Grupa Kety Sa · GPW:KTY
Grupa Kety Sa — Q3 2022 Earnings Presentation
24 slides from Grupa Kety Sa's earnings presentation, Oct 20, 2022
Slide 1: Results for the 3rd Quarter of 2022
RESULTS FOR THE 3RD QUARTER OF 2022 DARIUSZ MAŃKO RAFAŁ WARPECHOWSKI PIOTR WYSOCKI TOMASZ GRELA RAFAŁ LECHOWICZ CHAIRMAN OF THE BOARD MEMBER BOARD MEMBER BOARD MEMBER CEO ALUPOL PACKAGING BOARD 20TH OCT 2022
Slide 2: Market correction in the 3rd quarter
MARKET CORRECTION IN THE 3rd QUARTER MARKET OPERATIONS FINANCES ENVIRONMENT AND INVESTMENTS + DECREASE OF RAW MATERIAL + ACTION TAKEN TO ADJUST TO + PLN 253 million - EBITDA PRICES Q/Q MARKET SITUATION PLN 171 million – NET - DECREASE OF DEMAND, + CONTINUATION OF KEY PROFIT MOSTLY FOR PRODUCTS FOR D
Slide 3: Integrated report
INTEGRATED REPORT DISTINCTION IN THE BEST ANNUAL REPORT COMPETITION 3
Slide 4: Operating activity of segments
OPERATING ACTIVITY OF SEGMENTS 4
Slide 5: Extruded products segment
EXTRUDED PRODUCTS SEGMENT Aluminium price on LME 3M (USD/t) (+) A downward trend in aluminum prices on the LME and a reduction in the billets premium. (+) A lack of negative effect from possible sanctions on russian aluminium 2200 (-) Electricity and gas price increase. Oct '21 Oct '22 (-) The Europ
Slide 6: Extruded products segment
EXTRUDED PRODUCTS SEGMENT 3Q 3Q 1-3Q 1-3Q (PLN million) change change 2022 2021 2022 2021 22% yoy lower volumes, mainly due to the Sales 610,5 510,9 20% 1 978,3 1 327,3 49% high level of customers' inventory after Q2 Domestic 249,0 270,1 -8% 973,2 695,7 40% 2022. International 361,5 240,7 50% 1 005,
Slide 7: Extruded products segment
EXTRUDED PRODUCTS SEGMENT 30 000 95% 98% 98% 87% 96% 99% 100% Lower level of capacity utilisation as a result 25 000 74% 90% 80% of a decrease in demand with a higher 20 000 70% nominal capacity by approx. 3 thousand 60% 15 000 50% tonnes per quarter. 22,2 23,3 24,5 22,6 24 40% (annual production ca
Slide 8: Extruded products segment
EXTRUDED PRODUCTS SEGMENT The FISKER project Components for the American brand(set of 21 profiles).Preparations for pre-series production(November 2022) / investment implementation (tools,Automation, robotization). EPD declaration The extruded product segment received the Environmental Product Decla
Slide 9: Aluminum systems segment
ALUMINUM SYSTEMS SEGMENT 3Q 3Q 1-3Q 1-3Q (PLN million) 2022 2021 change 2022 2021 change The increase in revenues reflects the Sales 594,4 548,2 8% 1 870,5 1 451,3 29% price increases introduced from 2021, with volumes lower by 16%. Domestic 357,2 332,0 8% 1 137,4 875,4 30% International 237,2 216,2
Slide 10: Aluminum systems segment: domestic sale
ALUMINUM SYSTEMS SEGMENT DOMESTIC SALE Projects acquired in Q3 2022 (+) Stable situation on the market of industrial and warehouse facilities, public utilities, aparthotels and high- standard apartment buildings. (+) Positive sentiment among customers producing for The Form, Warszawa, PL PSE, Radom,
Slide 11: Aluminum systems segment: foreign sale
ALUMINUM SYSTEMS SEGMENT FOREIGN SALE Projects acquired in Q3 2022 (+) Increased commercial and marketing activity on the The Charter_UK, Gravesend Alfa Tower_ Czechy, Praga Balkan markets - acquiring new projects (+) First orders for fire protection glass Glassprof (for the Croatian, Lithuanian and
Slide 12: Aluminum systems segment
ALUMINUM SYSTEMS SEGMENT % of the (PLN million) B2022 1-3 Q 2022 budget Total investments 162 88 54% Implementation of the main tasks of the investment plan : New plant in Złotów The second stage of bidding for the construction of the hall has been completed. Negotiations with bidders scheduled by t
Slide 13: Aluminum systems segment
ALUMINUM SYSTEMS SEGMENT COMPETITION "OBJECT OF THE YEAR IN ALUPROF SYSTEMS" SOLVED! The final gala of the fourth edition of the competition was preceded by an international conference in the series "Future Builders". The jury, composed of outstanding architects, distinguished 10 most interesting fa
Slide 14: Flexible packaging segment
FLEXIBLE PACKAGING SEGMENT Market situation LDPE granulate ICIS spot low (EUR/ton) PP granulate ICIS spot low (EUR/ton) 2020 2000 1883 1908 2000 1778 1785 1850 1758 1810 1800 1728 1698 1698 1735 1725 1688 1636 1575 1680 1563 1550 1583 1600 1475 1600 1500 1500 1500 1500 1410 1356 1265 1200 1200 1150
Slide 15: Flexible packaging segment
FLEXIBLE PACKAGING SEGMENT 3Q 3Q 1-3Q 1-3Q (PLN million) change change 2022 2021 2022 2021 Increase in sales as a result of higher volumes Sales 393 299 +32% 1196 889 +35% (+ 4% y / y) and higher prices. Domestic 166 137 +21% 515 408 +26% International 227 162 +40% 681 481 +42% EBITDA 88 58 +53% 288
Slide 16: Flexible packaging segment
FLEXIBLE PACKAGING SEGMENT volume sales capacity utilisation 97% 30 100% 86% 89% 89% 25 75% 20 High level of production capacity 15 50% utilization despite the turmoil on the raw 10 materials market and weakening demand. 5 0% 0 3Q 2021 4Q 2021 1Q 2022 2Q 2022 3Q 2022 Implementation of the investment
Slide 17: Consolidated financial results
CONSOLIDATED FINANCIAL RESULTS 17
Slide 18: Consolidated financial results
CONSOLIDATED FINANCIAL RESULTS PLN million 3Q 2022 3Q 2021 change 1-3Q 2022 1-3Q 2021 zmiana • The increase in sales is mainly the Revenues 1 507,7 1 239,7 +22% 4 656,3 3 381,0 +38% result of higher volumes in the FPS and higher quotations of raw materials EBITDA 253,0 245,2 871,2 696,8 and product
Slide 19: 3rd quarter cash flow
3RD QUARTER CASH FLOW Operating cash flow (PLN million) CAPEX (PLN million) 100 95 250 86 87 208 61 200 150 132 45 44 100 94 85 45 58 50 0 0 2Q 2021 3Q 2021 4Q 2021 1Q 2022 2Q 2022 3Q 2022 2Q 2021 3Q 2021 4Q 2021 1Q 2022 2Q 2022 3Q 2022 Cash flow in 3Q (PLN million) change in change in net debt duri
Slide 20: Secure level of financial ratios
SECURE LEVEL OF FINANCIAL RATIOS Debt maturity structure Debt currency structure Net debt (PLN million)* / net debt/EBITDA ratio 1100 1,2 short term 1,1 25% EUR; 1,1 15% USD; 1016 0% 900 1,1 1,0 913 931 841 875 1,0 0,9 0,9 0,9 700 1,0 0,9 PLN; long term 85% 500 0,9 3Q 2021 4Q 2021 1Q 2022 2Q 2022 3Q
Slide 21: Prospects for Q4 2022
PROSPECTS FOR Q4 2022 MARKET OPERATIONS FINANCES ENVIRONMENT AND INVESTMENTS • LIMITED DEMAND • ADAPTATION TO LOWER SALES • PROVIDING FINANCING OF VOLUMES THE ACTIVITY • GROWING PRESSURE ON MARGINS • IMPLEMENTATION OF KEY • MAINTAINING SAFE FINANCIAL DEVELOPMENT INVESTMENTS RATIOS • ASSUMED STABILIZ
Slide 22: Additional information
ADDITIONAL INFORMATION 22
Slide 23: Additional information
ADDITIONAL INFORMATION Volume sales (`000 tons) 3Q 2021 4Q 2021 1Q 2022 2Q 2022 3Q 2022 Extruded Products Segment 25,7 21,1 23,5 23,9 19,9 Flexible Packaging Segment 22,4 19,5 26,4 23,2 23,3 Segment’s EBITDA (PLN million) 3Q 2021 4Q 2021 1Q 2022 2Q 2022 3Q 2022 Extruded Products Segment 91,2 73,5 81
Slide 24: Legal Note
Legal Note. This presentation has been prepared by Grupa Kęty S.A. only for informational purposes and it does not form a purchase or sale offer or an offer aiming at soliciting a purchase or sale offer as regards any securities or financial instruments, or the participation in any commercial undert