Post on 10-Jul-2020
Corporate Presentation
4th quarter 2011
2
Shareholder Structure and Corporate Governance
Itaúsa*
39,9%
Ligna*
17,8%
Pension Funds
1,5%
Other Local
Investors
15,1%
Foreign
Investors
25,4%
Treasury
0,3%
Shareholder structure in December 2011
* Included the participation of families
Committees of the Board of Directors (and presidents): • Personnel, Governance and Nomination Committee (Álvaro Antonio Cardoso de Souza)
• Sustainability Committee (Fabio Schvartsman)
• Audit and Risk Management Committee (Alcides Lopes Tápias )
• Committee for Evaluation of Transactions with Related Parties* (Alcides Lopes Tápias)
* Composed solely of independent members
Total de ações emitidas:
550.035.331 (1)
(1) Shares in treasury:
1.889.486
Total of shares:
3
2010
Overcoming the crisis of 2009
Recovery of price base
Costs in balance
Tax exemption (IPI) until March
2010
Cost pressure starting in the second semester:
. Labor
. Metals
Recovery of price base
2011
Shipped volume: -1,9%
Net Revenue: +2,5%
Impacted by macro-prudential measures:
. Increase of interest rate
. Increase in reserve requirements on deposits
. Increase in the IOF
Cost pressure (resin)
Demand at 2010 level
2011
Shipped volume: +17,9%
Net Revenue: +20,1%
Continuing costs pressure
Sanitary ware:
Price increase
Start-up of a new kiln in Recife
Elizabeth acquisition( lower mix )
Metal Fittings:
Cost management
Start-up of new galvanoplastic equipment
Highlights
2005 2006 2007 2008 2009 2010 2011 4T10 3T11 4T11
1.413 1.861
2.037 2.263 2.352
2.962 3.065
744 832 778
MDF
( ! ) A v e r a g e G D P g r o w t h f o r t h e p e r i o d b e t w e e n 2 0 0 5 - 2 0 1 1 : 4 , 1 % a n n u a l l y
4
Total of Wood Panel Consumption in Brazil (Source: ABIPA in ’000 m³)
2005 2006 2007 2008 2009 2010 2011 4T10 3T11 4T11
2.102 2.186 2.548 2.633
2.431 2.885 2.985
730 807 734
MDP
+4,6%
-6,5%
+3,5%
+0,5%
-9,0%
+3,5%
ANNUAL CAPACITY (in ´000 m³) * NOMINAL EFFECTIVE * AVAILABLE *
MDF 4.800 4.080 3.660
MDP 4.470 3.800 3.420
Total 9.270 7.880 7.080 *Duratex estimates:
Effective annual capacity of the industry based on the lines already installed and minor investments requirements
Available: Without minor investments mentioned above
4Q10 3Q11 4Q11
4Q10 3Q11 4Q11
5
Building Materials Industry
Source: Associação Brasileira da Indústria de Materiais de Construção
ABRAMAT INDEX: Monthly indicator of sales performance of the Building Materials Industry
2011 2012 Forecast
4,5%
ABRAMAT INDEX – INTERNAL MARKET
Achieved and Projected for 2012
2,9%
6
Highlights by Division
Shipment (in ’000 m³) Shipment (in ’000 items)
2009 2010 2011 4T10 3T11 4T11
1.499,2
2.312,2 2.268,8
569,2 611,7 555,7
2009 2010 2011 4T10 3T11 4T11
19.800
21.639
25.505
5.413 6.780 6.729
-2,4%
-9,2%
+24,3%
-0,8%
Highlights:
• Shortening of installments credit in the furniture retail
• Reduction of inventories in furniture chain
• Price x Market Share
• Good moment of the construction segment
• Elizabeth acquisition (sanitary ware)
• Higher growth in economic sector
4Q10 3Q11 4Q11 4Q10 3Q11 4Q11
MDP
20,5%
MDF/
Laminated
Flooring
33,3%
Hardboard
8,1%
Components
0,4%
Metals
19,8%
Sanitary
ware
17,9%
Domestic
Market
95%
Foreign
Market
5%
2009 2010 2011 4T10 3T11 4T11
1.930,0
2.741,8 2.970,4
719,6 789,8 769,5
34,4% 40,8% 34,1% 40,1% 35,0% 33,3%
34,8% 39,4% 34,3 % 40,4% 35,8% 31,6%
Wood 1.172,8 1.830,3 1.876,0 474,0 502,1 479,5
Deca 757,2 911,5 1.094,4 245,6 287,7 290,0
7
Consolidated Net Revenue
+6,9%
-2,6%
Net Revenue (R$ mn)
Geographical Distribution of Sales 4Q11 (%) Net Revenue by product 4Q11(%)
IFRS
Before IFRS
Gross Margin (%)
4Q10 3Q11 4Q11
Deca: 37,7%
Wood: 62,3%
2009 2010 2011 4T10 3T11 4T11
3.141,9
3.452,5
3.692,8
3.452,5 3.638,0
3.692,8
8
2009 2010 2011 4T10 3T11 4T11
494,8
850,6 799,5
218,6 216,3 188,8
Financial highlights - IFRS Recurrent EBITDA (R$ mn) and Recurrent EBITDA Margin (%)
-13,6%
-12,7%
Wood 310,5 580,1 530,4 155,2 147,3 126,9
Deca 184,3 270,5 269,1 63,4 69,0 61,9
Recurrent Net Income (R$ mn) Equity (R$ mn) and Recurrent ROE (%)
2009 2010 2011 4T10 3T11 4T11
253,0
439,4
349,7
119,6 102,3 79,4
-33,6%
-22,4%
25,6% 31,0% 26,9% 30,4% 27,4% 24,5%
10,5% 13,3% 9,8% 14,0% 11,4% 8,7%
4Q10 3Q11 4Q11
4Q10 3Q11 4Q11 4Q10 3Q11 4Q11
-6,0%
-20,4%
2009 2010 2011 4T10 3T11 4T11
275,9
414,2
347,3
107,3 101,4 69,1 9
Financial highlights – Before IFRS Recurrent EBITDA (R$ mn) and Recurrent EBITDA Margin (%)
Recurrent Net Income (R$ mn) Equity (R$ mn) and Recurrent ROE (%)
2009 2010 2011 4T10 3T11 4T11
618,3
893,2 848,8
233,0 234,4 207,0
-11,2%
-11,7%
27,5% 32,6 % 28,6 % 32,4 % 29,7% 26,9%
Wood 418,6 602,3 558,4 160,7 158,1 138,2
Deca 199,7 290,9 290,4 72,3 76,3 68,8
-35,6%
-31,9%
2009 2010 2011 4T10 3T11 4T11
2.331,1 2.623,5
2.849,4 2.623,5 2.800,7
2.849,4
12,2 % 16,8% 12,7% 16,6% 14,7% 9,8%
4Q10 3Q11 4Q11
4Q10 3Q11 4Q11 4Q10 3Q11 4Q11
-5,0%
-16,2%
10
Reconciliation of Total Assets and Equity
TOTAL ASSETS
4Q11 3Q11 4Q10
Before IFRS (in R$’000) 5.656.456 5.553.312 5.011.223
Business Combination 728.437 733.919 757.805
Biological Assets 348.276 327.275 332.164
Employee Benefits 78.108 77.274 66.802
Other adjustments 2.873 2.873 2.873
After IFRS 6.814.150 6.694.653 6.170.867 Change 1.157.694 1.141.341 1.159.644
PATRIMÔNIO LÍQUIDO 4Q11 3Q11 4Q10
Before IFRS (in R$’000) 2.849.357 2.800.726 2.623.454
Business Combination 542.739 550.514 556.241
Biological Assets 229.862 216.001 219.228
Employee Benefits 51.551 51.001 44.089
Other adjustments 19.301 19.795 9.516
After IFRS 3.692.810 3.638.037 3.452.528 Change
843.453 837.311 829.074
11
Reconciliation of Consolidated EBITDA
Reconciliation EBITDA IFRS
R$´000
4Q11 3Q11 % 4Q10 % 2011 2010 %
Operating Profit Before
Financial Result 131.218 178.560 -26,5 196.616 -33,3 576.366 715.555 -19,5
Depreciation/ Amortization/
Depletion 79.400 72.013 10,3 63.686 24,7 290.400 240.003 21,0
Change in Fair Value of
Biological Assets (53.519) (37.194) 43,9 (34.354) 55,8 (154.009) (183.765) -16,2
Depletion Portion of Biological
Assets 32.517 36.108 9,9 31.804 2,2 137.898 132.173 4,3
Employee Benefits (835) (7.393) -88,7 (2.742) -69,5 (11.306) (10.964) 3,6
EBITDA 188.781 242.094 -22,0 255.010 -26,0 839.349 893.002 -6,0
EBITDA Margin 24,5% 30,7% - 35,4% - 28,3% 32,6% -
Extraordinary Events* 0 (25.820) - (36.444) - (39.888) (42.448) -
Recurrent EBITDA 188.781 216.274 -12,7 218.566 -13,6 799.461 850.554 -6,0
Recurrent EBITDA Margin 24,5% 27,4% - 30,4% - 26,9% 31,0% -
Before IFRS
Recurrent EBITDA 207.031 234.401 -11,7 232.985 -11,1 848.818 893.232 -5,0
Recurrent EBITDA Margin 26,9% 29,7% -
32,4% -
28,6% 32,6% -
* Extraordinary events:
• 2011 fixed asset sale
• 2010 tax recovery, mainly
12
Reconciliation of Net Income
NET INCOME 4Q11 3Q11 4Q10 2011 2010
Before IFRS (in R$’000) 69.072 117.257 131.186 372.492 442.064
Business Combination (4.099) (4.639) (3.949) (15.729) (15.213)
Biological Assets 13.862 717 1.683 10.634 34.051
Employee Benefits 552 4.879 1.810 7.463 7.236
Other Adjustments 0 0 12.723 0 (891)
After IFRS 79.387 118.214 143.453 374.860 467.247
Extraordinary events 0 (15.881) (23.855) (25.165) (27.817)
Recurrent Net Income in IFRS 79.387 102.333 119.598 349.695 439.430
Non-cash events that impacted results when compared to the same period of 2010 :
4Q11 2011
Biological Assets (increase in price of
wood and planted area in 2010)
12.178
(23.417)
Increase in depreciation, amortization
and depletion*
(10.371)
(33.262)
NET EFFECT 1.807
(56.679)
* Includes portions of COGS and administrative
Hardboard
MDP
MDF
100%
80%
74%
Retail
16%
Construction
1%
Other
9% Furniture
Industry
74%
13
Highlights by Division (IFRS)
2009 2010 2011 4T10 3T11 4T11
1.172,8
1.830,3 1.875,9
474,1 502,1 479,5
+1,1%
-4,5%
31,1% 36,6% 32,1% 38,7% 32,6% 27,4%
Sales Channels 2011 Net Revenue (R$ mn) and Gross Margin* (%)
Installed Capacity & Occupancy Rate 2011 EBITDA (R$ mn) and EBITDA Margin (%)
Annual Capacity (in ´000 m³) NOMINAL EFFECTIVE * AVAILABLE**
MDF 1.800 1.530 1.400
MDP 1.900 1.620 1.350
Hardboard 210 195 195
Total 3.910 3.345 2.945
*Without biological assets
2009 2010 2011 4T10 3T11 4T11
310,5
580,1 530,3
155,2 147,3 126,9
26,5% 31,7% 28,3% 32,7% 29,3% 26,5%
-18,2%
-13,8%
4Q10 3Q11 4Q11
4Q10 3Q11 4Q11 *Effective annual capacity of Duratex based on the lines already installed and
minor investments; **Without minor investments mentioned above
(of available capacity)
-8,6%
14
Reconciliation of EBITDA
IFRS in R$’000 4Q11 3Q11 % 4Q10 % 2011 2010 %
Operacional Profit before Financial
Results
81.888 119.165 -31,8 119.900 -31,7 353.576 458.516 -22,9
Change in Fair Value of Biological
Assets
(53.519) (37.194) 43,9 (34.354) 55,8 (154.009) (183.765) -16,2
Depletion of Biological Assets 32.517 36.108 -9,9 31.804 2,2 137.898 132.173 4,3
Depreciation/ Amortization/ Depletion 66.628 59.872 11,3 52.914 25,9 240.152 199.749 20,2
Employee Benefits (584) (4.808) -87,9 (1.806) -67,7 (7.379) (7.325) 0,7
EBITDA 126.930 173.143 -26,7 168.458 -24,7 570.236 599.348 -4,9
Extraordinary Events 0 (25.820) - (13.241) - (39.888) (19.245) -
Recurrent EBITDA 126.930 147.323 -13,8 155.217 -18,2 530.348 580.103 -8,6
Recurrent EBITDA Margin 26,5% 29,3% - 32,7% - 28,3% 31,7% -
Before IFRS
Recurrent EBITDA 138.196 147.930 -6,6 160.720 -14,0 558.378 602.274 -7,3
Recurrent EBITDA Margin 28,8% 30,8% - 33,9% - 29,8% 32,9% -
15
Highlights by Division (IFRS)
2009 2010 2011 4T10 3T11 4T11
757,2 911,5
1.094,4
245,6 287,7 290,0
40,1% 43,5% 38,2% 41,7% 38,9% 35,9%
+18,1%
+0,8%
Sales Channels 2011 Net Revenue (R$ mn) and Gross Margin (%)
Installed Capacity and Occupancy Rate 2011 EBITDA (R$ mn) and EBITDA Margin (%)
Builders
22%
Wholesale
9%
Other
2%
Retail
67%
2009 2010 2011 4T10 3T11 4T11
184,3
270,5 269,1
63,3 69,0 61,9
-2,2%
-10,3%
24,3% 29,7% 24,6% 25,8% 24,0% 21,3%
Metais
Louças
97%
90% Sanitary
Ware
Metal
fittings
Annual Capacity (in ´000 items) NOMINAL
Sanitary ware 9.800
Metal fittings 17.000
Total 26.800 4Q10 3Q11 4Q11
4Q10 3Q11 4Q11
-0,1%
16
Reconciliation of EBITDA
IFRS in R$’000 4Q11 3Q11 % 4Q10 % 2011 2010 %
Operacional Profit before Financial
Results
49.332 59.395 -16,9 76.716 -35,7 222.792 257.039 -13,3
Depreciation/ Amortization 12.770 12.141 5,2 10.771 18,6 50.248 40.254 24,8
Employee Benefits (251) (2.585) -90,3 (936) -73,2 (3.927) (3.639) 7,9
EBITDA 61.851 68.951 -10,3 86.551 -28,5 269.113 293.654 -8,4
Extraodinary events 0 0 - (23.203) - 0 (23.203) -
Recurrent EBITDA 61.851 68.951 -10,3 63.348 -2,3 269.113 270.451 -0,5
Recurrent EBITDA Margin 21,3% 24,0% - 25,8% - 24,6% 29,7% -
Before IFRS
Recurrent EBITDA 68.835 76.349 -9,8 72.265 -4,7 290.440 290.958 -0,2
Recurrent EBITDA Margin 23,7% 26,5% - 29,4% - 26,5% 31,9% -
17
Evolution of Unit Net Revenue and Cash Cost
782,29 791,59 826,85 832,82 820,81 862,95
475,79 426,26
478,65 429,66
468,60 517,75
2009 2010 2011 4T10 3T11 4T11
Madeira Receita Madeira Custo Unit Cash Cost Unit Net Revenue
38,24 42,12 42,91 45,36
42,43 43,10
21,18 21,99
24,70 24,58 24,17
25,81
2009 2010 2011 4T10 3T11 4T11
Deca Receita Deca Custo Unit Net Revenue Unit Cash Cost
+5,1%
+10,5%
+4,5%
+12,3%
+1,9%
+12,3%
+1,6%
+6,8%
( in R$ per m³ shipped)
( in R$ per item shipped)
4Q10 3Q11 4Q11
4Q10 3Q11 4Q11
Cash 2012 2013 2014 2015 2016 and after
726,2 687,9
508,8 326,0
185,4 207,4
18
Indebtedness
R$´000 4Q11 3Q11 Var. 4Q10 Var.
Short Term - Debt 687.902 584.854 103.048 431.608 256.294
Long Term - Debt 1.227.588 1.322.915 (95.327) 1.162.354 65.234
Total Financial Debt 1.915.490 1.907.769 7.721 1.593.962 321.528
Cash 726.159 710.992 15.167 616.549 109.610
Net Debt 1.189.331 1.196.777 (7.446) 977.413 211.918
Net Debt/ Equity 32,2% 32,9% 28,3%
Net Debt/ Ebitda (last 12 moths) 1,42 1,32 1,09
Amortization Schedule (R$ mn)
Capitalization in progress:
1) R$ 178,8 mn together with BNDES at TJLP +2,45% annually
2) R$ 99,9 mn in convertible debentures with the following characteristics:
• 777.000 debentures with a face value of R$ 128,70, adjusted by IPCA
• 5 year maturity w/ annual interest of 6%
• conversion at any time at R $ 12.87, adjusted by IPCA
2008 2009 2010 2011 2012e
891,2
427,0 459,6 635,8
650,0
19
Consolidated CAPEX (R$ mn)
2007 2008 2009 2010 2011 2013 2015
553 850 1.530 1.530 1.530 2.040 2.720 1.275 1.615 1.615 1.615 1.615 1.615
1.615
334 195 195 195 195 195
195
MDF MDP Chapa
2007 2008 2009 2010 2011 2012
14.400 15.600
15.800 15.800 17.000 18.200
3.800 6.200 7.200 7.200
9.800 12.200
Metais Louças
Nominal Capacity (in ’000 items)
2.162 2.660 3.340 3.340 3.340 3.850
4.530
18.200 21.800 23.000 23.000
26.800 30.400
+13,4%
Effective Capacity (in ’000 m³) +15,3%
Hardboard
Metal Fittings Sanitary Ware
• Maintenance of tax exemption (IPI) for building materials (DECA)
• New credit line (FGTS) for remodeling:
• R$ 20K with a maturity of up to 10 years
• Low unemployment rate (%):
• Decreasing Interest rates (end of period in % annually):
• GDP expansion (%):
10,75 11,25 11,75 12,00 12,25 12,5 12,0 11,5 11,0 10,5 9,0
dez/10 jan/11 mar/11 abr/11 jun/11 jul/11 ago/11 otu/11 dez/11 jan/12 2012e
4,3
1,3 2,7 1,1
5,7 3,2 3,7
5,4 5,1
-0,2
7,5
2,8 3,3 4,2
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011e 2012e 2013e
5,3 6,1 6,4 6,5 6,4 6,4 6,2 6,0 6,0 6,0 5,8 5,2
4,7
dez/10 jan/11 fev/11 mar/11 abr/11 mai/11 jun/11 jul/11 ago/11 set/11 out/11 nov/11 dez/11
20
Expectation Improvement
Source: BCB
Source: BCB
Source: IBGE 2000-2010
Focus Report 2011- 2013
Dec/11 Jan/11 Feb/11 Mar/11 Apr/11 May/11 June/11 July/11 Aug/11 Sept/11 Oct/11 Nov/11 Dec/11
Dec/11 Jan/11 Mar/11 Apr/11 June/11 July/11 Aug/11 Oct/11 Dec/11 Jan/12 2012e
21
The information contained herein was prepared by Duratex S.A.
and does not constitute an offering material, to subscribe for or purchase any
of the Company’s securities. This material also brings general information
about Duratex S.A. and its markets. No representation or warranty, express
or implied, is made concerning, and no reliance should be placed on, the
accuracy, fairness or completeness of the information presented herein.
The Company can give no assurance that expectations disclosed in
this presentation will be confirmed.
February, 2012
DISCLAIMER
ANNEXES
22
23
Localization of Plants
Evolução da Produtividade em Novas Florestas Eucalipto
- São Paulo -
2030
40 44 4452514845
0102030405060
Anos
60
Anos
80
2000 2005 2006 2007 2008 2009 2010
Ano base
IMA
(m
³/h
a.an
o)
Evolution of Duratex forest productivity
+160%
Forest
Plants 1 NEW MDF PLANT
Place: Itapetininga
Effective capacity:
520K m³/year
PLANTS:
SÃO PAULO: Itapetininga: MDP and new MDF plant (start-up 2013)
Agudos: 2 MDF lines, Fooring and Resin Plant (DRI)
Botucatu: Hardboard and MDF
MINAS GERAIS: Uberaba: MDF and MDP
RIO GRANDE DO SUL: Taquari: MDP
230K ha of land:
o SP – 62%
o MG – 34%
o RS – 4%
140K ha of planted forest
Distribution Center
Year base
60 s 80 s
24
Localization of Plantas
PLANTS
SÃO PAULO: - Metal Fittings: São Paulo and Jundiaí - Sanitary Ware: 2 plants in Jundiaí
RIO DE JANEIRO: - Sanitary Ware: Queimados
RIO GRANDE DO SUL: - Sanitary Ware: São Leopoldo
PERNAMBUCO: - Sanitary Ware: Cabo de Santo Agostinho
PARAÍBA: - Sanitary Ware: João Pessoa
ARGENTINA - Metal Fittings: Deca Piazza in Buenos Aires
Place: Queimados
Reactivation and capacity
expansion:
+2,4M items/year
Place: Jundiaí
Metal Fittings Expansion
Capacity:
Up to 17 K items/year
Place:
Cabo de Santo
Agostinho
New Kiln and
sanitary ware
expansion
25
Wood*
17%
Resin
16%
Raw
materials and
other inputs
32%
Labor
14%
Depreciation/
Amortization
10%
Electricity
9%
Fuel
2%
Labor
41%
Metals
14%
Raw
materials
and other
inputs
30%
Depreciation/
Amortization
7%
Electricity
4%
Fuel
4%
Cost Structure 4Q11
* Includes depreciation, amortization and depletion incident in the wood cost