Presentation on theme: "A New Investment of the Mint of Poland The Mint of Poland Results after 1Q2011 and the Company and Group Prospects Meeting investors Presented by: Tadeusz."— Presentation transcript:
A New Investment of the Mint of Poland The Mint of Poland Results after 1Q2011 and the Company and Group Prospects Meeting investors Presented by: Tadeusz Steckiewicz, Mint of Polands General Director Barbara Sissons, Mint of Poland Board Member Leszek Kula, Mint of Poland Board Member Warsaw, 26th May 2011
Agenda A New Investment of the Mint of Poland Group ……….……………………………...3 The Mint of Poland Group Results…….……………………….………….……………10 The Mint of Poland Company and Capital Group Market Environment …..………..15 The Mint of Poland Management Summary..……………………………………..….22 Reference.................………………………………………..……………………….......25
A New Investment of the Mint of Poland Capital Group – purchase of 27.6 ha from FSO
A New Investment of the Mint of Poland Capital Group The Mint of Poland Subsidiary purchased 27.6119 ha of attractive land at Jagiellońska Street by the Vistula River in the vicinity of Grot-Rowecki and Gdańsk Bridges
Grot-Rowecki Bridge Planned Krasiński Bridge (red area) The Mint of Poland Group Property Boundary (white line) Wisła Starzyński Roundabout and entrance to Gdańsk Bridge
Ivestment in Żerań was made by a company from the Group and properly secured The Mint of Poland and the Mint of Poland FIZAN 50 % The purchase of the property was made by the Mint of Poland Stock Company and Limited and Joint Company, in which the Mint of Poland Capital Group owns 50 percent equity and is the sole general partner. The net amount of the transactions totaled 130.4 million, and half of the expenditures is accounted for by the Mint of Poland Capital Group. The means by which the Group financed the purchase of the property, were located in the Mint of Poland FIZAN subsidiary. The means were generated by the sale of RUCH S.A. shares. 50 % Altus FIZAN The Mint of Poland and Limited and Joint Company Shareholders
Attractive price of the purchase of property from FSO (comparison of transactions on the Warsaw market in 2011) JW Construction signed the contract of purchase of 8 ha in Wola for the net amount of 174M Polish zloty (conditional contract with Black Lion NFI) The Mint bought over 27.6 hectares in Żerań from FSO for the net amount of 130,4M Polish zloty Dom Development signed the contract of purchase of undeveloped property in Żoliborz district with an area of 9.9 ha for the net amount of 168,3M Polish zloty In the assesment of the developers and companies monitoring the property market the business cycle peak on the capitals property market will take place around 2016.
Advantages of the Mint of Polands property -A 15-minute drive to the center of Warsaw (along Jagiellońska Street) - In the vicinity of two bridges (Gdańsk and Grot-Rowecki; in future the city may build Krasiński Bridge near the Mint of Poland property) -Well developed tram and bus service -Nearby the PKP train station - Green areas near the Vistula River Near the Vistula Embankment in the vicinity of Grot-Rowecki Bridge Tram and bus service in Jagiellońska Street
Plans for implementing the investment in Żerań Details of the development will be agreed during the negotiations with the city council. The Mint of Poland foresees that it will obtain the necessary permits for the development of property within the next two years. The division of investment into investment modules (buildings for offices, services and housing) is planned. FSO Test track Objects to be demolished
The Mint of Poland Consolidated Sales Income In the First Quarters of Individual Years 269,7 in million Polish zloty 205,8 179,4 144,4 The Mint of Poland Group increased sales despite the slowdown on the numismatic market in Poland. The revenue from ticket sales and gold investment increased in particular.
The Mint of Poland Group Sales Revenue broken down into segments Segment ISegment IISegment IIISegment IVSegment VSegment VICorrectionsTotal Revenue IQ 2011 54 66330 92410 32087 149127 6870(-) 41 074269 669Revenue IQ 2011 Revenue IQ 2010 57 15029 3658 13673 48151 4760(-) 13 824205 784Revenue IQ 2010 Net result IQ2011 12 6771 3783 4156145 345021723 646Net result IQ2011 Net result IQ2010 18 0012 3809468004 3540(-)64725 807Net result IQ2010 Data in million Polish zloty for first quarters of 2011 and 2010
Consolidated EBITDA of the Mint of Poland Capital Group 24,8 in million Polish zloty 16.1 46.2 24.924.7
Consolidated quarterly financial data for The Mint of Poland Group Revenue in million Polish zlotyOperations result in million Polish zloty Net result in million Polish zloty IQ2007 IQ2008 IQ2009 IQ2010 IQ2011 EBITDA in million Polish zloty
The influence of the kolekcjoner.nbp.pl system on the Polish numismatic market Silver coins Gold coins Source: NBP, data on the new issues of Polish collector coins (gold and silver). In IQ2011 the NBP has not issued any gold coins. Coin mintage in thousands of pcs
Mint of Poland continued development of sales of gold investment Data in million Polish zloty IQ 2010 IQ2011 The Mint of Poland is the largest operator in the country that offers individuals investment gold. In the Mint of Polands assesment, the gold investment market will increase by about 10-15 percent to around 1600 kg this year. New channels of distribution: - Sale of gold in cooperation with BZ WBK –premium shop, opening the internet shop with BOŚ soon - A plan to create 1,000 Retail Sale Spots in the network of bank branches - Implementation of new investment products: bullion coins, investment silver bars
The main investment program, in particular in the area of electronic payments, has been finished Data in million Polish zloty
Improvement of Electronic Payments Division results – completed investment program and implementation period Operating profitability of Electronic Payment Division of the Mint of Poland Data in percent.
Improvement of Electronic Payments Division results – completed investment program and implementation period
One-off events relevant to the Shareholders – redemption and cancellation of own shares of the Polish Mint SA – 86M Polish zloty 2010 2.13 % of the companys capital, concentrated for redemption (purchased for 14.5M Polish zloty) has been located on the Mints account On 3 th May 2011 a stock split was performed by reducting the nominal value of shares from PLN10 to PLN 1 -10:1 2011 On 19th May NWZA decided on further redemption of the Companys capital to 20 %
The Mint of Poland is a profitable company with a stable financial foundation, but, as in the case of other companies, the results depend, among others, on the market environment. A key factor influencing the Company and Groups results in IQ2011 was a change in the distribution system of Polish collector coins introduced on 1st January 2010. This system applies to all distributors. Its operation does not depend on the Mint of Poland. Introduction of the new distribution system reduced the availability of Polish coins, complicated the process of their purchase and increased the price of coins. For these reasons the editions of Polish collector coins ordered with the Mint of Poland, decreased significantly compared to previous years. The Mint of Poland tried to compensate for the loss of revenue due to reduced orders for Polish collector coins by the production and sale of coins in the royalty system, or collector coins issued in Mint of Poland on behalf of foreign emittents, and the production of numismatics for the Mint of Polands subsidiary, Skarbiec Mennicy Polskiej. The Company has significantly expanded the sale of gold investment and sale of electronic tickets. The Board of the Mint of Poland expands into electronic money which, in the assessment of the Company, will be increasingly important in the future. In 2011, the Company plans to invest at the replacement level. The Mint of Poland Management Summary
240 years of experience and tradition WSE The listed company Thank you for your attention, questions are welcome Stable financial foundations
The Mint of Poland Shareholders * 45.63 % 6.48 % 6.20 % 5.98 % 35.71% *Data as at 15th November 2010, after the court registration of capital reduction due to the redemption and cancellation of shares.
Electronic payments CityDate of starting the projectNumber of issued cards Warsaw2002About 800,000 Wrocław2010300,000 planned (c.155,000 issued so far) BydgoszczStart of the project September 2010 100,000 planned (c.80,000 issued so far) Lublin200855,000 Piła200940,000 Jaworzno200535,000 Radomsko200715,000 as at 1 May 2011 The Mint of Poland expands the range of services available with the city cards. In the Mint sales network in Warsaw you can now recharge Citibank credit cards by tickets. A few weeks ago Wrocław, the Mint of Poland and large retail banks expanded their offer by the city payment card.
Annex The Mint of Poland Capital Group operates in the following areas: Segment I – mint production, including, among others, the issue of circulation and collector coins, medals (except for precious metal medals), state decorations and badges, stamps, official seals, daters, assay stamps, monetary tokens; Segment II – processing of precious metals, including, among others, the following products: catalytic and capture nets, paints, glass furnaces equipment, drawn and rolled products made of precious metals, laboratory equipment and numismatic products made of precious metals (Au and Ag medals and tokens), Au and Ag bars; Segment III – services, including renting office spaces, property protection and cash shipments; Segment IV – magnetic tickets; Segment V – trade goods and materials (sale of gold and silver discs, bars purchased and subsequently resold, sale of NBP coins to the distributors, pre-paids); Segment VI – housing (not present in 2010 )
Disclaimer This presentation was prepared by the Mint of Poland. It does not contain a complete financial or business or overall analysis of the Company, neither does it present its position or prospects in a complete or overall way. Any person intending to take financial decisions regarding any securities issued by the Mint of Poland is recommended to rely on the information disclosed in official communications of the Mint of Poland in accordance with the applicable law.