Alzchem Group Ag · XETR:ACT
Alzchem — Q3 2022 Earnings Presentation
34 slides from Alzchem's earnings presentation, Oct 26, 2022
Slide 1: Analyst Presentation Q3 2022
ANDREAS NIEDERMAIER, CEO 3 DR. GEORG WEICHSELBAUMER, CSO 2022 October 26, 2022
Slide 2: Disclaimer
DISCLAIMER CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS This presentation contains forward-looking statements about the business, financial condition and earnings performance of the Alzchem Group. These statements are based on assumptions and projections resting upon currently available info
Slide 3: Agenda — Analyst Presentation Q3 2022: Executive Summary
AGENDA — ANALYST PRESENTATION Q3 2022 Executive Summary
Slide 4: Highlights
HIGHLIGHTS Successful 9 months - challenging environment EBITDA slightly below Continuously high previous year level Se i v gment Specialty sales growth due to dl) due to power price Chemicals grows in successful adjustment jumps in Q3 quantity, sales and Group result above EBITDA previous year of c
Slide 5: Turbulent Market Environment — Current Development
TURBULENT MARKET ENVIRONMENT — CURRENT DEVELOPMENT Energy costs — facing all time high COMMENTS Average Peak * Average electricity prices jumped twofold in Q3 * Compared to the pre-crisis situation, electricity prices are about 658% higher today * Alzchem reacted to this development by making use of
Slide 6: Financial Overview
FINANCIAL OVERVIEW Sales growth with strong cost pressure SALES (in M€) EBITDA (in M€) EBITDA margin (in %) Earnings per Share (in €) Interm Volume Price Currency
Slide 7: Creapure — Purest Creatine made in Germany
Creapure’ Purest Creatine - made in Germany CREATINE HEALTH CLAIM In 2012, the European Commission approved an health- related statement (Health Claim) for Creatine: Creatine increases physical performance in successive bursts of short-term, high intensity exercise. Short-term Short-term Mid-term Sp
Slide 8: Creapure Investment Case
Creapure’ Investmentcase — Creatine and precursor Sodium sarcosinate The additional investment will create profitable growth for the segment Regional market penetration Regional market expansion Product shortage on the market New sales products added New Creapure® applications seen in the future (fu
Slide 9: Agenda — Business and financial details
AGENDA — ANALYST PRESENTATION Q3 2022 ll. Business and financial details
Slide 10: Basics & Intermediates
NITRALZ® CBerlka’ G CaD BASICS & INTERMEDIATES The "Basics & Intermediates" segment comprises the production of basic and intermediate products that are marketed as independent products for example in agriculture, steel production and the automotive sector and as raw materials for the manufacture of
Slide 11: Basics & Intermediates Segment
BASICS & INTERMEDIATES SEGMENT (in Mé€) Sales significantly above prior year SALES ANALYSIS Q3 Q4. QI QZ QB 4 QI 2 QB 2020 2020 2021 2021 2021 2021 2022 2022 2022 COMMENTS nificantly 11 -2.6 Q3 Q4) Qi Q2) Q3 Q4) QAI = Q2.— Q3 1-9 1-9 2020 2020 2021 2021 2021 2021 2022 2022 2022 2021 2022
Slide 12: Specialty Chemicals
“ : CREAMINO [Drmex' Bioselect? DYHARD #88 Creapure* SPECIALTY CHEMICALS C> The "Specialty Chemicals" segment f produces and sells high-quality growth \ | products in the area of J specialty chemicals. ¢ By -
Slide 13: Specialty Chemicals Segment
SPECIALTY CHEMICALS SEGMENT (in m€) Encouraging business performance Q3 Q4- Qi Q2 Q3- 4 QI 2 Q3 2020 2020 2021 2021 2021 2021 2022 2022 2022 Q3 24. QI Q2. Q3_ 4 QI 2 QB 1-9 1-9 2020 2020 2021 2021 2021 2021 2022 2022 2022 2021 2022 SALES ANALYSIS
Slide 14: Other & Holding
OTHER & HOLDING The "Other & Holding" segment offers infrastructure and energy supply services at our locations for the chemicals segments and for external customers. Izch \ ° 5 roup n>
Slide 15: Other & Holding Segment
OTHER & HOLDING SEGMENT (in me) Development of services in line with 2021 SALES ANALYSIS Q3 Q4- Qi Q2 Q3- 4 QI 2 Q3 2020 2020 2021 2021 2021 2021 2022 2022 2022 1-9 1-9 Q3 Q4- Qi Q2 Q3- 4 QI 2 Q3 2021 2022 2020 2020 2021 2021 2021 2021 2022 2022 2022
Slide 16: Balance Sheet
BALANCE SHEET (in mé) Increase of balance sheet total and equity ratio . Other non-current assets Deferred taxes for pension provision 26.0 Inventories 867 Trade receivables [25.11 Other current assets 31.12.2021 30.09.2022 and an incr: Deferred tax < p p ollowing the inter it In c Equity Other non-
Slide 17: Cashflow
CASHFLOW (in Mé€) Net cashflow impacted by NWC management on both directions h inflows ¢ epayments mainly on p financing pure’ plant)
Slide 18: Implementing Operating Targets
© alzchem Group AG / October 2022 IMPLEMENTING OPERATING TARGETS i, Focus on the key growth drivers and sustainability Implementation of price increases, at least in the amount of the cost increases SUSTAINABILITY * — Set the path to CO, neutral growth and climate neutrality by 2045 * Vision 0 accid
Slide 19: Outlook 2022
OUTLOOK 2022 (in M€) Parity of cost with price increases will determine EBITDA COMMENTS * Adjustment of the upper sales limit (in Q1/2022) from 480 M€ to 520 ME due to necessary price increases 520.0 strongly to Outlook 2022 from May 2022 is stil nfirmed particularly strong EBITDA-expectation at the
Slide 20: Financial Calendar
Vv FINANCIAL CALENDAR* “ay Upcoming dates NOV 15 2022 Minchner Kapitalmarkt Konferenz NOV 28 - 29 2022 Deutsches Eigenkapitalforum FEB 28 2023 Annual Report 2022 MAY 4 2023 Quarterly Statement 1st Quarter 2023 MAY 11 2023 Annual General Meeting 2023 AUG 3 2023 Half-Year Financial Report 2023 OCT 26
Slide 21: Investor Relations
alzchem group Investor Relations T +49 8621 86-2888 F +49 8621 86-502888 ir@alzchem.com
Slide 22: Agenda — Analyst Presentation Q3 2022
AGENDA — ANALYST PRESENTATION Q3 2022
Slide 23: Balance Sheet
© Alzchem Group AG / October 2022 BALANCE SHEET Alzchem Group ALZCHEM GROUP (IN TE) 31.12.2021 30.09.2022 Deviation ALZCHEM GROUP (IN TE) 31.12.2021 30.09.2022 Deviation Intangible assets 2,329 2,568 238 10.2% share capital 101,763 101,763 Tangible assets 178,806 181,018 2212 1.2% RETAINED EARNINGS
Slide 24: Pension Accounting (IFRS)
PENSION ACCOUNTING (IFRS) Alzchem Group (M€) IN FINANCIAL PENSION SERVICE NET INTEREST PENSION STATEMENT PROVISION costs costs PAYMENTS 31.12.2021 A FINAN RESULT BALANCE SHEET P&L CASHFLOW, Adjustment of market interest rate from 1.0 % > 3.4 %; decreasing impact on provision Stable development of ex
Slide 25: Income Statement
INCOME STATEMENT Alzchem Group ALZCHEM GROUP (IN TE) a Se ae ee Deviation (Q3) Revenue 104321 111,000 95,920 114.052 «129,395 140,435 139,193 43273 45% Increase (+] /Decrease (-)ininventories offinished goo. -2144 16216350 7,442 1414414467 -1,959 -8309 131% Other income 39832505 2,143. 2,729 4070 5,
Slide 26: Income Statement
© Alzchem Group AG / October 2022 INCOME STATEMENT Alzchem Group ALZCHEM GROUP (IN TE) om So Deviation (200) seaon Conan Deviation (YoY) Revenue 95920139198 BIB 451% 322409023 o77s1 aA Increase (+) / Decrease (-) in inventories of finished goods and work in progress 6,350 1,959 -8,309 -130.8% 2,586
Slide 27: Cashflow Statement
© Alzchem Group AG / October 2022 CASHFLOW STATEMENT Alzchem Group Q3 3 1-9 1-9 CASHFLOW IN ME) 2021 2022 2021 2022 Consolidated earnings before taxes 7,340 7,538 31,303, 32,139 Depreciation on fixed and intangible assets 6205 6,324 wer 18927 Decrease in pension provisions -325 -375 “1075 “1253 Loss
Slide 28: Segment Overview by Quarter
SEGMENT OVERVIEW BY QUARTER Alzchem Group SALES SALES 2020 Qi Q2 O34 Te Te Te Te 2021 Qi Te Q2 Te Q3 Te 4 Deviation PY (Q3) Te Te % YTD Q2 2022 Py ‘Actual Te Te Basics & Intermediates Specialty Chemicals Other and Holding 36,012 38,266 32,320 39,837 52,199 57,854 42,995 54,383 6,529 6,391 6,058 6,41
Slide 29: Executive Team
EXECUTIVE TEAM Alzchem Group AG os | ANDREAS NIEDERMAIER CEO WITH ALZCHEM SINCE 1999, AREAS OF RESPONSIBILITY Company Strategy, Finance & Controlling, Investor Relations & Communication, IT, Risk Management, HR, Supply Chain Management, Legal/Patents & Trademarks KLAUS ENGLMAIER coo WITH ALZCHEM SIN
Slide 30: Alzchem Group Locations
ALZCHEM GROUP LOCATIONS Production sites and sales companies COVENTRY (UK) SHANGHAI (CN) Pa ATLANTA (USA)
Slide 31: Verbund — Fully Integrated Business Model
© Alzchem Group AG / October 2022 “VERBUND” — FULLY INTEGRATED BUSINESS MODEL AN Benefits of the “Verbund” system approach (ay oO Segment Specialty Chemicals BENEFITS OF “VERBUND” O Segment Basics & Inter- . mediates Full control of product quality and specifications * Lower costs * Higher financial
Slide 32: Our Products and Markets
© Alzchem Group AG / October 2022 OUR PRODUCTS AND MARKETS Successful with proven and new products in various industries MAIN PRODUCTS DESCRIPTION mS END-MARKETS CREAMINO’ A feed additive for broilers and pigs Feed additive . remium brand for creatine monohydrate as a food supplement in sports nutri
Slide 33: Our Products and Markets
© Alzchem Group AG / October 2022 OUR PRODUCTS AND MARKETS Successful with proven and new products in various industries n w = a < n ae a ta co Wi [= e OTHER & HOLDING \N MAIN PRODUCTS DESCRIPTION END-MARKETS an Calcium carbide-based mixtures for hot metal desulphurization Steel industry al Guanidin
Slide 34: Key Share Data
© Alzchem Group AG / October 2022 KEY SHARE DATA Share Details as of October 24, 2022 10,176,335 SHARES OUTSTANDING eeu aa held LAST CLOSING PRICE EUR 15.00 MARKET CAPITALIZATION EUR 152.6 m TICKER ACT WKN A2YNT3 ISIN DEOOOA2YNT30 = ret Sn ge DESIGNATED SPONSOR Ouico Sevaloy Bank AG mS SHAREHOLDER S