Slide 1: Aurubis AG Metals for Progress
Aurubis AG Metals for Progress Conference Call on the Release of the Annual Report 2019/20 on December 9, 2020
Slide 2: Executive summary of fiscal year 2019/20
Executive summary of fiscal year 2019/20: Despite COVID-19, a very successful year for Aurubis » Operating EBT of € 221 million (PY: € 192 million) and ROCE of 9.3 % (PY: 8.6 %) in FY 2019/20 » Increased forecast range for FY 2020/21 of € 210 – 270 million operating EBT » Increased dividend proposal
Slide 3: Strong concentrate and recycling markets compensate for product business strained by COVID-19
Strong concentrate and recycling markets compensate for product business strained by COVID-19 Change vs. Change vs. FY 2019/20 prior year FY 2019/20 prior year Concentrate processing* 2,378,000 t +7 % Gold 47 t -8 % Copper scrap No.2 input** 310,000 t +7 % Silver 972 t +13 % Other recycling material
Slide 4: Market conditions in FY 2019/20: A mixed and volatile picture
Market conditions in FY 2019/20: A mixed and volatile picture Trend in significant market prices and refining charges 140% 100 % = Sept. 2018 120% European refining charges for copper scrap no. 2 100% Copper premium 80% Copper price (settlement) Exchange rate (US$/€) 60% TC/RCs for copper 40% concen
Slide 5: Earnings figures show the robustness of Aurubis' business model
Earnings figures show the robustness of Aurubis’ business model FY FY Change vs. prior (operating IFRS) 2019/20 2018/19 year Revenues €m 12,429 11,897 4% Gross profit €m 1,233 1,168 6% EBITDA €m 415 359 16 % EBIT €m 223 208 7% EBT €m 221 192 15 % Consolidated net income €m 167 138 21 % Operating ROC
Slide 6: Robust Key Performance Indicators
Robust Key Performance Indicators 12M 12M Target 2019/20 2018/19 ROCE* % 9.3 8.6 15.0 Equity ratio % 49.1 55.0 > 40.0 (equity / total assets) Debt coverage** 0.2 -0.4 < 3.0 12M 12M Additional KPIs 2019/20 2018/19 Capital expenditure €m 237 224 (including finance leases) Capital employed €m 2,731 2,4
Slide 7: Balance sheet items influenced by Metallo acquisition
Balance sheet items influenced by Metallo acquisition ASSETS (in € million) EQUITY AND LIABILITIES (in € million) 4,897 4,897 4,059 4,059 Fixed assets 1,871 Equity 2,403 1,499 2,234 Provisions 410 Inventories 1,855 1,532 Financial liabilities 584 453 303 Receivables 690 587 Other liabilities 1,500 1
Slide 8: Segment MRP: Impacted by good operating performance, good metal gain in Q4
Segment MRP: Impacted by good operating performance, good metal gain in Q4, despite lower product demand Operating results for Segment Metal Refining & Processing (MRP) (FY 2019/20) 12M 12M Segment MRP » Substantially higher concentrate throughput with lower 2019/20 2018/19 TC/RCs due to market cond
Slide 9: Advanced sales negotiations for FRP segment: Positive EBT despite reduced output
Advanced sales negotiations for FRP segment: Positive EBT despite reduced output Operating results for Segment Flat Rolled Products (FRP) (FY 2019/20) 12M 12M Segment FRP 2019/20 2018/19 » Operating EBT significantly improved compared to previous year, despite lower sales volumes and EBIT (in €m) -3
Slide 10: Aurubis share buyback program
Aurubis share buyback program Xetra turnover (in units) Price (in €/share) 70 1.200.000 Buyback of up to 10 % of company’s own shares 1st & 2nd tranche 65 1.000.000 » Volume: up to € 200 million Buyback: 2.89 % 60 Ø € 46.39/share, » Period from March 19, 2020 800.000 total € 60.2 million 55 to Septe
Slide 11: Executive and Supervisory Board recommend a higher dividend
Executive and Supervisory Board recommend a higher dividend Aurubis dividend Dividend yield Payout ratio (in € per share) (in %) (in %, calculated based on operating IFRS consolidated net income) 1.55 3.1 41 1.45 2.6 34 35 1.25 1.25 1.30 2.5 2.1 2.2 28 26 15/16 16/17 17/18 18/19 19/20* 15/16 16/17 1
Slide 12: Market outlook for 2020/21
Market outlook for 2020/21 Copper price Reuters poll in October: US$ 6,705/t for 2021 Copper We anticipate a good concentrate supply. concentrates Our smelters are well supplied until the end of the first half of FY 2020/21. We expect an increased supply for FY 2020/21. Copper scrap Q1 FY 2020/21 sh
Slide 13: FY 2020/21 forecast
FY 2020/21 forecast We expect an operating EBT between € 210 and 270 million and an operating ROCE between 8 and 11 % for fiscal year 2020/21. Interval forecast Operating EBT Operating ROCE in € million in % Group 210-270 8-11 Segment MRP 250-330 9-15 Segment FRP 4-12 2-6 December 2020 13
Slide 14: Strategic perspective: Most efficient and sustainable smelter network worldwide
Strategic perspective: “Most efficient and sustainable smelter network worldwide” Aurubis growth focus in the processing of recycling materials » Footprint expansion into new secondary/recycling markets and material groups » Integration of Metallo into the Aurubis Group and optimization of Group-wid
Slide 15: Metallo further expanded Aurubis' recycling footprint
Metallo further expanded Aurubis’ recycling footprint: Aurubis now has ~1 million t of process capacity for recycling materials Aurubis recycling and precious metal processing sites Metallo sites • Hamburg (DE) › Recycling of Cu scrap and PCBs PM refining center of excellence in Aurubis Group › Key
Slide 16: The acquisition strengthens Aurubis' multimetal portfolio
The acquisition strengthens Aurubis’ multimetal portfolio of key metals especially nickel, tin, zinc, and lead Production / sales volumes and metal portfolio Copper Gold Silver Aurubis thereof Group Metallo 12M Jun-Oct 2019/20 2020 Copper scrap/ 1,000 t 370 21 blister copper input Other recycling Ni
Slide 17: Metallo integration is a complete success, with results exceeding expectations
Despite coronavirus restrictions: Metallo integration is a complete success, with results exceeding expectations Examples of synergy effects Internal valorization of >100 kt of materials rerouted to Minimizing third-party sales of intermediate material streams: optimize integrated smelter Metallo an
Slide 18: Cablo GmbH: Closing the loop and developing cable recycling further
Cablo GmbH: Closing the loop and developing cable recycling further EOL scrap (e.g., end-of-life cable scrap from Production scrap cars, household appliances, IT, (e.g., cable manufacturers, consumer electronics, OEMs, automotive) telecommunications, demolition) » 40 %/60 % JV with TSR/Remondis prov
Slide 19: azeti: Digitalization as a key component of the company strategy
azeti: Digitalization as a key component of the company strategy » azeti ensures resources, software, and knowledge in the long term » Aurubis secures the expertise of 20 employees and thus lays the foundation for setting up a digital organization in the company » IoT platform (internet of things) a
Slide 20: Efficiency improvement/cost reduction program
Efficiency improvement/cost reduction program We have a clear objective: We want to become the most efficient and sustainable integrated smelter network worldwide. Focus on efficiency Ideas will be adjusted and transferred Focus on cost reduction SG&A Full Expanded Non-Metal Procurement P&L effect b
Slide 21: Sustainability is a fundamental component of the Aurubis strategy
Sustainability is a fundamental component of the Aurubis strategy and our efforts are positively recognized by various ratings Aurubis Sustainability Strategy 2018-2023, main sustainability ratings & initiatives 68 of 100 (2018) AA (2018) 74 of 100 (2019) AA (2019) Best Newcomer (2015) MDAX Leader (
Slide 22: Aurubis is a global leader in decarbonization
Aurubis is a global leader in decarbonization – with nearly half the global average CO2 footprint – and continues to extend its lead Decarbonization enabled through innovation at Aurubis: 300 kg of further CO2 savings » District heating part 1 in Hamburg (20,000 t CO2) potential per t of copper rema
Slide 23: Aurubis is committed to obtaining the Copper Mark label
Aurubis is committed to obtaining the Copper Mark label » Launched for copper producers in March 2020 » Basis: UN SDGs & Risk Readiness Assessment » Regular review of criteria (evolving system) » Chain of custody later » Focus on steady improvement of the sector » Independent assessment for awarded
Slide 24: Our priorities for 2021
Our priorities for 2021 Keeping our people Operational excellence healthy and safe Metallo integration including identifying and Sustainability leveraging all synergies Efficiency Additional growth improvement/cost projects reduction program December 2020 24
Slide 25: VISION 2025
VISION Ps Passion for metallurgy 2025 VISION 2025 Metals. for progress VISION Together with you 2025 AAurubis Metals for Progress
Slide 26: Your IR Contacts / Financial Calendar
Your IR Contacts Angela Seidler Elke Brinkmann VP Investor Relations & Senior Manager Corporate Communication +49 40 7883-2379 +49 40 7883-3178 e.brinkmann@aurubis.com Financial Calendar a.seidler@aurubis.com » Q1 2020/21 February 5, 2021 » Virtual AGM February 11, 2021 Ferdinand von Oertzen Special
Slide 27: Aurubis at a glance
Aurubis at a glance Company highlights » Based in Hamburg, Aurubis AG develops its leading market position with a responsible approach to the environment, people, and resources » The company’s main expertise is in optimally processing concentrates and recycling raw materials with complex qualities »
Slide 28: Primary copper production process
Primary copper production process Sulfuric acid plant Off-gas cleaning Copper scrap Copper concentrates Copper matte Blister copper (64 % Cu) (98 % Cu) Flash smelter Converter Anode furnace Copper Nickel sulfate (99.5 % Cu) Anode Cathode Anode slime Anode Tankhouse casting wheel Precious metal refin
Slide 29: Scheduled shutdowns in the next 3 years
Scheduled shutdowns in the next 3 years Status: November 2020 FY 2020/21 FY 2021/22 FY 2022/23 Hamburg › Anode furnace › Smelter maintenance Jun. 2021 May/Jun. 2022 EBT effect ca. € 6 million EBT effect ca. € 25 million Pirdop › Smelter maintenance › Smelter maintenance Aug./Sep. 2021 › Aug./Sep. 20
Slide 30: Disclaimer
Disclaimer Forward-looking statements This document contains forward-looking statements that involve risks and uncertainties, including statements about Aurubis’ plans, objectives, expectations, and intentions. Readers are cautioned that forward-looking statements include known and unknown risks and