INVESTOR PRESENTATION September 2011 - Global ... STRUCTURE GLOBAL CONSTRUCTION SERVICES LIMITED PARENT COMPANY Ph: 1300 653 146 Ph: 139 GCS (139 427) GCS – INTEGRATED SERVICES GCS

INVESTOR PRESENTATION September 2011

GCS – INTEGRATED SERVICES

MARKET LEADER

Global Construction Services Limited (GCS) is a proudly owned and managed, Australian construction and maintenance services company that offers a diverse range of integrated products and services that include:

•  Specialised workforce and site services •  Scaffold and access •  Shutdown and maintenance support •  Plant and equipment •  Formwork and concreting •  Site accommodation •  Design and Engineering


SERVICES & MARKETS

PLANNING SITE ESTABLISHMENT CONSTRUCTION OPERATIONS

Design Development Estimating HSE Systems Project Implementation

Traffic Management Temporary Fencing Temporary Offices Temporary Ablutions Temporary Lighting & Power Generation Site Canteens HSE Systems

Scaffolding Formwork Concrete Pumping Concrete Placement General Equipment Hire Material Hoists Window and Curtain Wall Installation Specialist Painting Specialist Workforce HSE Management

Access Solutions Maintenance Shutdowns Specialist Workforce

We service Infrastructure, Energy/Oil & Gas, Resources, Commercial and Residential Sectors of the market.


PERTH

GERALDTON

NEWMAN

KARRATHA

BUNBURY BUSSELTON DUNSBOROUGH

MELBOURNE

SYDNEY

BRISBANE

TOWNSVILLE

GCS has the infrastructure and operational flexibility to service clients in our key markets.

CURRENT BRANCH LOCATIONS


ORGANISATIONAL STRUCTURE

GLOBAL CONSTRUCTION SERVICES LIMITED

PARENT COMPANY

Ph: 1300 653 146 Ph: 139 GCS (139 427)


GCS STRUCTURE

GCS RAPID ACCESS PTY LTD

Perth Metro (WA) South West (WA)

Commercial & Industrial

Scaffolding, Formwork, Timber

& Plywood

Hire, Sales & Labour

GCS BUDGET PORTABLES

PTY LTD North West (WA) Perth Metro (WA) South West (WA)

Site Offices, Ablutions, Sea

Containers, Cement Sheds,

Site Toilets

Hire & Sales

GCS HIRE PTY LTD

North West (WA) Perth Metro (WA) South West (WA)

General Plant & Equipment Hire

Hire & Sales

NEWAVE CONTRACTING

PTY LTD

Perth Metro (WA)

Commercial Concrete Supply

& Lay

GCS CONCRETE PUMPING PTY LTD

Perth Metro (WA)

Commercial Concrete Pumping

50% Interest

GCS NORTHWEST

PTY LTD

North West (WA)

Scaffolding, Formwork, Timber

& Plywood, Site Offices,

Ablutions


CASC CONSTRUCTIONS

PTY LTD

Perth Metro (WA)

Commercial Formwork Contracting

GCS SECURITY SCAFFOLDING

PTY LTD

Perth Metro (WA) South West (WA)

Residential Scaffolding, Hoists,

Temporary Fencing, Chemical

Toilets, Sewer Toilets, Site

Lockers


SMARTSCAFF PTY LTD *

VIC NSW QLD

Commercial & Industrial Scaffolding

50% Interest

* Pending Final Settlement

Ph: 139 GCS (139 427)


GIS STRUCTURE

GLOBAL (RAPPEL) ROPE ACCESS &

RIGGING

Australia Wide

Rope Access Specialists IRATA accredited

GLOBAL SPECIALISED

PAINTING


Specialist Painting Workforce & Services

GLOBAL HUMAN RESOURCES (WA)

Western Australia

Labour Hire, Skilled & Semi-skilled Trades

People, Safety Training

GLOBAL HUMAN RESOURCES (QLD)

Queensland

Labour Hire, Skilled & Semi-skilled Trades

People, Safety Training

GLOBAL TRAFFIC & SAFETY


Traffic Planning, Road Closures, Access

Management

GLOBAL ACCESS & RIGGING


Specialist Workforce & Services for Scaffold &

Rigging

GLOBAL WINDOWS & FACADES

Australia Wide

Large Scale Glass, Aluminium, & cladding

Installation

Ph: 1300 653 146


CORPORATE HIGHLIGHTS FY11

•  The acquisition of specialised labour hire company Global Industrial Services Pty Ltd in June 2011 diversifies and opens up significant opportunities to GCS through a more comprehensive packaged offering to customers in key markets.

•  Strategic 50% investment in SmartScaff Pty Ltd (pending completion of transaction) provides GCS immediate access to the East Coast of Australia through an experienced management team.

•  Strengthened management team through the appointment of new high calibre executives to focus GCS on the pipeline of growth opportunities.


FINANCIAL HIGHLIGHTS FY11

Delivers strong result in line with earnings guidance and market expectations:

•  NPAT $19.4 million ($11.4m); margin 13.4% (12.5%) [up 70%]

•  Revenue $146.4 million ($91.6m) [up 60%] •  EBITDA $38.0 million ($23.3m); margin 26.2% (25.6%) [up 63%]

•  EBIT $29.9 million ($16.9m); margin 20.6% (18.6%) [up 77%]

•  EPS 20.8 cents (13.1c) [up 59%]

•  NTA 61.7 cents per share (59.2c)

•  Dividend 8.25 cents fully franked (5.50 cents) •  Gearing 37% (42%); (net debt/equity)

NOTE: The financial results contained in this presentation are based on accounts which are in the process of being audited.


PRELIMINARY STATEMENT OF FINANCIAL POSITION

JUNE 2011 (‘$000)

JUNE 2010 (‘$000)

JUNE 2011 (‘$000)

JUNE 2010 (‘$000)

Cash 17,535 11,634 Creditors & Payables 22,653 13,843

Trade Debtors 30,546 22,115 Borrowings 15,726 11,530

Inventories 4,014 2,822 Unearned Income 10,871 5,000

Prepayments 2,159 1,630 Tax Liabilities 9,377 2,192

Total Current Assets 54,254 38,201 Total Current Liabilities 58,627 32,565

PP&E 120,825 91,670 Borrowings 38,633 34,915

Investments 262 199 Unearned Income - 3,489

Intangibles 61,386 24,216 Provisions 816 505

Tax Assets 3,900 1,841 Deferred Tax Liabilities 9,765 7,697

Other Non Current Assets 203 541

Total Non Current Assets 186,576 118,467 Total Non Current Liabilities 49,214 46,606

TOTAL ASSETS 240,830 156,668 TOTAL LIABILITIES 107,841 79,171

CONTRIBUTED EQUITY 96,479 54,083

NET ASSETS 132,989 77,497 RETAINED EARNINGS 36,510 23,414


STATEMENT OF CASH FLOWS FY11

Operating Cash flows

JUNE 2011 (‘$000)

JUNE 2010 (‘$000)

Financing Cash flows

JUNE 2011 (‘$000)

JUNE 2010 (‘$000)

Receipts from Customers 151,388 90,128 Repayment of Borrowings (27,657) (9,251)

Payments to Suppliers (106,607) (60,106) Proceeds of Share Issues 18,292 4,000

Net Interest (2,888) (3,120) Transaction Costs of Share Issues

(816) (152)

Income Taxes Paid (1,143) 351 Dividends Paid (4,851) (3,390)

Total Operating Cash flows 40,750 27,253 Total Financing Cash flows (15,032) (8,793)

Investing Cash flows

PP&E (4,610) (10,821) NET INCREASE IN CASH 5,908 6,883

Acquisition of subsidiaries, net of cash

(15,200) (1,120) CASH AT BEGINNING OF YEAR

11,634 4,733

Related Party Loans - 364 FX Adjustments (7) 18

Total Investing Cash flows (19,810) (11,577) CASH AT END OF YEAR 17,535 11,634


OPERATIONAL HIGHLIGHTS FY11

Commercial Division

•  The Commercial Division performed strongly underpinning the FY11 result.

•  Achievement of key milestones on major projects, including the $79 million Fiona Stanley Hospital project.

•  Greater contributions from the general plant hire division GCS Hire, which has expanded its geographical footprint.

•  Consistent growth in Temporary Site Accommodation Division.

GCS – INTEGRATED SERVICES GCS – INTEGRATED SERVICES


Residential Division

•  Increased market share in a price sensitive market.

•  Superior product offering, experienced management and customer focus is a key point of differentiation, providing a competitive advantage in this mature market.

•  Additional investment in modernisation of key equipment including material hoists, site lockers, and transportable site toilets and amenities.

•  Upgrading of logistics capability to meet increasing demand.



Resources and Industrial Division

•  Activity levels continue to improve with significant pipeline of opportunities. •  Geographical footprint of the general plant hire division GCS Hire has

expanded into the Northwest & Midwest of Western Australia increasing exposure to the Resources, Oil & Gas and Energy sectors.

•  Robust market in Temporary Site Accommodation with significant expansion in the fleet in 2011 to meet ongoing demand.

•  Increased opportunities to leverage and package a greater range of service offerings including specialised labour services through the acquisition of Global Industrial Services Limited (GIS).


SEGMENT INFORMATION FY11

Segment information Commercial Residential Resource & Industrial

Total

Year ended 30 June 2011 $’000 $’000 $’000 $’000

Total Segment revenue 210,727 23,979 17,879 252,585

Intersegment revenue (105,127) (1,688) (558) (107,373)

Revenue from external customers 105,600 22,291 17,321 145,212

Interest revenue 159 53 17 229

Adjusted EBITDA 33,011 5,131 3,464 41,606

Depreciation and amortisation 5,712 1,488 788 7,988

Income tax expense 7,871 1,501 97 9,469

Share of profits of equity investees 63 - - 63

Year ended 30 June 2010 $’000 $’000 $’000 $’000

Total Segment revenue 99,615 20,329 13,311 133,255

Intersegment revenue (39,700) (1,537) (922) (42,159)

Revenue from external customers 59,915 18,792 12,389 91,096

Interest revenue 38 8 6 52

Adjusted EBITDA 18,711 3,922 2,592 25,225

Depreciation and amortisation 3,173 2,455 708 6,336

Income tax expense 4,386 314 (874) 3,826

Share of profits of equity investees 146 - - 146


•  After an outstanding performance in FY11, GCS is strongly placed to capture significant new contract revenue in FY12 and beyond on the back of increased activity in civil construction and burgeoning demand for services to support expansion in the Oil & Gas and Resources sector.

•  We anticipate earnings to hold steady in FY12 due to the delay in start up of a number of new projects across all sectors.

•  The Group is confident of an uplift in earnings from FY13 and onwards as a result of anticipated project awards during FY12.

OUTLOOK FOR FY12


GROWTH STRATEGY

•  Continue to leverage strong position in WA economy whilst commencing expansion into the East Coast via strategic investment in SmartScaff Pty Ltd.

•  Diversify into related industries and sectors.

•  Maintain a disciplined approach to acquisitions, targeting businesses that are:

•  profitable, with growth potential

•  synergistic with GCS’s existing operations

•  earnings accretive.

•  Continue to deliver organic growth.


INVESTMENT CASE

•  GCS Group’s expansion into the East Coast via its 50% shareholding in SmartScaff Pty Ltd will allow the company the opportunity to now compete on a National basis.

•  GCS provides exposure to the high growth Western Australian and Queensland economies.

•  GCS has consistently delivered results in line with market expectations since listing in 2007.

•  GCS continues to tender significant contract opportunities in the Commercial and Resource & Industrial sectors, taking advantage of in excess of $100 billion of committed resources and infrastructure projects in Western Australia alone.

•  Currently undervalued by comparison to other ASX listed companies in similar markets.


TOP 20 SHAREHOLDERS 31 August 2011

Ph: 139 GCS (139 427) www.gcs-group.com.au

Documents

INVESTOR PRESENTATION September 2011 - Global ... STRUCTURE GLOBAL CONSTRUCTION SERVICES LIMITED PARENT COMPANY Ph: 1300 653 146 Ph: 139 GCS (139 427) GCS – INTEGRATED SERVICES GCS