Slide 1: Q2 2020 Earnings Presentation
Q2 2020 Earnings Presentation August 5, 2020
Slide 2: Safe Harbor Statement
Safe Harbor Statement Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Certain statements made in this presentation are forward-looking statements. In some cases, you can identify these statements by such words or phrases as “will likely result,” “is confident that,”
Slide 3: FMC Reported Financial Results
FMC Reported Financial Results Q2 2019 Q2 2020 '20 vs. '19 Q2 Highlights 1 3% organic revenue growth , Revenue $1,206 $1,155 -4% excluding a 7% FX headwind 1 Adj. EBITDA margins increased GAAP Net Income $176 $185 5% 150 bps, driven by cost % Revenue 14.6% 16.0% reductions and price increases GAAP E
Slide 4: Q2 2020 Revenue Down 4% due to 7% FX Headwind, Up 3% Organically
Q2 2020 Revenue Down 4% due to 1 7% FX Headwind, Up 3% Organically Regional Revenue Bridge Latin America Asia ▪ Q2 ‘20 Revenue: $261 mil. ▪ Q2 ‘20 Revenue: $317 mil. (+2% YOY, +24% ex-FX) (+2% YOY, +8% ex-FX) ▪ Argentina grew fastest in ▪ Herbicides in India strong in region, with herbicides on soyb
Slide 5: Q2 2020 Adj. EBITDA Increased 1%
1 Q2 2020 Adj. EBITDA Increased 1% Q2 2020 Adj. EBITDA Bridge Q2 2020 Adj. EBITDA Drivers EBITDA $3 million above a strong Q2 2019, mainly driven by cost reductions and price increases Significant FX headwinds, both YOY and relative to guidance Larger cost reductions, relative to guidance, as COVID-
Slide 6: H1 2020 Adj. EBITDA Increased 2%
1 H1 2020 Adj. EBITDA Increased 2% H1 2020 Adj. EBITDA Bridge H1 2020 Adj. EBITDA Drivers Balanced contributions from volume, price and cost reductions Price + cost savings coverage of FX headwinds 75% for H1 2020 H1 2020 Revenue Drivers Total: 0% Volume Price F/X 1 Note: Amounts in millions of USD
Slide 7: 2020 Cash Flow Outlook
2020 Cash Flow Outlook ($ in millions) % Chg. vs. Q2 '19 Q2 '20 % Chg.3 YTD '19 4 YTD '20 4 % Chg.3 2020 Outlook 2019 1 Adjusted Cash from Operations $89 $278 211% ($174) ($9) 95% $700 - $900 26% Capital Additions and Other ($16) ($19) 23% ($36) ($44) 20% ($100) - ($150) -15% Investing Activities Le
Slide 8: FCF Growth Projections and Seasonality Trends
FCF Growth Projections and Seasonality Trends FCF1 Growth FCF1 by Half-Year Increments FCF 18% 38% 56% Conv. Note: Amounts in millions of USD Note: Amounts in millions of USD Strong growth in both FCF dollars and Similar FCF seasonality in each year conversion percentage (1) Denotes non-GAAP financi
Slide 9: FY 2020 and Q3/Q4 Earnings Outlook
FY 2020 and Q3/Q4 Earnings Outlook FY 2020 Q3 2020 Q4 2020 $6.28 - $6.62 $1.03 - $1.17 $1.71 - $1.91 Adjusted EPS +6% YOY at midpoint +17% YOY at midpoint +3% YOY at midpoint (3) Ranges (1,2) WADSO: ~131 million WADSO: ~131 million WADSO: ~131 million Revenue: $4.68 - $4.82 bil. Rev.: $1.045 - $1.10
Slide 10: Projected FY 2020 Adj. EBITDA and Revenue Drivers (YOY)
1 Projected FY 2020 Adj. EBITDA and Revenue Drivers (YOY) FY 2020 Adj. EBITDA Bridge FY 2020 Adj. EBITDA Drivers Volume growth driven by Latin America and Asia Price coverage of FX headwinds >75% for FY 2020 Strong cost controls put in place at the onset of COVID-19 pandemic May Guide: +100 +160 (26
Slide 11: Projected Q3/Q4 2020 Adj. EBITDA and Revenue Drivers (YOY)
1 Projected Q3/Q4 2020 Adj. EBITDA and Revenue Drivers (YOY) Q3 2020 Adj. EBITDA Bridge Q4 2020 Adj. EBITDA Bridge Note: Amounts in millions of USD Note: Amounts in millions of USD * Midpoint of guidance * Midpoint of guidance Q3 2020 Revenue Drivers Q4 2020 Revenue Drivers Total: +6% Volume Price F
Slide 12: Appendix – Other Financial Items
Appendix – Other Financial Items Interest Expense $150 – $160 million Adjusted Tax Rate (1) 12.5 – 14.5 percent Non-Controlling Interest $3 – $5 million Full-Year Weighted Avg. Diluted ~131 million Shares Outstanding (WADSO) (2) Depreciation & Amortization $155 – $165 million Free Cash Flow (1) $425
Slide 13: Appendix – Regional Growth
Appendix – Regional Growth FMC Q2 FMC H1 % Chg % (ex-FX) % Chg % (ex-FX) Sales Sales NA $312 -6% -6% $640 -2% -2% LatAm $261 2% 24% $520 12% 30% EMEA $265 -13% -10% $681 -5% -2% Asia $317 2% 8% $565 0% 4% Total $1,155 -4% 3% $2,405 0% 6% Note: Amounts in millions of USD 13