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CIMIC Group Limited Annual Report 2016 |
Operating and Financial Review
FINANCIAL HIGHLIGHTS
(CONTINUED)
Financial performance
2
$m
2016
2015
chg. $
chg. %
Group revenue
3
13,534.5
16,128.8
(2,594.3)
(16.1)%
Revenue – joint ventures and associates
(2,680.9)
(2,848.0)
167.1
(5.9)%
Revenue
4
10,853.6
13,280.8
(2,427.2)
(18.3)%
EBIT
758.4
838.9
(80.5)
(9.6)%
EBIT margin
5
7.0%
6.3%
70bp
Profit before tax
740.4
735.0
5.4
0.7%
PBT margin
5
6.8%
5.5%
130bp
NPAT
580.3
520.4
59.9
11.5%
NPAT margin
5
5.3%
3.9%
140bp
EPS (basic)
176.6c
153.7c
22.9c
14.9%
Financial position
6
$m
December
2016
December
2015
chg. $
chg. %
Net cash/(debt)
409.3
1,111.5
(702.2)
(63.2)%
Operating leases
(466.9)
(583.4)
116.5
(20.0)%
Net cash/(debt) (including operating leases)
(57.6)
528.1
(585.7)
(110.9)%
Equity
3,312.4
4,115.3
(802.9)
(19.5)%
Gearing
7
1.7%
(14.7)%
-
-
Net contract debtors
8
1,384.6
1,499.2
(114.6)
(7.6)%
Cash flows from operating activities
$m
2016
2015
chg. $
chg. %
Cash flows from operating activities
9
1,201.4
1,919.6
(718.2)
(37.4)%
Interest, finance costs, taxes and dividends received
(74.4)
(469.4)
395.0
(84.1)%
Net cash from operating activities
10
1,127.0
1,450.2
(323.2)
(22.3)%
Gross capital expenditure
11
(280.2)
(266.3)
(13.9)
5.2%
Free operating cash flow
12
846.8
1,183.9
(337.1)
(28.5)%
Work in hand
13
$m
December
2016
December
2015
chg. $
chg. %
Opening work in hand
29,004.4
31,001.8
(1,997.4)
(6.4)%
New work
14
13,433.1
14,131.4
(698.3)
(4.9)%
Acquisition work in hand
15
(UGL)
5,109.0
-
5,109.0
-
Executed work
(13,534.5)
(16,128.8)
2,594.3
(16.1)%
Total work in hand
34,012.0
29,004.4
5,007.6
17.3%
2
UGL contributed revenue and net profit after tax of $204.2 million and $5.3 million respectively, relating to the 24 November 2016 to
31 December 2016 period that CIMIC held a greater than 50% share of UGL.
3
Group revenue includes revenue from joint ventures and associates of $2,680.9 million (FY15: $2,848.0 million) and excludes interest
income of $73.5 million (FY15: $89.9 million) which has also been reclassified to net finance costs in the 2015 comparable period.
4
Revenue excludes revenue from joint ventures and associates of $2,680.9 million (FY15: $2,848.0 million).
5
Margin is calculated on revenue as defined.
6
Includes UGL balance sheet position as at 31 December 2016.
7
Gearing is expressed as the ratio of net debt and operating leases to net debt, operating leases and shareholders’ equity.
8
Net contract debtors represents the net of amounts due from customers and amounts due to customers. (Refer to Financial Report,
‘Note 8: Trade and other receivables’ – ‘Additional information on contract debtors’.)
9
Cash flows from operating activities is defined as the cash inflow from operating activities before interest, finance costs, taxes and
dividends received.
10
Net cash from operating activities is defined as the cash inflow from operating activities after interest, finance costs, taxes and
dividends received.
11
Gross capital expenditure is payments for property, plant and equipment.
12
Free operating cash flow is net cash from operating activities including gross capital expenditure.
13
Work in hand includes CIMIC’s share of work in hand from joint ventures and associates.
14
New work includes new contracts and contract extensions and variations including the impact of foreign exchange rate movements.
15
Includes UGL’s work in hand at acquisition date, 24 November 2016.
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