Half-Year Results 25 JULY 2018

Transcription

1 Half-Year Results 25 JULY 2018

2 GETLINK SUMMARY KEY MESSAGES 1 H KEY FIGURES 2 H FINANCIAL RESULTS 3

3 1 KEY MESSAGES

4 KEY MESSAGES H1 2018: NEW RECORDS Eurotunnel Traffic Cars +2% to 1.2 M Trucks +3% to 845k Eurostar pax +3% to 5.2M Revenues +4%* to 510M EBITDA +5%* to 250M 4 * At H exchange rate: 1 = 1.136

5 BREXIT: EUROTUNNEL S LEGAL FRAMEWORK 1986 Treaty of Canterbury Bilateral treaty* between France & UK The frontier controls shall be organised in a way which will reconcile, as far as possible, the rapid flow of traffic with the efficiency of the controls [ ] in an area in the territory of the other State where controls are juxtaposed. * Her Majesty Queen Elizabeth II, President François Mitterrand 2018 The Vital Link 138Bn of goods transported each year: 26% of UK-EU trade Exceptional value-added (fresh products, pharma, IT, Just-In-Time) Anultra modern transport system that has changed the face of UK-EU trade (time is money) Long-term aspirations from consumers (e-commerce ) Eurotunnel is closely involved in practical preparations: 500+ site visits and meetings with EU & British politicians & officials since 2016 providing us with key insights 5

6 2 KEY FIGURES IN H

7 EUROTUNNEL IN H A STRONG PERFORMANCE Yield increase in real terms Records Eurostar traffic Record EBITDA 7

8 EUROTUNNEL TRUCK AND PASSENGER SHUTTLES IN H STRONG COMPETITIVE POSITION MAINTAINED TRUCK VOLUMES* +3% 845 = 1,163 CAR VOLUMES* +2% 1, % % 823-2% 1,138 H H H ,132 trucks transported (+3%), all-time record for a 1 st half of the year Eurotunnel market share up at 40.9% (compared to 39.2% in H1 2017) H H H ,163,054 cars transported (+2.2%) Eurotunnel market share almost stable at 58% 8 * In thousands

9 EUROTUNNEL RAILWAY NETWORK GROWTH IN VOLUMES DESPITE ADVERSE EFFECTS EUROSTAR PASSENGERS* NUMBER OF FREIGHT TRAINS +3% -43% +20% +2% +1.4% -3% H H H All-time traffic records for a 1 st half of the year (+3%) and month of June (+7%) Excellent performance despite the impact of the SNCF strikes in Q Opening of the London-Amsterdam direct service on 4 th April H H H Traffic up 2% and tonnage up 12% in H Strong underlying traffic impacted by the SNCF strikes in Q Potential for development with the start of new cross-channel rail freight traffic (Silk Road connection) 9 * Number of Eurostar passengers ( 000s) travelling through the Channel Tunnel

10 EUROTUNNEL IN H RECORD REVENUE AND EBITDA M H Change H1 2017* +5% growth in Shuttle Services revenue, thanks to an increase in traffic and yield for Passenger and Truck Shuttles Impact of increase in UK and FR local taxes and electricity costs (c. 6M in total) partly offset by energy saving credits from EDF (c. 4M) Revenue % 433 Shuttle Services % 282 Railway Network % 144 Other 7 = 7 Operating costs % -196 EBITDA % % EBITDA adjusted for c. 3M negative impact of strikes on Railway Network revenue 10 * At H exchange rate: 1 = 1.136

11 EUROPORTE IN H GROWTH IN PROFITABILITY DESPITE SNCF STRIKES Revenue +2% EBITDA up to 4 M 11

12 EUROPORTE IN H GROWTH IN PROFITABILITY DESPITE SNCF STRIKES M H Change H New contracts and renewal of existing contracts Increased activity in petrochemicals sector Revenue 60 +2% 59 Operating costs -56 = -56 EBITDA 4 + 1M 3 Impact of the SNCF strikes on EBITDA estimated at - 1.6M 12

13 ELECLINK A STRATEGIC INVESTMENT FOR GETLINK A business model proven over more than 20 years Recurring revenues expected from M investment* to date 1,000 MW electricity capacity, equivalent to the consumption of c.2 million households 13 * Since acquisition of ElecLink in 2016

14 ELECLINK OUR JOURNEY SO FAR Feasibility studies Creation of 51:49 JV with Star Capital Licence, exemption & grid connections EPC tender Getlink obtains 100% control H Sales & commercial operations Dispatch & physical operations Maintenance & repairs Laser surveys Preparatory works 1 st revenues secured (Cap. Mkt) EPC contracts signed Foundation stone event Commissioning starts Go live Start up phase Construction phase Operations H Construction activities 14 Operational readiness

15 ELECLINK CONSTRUCTION: ON TIME + ON BUDGET Converter station in France Installation of HEX beams in the North railway tunnel Helix for cable pulling INVESTMENT: 116M in H and 355M to date Cable installation waiting for IGC final authorisation 15

16 3 H FINANCIAL RESULTS 16

17 GETLINK SE H INCOME STATEMENT In M H H1 2017* D% Revenue % Operating costs (260) (253) -3% EBITDA % EBIT % Net finance costs (135) (132) -2% Net profit from continuing activites % Net consolidated profit % c. 4.5M impact of SNCF strikes on Revenue, EBITDA, EBIT and net result 17 * Recalculated at H exchange rate: 1 = 1.136

18 OUTLOOK GETLINK: CONFIDENCE IN FUTURE GROWTH FINANCIAL OBJECTIVES FOR HORIZON + ELECLINK EBITDA * 545M EBITDA * > 735M DIVIDEND 0.35 DIVIDEND per year 18 *Based on the exchange rate of 1 = 1.14 and current scope of consolidation

19 BREXIT Given Eurotunnel s unique position, our key Government insights, and our track record in managing operational and technological transition, we strongly believe that the Group will strengthen its competitive position after the Brexit 19

20 INVESTOR DAY: VALUE CREATION AND SHAREHOLDER RETURN Unique assets with sustainable sources of growth Solid return to shareholders: 1,100M to be distributed over A responsible & sustainable policy on corporate, social and environmental principles Financial strategy: ability to further create value through releveraging Promising outlook across all businesses: EBITDA above 735M in

21 HIGH CORRELATION BETWEEN EV/EBITDA MULTIPLE AND LENGTH OF CONCESSION 35x Chicago Skyway 30x Lamsac, Lima Indiana Toll AirportlinkM7 Metropista Pocahontas Parkway 25x ETR 407 Nice Airport 20x Aucat Fortaleza/Porto Alegre Airports Lyon Airport NTE/LBJ ML 15x Greek regional airports 10x Ibertpista/Castellana y = 0,229x + 11,417 R² = 0, ans 25 ans 35 ans 45 ans 55 ans 65 ans 75 ans 85 ans 95 ans Based on M&A transaction and sell-side analysts SOTP, Getlink is significantly undervalued 21

22 CONTACTS Jean Baptiste ROUSSILLE co-head of IR jean-baptiste.roussille@getlinkgroup.com Michael SCHULLER Corporate Finance Director co-head of IR michael.schuller@getlinkgroup.com