Skip to main content Q2 2010 RESULTS – Dresser Rand Group Inc Investor Presentation | Shale Experts
Loading...
Pm

Q2 2010 RESULTS – Dresser Rand Group Inc

Dresser Rand Group Inc · Jul 29, 2010 · 23 slides

Investor presentation from the Shale Experts oil & gas presentation and slide database. Every page is imaged and its text indexed for search across operators, plays, basins and time.

Slides

  1. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 1
    Dresser-Rand Group Inc Dresser- Inc. (NYSE: DRC) Second Quarter 2010 Conference Call July 29 29, 2010 Copyright 2009 9
  2. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 2
    Strong Second Quarter 2010 Performance Continuing market recovery 2Q10 Q 0 bookings boo gs + 38% Strong operating margins Outstanding safety performance (TRIR 0 0.45) 45) Operating income 63 million Diluted EPS 0.43…
  3. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 3
    Second Quarter Bookings by Segment ( in Millions)) Total bookings + 38% 600 557 Aftermarket + 8% 253 New Units + 80% 405 New Unit market remains very 400 236 active Inquiries continuing at high 304 levels 200 Upstream activity…
  4. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 4
    New Unit Market Recovery Continued in 2Q10 Upstream half of the total Offshore production platforms North Sea; Norwegian Sea Deepwater semi-submersible for the Gulf of Mexico FPSO - Brazil Offshore gas field - Australia.…
  5. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 5
    Backlog by Segment ( in Millions) 2,100 1,949 1,845 , Backlog of 1.8 billion 414 1,748 1,645 1,712 369 341 380 356 5% lower than 2Q09 1,400 1,535 1,476 1 371 1,371 1 368 1,368 1,289 3rd consecutive quarter backlog was…
  6. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 6
    Revenues by Segment ( in Millions) 625 606 Total revenues down 29% vs. vs 258 500 2Q09 due principally to lower 431 volume 375 263 348 New Unit revenues down 52% 250 Aft Aftermarket k t revenues up 2% 125 168 0 2Q09 2Q10…
  7. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 7
    Second Quarter 2010 Results ( in i Millions) Milli ) 2Q10 2Q09 Change Revenues 431.2 606.1 -29% Cost of Sales 287.6 436.1 -34% - % of Revenues 66.7% 72.0% Selling & Administrative 74.1 68.9 8% Research & Development 6.6 4.9 35%…
  8. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 8
    Segment Operating Income ( in Millions) New Units Aftermarket 75 75 67.6 58.2 50 50 48.1 25 28.7 25 0 0 2Q09 2Q10 2Q09 2Q10 Copyright 2010 0 9
  9. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 9
    Unusual Quarter in Terms of Revenue Mix Affected Margins 07 09 Average Revenue Mix 53% New Unit / 47% Aftermarket 2Q10 Actual - 39% New Units / 61% Aftermarket New Unit segment g overhead allocations suppressed pp by y 300 to…
  10. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 10
    New Unit Operating Income Margins 20% 17.1% Hypothetical 12.1% to 14.1% 15% 13.8% Lower allocations of overhead costs 10% Lower volume Favorable mix within 5% the segment Material productivity 0% improvements 2Q09 2Q10…
  11. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 11
    Aftermarket Operating Income Margins 30.0% Hypothetical 25.6% to 27.6% 26 2% 26.2% 20.0% Higher allocations of 22 1% 22.1% overhead costs Unfavorable mix within 10 0% 10.0% the segment 0.0% 2Q09 2Q10 Copyright…
  12. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 12
    Operating Cash Flow 6 Months Ended June 30 ( in Millions)) 6/30/10 6/30/09 Net Income 57.3 94.8 D&A 25.8 25.6 Working Capital 1.7 (35.3) Pension Contributions (5.4) (29.9) Other 23.1 13.2 Net Provided By Operating Activities…
  13. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 13
    Net Working Capital ( in Millions) 6/30/10 12/31/09 Accts. Receivable,, Net 267 290 Inventories, Gross 524 618 Less Progress Payments (229) (265) Inventories, Net 295 353 Prepaid Expenses 31 25 Accounts Payable & Accruals (338)…
  14. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 14
    Cash Flow 6 Months Ended June 30 ( in Millions)) 6/30/10 6/30/09 Net Cash Provided by Operating Activities 102.5 68.4 Investing Activities (78.6) (17.9) Financing Activities (24.5) 0.0 Effect of Exchange Rate (15.9) 3.6 Net…
  15. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 15
    Liquidity ( in Millions) 600 557 500 Revolver matures 2012 536 207 179 Outstanding Letters of Credit: 395 400 160 Revolver - 150 357 350 Uncommitted Lines - 105 200 235 0 1Q09 1Q10 2Q10 Revolver Cash Copyright…
  16. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 16
    Capital Structure ( in Millions) Net Debt to Capital Strong balance sheet 20% 20% 14% Net debt to total capital 12% 10% 12% 11% Total debt 370 (7 3/8% 0% Notes) 08 09 10 10 4Q 4Q 1Q 2Q Net Debt to…
  17. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 17
    Current Market Conditions and Outlook Considerable market activity Expect new unit bookings to be in the range of 1.1 to 1.3 billion for the full year Expect aftermarket bookings to increase through the balance of the year R…
  18. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 18
    Foreign Currency Translation US to 1 EURO (Average Rates) Initial 2010 Guidance 3Q09 Earnings Call on O t b 29, October 29 2009 1.5 1.4 1.3 1.2 . n. . n. il il ly ly . ch ch M . M .…
  19. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 19
    2010 Financial Summary ( and Shares in Millions) New Units Revenue 800 to 1,000 Aftermarket Revenue 1,000 to 1,200 Operating Income 260 to 300 - New Unit Operating Margins Low Double Digits - Aftermarket Operating Margins 22% to…
  20. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 20
    Appendix Copyright 2009 9
  21. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 21
    Adjusted EBITDA Reconciliation to GAAP ( in Millions) 2Q10 2Q09 Net Income 35.0 60.3 Interest Expense - net 8.3 8.4 Depreciation & Amortization 12.6 13.2 Income Tax Expense 19.0 32.6 EBITDA 74.9 114.5 Adjustments 11.2 11.9…
  22. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 22
    Net Debt Reconciliation to GAAP ( in i Millions) Milli ) At 6/30 2010 2009 Total Debt 370.0 370.2 Less Cash (206.7) (201.2) Net Debt 163.3 169.0 Copyright 2010 0 23
  23. Q2 2010 RESULTS – Dresser Rand Group Inc – slide 23
    www dresser rand com www.dresser-rand.com infodresser-rand.com Copyright 2009 9

From the store

Browse maps, data & reports in the Shale Experts store