European Utilities Key Player Profiles: Bord Gais

European Utilities Key Player Profiles: Bord Gais

Introduction

The Performance pillar combines 5 financial metrics to measure business performance. The Scale pillar combines financial and operational metrics to measure the size of a utility. The Growth pillar measures the rate of growth of a utility's financial and energy resources. The Exposure pillar combines both operational and financial measurements of risk.

Scope

DATAMONITOR VIEW 1
CATALYST 1
SUMMARY 1
METHODOLOGY 1
ANALYSIS 2
European Utilities Key Player Profile: Bord Gais 2
Datamonitor's Key Player Scorecard examines 31 leading utilities drawn from across Europe's competitive arenas 4
Key Players dominate power generation capacity market share in the Wmed competitive arena 5
Key Players dominate power generation output market share in the Wmed and CEE competitive arenas 6
Despite ongoing industry consolidation, in no competitive arenas do Key Players dominate power supply volume market share 7
Despite ongoing industry consolidation, in no competitive arenas do Key Players dominate gas volume market share 8
The Key Player Scorecard assesses utilities across four pillars: Performance, Scale, Growth and Exposure 9
The Performance pillar combines 5 financial metrics to measure business performance 10
The Scale pillar combines financial and operational metrics to measure the size of a utility 11
The Growth pillar measures the rate of growth of a utility's financial and energy resources 12
The Exposure pillar combines both operational and financial measurements of risk 13
Bord Gais scores 24.3/100 on Datamonitor's European Utility Scorecard and ranks 28 out of the 31 Key Players covered 14
Bord Gais' overall ranking is below the Key Player average 16
Bord Gais achieves an overall ranking of 28, with a utility score of 24.3 21
Bord Gais' low overall ranking is due to below average scores in each of the four pillars 22
Bord Gais is a below average performer with an above average level of risk (below average Exposure score) 23
On Scale and Growth, Bord Gais lags the Key Player average 24
Bord Gais scores below average on all Performance metrics, with a ranking of 26 25
Bord Gais' overall Performance score is 8.2, below the Key Player average of 10.9 26
Bord Gais' operating profit margin of 19.2% is only slightly under the Key Player average of 19.7% 27
Bord Gais lags most of its peers in return on investment and energy volume 28
On the Scale pillar Bord Gais ranks last, at 31 29
In the Scale pillar Bord Gais ranks 31 30
Bord Gais has no generation capacity 31
Unlike most top ten utilities, Bord Gais is fully focused on gas 32
Bord Gais' share of the gas market is negligible, with approximately one quarter percent of Key Player gas customers 33
Bord Gais' EU25 gas supply volume market share is less than one percent 34
Bord Gais ranks 31 and 30 in terms of revenue and net income, respectively 35
Bord Gais ranks 23 on the Growth pillar, in spite of above average revenue growth 36
Bord Gais' profit growth is well below average, resulting in an overall Growth ranking of 23 37
Bord Gais is not a listed company, and so has no price earnings ratio 38
From 2001 to 2005, Bord Gais' annual revenue growth (8.5%) outpaced its annual profit growth (1.4%) 39
Bord Gais has experienced significant declines in operating cash flow (-11%) and gas volume (-12.5%) from 2004 to 2005 40
Bord Gais has an Exposure ranking of 26, due largely to the lack of any power supply volume 41
Bord Gais ranks well below average in its gas NTR 42
Bord Gais is among the 15 Key Players with no equity gas 43
Bord Gais has no equity gas, resulting in a -100% (short) gas NTR position 44
Compared to the top ten utilities, Bord Gais has a roughly median debt to equity ratio of 58.9% 45
Bord Gais ranks 12 in debt leverage amongst all Key Players 46
At -11%, Bord Gais' operating cash flow has declined roughly in step with its energy volume (-12.5%) 47
Bord Gais' activities are focused on Ireland 48
Bord Gais does not have a presence in the power market 49
Bord Gais has less than one percent of Key Player gas customers 50
APPENDIX 51
Databook 51
Definitions 70
Datamonitor Consulting 70
List of Tables
Table 1: The Key Players are drawn from across a diverse range of markets 3
Table 2: The Performance pillar combines 5 financial metrics to measure business performance 10
Table 3: The Scale pillar combines financial and operational metrics to measure the size of a utility 11
Table 4: The Growth pillar measures the rate of growth of a utility's financial and energy resources 12
Table 5: The Exposure pillar combines both operational and financial measurements of risk 13
Table 6: Bord Gais scores 24.3/100 on Datamonitor's European Utility Scorecard and ranks 28 out of the 31 Key Players covered 15
Table 7: Bord Gais scores 8.2/25 on the Performance pillar, and ranks 26 out of 31 on this measurement 17
Table 8: Bord Gais scores 0.4/25 on the Scale pillar, and ranks 31 out of 31 on this measurement 18
Table 9: Bord Gais scores 7.9/25 on the Growth pillar, and ranks 23 out of 31 on this measurement 19
Table 10: Bord Gais scores 7.8/25 on the Exposure pillar, and ranks 26 out of 31 on this measurement 20
Table 11: Bord Gais scores below average on all Performance metrics, with a ranking of 26 25
Table 12: On the Scale pillar Bord Gais ranks last, at 31 29
Table 13: Bord Gais ranks 23 on the Growth pillar, in spite of above average revenue growth 36
Table 14: Bord Gais has an Exposure ranking of 26, due largely to the lack of any power supply volume 41
Table 15: Return on fixed assets 51
Table 16: Return on sales 52
Table 17: Operating profit margin 53
Table 18: Return on energy volume 54
Table 19: Return on investment 55
Table 20: Generation Capacity / EU25 market total 56
Table 21: Power Supply Volume / EU25 market total 57
Table 22: Gas Supply Volume / EU25 market total 58
Table 23: Net income / Net income of 94 leading utilities 59
Table 24: Revenue / Revenue of 94 leading utilities 60
Table 25: Revenue growth, 2001-2005 CAGR 61
Table 26: Profit growth, 2001-2005 CAGR 62
Table 27: Growth in operating cash flow, 2004 to 2005 63
Table 28: Gas supply volume growth, 2004-2005 64
Table 29: Growth in power supply volume, 2004 to 2005 65
Table 30: Power NTR / Power supply volume 66
Table 31: Gas NTR / Gas supply volume 67
Table 32: Debt leverage 68
Table 33: Growth in operational cash flow - Growth in energy volume 69
List of Figures
Figure 1: Datamonitor's Key Player Scorecard examines 31 leading utilities drawn from across Europe's competitive arenas 4
Figure 2: Key Players dominate power generation capacity market share in the Wmed competitive arena 5
Figure 3: Key Players dominate power generation output market share in the Wmed and CEE competitive arenas 6
Figure 4: Despite ongoing industry consolidation, in no competitive arenas do Key Players dominate power supply volume market share 7
Figure 5: Despite ongoing industry consolidation, in no competitive arenas do Key Players dominate gas volume market share 8
Figure 6: Bord Gais achieves an overall ranking of 28, with a utility score of 24.3 21
Figure 7: Bord Gais' low overall ranking is due to below average scores in each of the four pillars 22
Figure 8: Bord Gais is a below average performer with an above average level of risk (below average Exposure score) 23
Figure 9: On Scale and Growth, Bord Gais lags the Key Player average 24
Figure 10: Bord Gais' overall Performance score is 8.2, below the Key Player average of 10.9 26
Figure 11: Bord Gais' operating profit margin of 19.2% is only slightly under the Key Player average of 19.7% 27
Figure 12: Bord Gais lags most of its peers in return on investment and energy volume 28
Figure 13: In the Scale pillar Bord Gais ranks 31 30
Figure 14: Bord Gais has no generation capacity 31
Figure 15: Unlike most top ten utilities, Bord Gais is fully focused on gas 32
Figure 16: Bord Gais' share of the gas market is negligible, with approximately one quarter percent of Key Player gas customers 33
Figure 17: Bord Gais' EU25 gas supply volume market share is less than one percent 34
Figure 18: Bord Gais ranks 31 and 30 in terms of revenue and net income, respectively 35
Figure 19: Bord Gais' profit growth is well below average, resulting in an overall Growth ranking of 23 37
Figure 20: Bord Gais is not a listed company, and so has no price earnings ratio 38
Figure 21: From 2001 to 2005, Bord Gais' annual revenue growth (8.5%) outpaced its annual profit growth (1.4%) 39
Figure 22: Bord Gais has experienced significant declines in operating cash flow (-11%) and gas volume (-12.5%) from 2004 to 2005 40
Figure 23: Bord Gais ranks well below average in its gas NTR 42
Figure 24: Bord Gais is among the 15 Key Players with no equity gas 43
Figure 25: Bord Gais has no equity gas, resulting in a -100% (short) gas NTR position 44
Figure 26: Compared to the top ten utilities, Bord Gais has a roughly median debt to equity ratio of 58.9% 45
Figure 27: Bord Gais ranks 12 in debt leverage amongst all Key Players 46
Figure 28: At -11%, Bord Gais' operating cash flow has declined roughly in step with its energy volume (-12.5%) 47
Figure 29: Bord Gais does not have a presence in the power market 49
Figure 30: Bord Gais has less than one percent of Key Player gas customers 50