Fmc Corporation · NYSE:FMC
Fmc — Investor Presentation (March 2006)
24 slides from Fmc's investor presentation, Mar 31, 2006
Slide 1: FMC Corporation Investor Meetings March 30-31, 2006
Exhibit 99.1 FMC Corporation California William G.Investor Walter Chairman, Meetings March President 30-31, and 2006 CEO
Slide 2: Safe Harbor Statement and Non-GAAP Disclaimer
SafeCompany Disclaimer Actual Additional Securities The Non-GAAP These 1 appendix. Harbor slides results Exchange information Financial Statement and contain of undertakes the Act Company accompanying certain Terms under concerning ofno1934, “non-GAAP obligation the may Private asfactors presentatio
Slide 3: FMC Corporation: Diversified Chemical Company
Diversified ($ Revenue: FMCmillion, Corporation EBITDA: Margin*: Industrial Revenue: EBITDA: LTM $$chemical $$ 2,150.2 ending 422.3 19.6% Chemicals 870.4 150.7 company December with31, leading 2005)market positions in industrial, consumer and agricultural markets globally Margin*: Specialty Revenue:
Slide 4: Multi-Year Recovery on Sales, Earnings and EPS
Multi-Year On Sales, 1,600 2,000 2,400 $4.39 2001 EPS, 0.00 2.00 4.00 6.00 * 3 ** track $2002 $3.10 $5.10E $m 2006EEarnings tocalculated 2003 Recovery deliver $2.552004 before $1.90 sustained 2005 restructuring using$3.20 2006E** multi-year midpoint ofand recovery other income guidance in Sales issu
Slide 5: Leading Product Market Positions
Leading Product ChemicalsMarket Industrial Group AgriculturalSoda Positions Position(1) Ash Peroxygens#1 inGlobally #1 N.A. ininN.A. Products Chemicals Alginates Lithium (1) 4 #2 Pyrethroids Carbofuran Microcrystalline Specialty Based Globally Specialties on 2005 #1#1#2 Cellulose Carrageenan #1 N.A.
Slide 6: Diversified, Non-Cyclical End Markets
Diversified 2005 Non-Cyclical Pharmaceuticals Food Bottle Other Pulp Glass/Fiberglass Electronics Detergents Chemicals Agricultural Cyclical Greater Top 5 10 &Consolidated 8% 12% Glass customers Paper than 19% 6% 4% 9% 2% Customers 34% 3% 80% 81% 4% Other 11% 4% of inSales total sales 3% andrepresen
Slide 7: Diversified, Backward Integrated Cost Structure
Diversified Backward Global Total petrochemical Low Energy 6 cost reliance energy raw sourcing represents sourcing materials integration: and demand on feedstocks Integrated of purchased approximately of renewable represent requirements raw soda materials Cost raw ash, approximately resources: mater
Slide 8: Disciplined Approach to Sustained Earnings Growth
Disciplined Realizing Sustained Continued Maintaining Investment Initiated Focusing Manage (1) 7 Earnings Specialty quarterly the the earnings growth grade Approach financial portfolio inherent before capital cash Chemicals in growth Specialty strength to operating on dividend restructuring Unlockin
Slide 9: Industrial Chemicals Based on 2005 Sales
Industrial Based Foret Peroxygens Alkali Europe/Middle Latin Asia North #1 8 chemicals North 7% America 33% America on (Soda American 2005 Chemicals 18% ash) 9% Consolidated 50% East/Africa 49% manufacturer 34% Salesofofsoda $870.4 ash million and peroxygens Backward integration into natural resourc
Slide 10: Industrial Chemicals Financial Performance
Industrial 2006 $, 200 2001 20% Capital EBITDA 9 millions 150 15% earnings 2002 Spending 100 Margin Chemicals 10% 2003 50growth 5% 02004 $133 0%Financial of 2005 margin, $130 30-35% $94 Performance %expected $124 $151driven by higher selling prices, partially offset by higher energy costs and the lo
Slide 11: Industrial Chemicals: Managing Near-term Focus
Industrial Managing Near-term Higher Considering Margin Working 10 soda expansion toChemicals’ for sales offset ash re-commissioning cash growth selling rising generation Focus prices energy,another raw material increment and transportation of soda ash capacity costs at Granger to support export dem
Slide 12: Specialty Chemicals: Growth Based on Lithium and BioPolymer
Growth Based Lithium BioPolymer Asia Europe/Middle North Latin Adds Lithium: BioPolymer: products 11 18% America structure, America onFranchises 31% –2005 pharmaceuticals 69%6% Consolidated 39% East/Africa texture in Specialty and stability 37% and Sales Chemicals energy ofto$558.5 food storage Acts
Slide 13: Specialty Chemicals Financial Performance
Specialty 2006 160 2001 30% Capital EBITDA 12 120 28% earnings 2002 Spending 80 Margin Chemicals 26% 2003 40 growth 024% $12222% 2004Financial expected $116 2005 20% $132Performance margin, to$129 be in$140 %mid-single digits, driven by higher sales and continued productivity improvements $, million
Slide 14: Specialty Chemicals Focus
Specialty existing Growing Maintaining Commercializing Managing Identifying 13 Chemicals maturing financially key positions new core segments Focus technology business attractive withfor category bolt-on improved platforms acquisition leading earnings customers opportunities and cash Shifting to res
Slide 15: Agricultural Products Based on 2005 Sales
Agricultural Based Herbicides Insecticides Fungicides Europe/ Asia Latin North Strong Focused Leverage 14 16% America America on niche Middle strategy 2005 proprietary 25% 2% 73% Products positions 39% Consolidated 28% East/Africa in selected products in the17% markets, Americas, Sales and third of
Slide 16: Agricultural Products Financial Performance
Agricultural 2006 $, 150 2001 25% Capital EBITDA 15 millions 100 20% earnings 2002 Spending 50 Margin 15% 2003 0Products $101 growth 10% 2004 $99 5%Financial of 2005 $111 0% 5-10% margin, $148 Performance expected, $157 % reflecting higher sales and further manufacturing productivity benefits partia
Slide 17: Agricultural Products: Creating Near-term Growth
Agricultural Creating Investing In-licensing Driving Label Strengthening Distribution Reducing Sourcing 16 expansions near-term competitive initiatives 10% global products joint Products’ Market ofsupply sales ventures and sales should advantage &new Access Focus ingrowth technologies chain R&D & fo
Slide 18: FMC in Summary
FMC in Great Double Earnings Continued Strong Robust Substantial Strategic 17 businesses, financial and digit Summary and leverage growth decline growing earnings financial position each ininEBITDA Industrial Specialty unusual growth flexibility with EBITDA demands Chemicals ofon atand least cashAg$
Slide 19: FMC Remains Significantly Undervalued
Enterprise S&P EV/2006E 10.0 Minerals Lubrizol Sensient FMC Chemtura Olin Lyondell Albemarle RPM Ferro Valspar Source: Scotts Airgas 18 8.0 400 Remains Cytec Thomson 6.0 Tech Midcap Value/2006E Cabot EBITDA 4.0Significantly 2.0 Chemicals First Call EBITDA CY2006 Undervalued Index EBITDA estimates; E
Slide 20: FMC Corporation
FIC FMC Corporation
Slide 21: Non-GAAP Financial Terms
Non-GAAP These presentation. EBITDA ROIC Revenue. term 20 debt, slides (Return (Earnings Margin Current Financial contain on is Invested portion the Before certain Terms quotient of Capital) Interest, “non-GAAP long-term of EBITDA is Taxes, thedebt, financial sum Depreciation (defined Long-term of E
Slide 22: Segment Financial Terms
Segment These and Depreciation EBITDA 21 areslides defined Financial (Earnings Margin contain andbelow. for Amortization Terms Before references a segment In addition, Interest, for to is the segment that we Taxes, quotient have segment. Depreciation financial provided of EBITDA items reconciliation
Slide 23: EBITDA Reconciliation (Unaudited)
EBITDA Reconciliation (Unaudited, LTM Income income12/31/2005 (loss) Reconciliation: in $$193.3 of from millions) LTM continuing 12/31/2005 LTM 12/31/05 operations consolidated beforeincome from continuing operations before income taxes (a GAAP measure) to LTM 12/31/2005 EBITDA (a Non-GAAP measure)
Slide 24: Segment EBITDA Reconciliation (Unaudited)
Segment Reconciliation (Unaudited, Industrial Add: EBITDA inand ofmillions) LTM Reconciliation Specialty Chemicals LTM 12/31/05 12/31/05 Depreciation 12/31/05 Agricultural Chemicals segment amortization segment 32.1$operating Products operating 66.8profit (GAAP) 32.6 $profit 83.9$(a GAAP$ measure) $