November 29, 2012
Transcription
November 29, 2012
AREVA: Global leader in low-carbon power generation Premium Review – Société Générale Paris, November 29th, 2012 Agenda ►AREVA overview ►Strategy & performance ►Financial Outlook AREVA Presentation – November 29, 2012 p.2 Energy market: continued growth announced Macroeconomics Energy demand: x2 by 2050 Geopolitics Energy independence and security of supply imperative Resources Increasing difficulties in extracting resources leading to higher prices Demand in nuclear energy* +1.9% / year Environment GHG emissions reduction goal of 50% by 2050 Demand in renewable energies* +2.5%** / year WEO 2012 2010 – 2035 New Policies Scenario * Billions of toe ** Including hydraulic energy Economics Need of mastered, stable and predictable energy costs AREVA Presentation – November 29, 2012 p.3 Leader in low-carbon power generation Nuclear Energy value chain Renewable Energy offering Site value development Chemistry Recycling Enrichment Reactors Installed Base Services Fuel fabrication Recurring activities New Builds Reactors New Builds Technical, operational, commercial and financial synergies Mining Offshore Wind Thermal Solar Energy Storage BioEnergies > 80% of group revenues come from recurring activities AREVA Presentation – November 29, 2012 p.4 Nuclear scenario: differed but confirmed growth AREVA 2011 scenario Change in global installed base (GWe) GWe) (GWe) GWe) Reassessed at end-June 2011 o.w 47 GWe in Japan 20 GWe in Germany AREVA’s business model allows it to capture market opportunities in all segments AREVA Presentation – November 29, 2012 p.5 AREVA is present on the full nuclear value chain Nuclear Reactor lifecycle Construction Operations End of life Mining Front End Reactors and Services Back End AREVA covers all phases of nuclear reactors’ lifecycle AREVA Presentation – November 29, 2012 p.6 Construction AREVA benefits from strong competitive edge in new constructions A competitive value proposition ► Highest safety standards Air plane crash protection Core meltdown protection systems Avoidance of nuclear materials discharge Resistance to earthquakes and flooding ► Amongst lowest levelized cost of electricity Investment cost per MW close to other technologies in recent bids Up to 25% lower operations cost ► Excellent operational performance Optimized outage strategy with fuel cycle flexibility Increased closed cycle profitability with 100% MOX compatibility ► EPR: most advanced technology in terms of construction worldwide All AREVA reactors meet generation III nuclear safety criteria AREVA Presentation – November 29, 2012 p.7 Construction AREVA is involved in major tenders for new nuclear worldwide Ongoing negotiations (bilateral) Ongoing bids Upcoming bids (in 3-5 years) ESKOM Hinkley Point C-D JAEC EDF PGE Saudi Arabia Pyhäjoki Taishan 3-4 CGNPC (GDF Suez – Iberdrola JV) Temelin 3-4 Jaitapur 1-2 NPCIL EDF PPL Duke Energy NuGen Fennovoima CEZ * Calvert Cliff 3 Bell Bend Piketon Delta New Brunswick Power OL 4 Vattenfall TVO MVM MNPC NA-SA * Suspended, waiting for arbitration of Czech national competition body UOHS AREVA Presentation – November 29, 2012 p.8 Operations AREVA’s recurring activities allow utilities to operate nuclear reactors Utility Fuel assemblies Used fuel External services & maintenance Outages Replacement of components Upgrades Uprates AREVA seizes opportunities in all segments of nuclear operations irrespective of reactors technology AREVA Presentation – November 29, 2012 p.9 Operations 95% of all nuclear utilities are AREVA customers AREVA references: Europe, CIS and Africa 98 reactors built 188 reactors in operation ~140 reactors 4 reactors under construction served by AREVA 114 for services 135 for fuel North and South Americas Asia 119 reactors in operation ~90 reactors 130 reactors in operation ~130 reactors served by AREVA 17 for services 90 for fuel served by AREVA 126 for services 100 for fuel AREVA provides products and services to 360 reactors worldwide AREVA Presentation – November 29, 2012 p.10 Operations Forecasted growth in worldwide nuclear installed capacity 2030 2011 377 GW 583 GW Europe - 13% North America + 11% Japan & Korea + 31% Russia & CIS + 19% China (including Taiwan) & India x8 Rest of world x3 Source: AREVA 2011 scenario + 54% installed base capacity by 2030 will drive market opportunities across all regions for AREVA AREVA Presentation – November 29, 2012 p.11 An organization designed to seize opportunities all over the world AREVA worldwide presence Regional headquarters America regional offices Europe regional offices Asia-Pacific regional offices AREVA Presentation – November 29, 2012 p.12 End of life Dismantling: broad expertise in managing customer projects Reactor vessel / internals: decontamination and dismantling (D&D) Stade, Würgassen, Obrigheim Dismantling of the reactor vessel and internals Decontamination of primary and auxiliary circuits Millstone, Rancho Seco, Yankee Rowe Dismantling of the reactor vessel and internals Used fuel, effluent / radioactive waste management Fukushima Design and implementation of a full water treatment system Dounreay Special equipment to retrieve damaged fuel in research reactor Assistance to the project owner / Design and engineering Creys-Superphénix Support to the sodium retrieval and D&D preparation M&O (maintenance and operations) for D&D projects Hanford High level waste treatment (customer: DOE) Savannah Vitrification of high level waste (customer: DOE) Marcoule D&D of a large fuel treatment facility (customer: CEA) Sellafield Member of the site's M&O consortium Creation of an expertise center for decommissioning and dismantling in Germany AREVA Presentation – November 29, 2012 p.13 AREVA Renewables currently operates in 4 market segments Offshore Wind More electricity output than onshore turbines More Wind hours Higher wind levels Larger turbine sizes Concentrated Solar Power Enables steam production for hybrid fossil/solar plants and industrial applications Possibility of thermal storage increasing production hours AREVA Presentation – November 29, 2012 p.14 Bioenergy Energy production from biomass sources AREVA also active in upstream biomass treatment market through its torrefaction technology Energy Storage Hydrogen production through electrolysis technology Power production from hydrogen in fuel cells Other energy storage technologies considered for largescale applications Renewable Energies market: accelerated growth expected Estimated average annual market size in volume Sources: IEA World Energy Outlook for CSP and Bioenergy, AREVA forecasts for Offshore Wind (WEO does not distinguish onshore/offshore) Offshore wind market (Europe) Solar CSP market (World) Bioenergy market (World) (MW) (MW) (MW) 7,317 Other Asia / Oceania Other Asia / Oceania India Middle-East / Africa China India Europe 4,700 Latin America 5,160 North America Europe Middle-East and Africa North America Other Europe France 2,340 Germany 1,561 China 1,010 UK 2011-2015 2016-2020 2011-2015 2016-2020 2011-2015 2016-2020 AREVA’s positioning on renewable market: selected growing activities AREVA Presentation – November 29, 2012 p.15 Agenda ►AREVA overview ►Strategy & performance ►Financial Outlook AREVA Presentation – November 29, 2012 p.16 “Action 2016” Strategic Action Plan Safety Security Transparency Commercial priority given to value creation Selectivity in capital spending • Installed Base: doubling profitability by 2016 • New Builds: becoming the reference technology • €7.7bn over the 2012-2016 period, i.e. -34% vs. 2007-2011 • Several projects on hold Debt management • Disposal plan > €1.2bn over the 2012-2013 period • Fully self-financed Capex on a cumulative basis over the 2012-2016 period Improving our performance -€1bn on annual operating costs base and -€500m in WCR by 2015 Concrete progress in all strategic orientations AREVA Presentation – November 29, 2012 p.17 Safety Commercial priority given to value creation Security Transparency Selectivity in capital spending Debt management Improving our performance Improvement of AREVA’s financial structure Asset disposals program ahead of schedule Strengthening our balance sheet 2 bond issues: December 14, 2011: 01dB-Metravib March 8, 2012: €400m bond issue (maturity: October 5, 2017) January 30, 2012: Sofradir March 21, 2012: €200m private placement maturing in 10 years May 16, 2012: ERAMET c.€1.2bn June 1, 2012: AREVA Lesedi June 11, 2012: Millennium No major debt refinancing required before 2016 Average debt maturity: 7 years August 28, 2012: La Mancha Liquidity: €1.9bn in net cash available at 6/30/2012 (+€462m vs end of 2011) 2012-2013 objective for disposals has been reached AREVA Presentation – November 29, 2012 p.18 Safety Commercial priority given to value creation Security Transparency Selectivity in capital spending Debt management 65% of the operating cost reduction goal secured Improving our performance OBJECTIVE of improving performance €1bn reduction in annual operating costs by 2015 €1.0bn Objective Achieved(1) Secured(2) Identified(3) ~€450m (1) Contribution to savings by actions completed at end-June 2012, based on annual costs excluding technology transition in Front End (2) Contribution to savings by actions secured at end-June 2012, based on annual costs excluding technology transition in Front End (3) Contribution to savings by actions identified at end-June 2012, based on annual costs 45% of the 2015 goal is secured ~€150m 2015 objective ~€200m ~€200m 2011-2012 actions 2011-2015 actions 20% of the 2015 objective has been achieved €350m secured at the end of 2012 65% of the €1bn secured by 2015 AREVA Presentation – November 29, 2012 p.19 €47bn of backlog: 5 years of revenue secured Backlog at September 30, 2012 In value Number of years Approximate coverage of 2012 of 2011 revenue in backlog revenue by BG (rounded) Mining €12.8bn Front End €18.5bn Reactors & Services €8.5bn Back End €5.8bn 4 ~100% Renewable Energies €1.3bn 4 ~75% AREVA Presentation – November 29, 2012 p.20 10 8 3 ~100% ~95% ~90% Commercial dynamism and improved profitability Backlog (€bn) Revenue (€m) +10.1% 7,589 42.5 43.3 44.2 8,089 8,529 9,104 8,872 5,950 47.0 45.6 +10.0% 6,542 42.7 34.9 2007 2008 2009 2010 2011 Sept. 2011 Sept. 2012 Restated EBITDA* (€m) 2007 2008 2009 2010 2011 9M 2011 9M 2012 H1 2011 H1 2012 Restated FCF before tax*(€m) 2007 2008 2009 -900 -919 2010 2011 +€508m 908 725 684 -591 421 402 262 2008 2009 2010 2011 H1 H1 2011 2012 *Restated for Siemens impacts in 2011and capital gains on disposal of stakes in Mining and Enrichment projects AREVA Presentation – November 29, 2012 p.21 -1,090 -1,366 217 -2,218 2007 -919 +€328m Agenda ►AREVA overview ►Strategy & performance ►Financial Outlook AREVA Presentation – November 29, 2012 p.22 Financial outlook Action 2016: 2012-2013 outlook Upward revision for 2012 Action 2016: 2015-2016 outlook Nuclear: +3 to 6% per year Nuclear: +4 to 6% Nuclear: +5 to 8% p.a Renewables > €750m Renewables: ~€600m Renewables: >€1.25bn Revenue EBITDA > €750m > €1.25bn > €950m Free operating cash flow excl. disposals > -€1.5bn Break-even > -€1.25bn > +€1.0bn p.a from 2015 At constant consolidation scope 2012 outlook revised upward at the occasion of H1 2012 results AREVA Presentation – November 29, 2012 p.23 Appendix 2012 half-year results – AREVA – July 27, 2012 - p.24 AREVA in figures €47bn backlog at 09/30/2012 Seizing growth opportunities on the worldwide existing fleet and on new markets Geographic distribution of 2011 revenue €8.872bn in revenue in 2011 Europe 61% 47,541 employees in 25 countries 900 experts 8,000 patents Incl. France 36% Incl. Germany 9% North & South America 20% 2% devoted to R&D p.25 Incl. Japan 8% Asia – Pacific Africa & Middle East 4% of sales AREVA Presentation – November 29, 2012 17% Disclaimer Forward-looking statements This document contains forward-looking statements and information. These statements include financial forecasts and estimates as well as the assumptions on which they are based, statements related to projects, objectives and expectations concerning future operations, products and services or future performance. Although AREVA’s management believes that these forward-looking statements are reasonable, AREVA’s investors and shareholders are hereby advised that these forward-looking statements are subject to numerous risks and uncertainties that are difficult to foresee and generally beyond AREVA’s control, which may mean that the expected results and developments differ significantly from those expressed, induced or forecast in the forward-looking statements and information. These risks include those explained or identified in the public documents filed by AREVA with the AMF, including those listed in the “Risk Factors” section of the Reference Document registered with the AMF on 03/29/2012 (which may be read online on AREVA’s website www.areva.com.). AREVA makes no commitment to update the forward-looking statements and information, except as required by applicable laws and regulations. AREVA Presentation – November 29, 2012 p.26