Bewi Asa · OSL:BEWI

Bewi Asa — Q4 2024 Earnings Presentation

23 slides from Bewi Asa's earnings presentation, Feb 13, 2025

  1. Slide 1: Fourth quarter and full year 2024 results

    Fourth quarter and full year 2024 results CEO Christian Bekken, CFO Marie Danielsson, Chief Strategy Officer Stein Inge Liasjø 13 February 2025

  2. Slide 2: Cautionary note regarding forward-looking statements

    Cautionary note regarding forward-looking statements This presentation, prepared by BEWI ASA (the "Company"), may contain statements about future events and expectations that are forward-looking statements. Any statement in this presentation that is not a statement of historical fact including, with

  3. Slide 3: Fourth quarter 2024: Sales and EBITDA growth

    Fourth quarter 2024: Sales and EBITDA growth • Organic growth in all segments and successful price management • Solid progress in 2024 towards full circularity with 29% increase in EPS collected for recycling • Recent transactions facilitate growth in higher margin business areas Fourth quarter of 2

  4. Slide 4: Key figures for the fourth quarter of 2024

    Key figures for the fourth quarter of 2024 Continuing operations • Total operations incl. Revenue Adj. EBITDA discontinued had EUR 191 million EUR 19 million adj. EBITDA EUR 20 million +3% +10% • Post-closing accounting: EBITDA will increase with share of net profit from associates Net sales 25 Adj.

  5. Slide 5: Operational highlights: upstream segments

    Fourth quarter 2024: Operational highlights Upstream segments RAW • Merging RAW with Unipol • Cost savings program on track, EUR ~6 million from 2025 • Facilities certified under Operation Clean Sweep® Circular • ~35 000 tonnes collected in 2024, ~30% increase • All-time high sales of recycled GPPS

  6. Slide 6: Operational highlights: downstream segments

    Fourth quarter 2024: Operational highlights Downstream segments Insulation & Construction • 77% increase in use of recycled materials in 2024 • Volume growth across regions • Recovering markets Packaging & Components • Increased volumes of EPS fish boxes • HVAC market slowly improving • Traded food

  7. Slide 7: BEWI RAW joins forces with Unipol - facilitating growth in downstream

    BEWI RAW joins forces with Unipol - facilitating growth in downstream Strengthen position of RAW Joint venture Re-allocate capital and management focus to growth in higher margin areas Fourth quarter of 2024 7

  8. Slide 8: Significant dividend capacity expected

    Significant dividend capacity expected • Key figures for 2024 combined entity BEWI RAW – 10yr historical EBITDA EUR million and % 80 22,0% • Revenues of EUR ~400 million 70 74 75 • Volumes ~20% below avg. last 5 yrs 17,0% 60 Avg. EBITDA margin P&C ~15 % Avg. EBITDA margin 50 12,0% I&C ~12 % Avg. EBI

  9. Slide 9: Transactions to increase EBITDA margin and reduce leverage

    Transactions to increase EBITDA margin and reduce leverage Net sales NIBD excl. IFRS 16 EUR million EUR million 20 310 40 ~10 138 70 33 1 015 264 244 773 705 195 636 162 162 2024 RAW Food Eliminations Pro-forma 2024 Food RAW WC Earn-out RAW Pro-forma trading 2024 trading 2024 9.0% EBITDA margin 9.8%

  10. Slide 10: Key priorities for long-term growth remain unchanged

    Key priorities for long-term growth remain unchanged 1 Increasing collection and use of recycled material 2 Optimizing capacity and cost 3 Capitalising on investments 4 Strengthening financial position 5 Evaluating strategic opportunities for growth Fourth quarter of 2024 10

  11. Slide 11: Group financials

    Fourth quarter and full year 2024 Group financials Jackodur Atlas - Combined formwork and insulation in one Fourth quarter of 2024 11

  12. Slide 12: Financial overview

    Financial overview Sales and EBITDA growth for both downstream segments Net sales continuing operations Adj. EBITDA continuing operations EUR million EUR million 9.5% 9.3% 29,9 (4,1) 13,3 5,2 (0,3) (1,9) (1,7) 0,8 FY 2024 821,2 78,1 778,0 772,8 772,8 773,2 71,2 2023 I&C P&C Circular Eliminations 202

  13. Slide 13: Financial highlights upstream segments

    Fourth quarter of 2024: Financial highlights upstream segments RAW – discontinued operations Circular Net sales Net sales EUR million EUR million • Net sales of EUR 68.2 million • Net sales of EUR 13.6 million 39,1 o -12% from Q423 1,1 2,6 4,1 o +12% from Q423 26,7 30,2 34,7 2,9 4,3 32,6 o Lower pri

  14. Slide 14: Financial highlights downstream segments

    Fourth quarter of 2024: Financial highlights downstream segments Insulation & Construction Packaging & Components – food trading discontinued Net sales Net sales EUR million EUR million • Net sales of EUR 101.9 million • Net sales of EUR 80.2 million o +2% from Q423 o +4% from Q423 120,5 107,6 o Hig

  15. Slide 15: Total operations - consolidated income statement

    Financials Total operations - consolidated income statement Amounts in EUR million Q4 2024 Q4 2023 2024 2023 Fourth quarter of 2024 190.7 185.1 773.2 821.2 Net Sales • Net sales of EUR 190.7 million, up 3% Other operating income 1.7 1.5 2.0 1.5 Total operating income 192.5 186.6 775.2 822.8 • EBIT o

  16. Slide 16: Total operations - working capital release

    Financials Total operations - working capital release Financing of AR ~40 + ~15 million Cash flow Cash flow from total operations EUR million • Operating cash flow of EUR 33.4 million (28.8) o WC down EUR 31.5 million (27.3), incl. AR financing 34,5 25,0 16,8 13,2 7,4 26,0 14,2 28,8 23,0 49,1 33,4 •

  17. Slide 17: Total operations - net debt reduced

    Financials Total operations - net debt reduced • Net debt excl. IFRS 16 reduction of ~ EUR 67 Leverage: Net debt/ EBITDA ratio(1) million EUR million • Operative cash flow incl CAPEX reductions 5,0 4,8 4,5 4,3 4,5 • Divestment real estates 4,1 3,2 3,5 • Receivables purchase agreement (RPA) 2,7 1,5 1

  18. Slide 18: Strategy recap and outlook

    Fourth quarter of 2024 Strategy recap and outlook EPP components for climate and HVAC solutions increase the lifespan of pumps, boilers, valves, heat exchangers and control mechanisms Fourth quarter of 2024 18

  19. Slide 19: Strong ambitions for further growth

    Strong ambitions for further growth Need for improved energy efficiency makes insulation solutions key growth driver Other ~25% Insulation Other ~40% EUR EUR ~45% V V 381m Other ~60% Insulation 1,105m ~55% Insulation ~75% 2018 2023 3-5 years Ambition to double revenue next 3-5 years with increased e

  20. Slide 20: Accelerating growth across the value chain

    Accelerating growth across the value chain BEWI RAW BEWI downstream • Joining forces with Unipol • Organic growth • More cost-effective • Positioning for strategic growth • Ready for growth • Core offering of energy efficient solutions for BEWI RAW BEWI downstream buildings and circular packaging BE

  21. Slide 21: Positioned to accelerate growth

    Positioned to accelerate growth  Strong market fundamentals  Streamlined operations  Room for production ramp-up  Strengthened financial position  Growing M&A pipeline PIR Panels from BEWI in BE Form’s new facility at Hønefoss, Norway Fourth quarter of 2024 21

  22. Slide 22: Summary and outlook

    Summary and outlook • Recovering markets • Volume growth for insulation • Increased collection and use of recycled content • Transactions facilitate growth • Strong fundamentals • Attractive growth opportunities • Well positioned for market rebound Fourth quarter of 2024 22

  23. Slide 23: BEWI for a better everyday

    BeW/ for a better everyday

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