roadshow presentation new york and boston, december 2003
presentation outline - Financial highlights - Group strategy - Australian market outlook - Asian market outlook
financial highlights Jun 03 $m Total revenue 5,620 New contracts, extensions & variations 6,802 Value of work in hand 9,662 Operating profit before tax 209.8 Operating profit after tax 140.0 Earnings per ord share 52 Dividends per ord share 44
work in hand $m 10000 9000 8000 7000 6000 5000 4000 3000 2000 1000 at 31 December at 30 June 93/4 94/5 95/6 96/7 97/8 98/9 99/00 00/1 01/2 02/3
total revenue $m 6000 5000 4000 3000 2000 1000 93/4 94/5 95/6 96/7 97/8 98/9 99/00 00/1 01/2 02/3
profit after tax $m 200 150 100 50 93/4 94/5 95/6 96/7 97/8 98/9 99/00 00/1 01/2 02/3
group strategy Australia Asia/Pacific Mining & Resources Engineering & Infrastructure Building & Property Operations & Maintenance Markets/ Products Geography Brands Delivery Systems Hard Dollar Design & Construction Project Management Alliancing Negotiated Development
structured for growth HOCHTIEF (50.1%) Leighton Holdings Other (49.9%) 100% owned 100% owned 70% owned 100% owned 100% owned 100% owned Thiess Roger Trundle Leighton Contractors Bob Merkenhof John Holland* Bill Wild PT Thiess Indonesia Thiess Services HVE Silcar Leighton Services - Infocus - Visionstream - LSE Technology Lucon Infratek Networks DMM Gridcomm - Quantum BOS Australia Broad * Includes Transfield Leighton Asia (Northern) Will Hamilton Leighton Asia (Southern) David Savage Leighton Properties Vyril Vella
competitor analysis Downer EDI HWE Abigroup Bovis Lend Lease Clough United Group McConnell Dowell Macmahon Multiplex Baulderstone Walter Barclay Mowlem Leighton Contractors Thiess John Holland Roads Rail Electricity Telecoms Contract Mining Heavy Industry Bridges/Harbours Water Sewage Offices Factories Shops Hotels Health/Education Defence Offshore
$m 6000 5000 4000 3000 2000 1000 0 competitors revenue at 30 June 2002 at 30 June 2003 Downer EDI Downer EDI Multiplex Leighton Bovis Lend Lease (Asia-Pacific) Bovis Lend Lease (Asia-Pacific) Clough HWE United Group United Group Barclay Mowlem Barclay Mowlem Baulderstone Hornibrook Baulderstone Hornibrook Abigroup Walter Grocon McConnell Dowell McConnell Dowell McMahon Transfield Services Transfield Services
$m 150 100 50 0-50 competitors profit at 30 June 2002 at 30 June 2003 Clough Multiplex Downer EDI Downer EDI Leighton Bovis Lend Lease (Asia-Pacific) Bovis Lend Lease (Asia-Pacific) United Group United Group Barclay Mowlem Barclay Mowlem Baulderstone Hornibrook Baulderstone Hornibrook McMahon Abigroup McConnell Dowell McConnell Dowell HWE Walter Transfield Services Transfield Services
competitors work in hand $m 10000 8000 6000 4000 Clough United Group United Group Downer EDI Downer EDI Baulderstone Hornibrook Baulderstone Hornibrook Abigroup HWE Grocon Barclay Mowlem Barclay Mowlem Walter Bovis Lend Lease (Asia-Pacific) Bovis Lend Lease (Asia-Pacific) McMahon McConnell Dowell McConnell Dowell Transfield Services Transfield Services Leighton Multiplex 2000 0 at December 2002 at 30 June 2003
leighton revenue vs aust construction market $m 7000 6000 5000 4000 3000 2000 1000 John Holland acquisition Leighton starts Eastern Distributor Tollroad Thiess coal projects PRL, WSO, KENS, Transfield acquisition Leighton telco projects Thiess Indonesian coal projects $bn 35 30 25 20 Leighton Revenue 94 95 96 97 98 99 00 01 02 03 04 05 Forecasts 15 Aust Const Market
building and engineering work $bn 34 30 26 22 18 14 10 6 2 Non-Residential Building Source: BIS Shrapnel, ABS Data Engineering Construction Forecasts 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05
major project timing F3 to Orbital Link M4 East Gateway Bridge Pakenham Bypass Albury Bypass Mitcham- Frankston Freeway Lane Cove Tunnel Perth- Mandurah Rail WestLink M7 Regional Fast Rail Parramatta Rail Spencer St $300m $550m $800m $550m $1.54bn $240m $335m $1.8bn $880m 03/04 04/05 05/06 06/07 07/08 $1.0bn $800m $1.5bn 08/09 09/10
WestLink M7, NSW Leighton Contractors
australian property markets $m 16000 10000 7000 5000 Commercial and Industrial Offices Factories Forecasts 2000 1500 1000 500 Total Value of Commencements 200 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 Source: BIS Shrapnel, ABS Data 05
KENS Project, NSW Leighton Properties
long-term mining contracts In work in hand Future work Yarrie Moorvale Mt Keith Sth Walker Westside Liddell Southland Collinsville Burton KPC Senakin Satui Mt Owen Jun 03 Jun 04 Jun 05 Jun 06 Jun 07 Jun 08
Comalco Alumina Refinery Project, Qld John Holland
australian contract mining industry $m 4000 Forecasts 3500 3000 2500 Annual Turnover 2000 1500 1000 500 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 Source: IBIS World, June 2002 06
operations and maintenance market $bn 25 1998/99 Prices Forecasts 20 15 10 01 02 03 04 05 06 Source: BIS Shrapnel Maintenance in Australia 2001
group O&M revenue $m 600 500 400 300 200 100 Telecommunications Building & property Environmental 104 221 Engineering & infrastructure Mining & resources 529 503 353 98/9 99/00 00/1 01/2 02/3
overview of the asian region - Resources remains focus in Indonesia - Solid civil workload in Hong Kong - Pursuing other opportunities in Malaysia - Philippines has reasonable activity levels - Improving investment climate in Vietnam - Hopeful of further rail work in Taiwan - Select opportunities in Thailand
Light Rail Transit System, Hong Kong Leighton Asia (Northern)
North Luzon Expressway, Philippines Leighton Asia (Northern)
summary - Operating performance remains strong - Work boosted to around $11.5bn with new contracts - Diverse range of major projects in both Australia and Asia - Upswing in Australian construction, property and resources markets - Expect similar underlying profit growth in 2003/04
roadshow presentation new york and boston, december 2003