Corporate Finance Analyst

Sydney Airport - Sydney NSW

- Applications close Tuesday 17 March 2015 Position Title
Corporate Finance Analyst
Reports To: Head of Strategic Projects
Business Unit: Finance
Date: March 2015
Position Purpose

Member of the team responsible for financial analysis supporting Sydney Airports
strategy, capital projects and investor relations.

Responsible for providing expert financial modelling and analysis to facilitate key
business decisions and promote operational and financial performance.
Key Accountabilities
Overall

Assessing equity, credit and market implications of new business plans,

capital structures and funding proposals

Developing and executing valuation, cash flow and distribution forecasting

Assisting in the development of budgets, costs and approvals of expenditure on

projects

Ensuring high quality information relating to Sydney Airport investments is

provided to the senior management team
Capital Projects

Undertaking business-wide valuation, cash flow and financing modelling

including the analysis of the impact of historic performance, updated business
plans, changes to long term operational and financing assumptions, and
updated capital structures on Sydney Airports financial and valuations forecasts

Reviewing, updating and amending SYDs aggregated valuation model

reflecting the impact of different investments and strategies in order to calculate net
asset backing, gearing, EV/EBITDA and other market relevant metrics

Acting as a point of contact for operational teams to assist in the development of

new business / investment plans or opportunities

Investment evaluation and assessment of capital management issues for

significant projects, transactions or material changes to business forecasts; to be
undertaken with reference to Investment Evaluation Framework hurdles

Providing financial analysis and assistance with retendering processes throughout

commercial businesses

Producing supporting analyses for aeronautical / regulatory pricing negotiations

Creating summary financial models for provision to rating agencies, financiers,

minority shareholders or analysts

Preparation of materials to inform senior management on changes to forecasts

and differences between internal forecasts, external benchmarks/expectations
(including IEF reviews)
Other

Assisting from time to time with the development of background information for
investor relations materials

Sourcing and presentation of key benchmarking materials for listed and unlisted
comparable entities

Assisting with special Finance projects, co-ordinating required deliverables and

managing stakeholders in other departments

Key Working Relationships

Internal
General Managers
Senior Management
Project Sponsors
Project Managers
Investor Relations
Finance Team

External
Financial advisers
Legal advisers
External valuers
Investors
Rating agencies
Auditors
Suppliers

Selection Criteria

2+ years postgraduate investment banking or corporate finance

experience in a top tier investment bank/commercial bank/private
equity firm or corporate finance team of an accounting firm or corporate

Degree in relevant discipline eg finance, economics, accounting,

actuarial studies, engineering, mathematics (double degree with law
viewed favourably

Aviation experience & understanding of key airport business drivers

Experience with significant capital/investment

transactions/projects

Exposure to capex management

Large corporate experience (either internal or as an adviser)

Understanding of listed entities and markets

Understanding of bank & capital market requirements, rating agency

and investor expectations

Exceptional Microsoft Excel, PowerPoint and Word skills

Previous analytical and modelling experience and experience in the

presentation of analysis and information

Experience dealing with investment and valuation matters understanding of valuation methods, tools and calculations (eg DCF, IRR,
EV, and cost of capital)

Excellent technical skills in various methods of investment valuation, as

well as the ability to disseminate complex information in a way that is
easily understood by various audiences

Financial systems experience (eg Bloomberg, IRESS)

Ability to achieve outcomes through effective communication and

influencing of key decision makers

Team player

Capacity to interact with and influence all levels of staff, including

senior management

Strong written and verbal communication skills

Attention to detail

Ability to prioritise tasks and remain calm under pressure

Ability to adapt positively to change and comfortably tackling new

concepts

Plans and prioritises competing projects to deliver quality work that

meets set deadlines

Results focussed, action bias and strong task completer

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Strong academic background with consistently high grades

Sets high standards for self
Willing to accept responsibility and follow through tasks until
completion

1. EXPERIENCE,

AND PASSION FOR FINANCIAL MODELLING AND VALUATIONS

S/T

Built robust financial models and business valuations for Ports, Non reg,
Energy
Assessed Capital/Funding Proposals, business cases NPC (Mayfield
negotiations), UrbanGrowth NSW (Asset Sales, North Parramatta), FCNSW
(Discount Rate, Biological Assets Valuation)
Supported Transactions (Poles and Wires (workstreams, Port Transactions ownership)
Used modelling to achieve policy outcomes LGA revenue/expenditure
(data collation/analysis), Commercial rents (regression model), Container
cap (analysis), PAFA requests (credit modelling)

Really felt strongly about building financial models set it as key KPIs in my
performance plan.
Set 30 June to have integrated financial models, 30 September for equity valuations
and scenario analysis, consulted experts for input.
Self-starter and analytical. Enrolled myself in modelling training, read valuation
books.
Really started enjoying understanding the SOCs I was modelling, and having a sense
of ownership over and developing expertise.
Set out a schedule of what I wanted to achieve in the week. Removing distractions.
Detailed written schedule. Building the database of historical and SCI, and obtained
Capital IQ access.
Regular coffee catchup with my manager (lobby)

Received critical acclaim from manager and peers, had tangible models which were
simple yet defensible.

2. COMMERCIAL
PERSPECTIVE

ACUMEN FROM BOTH A PUBLIC AND PRIVATE SECTOR

S/T

SCI & CP analysis, key business drivers, Revenue & Cost Driver, SCI analysis
Researched industry and peers to identify appropriate benchmarking
metrics for SOCs (valuation, yield, solvency) used Bloomberg, ASIC
website, and S&P Capital IQ
Equity alerts (credit rating downgrade, change in business model)
Analysed impact on State (NPAT, Dividends, Tax, Net Debt) from proposed
49% lease, Port transactions

Worked closely with business to collect and analyse company specific and industry
data relevant to briefs, presentations, models I was working on.
Prepared financial models that forecast company financials in a range of different
financing scenarios, scrutinising business forecasts.
Broke down work plan into manageable parts
Met regularly with businesses to understand business model, strategy and growth
objectives, ascertaining what that means for Government (in line with policy
objectives), any financing and funding requirements, creating and editing
presentations for the Treasurer.

Ports were amalgamated (rights, assets, liabilities, and staff)

3. INFLUENCING
TRUST

STAKEHOLDERS; BUILDING THOSE RELATIONSHIPS BASED ON

S/T

Built long lasting relationships with SOC management, Treasurers Office,

other agencies, advisors, consultants, transactions team.
High quality treasurer briefings, ministerial correspondence
Project managed preparatory workstream for Newcastle Port transaction
(advisor appointments, debate points for parliament, brief recommending
scoping study)
Accounted for Port transactions in the Budget
Led Ports Review and Amalgamation, working closely with separation team
Presenting to Investment Committee (adapting to the audience style).

Organised regular meetings, put a face to the name, communicating progress on an

issue (accounting, budget related), and sought regular feedback.
Organising and contributing to meetings, conference calls, team to discuss
plan/strategy with advisors, accountants and lawyers, coordinating information flow
(Lawyers, accountants, and bankers, other government agencies) to progress Ports
review.
Tried to connect more on a personal level than just a professional level.
Being specific when providing input on an initiative.
Being cognisant of the audience, best means to communicate.
Listening, written and verbal at meetings, preparing agenda.
Properly estimated the time to produce reports and meet everyones time constraints,
while meeting Cabinet deadlines, keeping a calendar/to-do list. Goal-oriented
Being a key liaison between business and shareholder, I was being flexible, adaptable
and versatile, knowing when to say yes and no.
Focused on relationship building, providing invaluable advice to Treasurer, and meet
needs of Government. Being team-oriented and building successful teams
Looked for specifics, details, clarity when asking for feedback, and obtained specific
feedback from Director.
Understood what each other expectations were (projects which I would lead, she
would lead).

My work resulted in minimal changes

Manager trusted me to take his place at meetings he couldnt attend, and I took that
as a real positive.
Manager gave better feedback. If he had solid reasons for approach and if I
disagreed, he was senior to me and he was the boss.
CFOs, CEOs saw me as Trusted Advisor
Ended up getting along very well with a somewhat difficult to work with manager (she
had worked at Treasury before, always had a different analyst)

4. MOTIVATED,

PROACTIVE AND RESULTS- DRIVEN

S/T

Led Budget process estimates and analysis for non-reg SOCs.

Prepared company overviews (ad hoc request).
Poles & Wires transaction (scoping study)

Rigorous time management and planning in advance.

Leading budget progress, was resourceful and displayed high-energy
Inquisitive and hard worker
Numbers-oriented
Stayed positive
Interests have evolved towards more analytically challenging pursuits and thinking
out of the box.
Eager to learn. Marries my interests in infrastructure and transportation business, and
Critical thinking and quantitative analysis.
Further enhance my analytical toolkit, work with bright and motivated people. I have
a very strong work ethic and I am excited to be involved in work that can help Sydney
Airport be better off strategically and financially.
Doing what my manager does and managing upwards.
Dealt with delays - Say they could meet a timeframe during a meeting, tell you offline
they cant. Cabinet shuffled back. Project and consultation plan.
Built error checking system into the quarterly reports to ensure accurate and
consistent data (work relied on minimal changes)
Managing a lot of individual tasks, multiple projects, requests from multiple
individuals.
Used different skill sets. I needed to be reactive and proactive, analytical and
creative, customer-focused and business-minded.
Managed ad hoc requests in a timely fashion - multitasking capability, client
interfacing skills, customer service ethic, and ability to assume a high degree of client
responsibility, quantitative aptitude.

Received praise by the Deputy Secretary, Director and manager for delivering beyond
what is expected, stepping being able to provide objective, independent, fair and
unbiased advice. Quarterly reports and Budget write-ups (tangible project), best
things, its been fun learned so much from the process of creating it.
High quality Company overviews. Taken the initiative and been the co-ordinator for
the project. Gone to manager and taken charge of the project. Generally supportive
group of people. Addressed the accountability issue.

WHY SYDNEY AIRPORT?

Iconic leader in infrastructure leading market position, world leader in

technology.
Western Sydney Airport exciting phase in history in Australias premier
city. Transportation access, long term security, economics, employment,
value. WSA could be operational by mid-2020s, serve new demand, 3 million
passengers on opening, single runway, expected to be a full service airport.
Catalyst for investment, jobs growth, tourism for decades to come.
Commitment to growth and shareholder value Strong distribution track
record, consistent execution of strategy outperform the ASX200.
Trusted partner with Airlines, duty free operator, tenants, tourism,
Governments, community results, excellent progress in ground transport,
retail.
Investment program terminal experience, terminal capacity, airfield,
ground transport $242m), guidance, on time, fiscal and project management
discipline.
Industry Im passionate about (aviation, infrastructure, transportation)

ABOUT SYDNEY AIRPORT

WSA (RFR) Preliminary discussion, Notice to consult, Government

consideration, notice to intention, 18 months.
New duty free contact (Gebr. Heinemann)
International aeronautical pricing arrangement (prices, investments, service
levels)
2014 Refinancing Agreement
Record passengers 38.5m in 2014. International Growth
Significant capacity expansions and passenger experience movements
Traffic growth (1.7%), Aeronautical revenue growth (4.9%), Retail revenue
growth (5.6%), Property and Car Rental Revenue growth (3.6%), Car parking
and ground transport revenue (5.7%), above growth in domestic passengers.
Ground transport improvements, investment program
Passenger EBITDA Cash Flow Improved DSCR investor returns 31% vs
18%.
Retail revenue per passenger / operating expense per passenger.
Capacity, load factors (leading indicator)
New FTAs, improving competititiveness, bilateral air service agreement
(China), triple capacity by 2017.
International Aeronautical Pricing Agreement with Airlines & (BARA). Quality of
Service improvement, demand forecasting, terminal presentation, pricing
structure. Providing infrastructure to support airlines changing needs.

KEY

BUSINESS DRIVERS

Aeronautical revenue: Aeronautical revenue comprises passenger, take-off,

parking charges and exclusive first right use of gates. Revenue is recognised
when the related services are provided.
Aeronautical security recovery: Aeronautical security recovery comprises
passenger and checked bag screening, counter terrorist first response and
other additional security measures. Revenue is recognised when the related
services are provided.

Retail revenue: Retail revenue comprises rental from tenants whose sale
activities include duty free, food and beverage, financial and advertising
services. Revenue is recognised on a straight-line basis over the lease term.
Contingent revenue is recognised in the period in which the contingent event
occurs.
Property and car rental revenue - Property revenue comprises rental for
airport property including terminals, buildings and other leased areas.
Revenue is recognised on a straight-line basis over the lease term. Contingent
revenue is recognised in the period in which the contingent event occurs. Car
rental revenue comprises concession charges from car rental companies.
Revenue is recognised when the related services are provided.
Car parking and ground transport revenue Car parking and ground
transport revenue comprises time- based charges from the operation of car
parking services. Revenue is recognised when the related services are
provided.