CONFERENCE CALL: RESULTS 1Q Milano, May 15, 2012

Transcription

1 CONFERENCE CALL: RESULTS 1Q 2012

2 A social Core Business A core business targeted at environmental protection Every day, BIANCAMANO, leading private sector operator in the industry, carries out crucial activities to ensure the quality of life of the general public, contributing to the cultural and economic development of the country, and even the development of the tourist industry. Thanks to the twenty-year experience of its management team BIANCAMANO is the ideal partner for local bodies, providing technologically advanced solutions for the management of Integrated Municipal Services Technological innovation increases the efficacy and economic efficiency of the collection, treatment and recycling services. The activities to educate and raise awareness among the public of forms of sustainable waste management, such as separated waste collection and recycling, contribute to the cultural, environmental but also the economic development of the community. 2

3 Biancamano s strategic assets Broad and comprehensive authorisations for waste collection/ transportation. (Environmental managers register) Authorised to transport around 800 EWC codes. Biancamano Data Management team with twenty-year experience in the planning and management of Urban Hygiene Services Cutting-edge vehicles Employees. Technologically advanced control system 85 operations centres connected to head office via intranet. GPS satellite system to monitor vehicles and emptying activities. Presence over all the territory - 15 Regions Turnover by geographical area (data ) 26.7% South 16.6% Centre 56,7% North 3

4 Strategic Guidelines SOLID FUNDAMENTALS FOR A CHALLENGIN SCENARIO LEADERSHIP Strengthen positioning in environmental sector in Italy. Enhance collection services using technology. Supplement the core business. FINANCIAL PROFITABILITY Customers with positive cash flow given priority. Optimisation of costs and focus on competitive advantages. Strong control over financial structure. MEETING LOCAL AUTORITIES NEEDS Strong customised services for Local Authorities. Develop culture of separate waste collection. Increase the quality of services for the general public. 4

5 Biancamano competitive skills and market attractiveness Market attractiveness: High revenues visibility and resiliency, due to multi year contracts with Local Autorities. Market liberalization and concentration. Increase in contracts dimension, complexity and lasting. BIANCAMANO competitive skills Solid Track record in awarding new tenders. Know How in planning and managing Urban Cleaning Services. Strong management s experiance. Cutting edge operating Assets. It-Based Control System. Widespread presence on the territory. 5

6 GRUPPO BIANCAMANO 1Q 2012 RESULTS

7 Key Financials 1Q 2012 REVENUES EBITDA EBIT Euro 62.1 mln (Euro 65.4 mln 31 March 2011) The revenues decrease is mainly due to the sale of Hospital Waste Business Unit. Euro 7.5 mln, + 3.2% yoy (Euro 7.3 Mln 31 March 2011) Ebitda margin 12.2% vs 11.2% in Such an improvement is due to measures put in place by management to improve the operating cost structure. Euro 3.7 mln (Euro 3.9 mln 31 March 2011). NET INCOME Euro 0.5 mln (Euro 1.3 mln 31 March 2011). NFP Euro mln (in line with 1Q2011 figure Euro mln) Vs Euro mln at 31 December 2011 Leasing and Advance on Invoices involve all-in-all 80% of NFP. 7

8 Results 1Q2012 Mln 1Q2011* Adj % 1Q2012 % Revenues (6.5) (9.9%) (6.7) (10.7%) Raw Materials and Cons. Services Costs (15.4) (23.5%) (12.6) (20.3%) Rent, Royalties, fees (1.7) (2.5)% (1.2) (2.0%) Personel costs (34.2) (52.3%) (33.2) (53.5%) Other Costs (0.4) (0.6%) (0.81) (1.3%) EBITDA % % The reduction in revenues is manly related to the sale of Hospital Waste Business Unit which in 1Q2011 contributed Euro 2.9 million to consolidated turnover. The Ebitda margin improvement is mainly due to a reduction in Services Cost impact on sales. The Ebitda increase reflects management s commitment to improve the operating cost structure: -new processes for the selection of and contract negotiations with suppliers; - streamlining of some activities by in-housing services which in the past were assigned to third parties through subcontracting. With reference to the turnover of the temporary joint ventures, in 2012 the recording of revenues for the Biancamano Group precisely reflects its share, with a resulting effect of a drop in turnover with an equal operating margin. For comparative purposes, the figures referring to 31 March 2011 were reclassified to implement the effect of the change in the accounting method. 8

9 Results 1Q2012 1Q2011 1Q2011 Mln 1Q2012 % Adjusted % Published % Revenues EBITDA % % % Amm & Dep. (3.8) (6.1%) (3.4) (5.2%) (3.4) (5.0%) EBIT % % % Financial Charges (2.9) (4.7%) (1.9) (3.0%) (1.9) (2.9%) Financial Incomes % % % Pre Tax Profit % % % Tax (0.5) (1,2) (1,2) Net Income % 1.3 2% % With reference to the turnover of the temporary joint ventures, in 2012 the recording of revenues for the Biancamano Group precisely reflects its share, with a resulting effect of a drop in turnover with an equal operating margin. For comparative purposes, the figures referring to 31 March 2011 were reclassified to implement the effect of the change in the accounting method. 9

10 1Q 2012 by Business Area Consolidated Revenues 1Q mln, (Euro 65.4 mln 1Q2011). Integrated Urban Cleaning Services Area Revenues 1Q mln. Treatment and disposal plant Revenues 1Q mln. Revenues 1Q2012 by Business Area Servizi Urban di Cleaning Igiene Urbana Services Trattamento / Smaltimento Treatment and Disposal 61.8 Mln 0.3 Mln Ebitda 1Q 2012 By Business Area Ebitda Margin 13.1% Euro Million (0.5) Urban Cleaning Services Area Disposal/Treatment Area Consolidated Ebitda 10

11 Net Working Capital 1Q2012 Net Working Capital Trend 1Q2011 1Q2012 Mln As of March 31, 2012 the NWC was 24.5 mln, increasing compared to FY2011 figure ( 20.8 mln) Q2011 2Q2011 3Q2011 4Q2011 1Q2012 Factoring : Credit Assigned without recourse Mln FY2010 FY

12 Consolidate NFP (1Q 2012) PFN 1Q2011-1Q2012 NFP structure as of Net Bank Debt 19.7% Leasing 44.0%% Mln Advance on Invoices 36.3% 1Q2011 2Q2011 3Q2011 4Q2011 1Q2012 The NFP evolution in 1Q 2012 compared to figure as at 31 December 2011 is mainly due : - Operating Cash Flow 1,07 mln ( 5.7 mln before changes in NWC ). - Net Capex 8.9 mln (pari al 48,9% della PFN ed emesse nella quasi totalità verso la Pubblica Amministrazione), che al 30 giugno 2011 incidono complessivamente per il 94% dell indebitamento netto. 12

13 Biancamano Group: Key Financials Mln 31/12/ /12/ /12/ /03/2012 Fixed Assets Net Working Capital Net Capital Employed Shareholders Equity Capex PFN ROI (Consolidated) 4.1% 8.1% 7% - ROI (Urban Cleaning Services) 4.9% 10.1% 9.2% - ROE 8.7% 7.0% 4% - 13

14 Biancamano: The Stock Biancamano Market MTA, STAR Industry Waste Management Price (May ) 1.06 NOSH (Mln) 34 Market Cap Mln 36.1 Specialist Intermonte Sim Performance ytd -20% Rel. Perf Vs FTSE STAR: 1Y -29% 3M -20% 1M -6 % Average daily volumes(in 2011) n N. of share traded in Mln Biancamano: Trend May 14, Shareholders >2% % Biancamano Luxembourg Sa 50.3% Brivio Giuseppe 2.0% Treasury Stock 3.8% Other Shareholders<2% 43.9% May 14, 2012 (Source: Borsa Italiana) 14

15 Contacts Q&A Contacts GRUPPO BIANCAMANO Chiara Locati IRM Tel:

16 GRUPPO BIANCAMANO Appendix 16

17 Group Structure and Business Areas Biancamano Luxembourg S.A. 5.8% 50.3% 43.9% Shareholders > 2% Market 99.98% 95% INTEGRATED URBAN CLEANING SERVICES 5% TREATMENT, RECYCLING AND DISPOSAL 17