The remainder will be capitalized and distributed as stock dividends. The amount to be distributed every year is approved in the Annual Shareholders Meeting. YEAR CAPITAL PROFIT CASH DIVIDENDS % TO BE DISTRIBUTED 5% 5% SOLES SOLES CAPITAL NET PROFIT DIVIDENDS P/S ,5,. 18,268,787 5.% 11,275, 9,134, ,8,. 24,793,743 5.% 11,99, 12,396, ,178,. 27,127,826 5.% 13,38,9 13,563, ,196,. 79,972,754 1.% 28,419,6 39,986, ,64, ,345, % 4,289,899 57,172, ,448,5.5 72,4,381 5.% 2,772,425 36,2, ,297, ,452,887 6.% 28,37,867 45,226, ,961, ,528,171 6.% 31,857,67 62,264, ,42, ,736,476 6.% 41,94,156 73,368,238.6