Grupo Rotoplas Sab De Cv · BMV:AGUA
Grupo Rotoplas Sab De Cv — 4Q20 Earnings Presentation
23 slides from Grupo Rotoplas Sab De Cv's earnings presentation, Feb 11, 2021
Slide 1: Earnings Call
Earnings Call February 11, 2021
Slide 2: Forward Looking Statements
Forward Looking Statements 2
Slide 3: Speakers
Speakers Carlos Rojas Aboumrad CEO Mario Romero Orozco CFO
Slide 4: Resiliency, Adaptability, Purpose, Evolution, Innovation, ESG
RESILIENCY ADAPTABILITY PURPOSE EVOLUTION NNOVATION ESG
Slide 5: Guidance 2020 | Flow central objective
2) g a Guidance 2020 | Flow central objetive 0 Guidance Results Oo — Sales Sales 710% 1.0% V 85 — Adjusted EBITDA Adj. EBITDA Margin 218% 18.2% V “ ee Net Income Net Debt / Adj. EBITDA <2x 0.6x VA ROIC 2 WACC roc 12.4% > wace 10.0% VA “eROIC ROIC increased ~eWAce >300 bp since Flow’s 3Q19. 4Q19 1Q20
Slide 6: Flow initiative results
>Ps.1bn additional sales > Ps. 300 million contributed To EBITDA > Ps. 180 million CapEx for Flow initiatives >20 > 500 new solutions providers with launched negotiation of terms 12.4% >10.0% ROIC WACC >320 >400 fully executed SKUs optimized initiatives 17-day >1,500 >70% reduction in cash employees
Slide 7: 5-year business plan | A sustainable growth story
/potopls:. 5-year business plan | A sustainable growth story _ 2x revenue vs 2020) —Adj. EBITDA Margin >20% —Net Debt / Adj. EBITDA < 2.0x 2025 —Double-digit Roic > wacc (around 20%) Launching of new solutions Digital & Analytics Platforms Synergies between operations
Slide 8: Rotoplas Commitments
ROTOPLAS COMMITMENTS /poroplas To being driven by out Company’s purpose; best serving our customers and communities To ESG best practices, in line with our stakeholders’ interests To creating value for our shareholders through sustainable growth To promoting society’s well-being and safeguarding the
Slide 9: Financial Highlights
Financial Highlights
Slide 10: Do more good for more people in a sustainable manner
Do more Sood for more people in a sustainable manner SENORIAL & PlasticWateranks 10
Slide 11: COVID-19 | Operations Status
COVID-19 | Operations Status /potoplas. October November December Meri ee eo e® | Continuos Operations USA @ @ e ; Restricted Argentina r r @ Operations Peru @ @ @ Central America ee
Slide 12: Financial Highlights | Record figures
Financial Highlights | Record figures Fpotopl25- Million MXN 4Q20 4Q191 a %/bps 2020 20191 =A %/bps Net sales 2,450 || 2,036 || 20%|| 8,644 || 7,790 || 1%] Cost of Sales 1,431 || 1163 || 23%| | 5,045 || 4,455 || 13%| Gross Profit, = E09 [874 [17% || 3,600 | 3.338 || 8%) Margin 42% 43% (130)][ 42%| 4
Slide 13: Sales per country | Mexico
Sales per country | Mexico ‘potoplas. 4Q20 2020 A Sales 1% 10% A EBITDA 12% 0% * Double digit increase in storage and water flow sales * Launch of new storage and water flow products * Record sales in bebbia
Slide 14: Sales per country | USA, Central America, Peru, Argentina, Brazil
USA Central America + . / + Exports represent 5% of total sales Double digit growth in everycountry A Sales 25% (1%) Peru A EBITDA 15% 24% Sales per country | Argentina & Other ‘rotop!s: 4 Argentina Optimization of e-commerce platform / © In local currency sales grew 25% increasing sales conversion
Slide 15: Sales | Products & Services Mix
Sales | Products & Services Mix ‘potoplas 2020 2019 7% 8% = Record sales in bebbia 44,000+ customers — Rieggo registered its first sales in 4Q mServices — WWTPs in Brazil registered its first m Products sales in 3Q = Public sector sales 4Q20 - 5.2% 93% 92% 2020 - 5.3% 4Q20 A% 2020 A% Products 2,288
Slide 16: Balance Sheet | Strong Cash Position
Balance Sheet | Strong Cash Position Apter Current Leverage million mxn Balance Sheet 2020 2019 A% Cash & Cash equivalents | 3,132 || 1,848 || 70%| Total Debt | 4117 || 2,935 || 40%| Net Debt [ 985 || 1,087 || (8%)| - - Net Debt / Adjusted EBITDA 0.6x_]| 0.7x_|| (O.)x | Debt Maturity Preis $4,000 *
Slide 17: CapEx | Capital Allocation Discipline
CapEx | Capital Allocation Discipline CapEx per quarter Million MXN 2Q20 mmm Argentina 3Q20 4Qi9 1Q20 mmm México 4Q20 mmm Other Sales % 4Q20 2020 Total CAPEX | 84 l 291 ] % Sales [ 3% l 3% ] CapEx decreased 12%, however sales increased 11% — 30% WWTP — 15% Argentina 2020 — 6% USA Capital Allocation
Slide 18: ROIC | Sustainable value creation
ROIC | Sustainable value creation 23.3% — Greater discipline in Capital Allocation (Control Tower) — Optimization of working capital 1,350 — Increased production efficiency in manufacturing processes — Divestment strategy for low return assets — Strict discipline on spending TPIIPIeeewyeeoorerernanw
Slide 19: ESG | Initiatives & progress
ESG | Initiatives & progress ‘potoplas. >, ] YQ? KP! Dashboard: https://rotoplas.com/sustentabilidad/home-eng/ PAZA C-19 4. aE MEX 6 = Handwashing stations in O46 Rotoplas Score: x “Central de Abastos” 2. ~wCDP - 12,000 people benefitted Management Taking coordinated action on climate issues Materia
Slide 20: Guidance | 2021
Guidance | 2021 Apotopls:. — Revenue growth 210% — Adj. EBITDA Margin > 19% 2021 = Net Debt / Adj. EBITDA s 2.0x — ROIC = WACC + 100 bps
Slide 21: AGUA* & Peers
AGUA* & Peers Apotoplas-. : EV/EBITDA CAGR CAGR Cormypemyy Categories TOCSY MEE CAGR 2020-2022 Coway | Purification HE cAcR 2020-2023 Evoqua : Water treatment & improvement . {| CAGR 2020-2024 Flowserve Water flow & control CAGR 2020-2025 Average 14.6x 4% 6% 1 Storage, flow & control, improvement, p
Slide 22: /potop!2s:.
gE /potop!2s:.
Slide 23: Thank you!
Thank you! #Rotoplas 7 (ey Rotoplas Mexico itn Rotoplas ey 01800 506 3000 \ 23