presentation for investors and shareholders for q3...
TRANSCRIPT
Presentation for investors and shareholdersfor Q3 2013
31.10.2013.Novi Sad
Investor Relations
2
Disclaimer
This presentation has been prepared by NIS a.d. Novi Sad (the “Company”), and comprises the slides for a presentation toinvestors concerning the Company. Presentation does not constitute or form part of any offer or invitation, or anysolicitation of any offer to sell or purchase or subscribe for, any shares or other securities representing shares in theCompany, nor shall it or any part of it nor the fact of its presentation or distribution form the basis of, or be relied on inconnection with, any contract or investment decision.
Any viewer of this presentation considering a purchase of such securities is hereby reminded that any such sale orpurchase should be made solely on the basis of the information contained in other publicly available documents and will besubject to the restrictions set out therein. No reliance may be placed for any purposes whatsoever on the informationcontained in this presentation, or any other material discussed at any presentation or on its completeness, accuracy orfairness. The information in this presentation should not be treated as giving investment advice or recommendation. Allreasonable measures are taken to ensure that the facts stated in this presentation are accurate, and that the opinionsexpressed are fair and reasonable. However, the contents of this presentation have not been adopted by the corporatebody’s of Company. Accordingly, no representation or warranty, express or implied, is made or given by or on behalf of theCompany or any of its members, directors, officers or employees or any other person as to the accuracy, completeness orfairness of the information or opinions contained in or discussed at this presentation. None of the Company or any of theirrespective members, directors, officers or employees nor any other person accepts any liability whatsoever for any losshowsoever arising from any use of this presentation or its contents or otherwise arising in connection therewith.
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The information in this presentation includes forward-looking statements. These forward-looking statements include allmatters that are not historical facts, statements regarding the Company’s intentions, beliefs or current expectationsconcerning, among other things, the Company’s results of operations, financial condition, liquidity, prospects, growth,strategies, and the industry in which the Company operates. By their nature, forward-looking statements involve risks anduncertainties, including, without limitation, the risks and uncertainties to be set in other publicly available documents,because they relate to events and depend on circumstances that may or may not occur in the future. The Companycautions you that forward looking statements are not guarantees of future performance and that its actual results ofoperations, financial condition and liquidity and the development of the industry in which the Company operates may differmaterially from those made in or suggested by the forward-looking statements contained in this presentation. In addition,even if the Company’s results of operations, financial condition and liquidity and the development of the industry in whichthe Company operates are consistent with the forward-looking statements contained in this presentation, those results ordevelopments may not be indicative of results or developments in future periods. The information and opinions containedin this presentation are provided as at the date of this presentation and are subject to change without notice.
No person is under any obligation to update or keep current the information contained herein.
By attending the presentation you confirm that you have read and understood foregoing limitations.
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Mission, vision and values of the company
VALUES OF THE COMPANY
MISSION
To give the people of the Balkans energy to move towards betterment by responsible use of natural resources and modern technologies
VISION
NIS is to become a recognised leader among energy
companies in the Balkans, by demonstrating high social and ecological responsibility and by providing its clients with modern
services
EXPERTISEgaining up-to-date
knowledge for the goal of constant professional development, and the
ability to implement it in an actual business
processes.
POSITIVISM AND COOPERATION
readiness to participate in multifunctional groups and
projects, eagerness to meet demands of colleagues from other units of the company,
willingness to exchange information, ability to work in
a team.
INITIATIVE AND RESPONSIBILITY
finding and suggesting new solutions both in
the working environment, and in the
sphere of company interests.
COLLECTIVE RESULTS
collective effort in achieving a visible and
meaningful result, a desire to succeed and
provide each other with needed assistance.
NIS in Q3 2013
• 3D seismic survey in the areaand Itebej Kikinda completed;ongoing work in the areaof Čoka and Miloševo; theinitial work in Martonoš, Bokaand Jermenovci.
• Gas discoveries in Vojvodinaas a result of the application ofnew drilling technology
• Drilling of the first explorationwell in the Republic of Srpskacoming to an end
• NIS and Falcon's explorationaldrilling in Hungary has beencompleted, testing in progress
• Drilling of well Jimbolia inRomania completed (testing)
• Second phase of reconstructionof FCC completed
• Completion of the project of sitepreparation in Refinery NoviSad for construction-assemblyworks on the base oils project.
• In the course of the tenderprocedure for selection ERCMcontractor for the base oilsproject.
• Opening of the first petrol station under the brand GAZPROM in Bulgaria
• Gazprom network of petrol stations began operations in Bosnia and Herzegovina
• Agreement with McDonald's to open first restaurant concluded
• NIS is chosen to be the authorized distributor for the sale of subsidized fuel
• NIS and GSP "Beograd" signed a contract for the supply. Over the next three years, NIS will deliver more than 100 million liters of diesel euro to GSP.
• First cogeneration modules, in Sirakovo were put to operations.
• Preparations for commissioning of small power SOS Kikinda and SS1 Velebit in progress. The factory testing of equipment for the remaining 5 plants was performed.
• Memorandum on the implementation of the construction of steam-gas power plant, with the electric capacity of 208 MW in Pancevo.
• Works on construction of WPPPlandište
• Sales of gas to PannonianPower Plants
Exploration and production Refining Sales Energy
5
First Serbian Wind Farm Construction of the first Serbian wind farm was launched in the Plandište municipality on 18 September 2013
• 34 wind generators will be constructed
• Total capacity - 102 megawatt.
• Project capital investments, including thepreparation of base documents and obtainingthe required permits, will amount to nearly 160million euros.
• Funds invested by NIS j.s.c. will not exceed 23 million euros.
• Remaining funds will be provided through the project partnership investments and loans.
• Wind farm construction is expected to take 12 months maximum
Plandište
Additional Modernization of Pančevo RefineryApp. 40 small-scale technical-technological projects and improvements in the Refinery will be completed by the end of the year
7
The Danube Port Modernization
Thermal Insulation of 24 Reservoirs
FCC Complex Reconstruction
Refinery Loading Terminal Modernization
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9М 2013: HSE indicessignificantly improved (except for the perforation coefficient), but still lower than world's best practice
Investment into environmental projects, mln. USD
36%
Transparency index increase Perforation coefficient *
43%
RAR Investigated casesLTIF
-24% -12%-3%-19%
-41% 89%
22%13%
Perforation coefficient is relation between the number of perforations, multiplied by 100 based on the total oil pipeline length in km LTIF - Lost time injury frequency rates (relation between the number of injured during accidents at work and the total working hours, multiplied by 100 thousandRAR - Road Accident Rates - relation between the number of road accidents as opposed to mileage in km, multiplied by 1 million
major accidents
serious incidents
minor incidents
potentially hazardous situations.
27,18
11,7816
9М 2012 Plan 9М 2013 9М 2013 9М 2012 9М 2013
4.631 4.609
214 586
101 112
0 4
1,08 1,432,04
9М 2012 Plan 9М 2013 9М 2013
0,5 0,470,38
9М 2012 Plan 9М 2013 9М 2013
2,08
1,91,84
9М 2012 Plan 9М 2013 9М 2013
56% 65% 78%
9М 2012 Plan 9М 2013 9М 2013
Macroeconomic indicators
9
2012 2013
-3% -3%
• Decline of USD/RSD rate in first 9M of 2013 was -1,5% or -1,29 RSD(USD/RSD rate changed from 86.1763 RSD as of January 1st 2013; to 84,8859 RSD as of September 30th 2013)
• Incline of EUR/RSD rate in first 9M of 2013 was 0.78% or 0.8861 RSD(EUR/RSD rate changed from 113.7183 RSD as of January 1st 2013; to 114.6044 RSD as of September 30th 2013)
• Incline of USD/RSD rate in the first 9 months of 2012 was 9,98 % or 8,07 RSD(USD/RSD rate changed from 80.8662 RSD as of January 1st 2012; to 88,9377 RSD as of September 30th 2012.)
• Incline of EUR/RSD rate in the first 9 months of 2012 was 9,93% or 10,39 RSD(EUR/RSD rate changed from 104.6409 RSD as of January 1st 2012.; to 115.0320 RSD as of September 30th 2012 .)
• Average price of “Urals” crude oil in first 9 months of 2013 was app. 108,06 USD/bbl
USD/RSD Urals, $/bbl
80
85
90
95
I II III IV V VI VII VII IX90
100
110
120
I II III IV V VI VII VII IX
2012 2013
111 108
9М 2012 9М 2013
88,285,6
9М 2012 9М 2013
Representative offices and BranchesTurkmenistan branch, Representative Office in the Russian Federation, Representative Office in Angola, Representative Office in Belgium, Representative Office in Bulgaria, Representative Office in Hungary, Representative Office in Croatia
NIS Group
Starting from Q3 2013 NIS reporting will be on consolidated basis
NIS Group Parent Company – NIS a.d. Novi SadUpstream Block, Refining Block, Sales&Distribution Block, Oilfield Services Block, Energy Block and Corporate Headquarters
Subsidiary companies in the country (originating from NIS` organizational structure)Naftagas – Naftni servisi, Naftagas – Tehnički servisi, Naftagas – Transport and NTC NIS NaftagasSubsidiary companies abroadNIS Petrol (Bulgaria), NIS Petrol (Romania), NIS Petrol (BiH), Jadran Naftagas (BiH) and Pannon Naftagas (Hungary)
Subsidiary companies – „granddaugthers“ G Petrol (B&H) ← NIS Petrol (B&H) and Adria O Zone (MNE) ← O Zone
Other subsidiary companiesJUBOS Bor, O Zone Belgrade, NIS Oversees St Petersburg, SP Ranis Černoglavka(in liquidation), NIS-SVETLOST Bujanovac and NIS Energowind (in FS shown as JV)
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Q3 2013: Key indicators
Q3 2013. Q3 2012. ∆ 퐐ퟑퟐퟎퟏퟑ.퐐ퟑퟐퟎퟏퟐ.
(%) Key indicators Measurement unit 9M 2013. 9M 2012. ∆ ퟗМퟐퟎퟏퟑ.
ퟗМퟐퟎퟏퟐ.(%)
110,7 109,3 1% Urals $/bbl 108,1 111,1 -3%14,0 9,6 46% Net profit billion of RSD 31,7 30,8 3%19,6 10,9 79% EBITDA* billion of RSD 47,7 47,3 1%71,7 62,4 15% Sales (without excise tax) billion of RSD 185 162,3 14%27,5 8,4 228% OCF billion of RSD 49,6 27,7 79%24,9 33,7 35% Taxes and other fiscal obligations (Serbia)** billion of RSD 86,4 63,3 37%409 404 1% Domestic oil and gas production*** thou. c. tons 1.227 1.189 3%303 295 3% Domestic oil production*** (with gazolin and TNG) thousand tons 896 858 4%801 356 125% Oil and semifinalized products refining volume thousand tons 2.204 1.518 45%833 639 30% Total sales of oil products**** thousand tons 2.183 1.707 28%
24 1,7 1312% Abroad sales thousand tons 49 2,1 2.233%693 585 18% Oil products local market sales thousand tons 1.781 1.521 17%167 153 9% Retail thousand tons 484 423 14%594 463 28% Light oil products sales thousand tons 1.557 1.207 29%
0 4 -100% CAPEX from GPN loan**** million of EUR 0 12,1 -100%13,8 9,2 50% CAPEX from OCF (NIS projects) billion of RSD 37,8 18,3 107%
485 367 32% Total bank indebtedness****** million of USD 485 367 32%Calculation of percentage values is based on values expressed in millions of RSDAll possible discrepancies in percentage values and total values are due to rounding errors*EBITDA = Sales (without excise tax)– inventories ( of oil, oil products and other products) – operational expenditure (OPEX) – other costs, which management cannot affect** Taxes and other fiscal obligations includes taxes, duties, fees and other public revenues. Data includes NIS a.d. Novi Sad and subsidiaries: NTC NIS Naftagas d.o.o., Naftagas –Transport d.o.o., Naftagas – tehnicki servisi d.o.o. and Naftagas – Naftni servisi d.o.o..*** Due to change in methodology oil production includes gazoline and LPG**** Under the Agreement of sale and purchase of shares of NIS a.d Novi Sad, clause 8.1.2, JSC Gazprom Neft (GPN) has an obligation to provide EUR 500 million to NIS a.d. Novi Sad by way of special purpose loans in order to implement NIS Novi Sad technological complex reconstruction and modernization program. CAPEX from GPN loan does not include letters of credit. All obligations of Gazprom Neft under the acquisition agreement were fully met in April 2012 and in the second half of 2012 NIS started with loan repayment. Values for CAPEX from GPN loan and CAPEX from OCF are without VAT****** Total bank indebtedness = Total debt to banks + letters of credit. As of September 30th 2013 total debt to banks amounts 471 million USD and letters of credit amount 14 million USD.11
The current negative macroeconomic trends in all countries in the region, significantly affect the fall of the oil and oil derivatives' market
Market of motor fuels trendsAll regional markets except Hungarian are falling in the first nine months of 2013
X%
12
Sources based on which forecasts are made- Eustat (10.10.2013.)- PFC: Downstream Monitoring Service – Europe (June 2013) - Serbia: internal forecasts and analysis- Bulgaria: NIS Petrol, Bulgaria
The market consists of motor and aviation fuels, and fuel oil.Market growth rates are for 9M2013/9M2012
Romania
Bulgaria
Serbia*
Croatia
Bosnia and Herzegovina
-7,8%
-7,8%
+2,5%
-10,2% -3%
n/a
-14,8%
Slovenia
Hungary
NIS Forecast based on available statistical estimates
1,103(64%)
1,192(75%)
629(36%)
406(25%)
1,732 1,598
9М 2012. 9М 2013.
The Market of the Republic of Serbia Foreign direct investment are much lower than expected while insufficiently fast recovery of economic activities and delays in the implementation of investment projects affect lower consumption of motor fuels.*
The market scope of the Republic of Serbia in thousands of tons
-8%
• Although the real annual growth in GDP and industrialproduction for first 8 months of 2013 was 0.2% and5.7%, respectively, motor fuel market is still falling.Purchasing power of the population is still very low andthe rate of unemployment level is over 24%, and thesetwo indicators, besides aforementioned, influence motorfuel consumption.
• The reason behind the increase of the NIS share in themarket lies in the substitution of imported fuel oil,naphtha and euro diesel with domestic products fromPancevo Refinery, and in more active sales, moreeffective price policy, offering products through anetwork of warehouses, etc.
• The retail market has seen a moderate decline in themarket of motor fuels due to relocation of part of thescope of the wholesale channel to the retail channel inthe segment of corporate clients.
• The reasons for the constant increase of the marketshare lie in a continuous process of petrol stationsmodernization, improvement of the service as well as inpositive effects of the rebranding and marketingactivities. Seasonal increase in sales of subsidizedfuels to farmers is also notable, although program forthe fall is going on slower pace than expected.
-2%
The Retail sale Market of the Republic of Serbia in thousands of tons
13 Other*NIS*
Other*NIS*
* NIS includes motor fuels, heating oil EL and LPG cylinders and others include motor fuels, heating oil EL and EL euro.
423(35%)
484(41%)
771(65%)
687(59%)
1,193 1,171
9М 2012. 9М 2013.
14
Financial Indicators
All possible discrepancies in percentage values and total values are due to rounding errors.
• MHC/DHT put in operation
• Increased volumes of refining and sales
• Increased business efficiency
• MHC/DHT put in operation
• Increased volumes of refining and sales
• Increased business efficiency
Net profit in Q3 2013 is by 46% higher than net profit in Q3 2012, while the growth of net profit for first 9 months of 2013 compared to same period last year is 3%
EBITDA
79%
Net profit46% 3%
10.918.3
11.816.3 19.6
Q3 '12 Q4 '12 Q1 '13 Q2 '13 Q3 '13
47.3 47.7
9M '12 9M '13
1%
The increase in EBITDA of 79% in Q33013 compared to Q3 2012 causedthat EBITDA for the first 9M 2013 is atthe same level as the same periodlast year:
9.614.8
7.310.5
14.0
Q3 '12 Q4 '12 Q1 '13 Q2 '13 Q3 '13
30.8 31.7
9M '12 9M '13
Starting from Q3 2013 NIS reporting will be on consolidated basis i.e. for NIS Group
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Increase of OCF:
Increase in Sales:
• Decrease in retail prices in Q3 2013 by app.-2,1% compared to Q3 2012, while in first9М 2013 retail prices increased by +2,5%compared to first 9М 2012.
• Incline of average oil price for Urals RCMBin Q3 2013 ($/bbl), compared to Q3 2012amounts to 1,2%, while decrease ofavegage oil price in first 9М 2013 comparedto first 9М 2012 was -2.7%.
Sales
OCF
15%
• Increase of cash inflow from buyers
Changes in retail prices Q3 9MBMB 95 -3,90% +1,78%Europremium BMB 95 -6,32% -0,56%D2 +3,21% +6,84%Eurodiesel -0,75% +2,31%
14%
All possible discrepancies in percentage values and total values are due to rounding errors*EBITDA = Sales (without excise tax) – inventories (oil, oil products and other products) – operational expenditure (OPEX) – other costs, which management cannot affect
8.4 9.5 10.2 11.8
27.5
Q3 '12 Q4 '12 Q1 '13 Q2 '13 Q3 '13
228%
27.7
49.6
9M '12 9M '13
79%
62 6550
64 72
Q3 '12 Q4 '12 Q1 '13 Q2 '13 Q3 '13
162
185
9M '12 9M '13
Financial IndicatorsStarting from Q3 2013 NIS reporting will be on consolidated basis i.e. for NIS Group
16
Increase of the domestic oil and gas production in Q3 2012 in comparison to the Q3 of 2012 is 1%, and for first 9M 2013 compared to first 9M 2012 it amounts to 3%
• Increase in domestic oil production4% as a result of additional geological and technical activities implementation
• Gas production is -0,2% in comparison to the first 9 months of 2012 due to duration of the repair of compressor stations, as well as the higher pressure in the main pipeline
• Change in the methodology for oil and gas production calculation -gasoil and LPG is included, and as for gas production, data on gas refining has been taken into account
Exploration and production
1%
3%
Domestic oil and gas production (in thousand conditional tons)*
Domestic oil production (in thousand tons)
3%
4%
•1.256 м3 of = 1 tone equivalent of oilAll possible discrepancies in percentage values and total values are due to rounding errorsDue to change in methodology oil production includes gazoline and LPG
404
416411
407 409
Q3 '12 Q4 '12 Q1 '13 Q2 '13 Q3 '13
1,189
1,227
9M '12 9M '13
295300 300
293
303
Q3 '12 Q4 '12 Q1 '13 Q2 '13 Q3 '13
858
896
9M '12 9M '13
17
Refining per Refineries
Refining
Imported oilDomestic oil
Novi Sad RefineryPancevo RefineryAll possible discrepancies in percentage values and total values are due to rounding errors
Volume of refining of oil and semi-finaliyed products is increased by 45% comparing to 9M 2012:
• Increased refining of crude oil
• MHC/DHТ plant operation in 2013
• Increased the volume of refiningaccording to market demands.
Refining volume for oil and semi-finalized products (in thousand tons)
Semi-finalized products
17% 4%
83% 96% 100% 100% 100%
Q3 '12 Q4 '12 Q1 '13 Q2 '13 Q3 '1314%
86% 100%
9M '12 9M '13
151336 287 393 429190
346235
344 305
16
5468
75 67
356
736591
812 801
Q3 '12 Q4' 12 Q1 '13 Q2 '13 Q3 '13
6921110
768
88458
2101,518
2,204
9М '12 9М '13
45%125%
423 4842 49
1,0981,297
1833531,707
2,183
9М '12 9М '13153 174 122 196 1672 2 5
19 24
432 426338
432 52653 86
100
137 116639 689566
784 833
Q3 '12 Q4 '12 Q1 '13 Q2 '13 Q3 '13
Sales increased by 28% compared to first 9 months of 2012:
18
Sales
30%Oil derivatives sales (in thousand tons)
Sales structure per oil derivatives (in thousand tons)
Black and other productsWhite products
Export Wholesale RetailAbroad sales*
28%
• Retail – increase by 15%:• Increase of euro quality petrol products
sale
• Abroad assets – increase by 24x• In 9M 2012 there was no significant sale
on abroad assets
• Wholesale – increase by 18%: • Increase in the sale of diesel fuel due to
the increased placement of euro diesel from domestic production
• Decrease in the sale of heavy fuel oil due to warm weather
• Decrease in the sales of gasoline due reduced demand
• Export – increase by 93%: • Increase in the sale of heavy fuel oil and
gasoline components
• Increase in the sale of white oil products share
All possible discrepancies in percentage values and total values are due to rounding errors**Abroad sales are quantities sold by NIS' subsidiaries. In Q3 and 9M 2013 the quantities of products delivered by NIS to its subsidiaries were 16 thousand tons for Q3 and 28thousand tons for 9M, other quantities were delivered by other suppliers
163 222 148 178 185
476 467418
607 648
639 689566
784 833
Q3 '12 Q4 '12 Q1 '13 Q2 '13 Q3 '13
458 511
1.2481.672
1.7072.183
9М '12 9М '13
• “Super Kartica” loyalty program was launched onMay 5th 2013
• Only 5 months after the launch of “Super kartica” :• 1 million unique cards used (app. 304.000
personalized and registered in database)• Increased number of transactions• Average daily fuel bill amongst “Super Kartica”
users, is by +34% higher vs. average bill ofregular (non SK) NIS user
• Non-fuel bill amongst “Super Kartica” users, isby +38% higher vs. average bill of regular NISusers
“Super kartica” loyalty programSales, market share and transaction trend among natural persons
19
V - IX 2012. I - IV 2013. V - IX 2013.
31,0% 33,5% 33,6%
NIS’ sales to natural persons
+2,6pp
Total salesMarket share
+0,1pp6%
20%
Average daily number of transactions9%
16%
V - IX 2012. I - IV 2013. V - IX 2013.
Source: Orfey – internal reports of Sales & Distribution Block, September 2013
Structure of bank indebtedness
20
Total debt to banks (in millions of USD)
Total bank indebtedness (in millions of USD) Structure of total debt to banks per currency in %
Other EUR USD
All possible discrepancies in percentage values and total values are due to rounding errors*Term structure of the debt to banks is shown according to Contract terms and not by maturity of the debt as of Septemberr 30th 2013
GPN loan (in millions of EUR)
Long-term* Medium-term* Short-term*
Total debt Letters of credit
GPN Loan (in millions of EUR)
201 186 111 52 25 62 28 27 41 13 13
392 448443 442 430 412 402 344 330 329 254 253 264 316 317 377
200 191166 173 155 158 143 136 116 115
100 101 99 95 94 95
793 825720 667 611 632 574 507 446 444
354 354 403 424 423 471
61
210
466500
477 453
233 214 110 8 33 94 74 56 13 14 12 13 14 17 19 14
793 825720
667 611 632 574 506 446 444 354 354 403 424 423 471
1.0261.039
830675 644 726 648 562
459 459366 367 418 441 442 485
67% 73% 74% 79% 74% 76% 73% 70% 70% 70% 66% 65% 56%69% 69% 77%
32% 26% 25% 20% 20% 19% 21% 24% 25% 25% 29% 29%26%
24% 23%22%
1% 1% 1% 1% 5% 5% 6% 7% 5% 5% 6% 6%18%
8% 8% 2%
Total bank indebtedness is lower than the limit defined by Board of Directors’ Decision
Investments
Total amount of 37,8 billions RSD was invested in first 9M of 2013
Q3 2013 Q3 2012 Sources of investment funding 9M 2013 9M 20120.00 4.02 CAPEX from GPN loan 0.00 12.070.00 0.76 Ecology 0.00 2.260.00 3.26 MHC/DHT 0.00 9.81
13.78 9.17 CAPEX from NIS funds 37.86 18.270.51 0.18 Ecology 1.27 0.330.19 0.43 MHC/DHT 2.85 1.430.19 0.24 Angola PSA 0.53 0.329.03 6.26 Projects with direct economic effect 26.03 12.603.72 1.97 Projects without direct economic effects 6.53 3.470.14 0.08 Project-researching activities 0.65 0.12
13.78 13.19 TOTAL: 37.86 30.35* in billions of RSD (VAT excluded)
• OMV retail sale network purchase• Reconstruction and rebranding of the
retail sale facilities • Drilling of development wells • Concessions• Geological survey in Vojvodina• Projects for increasing of efficiency and
reliability of Pancevo Refinery
CAPEX per investment projects (in billions of RSD)
All possible discrepancies in percentage values and total values are due to rounding errors*PSA - Production Sharing Agreement; **Including letters of credit for drilling facility of 9 million USD
25% increase of CAPEX in 9M 2013, in comparison to the same period in 2012
21
13,7813,19
Projects without direct economic effect
Angola PSA*
Ecology
MHC/DHT
Projects with direct economic effect
Project-research works0,94 0,513,69 0,19
0,24
0,19
6,26
9,03
1,97 3,720,08 0,14
Q3 2012. Q3 2013.
-95%-46%
-19%
44%
89%64%
5%
1,64 1,277,55 2,85
0,080,53
6,3426,031,50
6,53
0,04
0,65
9M 2012. 9M 2013.
-23%
7x
4x
4x16x
-62%
25%
30,35
37,86
The most important investments in Exploration and Production, Refining and Sales and Distributionfor the first 9M of the 2013
Increase of oil and gasproduction
Increase of reserves
Reconstruction and modernization
Ecological Projects
Retail sale network development
11.1 bn RSD
• Geological exploration in Vojvodina region• Investments in concession rights • Additional geological and technological measures• Drilling new development wells • Production automatization• Reconstruction of the infrastructure
• Construction of MHC/DHT plant• In-line blending of gasoline• Industrial base oil production from the “Velebit” oil type • Reconstruction of Pancevo docks • Lower NOx emission in smoke gases from the Energy
plant
• Rebranding of 33 PS• Construction of 1 PS in Serbia• Reconstruction of 5 PS in Serbia• Regional business development in Bosnia, Bulgaria and
Romania
Exploration and production
Refining
Sale and distribution
22
8.9 bn RSD
15.7 bn RSD
14,67
12,68
8,6
4,27 1,32 5,59
Comparative analysis (benchmarking) of basic indicators with competitorsNIS* 9M 2013, other 6M 2013
23
EBITDA margin (%) EBITDA/FTE** (in thousands USD) Daily sales rate (in ton/day)
Ratio of other products (in %) OPEX ($/boe)
Sources: Companies reports for Q3 2013*NIS group (NIS with subsidiaries) data for 9M 2013. Other companies data for Q3 2013** NIS data without leasing employees and including “first chance” program
20.1 68,5 5.67
78,2 10.38
Lifing costs REVEX
39,2
26
13,4
13,1
8,9
138
79,9
67
35,5
22,3
6,45
6,09
5,69
5,13
5
87
79
78
75,2
72
N/A
Increase of EBITDA and Net Profit
Strong OCF
Total bank indebtedness below defined limit (Debt/EBITDA by 25% lower than planned)
Significant increase of Refining
Increase of motor fuels sales and retail on domestic market
Increase of export, sales on abroad assets
Expansion of the GAZPROM brand in the region
– Outstanding receivables
– Higher tax burdens
– Subsidiaries in phase of growth
24
25
NIS a.d. Novi SadInvestor Relations Sector
Narodnog fronta 1221000 Novi Sad, Serbia
e-mail: [email protected]