Spice Holdings plc Final results 30 April 2005

1
Spice Holdings plc Final results 30 April
2005

• Simon Rigby Chief Executive Officer
• Oliver Lightowlers Group Finance Director
• Carl Chambers Corporate Development
  Director

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Agenda

• Welcome Simon Rigby
• Business review Simon Rigby
• Electricity Services
• Water Services
• Telecoms Services
• Financial review Oliver Lightowlers
• Acquisitions strategy Carl Chambers
• Conclusion Simon Rigby
• Questions

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A year of delivering our promises

• EBITA UP 70
• PBT UP 117
• EPS UP 59
• Dividend UP 10
• Organic margin improvement accounts for 95 of
  increase in EBITA
• Atlantic Water Services acquired on a multiple
  of 1
• Lamva acquired on a multiple of 4.1

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Business Review

• Group
• Support services focused on three sectors
• Positioned for organic growth in each sector
• Complementary acquisitions e.g. Atlantic Water
  Services and Lamva
• Structural changes within the utility sector

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Business review

• Electricity Services
• Turnover maintained
• Focus on higher skill areas
• Freedom Technical Services
• Capital and operational expenditure Regulatory
  Price Review
• Freedom Data Services
• Freedom Energy Management
• EBITA up 12

6
Acquisition of Lamva
Current turnover 24m
Additional turnover 3m
Current turnover 7m
Additional turnover 5m
Current turnover 4m
Additional turnover 5m
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Business review

• Water Services
• Significant profit and margin enhancement in all
  businesses
• Acquisition and integration of Atlantic Water
  Services
• New opportunities in Meter U
• East of England and British Gas
• Environmental and financial trends towards
  metering
• Metro Rod a record year
• EBITA up 133

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Business review

• Telecoms Services
• Air Radio development of non BA opportunities
  and continued growth of BA account client base
• Team Telecom moving towards break even
• Team Simoco overseas opportunities not yet
  awarded
• EBITA down 8, but increased EBITA margins (from
  17.3 to 19.0)

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Financial highlights

• Continuing turnover - 85.5m UP 6
• Gross margins like for like 29.6
  Maintained
• EBITA - 6.2m UP 70
• Profit before tax 5.2m UP 117
• Basic earnings per share (adjusted) UP
  59
• -12.9 pence (2004 8.1)
• Total dividend of 2.2 pence per share

Significant increase in profits and margins
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Profit and loss summary
Strong growth in profits and margins
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Segmental analysis
Margin improvement in all divisions
12
Electricity Services
Continued focus on margins
13
Water Services
Strong growth in all of our businesses
14
Telecoms Services
Team Telecom and Simoco remain areas of focus
15
Cashflow
Cashflow continues to improve
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Acquisitions strategy

• Key new sectors
• Local authorities
• Access to social housing market
• Other activities if it provides entry at
  acceptable prices
• critical mass
• Freedom model
• FM
• Growing support services market
• Development of energy management
• Cross-selling into utility clients
• Existing skills utilised in FM client base
• Freedom model

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Acquisitions strategy (continued)

• Bolt ons
• Across all divisions to
• increase skill base (Lamva)
• Widen geographic coverage (AWS)
• Enhance service offering

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A year of delivering our promises

• EBITA UP 70
• PBT UP 117
• EPS UP 59
• Dividend UP 10

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Questions?