Wacker Chemie Ag · XETR:WCH

Wacker Chemie — FY2021 Earnings Presentation

23 slides from Wacker Chemie's earnings presentation, Mar 15, 2022

  1. Slide 1: FY 2021 – Conference Call Note

    CREATING TOMORROW`S SOLUTIONS FY 2021 – Conference Call Note Dr. Christian Hartel (CEO), Dr. Tobias Ohler (CFO) March 15, 2022 Ticker: WCH FY 2021 – Conference Call Note www.wacker.com March 15, 2022 0

  2. Slide 2: Disclaimer

    Disclaimer The information contained in this presentation is for background purposes only and is subject to amendment, revision and updating. Certain statements and information contained in this presentation may relate to future expectations and other forward-looking statements that are based on man

  3. Slide 3: WACKER FY 2021 Highlights

    WACKER FY 2021 Highlights Financials Operations Sustainability €6.2bn Strong demand in New, Ambitious Chemicals Targets for 2030 Sales (+32% yoy) Very strong demand across entire portfolio Most plants fully loaded, Addressing products, Full year raw materials at very high levels, processes and suppl

  4. Slide 4: Record High Dividend Proposed for FY 2021

    Record High Dividend Proposed for FY 2021 Dividend (€) and Payout Ratio to Shareholders €8.00 €4.50 €2.00 €2.50 €2.00 €2.00 €2.00 €1.50 €0.60 €0.50 €2.50 €0.50 2012 2013 2014 2015 2016 2017 2018 2019 2020 20212 26% >100% 38% 41% 53% 50%1 48% n.a. 49% 48% Bonus Regular Dividend % Payout Ratio3 1) Exc

  5. Slide 5: Defined CO2 Reduction Projects to Reduce GHG Emissions by 50% by 2030

    Defined CO2 Reduction Projects to Reduce GHG Emissions by 50% by 2030 CO2 neutral silicon metal Process transformation Green energy  Biocarbon & biomass utilization  RHYME Bavaria: CO2-to-methanol1  Leverage high electrification ratio  Explore carbon capture and  Energy efficiency and CO2-  Gr

  6. Slide 6: Strong Chemicals Growth in 2022 and Higher CapEx to Meet Customer Pull

    Strong Chemicals Growth in 2022 and Higher CapEx to Meet Customer Pull Outlook for 2022 FY 2022 Group Guidance and Q1 Trading  Sales at around €7.0bn  EBITDA €1,200m – €1,500m  Capex €550m – €600m  Q1 sales of about €2bn with EBITDA rising more strongly than sales y/y Rapidly Increasing Energy C

  7. Slide 7: Profit & Loss Statement

    Profit & Loss Statement Record EPS with Prices and Volume/Mix Offsetting Unprecedented Raws WACKER P&L FY 2021 (€m) Comments €m FY 2021 FY 2020  Sales +32% yoy Sales 6,207.5 4,692.2 Volume/Mix +12%, Price +21%, FX -1% Gross profit from sales 1,672.5 869.9  Unprecedented rise in raw materials and e

  8. Slide 8: Balance Sheet Composition

    Balance Sheet Composition Cash Position Significantly Higher and Pension Liability Reduced Balance sheet (%) Characteristics 12/31/21  Strong Liquidity: Assets Liabilities  Cash & securities of €1,983m €7.0bn €8.1bn €7.0bn €8.1bn (Dec 31, 2020: €1,338m) 24.3%  Provisions for pensions: €1,813m 45.

  9. Slide 9: SILICONES

    SILICONES Pricing Initiatives, Specialties Growth and Strong Order Intake Sales (€m) Highlights 2021 +16% +15%  Sales and EBITDA benefit from price / mix effects 2,244 2,599 573 657  Broad-based demand with order intake at a high level Q4 2020 Q4 2021 FY 2020 FY 2021  Price increases implemented

  10. Slide 10: POLYMERS

    POLYMERS Pricing Initiatives Partially Compensated Unprecedented Raw Material Rise Sales (€m) Highlights 2021 +37% +29%  Continued strong demand 451 1,674 330 1,299  Price increases and surcharges address an Q4 2020 Q4 2021 FY 2020 FY 2021 unprecedented rise in raw material costs  EBITDA supporte

  11. Slide 11: BIOSOLUTIONS

    BIOSOLUTIONS Strong Sales Growth in BioPharma and BioIngredients Sales (€m) Highlights 2021 +27% +20%  Sales driven by strong BioPharma and BioIngredients 80 246 296 63  EBITDA supported by higher utilization rates and good Q4 2020 Q4 2021 FY 2020 FY 2021 cost structure but with ramp and integrati

  12. Slide 12: POLYSILICON

    POLYSILICON High Prices for Solar-Grade, Continued Cost Reductions and Semi Shift Sales (€m) Highlights 2021 +93% +93% 1,530  Strong demand and tightness in semi and high-end 470 244 792 solar markets Q4 2020 Q4 2021 FY 2020 FY 2021  EBITDA supported by significantly higher prices for solar-grades

  13. Slide 13: Net Financial Position

    Net Financial Position Strong Net Cash Flow Generation Drives Significant Improvement in Net Cash Net Financial Position Bridge per 12/31/2021 (€m) 1,064 -304 6 547 -99 -53 -68 Net financial debt Cash flow Cash flow from Dividend Lease Exchange-rate Net financial assets as of Dec. from operating lon

  14. Slide 14: Guidance FY 2022

    Guidance FY 2022 In €m FY 2021 Outlook 2022 Sales 6,208 Around €7,000m EBITDA 1,539 €1,200 – 1,500m EBITDA margin (%) 24.8% Substantially lower than last year Net cash flow 761 Clearly positive, substantially lower than last year CapEx 344 €550 – 600m Net financial debt -547 Positive net financial a

  15. Slide 15: Q1 Trading Update

    Q1 Trading Update Sales of about €2bn with EBITDA Rising More Strongly than Sales Y/Y SILICONES POLYMERS  Continued strong growth  Continued strong growth  First months of 2022 still benefit from trailing raw  Prices higher than PY to compensate for higher raws material prices and energy hedging

  16. Slide 16: FY 2021 – Q&A Session

    CREATING TOMORROW`S SOLUTIONS FY 2021 – Q&A Session Dr. Christian Hartel (CEO), Dr. Tobias Ohler (CFO) March 15, 2022 Ticker: WCH FY 2021 – Conference Call Note www.wacker.com March 15, 2022 15

  17. Slide 17: FY 2021 Results – Sales and EBITDA Breakdown

    Appendix: FY 2021 Results – Sales and EBITDA Breakdown FY 2021 Sales (%) FY 2021 EBITDA (%) 2% 3% 25% 43% 27% Total: Total: €6.2bn €1.5bn 5% 16% 3% 42% 36% SILICONES BIOSOLUTIONS POLYMERS POLYSILICON OTHERS / CONSOLID. FY 2021 – Conference Call Note March 15, 2022 16

  18. Slide 18: FY 2021 Results – P&L

    Appendix: FY 2021 Results – P&L In €m FY 2021 FY 2020 % YoY Sales 6,208 4,692 32% EBITDA reported 1,539 666 >100% EBITDA-Margin 24.8% 14.2% - EBIT 1,134 263 >100% EBIT-Margin 18.3% 5.6% - Net income for the period 828 202 >100% CapEx 344 224 53% Net cash flow 7611 698 9% Net financial debt -547 68 -

  19. Slide 19: FY 2021 Results – Breakdown by Business

    Appendix: FY 2021 Results – Breakdown by Business FY 2021 FY 2020 Q4 2021 Q4 2020 EBITDA EBITDA EBITDA EBITDA In €m / % SALES EBITDA MARGIN SALES EBITDA MARGIN SALES EBITDA MARGIN SALES EBITDA MARGIN Chemicals 4,569 844 18.5% 3,789 696 18.4% 1,188 213 17.9% 966 181 18.8% SILICONES 2,599 553 21.3% 2,

  20. Slide 20: Strong Growth of Global PV Markets in 2022 Expected

    Appendix: Strong Growth of Global PV Markets in 2022 Expected Country 2017 2018 2019 2020 2021 2022e Germany 1.8 3.0 4.0 4.9 5.3 6.0 – 8.0 Spain 0.1 0.4 4.7 3.3 3.8 4.0 – 6.0 Europe other 4.9 8.1 13.0 13.0 19.9 22.0 – 26.0 Europe total 6.8 11.5 21.7 21.2 29.0 32.0 – 40.0 Australia 1.3 3.8 4.4 5.1 5.

  21. Slide 21: Modelling Help

    Appendix: Modelling Help Siltronic AG  At-equity reinstated at end 2021 for entire year  Investment income is reported in WACKER income statement (P&L)  Investment income equals 30.8% of the net income attributable to the shareholders of Siltronic less the PPA (approx. €4-5m per quarter). Others

  22. Slide 22: Raw Materials, Power and Gas Show Strong Price Inflation

    Appendix: Raw Materials, Power and Gas Show Strong Price Inflation Si-Metal (€/mt) Electricity (€/MWh) 10,000 400 8,200 € High 380 € High 8,000 300 6,000 200 4,000 100 2,000 0 0 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Source: CRU, Si-Metal

  23. Slide 23: WACKER: Issuer, Contact and Additional Information

    WACKER: Issuer, Contact and Additional Information Issuer and Contact Financial Calendar INVESTOR RELATIONS CONTACTS 03/29/22 CMD: Strategy Update (London) 04/28/22 Q1 2022 Results Joerg Hoffmann, CFA Tel. +49 89 6279 1633 | joerg.hoffmann@wacker.com 05/20/22 Annual General Meeting 07/28/22 Q2 2022

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