photo © Gilles Dacquin

News

13
May

FIRST-QUARTER 2013 SALES REVENUE UP 13%

Sales revenue for the first quarter of 2013 was €787 million (+13.4%).

  • For Rubis Energie, sales revenue increased by 17% to €685 million. Volumes included the expansion of the scope of consolidation resulting from acquisitions in the Caribbean, and were up 19% overall (+1.3% at constant scope);
  • Rubis Terminal posted storage revenue of €31.2 million, marked by higher petroleum revenue in France (+8%), despite a decline in consumption, strong revenue growth in Northern Europe (+20%) and an anticipated decline in revenue in Turkey (Delta Rubis) in conjunction with an unfavorable oil price structure (no contango).

Overall, the period was characterized by erratic weather in Europe, supply constraints in the Caribbean and a pronounced drop in supply prices (-14% for propane) resulting in a favorable profitability profile.

Since the beginning of the year, the Group’s scope has been expanded, with the acquisition in Jamaica (distribution of petroleum products) on December 31, 2012, and the consolidation of the storage site of the former Reichstett refinery (February 2013).

There have been no events since the beginning of the year liable to significantly alter the Group’s financial position, which remained strong at the end of the quarter.

RUBIS ENERGIE: Distribution of LPG and petroleum products

Volumes distributed by Rubis Energie over the period totaled 606,000 m3, an increase of 19%. At constant scope of consolidation, volume growth was 1.3%.

Geographie breakdown of volumes:
(Retail distribution)

  • Europe: as a result of particularly erratic weather conditions, volumes were down 2.2% at constant scope. Business momentum (signature of new contracts) remained favorable over the period: the return to normal winter temperatures and the easing of supply prices – which continued in April – allowed the division to demonstrate its capacity to rebound in terms of profitability.
  • Caribbean: volumes sold totaled 339,000 m3, an increase of 1.2% at constant scope (Jamaican operations have been consolidated since January 1, 2013 and the Bahamas region consolidation took effect in May 2012). Supply conditions, which were constrained at the beginning of the period due to the shutdown of refineries in the area, improved in April. The “Supply” business (Shipping – Trading) continued to grow steadily.
  • Africa: volumes at constant scope (excluding Senegal, sold) grew by a strong 10.6%, driven in particular by the Southern African region and Madagascar.

RUBIS TERMINAL: Bulk liquid storage

Rubis Terminal’s main activity, storage, recorded revenues of €31.2 million.
In France, revenues from all products increased by 1%:

  • good performance in petroleum: amid declining consumption of petroleum products, petroleum billings increased by 8%, and by 2% excluding revenues of the Reichstett site (consolidated since February 2013);
  • fertilizer revenues were down, due mainly to seasonal delay;
  • edible oil revenues declined as a result of product supply constraints and the reorganization affecting customers logistics;
  • chemical revenues increased by 3%.

Strong growth in the ARA zone (Antwerp – Rotterdam – Amsterdam): revenues increased by 20% to €6.2 million thanks to the marketing of new capacity on the Antwerp and Rotterdam sites and the full utilization of chemical product capacity.

Turkey: pier expansion and construction work continues. The terminal, which is now mainly focused on oil trader clientele, suffered from the absence of contango over the period. The situation changed dramatically at the end of the period, with the profile again becoming favorable. The first contract for the leasing of new maritime bunkering capacity was implemented during the quarter.

Wholesale revenue was €70 million, an outcome attributable partly to the decline in oil prices without effect on profitability.

Upcoming events:

Annual and Extraordinary Shareholders’ Meeting on June 7, 2013
2013 Half-year results on August 29, 2013 (at Bourse closing)


14
Mar

GROWTH AND QUALITY OF EARNINGS EARNINGS PER SHARE UP 23% CASH FLOW UP 26%

March 14, 2013

Rubis has posted a record year with net profit of €94 million, up 31%, resulting from the successful integration of all the acquisitions made in 2011.

Cash flow (which rose by 26%) and earnings per share (up 23%) are witnessing the quality or earnings along with EBITDA (+14%) and EBIT (+10%) growth at constant perimeter showing the Group’s capacity to generate strong organic growth.

The Board of Management meeting which was held on March 13, 2013, has finalised the accounts for the year ending December 2012. Subsequently, the Supervisory Board has approved on March 14, 2013 the accounts. Statutory auditors are in the course of releasing a report stating that financials statements are giving a true a fair view of the operations.

With €970 million in shareholders’ equity, the financial structure at the end of the fiscal year resulted in a debt to equity ratio of 40%. Adjusted for the acquisition of Jamaica on December 31, the ratio of net debt to EBITDA reached the moderate level of 1.6.

When considering these results, however, it is worth taking into account the somewhat unfavourable external environment:

  • the generally dismal world economy;
  • events effecting the supply logistics in all regions: chronic closures or stoppages in refineries resulting in additional costs in Europe, the Caribbean and Southern Africa;
  • volatile supply costs, which have risen by 14% since 2011;
  • a more unfavourable fiscal environment in France, which affected the net profit by around €4 million.

The performance achieved in 2012 can be attributed to the breakdown of assets by business line (distribution and logistics), by geographic region (developed and emerging countries), by customer segment (agricultural, industrials and residential) and the Group’s organization structure: decentralized and fragmented in multiple independent profit centers reducing though the dependency on economic cycles.

The year 2012 saw a large number of acquisitions and investments, totalling €332 million.

Acquisitions (€220 million)

  • Bahamas – Cayman Islands (Chevron): incorporation of distribution networks;
  • Jamaica: acquisition of fuel and fuel oil distribution assets, in addition to the current assets held in the region;
  • Turkey: investment in the Delta Rubis joint venture.

The buyout of Petroplus Reichstett was completed in early 2013, adding to the logistics and storage assets in Alsace.

Industrial investments (€112 million)

  • Current investment and investment to support organic growth in various markets (€74 million);
  • Turkey: the launch of work towards the Delta Rubis joint venture (€9 million);
  • Rotterdam and Antwerp: expansion of site capacity (€29 million).

At the next General Meeting, a unit dividend of €1.84 will be proposed (i.e. an increase of 10%). The option to receive payment in the form of securities will help to reduce the Group’s future tax burden (a 3% contribution on amounts paid out).

Rubis remains confident about maintaining its historic rate of growth and pursuing its acquisition policy.

Next update:
First quarter turnover: May 14, 2013 (at Bourse closing)


11
Feb

Rubis: strong growth in sales revenue in fourth quarter: up 20% – 2012 annual sales revenue up 32%

Fourth quarter sales revenue totalled €725 million (up 20%), making for total sales revenue of €2,792 million over 12 months (up 32%). At constant perimeter consolidated sales revenue is up 13%.

Regarding business growth over the period, note that :

  • Volumes at Rubis Energie include figures for the acquisitions in the Caribbean zone, and were up by 9% overall (+5% on a like-for-like basis);
  • Rubis Terminal again posted growth, with storage revenue up 16%, or 12% on a like-for-like basis (excluding Delta Rubis in Turkey).

Overall activity, in volume terms and on a like-for-like basis, increased by 8% over the period.

For the whole fiscal year, consolidated sales revenue at the same structure is up 13%. In a climate where procurement costs increased sharply (up 5% in dollars per ton of propane, up 14% in euros), Rubis Energie managed to increase its volumes by 5% and keep margins steady.
The Rubis Terminal division benefited from its first rate logistics positions in France and a higher usage rate for its capacities in northern Europe.

  Q4 12-month total
Sales revenue in € million 2012 Change / 2011 2012 Change / 2011
RUBIS ENERGIE
Europe
Caribbean
Africa
620
191
387
42
+ 18 %
+ 5 %
+ 30 %
– 9 %
2 408
794
1427
187
+   31%
+   3 %
+ 60 %
+ 5 %
RUBIS TERMINAL
Bulk liquid storage
Petroleum products trading
105
34
71
+  36 %
+    16 %
+   49 %
384
129
255
+ 34 %
+ 11 %
+ 50 %
Total consolidated sales revenue 725 + 20 % 2 792 + 32 %

Rubis Energie : LGP and petroleum products distribution
RUBIS ENERGIE includes the LPG and petroleum distribution activities: service stations network, commercial fuel oil, aviation, marine, lubricants and bitumens.
In the fourth quarter, retail distribution volumes reached 541,000 m3 for a 9% increase. On a like-for-like basis, volumes were up 5%.

Geographic breakdown of volumes
(retail distribution)

in 000 m3 Q4-2011 Q4-2012 Change Change
on a like-for-like basis
Europe 198 188 – 5 % + 9 %
Caribbean 213 275 + 29 % – 1 %
Africa 85 77 – 8 % + 9 %
TOTAL 495 541 + 9 % + 5 %
  • Europe: volumes sold for retail distribution came to 188,000 m3, or a 9% increase on a like-for-like basis (deconsolidation of Czech Republic) boosted by performance in France and Germany. By comparison, 2011 volumes had been impacted by unusually adverse weather conditions.
    Sales activity remained steady with higher market share gains across all positions.
  • Caribbean (Antilles – French Guiana – Bermuda – West Indies): volumes sold totalled 275,000 m3, up 29% – result of including volumes from the Chevron network in the Bahamas acquired in the second quarter. On a like-for-like basis, volumes sold were stable (- 1%).
  • Africa posted LPG volumes of 77,000 m3 (down 8%) in retail distribution. On a like-for-like basis (excl. Senegal), volumes were up 9% mainly due to southern Africa and Madagascar.

For the whole fiscal year 2012, turnover reached €2,408 million for a 31% increase.

Rubis Terminal : bulk liquid storage

In the fourth quarter, the RUBIS TERMINAL division’s core business of bulk liquid storage saw a 16% rise in revenue:

  • Up 13% for Pétrole France, despite consumption of petroleum products remaining stable.
  • Upward trend of 4% for other products in France, especially in chemicals;
  • The ARA (Antwerp and Rotterdam) zone’s contribution was up 20%, due to a higher occupancy rate.
  • Structural investments continue at Delta Rubis in Turkey.

Over the same period, revenue from trading amounted to €71 million versus €48 million.

Revenue from trading in fiscal 2012 totalled €255 million, up 50% linked to a sharp rise in volumes processed, and storage revenue reached a record €129 million, up 11% (up 7% on a like-for-like basis).

At the close of the fiscal year, the Group’s balance sheet reflects its robust financial position, after financing the acquisition of petroleum product distribution networks in Jamaica (late December).

Next update :
2012 annual results on 14 March 2013 (at Bourse closing)

30
Jan

Rubis takes over the storage facilities of Petroplus raffinage Reichstett

Rubis Terminal (a 100% affiliate of Rubis) has placed a takeover bid for the storage activity division of Petroplus Raffinage Reichstett (Bas-Rhin, France). The bid has been approved by the Strasbourg County Court on 29 January 2013, with effect from 1 February 2013.

The transaction involves the Southern part of the Reichstett site, the Port aux Pétroles terminal in Strasbourg, and the pipelines linking the two sites, with a global storage capacity of 500,000 cbm of which 368,000 cbm will be put back into service during the next three years.
With this takeover, we will :

  • secure the local supply,
  • maintain strategic stocks in the zone. A long term agreement has been signed for this purpose with Sagess, who manage the French strategic stocks,
  • relaunch the tanker loading activity for trucks serving the North and West of the Strasbourg region.

In this context, Rubis Terminal will keep on 8 staff and will invest €36.5M over 5 years in decontamination, dismantling, modernisation and compliance of the installations.

Rubis is already present in the Port of Strasbourg logistics complex via a chemical products terminal and SES a petroleum products storage company of which Rubis Terminal is the majority shareholder alongside other petroleum operators.

This transaction will both enlarge Rubis’ scope in the region and perpetuate its local position.


2
Jan

Rubis expands its business in the Caribbean through the acquisition of integrated fuel distribution network in Jamaica

Rubis has completed the acquisition of Blue Equity’s fuels distribution business in Jamaica.

Blue Equity’s portfolio company, The Antilles Group Limited (TAG), supplies a network of 53 service stations currently operating under the Shell brand (the original shareholder), and has a broad customer base in the commercial and industrial sectors.

With 200,000 cubic meters of fuels distributed in the retail network, representing approximately 30% market share, and about 70,000 cubic meters in the commercial and industrial sectors, the company remains the undisputed leader in the downstream petroleum products business on the Island.

Additionally, an import and storage infrastructure, along with stations located in the major strategic locations, serves to provide the company with a significant competitive advantage.

This transaction has been financed through existing credit lines within the Group, which still hold a strong financial structure (estimated net debt to EBITDA ratio below 2 at year end).

This acquisition will help expand and complement Rubis’ position in the Caribbean region (1.4 million cubic meters), already one of the largest operator of downstream operations, as well as generate synergies, especially in the area of fuel supply.

Next update :
Q4 2012 sales figures and financial information: February 11th 2013