Cph Group Ag Class A · SIX:CPHN
Cph Group Ag Class A — Investor Presentation (July 2024)
40 slides from Cph Group Ag Class A's investor presentation, Jul 18, 2024
Slide 1: Investor Presentation CPH Group AG
Investor Presentation CPH Group AG CPH Group AG Investor Presentation July 2024
Slide 2: Agenda
Agenda 1. CPH Group at a glance 2. ESG 3. Chemistry Division – Zeochem 4. Packaging Division – Perlen Packaging 5. Half-year financials 2024 6. Outlook and mid-term targets 7. Investment case CPH Group AG Investor Presentation July 2024 2
Slide 3: Overview: Two industrial companies in growth markets
Overview Two industrial companies in growth markets Holding Strategic and financial management with focus on - Innovation and product development - Growth in attractive niche markets - Operational excellence Division Chemistry Packaging Worldwide in molecular sieves for worldwide for coated barrier
Slide 4: Common value drivers and success factors
Overview Common value drivers and success factors Growth driver / Megatrends • Demography • Health • Energy • Mobility Strategic roadmap Leading market positions • Innovation and product • Top 3 positions in attractive development niche markets • Organic growth • Global presence • Potential for non-
Slide 5: Experienced and well-rehearsed management team
Overview Experienced and well-rehearsed management team Peter Schildknecht Gerold Brütsch Group CEO since 2009 Group CFO since 2022 Alois Waldburg-Zeil Marc Haller Head of Chemistry since 2010 Head of Packaging since 2022 CPH Group AG Investor Presentation July 2024 5
Slide 6: Key financial figures
Overview Key financial figures Sales EBITDA and EBITDA-Margin In CHF million In Mio. CHF / % of Sales 400 70 40% CAGR 11.8% 350 CAGR 18.0% 60 300 30% 50 250 40 200 20% 150 30 100 20 10% 50 10 0 0 0% 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 Sales split by regions 2023 Solid equity ratio as o
Slide 7: Sustainability: Attitude and goals
CPH Group Sustainability: Attitude and goals • Long-term and sustainable value creation anchored in the articles of association at AGM 2023 as a corporate purpose • Striving for to achieve net zero, developing an appropriate stage plan, while maintaining competitiveness ▪ Examination and exploitatio
Slide 8: Sustainability: Dimensions
CPH Group Sustainability: Dimensions Environmental Social Governance • High climate awareness • Sustainable relationships with • Registered shares as single • Continuous initiatives for clients, suppliers, employees, class share category energy consumption and communities • Neither registration nor
Slide 9: Chemistry Division
Chemistry Division CPH Group AG Investor Presentation July 2024
Slide 10: Zeochem: At a glance
Zeochem At a glance Key figures 2023 • Sales CHF 124 million (+12.6%, currency adjusted +18.2%) • EBITDA CHF 22 million (+15.2%) • EBITDA margin: 17.8% • Capex: CHF 11 million Zvornik Donghai Employees Rüti Louisville • 3581 Vadodara Global presence close to customers • 5 production sites • 11 distr
Slide 11: Zeochem: Product portfolio
Zeochem Product portfolio Molecular sieves Zeolites (Silicate crystals) with high adsorption properties Specialties Chromatography gels (highly porous gels for molecular separation) Deuterated products (hydrogen atom replaced by deuterium) for use in pharmaceuticals (API), electronics (OLED) and nuc
Slide 12: Zeochem: Molecular sieves for industrial applications
Zeochem Molecular sieves for industrial applications Market overview Segment Molecular sieves Global CHF 500 - 700 million1 fragmented market Leading suppliers • Honeywell • Arkema Growth 2-3% p.a.1 • Zeochem • Grace • Jalon Industries Applications • Pharmaceuticals • Production of medical and indus
Slide 13: Zeochem: Growth drivers
Zeochem Growth drivers Megatrends Markets Applications Products Petrochemistry Energy Industry Fine chemicals Molecular sieves Mobility Fahrzeug- komponenten Erdgas Respirators Molecular sieves Health Pharmaceuticals Medical oxygen Chromatography gels API Deuterated products CPH Group AG Investor Pr
Slide 14: Zeochem: Growth strategy
Zeochem Growth strategy Capacity expansion R&D • Volume • Product development with high • Scale effects innovative strength • Continuous improvement of product quality and certifications Pro on d ti uc uc tp Prod ortfolio Operational excellence Differentiation • Cost optimisation Innovation • Qualit
Slide 15: Zeochem: Sites and capacity expansions
Zeochem Sites and capacity expansions Louisville (USA) Zvornik (BiH) Rüti (CH) Donghai (CN) Vadodara (IN) Production of high- Production of Production of Production of Production of quality molecular molecular sieve deuterated standard molecular chromatography sieves powders, products sieves gels ch
Slide 16: Zeochem: Success factors
Zeochem Success factors • Ongoing strategy implementation Innovation Internationalisation Focus on growth markets • Resilience and diversification thanks to the versatility of the products in numerous industries CPH Group AG Investor Presentation July 2024 16
Slide 17: Zeochem: Business development
Zeochem Business development Financial results Sales EBITDA and EBITDA-Margin In CHF million / in % In Mio. CHF / % of Sales 140 25 40% CAGR 12.2% 120 20 30% 100 CAGR 23.5% 80 15 20% 60 10 40 10% 5 20 0 0 0% 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 CPH Group AG Investor Presentation July 20
Slide 18: Zeochem: Sustainability strategies
Zeochem Sustainability strategies Continuous improvement of greenhouse gas efficiency (short-term) and reduction of greenhouse gas emissions (long-term) Introduction of ISO 14001 for environmental management Expansion of the circular portfolio Ensuring the highest standards for product quality and p
Slide 19: Packaging Division
Packaging Division CPH Group AG Investor Presentation July 2024
Slide 20: Perlen Packaging: At a glance
Perlen Packaging At a glance Key figures 2023 • Sales CHF 237 million (+2.9%, currency adjusted +7.1%) • EBITDA CHF 43 million (+36.7%) • EBITDA margin: 18.1% Müllheim • Capex: CHF 7 million Employees Perlen Suzhou Whippany • 5391 Global presence close to customers Anápolis • 5 production sites in k
Slide 21: Perlen Packaging: Product portfolio, focus 100% on pharma
Perlen Packaging Product portfolio: Focus 100% on Pharma Plastic films for tablet blisters Barrier effect CPH Group AG Investor Presentation July 2024 … 21
Slide 22: No. 1 worldwide for PVC/PVdC films for pharma blisters
Perlen Packaging No. 1 worldwide for PVC/PVdC films with highest barrier for pharma blister1 Global pharmaceutical market The largest markets – outlook 20262 Global pharmaceutical blister market: CHF 2 billion2 1: USA 2: China Growth 3-6% p.a.2 3: Germany 4. Japan 5: France Leading suppliers in the
Slide 23: Perlen Packaging: Growth drivers
Perlen Packaging Growth drivers Megatrends Markets Applications Products Active Packaging films Health Pharmaceuticals ingredients in High barrier films tablets CPH Group AG Investor Presentation July 2024 23
Slide 24: Perlen Packaging: Growth strategy
Perlen Packaging Growth strategy Capacity expansion R&D • Volume • Product development with high innovative • Supply security strength • Scale effects • Alignment to films with a very high barrier effect on P ti ro uc duc Prod t Operational excellence Differentiation • Modernisation of systems Innov
Slide 25: Perlen Packaging: Sites and capacity expansions
Perlen Packaging Sites and capacity expansions Perlen (CH) Müllheim (GER) Suzhou (CN) Anápolis (BR) Whippany (US) Coating of Production of Coating of Coating of monofilms and monofilms and monofilms and monofilms and slitting/packaging slitting/packaging slitting/packaging slitting/packaging Slittin
Slide 26: Perlen Packaging: Success factors
Perlen Packaging Success factors • Ongoing strategy implementation Innovation Internationalisation Focus on growth markets • Global key account management • Differentiation through customer proximity and product protection • Sustainability strategy CPH Group AG Investor Presentation July 2024 26
Slide 27: Perlen Packaging: Business development
Perlen Packaging Business development Financial results Sales EBITDA and EBITDA-Margin In CHF million / in % In Mio. CHF / % of Sales 45 40% 250 CAGR 11.6% CAGR 15.9% 200 30% 30 150 20% 100 15 10% 50 0 0 0% 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 CPH Group AG Investor Presentation July 202
Slide 28: Perlen Packaging: Sustainability strategies
Perlen Packaging Sustainability strategies CO2 reduced products Introduction of products with a reduced CO2 footprint Action: Development of a new CO2 optimised product line through the use of bio-attributed PVC granulate Post industrial recycling Waste generated in production or operations is recyc
Slide 29: Consolidated income statement I (remaining divisions)
Half Year 2024 Consolidated income statement I (remaining divisions) 01.01.-30.06., in CHF millions 2024 % 2023 % ± ±% Net sales 1 176.9 100.0 190.0 100.0 -13.1 -6.9% Other operating income 1.4 0.8 1.1 0.6 Change in inventories -2.5 -1.4 1.0 0.5 Cost of materials 2 -91.6 -51.8 -106.4 -56.0 Cost of e
Slide 30: Consolidated income statement II
Half Year 2024 Consolidated income statement II 01.01.-30.06., in CHF millions 2024 % 2023 % ± ±% EBITDA 30.2 17.1 33.4 17.6 -3.2 -9.6% Depreciation expense -6.7 -3.8 -5.9 -3.1 Operating result EBIT 23.5 13.3 27.5 14.4 -4.0 -14.4% Financial result 0.6 0.4 -0.9 -0.5 Non-operating result 1.6 0.8 13.3
Slide 31: Segment results
Half Year 2024 Segment results CPH Group Spun-off divisions Chemistry Packaging (Remaining (Paper) divisions) 01.01.-30.06., in CHF millions 2024 2023 ±% 2024 2023 ±% 2024 2023 ±% 2024 2023 ±% Sales 62.0 57.5 +7.7% 114.9 132.5 -13.3% 176.9 190.0 -6.9% 124.6 141.7 -12.1% EBITDA 1 10.4 9.4 +10.0% 20.4
Slide 32: Consolidated balance sheet
Half Year 2024 Consolidated balance sheet in CHF millions 30.06.2024 % 31.12.2023 % ± ±% Cash and cash equivalents 30 8.7 108 18.0 Trade receivables 1 62 18.1 71 11.9 Inventories 1 75 21.9 102 17.1 Other current assets 16 4.7 25 4.1 Fixed assets 160 46.6 292 48.9 Total assets 343 100.0 598 100.0 -25
Slide 33: Consolidated cash flow statement
Half Year 2024 Consolidated cash flow statement 01.01.-30.06., in CHF millions 2024 % 2023 % ± ±% Net result -9 -100.0 61 100.0 -69.4 n.a. Non-cash items 1 26 296.6 -9 -14.0 Cash flow 17 196.6 52 86.0 -35.2 -67.4% Change in net working capital 8 88.4 -1 -2.0 Cash flow from operating activities 25 28
Slide 34: Outlook and mid-term targets
Outlook and mid-term targets CPH Group AG Investor Presentation July 2024 34
Slide 35: Outlook 2024
Outlook 2024 CPH Group • Geopolitical instability and uncertain economic outlook • Sales below previous year due to falling raw material prices • EBITDA in the mid double-digit millions • Positive net result despite result from spun-off Paper business of CHF -30 million in the first half of 2024 • F
Slide 36: Mid-term targets
Mid-term targets • Sales growth of 3-5% per year • EBITDA margins of 16-18% • Free Cash flow margins of 8-10%1 • Equity ratio of ˃50% • Targeted acquisitions in line with respective strategy of the two divisions • Attractive dividend policy in the range of 25-50% of net income, taking liquidity into
Slide 37: Investment Case: 7 Reasons to Invest
Investment Case 7 Reasons to Invest 1. Potential for value increase by focusing on continued organic growth, combined with targeted acquisitions 2. Leading market position in the relevant sales markets with independent, established brands 3. Consistent implementation of international expansion strat
Slide 38: Information for shareholders
Information for shareholders Market capitalisation as of 30.06.2024 Share price development 01.01.2019-30.06.2024 in CHF million 100 80 411 60 40 20 6,000,000 Ordinary Shares with nominal value of 0 2019 2020 2021 2022 2023 2024 CHF 0.15 each 2019 2020 2021 2022 2023 2024 in CHF CPHN SPIX adjusted D
Slide 39: Calendar and contacts
Calendar and contacts Calendar 18.09.2024 Equity Conference Investora, Zurich 24.09.2024 Investor Day of CPH Group, Perlen 06.11.2024 ZKB Swiss Equity Conference, Zurich 08.01.2025 Baader Helvea Swiss Equities Conference, Bad Ragaz 25.02.2025 Media and Investors‘ Conference, 2024 Annual Report Conta
Slide 40: Disclaimer
Disclaimer Investing in the shares of CPH Group AG involves risks. Prospective investors are urged to consult their investment advisors and tax advisors prior to investing in CPH Group AG shares. This document contains forward-looking statements which involve risks and uncertainties. These statement