third quarter 2014 results medellín, colombia november 4, … · 2014-11-04 · diapositiva 1...

THIRD QUARTER 2014 RESULTS

Medellín, Colombia

November 4, 2014

Luis Fernando Alarcón, CEO

Carlos Alberto Rodríguez, CFO

DISCLAIMER

Certain statements contained in this report constitute "forward-looking statements"

within the meaning of the Private Securities Litigation Reform Act of 1995.

These forward-looking statements reflect our current views with respect to future events

and are based on assumptions and subject to risks and uncertainties. Also, these

forward-looking statements present our estimates and assumptions only as of the date

of this report. Except for our ongoing obligation to disclose material information as

required by federal securities laws, we do not intend to update you concerning any

future revisions to any forward-looking statements to reflect events or circumstances

occurring after the date of this report.

Amounts expressed in US dollars are for information purposes only, and do not

reflect accounting conversion techniques usually applied. As of September 30,

2014, the exchange rate was of USD 1.00 = COP 2.028,48 (Source: Banco de la

República de Colombia).

2

Operating Highlights

Investments

Third Quarter 2014 Results

Q&A

AGENDA

3

HIGHLIGHTS 4

UPME 02 2014 Reforma Connection:

Construction of two line bays of Reforma Substation and 1-km. transmission line.

Villavicencio - Meta.

Estimated revenues: COP 0.5 million

Date of Entry into Operation: November 30, 2015

During the third quarter of 2014, ISA and its affiliates were awarded 7

energy transmission projects in the region

COLOMBIA

UPME 06 2013 Caracolí Substation:

Construction of Caracolí 220 kV Substation and two transmission lines, 22 km and 31 km

long.

Soledad – Atlántico.



UPME 07 2013 Montería Substation:

Construction of Montería and Chinú Substations and 71-km. and 124-km.

transmission lines. Córdoba.



HIGHLIGHTS 5

ISA won bidding process in Peru:

Design, financing, construction, operation and

maintenance of one 220-kV transmission line Friaspata –

Mollepata, Expansion of Friaspata and Mollepata

Substations.

Concession Term: 30 years.


Date of Entry into Operation: 24 months from the date of

awarding of project.


energy transmission projects in the region PERÚ

HIGHLIGHTS 6


energy transmission projects in the region

CHILE

Project

V.I. Ref. COMA

Referential

thousands

USD

Term

Dec ’09 (USD MM) (months)

1 Autotransformer bank S/E Nueva

Cardones, 500/220 kV, 750 MVA 25.3 364 36

2

Autotransformer bank S/E Nueva

Maitencillo, 500/220 kV, 750

MVA

25.3 364 36

3 Autotransformer bank S/E Pan

de Azúcar, 500/220 kV, 750 MVA 25.3 364 36

Total Bidding Process 75.8

Estimated revenues: USD 2.6 million

Date of Entry into Operation: September 30, 2017

V.I. Ref: reference investment value

COMA: operation, maintenance & management cost

HIGHLIGHTS 7

Upheld the Bond program

ratings. Outlook remained

Stable.

AAA(col)

Affirmed local and

international long-term rating

BBB

Rating agencies upgraded and affirmed ISA’s ratings

Upgraded international

issuer rating to

Baa2

Outlook stable

Upgraded the international

corporate credit rating to

BBB

Outlook stable

AGENDA


Investments


Q&A

2014 2015 2016 2017 2018 2019 2020

Colombia Peru Brazil Chile Others

Investment by country COP %

Colombia 2,233 26.2

Peru 1,854 21.7

Brazil 2,332 27.3

Chile 2,076 24.3

Others 37 0.4

Investment by business COP %

Energy 7,544 88.4

Toll Roads 518 6.1

Telecommunications 290 3.4

SMRTS 180 2.1

LONG-TERM INVESTMENT PLAN 9

COP billions

1.393

2.494

1.044

Projections September 2014

481 331 377

2.411

COP 8,532 billion

(USD 4,296 million)

Long-term investment plan ensures ongoing company’s growth

INVESTMENT OPPORTUNITIES 10

ENERGY TRANSMISSION (2014 and 1S-2015)

Figures in millions

Colombia, Expansion Plan UPME (USD 1,074) La Loma 500 kV - USD 29.2

Ituango – USD 427.1

Reinforcement Southwest area 500kV – USD 291.7

Reinforcement Caribbean area - USD 225.9

Second Eastern Reinforcement– USD 84.5

Porce III – USD 15.6

Chile, , CDEC-SIC & SING (USD 585). Line 2x500 kV Pichirropulli - Puerto Montt – USD 81.0

Substation Nueva Charrúa, línea Nueva Charrúa –

Charrúa – USD 81.0

New Substation Crucero Encuentro – USD 23.0

Interconnection SING-SIC – USD 400.0

Peru, Proinversión projects (USD 278) Line Azangaro-Puno - USD 80.0

Nueva Lurín – USD 20.0

Substation Carapongo – USD 30.0

Substation Córpac and LT Industriales–Córpac –

USD 148.0

Colombia-Panama Interconnection – USD 500.0

There are significant short-term investment opportunities in the energy

transmission business

INVESTMENT OPPORTUNITIES 11

ROAD CONCESSIONS

Figures in millions

In Colombia projects ANI, Q4 2014. Design,

construction, financing and operation of road

concessions. Consortium ISA-CINTRA.

Girardot Neiva 191 km - USD 648

Cruz del Viso-Carreto-Palmar de Varela 204 km –

USD 265

Santana-Mocoa-Neiva 422 km - USD 679

Bogota-Villavicencio (Sector 1) 30 km - USD 1,154

Popayán-Santander de Quilichao 76 km - USD 680

In Chile, projects MOP for USD 300.0

Third lane projects I & III in Maipo – USD 200.0

Pedestrian connections in Ruta del Maule and Ruta

del Bosque – USD 100.0

Road concession opportunities are focused in Colombia and Chile.

MOP project portfolio USD

Route G-21 Ski Centers access 2012 107

Route G-60 Road Connection Melipilla -

Camino de la Fruta 2014 38

Road Nogales – Puchuncaví 2014 148

Tunnel El Melón [R] 2015 120

Improvement of Route Nahuelbuta 2015 237

Road Connection Route 78 to Route 68 2015 108

Ruta de la Madera 2016 142

Route 66 Camino de la Fruta 2016 420

Américo Vespucio Oriente Principe de

Gales – Grecia 2016 726

Road Concession Autopista Metropolitana

del Puerto Montt 2016 273

Concession Route 5, Caldera – Chañaral

Section 2017 250

Conurbacion La Serena Coquimbo 2017 133

Improvement Route 68 2020 200

AGENDA


Investments


Q&A

CONSIDERATIONS 13

EXCHANGE

RATES

9M14

average

9M13

average

Change

%

3Q14

close

3Q13

end

Change

%

COP / USD 1,826.83 1,960.99 7.3% 1,926.83 1,881.19 -2.4%

REAL / USD 2.03 2.30 13.3% 2.34 2.20 -6.0%

CLP / USD 478.68 553.06 15.5% 524.61 552.72 5.4%

COP / REAL 898.41 853.79 -5.0% 822.52 854.12 3.8%

COP/ CLP 3.82 3.55 -7.1% 3.67 3.40 -7.4%

Third quarter financial results were COP 161 billion, a 46.2% increase

compared with the same period of 2013

Results were due to the following:

1. Increase of revenues in Brazil and Colombia

2. Entry into operation of new projects in Peru

3. Amortization of ISA Capital do Brasil’s goodwill

Breakdown by Business – 3Q14 Breakdown by Country – 3Q14

Total operating

revenues reached

COP 1.021.908 million

/ USD 504 millions in

3Q14.

SMRTS: Smart Management of Real Time Systems

CONSOLIDATED FINANCIAL RESULTS

REVENUES 14

CO

P b

illio

ns

11.0%

921 1.022

0

200

400

600

800

1.000

1.200

3Q13 3Q14

COLOMBIA 36,6%

CHILE 19,9%

BRAZIL 30,3%

PERU 11,8%

OTHERS 1,3%

Energy 71,5%

Roads 19,8%

Telecommunications

5,8%

SMRTS 2,9%

million 3Q13 3Q14 Change

%

AOM Costs and Expenses 378.696 410.652 8,4%

Depreciation 40.631 41.350 1,8%

Amortization 47.925 39.733 -17,1%

Provisions 14.002 21.733 55,2%

Total 481.254 513.467 6,7%


COSTS AND OPERATING EXPENSES

Breakdown by Business – 3Q14

Breakdown by Country – 3Q14

15 C

OP

bill

ions

481

513

400

450

500

550

3Q13 3Q14

6.7%

Energy 73,4%

Roads 12,1%

Telecommunications

10,0%

SMRTS 4,6%

COLOMBIA 38,2%

CHILE 12,6%

BRAZIL 35,7%

PERU 12,0%

OTHERS 1,5%

Breakdown by Country – 3Q14


EBITDA

Breakdown by Business – 3Q14

16 C

OP

bill

ions

EBITDA reached COP 618.715 million / USD 305 million in 3Q14.

12.5%

550

619

500

550

600

650

3Q13 3Q14

Energy 72,2%

Roads 23,5%

Telecommunications

3,2%

SMRTS 1,2%

COLOMBIA 35,9%

CHILE 23,5%

BRAZIL 24,0%

PERU 15,2%

OTHERS 1,3%

57,7

51,9

59,7

54,4

60,3 58,9

60,5

1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14

EBITDA Margin

Non-operating results

was –COP 147.624 million /

–USD 73 million in 3Q14.


NON-OPERATING RESULTS

millions 3Q14

Colombia -13.176

Chile -113.906

Brazil -5.329

Peru -13.937

Other -1.274

millions 3Q14

Energy Transmission -29.296

Road Concessions -111.535

Telecommunications Transport -7.192

SMRTS 398

Breakdown by Business Breakdown by Country

17

CO

P b

illio

ns

-520

-148

-600

-500

-400

-300

-200

-100

0

3Q13 3Q14

-71,6%

Net Income for 3Q14 reached COP 160,528 million / USD 79 million.


NET INCOME

Breakdown by Business Breakdown by Country

millions 3Q14

Colombia 111.896

Chile 14.150

Brazil 11.416

Peru 20.375

Other 2.692

millions 3Q14

Energy Transmission 141.577

Road Concessions 16.564

Telecommunications Transport -770

SMRTS 3.158

18

CO

P b

illio

ns 110

161

0

50

100

150

200

3Q13 3Q14

46.2%

4,9 8,6 16,4

11,9 11,0

17,3

15,3

28,4

16,2

22,6

0,6

23,8 25,7 24,7

4Q12 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14

Net Margin Net Margin BMI

Assets in 3Q14 totaled COP 25,521,515

million or USD 12,582 million.

Assets by Country - 3Q14

Assets 25,567 25,447 Assets by Business - 3Q14

CONSOLIDATED BALANCE SHEET 19

CO

P b

illio

ns Energy

64,5% Roads 31,9%

Telecommunications

2,6%

SMRTS 0,9%

COLOMBIA 29,5%

CHILE 32,1%

BRAZIL 25,4%

PERU 12,6%

OTHERS 0,5%

-1,8%

0,7%

8,0%

-0,2%

7.451 7.506

3.705 4.001

14.411 14.014

0

5.000

10.000

15.000

20.000

25.000

30.000

2013 3Q14Liabilities Minority interest Equity

millions 2013 3Q14 Change

%

3Q14

USD

CHILE 4,217,278 3,862,469 -8.4% 1,904

COLOMBIA 1,788,574 1,777,134 -0.6% 876

BRAZIL 1,169,464 1,151,736 -1.5% 568

PERU 1,464,947 1,648,128 12.5% 812

BOLIVIA 51,134 44,044 -13.9% 22

ARGENTINA 7,071 6,112 -13.6% 3

TOTAL 8,698,468 8,489,624 -2.4% 4.185

CONSOLIDATED FINANCIAL DEBT

Breakdown by Rate Breakdown by Source Breakdown by Currency

20

Fixed 18,1%

CDI 8,6%

ICP 15,0% TJLP

2,7% TAB 6,3%

Libor 5,1%

DTF 4,6%

UF 39,0%

Other 0,6%

Capital Market 73,9%

Banks 25,3%

Other 0,8%

BRL 12,6%

COP 19,6%

USD 22,4%

UF + CLP 45,3%

Others 0,1%

4,1

4,5 4,7 4,7

4,5 4,3 4,2

3,2 3,4 3,4

3,1

3,6 3,7

4,2

1Q13 2Q13 3Q13 2013 1Q14 2Q14 3Q14

Debt / EBITDA EBITDA / Interest

AGENDA


Investments


Q&A

22

Investor Relations

Email [email protected]

Website www.isa.co

Twitter @ISA_Avanza

@ISA_Avanza /ISAAvanza Interconexión

Eléctrica ISA /CanalISAAvanza

third quarter 2014 results medellín, colombia november 4, … · 2014-11-04 · diapositiva 1...

Documents