4Q12 Presentation

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1 São Paulo, March 06, 2013. Conference Call Results 4Q12 & 2012

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Transcript of 4Q12 Presentation

Page 1: 4Q12 Presentation

1 São Paulo, March 06, 2013.

Conference Call

Results 4Q12 & 2012

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Legal Notice

This presentation contains forward-looking statements relating to the prospects of the business, estimates for

operating and financial results, and those related to growth prospects of Arteris, these are merely projections and,

as such, are based exclusively on the expectations of Arteris’s management concerning the future of the business

and its continued access to capital to fund the Company’s business plan.

Such forward-looking statements depend, substantially, on changes in market conditions, government regulations,

competitive pressures, the performance of the Brazilian economy and the industry and are, therefore, subject to

change without prior notice.

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Tolled Traffic

Vehicle-Equivalents (Thousand) 4Q12 3Q12 4Q11Var%

4Q12/3Q12

Var%

4Q12/4Q112012 2011

Var%

2012/2011

State Concessions 49,785 50,351 46,747 -1.1% 6.5% 189,694 182,180 4.1%

Autovias 11,473 11,656 10,919 -1.6% 5.1% 44,102 42,931 2.7%

Centrovias 13,507 13,446 12,364 0.5% 9.2% 50,696 47,642 6.4%

Intervias 15,785 16,069 14,967 -1.8% 5.5% 60,471 58,534 3.3%

Vianorte 9,020 9,180 8,497 -1.7% 6.2% 34,425 33,073 4.1%

Federal Concessions 131,348 128,053 127,556 2.6% 3.0% 506,993 487,193 4.1%

Planalto Sul 7,107 7,029 7,079 1.1% 0.4% 27,945 27,969 -0.1%

Fluminense 12,416 12,183 12,099 1.9% 2.6% 48,913 46,778 4.6%

Fernão Dias 41,647 41,253 39,912 1.0% 4.3% 160,707 153,191 4.9%

Régis Bittencourt 37,550 37,100 37,435 1.2% 0.3% 146,097 143,705 1.7%

Litoral Sul 32,628 30,488 31,030 7.0% 5.2% 123,331 115,550 6.7%

Total 181,133 178,404 174,303 1.5% 3.9% 696,687 669,372 4.1%

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Toll Tariff

Average Toll Tariff (R$ / Vehicle-Equivalents) 4Q12 3Q12 4Q11Var%

4Q12/3Q12

Var%

4Q12/4Q112012 2011

Var%

2012/2011

State Concessions 6.47 6.46 6.20 0.1% 4.3% 6.34 5.93 6.9%

Autovias 6.79 6.76 6.53 0.5% 4.0% 6.67 6.25 6.7%

Centrovias 6.17 6.16 5.91 0.2% 4.4% 6.05 5.66 6.9%

Intervias 5.60 5.62 5.35 -0.3% 4.8% 5.49 5.13 7.1%

Vianorte 8.02 8.01 7.71 0.1% 4.0% 7.85 7.34 6.8%

Federal Concessions 1.79 1.79 1.68 0.3% 6.8% 1.78 1.68 6.3%

Planalto Sul 3.34 3.30 3.13 1.2% 6.7% 3.31 3.11 6.5%

Fluminense 3.10 3.10 2.80 0.0% 10.7% 3.07 2.78 10.4%

Fernão Dias 1.40 1.40 1.31 0.0% 6.6% 1.40 1.30 7.4%

Régis Bittencourt 1.80 1.80 1.70 0.0% 5.8% 1.80 1.70 5.8%

Litoral Sul 1.45 1.42 1.35 2.1% 7.3% 1.41 1.36 4.1%

Total 3.08 3.11 2.89 -0.9% 6.4% 3.03 2.84 6.7%

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5.7%

875 827 877

2,900

3,328

504 554 557

1,900 2,108

299 298 295

896

1,117

24 25 23

105

103

4Q11 3Q12 4Q12 2011 2012

Others

Construction

Toll

Gross Revenue (R$ million)

Gross Revenue Composition

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Costs and Expenses

Costs and Services Expenses (R$ Thousand) 4Q12 3Q12 4Q11Var%

4Q12/3Q12

Var%

4Q12/4Q112012 2011

Var%

2012/2011

Third Party Services (48,915) (46,221) (46,853) 5.8% 4.4% (186,627) (180,618) 3.3%

Personnel (46,588) (46,319) (42,489) 0.6% 9.6% (186,466) (162,908) 14.5%

Conservation (27,381) (22,855) (27,204) 19.8% 0.7% (102,321) (92,068) 11.1%

Inspection fee (8,708) (8,682) (8,187) 0.3% 6.4% (34,673) (32,602) 6.4%

Costs w ith granting authority (10,019) (10,080) (9,035) -0.6% 10.9% (37,446) (33,745) 11.0%

Insurance and guarantees (4,430) (5,523) (7,431) -19.8% -40.4% (20,765) (20,684) 0.4%

Directors' compensation (4,644) (3,866) (2,835) 20.1% 63.8% (15,471) (12,443) 24.3%

Civil, labor and tax risks (2,240) (1,777) (1,136) 26.1% 97.2% (4,902) 2,488 -297.0%

Tax expenses (855) (610) (831) 40.2% 2.9% (3,700) (2,747) 34.7%

Other operating expenses, net (21,873) (20,533) (28,940) 6.5% -24.4% (96,914) (85,308) 13.6%

Total (Cash Costs) (175,653) (166,466) (174,941) 5.5% 0.4% (689,285) (620,635) 11.1%

% Cash Costs / Net Revenue (excl. construction) 33.5% 31.7% 36.6% 1.7 p.p. -3.1 p.p. 34.4% 34.2% 0.2 p.p.

Cost of construction services (294,554) (297,785) (299,289) -1.1% -1.6% (1,117,137) (896,233) 24.6%

Provision for maintenance in highw ays (68,137) (72,430) (35,897) -5.9% 89.8% (235,956) (183,125) 28.8%

Depreciation and amortization (62,172) (65,478) (54,644) -5.0% 13.8% (241,519) (203,972) 18.4%

Total (600,516) (602,159) (564,771) -0.3% 6.3% (2,283,897) (1,903,964) 20.0%

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304 358 349

1,195

1,314

63.4% 68.3% 66.5%

65.8% 65.7%

-100.0%

-50.0%

0.0%

50.0%

100.0%

150.0%

200.0%

0.0

200.0

400.0

600.0

800.0

1000.0

1200.0

1400.0

4Q11 3Q12 4Q12 2011 2012

Adjusted EBITDA and Adjusted EBITDA Margin (R$ million)

Operational Performance

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Financial Result

Financial Result (R$ Thousand) 4Q12 3Q12 4Q11Var%

4Q12/3Q12

Var%

4Q12/4Q112012 2011

Var%

2012/2011

Financial Income 18,922 19,220 32,496 -1.6% -41.8% 102,566 156,510 -34.5%

Interest Receivable 260 258 (2,072) 0.8% -112.5% 1,032 5,928 -82.6%

Financial Investments 15,465 18,811 34,858 -17.8% -55.6% 89,427 145,249 -38.4%

Financial Charges - Reversal of Present Value Adjustments 2,834 51 2,923 5456.9% -3.0% 11,267 2,923 2.854601437

Other Revenues 363 100 (3,213) 263.0% -111.3% 840 2,410 -65.1%

Financial Expenses (79,556) (85,695) (88,963) -7.2% -10.6% (339,935) (363,658) -6.5%

Financial Charges (62,620) (61,592) (74,254) 1.7% -15.7% (263,613) (305,752) -13.8%

Monetary Adjustment of Concession Charges (5,270) (14,532) (6,936) -63.7% -24.0% (37,299) (34,683) 7.5%

Financial Charges - Reversal of Present Value Adjustments (8,369) (6,063) (4,031) 38.0% 107.6% (26,719) (7,831) 241.2%

Other Expenses (3,297) (3,508) (3,742) -6.0% -11.9% (12,304) (15,392) -20.1%

Net Exchange Variation (6) - 421 - -101.4% (28) (61) -54.1%

Financial Result (60,640) (66,475) (56,046) -8.8% 8.2% (237,397) (207,209) 14.6%

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105 103 107

404 404

-

50.0

100.0

150.0

200.0

250.0

300.0

350.0

400.0

450.0

4Q11 3Q12 4Q12 2011 2012

Net Income Evolution

Net Income (R$ million)

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61.1%

25.9%

13.0%

TJLP

CDI

IPCA

61.1%

38.7%

0.2%

BNDES

Debentures

Others

1,797

2,237 2,420

1.6 1.9 1.9

(2,5)

(1,5)

(0,5)

0,5

1,5

2,5

-

500

1.000

1.500

2.000

4Q11 3Q12 4Q12

Net Debt

Net Debt/ Adjusted EBITDA – Fixed

Concession Charge (last 12 months)

Indebtedness

Gross Debt Profile Leverage Ratio and Net Debt

Debt

(In thousands of Brazilian reais)4Q12 3Q12 4Q11

Var%

4Q12/3Q12

Var%

4Q12/4Q11

Gross Debt 3.234.652 3.199.636 3.098.442 1,1% 4,4%

Short Term 472.786 452.674 426.332 4,4% 10,9%

Long Term 2.761.866 2.746.962 2.672.110 0,5% 3,4%

Cash Position 814.312 962.807 1.301.623 -15,4% -37,4%

Cash and equivalents 681.437 848.760 1.178.454 -19,7% -42,2%

Restricted investments ¹ 132.875 114.047 123.169 16,5% 7,9%

Net Debt 2.420.340 2.236.829 1.796.819 8,2% 34,7%

¹ Short and long term

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Investments – Cash Disbursements

Intangible and Fixed Assets and Highway Maintenance (R$ million)

679,527 750,787

598,281

876,712

1,106,425

77,997

127,192

131,188

141,066

679,527

828,784

725,473

1,007,900

1,247,491

2008 2009 2010 2011 2012

Intangible and Fixed Assets Maintenance

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[email protected]

R. Joaquim Floriano, 913 – 6º andar

Itaim Bibi – São Paulo – SP – CEP 04534-013

+55 11 3074-2410

www.arteris.com.br/ir

Investor Relations