SlideShare una empresa de Scribd logo
1 de 21
Descargar para leer sin conexión
Aluminium
       for the world




Q1 2011 IR PRESENTATION
                          albasmelter.com
Aluminium
                                                                        for the world




Disclaimer
This document has been prepared and issued by and is the sole responsibility of Aluminium Bahrain B.S.C. (the
“Company”). The document is being supplied to you solely for your information and for use at the Company’s
presentation. No information made available to you in connection with the presentation may be passed on, copied,
reproduced, in whole or in part, or otherwise disseminated, directly or indirectly, to any other person. This
document and its contents are directed only to the intended audience. It is being made on a confidential basis and
is furnished to you solely for your information. By accepting this material the recipient confirms that he or she is a
relevant person. This document must not be acted on or relied on by persons who are not relevant persons. Any
investment activity to which this document relates is available only to relevant persons and will be engaged in only
with relevant persons. If you are not a relevant person you should not attend the presentation and should
immediately return any materials relating to it currently in your possession. Forward-looking statements speak only
as at the date of this presentation and Aluminium Bahrain B.S.C. expressly disclaims any obligations or undertaking
to release any update of, or revisions to, any forward-looking statements in this presentation. No statement in this
presentation is intended to be a profit forecast. As a result, you are cautioned not to place any undue reliance on
such forward-looking statements. You should not base any behaviour in relation to financial instruments related to
the Company’s securities or any other securities and investments on such information until after it is made publicly
available by the Company or any of their respective advisers. Some of the information is still in draft form and has
not been legally verified. The Company, its advisers and each of their respective members, directors, officers and
employees are under no obligation to update or keep current information contained in this presentation, to correct
any inaccuracies which may become apparent, or to publicly announce the result of any revision to the statements
made herein except where they would be required to do so under applicable law, and any opinions expressed in
them are subject to change without notice. No representation or warranty, express or implied, is given by the
Company, its undertakings or affiliates or directors, officers or any other person as to the fairness, accuracy or
completeness of the information or opinions contained in this presentation and no liability whatsoever for any loss
howsoever arising from any use of this presentation or its contents otherwise arising in connection therewith is
accepted by any such person in relation to such information.



                                                                                                                            albasmelter.com




                                                                                                                        2
Aluminium
    for the world




Contents
 1- Industry Highlights


 2- Alba Highlights


 3- 1Q2011 Results


 4- Industry Perspectives in 2011


 5- 2011 Alba Priorities
                                        albasmelter.com




                                    3
INDUSTRY HIGHLIGHTS
Aluminium
                                            for the world




INDUSTRY HIGHLIGHTS
Q1 2011
Demand driven by global economic rebound

  Global GDP growth at 3.3% in 2011; Industrial Production bullish
  in emerging markets with 6% YoY growth
  MENA - Healthy demand activity despite political concerns
  mainly driven by 2 key players (Saudi Arabia & Turkey)
  Western Markets - Robust recovery in transport and engineering
  markets as well as sustained growth in packaging sector
  Asia - Impacted by Japanese earthquake while South Korea and
  India are booming




                                                                         albasmelter.com




                                                                     5
Aluminium
                                              for the world




INDUSTRY HIGHLIGHTS
Q1 2011
Production Evolution

  China - Capacity restarts & expansion hindered by government
  regulations & energy constraints
  Rest of the world - High prices have led additional restarts of capacity

LME & Premiums

  Inventories stable at 4.5 million metric tonnes driven by low interest rate
  and warehousing deals
  LME continues to rise with an average cash price of $2,500/t in Q1 vs.
  $2,163/t in Q1 of 2010
  Ingot premium market remains bullish with Delivered Duty Paid (DDP)
  Rotterdam at $200/t in Q1 of 2011 vs. $169/t in 2010 while Major
  Japanese Port (MJP) premium remains at near 2010 record level with
  $120/t                                                                            albasmelter.com




                                                                                6
ALBA HIGHLIGHTS
Aluminium
                                             for the world




Alba Highlights
Q1 2011 - Operational Achievements

 Recent Events in Middle East
  Alba was able to maintain running at full capacity and to increase sales
  by 8.2% in the first quarter
  Operating costs have been impacted by one time $3 million in Q1
 STAR Operational Improvement Program
  Additional recurrent savings of $25 million recorded in Q1 ahead of
  target. The FY 2011 target is $70 million
  Sales of Value-Added products reached 65% of total shipments versus
  63% average in 2010
 Raw Materials
  95% of 2011 Alumina needs have been secured through multi source
  diversification strategy
  Green Petroleum Coke, Liquid Pitch and Aluminium Fluoride have been
  covered by a diversified supply base
 Future Growth
                                                                                 albasmelter.com
  Kick-off of feasibility studies to determine optimum energy &
  technology solutions for Line 4, 5 Creep and Line 6 expansion projects
                                                                             8
Aluminium
                                           for the world




Alba Highlights
Q1 2011 - Financial Achievements

 Adjusted EBITDA
  US$175 million - 28% YoY growth
 Net Income
  US$88 million - 26% YoY growth
 Free-Cash Flow
   US$ 87 million - 89% YoY growth
 Dividends
  Shareholders & relevant regulatory authorities approved 2010 dividend
  of $200 million. The first installment of $35 million was paid in 2010
  and $165 million was paid in April 2011




                                                                              albasmelter.com




                                                                          9
Q1 2011 RESULTS
Aluminium
                                                          for the world




Q1 2011 Results
A STRONG RECOVERY
Sales Analysis 1Q11 vs. 1Q10 (000’s MT)
Dramatic shift in LME and higher overall Sales Volume

                          1Q11 vs. 1Q10 - Metal Sales Bridge (US$M)


 600
                                                                            37 *
                                      1               7
                     67


 400
                                                                                      563

          451



 200
       Sales 1Q10   LME          Product Mix   Pricing Power              Volume   Sales 1Q11
                                                                                                           albasmelter.com

                      * Higher throughput resulted in a $9 million direct benefit to the bottom line


                                                                                                      11
Aluminium
                                                                             for the world




       Q1 2011 Results
       A STRONG RECOVERY
        Continued Shift to Optimum Product Mix
        Maximize Value Added Sales and Leverage Pricing Power

      1Q11 vs. 1Q10 - Sales by Product line Bridge                       Premium Above LME Trend USD (Per MT)
                      (000’s MT)


250
                                             6
                                 7
                     16
                                                             
     200


175

                                                         217 
     150
         201
                                                                                                       163

                                                                                    128
100                                                          
     100
      Sales 1Q10 Value Added Liquid Metal Commodity   Sales 1Q11                   1Q10                1Q11


                                                                                                                     albasmelter.com




                                                                                                                12
Aluminium
                                                                                         for the world




Q1 2011 Results
A STRONG RECOVERY

Cost Analysis 1Q11 vs. 1Q10:
Continuous Improvement Program on track

                                       1Q11 vs. 1Q10 - Direct Costs Bridge (US$M)

 400
                                                       3               2
                                       9
                                                                                                                      6
                                                                                       11
                                                                                                         8
                        55

 300                              55                                                                             57

                                                                                                                                    356

        301


 200
   Direct Cost 1Q10   RM Price   RM Consumption   Energy Price Energy Consumption Inventory Ch.   Cost Savings   One Time Cost Direct Cost 1Q11




                                                                                                                                                       albasmelter.com




                                                                                                                                                  13
Aluminium
                                                       for the world




Q1 2011 Results
A STRONG RECOVERY

STAR Saving -1Q11 vs. Target 2011:


                        1Q11 vs. 1Q10 - STAR Saving (US$M)

      75




      50


                                                                           70.0

      25                                            52.5
             7.5
                              35.0
            17.5
      0
            Q1              Q2 Target           Q3 Target              Year End Target
                   Target            Above Target           Year-End Target
                                                                                              albasmelter.com




                                                                                         14
Aluminium
                                                                           for the world




         Q1 2011 Results
         A STRONG RECOVERY

          Adjusted EBITDA Bridge Gap Analysis 1Q11 vs. 1Q10:
          Adjusted EBITDA Margin at a healthy 30% rate


                                           1Q11 vs. 1Q10 - EBITDA Bridge (US$M Adjusted)



       350



       275                                     10
                                                               56

       200                     111                                            19                             EBITDA 30.2%
                                                                                                  9
              EBITDA 30.1%

       125
                                                                                                                 175
                 137

    
   50
              EBITDA 1Q10    Metal Sales    Other Sales    Direct Cost    Derivatives      Selling Expenses   EBITDA 1Q11



                                                                                                                                  albasmelter.com

                               Adjusted EBITDA includes impact of actual realised derivatives payments


                                                                                                                             15
Aluminium
                                                                                   for the world




       Q1 2011 Results
        A STRONG RECOVERY
        Cash Flow Bridge 1Q11 vs. 1Q10:
        Healthy cash generation to cover debt, make investments and maximize shareholder value creation

             1Q10 to 1Q11 Cash Flow Bridge (USD M)                                          Free Cash Flow (USD M)



300
                                                0         7
                             70
                 187                                                
        100
                                      30


150
                                                                    
                                                                  247        50
                                                                                                                                      87
      154                                                226
                                                                                          46

 0 Balance                                                               
    0
  YE
      2010
               CF from
              Operations
                             WC
                           Changes
                                     CAPEX Payment to Net Debt
                                     Spent Shareholders Service
                                                                  Cash
                                                                  1Q11
                                                                                        1Q10                                        1Q11

                                                                                   Opera.ng	
  and	
  Inves.ng	
  Cash	
  Flow	
  Trend



                                                                                                                                                albasmelter.com




                                                                                                                                           16
Aluminium
                                                                  for the world




Q1 2011 Results
A STRONG RECOVERY
1Q11 vs. 1Q10:
Healthy Performance Partially Offset by Increased Input Costs




Financial Summary                                     Q1 2011                         Q1 2010

Sales                                                       578                            455

Adjusted EBITDA                                             175                            137

Adjusted EBITDA %                                          30.2%                          30.1%

Net Income                                                  88                              70

Net Income %                                                15%                            15%



Published LME Cash AVG (USD/MT)                            2,500                          2,163
                                                                                                                 albasmelter.com




 Net Income represents comprehensive accounting profit including all derivatives (realized and unrealized)   17
INDUSTRY PERSPECTIVES IN 2011
Aluminium
                                             for the world




Industry Perspectives in 2011
Another Year of Consumption’s recovery

  Global recovery to continue despite Japan earthquake & MENA unrest
  Asia - Potential mid-term construction opportunities to arise post Japan
  earthquake
  Worldwide supply-demand balance will continue to tighten despite
  capacity restarts and expansions start-ups
  LME price forecast for Q2 expected to be above $2,500/t




                                                                                  albasmelter.com




                                                                             19
2011 ALBA PRIORITIES
Aluminium
                                            for the world




2011 Alba Priorities
Continuous Improvement & Preparation for Future Growth

 European Sales office to be established in Q2 2011

 2011 STAR Program:
  Additional action plans to be launched in Q2 2011
  Preparation for the launch of Six Sigma in Q3 2011
 Future Growth
  Complete feasibility studies to determine optimum energy and
  technology solutions for Line 4, 5 Creep and Line 6 Expansion plans




                                                                             albasmelter.com




                                                                        21

Más contenido relacionado

Último

Terna Capital Markets Day 2024 Presentation
Terna Capital Markets Day 2024 PresentationTerna Capital Markets Day 2024 Presentation
Terna Capital Markets Day 2024 PresentationTerna SpA
 
Deutsche EuroShop | Company Presentation | 03/24
Deutsche EuroShop | Company Presentation | 03/24Deutsche EuroShop | Company Presentation | 03/24
Deutsche EuroShop | Company Presentation | 03/24Deutsche EuroShop AG
 
Deutsche EuroShop | Preliminary Results FY 2023
Deutsche EuroShop | Preliminary Results FY 2023Deutsche EuroShop | Preliminary Results FY 2023
Deutsche EuroShop | Preliminary Results FY 2023Deutsche EuroShop AG
 
Osisko Gold Royalties Ltd - Corporate Presentation, March 2024
Osisko Gold Royalties Ltd - Corporate Presentation, March 2024Osisko Gold Royalties Ltd - Corporate Presentation, March 2024
Osisko Gold Royalties Ltd - Corporate Presentation, March 2024Osisko Gold Royalties Ltd
 
Advancing Discovery New Craigmont Project’s High-grade Copper Potential
Advancing Discovery New Craigmont Project’s High-grade Copper PotentialAdvancing Discovery New Craigmont Project’s High-grade Copper Potential
Advancing Discovery New Craigmont Project’s High-grade Copper Potentialnicola_mining
 
WWW.SOFTSOP.COM PITCH DECK PRESENTATION.PDF
WWW.SOFTSOP.COM PITCH DECK PRESENTATION.PDFWWW.SOFTSOP.COM PITCH DECK PRESENTATION.PDF
WWW.SOFTSOP.COM PITCH DECK PRESENTATION.PDFMichael Claudio
 
Nicola Mining Inc. Corporate Presentation March 2024
Nicola Mining Inc. Corporate Presentation March 2024Nicola Mining Inc. Corporate Presentation March 2024
Nicola Mining Inc. Corporate Presentation March 2024nicola_mining
 

Último (7)

Terna Capital Markets Day 2024 Presentation
Terna Capital Markets Day 2024 PresentationTerna Capital Markets Day 2024 Presentation
Terna Capital Markets Day 2024 Presentation
 
Deutsche EuroShop | Company Presentation | 03/24
Deutsche EuroShop | Company Presentation | 03/24Deutsche EuroShop | Company Presentation | 03/24
Deutsche EuroShop | Company Presentation | 03/24
 
Deutsche EuroShop | Preliminary Results FY 2023
Deutsche EuroShop | Preliminary Results FY 2023Deutsche EuroShop | Preliminary Results FY 2023
Deutsche EuroShop | Preliminary Results FY 2023
 
Osisko Gold Royalties Ltd - Corporate Presentation, March 2024
Osisko Gold Royalties Ltd - Corporate Presentation, March 2024Osisko Gold Royalties Ltd - Corporate Presentation, March 2024
Osisko Gold Royalties Ltd - Corporate Presentation, March 2024
 
Advancing Discovery New Craigmont Project’s High-grade Copper Potential
Advancing Discovery New Craigmont Project’s High-grade Copper PotentialAdvancing Discovery New Craigmont Project’s High-grade Copper Potential
Advancing Discovery New Craigmont Project’s High-grade Copper Potential
 
WWW.SOFTSOP.COM PITCH DECK PRESENTATION.PDF
WWW.SOFTSOP.COM PITCH DECK PRESENTATION.PDFWWW.SOFTSOP.COM PITCH DECK PRESENTATION.PDF
WWW.SOFTSOP.COM PITCH DECK PRESENTATION.PDF
 
Nicola Mining Inc. Corporate Presentation March 2024
Nicola Mining Inc. Corporate Presentation March 2024Nicola Mining Inc. Corporate Presentation March 2024
Nicola Mining Inc. Corporate Presentation March 2024
 

Alba Q1 2011 IR Presentation

  • 1. Aluminium for the world Q1 2011 IR PRESENTATION albasmelter.com
  • 2. Aluminium for the world Disclaimer This document has been prepared and issued by and is the sole responsibility of Aluminium Bahrain B.S.C. (the “Company”). The document is being supplied to you solely for your information and for use at the Company’s presentation. No information made available to you in connection with the presentation may be passed on, copied, reproduced, in whole or in part, or otherwise disseminated, directly or indirectly, to any other person. This document and its contents are directed only to the intended audience. It is being made on a confidential basis and is furnished to you solely for your information. By accepting this material the recipient confirms that he or she is a relevant person. This document must not be acted on or relied on by persons who are not relevant persons. Any investment activity to which this document relates is available only to relevant persons and will be engaged in only with relevant persons. If you are not a relevant person you should not attend the presentation and should immediately return any materials relating to it currently in your possession. Forward-looking statements speak only as at the date of this presentation and Aluminium Bahrain B.S.C. expressly disclaims any obligations or undertaking to release any update of, or revisions to, any forward-looking statements in this presentation. No statement in this presentation is intended to be a profit forecast. As a result, you are cautioned not to place any undue reliance on such forward-looking statements. You should not base any behaviour in relation to financial instruments related to the Company’s securities or any other securities and investments on such information until after it is made publicly available by the Company or any of their respective advisers. Some of the information is still in draft form and has not been legally verified. The Company, its advisers and each of their respective members, directors, officers and employees are under no obligation to update or keep current information contained in this presentation, to correct any inaccuracies which may become apparent, or to publicly announce the result of any revision to the statements made herein except where they would be required to do so under applicable law, and any opinions expressed in them are subject to change without notice. No representation or warranty, express or implied, is given by the Company, its undertakings or affiliates or directors, officers or any other person as to the fairness, accuracy or completeness of the information or opinions contained in this presentation and no liability whatsoever for any loss howsoever arising from any use of this presentation or its contents otherwise arising in connection therewith is accepted by any such person in relation to such information. albasmelter.com 2
  • 3. Aluminium for the world Contents 1- Industry Highlights 2- Alba Highlights 3- 1Q2011 Results 4- Industry Perspectives in 2011 5- 2011 Alba Priorities albasmelter.com 3
  • 5. Aluminium for the world INDUSTRY HIGHLIGHTS Q1 2011 Demand driven by global economic rebound Global GDP growth at 3.3% in 2011; Industrial Production bullish in emerging markets with 6% YoY growth MENA - Healthy demand activity despite political concerns mainly driven by 2 key players (Saudi Arabia & Turkey) Western Markets - Robust recovery in transport and engineering markets as well as sustained growth in packaging sector Asia - Impacted by Japanese earthquake while South Korea and India are booming albasmelter.com 5
  • 6. Aluminium for the world INDUSTRY HIGHLIGHTS Q1 2011 Production Evolution China - Capacity restarts & expansion hindered by government regulations & energy constraints Rest of the world - High prices have led additional restarts of capacity LME & Premiums Inventories stable at 4.5 million metric tonnes driven by low interest rate and warehousing deals LME continues to rise with an average cash price of $2,500/t in Q1 vs. $2,163/t in Q1 of 2010 Ingot premium market remains bullish with Delivered Duty Paid (DDP) Rotterdam at $200/t in Q1 of 2011 vs. $169/t in 2010 while Major Japanese Port (MJP) premium remains at near 2010 record level with $120/t albasmelter.com 6
  • 8. Aluminium for the world Alba Highlights Q1 2011 - Operational Achievements Recent Events in Middle East Alba was able to maintain running at full capacity and to increase sales by 8.2% in the first quarter Operating costs have been impacted by one time $3 million in Q1 STAR Operational Improvement Program Additional recurrent savings of $25 million recorded in Q1 ahead of target. The FY 2011 target is $70 million Sales of Value-Added products reached 65% of total shipments versus 63% average in 2010 Raw Materials 95% of 2011 Alumina needs have been secured through multi source diversification strategy Green Petroleum Coke, Liquid Pitch and Aluminium Fluoride have been covered by a diversified supply base Future Growth albasmelter.com Kick-off of feasibility studies to determine optimum energy & technology solutions for Line 4, 5 Creep and Line 6 expansion projects 8
  • 9. Aluminium for the world Alba Highlights Q1 2011 - Financial Achievements Adjusted EBITDA US$175 million - 28% YoY growth Net Income US$88 million - 26% YoY growth Free-Cash Flow US$ 87 million - 89% YoY growth Dividends Shareholders & relevant regulatory authorities approved 2010 dividend of $200 million. The first installment of $35 million was paid in 2010 and $165 million was paid in April 2011 albasmelter.com 9
  • 11. Aluminium for the world Q1 2011 Results A STRONG RECOVERY Sales Analysis 1Q11 vs. 1Q10 (000’s MT) Dramatic shift in LME and higher overall Sales Volume 1Q11 vs. 1Q10 - Metal Sales Bridge (US$M) 600 37 * 1 7 67 400 563 451 200 Sales 1Q10 LME Product Mix Pricing Power Volume Sales 1Q11 albasmelter.com * Higher throughput resulted in a $9 million direct benefit to the bottom line 11
  • 12. Aluminium for the world Q1 2011 Results A STRONG RECOVERY Continued Shift to Optimum Product Mix Maximize Value Added Sales and Leverage Pricing Power 1Q11 vs. 1Q10 - Sales by Product line Bridge Premium Above LME Trend USD (Per MT) (000’s MT) 250 6 7 16 200 175 217 150 201 163 128 100 100 Sales 1Q10 Value Added Liquid Metal Commodity Sales 1Q11 1Q10 1Q11 albasmelter.com 12
  • 13. Aluminium for the world Q1 2011 Results A STRONG RECOVERY Cost Analysis 1Q11 vs. 1Q10: Continuous Improvement Program on track 1Q11 vs. 1Q10 - Direct Costs Bridge (US$M) 400 3 2 9 6 11 8 55 300 55 57 356 301 200 Direct Cost 1Q10 RM Price RM Consumption Energy Price Energy Consumption Inventory Ch. Cost Savings One Time Cost Direct Cost 1Q11 albasmelter.com 13
  • 14. Aluminium for the world Q1 2011 Results A STRONG RECOVERY STAR Saving -1Q11 vs. Target 2011: 1Q11 vs. 1Q10 - STAR Saving (US$M) 75 50 70.0 25 52.5 7.5 35.0 17.5 0 Q1 Q2 Target Q3 Target Year End Target Target Above Target Year-End Target albasmelter.com 14
  • 15. Aluminium for the world Q1 2011 Results A STRONG RECOVERY Adjusted EBITDA Bridge Gap Analysis 1Q11 vs. 1Q10: Adjusted EBITDA Margin at a healthy 30% rate 1Q11 vs. 1Q10 - EBITDA Bridge (US$M Adjusted) 350 275 10 56 200 111 19 EBITDA 30.2% 9 EBITDA 30.1% 125 175 137 50 EBITDA 1Q10 Metal Sales Other Sales Direct Cost Derivatives Selling Expenses EBITDA 1Q11 albasmelter.com Adjusted EBITDA includes impact of actual realised derivatives payments 15
  • 16. Aluminium for the world Q1 2011 Results A STRONG RECOVERY Cash Flow Bridge 1Q11 vs. 1Q10: Healthy cash generation to cover debt, make investments and maximize shareholder value creation 1Q10 to 1Q11 Cash Flow Bridge (USD M) Free Cash Flow (USD M) 300 0 7 70 187 100 30 150 247 50 87 154 226 46 0 Balance 0 YE 2010 CF from Operations WC Changes CAPEX Payment to Net Debt Spent Shareholders Service Cash 1Q11 1Q10 1Q11 Opera.ng  and  Inves.ng  Cash  Flow  Trend albasmelter.com 16
  • 17. Aluminium for the world Q1 2011 Results A STRONG RECOVERY 1Q11 vs. 1Q10: Healthy Performance Partially Offset by Increased Input Costs Financial Summary Q1 2011 Q1 2010 Sales 578 455 Adjusted EBITDA 175 137 Adjusted EBITDA % 30.2% 30.1% Net Income 88 70 Net Income % 15% 15% Published LME Cash AVG (USD/MT) 2,500 2,163 albasmelter.com Net Income represents comprehensive accounting profit including all derivatives (realized and unrealized) 17
  • 19. Aluminium for the world Industry Perspectives in 2011 Another Year of Consumption’s recovery Global recovery to continue despite Japan earthquake & MENA unrest Asia - Potential mid-term construction opportunities to arise post Japan earthquake Worldwide supply-demand balance will continue to tighten despite capacity restarts and expansions start-ups LME price forecast for Q2 expected to be above $2,500/t albasmelter.com 19
  • 21. Aluminium for the world 2011 Alba Priorities Continuous Improvement & Preparation for Future Growth European Sales office to be established in Q2 2011 2011 STAR Program: Additional action plans to be launched in Q2 2011 Preparation for the launch of Six Sigma in Q3 2011 Future Growth Complete feasibility studies to determine optimum energy and technology solutions for Line 4, 5 Creep and Line 6 Expansion plans albasmelter.com 21