Slide 1: Q2/H1 2015 Results
Q2/H1 2015 RESULTS TJERK DE RUITER, EDDY VAN RHEDE 12/8/2015 VAN DER KLOOT
Slide 2: Highlights Q2 2015
Highlights Q2 2015 • Organic net sales growth of 4.5%, mostly volume driven (4.1%) • Net sales growth of 23.4%; currencies add 17.4% • EBITDA Q2 excluding one-off items increased organically by 23.1% • EBITDA € 40.1M (Q2 14: € 26.8M) supported by volume growth, positive currencies • Acquisition of A
Slide 3: Joint venture with MedinCell in Medical Biomaterials
Joint venture with MedinCell in Medical Biomaterials • JV announced 10 August to supply resorbable polymers for controlled drug release • Partner MedinCell developed very promising technology • Technology can provide a controlled release of drug for days, weeks or months • Corbion will be responsibl
Slide 4: R&D roadmap – Progress in H1 2015
R&D roadmap – Progress in H1 2015 YTD YTD € million 2015 2014 R&D expenses cash-out 15.0 15.5 Capitalization (1.8) (2.0) Amortization / depreciation 0.8 1.1 R&D expenses 14.1 14.6 t en p pm lo ale e ve at o sc De el lid ev l Va cia d td an er nd g ep h ign m in ta c nc op un m s s De Co Co Current D
Slide 5: Q2/H1 2015 Financials
Q2/H1 2015 Financials 5 © 12/8/2015
Slide 6: Profit & Loss: Q2 and H1 2015
Profit & Loss: Q2 and H1 2015 € million Q2 Q2* 2015 2014 YTD YTD* 2015 2014 % • EBITDA excl. one-off items growth 50% Net Sales 232.3 188.3 23.4% 452.3 371.0 21.9% in Q2 supported by: EBITDA excl. one-off items 40.1 26.8 49.6% 77.3 51.9 48.9% EBITDA margin 17.3% 14.2% 17.1% 14.0% • Volume growth Dep
Slide 7: Sales Growth per segment in Q2 2015
Sales Growth per segment in Q2 2015 Total growth Total Currency at constant Acquisitions Organic Price/Mix Volume Growth currency Biobased Ingredients 22.3% 17.3% 5.0% 1.5% 3.5% -0.2% 3.7% - Food 23.7% 18.6% 5.1% 1.7% 3.4% -0.5% 3.9% - Biochemicals 17.8% 13.0% 4.8% 0.8% 4.0% 1.4% 2.6% Biobased Innov
Slide 8: EBITDA bridge Q2 2015
EBITDA bridge Q2 2015 €M 45 40 6.2 2.2 0.2 • Organic volume growth: 4.1% 35 4.3 30 3.6 • Strong performance in Meat causes 1.9 1.2 negative mix effect 25 40.1 39.9 20 Biobased Ingredients • Currency impact as $ strengthened 15 26.8 against Euro 10 5 0 8 © 12/8/2015
Slide 9: Streamline program progress
Streamline program progress Quarterly savings (€ million) Q1 2015 Q2 2015 YTD 2015 Program Streamline 2.5 4.3 6.8 • Majority of Streamline program has been implemented: • Savings coming in faster than expected • Large remaining initiative: Closure of our Kansas Avenue powder blending plant • Cost sa
Slide 10: Biobased Ingredients
Biobased Ingredients € million Q2 2015 Q2 2014 YTD 2015 YTD 2014 • Organic sales growth in Q2: 3.5% Net Sales 228.9 187.1 445.2 367.5 Organic growth 3.5% 1.0% 3.9% 1.7% • EBITDA margin increase to 17.8% EBITDA excl. one-off items 40.8 30.1 80.1 57.9 (Q2 14: 16.1%) Margin 17.8% 16.1% 18.0% 15.8% ROCE
Slide 11: Business Segment Food
Business Segment Food Q2 Q2 YTD YTD • Organic growth in Q4: 3.4% € million 2015 2014 2014 2013 Net Sales 177.9 143.8 338.7 276.8 Organic growth 3.4% -2.2% 3.4% -1.8% • Bakery: Q2 sales up due to consumer recovery and new EBITDA excl. one-off items 34.5 27.1 65.1 50.1 Margin 19.4% 18.8% 19.2% 18.1% p
Slide 12: Business Segment Biochemicals
Business Segment Biochemicals Q2 Q2 YTD YTD • Electronics and Pharma € million 2015 2014 2015 2014 market segment continued Net Sales 51.0 43.3 106.5 90.7 to perform well Organic growth 4.0% 13.0% 5.4% 13.6% EBITDA excl. one-off items 10.8 9.8 23.4 19.3 Margin 21.2% 22.6% 22.0% 21.3% • Agrochemical,
Slide 13: Biobased Innovations
Biobased Innovations Q2 Q2 YTD YTD • EBITDA loss reduced: € million 2015 2014 2015 2014 Net Sales 3.4 1.3 7.1 3.5 • Ramp-up in Bioplastics/PLA Organic growth 149.3% 27.4% 85.5% 71.5% related Sales (mostly high- heat) EBITDA excl. one-off items (0.8) (3.2) (2.8) (6.0) Margin -23.8% -257.2% -39.8% -17
Slide 14: Net debt/cash bridge H1 2015
Net debt/cash bridge H1 2015 €M 54.1 60 • Net debt position of € 72.1M per 40 18.8 end of June 2015 20 22.4 0 5.8 • Working Capital impacted our net debt position € 18.8M -20 51,2 negatively mainly due to -40 51.2 increased inventory and debtors -60 72.1 31.9 31,9 7.7 -80 • Dividend & Extraordinary
Slide 15: Capital Expenditures
Capital Expenditures €M 80 70 Major capex projects in H1 2015 € 62.5M 60 50 20.2 • Grandview facility 40 • ADM lactic acid business 30 € 22.0M 20 42.3 3.0 10 19.0 0 2010 2011 2012 2013 2014 2015 Sale former HQ office Biobased Ingredients Biobased Innovations Corbion total €M 25 Significant upswing e
Slide 16: Cash Flow
Cash Flow €M 100 Rolling 12 months 80 60 40 75 67 57 24 20 34 0 -20 -7 -51 -40 -30 -74 -69 -35 -87 -60 -80 -100 H2 2013 H1 2014 H2 2014 H1 2015 Operating cash flow Investment cash flow Free cash flow • Improving trend in free cash flow since H1 2013 16 © 12/8/2015
Slide 17: Full Year Outlook 2015
Full Year Outlook 2015 Biobased Ingredients • Food: Growth at the upper half of our guidance range (1-3%) • Biochemicals: Growth near lower end guidance range (5-8%) • Reduction feed acidifiers • Challenging comparison to H2 2014 • Streamline savings: Majority of savings expected in 2015 rather than
Slide 18: Our strategy – Disciplined Value Creation
Our strategy – Disciplined Value Creation 18 © 12/8/2015
Slide 19: Corbion
Corbion