Upload
localiza
View
187
Download
0
Embed Size (px)
Citation preview
1
Localiza Rent a Car S.A.
July, 2009
2Q09 and1H09 Results (R$ millions - USGAAP)
2
Car rental division
20,88821,55021,34120,83321,848
15,93712,842
9,4026,654
2004 2005 2006 2007 2008 1H08 1H09 2Q08 2Q09
CAGR: 34.6%-3.1%
140.8141.0
291.9278.6
585.7
442.7357.2
271.3197.1
2004 2005 2006 2007 2008 1H08 1H09 2Q08 2Q09
CAGR: 31.3%
-0.1%
4.8%
2.4%
Even on this unfavorable scenario, revenues have grown 4,8% on 1H09.
Net revenues (R$ millions)
Average rented fleet (quantity)
3
Fleet rental division
19,00516,987
19,39116,35217,880
14,29511,635
9,3087,796
2004 2005 2006 2007 2008 1H08 1H09 2Q08 2Q09
CAGR: 23.1%11.9%
76.266.0
152.1127.7
276.9
228.2190.2
149.2127.8
2004 2005 2006 2007 2008 1H08 1H09 2Q08 2Q09
CAGR: 21.3%
15.5%
19.1%
18.6%
The revenues increased due to higher volume and prices.
Net revenues (R$ millions)
Average rented fleet (quantity)
4
493.1690.0
930.3 1,060.91,335.3
700.3
152.3
475.7
136.1303.0
448.2590.3
853.2 983.2
491.7 413.1222.8 196.3
2004 2005 2006 2007 2008 1H08 1H09 2Q08 2Q09
Purchased cars Sold cars
Purchases (accessories included) Used car sales revenue
Tthe car rental division fleet is already adjusted.
241.8340.0
190.1
207.7352.1
252.9-60.2
208.6
-260.8
22,18226,105
33,52038,050
44,211
23,632
5,333
16,419
4,946
15,71518,763
23,174
30,09334,281
17,008 15,107
7,716 7,279
2004 2005 2006 2007 2008 1H08 1H09 2Q08 2Q09
7,34210,346
6,467
7,9579,930
8,703-2,333
6,624
-9,774
Fleet investment
Net Investment (R$ millions)
Quantity
5
72.8%76.2%
72.1%69.6%
1H08 1H09 2Q08 2Q09
24,103 31,373 35,686 39,112 39,314 30,5859,168
11,76214,630
17,79023,403 20,376
21,638
19,531
2004 2005 2006 2007 2008 1H08 1H09
CAGR: 21.5%
28,69935,865
46,00353,476
62,51559,690 52,223
-12.5%
2.5 p.p.3.4 p.p.
2009 utilization rate goal: minimum of 72%.
End of period fleet and utilization rates
Utilization rates – Car rental division
End of period fleet (quantity)
Car Rental Fleet Rental
6
9,402 12,842 15,937 21,848 20,833 21,341 21,550 20,8887,796 9,30811,635
14,29517,880 16,352 19,391 16,987 19,005
6,654
2004 2005 2006 2007 2008 1H08 1H09 2Q08 2Q09
3.5%
CAGR: 28.8%
14,450 18,71024,477
30,23239,728 38,537 39,893
9.5%
37,185 40,732
872.5411.1 449.6
209.5 220.2
303.0448.2
590.3
853.2983.2
491.7 413.1
222.8 196.3331.4 428.7 555.1 678.5
2004 2005 2006 2007 2008 1H08 1H09 2Q08 2Q09
-3.7%
CAGR: 30.8%
634.4876.9
1,145.4
1,531.71,855.7
432.3 416.5
-4.4%
902.8 862.7
5.1%9.4%
Net revenue - ConsolidatedAverage Rented fleet (quantity)
Rentals Used car sales
Net revenues (R$ millions)
Car rental Fleet rental
7
161.0218.8
284.4357.1
449.6
211.4 219.8110.4 107.5
36.559.1
26.9
46.4
54.5
33.0 4.7
13.2 1.6
2004 2005 2006 2007 2008 1H08 1H09 2Q08 2Q09
48.8%52.7%48.9%51.4%51.5%52.6%51.2%51.0%48.6%Rentals - Consolidated
1.1%
67.1%
39.4%
1H09
6.7%
64.3%
45.5%
1H08
5.5%
67.0%
44.3%
2008
4.6%
69.1%
42.0%
2006
5.9%
66.4%
46.2%
2Q08
5.4%
68.7%
44.5%
2007
0.8%13.2%12.0%Used car sales
68.8%62.3%63.4%Fleet Rental
37.9%45.3%40.1%Car Rental
2Q0920052004Divisions
CAGR: 26.4%
277.9
197.5
403.5
504.1
311.3 -11.7%
123.6 109.1
Seminovos EBITDA margin reflects the current market conditions.
-8.1%
244.4 224.5
-2.6%4.0%
EBITDA margin
EBITDA consolidated (R$ millions)
Car Rental Used car sales
8
2,169.62,599.7
322.9 492.3
2,546.0
332.9939.1
2004 2005 2006 2007 2008 1H09 2Q09
3,794.74,557.6
1,845.5
2,981.3
5,083.1
2,395.82,383.3
2004 2005 2006 2007 2008 1H09 2Q09
annualized
Depreciation rate is adjusted to the current market conditions.
Depreciation per car
Car rental division (R$)
Fleet rental division (R$)
annualized
9
27.153.657.3
107.190.6
106.5138.2
190.2
127.4
2004 2005 2006 2007 2008 1H08 1H09 2Q08 2Q09
107.1
(45.7)
(52.7)
(8.5)
(30.4)
244.4
33.0
211.4
1H08
57.3
(21.0)
(65.5)
(10.7)
(70.0)
224.5
4.7
219.8
1H09
(49.8)
24.7
(12.8)
(2.2)
(39.6)
(19.9)
(28.3)
8.4
Var. R$
(14.5)109.1123.6EBITDA Consolidated
(26.5)
12.7
(2.1)
(1.0)
(21.6)
(11.6)
(2.9)
Var. R$
27.153.6Net income
(9.7)(22.4)Income tax and social contribution
(26.8)(24.7)Financial expenses, net
(5.4)(4.4)Other depreciation
(40.1)(18.5)Depreciation of revenue-earning vehicles
1.6 13.2 EBITDA - Used car sales
107.5110.4 EBITDA - Car rental and fleet rental
2Q092Q08Reconciliation of EBITDA x Net Income
- 49.4%
Main impacts on results: increase of depreciation and drop of the Seminovos EBITDA.
- 46.5%
Net Income - ConsolidatedNet Income (R$ millions)
10
52.0 58.2118.2
250.7205.7
107.4
504.6
81.7
222.7
2004 2005 2006 2007 2008 1H08 1H09 2Q08 2Q09
98.4------Change in amounts payable to car suppliers (capex)
(27.4)
61.5
(196.3)
107.4
(9.2)
(12.3)
(504.0)
491.7
128.9
(19.1)
(38.9)
186.9
434.2
(491.7)
244.4
1H08
504.6
-
-
504.6
(4.4)
359.2
(152.3)
413.1
149.8
(18.8)
(26.9)
195.5
384.1
(413.1)
224.5
1H09
(283.1)
(188.9)
(299.9)
205.7
(39.9)
(52.2)
(1,035.4)
983.2
297.8
(44.8)
(52.8)
395.4
874.5
(983.2)
504.1
2008
(22.2) 53.2 (161.3) (113.7)Free cash flow
(51.0) 222.0 (25.5) (21.9) Change in amounts payable to car suppliers (capex)
(221.9) (287.0) (194.0) (143.8)Capex of car – growth
250.7 118.2 58.2 52.0 Free cash flow before growth
(23.7) (32.7) (28.0) (10.2)Capex - Property and equipment, net
14.2 (53.0) (47.8) (46.3)Net capex for renewal
(839.0) (643.3) (496.0) (349.3) Capex of car – renewal
853.2 590.3 448.2 303.0 Used car sales revenues
260.2 203.9 134.0 108.5 Cash provided before capex
13.3 (4.8) (24.2) 6.2 Working capital variation
(63.4) (42.7) (32.7) (40.9) (-) Income tax and social contribution – current
310.3 251.4 190.9 143.2 EBITDA without used car sales revenues and costs
760.0 530.4 361.2 248.7 Cost of used car sales
(853.2) (590.3) (448.2) (303.0) Used car sales revenues
403.5 311.3 277.9 197.5 EBITDA
2007200620052004Free cash flow - R$ millions
369.
8%
172.6%
Free cash flow before growth (R$ millions)
Free cash flow - FCF
11
-45.5-22.4
504.6
-1,254.5-817.8
Var. (R$)20092008
1,013.6
185.2
1,198.8
Mar/09
-436.7
260.6
-176.1
Dec/Jun
1,208.31,384.41,352.0Gross debt (principal + interest)
390.5129.9151.0(-) Cash
1,254.5
Dec/08
817.8
Jun/09
1,201.0Net debt
Sep/08R$ millions
Net debt was reduced in R$436.7 million.
Net debt reconciliation
InterestInterest on capital
Net Debt 12/31/2008
Net Debt 06/30/2009
Free Cash Flow
12
Net debt Fleet value
281.3535.8 440.4
765.1
1,254.5
817.8612.2
900.2
1,247.71,492.9
1,752.61,437.5
2004 2005 2006 2007 2008 1H09
2.0x
1.8x
2.5x
72%
2008
1.2x1.3x0.7x1.4x1.0xNet debt / Equity (USGAAP)
1.3x(*)1.3x1.0x1.5x1.1xNet debt / EBITDA (BRGAAP)
1.8x(*)1.9x1.4x1.9x1.4xNet debt / EBITDA (USGAAP)
57%51%36%60%46%Net debt /Fleet value (USGAAP)
1H092007200620052004End of period balances
Indebtedness ratios have improved significantly on 1H09 over 2008.
Net debt x Fleet value
(R$ millions)
(*) annualized
13
The current cash is enough to pay the debt with maturity on the 1H2010.
335.9
110.0 109.666.8
520.4
0.4
2009 2010 2011 2012 2013 2014
390.5
Cash
1HR$350.0
2H R$170.4
Debt profile
Debt profile(Principal – R$ millions)
14
829.7729.5 687.5 648.7 670.9
2005 2006 2007 2008 2009
4.6
10.613.5
8.46.9
2005 2006 2007 2008 2009
RENT3 X IBOVESPA
0
5
10
15
20
25
0
20
40
60
80
100
120
140
160
180
200
RENT3 Volume RENT3 IBOVESPA
RENT3 Performance
216%
113%
RENT3 was included on the Market Vectors Brazil Small-caps Index of Van Eck (USA).
Average daily trade volume (R$ millions) Average daily trading (# shares)
15
Cash generation of R$ 504.6 million
Net debt reduction of R$ 436.7 million
Highlights
Financials:
The strong cash generation was the strategy adopted by the Company to make even stronger the financial solidity on a low liquidity scenario.
16
Fleet adjustment with the reduction of 13,708 cars since the beginning of crisis
Utilization rate
Restart of fleet renewal*
Highlights
Fleet:
* IPI reduction was extended up to September/09 with a gradual return starting in October/09
76.2% on 2Q09
72,1% on 1H09
17
Differentiated, liquid and flexible asset
Even on an unfavorable scenario, Localiza sold 21,753 cars with a drop of only 3.3% on average prices compared to the prices before crisis when we had high demand.
Sales expenses went from 5.4% to 8.2% in the same period.
21,753
15,107
6,646
Sale
-13,7088,045Total
26,8509,7745,3331H09
27,8803,9342,7124Q08
Average sale price
Net salePurchase
Localiza’s business model, through an integrated platform, unique in the car rental industry, allows managing our differentiated asset, that are liquid and flexible, to quickly adapt the Company to macroeconomic conditions.
18
83117
145178
199 204
2004 2005 2006 2007 2008 1H09
+ 34
# of corporate branches
13 13
2632 35 38
2004 2005 2006 2007 2008 1H09
# of used car sales stores
+ 28+ 33 + 21
+ 5
Highlights
Increase of the number of rental locations and stores
Distribution:
+ 13+ 6
+ 3+ 3
19
Car rental division:
Fleet renewal Reduction on the expenses
Minimum utilization rate of 72% on 2009
2H09 perspectives
Fleet rental division:
Increase the average rental rate for new contracts and renewals
Debt:
Contract debt only to extend the amortization term
Drop on the net financial expenses due to decrease of interest rate
of maintenance
of depreciation
20
(4 ,0 )
4 ,0
1 2 ,0
2 0 ,0
2 8 ,0
1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009e-9
9
2 7
4 5
6 3
Localiza's fleet GDP Interest rate
Source: BACEN, Focus and Localiza
Macroeconomic scenario after Real Plan of 1994
-22.8% = 4.8X GDP15.2% = 8.0X GDP10.1% = 3.2X GDPFleet growth (CAGR)
5.2%9.0%10.8%22.0%Average Interest Rate
-0.5%4.7%1.9%3.1%Average GDP
Free floating exchange rateFixed exchange rate
2008 Subprime
crisis
1997 Asian
crisis
1998 Russian
crisis1973: 1º Oil Crash
1979: 2º Oil Crash
1987: NYSE Crash
1990: Collor plan
1994 Mexico
crisis
2002 Lula’s
election
2001 Argentina
crisis
2009 Liquidity
Crisis
1995 Creation of PROER
2000 NASDAQ
crash
2010 perspectives
For 2010 the market expectation is 3.5% GDP growth and 4.5% real interest rate.
21
Thank you!