0001558370-20-001061.txt : 20200220 0001558370-20-001061.hdr.sgml : 20200220 20200220141118 ACCESSION NUMBER: 0001558370-20-001061 CONFORMED SUBMISSION TYPE: 6-K PUBLIC DOCUMENT COUNT: 9 CONFORMED PERIOD OF REPORT: 20200229 FILED AS OF DATE: 20200220 DATE AS OF CHANGE: 20200220 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Ardagh Group S.A. CENTRAL INDEX KEY: 0001689662 STANDARD INDUSTRIAL CLASSIFICATION: GLASS CONTAINERS [3221] IRS NUMBER: 000000000 STATE OF INCORPORATION: N4 FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 6-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-38032 FILM NUMBER: 20634097 BUSINESS ADDRESS: STREET 1: 56 RUE CHARLES MARTEL CITY: LUXEMBOURG STATE: N4 ZIP: L-2134 BUSINESS PHONE: 352 2625 8555 MAIL ADDRESS: STREET 1: 56 RUE CHARLES MARTEL CITY: LUXEMBOURG STATE: N4 ZIP: L-2134 FORMER COMPANY: FORMER CONFORMED NAME: Ardagh Finance Holdings S.A. DATE OF NAME CHANGE: 20161109 6-K 1 f6-k.htm 6-K ard_Press_Release_6K

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

 

Washington, D.C. 20549

 

FORM 6‑K

 

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a‑16 OR 15d‑16 UNDER

THE SECURITIES EXCHANGE ACT OF 1934

 

For the month of February, 2020

 

Commission File Number: 001‑38032

 


 

Ardagh Group S.A.

(Name of Registrant)

 

56, rue Charles Martel

L‑2134 Luxembourg, Luxembourg

+352 26 25 85 55

 (Address of Principal Executive Offices)

 


 

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20‑F or Form 40‑F.

 

Form 20‑F          Form 40‑F 

 

Indicate by check mark if the registrant is submitting the Form 6‑K in paper as permitted by Regulation S-T Rule 101(b)(1): _____

 

 

Indicate by check mark if the registrant is submitting the Form 6‑K in paper as permitted by Regulation S-T Rule 101(b)(7): _____

 


 

 

 

EXHIBIT INDEX

The following exhibit is filed as part of this Form 6‑K:

 

 

 

 

Exhibit

Number

 

Description

99.1

 

Press release on Fourth Quarter and Full Year Results 2019 dated February 20, 2020

99.2

 

Press release on dividend declaration dated February 20, 2020

 

 

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, Ardagh Group S.A. has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Date:    February 20, 2020

 

 

 

 

 

Ardagh Group S.A.

 

 

 

 

 

 

 

 

 

 

By:

 /s/ DAVID MATTHEWS

 

 

Name:

 David Matthews

 

 

Title:

 Chief Financial Officer

 

 

 

 

EX-99.1 2 ex-99d1.htm EX-99.1 Earnings Press Release

     Exhibit 99.1

Picture 1

 

Ardagh Group S.A. – Fourth Quarter and Full Year 2019 Results

 

Ardagh Group S.A. (NYSE: ARD) today announced its results for the fourth quarter and year ended December 31, 2019.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2019

 

December 31, 2018

 

Change

 

Change CCY

 

 

($'m except per share data)

 

 

 

 

Full Year

 

 

 

 

 

 

 

 

Revenue (1)

 

6,660

 

6,676

 

 -

 

2%

Adjusted EBITDA (1)

 

1,173

 

1,115

 

5%

 

8%

Adjusted EBITDA margin (1)

 

17.6%

 

16.7%

 

+90 bps

 

+90 bps

Adjusted earnings per share - Group (1)

 

1.82

 

1.69

 

8%

 

10%

Earnings/(loss) per share - Group

 

6.17

 

(0.40)

 

 

 

 

Fourth Quarter

 

 

 

 

 

 

 

 

Revenue (1)

 

1,581

 

1,589

 

(1%)

 

1%

Adjusted EBITDA (1)

 

267

 

255

 

5%

 

6%

Adjusted EBITDA margin (1)

 

16.9%

 

16.0%

 

+90 bps

 

+80 bps

Adjusted earnings per share - Group (1)

 

0.39

 

0.33

 

18%

 

22%

Dividend per share declared (2)

 

0.14

 

0.14

 

 

 

 

 

 

 

 

 

 

 

 

 

Net debt to LTM Adjusted EBITDA

 

4.5x

 

5.0x

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Paul Coulson, Chairman and Chief Executive, said “2019 was a year of significant progress for the Group. Metal Packaging demand was strong, notably in the Americas, and global beverage can shipments increased by 5%. Glass Packaging Europe delivered another excellent year of growth, while Glass Packaging North America successfully stabilized earnings. The sustainability-driven demand backdrop for our infinitely-recyclable products remains favorable and we look to further progress in 2020.”

·

Revenue from Continuing Operations increased by 2% at constant currency, to $6.7 billion for the year;

·

Adjusted EBITDA from Continuing Operations increased by 8% at constant currency, to $1,173 million;

·

Adjusted earnings per share increased by 10% at constant currency to $1.82 (2018: $1.69);

·

Earnings per share of $6.17 for the year (2018: Loss per share of $0.40);

·

Fourth quarter revenue and Adjusted EBITDA growth of 1% and 6% respectively at constant currency;

·

Global beverage can shipments growth of 4% for the quarter and 5% for the year, with full year specialty can growth of 6%;

·

Glass Packaging revenue and Adjusted EBITDA growth of 2% and 20% respectively at constant currency in the quarter, reflecting continued strong delivery in Europe and stabilization in North America;

·

Food & Specialty Packaging divestment completed in October 2019, with proceeds used to repay debt;

·

Leverage reduced to 4.5x at year end, with further maturity and interest rate savings achieved during the year;

·

2020 outlook: Adjusted EBITDA of approximately $1.2 billion; Adjusted free cash flow of $375 - $400 million, before Business Growth Investments of approximately $250 million; Adjusted earnings per share of $1.48 - $1.64 (3); First quarter Adjusted EBITDA of approximately $270 million.

 


(1).  Continuing Operations results unless stated otherwise. For a reconciliation to the most comparable GAAP measures, see page 3, 11 and 12.

(2). Payable on April 1, 2020 to shareholders of record on March 18, 2020.

(3). 2020 Adjusted EPS outlook excludes contribution from joint venture.

 

 

 

 

1

Picture 6

 

Summary Financial Information

 

 

 

 

 

 

 

 

 

 

 

Three months ended December 31,

 

Year ended December 31,

 

 

2019

 

2018

 

2019

 

2018

 

 

(in $ millions, except EPS, ratios and percentages)

Revenue  (4)

    

1,581

 

1,589

 

6,660

 

6,676

Adjusted EBITDA (4)

 

267

 

255

 

1,173

 

1,115

Adjusted EBITDA margin (4)

 

16.9%

 

16.0%

 

17.6%

 

16.7%

Operating cash flow (4)

 

399

 

359

 

687

 

616

 

 

 

 

 

 

 

 

 

Profit/(loss) for the period - Group

 

1,405

 

(144)

 

1,458

 

(94)

Adjusted profit for the period - Group (4)

 

92

 

78

 

431

 

400

Earnings/(loss) per share - Group

 

5.94

 

(0.61)

 

6.17

 

(0.40)

Adjusted earnings per share - Group  (4)

 

0.39

 

0.33

 

1.82

 

1.69

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

At December 31,

 

At December 31,

 

 

2019

 

2018

 

 

$'m

 

$'m

Net debt (5)

 

5,328

 

7,462

Cash and available liquidity

 

1,278

 

1,170

Net debt to LTM Adjusted EBITDA (6)

 

4.5x

 

5.0x

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


(4).  Continuing Operations results unless stated otherwise. For a reconciliation to the most comparable GAAP measures, see page 3, 11 and 12.

 

(5). Net debt is comprised of net borrowings and derivative financial instruments used to hedge foreign currency and interest rate risk, net of cash and cash equivalents. Net borrowings at December  31, 2019 includes IFRS 16 leases.

 

(6). Net debt to LTM Adjusted EBITDA, at December 31, 2018, reflects the LTM Adjusted EBITDA for the Group, inclusive of the Food & Specialty business EBITDA of $363 million.

 

 

 

 

2

Picture 4

 

Financial Performance Review

Bridge of 2018 to 2019 Revenue and Adjusted EBITDA – Continuing Operations

Three months ended December 31, 2019

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

Metal Beverage Packaging Europe

 

Metal Beverage Packaging Americas

 

Glass Packaging Europe

 

Glass Packaging North America

 

Continuing Operations

 

 

$'m

 

$'m

 

$'m

 

$'m

 

$'m

Revenue 2018

 

379

 

432

 

387

 

391

 

1,589

Organic

 

(25)

 

25

 

21

 

(3)

 

18

FX translation

 

(13)

 

 —

 

(13)

 

 —

 

(26)

Revenue 2019

 

341

 

457

 

395

 

388

 

1,581

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted EBITDA

 

Metal Beverage Packaging Europe

 

Metal Beverage Packaging Americas

 

Glass Packaging Europe

 

Glass Packaging North America

 

Continuing Operations

 

 

$'m

 

$'m

 

$'m

 

$'m

 

$'m

Adjusted EBITDA 2018

 

53

 

69

 

84

 

49

 

255

Organic

 

(11)

 

(6)

 

 9

 

(2)

 

(10)

IFRS 16

 

 3

 

 3

 

 8

 

11

 

25

FX translation

 

(1)

 

 —

 

(2)

 

 —

 

(3)

Adjusted EBITDA 2019

 

44

 

66

 

99

 

58

 

267

 

 

 

 

 

 

 

 

 

 

 

2019 margin

 

12.9%

 

14.4%

 

25.1%

 

14.9%

 

16.9%

2018 margin

 

14.0%

 

16.0%

 

21.7%

 

12.5%

 

16.0%

 

 

Year ended December  31, 2019

 

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

Metal Beverage Packaging Europe

 

Metal Beverage Packaging Americas

 

Glass Packaging Europe

 

Glass Packaging North America

 

Continuing Operations

 

 

$'m

 

$'m

 

$'m

 

$'m

 

$'m

Revenue 2018

 

1,616

 

1,742

 

1,623

 

1,695

 

6,676

Organic

 

26

 

74

 

77

 

(20)

 

157

FX translation

 

(86)

 

 —

 

(87)

 

 —

 

(173)

Revenue 2019

 

1,556

 

1,816

 

1,613

 

1,675

 

6,660

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted EBITDA

 

Metal Beverage Packaging Europe

 

Metal Beverage Packaging Americas

 

Glass Packaging Europe

 

Glass Packaging North America

 

Continuing Operations

 

 

$'m

 

$'m

 

$'m

 

$'m

 

$'m

Adjusted EBITDA 2018

 

270

 

230

 

358

 

257

 

1,115

Organic

 

(18)

 

11

 

28

 

(14)

 

 7

IFRS 16

 

14

 

 9

 

24

 

36

 

83

FX translation

 

(13)

 

 —

 

(19)

 

 —

 

(32)

Adjusted EBITDA 2019

 

253

 

250

 

391

 

279

 

1,173

 

 

 

 

 

 

 

 

 

 

 

2019 margin

 

16.3%

 

13.8%

 

24.2%

 

16.7%

 

17.6%

2018 margin

 

16.7%

 

13.2%

 

22.1%

 

15.2%

 

16.7%

 

 

 

 

 

 

 

 

3

Picture 4

 

Group Performance

On October 31, 2019, the Group completed the combination of its Food & Specialty Metal Packaging business, operating as part of the Metal Packaging Europe and Metal Packaging Americas segments, with the business of Exal, to form Trivium Packaging, a global leader in metal packaging. The Group holds a stake of approximately 42% in Trivium. As a result of the completion of the transaction, the composition of the Group’s operating and reporting segments changed. The Food & Specialty Metal Packaging business has been reported as a discontinued operation.

The following are the Group’s four operating and reportable segments:

·

Metal Beverage Packaging Europe

·

Metal Beverage Packaging Americas

·

Glass Packaging Europe

·

Glass Packaging North America

Full year

Continuing Operations

Revenue decreased by $16 million, to $6,660 million in 2019, compared with $6,676 million in the year ended 31 December 2018. On a constant currency basis, revenue increased by 2%, principally due to volume/mix growth in beverage cans and the pass through of increased input costs in Glass packaging.

Adjusted EBITDA increased by $58 million, or 5%, to $1,173 million in the year ended 31 December 2019. On a constant currency basis, Adjusted EBITDA increased by $90 million, or 8%, principally due to favorable volume/mix effects, lower input costs and the impact of IFRS 16, partly offset by higher operating costs. 

Fourth Quarter

Continuing Operations

Revenue of $1,581 million for the quarter ended December 31, 2019 decreased by 1% at actual exchange rates and increased by $18 million or 1% at constant currency, compared with the same period last year. The increase in revenue is driven mainly by favorable volume/mix effects in Beverage Packaging Americas and higher selling prices in Glass Packaging, including the pass through of higher input costs.

Adjusted EBITDA increased by $12 million, or 5%, to $267 million in the three months ending December 31, 2019. On a constant currency basis, Adjusted EBITDA increased by 6%, principally due to favourable volume mix effects, the impact of IFRS 16, partly offset by higher operating costs.

Metal Beverage Packaging Europe

Revenue of $341 million decreased by 10% in the three-month period ended December 31, 2019, compared with the same period last year. On a constant currency basis, revenue decreased by 7%, principally due to unfavorable volume/mix effects and lower selling prices. Adjusted EBITDA for the quarter of $44 million decreased by 17% at actual exchange rates and 15% at constant currency, compared with the same period last year.  The reduction in Adjusted EBITDA principally reflected increased operating costs and unfavorable volume/mix effects, partly offset by the impact of IFRS 16.

Metal Beverage Packaging Americas

Revenue increased by 6%  to $457 million in the fourth quarter of 2019,  compared with the same period last year. This was principally due to favorable volume/mix effects of 11%,  partly offset by the pass through of lower input costs. Adjusted EBITDA of $66 million decreased by 4% compared with the particularly strong prior year period, principally reflecting other operating cost increases, partly offset by favorable volume/mix effects and the impact of IFRS 16.

Glass Packaging Europe

Revenue for the quarter of $395 million increased by 2% at actual exchange rates and by 5% at constant currency, compared with the same period last year. Revenue growth principally reflected increased selling prices, including to recover increased input costs. Adjusted EBITDA for the quarter of $99 million increased by 21%, at constant exchange rates, compared with the same period last year, mainly due to higher selling prices and the impact of IFRS 16, partly offset by increased input costs.

 

 

 

 

4

Picture 4

 

Glass Packaging North America

Revenue decreased by 1% to $388 million in the fourth quarter, compared with the same period last year. This  principally reflected unfavorable volume/mix effects, partly offset by increased selling prices to recover higher input costs. Adjusted EBITDA for the quarter of $58 million increased by 18%, compared with the same period last year, mainly due to the impact of IFRS 16 of $11 million, increased selling prices reflecting the pass through of higher input costs and lower freight and logistics costs, partly offset by unfavorable volume/mix effects. 

Financing Activity

On October 31, 2019, the Group completed the combination of its Food & Specialty Metal Packaging business, operating as part of the Metal Packaging Europe and Metal Packaging Americas segments, with the business of Exal, to form Trivium Packaging, a global leader in metal packaging.

Following the completion of the combination of its Food & Specialty business with the business of Exal, on October 31, 2019, the Group issued tender offers, at par, in respect of its $715 million 4.250% Senior Secured Notes due 2022 (“the 2022 Notes”),  €750 million 2.750% Senior Secured Notes due 2024 (“the 2024 Notes”),  €440 million 2.125% Senior Secured Notes due 2026 (“the 2026 Senior Secured Euro Notes”) and $500 million 4.125% Senior Secured Notes due 2026 (“the 2026 Senior Secured Euro Notes”). Following the expiration of the offer on November 28, 2019 notice was given to repurchase the following amounts, $20 million of the 2022 Notes,  €9 million of the 2024 Notes, and €1 million of the 2026 Senior Secured Euro Notes. On December 2, 2019, in accordance with the terms of the offer, the redemptions were completed.

On November 14, 2019, the Group redeemed $1,000 million 4.625% Senior Secured Notes due 2023 and €440 million 4.125% Senior Secured Notes due 2023, and paid the applicable redemption premiums and accrued interest. 

On November 29, 2019, the Group redeemed €750 million 6.750% Senior Notes due 2024 and paid the applicable redemption premium and accrued interest.

As at December 31, 2019, the Group had $663 million available under the Global Asset Based Loan Facility. During 2019, the Group reduced the facility size from $850 million to $700 million as a result of the Trivium transaction.

 

 

 

 

 

5

Picture 4

 

Earnings Webcast and Conference Call Details

Ardagh Group S.A. (NYSE: ARD) will hold its fourth quarter 2019 earnings webcast and conference call for investors at 3 p.m. GMT (10 a.m. ET) on February 20, 2020. Please use the following webcast link to register for this call:

Webcast registration and access:

https://event.on24.com/wcc/r/2168526/2003269CB850A7C26A442C9150B4952C

Conference call dial in:

United States: +1855 85 70686
International: +44 33 3300 0804

Participant pin code:
97848277#

Slides and annual report

Supplemental slides to accompany this release are available at http://www.ardaghgroup.com/investors

The Group’s 2019 annual report on Form 20-F is expected to be filed by March 2020.

The 2019 annual report for ARD Finance S.A., issuer of the Senior Secured Toggle Notes due 2027, will be published in March 2020 and available at http://www.ardholdings-sa.com/.

About Ardagh Group

 

Ardagh Group is a global supplier of infinitely recyclable, metal and glass packaging for the world’s leading brands. Ardagh operates more than 50 metal and glass production facilities in 12 countries across three continents, employing over 16,000 people with sales of $6.7bn.

Forward-Looking Statements

 

This press release includes “forward-looking statements” within the meaning of Section 27A of the U.S. Securities Act and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. Forward-looking statements are subject to known and unknown risks and uncertainties, many of which may be beyond our control. We caution you that the forward-looking information presented in this press release is not a guarantee of future events, and that actual events may differ materially from those made in or suggested by the forward-looking information contained in this press release. Any forward-looking information presented herein is made only as of the date of this press release, and we do not undertake any obligation to update or revise any forward-looking information to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise.

 

Non-GAAP Financial Measures 

 

This press release may contain certain consolidated financial measures such as Adjusted EBITDA, working capital, operating cash flow, Adjusted free cash flow, net debt, Adjusted profit/(loss), Adjusted earnings/(loss) per share, and ratios relating thereto that are not calculated in accordance with IFRS or US GAAP. Non-GAAP financial measures may be considered in addition to GAAP financial information, but should not be used as substitutes for the corresponding GAAP measures. The non-GAAP financial measures used by Ardagh may differ from, and not be comparable to, similarly titled measures used by other companies.

 

Contacts:

 

Investors:
Email:
john.sheehan@ardaghgroup.com

Media:

 

Pat Walsh, Murray Consultants
Tel.: +1 646 776 5918 / +353 87 2269345
Email:
pwalsh@murrayconsult.ie

 

 

 

 

 

6

Picture 4

 

Consolidated Financial Statements

Consolidated Income Statement for the three months ended December 31, 2019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Unaudited

 

Unaudited

 

 

Three months ended December 31, 2019

 

Three months ended December 31, 2018

 

    

Before

    

 

    

 

 

    

Before

    

 

    

 

 

 

 

exceptional

 

Exceptional

 

 

 

 

exceptional

 

Exceptional

 

 

 

 

 

items

 

Items

 

Total

 

items

 

Items

 

Total

 

 

$'m

 

$'m

 

$'m

 

$'m

 

$'m

 

$'m

Revenue

 

1,581

 

 —

 

 

1,581

 

1,589

 

 —

 

 

1,589

Cost of sales

 

(1,347)

 

(4)

 

 

(1,351)

 

(1,343)

 

(9)

 

 

(1,352)

Gross profit

 

234

 

(4)

 

 

230

 

246

 

(9)

 

 

237

Sales, general and administration expenses

 

(77)

 

(9)

 

 

(86)

 

(82)

 

(6)

 

 

(88)

Intangible amortization and impairment

 

(57)

 

 —

 

 

(57)

 

(58)

 

(186)

 

 

(244)

Operating profit/(loss)

 

100

 

(13)

 

 

87

 

106

 

(201)

 

 

(95)

Net finance expense

 

(101)

 

(91)

 

 

(192)

 

(106)

 

(2)

 

 

(108)

Share of post-tax losses in equity accounted joint venture

 

(10)

 

(39)

 

 

(49)

 

 —

 

 —

 

 

 —

Loss before tax

 

(11)

 

(143)

 

 

(154)

 

 —

 

(203)

 

 

(203)

Income tax charge

 

(18)

 

(31)

 

 

(49)

 

(41)

 

27

 

 

(14)

Loss from continuing operations

 

(29)

 

(174)

 

 

(203)

 

(41)

 

(176)

 

 

(217)

Profit from discontinued operation

 

71

 

1,537

 

 

1,608

 

77

 

(4)

 

 

73

Profit/(loss) for the period

 

42

 

1,363

 

 

1,405

 

36

 

(180)

 

 

(144)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Profit/(loss) attributable to:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Equity holders

 

 

 

 

 

 

1,405

 

 

 

 

 

 

(144)

Non-controlling interests

 

 

 

 

 

 

 —

 

 

 

 

 

 

 —

Profit/(loss) for the period

 

 

 

 

 

 

1,405

 

 

 

 

 

 

(144)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings/(loss) per share:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic and diluted earnings/(loss) per share attributable to equity holders

 

 

 

 

 

 

$
5.94

 

 

 

 

 

 

($0.61)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loss per share from continuing operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic and diluted loss per share from continuing operations attributable to equity holders

 

 

 

 

 

 

($0.86)

 

 

 

 

 

 

($0.92)

 

 

 

 

 

 

 

 

 

 

 

7

                            Picture 10

 

 

Consolidated Income Statement for the twelve months ended December 31, 2019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year ended December 31, 2019

 

Year ended December 31, 2018

 

 

Before

    

 

    

 

 

    

Before

    

 

    

 

 

 

 

exceptional

 

Exceptional

 

 

 

 

exceptional

 

Exceptional

 

 

 

 

 

items

 

Items

 

Total

 

items

 

Items

 

Total

 

 

$'m

 

$'m

 

$'m

 

$'m

 

$'m

 

$'m

Revenue

 

6,660

 

 —

 

 

6,660

 

6,676

 

 —

 

 

6,676

Cost of sales

 

(5,595)

 

(2)

 

 

(5,597)

 

(5,623)

 

(108)

 

 

(5,731)

Gross profit

 

1,065

 

(2)

 

 

1,063

 

1,053

 

(108)

 

 

945

Sales, general and administration expenses

 

(311)

 

(51)

 

 

(362)

 

(300)

 

(17)

 

 

(317)

Intangible amortization

 

(233)

 

 —

 

 

(233)

 

(237)

 

(186)

 

 

(423)

Operating profit

 

521

 

(53)

 

 

468

 

516

 

(311)

 

 

205

Net finance expense

 

(456)

 

(203)

 

 

(659)

 

(457)

 

(22)

 

 

(479)

Share of post-tax loss in equity accounted joint venture

 

(10)

 

(39)

 

 

(49)

 

 —

 

 —

 

 

 —

Loss before tax

 

55

 

(295)

 

 

(240)

 

59

 

(333)

 

 

(274)

Income tax charge

 

(41)

 

(3)

 

 

(44)

 

(67)

 

49

 

 

(18)

Loss from continuing operations

 

14

 

(298)

 

 

(284)

 

(8)

 

(284)

 

 

(292)

Profit from discontinued operation

 

215

 

1,527

 

 

1,742

 

211

 

(13)

 

 

198

Profit/(loss) for the year

 

229

 

1,229

 

 

1,458

 

203

 

(297)

 

 

(94)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Profit/(loss) attributable to:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Equity holders

 

 

 

 

 

 

1,458

 

 

 

 

 

 

(94)

Non-controlling interests

 

 

 

 

 

 

 —

 

 

 

 

 

 

 —

Profit/(loss) for the period

 

 

 

 

 

 

1,458

 

 

 

 

 

 

(94)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings/(loss) per share:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic and diluted earnings/(loss) per share attributable to equity holders

 

 

 

 

 

 

$
6.17

 

 

 

 

 

 

($0.40)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loss per share from continuing operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic and diluted loss per share from continuing operations attributable to equity holders

 

 

 

 

 

 

($1.20)

 

 

 

 

 

 

($1.24)

 

 

 

 

 

 

8

                            Picture 10

 

Consolidated Statement of Financial Position

 

 

 

 

 

 

 

 

 

 

At December 31,

 

At December 31,

 

2019

 

2018

 

$'m

 

$'m

 

 

 

 

Non-current assets

 

 

 

Intangible assets

2,884

 

3,601

Property, plant and equipment

2,677

 

3,388

Derivative financial instruments

 4

 

11

Deferred tax assets

204

 

254

Investment in material joint venture

375

 

 —

Other non-current assets

68

 

24

 

6,212

 

7,278

Current assets

 

 

 

Inventories

964

 

1,284

Trade and other receivables

734

 

1,053

Contract assets

151

 

160

Derivative financial instruments

 3

 

 9

Cash and cash equivalents

614

 

530

 

2,466

 

3,036

TOTAL ASSETS

8,678

 

10,314

Equity attributable to owners of the parent

 

 

 

Issued capital

23

 

23

Share premium

1,292

 

1,292

Capital contribution

485

 

485

Other reserves

165

 

45

Retained earnings

(2,181)

 

(3,355)

 

(216)

 

(1,510)

Non-controlling interests

 1

 

 1

TOTAL EQUITY

(215)

 

(1,509)

Non-current liabilities

 

 

 

Borrowings

5,524

 

7,729

Lease obligations

291

 

32

Employee benefit obligations

716

 

957

Derivative financial instruments

44

 

107

Deferred tax liabilities

344

 

543

Provisions

29

 

38

 

6,948

 

9,406

Current liabilities

 

 

 

Borrowings

22

 

114

Lease obligations

73

 

 4

Interest payable

60

 

81

Derivative financial instruments

17

 

38

Trade and other payables

1,628

 

1,983

Income tax payable

97

 

114

Provisions

48

 

83

 

1,945

 

2,417

TOTAL LIABILITIES

8,893

 

11,823

TOTAL EQUITY and LIABILITIES

8,678

 

10,314

 

 

 

 

 

 

9

Picture 9

 

Consolidated Statement of Cash Flows

 

 

 

 

 

 

 

 

 

 

 

Year ended December 31,

 

    

2019

 

2018

 

 

$'m

 

$'m

Cash flows from operating activities

 

  

 

 

Cash generated from continuing operations

 

1,179

 

991

Interest paid (7)

 

(417)

 

(414)

Income tax paid (7)

 

(64)

 

(97)

Net cash from operating activities - continuing operations

 

698

 

480

Net cash from operating activities - discontinued operation

 

141

 

375

Net cash from operating activities

 

839

 

855

 

 

 

 

 

Cash flows from investing activities

 

 

 

 

Purchase of property, plant and equipment

 

(498)

 

(465)

Purchase of intangible assets

 

(10)

 

(12)

Proceeds from disposal of property, plant and equipment

 

 3

 

10

Investing cash flows used in continuing operations

 

(505)

 

(467)

Proceeds from disposal of discontinued operation, net of cash disposed of

 

2,539

 

 —

Investing cash flows used in discontinued operation

 

(107)

 

(108)

Net cash from/(used in) investing activities

 

1,927

 

(575)

 

 

 

 

 

Cash flows from financing activities

 

 

 

 

Repayment of borrowings

 

(4,088)

 

(442)

Proceeds from borrowings

 

1,806

 

110

Dividends paid

 

(132)

 

(132)

Consideration received/(paid) on extinguishment of derivative financial instruments

 

 9

 

(44)

Deferred debt issue costs paid

 

(14)

 

(5)

Lease payments

 

(78)

 

(4)

Early redemption premium paid

 

(165)

 

(7)

Financing cash flows from continuing operations

 

(2,662)

 

(524)

Financing cash flows from discontinued operation

 

 —

 

 3

Net cash outflow from financing activities

 

(2,662)

 

(521)

 

 

 

 

 

Net increase/(decrease) in cash and cash equivalents

 

104

 

(241)

Cash and cash equivalents at the beginning of the year

 

530

 

784

Foreign exchange losses on cash and cash equivalents

 

(20)

 

(13)

Cash and cash equivalents at the end of the year

 

614

 

530

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(7). Operating cash flows for discontinued operation for the year ended December 31, 2019, include interest and income tax payments of $6 million and $15 million respectively (2018: $2 million and $8 million).

 

 

 

 

10

Picture 9

 

Financial assets and liabilities

 

At December 31, 2019, the Group’s net debt and available liquidity was as follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Maximum

 

Final

 

 

  

 

  

 

  

 

 

 

 

 

amount

 

maturity

 

Facility

 

 

 

 

 

Undrawn

Facility

 

Currency

 

drawable

 

date

 

 type

 

Amount drawn

 

amount

 

 

 

 

Local

 

 

 

 

 

Local

    

 

 

 

 

 

 

 

currency

 

 

 

 

 

currency

 

$'m

 

$'m

 

 

 

 

m

 

 

 

 

 

m

 

 

 

 

2.750% Senior Secured Notes

 

EUR

 

741

 

15-Mar-24

 

Bullet

 

741

 

832

 

 –

4.250% Senior Secured Notes 

 

USD

 

695

 

15-Sep-22

 

Bullet

 

695

 

695

 

 –

2.125% Senior Secured Notes

 

EUR

 

439

 

15-Aug-26

 

Bullet

 

439

 

493

 

 –

4.125% Senior Secured Notes

 

USD

 

500

 

15-Aug-26

 

Bullet

 

500

 

500

 

 –

4.750% Senior Notes

 

GBP

 

400

 

15-Jul-27

 

Bullet

 

400

 

528

 

 –

6.000% Senior Notes

 

USD

 

1,700

 

15-Feb-25