SOL Group May 18,

Transcription

1 SOL Group May 18, 2005

2 SOL Group 2004 Full Year Results

3 Business Description SOL is a multinational company dedicated to the production, applied research and sales of industrial, medicinal, pure and special gases, as well as in home care services Industrial gases Home Care

4 The Industrial Gases Business - Product Range The Industrial Gases business produces and markets a complete range of industrial gases (both atmospheric and non-atmospheric gases) and is engaged in the research, design, construction and operation of industrial gas production facilities, storage and distribution facilities and equipment Gases produced and distributed by SOL Gases produced by thirds and distributed by SOL Plant and equipment supplied by SOL Oxygen Nitrogen Argon Hydrogen Carbon dioxide Acetylene Nitrous oxide Gas mixtures Ultra high purity gases Medical gases Gaseous helium Liquid helium Refrigerating gases Electronics gases Ammonia Combustible gases Equipment for medical applications Equipment for cryogenic applications Deep freezing tunnels Oxygen burners Ozonizers Medical air plants On-site plants Welding machines and equipment

5 The HOME CARE Business - Product Range The Home Care business (VIVISOL) supplies medical products and medical assistance services as well as equipment for home care therapy Home care respiratory assistance Other home care assistance Home care equipment Long term oxygen therapy Mechanical ventilation therapy Assistance to patients undergoing oxygen therapy during travels (VIVITRAVEL) Diagnosis and treatment of sleep disorder conditions Home care artificial nutrition Integrated home care services Remote monitoring and diagnosis of respiration conditions Home and travelling oxygen therapy systems Ventilation equipment Instruments and accessories for diagnosis and aerosol treatment Home aids

6 Key numbers 1447 employees 31 primary transformation plants, 35 secondary transformation plant More than 40,000 clients and over 70 applications Leading Home care business, with more than 45,000 patients served daily Euro 320,8 millions 2004 sales and Euro 53,9 millions 2004 Cash Flow Constant growth of sales over the past 10 Years (CAGR = 9.8%) Debt / Equity ratio of 0.324

7 Main Production Facilities

8 Sol Group Sales ,5% CAGR = 10,5% Millions Euro ,3 194,5 212,0 235,7 267,2 298,5 320,

9 SOL Group Sales breakdown 2004 Merchant 61.7% Pipeline 10.9% Home Care 27.4%

10 (Slovenia 2%) Sales Breakdown by geographical areas: Mix is changing due to development of new initiatives outside Italy EU Countries 12% Other European Countries 5% EU Countries 25% Other Europea Countries 6 Italy 83% Italy 69%

11 Sales % on totale sales Expand internationally Sales outside Italy CAGR = 21,5% % 90 30,7% 80 27,8% 28,7% 30% 70 25,5% Millions Euro ,4% 30,6 21,4% 41,6 23,7% 50,2 59,9 74,3 85,5 98,5 25% 20% 15% % on total sales %

12 250 Sales in Italy Sustained growth despite an unfavorable economic contest CAGR = 7,3% 200 Millions Euro ,7 152,9 161,8 175,8 192,9 213,3 222,

13 Sales Breakdown by business: Mix is changing due to rapid growth of Home Care sales Home Care 16,7% Home Care 27,4% Industrial Gases 83,3% Industrial Gases 72,6%

14 Home Care Division Sales CAGR = 19,9% Millions Euro ,8 34,5 42,6 52,3 63,2 75,8 88,

15 Technical Gases Division Sales CAGR = 8,0% 200 Millions Euro ,9 164,2 173,9 188,5 209,8 229,3 239,

16 Sol Group EBITDA CAGR = 11,7% ,8% 24,3% 23,2% 24,5% 24,9% 23,4% 26% 24% Millions Euro ,9% 38,6 48,2 51,5 54,6 65,6 74,3 74,9 22% 20% 18% % on sales % EBITDA % on Sales

17 Sol Group EBIT CAGR = 12,0% ,0% 11,6% 10,9% 10,0% 10,6% 11,1% 10,9% 12% 10% 30 Millions Euro ,6 22,6 23,1 23,5 28,4 33,2 34,8 8% 6% 4% 2% % on sales % EBIT % on Sales

18 Sol Group PBT CAGR = 14,6% ,8% 10,5% 9,7% 8,6% 9,2% 9,8% 9,7% 12% 10% 8% Millions Euro ,4 20,6 20,3 24,5 29,3 31,0 6% 4% % on sales 5 13,7 2% % PBT % on Sales

19 Taxes Tax Rate Sol Group Taxes and Tax Rate ,3% 44,7% 48,1% 45,5% 50% ,0% 35,0% 35,8% 40% Millions Euro ,8 9,1 7,4 7,1 8,8 14,1 14,1 30% 20% Tax rate %

20 Sol Group Net Profit CAGR = 13,5% ,8% 6,2% 5,6% 5,9% 5,1% 5,3% 7% 6% 14 4,5% 5% Millions Euro ,3 13,2 13,2 15,7 15,2 16,9 4% 3% 2% % on sales , % 0% Net Profit % on Sales

21 Cash Flow % on Sales Sol Group Cash Flow CAGR = 11,5% ,4% 17,6% 18,8% 18,1% 18,5% 16,8% 16,8% 20% 15% 40 Millions Euro ,0 34,0 40,0 43,0 49,3 50,0 53,9 10% 5% % on sales %

22 60 24,4% Sol Group Capital Expenditures Average = 16,9% 20,4% 25% 50 16,0% 18,0% 16,6% 20% Millions Euro ,0 13,9% 48,0 48,0 11,5% 53,4 15% 10% % on sales 20 27,0 34,0 34,0 5% % Capex % on sales

23 STRATEGY Focus on the European market Expand internationally Be a Solution Provider Improve Home Care business

24 Focus on the European Market Population : GDP(PPP-US$): ,71 billion GDP per capita: (US$-PPP) Europe 15 Population: GDP(PPP-US$): ,61 billion GDP per capita: (US$-PPP)

25 old European countries

26 SOL in hospitals Gas companies can not be only cylinders suppliers any more Sol is becoming provider of all the services, plants and equipment related to the supply of Medicinal Gases to patients

27 What could gas companies provide La SOL to e hospitals l Ospedale??

28 100 Improve the home care business Home Care Division: Sales ,6% 22,7% 25% 90 20,9% 20,0% 80 17,2% 20% 70 15,6% Millions Euro ,8 88,8 15% 10% % YoY ,8 34,5 42,6 52,3 63,2 5% 0 0% Sales % YoY

29 Improve the home care business Mechanical ventilation Enteral nutrition Sleep apnea Oxygentherapy Advanced Home Care

30 Home Care: when hospitals become virtual

31 What is a virtual hospital? EN LOX VENT VENT LOX CONC HEN CONC VENT LOX HEN HPN CPap CONC AHC HPN HEN CONC HEN HEN AHC CPap CPap AHC AHC AHC Control Unit HCP CPap H

32 Home Care service provider Physician Patient s home

33 Expand internationally ree new Air Separation Units Europe Feluy Feluy Mantova Verona Jesenice Jesenice Cuneo Piombino Sisak Kavadarci Salerno

34 Slovenia New ASU in Jesenice

35 Macedonia New ASU in Kavadarci and new CO2 production in Bitola

36 Belgium New liquefaction unit in Feluy

37 Be a Solution Provider Professional trainings for a safety use of gases Teleremoting Total Gas Management CO 2 blasting s distribution plants aintenance Quality certification of gases and gas storage installations Engineering: evaluation and optimization of gas uses On-site gas production plants

38 Be a Solution Provider Ali SOL Food Advanced Gas Technological Solutions A complete cookin and freezing line based on our cryosol patent SOL MET Melting Enhanced Technologies SOLmet solutions to improve efficiency in foundries ECOJET Waste Water Treatment Technologies Patented Ecojet solutions for waste water treatment

39 Be a Solution Provider SOLMIX Heat Treatment Technologies A complete range of equipment and technologies for heat treatment processes

40 Sol Group Consolidated Income Statement (thousands Euro) % % Net turnover , ,0 Other revenues , ,8 Work in progress , ,4 Total revenues , ,2 Raw materials , ,7 Services , ,1 Stocks (3.506) (1,1) 487 0,2 Other costs , ,5 Total costs , ,5 Added value , ,8 Labour costs , ,9 EBITDA , ,9

41 Sol Group Consolidated Income Statement (thousands Euro) % % EBITDA , ,9 Depreciation & Amortization , ,7 Other provisions , ,1 EBIT , ,1 Net financial (3.807) (1,2) (3.706) (1,2) Ordinary income , ,9 Extraordinary (31) (0,0) (201) (0,1) PBT , ,8 Taxes , ,7 Net income before minorities , ,1 Minorities 397 0,1 (31) (0,0) NET INCOME , ,1

42 Sol Group Consolidated Balance Sheet (millions Euro) Assets Liabilities Net fixed assets Shareholder's equity Other fixed assets Minorities Cash and liquid assets Financial debts Net receivables Other LT liabilities Inventory Payables Other current assets Other current liabilities Total assets Total liabilities

43 Sol Group Net Financial Position (thousands Euro) Cash and cash at bank Securities Loans - current portion (18.166) (18.494) Leases - current portion (1.445) (1.428) Due to shareholders (44) (1.332) Short term liquidity Investments securities Loans - long term portion (74.715) (65.702) Leases - long term portion (1.584) (2.894) Due to shareholders (1.903) (894) Medium long term debt (77.681) (69.006) TOTAL NET LIQUIDITY (75.230) (65.373)

44 SOL Group 2005 First Quarter Results

45 Sol Group Sales by Division and by Quarter 90 78,6 80,7 79,3 82,2 84,7 Millions Euros ,8 21,6 57,9 59,0 22,9 56,3 23,3 24,3 59,0 60,4 Change Q / Q ,7 % 30 Q Q Q Q Q Q / Q ,0 % Technical Gases Home care

46 Sol Group Sales by geographical areas and by Quarter Millions Euros ,6 80,7 82,2 84,7 79,3 26,7 22,3 24,7 26,1 25,4 56,3 56,0 53,9 56,1 58,0 Change Q / Q Total + 7,7% Italy + 3,1% Other countries + 19,4% 30 Q Q Q Q Q Italy Other countries

47 (*) = net of capital gain (thousands Euro) Sol Group Consolidated Income Statement comparable (*) as reported Net turnover Total revenues ,1% 101,8% 103,2% Added value ,8% 41,3% 42,7% EBITDA ,3% 23,7% 25,1% EBIT ,7% 11,9% 13,3%

48 (*) = net of capital gain (thousands Euro) Sol Group Consolidated Income Statement Q1 05/Q1 04 comparable * Net turnover % Total revenues % 102,1% 101,8% Added value % 40,8% 41,3% EBITDA % 23,3% 23,7% EBIT % 11,7% 11,9%

49 Sol Group Consolidated Income Statement (thousands Euro) % % Net turnover 84, , Other revenues , Work in progress 1, , Total revenues 86, , Raw materials 25, , Services 24, , Stocks (573) (0.7) (1,392) (1.8) Other costs 2, , Total costs 51, , Added value 34, , Labour costs 14, , EBITDA 19, , Depreciation & Amortization 9, , Other provisions EBIT 9, ,

50 Sol Group Net Financial Position (thousands Euro) Cash and cash at bank 22,444 21,888 Securities Loans - current portion (17,130) (18,166) Leases - current portion (1,330) (1,445) Due to shareholders (44) (44) Short term liquidity 4,158 2,451 Investments securities Loans - long term portion (71,437) (74,715) Leases - long term portion (1,301) (1,584) Due to shareholders (4,606) (1,903) Medium long term debt (76,895) (77,681) TOTAL NET LIQUIDITY (72,738) (75,230)

51 SOL Group