Clariant Ag · SIX:CLN
Clariant — 9M 2002 Earnings Presentation
15 slides from Clariant's earnings presentation, Oct 22, 2002
Slide 1: Nine month sales 2002: Resilience to economic environment
Nine month sales 2002 Resilience to economic environment October 2002 Nine month sales 2002 Content overview Achievements Sales development Divisional performance Outlook October 22, 2002 -2- 1
Slide 2: Achievements: Volumes and prices well under control
Nine month sales 2002 Achievements Sales development Divisional performance Outlook October 22, 2002 -3- Achievements Volumes and prices well under control Market performance l Sales in LC above previous year l Prices maintained in the third quarter Delivering on promises Active Portfolio Management
Slide 3: Good sales development in a weakening environment
Nine month sales 2002 Achievements Sales development Divisional performance Outlook October 22, 2002 -5- Sales development Good sales development in a weakening environment Sales 9 month 9 month – Change in % – in m CHF CHF LC 2002 2001 Pro Forma* Textile, Leather & Paper Chemicals 2110 2279 -7 +1 P
Slide 4: Significant impact of strong CHF on sales
Sales development Significant impact of strong CHF on sales 9 month 2002 versus 9 month 2001 pro-forma sales Volume Price Sales -2% in LC +6% +4% -8% -4% Currency Sales in CHF October 22, 2002 -7- Sales development All divisions above weak 3rd quarter 2001 Sales – Change in % – in m CHF 3Q 02 3Q 01
Slide 5: Divestiture of non-core businesses
Nine month sales 2002 Achievements Sales development Divisional Performance Outlook October 22, 2002 -9- Divisional performance Divestiture of non-core businesses Active portfolio management: Actions: l 2001 Sale of Cassella- l Concentrate on sustainable Offenbach to Allessa Chemie growth areas l Re
Slide 6: Raw material dependency reduced; Textile, Leather and Paper
Divisional performance Raw material dependency reduced Percent of VAM1 of total raw material bill 2002 2003 7% 4% 1% Sale of PVA / PVB business Sale of European emulsions unit to Kuraray and emulsion powders businesses to Celanese AG 1 Vinylacetate monomer October 22, 2002 -11- Divisional performanc
Slide 7: Good volume growth with Pigments & Additives
Divisional performance Good volume growth with Pigments & Additives – Change % – 2002 2001* CHF LC 9 month sales in m CHF 1403 1463 -4 +3 3rd quarter sales in m CHF 451 461 -2 +8 *Pro Forma l Increase in sales in LC despite weak environment - reduced demand for ink pigments l Traditional pigments vo
Slide 8: Masterbatches and Functional Chemicals performance
Divisional performance Masterbatches keeps lead in difficult environment – Change % – 2002 2001* CHF LC 9 month sales in m CHF 793 812 -2 +4 3rd quarter sales in m CHF 253 257 -1 +7 *Pro Forma l Sales in LC higher than last year despite increased competition l Lower demand in Germany, UK & Benelux,
Slide 9: Life Science stabilizing - action plan on track
Divisional performance Life Science stabilizing - action plan on track – Change % – 2002 2001* CHF LC 9 month sales in m CHF 1220 1211 +1 +7 3rd quarter sales in m CHF 377 352 +7 +16 *Pro Forma l Further sales increase compared to weak 3rd quarter 2001 l Stagnant semiconductor sales balanced by good
Slide 10: Outlook 2002: Assumptions and focus
Outlook 2002 Assumptions for the full year 2002 l Uncertain business environment remains l No upturn in the US and EU l No material change in inventory levels October 22, 2002 -19- Outlook 2002 Focus stays on... l Cash flow management l Cost base reduction l Improved capital structure l Growth throu
Slide 11: Calendar of Corporate Events; Disclaimer
Outlook 2002 Calender of Corporate Events October 2002 22 Nine month 2002 Sales November 2002 25-26 "Clariant Meets Investors" Day in Frankfurt February 2003 25 Results 2002 April 2003 11 Annual General Meeting April 2003 16 Dividend date October 22, 2002 -21- Disclaimer This presentation contains c
Slide 12: Investor relations contacts
Investor relations contacts Iris M. Welten Karine Huttenschmitt Phone +41 61 469 67 47 Phone +41 61 469 67 48 Fax +41 61 469 67 67 Fax +41 61 469 67 67 Mobile +41 79 292 62 70 Mobile +41 79 456 63 48 iris.welten@clariant.com karine.huttenschmitt@ clariant.com Dr Holger Schimanke Phone +41 61 469 67
Slide 13: Business structure; Focus on growth and innovation
Backup Business structure as of January 1, 2003 Textile, Pigments & Masterbatches Functional Life Science & Leather & Paper Additives Chemicals Electronic Chemicals Chemicals F. Dennefeld G. Hencken N. Gontha R. Meyer J. Mahler BU Coating Electronic Textile Dyes Industries Europe Detergents Material
Slide 14: Currency effect on sales deviation; Stable gross margin
Backup Currency effect on sales deviation l Sales deviation Mitigated currency effect on EBIT Exchange Change YTD GBP rates vs – 286 m in CHF JPY 5.3% GBP JPY 5.1% CHF + 286 m in LC 4.6% 4.0% è – 572 m CHF EUR USD -6 % 42.3% due to currency USD USD 26.4% EUR GBP -4% effect 31.2% 50.0% EUR -4% others
Slide 15: Divisional sales in end user markets
Backup Divisional sales in end user markets Automotive Other Durable 15% 7% Goods 5% Agro Textile & 6% 20% Clothing Paper 6% 7% Electronics 7% 12% Healthcare 7% 8% Construction Packaging Detergents October 22, 2002 -29- 15