INVESTOR PACK Interim results for the 6 months ending 30 th June 2012

Transcription

1 INVESTOR PACK Interim results for the 6 months ending 30 th June 2012

2 Presentation Contents Page 3 Page 4 Page 5 Page 6 Page 7 Page 8 Page 9 Page 10 Page 23 Page 25 Page 26 Page 27 Group Highlights Financial Highlights Income Statement Cash Flow Balance Sheet Operational Review Strategy Business Focus Summary plc Board Five Year Record UK Office Locations

3 Group Highlights Leading UK provider of M&E services Remains profitable and cash generative, positive net cash position Operating costs reduced, margins remain under pressure Strong reputation for quality with long standing client relationships Highly experienced team with strength in depth Sustained market position with major new contracts secured Improved order book with healthy pipeline of opportunity Delivering on strategy to broaden Group offering 3

4 Financial Highlights Group Highlights 30 th June 2012 m Margin % 30 th June 2011 m Revenue Margin % Underlying operating profit¹ % % Underlying profit before tax¹ % % Profit before tax Earnings per share basic 0.79p 2.38p Earnings per share underlying² 2.31p 3.90p Interim dividend 1.0p 1.0p Order book ¹ Before goodwill amortisation, share based payment expense and non-recurring costs. ² Before goodwill amortisation, share based payment expense, non-recurring costs and tax on these items. 4

5 Income Statement Segmental Analysis 30 th June th June 2011 Revenue Underlying Profit Margin Revenue Underlying Profit Margin South % % North % % Scotland 6.8 (0.1) -1.6% 9.6 (0.2) -2.1% Other Total revenue Underlying operating profit % % Net interest (0.2) (0.2) Underlying PBT Non-recurring items (0.6) (0.6) Amortisation (0.2) (0.3) Share based payment expense (0.1) - Profit before tax Huntingdon and Kings Lynn reclassified from North to South - prior year restated Losses in Scotland halved Net interest includes 0.2m non-cash items Non-recurring items includes restructuring and post acquisition bonuses 5

6 Cash Flow Cash Flow 30 th June 2012 m 30 th June 2011 m Operating cash flow before working capital movements Working capital movement - (2.6) Operating cash flow 1.1 (0.8) Corporation tax - (1.1) Fixed asset disposals / (additions) (0.1) - Cash outflow before financing 1.0 (1.9) Dividends paid (0.9) (1.8) Finance leases - (0.1) Net cash inflow / (outflow) 0.1 (3.8) Opening net cash and deposits Closing net cash Positive cash flow - reverses recent trend No major calls on our cash 6

7 Balance Sheet Balance Sheet 30 th June 2012 m 31 st December 2011 m Intangible assets Property plant and equipment Inventories and construction contracts Debtors Creditors (38.2) (37.1) Working capital excluding cash Net cash Pension scheme (12.1) (10.0) Tax - current and deferred Finance lease obligations (0.2) (0.2) Net assets Net assets excluding intangibles Net current assets Net assets excluding intangibles remain positive Positive cash, no significant debt Pension deficit increased due to fall in discount rate - cash contributions c 0.9m pa 7

8 Operational Review Any Pipe, Any Wire, Any Project, Anywhere 8

9 Strategy Eight key sectors that offer good growth potential Intelligent buildings Facilities management Green technologies Rail Utilities and technologies Manufacturing Residential and hotels Mechanical and electrical contracting 9

10 Business Focus Completed to 30 th June 2012 Secured Orders July 2012 and Beyond Intelligent buildings 2m 1m Facilities management 10m 22m Green technologies 2m 2.0m Rail 6m 20m Utilities & technologies 2m 40m Manufacturing 1m 4m Residential & hotels 8m 26m Mechanical & electrical contracting 59.7m 115m Totals 90.7m 230m 10

11 Intelligent buildings Key Facts Revenue to 30 th June m Forward Order Book 1m TClarke can provide Information and Communication Technologies Services, (ICT) Integrating data and communications, building management, lighting control, fire, security, access and AV systems Represents an Investment in engineering and resources nationwide Benefit from opportunities within our main M&E packages and stand alone ICT contracts Projects Completed the structured cabling, London 2012 Olympic Stadium In Scotland we undertook the installation of Smart Home Technology to a number of house builders We worked on over 400 properties in 2011 On target for 1,000 homes in 2012 Schemes in progress for Detica / BAE Systems at a number of UK locations Emirates Air Line, the first urban cable car system, complete ICT installation and associated services, opened in July

12 Facilities Management Key Facts Revenue to 30 th June m Forward Order Book 22m Facilities Management (FM) business more than a maintenance function. Assist clients to ensure they can operate, maintain and expand their businesses efficiently All types of businesses including; Offices, commercial or institutional buildings, hospitals, office complexes, arenas and schools or across complex industrial sites for major clients Current projects become an opportunity for our FM Business New 5 year project secured for Springfield Nuclear Fuels Projects North; BAE Systems and Springfield Nuclear Fuels Leeds Northern School of Dance; Leeds Grand Theatre; Siemens; the Court Service in Crew, Blackpool and Chester Midlands and the East; Term contracts for Defence Estates, Luminus Group and Peterborough City Council London and the South East; Credit Suisse, Dungeness Power Station, Imperial College, ITV plc, the London 2012 Olympic Stadium and Manston Airport 12

13 Green technologies Key Facts Revenue to 30 th June m Forward Order Book 2.0m We have the ability to deliver fully integrated green solutions Sustainable development is at the core of today s buildings Green solutions quickly adopted as part of initial requirement of new designs Key Projects Brent Civic Centre, London Deutsche Bank, London, Lighting control replacement Fife Renewables Innovation Centre, Scotland Imperial Tobacco, Bristol Nazareth House, Plymouth Brent Civic Centre In Progress The greenest public building in the UK 13

14 Rail Key Facts Revenue to 30 th June m Forward Order Book 20m Provides M&E services from design to construction throughout the UK Significant growth reflected in order book A B C In Progress - Victoria Station, London (A) Secured - Dalmarnock Station, Scotland (B) Current Bid - Custom House, Crossrail Station (C) Opportunities - HS2 14

15 Utilities and technologies Key Facts Revenue to 30 th June m Forward Order Book 40m Considerable future potential focus on; Data Centres Utility industry Technology sector - large scale data centres Waste to Energy Schemes Hydro Power Schemes Current Clients include; British Energy / EDF Springfield Nuclear Fuels Credit Suisse Current Data Center Projects; Buckinghamshire Newcastle upon Tyne Northamptonshire UK Wide Capability UK Locations 15

16 Manufacturing Key Facts Revenue to 30 th June m Forward Order Book 4m Manufacturing facilities in Essex, Yorkshire and Scotland Capability to manufacture and prefabricate elements of installations as well as to deliver high-quality bespoke engineering components Key advantages Assists in setting and meeting demanding project timescales Helping clients to meet sustainability targets Innovative, improves the speed and value of what we do Improved quality of the work and the health and safety Key Projects Prefabricated multi-service modules provided at The Shard, Europe s tallest building Imperial Tobacco, Bristol Nazareth House, Plymouth 16

17 Residential and Hotels Key Facts Revenue to 30 th June m Forward Order Book 26m Complete service of design, installation, commissioning and maintenance for the residential market Full range of electrical, ICT and mechanical services Projects range from bespoke high-spec private homes to new-build housing estates, student accommodation, housing association developments and major hotel groups and brands Projects Premier M&E Housing contractor in Scotland, - on target to deliver 1000 new homes in Scotland Temple Quay, Bristol, the Eye which has 72 apartments over 12 floors Three Quays, London De Vere Gardens - Secured 97 luxury apartments, Kensington Three Quays, London - Secured 97 serviced and 64 private apartments MOD Canadian Estate Project 195 three-bedroom properties 65 four-bedroom houses. 17

18 Mechanical and Electrical Contracting Key Facts Revenue to 30 th June m Forward Order Book 115m Central to the Group, underpinning the business Opportunities in M&E Contracting support our other business sectors Clients and Contractors see us as integral to their success We anticipate their needs and deliver on commitments we make Highly skilled workforce supported by technically experienced engineers We set high standards and we continually innovate and improve We thrive on challenge and accomplishment Trusted on the most complex and large scale projects Secured 240 Blackfriars In Progress 20 Fenchurch Street 18

19 London Opportunities CURRENT BIDS Mechanical and Electrical Contracting Principal Place Aldgate Tower 5 Broadgate & Fit out for UBS Victoria Circle, SW1 Kingsgate House JP Morgan, Victoria Embankment 19

20 Mechanical and Electrical Contracting Current UK Projects Redcar Leisure and Community Heart Dixons Allerton Academy, Bradford Bedford Academy Marks & Spencer, Cambridge Imperial Tobacco, Bristol West Dorset District Council Office relocation 20

21 UK Opportunities CURRENT BIDS Mechanical and Electrical Contracting Bristol Rovers Football Club Center Parcs, Woburn Forest Brindley Place, Birmingham Durham Cricket Club Hotel Parcel Force, Chorley Newquay Airport Terminal 21

22 Mechanical and Electrical Contracting London Future Opportunities BBC, White City Walbrook Square / Bloomberg US Embassy Olympic Park, Legacy Projects Mark Lane BSKYB 22

23 Summary Group remains profitable, cash generative and no debt Strong team with enhanced market position Good order book and pipeline of opportunities provides future visibility Clear strategy to deliver shareholder value Trading will remain challenging, with continued margin pressure Looking to the future, well positioned for the upturn 23

24 Any Pipe, any wire, any project, any where M&E contracting transport M&E contracting towers Manufacturing prefabricated M&E riser M&E contracting education Intelligent buildings energy efficiency in lighting Residential and hotels apartment blocks Intelligent buildings communications satellite dishes Intelligent buildings fire alarms Health & safety on site Green technologies recycling plant Facilities management quick response, equipped vans, PDA M&E contracting retail shopping mall Intelligent buildings ICT cabling Green technologies wind energy Utilities & technologies power stations M&E contracting stadiums Utilities & technologies data centres Residential & hotels housing estates M&E contracting government/local authority Rail overground, underground, DLR M&E contracting transport Manufacturing pipework Intelligent buildings CCTV Facilities management 24-hour call centre Green technologies photovoltaics M&E contracting healthcare A world of building services 24

25 plc. Board RUSSELL RACE Chairman IAIN McCUSKER Senior Independent Director BEVERLEY STEWART Independent Director MARK LAWRENCE Group Chief Executive MIKE CROWDER Group Managing Director MARTIN WALTON Finance Director 25

26 Five Year Record Five year financial highlights 26

27 Complete Nationwide Coverage London TClarke Head Office 45 Moorfields London EC2Y 9AE T: Aberdeen Accrington Bristol Cardiff Derby Falkirk Harlow Group Chief Executive Mark Lawrence Finance Director Martin Walton Huntingdon Kings Lynn Leeds Newcastle Peterborough Plymouth Sittingbourne St Austell 27