Fmc Corporation · NYSE:FMC
Fmc — Ingalls & Snyder LLC Seminar for Specialty Chemical Companies (November 2008)
20 slides from Fmc's conference presentation, Nov 10, 2008
Slide 1: FMC Corporation – Ingalls & Snyder Seminar for Specialty Chemical Companies
FMC Corporation Ingalls & Snyder LLC Seminar for Specialty Chemical Companies November 10, 2008 Brennen M. Arndt Director, Investor Relations Exhibit 99.1
Slide 2: Disclaimer
Disclaimer Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 These slides and the accompanying presentation contain “forward-looking statements” that represent management’s best judgment as of the date hereof based on information currently available. Actual results of
Slide 3: FMC Corporation LTM ending September 30, 2008
FMC CORPORATION Revenue: $3,052 EBITDA: $636 Margin*: 20.8% INDUSTRIAL CHEMICALS Revenue: $1,273 EBITDA: $246 Margin*: 19.3% AGRICULTURAL PRODUCTS Revenue: $1,047 EBITDA: $262 Margin*: 25.0% SPECIALTY CHEMICALS Revenue: $735 EBITDA: $184 Margin*: 25.1% FMC Corporation LTM ending September 30, 2008 (
Slide 4: Leading Market Positions
Leading Market Positions ( 1) Based on 2007 consolidated sales (2) Shared Industrial Chemicals #1 in N.A. Soda Ash #1 in N.A. (2) Peroxygens #1 Globally Carrageenan #1 Globally Carbofuran #2 in N.A. Pyrethroids Agricultural Products #2 Globally Alginates Specialty Chemicals #1 Globally (2) #1 Global
Slide 5: Diversified Customers and End Markets
Non-GDP Cyclical 81% GDP- Cyclical 19% Diversified Customers and End Markets Greater than 80% of sales to non-GDP cyclical end markets No single customer represents more than 5% of sales Top 10 customers represent approximately 15% of sales 2007 Consolidated Sales Agricultural 34% Detergents 9% Phar
Slide 6: Diversified and Integrated Cost Structure
Diversified and Integrated Cost Structure Low cost sourcing of raw materials • Backward integration: soda ash, lithium • Global sourcing of renewable resources: hardwood pulp, seaweed Low reliance on purchased raw materials • Total raw materials represented 28% of cost of sales in 2007 • No single r
Slide 7: Disciplined Approach to Unlocking Value
Realizing the inherent operating leverage within FMC • Sustaining earnings growth > 10% per year (1) • Realizing pricing and volume leverage in Industrial Chemicals • Continuing growth in Specialty Chemicals and Agricultural Products Maintaining financial strength and flexibility • Investing in high
Slide 8: Agricultural Products
Insecticides 57% Herbicides 41% Fungicides 2% North America 22% Asia Pacific 15% EMEA 17% Latin America 46% Agricultural Products Strong niche positions in the Americas, Europe and Asia Proprietary, branded insecticides and herbicides Strategic Focus: • Selected products, crops and regions • Shiftin
Slide 9: Agricultural Products
Agricultural Products 2008 segment earnings up nearly 20 percent driven by sales growth and further supply chain productivity improvements, partially offset by higher raw material costs
Slide 10: Specialty Chemicals
Latin America 7% Asia Pacific 21% EMEA 36% North America 36% Lithium 32% BioPolymer 68% Specialty Chemicals BioPolymers - structure, texture and stability to food; binders and disintegrants for dry tablet drugs Lithium focus on specialties – pharmaceuticals, energy storage Strategic Focus: • Growing
Slide 11: Specialty Chemicals
Specialty Chemicals 2008 segment earnings growth in the high-single digits driven by strong commercial performance in BioPolymer, partially offset by higher raw material and energy costs and higher export taxes in Argentina
Slide 12: Industrial Chemicals
Asia 7% Alkali (Soda Ash) 52% Peroxygens 16% Foret 32% North America 48% Latin America 11% EMEA 34% Asia Pacific 7 % Industrial Chemicals #1 North American manufacturer of soda ash and peroxygens Low cost, proprietary production technologies Strategic Focus: • Managing for cash generation • Continue
Slide 13: Industrial Chemicals
Industrial Chemicals 2008 segment earnings more than double as aggregate price and volume benefits more than offset higher raw material costs
Slide 14: FMC in Summary
FMC in Summary Great businesses, each with EBITDA >$180 million Sustained double-digit earnings growth (1) • Diverse end-markets, low correlation to economic cycles • Aggregate pricing and volume leverage in Industrial Chemicals • Continued growth in Specialty Chemicals and Ag Products Strategic and
Slide 15: Glossary of Financial Terms & Reconciliations of GAAP to Non-GAAP
FMC Corporation Glossary of Financial Terms & Reconciliations of GAAP to Non-GAAP
Slide 16: Non-GAAP Financial Terms
Non-GAAP Financial Terms These slides contain certain “non-GAAP financial terms” which are defined below. In addition, we have provided reconciliations of non-GAAP terms to the closest GAAP term in the appendix of this presentation. EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortizat
Slide 17: Segment Financial Terms
Segment Financial Terms These slides contain references to segment financial items which are presented in detail in Note 20 of FMC’s third quarter 2008 Form 10-Q. Some of the segment financial terms are “non-GAAP financial terms” and are defined below. In addition, we have provided reconciliations o
Slide 18: Reconciliation of LTM 9/30/2008 income to EBITDA
Reconciliation of LTM 9/30/2008 consolidated income from continuing operations before income taxes (a GAAP measure) to LTM 9/30/2008 EBITDA (a Non-GAAP measure) EBITDA Reconciliation: LTM 9/30/2008 ( Unaudited , in $ millions ) LTM 9/30/2008 Income (loss) from continuing operations before income tax
Slide 19: Reconciliation of LTM 9/30/2008 segment operating profit to EBITDA
Reconciliation of LTM 9/30/2008 segment operating profit (a GAAP - measure) to LTM 9/30/2008 EBITDA (a Non-GAAP measure) (Unaudited, in millions) Segment EBITDA Reconciliation: LTM 9/30/2008 Segment Industrial Specialty Agricultural Chemicals Chemicals Products LTM 9/30/2008 segment operating profit
Slide 20: FMC Corporation
FMC Corporation
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