30th October 2014 Alumetal Group Q financial results
Q and LTM at glance Volume sales – 37k tons in Q and 151k tons in LTM Adjusted EBITDA – PLN 20 mn in Q and PLN 85 mn in LTM Adjusted net profit – PLN 14 mn in Q and PLN 62 mn in LTM Low net debt due to improved EBITDA, low capex and low effecitve CIT rate
Motor vehicle registrations in the EU in thou. units In Q sales of motor vehicle in the EU increased by 5,8% (increase by 5,1% in PC and 10,1% in CV) In LTM sales of motor vehicle in the EU increased by 4,9% (increase by 4,6% in PC and 6,9% in CV)
Metal Bulletin 226 alloy spread w EUR In Q slight improvement of relation between scrap cost and standard 226 alloy prices
Volume sales in thou. tons 8% 26% 19% In Q volume sales increased by 8% to 37k tons In LTM volume sales increased by 19% to 151k tons
Sales revenue in mn PLN 7% 22% 16% In Q sales revenue increased by 7% to PLN 292 mn In LTM sales revenue increased by 16% to over PLN 1180 mn
EBITDA in mn PLN 20% 39% In Q EBITDA increased by 20% to PLN 20 mn In LTM EBITDA increased by 39% to PLN 75 mn 60%
EBITDA per ton in PLN In Q EBITDA per ton increased by 11% to 531 PLN/t In LTM EBITDA per ton increased by 17% to 497 PLN/t 11% 27% 17%
Net profit in mn PLN 14% 83% 53% In Q net profit increased by 14% to PLN 14 mn In LTM net profit increased by 53% to PLN 55 mn
The impact of one-off events for 1-3Q 2014 results in thou. PLN VAT – reversal of provision IPO costs Cimos – creation of provision Impact on EBITDA VAT – reversal of provision + interest 884 Impact on EBT CIT Impact on net profit
24% 89% 57% In Q adjusted EBITDA increased by 24% to PLN 20 mn In LTM adjusted EBITDA increased by 57% to PLN 85 mn Adjusted EBITDA in mn PLN * Adjusted by impact of one-off events
Adjusted EBITDA per ton in PLN 14% 50% 33% In Q adjusted EBITDA per ton increased by 14% to PLN 546 In LTM adjusted EBITDA per ton increased by 33% to PLN 564 * Adjusted by impact of one-off events
Adjusted net profit mn PLN 17% 114%73% In Q adjusted net profit increased by 17% to PLN 14,5 mn In LTM adjusted net profit increased by 73% to PLN 62 mn * Adjusted by impact of one-off events
Capex in mn PLN -68% -74% -62% In Q capex decreased by 68% to PLN 1,6 mn In LTM capex decreased by 62% to PLN 12,7 mn
OCF vs EBITDA in mn PLN In Q OCF amounted to minus PLN 2 mn vs EBIDTA PLN 20 mn In LTM OCF amounted to PLN 69,5 mn vs EBIDTA PLN 75 mn
Net debt and effective CIT rate Net debtEffective CIT rate At the end of September 2014 net debt amounted to PLN 62 mn and Net debt/EBIDTA ratio decreased from 1,3x at the end of 2013 to 0,8x at the end of Q Effective CIT rate in Q was negative due to the provision for CIMOS receivables
Provision for receivables from CIMOS The Management Board decided to make a provision for the total amount of the receivables amounting to PLN thou. in the results of H On 5th August 2014 Alumetal received the letter with the proposal of claim repayment in the following way: 25% of the amount shall be paid in October 2014 30% of the amount shall be divided into 8 semi-annual installments due from October 2015 45% of the amount shall be redeemed The court indicated the deadline until 3rd September 2014 for Cimos to present the restructuring plan On 15th October 2014 Alumetal received the letter confirming an intention of first payment (25% of the amount) within November 2014 (5 days after approval of restucturing plan by the District Court of Koper)
Status of project in Hungary On 1st October 2014 – business plan accepted by Supervisory Board PLN 120 mn capex ca. 60k tons production capacity realized in one stage start of the production in Q On 9th October 2014 – order for design of the plant was issued On 10th October 2014 – preliminary purchase agreement of the land was signed On 10th October 2014 – binding offer from Hungarian Goverment was obtaind (public aid up to 35% of eligible capex, the split between cash grant/CIT allowance close to Management expectations)
Summary Q financial results in line with the Management expectations Market situation should be stable till the end of 2014 Strong OCF, low leverage and obtained Hungarian public aid will allow to finance capex of Hungarian project and continue the dividend policy