apr-11.pdf (2.07 MB) - Crown Ownership Monitoring Unit

Solid Energy New Zealand LimitedCHAIR » John PalmerBOARD » John Fletcher,Alan Broome, Simon Marsters,John McDonald, David Patterson,Michelle Smith, AdrienneYoung CooperCHIEF EXECUTIVE » Dr Don ElderActivitiesSolid Energy’s core businessis the mining of coking coal forexport markets and NZ Steel, andthermal coal for the Huntly powerstation and a number of industrialcustomers.Solid Energy extracts, processes,markets and distributes over fourmillion tonnes of coal a year.Solid Energy is also investing inalternative energy forms suchas biomass, biodiesel, coal-togasoptions and developingSouthland’s lignite resources.Financial performance measures2007 2008 2009 2010 2011ReturnsTotal shareholder return 26.7% 521.8% (15.9%) 37.3% (14.7%)Dividend yield 0.0% 0.0% 2.2% 1.9% 0.7%Dividend payout 0.0% 0.0% 46.8% 85.2% 22.1%Adjusted ROE 33.6% 10.2% 32.8% 16.0% 18.8%EfficiencyROCE 46.5% 15.8% 45.4% 21.7% 22.0%Operating margin 23.6% 18.1% 28.4% 24.2% 24.0%Generator efficiency N/A N/A N/A N/A N/ALeverageNet gearing 5.0% 9.4% 13.8% 34.4% 29.6%Interest cover 32.6 28.9 152.0 37.8 17.9Current ratio 2.45 1.66 1.74 1.23 2.02OtherFive-year averageDividend growthN/ARevenue growth 10.2%Income statement$m 2007 2008 2009 2010 2011Revenue 565 554 984 693 831EBITDAF* 133 100 279 168 200NPAT 94 34 111 68 87Balance sheet$m 2007 2008 2009 2010 2011Total assets 546 638 768 963 1,131Total liabilities 218 270 334 520 612Commercial value** 475 2,954 2,425 3,276 2,773Cash flow statement$m 2007 2008 2009 2010 2011Operating activities (net) 115 41 147 86 129Purchase of fixed assets 93 57 110 172 115Dividends paid 0 0 60 54 20Net cash flow 59 (20) (7) (14) 39Notes:* The EBITDAF numbers are different from those reported in the 2010 APR. In particular, realised gainsand losses from foreign exchange transactions and other financial instruments are now included beforeEBITDAF. All non-realised gains and losses are included as other gains and losses, as was done in the2010 APR** Commercial valuations contained in the SCIpage | 96