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Brisa Concessão Rodoviária

28th July 2017

1H2017 Results

Disclaimer

The information contained herein (“Information”) has been prepared by Brisa – Concessão Rodoviária, S.A. ("BCR") and which, according to its nature, it is not provisionaland which is not intended to give any forward-looking statements, estimates or future projections and should be read accordingly. The Information is publicly disclosedunder the applicable rules and regulations and may be freely used under the condition that it shall remain unchanged. BCR renders no representation, warranty orundertaking, express or implied, with respect to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness thereof. Neither BCR nor any ofits affiliates, subsidiaries, directors, representatives, employees and/or advisors shall not be held liable nor responsible for any direct or indirect damages whatsoever thatmay occur or that may arise from any use of the Information or otherwise arising in connection with this presentation or as a result of any use or manipulation,modification or alteration, update, revision or correction, whether intentional or not, of the Information.

All data referred in this document must be reported to the document’s date. Therefore, considering the nature and objective of the disclosure of the Information, BCR shallnot be under any obligation to update said Information, nor shall it be under any obligation to make any prior announcement of any amendment or modification thereofits contents and therefore the Information may not be used in the future in connection with any offer (public or private) in relation to securities issued by BCR. Any decisionto purchase, subscribe, exchange or otherwise trade any securities in any offering launched by BCR or on its behalf should be made solely on the basis of the informationto be contained in the relevant prospectus, base prospectus or offering memorandum to be made available in due course in relation to any such offering in accordancewith the applicable rules and regulations.

The Information herein is provided for general purposes only and is not intended to constitute professional advice. Furthermore, the Information does not constitute orform part of and should not be construed as, an offer (public or private) to sell, issue, advertise, market, invite to subscribe, submit to investment gathering procedures orthe solicitation of an offer (public or private) to buy or acquire securities of BCR or any of its affiliates in any jurisdiction or an inducement to enter into investment activityin any jurisdiction.

Use of data contained herein in its original format shall contain a quote as to the source of the information and/or a reference of where it was taken from.

Financial statements as of 30 June 2017 were prepared according to the International Financial Reporting Standards (IFRS) and were not subject to any Audit Report.

BRISA Concessão Rodoviária, S.A.Head-Office: Quinta da Torre da Aguilha, Edifício BRISA, São Domingos de RanaShare capital: EUR 75 000 000Registered in the Commerce Registry Office of Cascais under register and corporate tax number 502790024

1H2017 Results, 28th July 2017 | 2

Main Highlights

1H2017 Results

Traffic Evolution

Operating Performance

CAPEX

Financial Results

Debt Profile

Liquidity Position

Covenants and protective financial structure

Guidance

Wrap-up

Annex: P&L and Balance Sheet

Index

| 31H2017 Results, 28th July 2017

-55 -40

3.4%2.8%

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

4.0%-100

-90

-80

-70

-60

-50

-40

-30

-20

-10

0

1H16 1H17

WACD

4.5%

7.0% 7.0% 6.8%

2014 2015 2016 1H17

Main Highlights

Robust traffic growth:

Traffic increased 6.8% in 1H2017

| 4

1 2

3 4

Strong operating performance:

EBITDA up 9.8%. EBITDA margin at 75%

Solid Balance Sheet:

Prudent financial management

Strong liquidity position

▪ Cash of 339 M€, following 10y 300 M€ bond

issued in May (2.375% coupon)

▪ 275 M€ in committed credit lines (undrawn)

Smooth debt amortisation profile, with low refinancing risk

Significant headroom to covenant lock-up levels

Traffic Growth (VKM, YoY)

1H2017 Results, 28th July 2017

176 193

73.9%75.0%

6,5%

6,7%

6,9%

7,1%

7,3%

7,5%

80

100

120

140

160

180

200

220

1H16 1H17

EBITDAMargin 9.8%

1.1 p.p.

Significant improvement in net financial results:

WACD decreased to 2.8%

EBITDA (M€)

Net Financial Results (M€)

+15 M€

Main Highlights

1H2017 Results

Traffic Evolution


CAPEX

Financial Results

Debt Profile

Liquidity Position


Guidance

Wrap-up


Index


16 308

19 770

15 617

18 002

23 087

17 392

1Q 2Q 3Q 4Q

2017

2016

| 6

1H2017 ResultsTraffic Evolution

Traffic maintained a strong performance, increasing 6.8% in 1H17

Quarterly ADT (Average Daily Traffic) Quarterly VKM growth (YoY)

Traffic mix LV/HV ADT growth (yoy)

94.1%

5.9%

10.5%

7.2%

1Q16

2Q16

3Q16

4Q16

2016

+7.0%

FY2016

+9.9%

+5.1%

+6.9%

+6.6%

2017 1H2017

+3.3%1Q17

2Q17 +9.8%+6.8%

Note: Unlike VKM, ADT does not include leap year effect

1Q17 hampered by negative leap year and Easter calendar effects. Easter had the opposite

impact on 2Q17.


A1; 46%

A2; 16%

A3; 10%A4; 8%

A5; 6%

A6; 4%

A9; 4%A10; 1%

A12; 3%

A13; 1%

A14; 1%

Positive growth across all of the network| 7

1H2017 ResultsTraffic Evolution

Porto

LisboaA2

A6A13

A12

A10

A9

A5

A1

A14

A4

A3

6.3%8.9% 7.9% 6.4% 6.5%

8.9%11.8%

8.9% 8.3% 9.0%

15.7%

7.4%

A1 A2 A3 A4 A5 A6 A9 A10 A12 A13 A14 BCR

Average Daily Traffic (ADT*)

* ADT does not include leap year effect

30 34013 140 18 542

28 496

67 952

4 98819 774

6 00119 439

3 403 4 18818 049 ADT

YoY%

Breakdown of 1H2017 VKM (%)


A9 experienced higher

ADT growth rates due to

ongoing traffic saturation

of IC17 / CRIL

A14 recovered in 2017

following a temporary

road closure in 1H2016

\

194.3202.7

217.0

233.0

251.6

1H13 1H14 1H15 1H16 1H17

Traffic

Toll

Revenue

1H16 1H17

ADT (organic) 6.2% 7.7%

Calendar effect 0.6% -0.5%

Others 0.5% -0.4%

Like-for-like 7.3% 6.8%

Mix effect 0.1% 0.2%

Price effect 0.3% 0.7%

Others -0.3% 0.3%

Total (toll revenue) 7.4% 8.0%

Toll Revenues (M€)

+8.0%

Strong top line growth, with toll revenues up 8.0% YoY | 8

1H2017 ResultsOperating Performance (Toll Revenues)

Traffic & Toll Revenues (% change)

Traffic increased 6.8% in 1H2017, supported by a resilient organic traffic growth

Toll revenues increased 8.0% in 1H2017, backed by traffic performance and price effect of 0.7%


CAGR: 6.7%

138.8 147.0162.7 176.1

193.3

69.6% 70.6%72.8% 73.9% 75.0%

5,0%

5,5%

6,0%

6,5%

7,0%

7,5%

0

50

100

150

200

250

300

1H13 1H14 1H15 1H16 1H17

EBITDA EBITDA Margin

EBITDA increased 9.8%, to 193.3 M€. EBITDA margin reached 75% in 1H2017 (the highest 1st half level since

BCR inception), driven by a significant increase in operating income and an ongoing cost management

Operating income up 8.2%. Increase in activity led to a 3.7% increase in operating expenses

M€ 1H16 1H17 YoY

Operating income 238.2 257.7 8.2%

Toll revenues 233.0 251.6 8.0%

Service areas 3.3 3.4 3.3%

Other income 1.9 2.7 40.0%

Operating expenses 62.1 64.4 3.7%

Supplies and services 60.7 62.9 3.5%

Personnel costs 0.8 0.9 14.1%

Other expenses 0.6 0.6 2.5%

EBITDA 176.1 193.3 9.8%

EBITDA Margin 73.9% 75.0% 1.1 pp

EBITDA and EBITDA Margin (M€; %)

9.8%

1.1 p.p.

Businessoverview1H2017 Results

Operating Performance (EBITDA)

| 9

EBITDA increased 9.8%. EBITDA margin reached the highest 1st half level since BCR inception


CAGR: 8.6%

Capex is mainly related to resurfacing works in several motorways

Widening works on two sub-stretches

- Carvalhos/Santo Ovídio on A1 completed during 1H2017

- Águas Santas/Ermesinde on A4 still under way

M€ 1H16 1H17 YoY

EBITDA 176.1 193.3 9.8%


Capex 19.8 19.4 -2.0%

Widening works 7.0 7.5 7.2%

Major repairs¹ 9.4 8.6 -8.3%

Other (equipment, supervision, etc)

3.5 3.4 -3.7%

EBITDA - Capex 156.3 173.9 11.3%

1 Under the framework of IFRIC12, major repairs are provisions, not CAPEX

EBITDA – CAPEX (M€)

131.0139.5 140.1

156.3173.9

1H13 1H14 1H15 1H16 1H17


CAPEX and Cash-flow generation (EBITDA – CAPEX)

+11.3%

| 10

Strong cash-flow generation, with EBITDA-Capex up 11.3% YoY1H2017 Results, 28th July 2017

CAGR: 7.3%

Financial expenses down 28.1% YoY, mainly due to:

– Redemption in Dec 2016 of the 407.3 M€ bond with a 4.5% coupon

– One-off impact in Jun 2016 from the call option exercise to redeem early the 120 M€ floating rate bond

– Lower gross debt

Weighted average cost of debt continues on a downward trend, reaching 2.8%

M€ 1H16 1H17 YoY

Net financial results -55.2 -39.8 -

Financial income 0.3 0.0 -94.2%

Financial expenses 55.4 39.8 -28.1%

Interest expenses 42.5 31.1 -27.0%

IFRIC12 4.0 3.9 -2.1%

Other financial expenses 8.9 4.8 -45.4%

-64.6 -58.4 -51.7 -55.2-39.8

1H13 1H14 1H15 1H16 1H17

Net Financial Results (M€)

4.4% 4.3% 3.7% 3.3% 2.8%

68% 70% 70% 70%75%

2013 2014 2015 2016 1H17

WACD % Fixed

WACD & Fixed rate debt (%)


Financial Results

| 11

-48bps


Significant improvement in Net Financial Results. WACD at 2.8% during 1H17

Net Profit increased 82%, backed by higher toll revenues and lower financial expenses

-3.1

8.2

20.926.7

48.7

1H13 1H14 1H15 1H16 1H17

+82%

M€ 1H16 1H17 YoY

EBITDA 176.1 193.3 9.8%


Depreciation & prov. 84.9 85.4 0.7%

EBIT 91.2 107.9 18.2%

EBIT Margin 38.3% 41.9% 3.6 pp


… financial income 0.3 0.0 -94.2%

… financial expenses 55.4 39.8 -28.1%

Profit before tax 36.1 68.0 88.6%

(-) Income tax 9.3 19.3 106.8%

Net profit 26.7 48.7 82.2%

Net Profit (M€)


Net Profit

| 12

Profitability significantly increased, with net profit reaching 48.7 M€ (+82% YoY), backed by toll revenue

increase together with a significant reduction in financial expenses


BCR actively managed and smoothed its debt maturity profile

Financial overview1H2017 Results

Debt Amortisation profile

| 13

Current debt amortisation profile (M€)

May 2017: 10-year 300M€ bond with a 2.375% coupon and maturity in 2027

May 2017: Maturity extension of existing committed credit line up to 2020

1

2

New financing transactions during 1H2017

0

100

200

300

400

500

2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032

Bonds Other EIB

Debt Breakdown

70%

22%

8%

Bonds EIB Other

Gross debt: 2 446M€


New Bond issued in May 2017

BCR continues to extend its debt maturity profile at a lower cost

Financial overview1H2017 Results

New Bond issue (Bond 2027)


Deal review

300 M€ bond issued in May 2017

Annual coupon of 2.375%(reoffer yield of 2.387%)

10-year maturity(maturity in May 2027)

Order book more than 11x oversubscribed(more than 270 orders, totalling 3.4 bn€)

High demand from international institutional investors

Broad geographical distribution

Allocation by Geography Allocation by Investor Type

UK26%

Germany & Austria

25%France

14%

Benelux9%

Switzerland8%

Spain6%

Portugal4%

Italy3%

Scandi3%

Others2%

Fund Managers75%

Insurance + Pension Funds

7%

Banks15%

Other3%

1H2017 ResultsLiquidity Position

| 15

Strong liquidity position and low refinancing risk

Debt redemptions up to 2020 (M€]1H2017 Liquidity position

BCR has plenty of funds and facilities in placeto meet it’s forthcoming debt maturities:

339 M€ in cash

Strong cash flow generation

• 222 M€* in 2016 (84 M€* in 1H16)

• 92 M€* in 1H17

275 M€ in undrawn committed credit

lines (all with highly rated international

banks)

Smooth debt amortisation profile, with

highest annual debt redemption less

than 340 M€

1

2

3

4

19 39 39 39

300

12575

0

100

200

300

400

2017 2018 2019 2020

EIB Bonds Other

* Measured as the difference between Distributions and change in Net Debt


\

358374

387402

419

2H14 + FY15 2H15 + FY16 2H16 +

1 941 1 959 2 017 2 097 2 107

Jun 15 Dec 15 Jun 16 Dec 16 Jun 17

Financial overview

Conservative financial management and distribution policy

1H2017 ResultsCovenants and protective financial structure

| 16

EBITDA (Rolling 12 months; M€)

Net Debt (M€) Net Debt / EBITDA1 (active restriction)

5.49 5.30 5.25 5.25 5.05

1H15 YE15 1H16 YE16 1H17

Level ofTrigger (Lock-up)

Significant headroom to lock-up

1 Inputs for this ratio may slightly differ from reported figures due to the adjustments made in order to reflect the CTA ratio definitions

Net Debt / EBITDA decreased to 5.05x from 5.25x at YE16,

with EBITDA growth significantly outpacing net debt growth:

- 12 months EBITDA ending June 17 increased 4.3% from FY16

- Net debt increased by only 0.5%, incl. distributions of 101M€

Significant level of headroom to lock-up levels


+0.9% +2.9% +4.0% +0.5%

+4.5% +3.6% +3.7% +4.3%

1H15 1H16 1H17

5.75x (up to YE18)

6.00x

Main Highlights

1H2017 Results

Traffic Evolution


CAPEX

Financial Results

Debt Profile

Liquidity Position


Guidance

Wrap-up


Index


Targets revised upwards| 18

Guidance

2017

Previous Guidance: > 3%

New Guidance: > 6%

2017

Previous Guidance: in line w/ revenue growth

New Guidance: ≤ 3% (below revenue growth)

2017

Previous Guidance: > 350 M€

New Guidance: > 370 M€

Toll RevenuesGrowth

OPEXGrowth

Cash-Flow (EBITDA-CAPEX)


Main Highlights

1H2017 Results

Traffic Evolution


CAPEX

Financial Results

Debt Profile

Liquidity Position


Guidance

Wrap-up


Index


Wrap-up

▪ EBITDA increased 9.8% YoY to 193.3 M€

▪ EBITDA margin at 75% in 1H2017, the highest 1st half level since BCR inception, supported by strong increase in operating revenues and ongoing cost management

▪ Net profit up 82.2% to 48.7 M€

Targets revised

upwards

Sustained traffic

recovery

▪ Significant traffic performance, driven by robust organic growth

▪ Traffic growth rates above guidance

Prudent financial

management

Strong operating

performance

Toll revenues, OPEX and

EBITDA-CAPEX

6.8% YoYtraffic

increase

SolidBalance Sheet

& liquidityposition

EBITDA marginat 75%

1H2017 Results, 28th July 2017 | 20

▪ Strong liquidity position, with 339 M€ in cash and 275 M€ in undrawn committed credit lines

▪ Smooth debt amortisation profile, with low refinancing risk

▪ Significant headroom to covenant lock-up levels

▪ Toll revenues growth: > 6%

▪ OPEX growth: ≤ 3%

▪ EBITDA - CAPEX: > 370 M€

Improvement in net

financials

WACDat 2.8%

▪ Financial expenses down 28.1%:

▪ Redemption in Dec 2016 of 407.3 M€ bond with 4.5% coupon

▪ One-off impact from call option exercise on 120 M€ bond in Jun 2016

Main Highlights

1H2017 Results

Traffic Evolution


CAPEX

Financial Results

Debt Profile

Liquidity Position


Guidance

Wrap-up


Index


M€ 1H16 1H17 YoY

Operating income 238.2 257.7 8.2%

Operating expenses 62.1 64.4 3.7%

EBITDA 176.1 193.3 9.8%


Depreciation & prov. 84.9 85.4 0.7%

EBIT 91.2 107.9 18.2%

EBIT Margin 38.3% 41.9% 3.6 pp


Profit before tax 36.1 68.0 88.6%

Income tax 9.3 19.3 106.8%

Net profit 26.7 48.7 82.2%

Annex1H2017 P&L

| 22

Increase in profitability led by strong top line and lower financial expenses


M€ YE16 1H17 YtD

Assets 2 716.2 2 890.9 6.4%

Non-current 2 562.6 2 510.5 -2.0%

… Intangibles 2 496.5 2 440.9 -2.2%

… Other 66.2 69.6 5.1%

Current 153.5 380.5 147.8%

… Cash & Cash Equivalents 118.3 339.2 186.7%

… Other 35.2 41.3 17.2%

Equity 208.1 156.3 -24.9%

Liabilities 2 508.0 2 734.7 9.0%

M/Long-term financial debt 2 028.4 2 009.2 -0.9%

Short-term financial debt 172.6 397.4 130.2%

Other 307.0 328.0 6.9%

Annex1H2017 Balance Sheet

| 23

Solid balance sheet 1H2017 Results, 28th July 2017

brisa concessão rodoviária - cmvmweb3.cmvm.pt/english/sdi/emitentes/docs/fr65338.pdf · smooth...

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