mmx webcast ingles 3 t12 v3
TRANSCRIPT
3Q12 RESULTS
Rio de Janeiro | November 2012
This presentation relating to MMX Mineração e Metálicos S.A. (“MMX”) includes “forward-looking statements”, as that term
is defined in the Private Securities Litigation Reform Act of 1995, in Section 27A of the Securities Act of 1933 and Section
21E of the U.S. Securities Exchange Act of 1934. All statements other than statements of historical facts are statements
that could be deemed forward-looking statements and are often characterized by the use of words such as “projects”,
“expects”, “anticipates”, “intends”, “plans”, “believes”, “estimates”, “may”, “will”, or “intends”, or by discussions or
comments about our objectives, strategy, plans or intentions and results of operations. Forward-looking statements include
projections regarding our operating capacity, operating expenditures, capital expenditures and start-up dates.
By their nature, these forward-looking statements involve numerous assumptions, uncertainties and opportunities, both
general and specific. The risk exists that these statements may not be fulfilled or, even if they are fulfilled, the results or
developments described in such statements may not be indicative of results or developments in future periods. We caution
participants of this presentation not to place undue reliance on these forward-looking statements as a number of factors
could cause future results to differ materially from these statements.
Forward-looking statements may be influenced in particular by factors such as the ability to obtain all required regulatory
approvals on a timely basis or at all, exploration for mineral resources and reserves, difficulty in converting geological
resources into mineral reserves, and changes in economic, political and regulatory conditions. We caution that the
foregoing list is not exhaustive. When relying on forward-looking statements to make decisions, investors should carefully
consider these factors as well as other uncertainties and events.
MMX does not undertake to update our forward-looking statements unless required by law. This presentation is neither an
offer to sell (which can only be made pursuant to definitive offering documents) nor a solicitation of an offer to buy any
securities in the United States, or any other jurisdiction. The securities referred to herein have not been registered in any
jurisdiction, and in particular, will not be registered under the U.S. Securities Act of 1933, as amended, or any applicable
state securities laws and may not be offered or sold in the United States absent registration or an applicable exemption
from such registration requirements.
This presentation and its contents are proprietary information and may not be reproduced or otherwise disseminated in
whole or in part without MMX’s prior written consent.
DISCLAIMER
2
3Q12 HIGHLIGHTS
1
MAIN FIGURES
3Q12 QxQ YxY
Production 2.2 million tons 7% 13%
Sales 1.9 million tons 12% -10%
Net Revenues R$ 245.4 million 21% -10%
Net Profit R$ -101.1 million -74% -59%
EBITDA R$ 44.0 million 216% -12%
3Q12 highlights and subsequent events
Completion of the merger of PortX into MMX;
Issuance of R$ 600 million in debentures by MMX Sudeste
Completion of the construction of Sudeste Superport’s offshore structure
Total sales of 1.9 million tons of iron ore, 12% more in comparison to 2Q12
New quarterly production record for the Sudeste System, totaling 1.7 million tons,
26% more in comparison to 2Q12
BNDES confirms eligibility of Serra Azul Unit’s expansion project for long-term
financing
4
IRON ORE - PRICE
62% Fe Spot China CFR
Average Price 9M11: US$ 176,6
Average Price 9M12: US$ 130,9
∆% 9M:
-26%
Source: Bloomberg
5
SALES VOLUME
1.1
1.7
1.3 1.31.5
1.1 1.1 1.11.3
0.6
0.3
0.3
0.80.7
0.8
0.30.6
0.6
1.8
2.1
1.6
2.1 2.1 1.9
1.4 1.7
1.9
0.0
0.5
1.0
1.5
2.0
2.5
3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12
Sales (million tons)
Domestic Export
6
FINANCIAL HIGHLIGHTS
273
204245
0
50
100
150
200
250
300
3Q11 2Q12 3Q12
Net Revenue (R$ million)
173
113
148
0
20
40
60
80
100
120
140
160
180
200
3Q11 2Q12 3Q12
Gross Profit (R$ million)
50
14
44
18.4%
6.8%
17.9%
0%
5%
10%
15%
20%
0
10
20
30
40
50
60
3Q11 2Q12 3Q12
EBITDA (R$ million)
EBITDA EBITDA Margin
7
CONSOLIDATED DEBT
27%33% 30%
73%67% 70%
0%
20%
40%
60%
80%
100%
3Q11 2Q12 3Q12
Debt profile
Short Term Long Term
8
553
1,873
2,336
3Q11 2Q12 3Q12
Net Debt (R$ Million)
PROJECTS
2
Construction Site and
Warehouse
Maintenance workshop
Beneficiation substation
Sump and Thickners
Administrative Buildings
Primary Crushing
Grind
Pile
Construction Site
Processing
Serra Azul Unit Expansion
Earthwork
10
Serra Azul Unit Expansion
Equipments
CITIC – Gyratory Crushers
FLSMITH – SAG Mill
11
Serra Azul Unit Expansion
Equipments
CITIC –Middle Shell Ball Mill
METSO – Top Right Shipping Vertical Mill
CITIC - Bottom Shell Ball Mill
METSO – Screw Fitting Vertical Mill
12
Sudeste Superport
Road&Railway Access
13
Rail Access to Itaguaí Port
Rail Access to MMX
Road Deviation
Cação River
MRS Line
Sudeste Superport
Stockyard Elevation 6 m
14
Navy
Mariquita’s Hill Tunnel
Stockyard 32
Stockyard 6
Road Access
Sudeste Superport
Stockyard Elevation 6 m
15
Stockyard 32
Stockyard 6
Road Access
Stacker Reclaimer Rolling Way
Car Dumpers
Stacker Reclaimer Infrastructure
Car Dumpers Control Room
16
Sudeste Superport
Car Dumpers
Car Dumpers
Control Room of Car Dumpers
Train Positioners
Sudeste Superport
Stockyard Elevation 32 m
17
Transfer House Concrete Base Electric Substation
Infrastructure
Tunnel Entrance
Sudeste Superport
Stockyard Elevation 32 m
18
Transfer House Concrete Base
Electric Substation Infrastructure
Tunnel Entrance
Sudeste Superport
Bridges and Platform
19
Electric Substation Building
Bridge 2 (270 m)
Bridge 1 (430 m)
Platform 2
Tunnel Exit
Sudeste Superport
Platform and
Substation Structure 20
Electric Substation Building
Platform 2
21
Superporto Sudeste
Estrutura Offshore
21
Bridge
270 m
Bridge
430 m
Pier
766 m
Sudeste Superport
Offshore Structure 21
22
Superporto Sudeste
Estrutura Offshore
22
Sudeste Superport
Structure of the Belt
Conveyor
Defense
Belt Conveyor Structure
23
Superporto Sudeste
Estrutura Offshore
23
Sudeste Superporto
Shiploader
Investor Relations Guilherme Escalhão – CEO and IRO
Adriana Marques– Manager Daniella Maia - Analyst
Tel. + 55 21 2163-6197/4366 [email protected]