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ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTS 2 ND SEPTEMBER 2013

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Page 1: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

ANALYST & INVESTOR BRIEFING

2Q 2013 RESULTS 2ND SEPTEMBER 2013

Page 2: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

www.eversendai.com Page 2

DISCLAIMER

The information in this presentation is for information purposes only and does not constitute an offer or invitation to sell or the solicitation of an offer or invitation to subscribe for or purchase of any ordinary shares (“Shares”) in Eversendai Corporation Berhad (“Eversendai”) in Malaysia, the United States or any other jurisdiction.

This presentation may contain forward-looking statements that involve risks and uncertainties. Actual future performance, outcomes and results may differ materially from those expressed in forward-looking statements as a result of a number of risks, uncertainties and assumptions. Although Eversendai believes that such forward-looking statements are based on reasonable assumptions, it can give no assurance that such expectations will be met. Eversendai, its affiliates, agents, advisers and their respective directors, officers, partners, employees and representatives assume no responsibility to amend, modify or revise any forward-looking statements on the basis of any subsequent developments, information, events or otherwise.

Representative examples of these factors include (without limitation) general industry and economic conditions, continuing political and social stability in the countries we operate, competition from other companies, changes in operating expenses, including employee wages, benefits and training, governmental and public policy changes and the continued availability of financing in the amounts and the terms necessary to support future business. You are cautioned not to place undue reliance on these forward looking statements, which are based on current view of the management on future events.

This presentation has been prepared by Eversendai. The information in this presentation has not been independently verified. No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information and opinions contained in this presentation and any other oral or written information provided in connection therewith. None of Eversendai, its affiliates, agents, advisers and their respective directors, officers, partners, employees and representatives shall have any liability whatsoever (in contract, tort or otherwise) for any loss howsoever arising which may be based on this presentation or any other oral or written information provided in connection therewith and any errors therein and/or omissions therefrom.

This presentation and its contents are strictly confidential and must not be copied, reproduced, distributed, summarized, disclosed, referred or passed on to any party at any time without the prior written consent of Eversendai.

This presentation shall not constitute and should not be considered as any form of opinion or recommendation by Eversendai, its directors, officers, partners, employees and/or representatives.

By attending this presentation and/or receiving a copy of this presentation, you agree to be bound by the limitations contained above.

Page 3: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

www.eversendai.com Page 3

AGENDA

Project: National Museum of Qatar

Operational Highlights

Financial Highlights

Moving Forward

Q & A

Page 4: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

www.eversendai.com

Operational Highlights

Page 5: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

www.eversendai.com Page 5

542.8

923.9

1,065.2

1,667.8

408.9 416.7 1

H1

3

20

12

20

11

20

10

20

09

20

08

NEW CONTRACTS SECURED IN 1H2013 Total value of new contracts secured in 1H2013 was RM543m

Secured from Middle East region

Val

ue

of

Ne

w C

on

trac

ts S

ecu

red

(i

n R

M’m

illio

n)

10

0%

90

%

66

%

53

%

45

%

80

%

UAE: RM351.2m

CIS: RM87.7m

India: RM21.3m

100%

Qatar: RM58.8m

Iraq: RM23.9m

Page 6: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

www.eversendai.com Page 6

KEY ON-GOING PROJECTS 20 key on-going projects across 7 countries in the region

Page 7: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

www.eversendai.com Page 7

KEY ON-GOING PROJECTS 20 key on-going projects across 7 countries in the region

Page 8: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

www.eversendai.com Page 8

KEY ON-GOING PROJECTS 20 key on-going projects across 7 countries in the region

Page 9: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

www.eversendai.com Page 9

ORDER BOOK Our order book is at RM1.4 billion

By Geography Middle East

51.2%

By Business Segment (In RM’million)

Structural Steel

Construction

Power Plant

16.2%

51.7%

32.0%

710.1 439.8

222.4

2013

2014

2016

2015

Order Book Run Rate

RM528.1m

RM475.9m

RM305.5m

RM62.9m

TOTAL: RM1,372.4m

Page 10: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

www.eversendai.com

Financial Highlights

Page 11: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

www.eversendai.com Page 11

81

7.1

74

4.9

1,0

33

.7

1,0

21

.3

49

0.7

20

09

20

10

20

11

20

12

1H

20

13

REVENUE

Middle East

64.8%

Malaysia 22.5%

India 12.7%

Construction 11.9%

Power Plant 24.8%

(In RM’million)

Structural Steel

63.3%

By Business Segment

By Geography

Revenue split by geographical markets and business segments

24

3.2

24

7.5

Q1

Q2

Page 12: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

www.eversendai.com Page 12

EARNINGS

78

.0

11

6.7

11

9.5

11

5.4

40

.1

20

09

20

10

20

11

20

12

1H

20

13

PATAMI (In RM’million)

2009 9.5%

2010 15.7%

2011 11.6%

2012 11.3%

1H2013 8.2%

PATAMI Margin

1H2013

2012

2011

2010

2009

13.4%

17.8%

17.2%

21.9%

19.3%

EBITDA Margin

EBITDA and PATAMI margins analysis

23

.7

16

.5

Q1

Q2

Page 13: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

www.eversendai.com Page 13

1H

20

13

20

12

20

11

20

10

480.0

254.0 306.5

394.6

36

5.1

22

8.9

29

0.9

14

1.9

Borrowing

Cash & equivalents1.27

0.43 0.32

0.58

FINANCIAL POSITION

31

1.8

71

6.1

78

3.3

83

2.1

20

10

20

11

20

12

1H

20

13

Shareholders’ Funds (In RM’million)

NAV per share: 92.5 Sen

107.5 Sen

(In RM’million)

Gearing ratio (x)

101.2 Sen

Shareholders’ funds, NAV and gearing positions

Page 14: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

www.eversendai.com Page 14

SHAREHOLDING STRUCTURE

* Since IPO in July 2011.

As at 9 July 2013 CIMB

Principal* 1.1%

Lynas Capital

1.9%

Page 15: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

www.eversendai.com

Moving Forward…

Page 16: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

www.eversendai.com Page 16

Over 17 years of experience and networking established in the Middle East region.

Increasing steel construction demand in Saudi Arabia, Abu Dhabi and Qatar.

Saudi Arabia accounts for over 50% of the total construction market in the Gulf Countries and more opportunities in Qatar due to the 2022 FIFA World Cup.

Middle East

Saudi Arabia Qatar UAE

INDUSTRY OUTLOOK & STRATEGY Operate in areas free from political turmoil and establish a

strong track record evidenced by continuous job wins

Page 17: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

www.eversendai.com Page 17

Malaysia

High impact projects under 10th Malaysia Plan worth USD20 billion; Potential structural steel/ composite structured construction business in Tun Razak Exchange, MRTs, Warisan Merdeka, Pengerang development and etc.

Power plant projects: Manjung 3A , 3B, Pengerang Co-Gen and Prai Power Station.

Demand for high rise buildings, particularly in Mumbai and Bangalore.

Potential projects in airports and power plants.

The 5th fabrication plant in Trichy will be completed in September 2013.

India Commonwealth of Independent States

Comprising 11 member countries. Potential for huge development projects from these oil-rich states.

Successfully set foot in Azerbaijan by securing the Crescent City Project at Baku.

On-going effort to penetrate into other states: Kazakhstan, Turkmenistan and others.

INDUSTRY OUTLOOK & STRATEGY

Page 18: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

www.eversendai.com Page 18

PAST PRESENT

UAE Qatar Saudi Arabia India Malaysia

Oman Azerbaijan

India Ras Al

Khaimah

Structural steel Power plant Construction

Dubai, UAE Sharjah, UAE Doha, Qatar Rawang, Malaysia

Enhance Penetration in

Existing & Expand into

New Markets

Expand Service Offering

Increase Capacity

FUTURE

Other Middle East countries

CIS and East African countries

Australia and other ASEAN countries

Strategic Alliance with our power plant clients for Asian countries

To expand into local petrochemical sector

Saudi Arabia CIS

FUTURE PLAN Strengthening competitive position through diversification &

market expansion

Power Plant: Part EPC contractor in Tj. Bin 4

O&G: Secured the 1st O&G contract in Iraq

Construction: 49% equity stake in Vahana

Page 19: ANALYST & INVESTOR BRIEFING 2Q 2013 RESULTSir.irchartnexus.com/eversendai/docs/analysts/2Q2013 Analyst Briefing.pdf · Our order book is at RM1.4 billion By Geography Middle East

www.eversendai.com

Thank You.