Tokyo Roadshow November 2006 1
Structured for Growth HOCHTIEF is Majority Shareholder in Leighton Holdings (53%) Thiess Pty Ltd John Holland Group Pty Ltd Leighton Contractors Pty Limited Leighton Asia Limited (Northern) Leighton Asia Limited (Southern) Leighton Properties Pty Limited MD Operating Revenue Work in Hand No. of Employees Established Subsidiaries 2 100% owned 99% owned 100% owned 100% owned 100% owned 100% owned Roger Trundle A$4,318m A$7,350m 13,373 1933 PT Thiess Indonesia Thiess Services HVE David Stewart A$2,101m A$2,854m 2,524 1949 Lucon Infratek Networks Gridcomm: Peter McMorrow A$2,258m A$3,928m 5,136 1949 HWE Leighton Services: Visionstream Silcar Quantum LSE Technology Nextgen Networks Swan Water Mayfield Metlabs Broad Management and key statistics as at 30 June 2006. Joe Dujmovic A$477m A$456m 1,156 1975 David Savage A$494m A$1,335m 1,937 1975 Vyril Vella A$368m 29 1972
Financial Highlights Jun 06 $m Jun 05 $m % change Total revenue 10,034 7,607 32% New contracts, extensions & variations 10,221 9,756 5% Value of work in hand 16,038 15,471 4% Profit before tax 371 299 24% Profit after tax 276 215 28% Dividends per ord share 66 50 32% 3
Work in Hand A$m 18,000 16,000 14,000 12,000 10,000 8,000 6,000 4,000 2,000 0 96/7 97/8 98/9 99/0 00/1 01/2 02/3 03/4 04/5 05/6 At 31 December At 30 June 4
Total Revenue A$m 12,000 10,000 8,000 6,000 4,000 2,000 0 96/7 97/8 98/9 99/0 00/1 01/2 02/3 03/4 04/5 05/6 At 31 December At 30 June 5
Profit After Tax A$m 300 250 200 150 100 50 0 96/7 97/8 98/9 99/0 00/1 01/2 02/3 03/4 04/5 05/6 At 31 December At 30 June 6
Return on Equity % 30 25 20 15 10 5 0 96/7 97/8 98/9 99/0 00/1 01/2 02/3 03/4 04/5 05/6 At 30 June 7
Financial Position and Cash Flow Jun 06 Jun 05 Total assets ($m) 3,803 2,996 Cash ($m) 810 635 Interest-bearing liab s ($m) 43 57 Net cash ($m) 618 578 Members equity ($m) 1,103 893 Return on equity (%) 27.7 24.8 Return on assets (%) 8 7 Dividends per ord share 66 50 8
Financial Strength A$Billions 18 16 14 12 10 8 6 4 2 0 93/4 94/5 95/6 96/7 97/8 98/9 99/0 00/1 01/2 02/3 03/4 04/5 Jun- 06 2,200 2,000 1,800 1,600 1,400 1,200 1,000 800 600 400 200 0 A$Millions Work in Hand (LHS) Bank Guarantees, Insurance Bonds & Letters of Credit (RHS) 9
Financing Initiatives $750m CBA Operating lease facility - $360m sale-and-lease-back - Can put equipment back on 3 months notice - Not limited to specific manufacturers - Common quarterly lease payments dates US$110m 5 Yr Fixed Rate Notes - Recourse limited to Indonesian operations - Acts as partial currency hedge 10
Strategic Framework Thiess John Holland Leighton Contractors Leighton Asia (Northern) Leighton Asia (Southern) Leighton Properties Mining & Resources Engineering & Infrastructure Building & Property Services Markets/ Products Geography Brands Delivery Systems Australia Asia/Pacific Hard Dollar Design & Construction Project Management Alliancing Negotiated Development Privatised Projects/PPP 11
Areas of Operation United Arab Emirates India Thailand Sri Lanka China Laos Taiwan Hong Kong Macau Vietnam Malaysia Singapore Philippines Indonesia Pacific Australia New Zealand 12
Current Australian Engineering & Infrastructure Projects $350m Sydney-Melbourne Rail 2% JHG $266m Inner Northern Busway 7% LCPL $301m RTA Transitway $2.53bn EastLink Tollway $1.16bn Lane Cove Tunnel $360m Perth-Mandurah Rail (Package A) $427m Perth-Mandurah Rail (Package F) $482m Regional Fast Rail $963m Epping-Chatswood Rail 50% 38% 80% 78% 71% 92% 82% LCPL TPL + JHG TPL + JHG JHG LCPL JHG TPL 04 05 06 07 08 09 10 11 13
North-South Bypass Tunnel, Qld, Leighton Contractors 14
Lane Cove Tunnel, NSW, Thiess and John Holland 15
Perth-Mandurah Railway, WA, Leighton Contractors 16
Australian Construction Market $bn 60 50 40 30 20 10 0 94/5 95/6 96/7 97/8 98/9 99/0 00/1 01/2 02/3 03/4 04/5 05/6e 06/7f 07/8f 08/9f Engineering Construction Non-Residential Building 17 e= estimate f=forecast Source: BIS Shrapnel, private sector work done 03/04 dollars
Australian Engineering Construction Market $bn 35 30 25 20 15 10 5 0 94/5 95/6 96/7 97/8 98/9 99/0 00/1 01/2 02/3 03/4 04/5 05/6e 06/7f 07/8f 08/9f 09/10f Transport Water, sewerage & drainage Electricity & pipelines Telecommunications Mining & heavy industry Other 18 e=estimate f= forecast Source: BIS Shrapnel, private sector work done, 03/04 dollars
Prospective Australian Transport Projects $1.75bn Tullamarine Tunnel, Vic $2.1bn M4 East, NSW $1.3bn Airport Link, Qld $1.6bn F3-M2 Sydney Orbital Link, NSW $1bn Rail Link to Gladstone, Qld $500m-$1bn Ipswich Motorway, Qld $860m Monash-West Corridor, Vic $1.3bn Pacific Highway, NSW/Qld $500m Peel Deviation, WA $1.6bn Gateway Bridge Duplication, Qld 07 08 09 10 11 12 13 14 19
Sydney Road and Rail Transport Network 20
Melbourne Road and Rail Transport Network 21
Perth Road and Rail Transport Network 22
Brisbane Road and Rail Transport Network 23
Current Australian Building & Property Projects $121m Holsworthy Defence Accom 3% JHG $150m 18 Marcus Clarke St 10% LPPL + TPL $120m 7 London Circuit $200m Green Square Development 9% 12% LPPL + TPL LPPL + LCPL $228m Southbank Redevelopment $80m 101 George Street Office Tower $83m Cairns Harbour Lights $139m Westmead (Stage 1) $106m West End Plaza (Spencer St) 25% 49% 76% 50% 82% JHG LPPL + JHG TPL TPL LCPL 04 05 06 07 08 09 10 11 24
Spencer Street Station, Vic, Leighton Contractors 25
Leighton Properties Development Pipeline A$m Total Project Value 3,000 2,836 2,500 2,322 2,370 2,000 1,909 1,500 1,000 500 1,096 306 651 740 979 959 0 96/7 97/8 98/9 99/00 00/1 01/2 02/3 03/4 04/5 05/6 No of Projects 8 7 8 9 10 10 15 16 16 19 KENS Project Star City Casino 26
Non-Residential Building and Property Market $bn 25 20 15 10 5 0 94/5 95/6 96/7 97/8 98/9 99/0 00/1 01/2 02/3 03/4 04/5 05/6e 06/7f 07/8f 08/9f Hotels Retail Offices Factories & OBP Education & Health Other Non-residential 27 e=estimate f=forecast Source: BIS Shrapnel, work done 03/04 dollars
Current Australian Mining & Resources Projects $291m Yandi Iron Ore Mine 21% HWE $312m Poitrel Coal Mine 2% LCPL $333m Curragh North Coal Mine $427m Wilpinjong Coal Mine $258m MoorvaleCoal Mine $351m Liddell Coal Mine $1.38bn Collinsville Coal Mine $1.72bn Burton Coal Mine $1.64bn Mt Owen Coal Mine 38% Life of mine 50% Life of mine Life of mine Life of mine Life of mine TPL TPL LCPL TPL TPL TPL TPL 04 05 06 07 08 09 10 11 28
Koolyanobbing Iron Ore Mine, WA, Leighton Contractors (HWE) 29
Leighton Contractors Mining and Related Infrastructure Projects 30
Thiess Mining and Related Infrastructure Australian Projects 31
Collinsville Coal Mine, Qld, Thiess 32
Contract Mining and Capex Forecasts $bn 14 12 10 8 6 4 2 0 95/6 96/7 97/8 98/9 99/00 00/1 01/2 02/3 03/4 04/5e 05/6f 06/7f 07/8f 08/9f Contract mining (operations) Contract maintenance Mining investment 33 e=estimate f=forecast Source: BIS Shrapnel, 02/03 dollars
Resource Projects Pipeline $bn 100 90 80 70 60 50 40 30 20 10 0 Completed projects Advanced projects (committed or under construction) Less advanced projects (undergoing feasibility) Apr 04 Oct 04 Apr 05 Oct 05 Apr 06 34 Source: ABARE, Major Development Projects, April 2006
Current Australian Operations & Maintenance Projects $134m Telstra Access Services, Vic $250m South East Water Alliance $289m WestNet Rail Infra. Maint. $144m Brisbane Transfer Stns. & Landfill $114m Port Kembla Water Trtmnt. Plant 0% 21% 83% 86% 94% LCPL TPL JHG TPL TPL $141 Telstra Access Services, SA/WA 53% TPL $114m Eastern Distributor (O&M) $219m ACT & NSW Waste Coll. & Rec. ongoing ongoing LCPL TPL 04 05 06 07 08 09 10 11 35
Australian Maintenance Markets $bn 30 25 20 15 10 5 0 04/5e 05/6f 06/7f 07/8f 08/9f 09/10f Contract market Total market 36 e=estimate f=forecast Source: BIS Shrapnel, June 06
Current Significant Asian Projects A$545m Equestrian Centre, Qatar 2% LAS A$340m Kowloon Southern Link 24% LAN + JHG A$334m KL-Putrajaya Highway, Malaysia A$225m Gudang Hitam Mine, Indonesia A$652m Wynn Resorts, Macau (incl exp.) A$325m Eagle s Nest Tunnel, HK A$1.72bn Senakin & Satui Mines, Indon. A$476m Central Reclamation, HK A$1.49bn KPC Coal Mine, Indonesia 46% 18% 72% 73% Life of mine 63% Life of mine LAS LAS LAN LAN TPL LAN TPL 04 05 06 07 08 09 10 11 37
MSJ Coal Mine, Indonesia, Leighton Asia (Southern) 38
Central Reclamation Phase III, Hong Kong, Leighton Asia (Northern) 39
Wynn Resorts Macau Project, Leighton Asia (Northern) 40
City of Dreams, Macau, Leighton Asia (Northern) & John Holland 41
Al Shaqab Equestrian Academy, Qatar, Leighton Asia (Southern)
City of Arabia Development, UAE, Leighton Asia (Southern)
Nokia Mobile Phone Manufacturing Facility, India, Leighton Asia (Southern) 44
Kowloon Southern Link, Hong Kong, Leighton Asia (Northern) & John Holland 45
Summary - Outlook remains very positive - Work in hand remains strong at around $18 billion - Momentum driven by extended Australia construction and resources related upswing - Strong competitive position and balance sheet strength support outlook - On track for solid profit increase 46
Tokyo Roadshow November 2006 47