Ontex Group N.v. · EURONEXT:ONTEX

Ontex — Ontex Group Nv Ord — Q3 2023 Earnings Presentation

13 slides from Ontex's earnings presentation, Oct 27, 2023

  1. Slide 1: Ontex Results Q3 2023

    ONTEX RESULTS Q3 2023 WEBCAST October 27, 2023

  2. Slide 2: Disclaimer

    DISCLAIMER Forward-looking statements Accounting changes This presentation may include forward-looking statements. Forward-looking Continuing operations encompass the statements are statements regarding or based upon our management’s Group’s Core Markets. As from 2022, current intentions, beliefs or

  3. Slide 3: Business Review

    BUSINESS REVIEW Gustavo Calvo Paz CEO Q3 2023 results – 27/10/2023 3

  4. Slide 4: Leverage brought down to 3.6x

    LEVERAGE BROUGHT DOWN TO 3.6X Thanks to consistent revenue and adj. EBITDA growth Core Markets Group Adj. EBITDA Revenue margin Leverage +95% YTD YOY €1,349M +13% €41% 9.4 M +4.2pp vs6.4x 2023 YOY LFL YOY +1% in Dec 2022 QOQ 3.6X +95% Q3 YOY €457M +10% €41% 9.5 M +4.0pp vs4.5x 2023 YOY LFL YOY +1% i

  5. Slide 5: Revenue growth mainly on sustained pricing

    Core Markets REVENUE GROWTH MAINLY ON SUSTAINED PRICING Volume growth outperforming softer market demand Q3 revenue, Core Markets 600 (in €M)  Volume/mix up 3% 477 +8% +10% -5% 457  Retail brands in Europe 500 +3% +6% continue to grow share 432 Forex Adult care 400 Volume Price +14% LFL  Strong g

  6. Slide 6: Cost transformation drives adj. EBITDA growth

    Core Markets COST TRANSFORMATION DRIVES ADJ. EBITDA GROWTH Sustained pricing helps offset cost inflation & forex headwinds Q3 Adj. EBITDA, Core Markets 100 (in €M)  Continuous strong cost reduction delivery 90 80 +33 -12 -2  Sustaining prices more than offsets operating Raw mat. -5 -1 cost inflati

  7. Slide 7: Adj. EBITDA recovery continues

    Core Markets ADJ. EBITDA RECOVERY CONTINUES Driven by cost savings & volume growth Adj. EBITDA & margin, Core Markets 50 10% (in €M) 9.5% 45 9% 40 8%  Adj. EBITDA margin well up 35 7%  Q3 margin at 9.5%, up 4.0pp YOY 30 6% 25 5%  YTD margin at 9.4%, up 4.2pp YOY 20 4% 15 3%  5 consecutive quarte

  8. Slide 8: Cost transformation program on track

    Core Markets COST TRANSFORMATION PROGRAM ON TRACK Reaching €20M in Q3 Operating efficiencies, Core Markets (YOY impact on operating cost base) 30 6% (in €M) 5.4% 25 5%  Operating efficiencies pace maintained 20 4% of ~5% of operating costs since 2022  4.9% in 2022 15 3%  5.3% in 2023 YTD 10 2% 

  9. Slide 9: Leverage halved since peak

    LEVERAGE HALVED SINCE PEAK Net financial debt reduced slightly over quarter Net financial debt & leverage ratio 1,600 8x (in €M) 1,400 7x  Net financial debt 1,200 6x reduced to €652M from €658M in June 1,000 5x  WC needs stable thanks to 800 3.6x 4x cash conversion efficiencies offsetting 600 3x

  10. Slide 10: 2023 outlook confirmed at high-end of range

    2023 OUTLOOK CONFIRMED AT HIGH-END OF RANGE LEVERAGE EXPECTED BELOW 3.6x Core Markets (cont. ops.) Total Group (incl. disc. ops.)  Revenue  Emerging Markets to grow high single-digit LFL to continue contributing positively to EBITDA and FCF  Adj. EBITDA margin  Leverage ratio in high end of init

  11. Slide 11: Key takeaways

    KEY TAKEAWAYS  Delivering on expectations  Recovery momentum confirmed  Portfolio refocus continues  On track with acceleration of strategy execution Q3 2023 results – 27/10/2023 11

  12. Slide 12: Q&A

    Q&A Gustavo Calvo Paz CEO Q3 2023 results – 27/10/2023 12

  13. Slide 13: Thank you

    THANK YOU Q3 2023 results – 27/10/2023 13

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