Amrize Ltd · NYSE:AMRZ
Amrize — H1 2021 Earnings Presentation
30 slides from Amrize's earnings presentation, Jul 30, 2021
Slide 1: H1 2021 Results
H1 2021 RESULTS JAN JENISCH | CEO GÉRALDINE PICAUD | CFO JULY 30, 2021
Slide 2: Highlights and Key Developments
Torre Unipol, Milan - Italy 01. HIGHLIGHTS AND KEY DEVELOPMENTS JAN JENISCH | CHIEF EXECUTIVE OFFICER
Slide 3: H1 2021 Key Developments
H1 2021 KEY DEVELOPMENTS PROFITABLE GROWTH CONTINUES, RECORD RESULTS Future growth fueled with 7 bolt-on Growth momentum continues, acquisitions Net Sales up 16.6% LFL Successful start of Firestone Building Products Significant margin increase in all regions & segments At the forefront of Recurring
Slide 4: H1 2021 Key Performance
H1 2021 KEY PERFORMANCE PROFITABLE GROWTH CONTINUES, RECORD RESULTS NET RECURRING SALES EBIT +131% +56% +26% +14% +10% +7% +1% -3% -3% -3% -17% -26% Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q2 21 Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q2 21 % LFL 4
Slide 5: Firestone Building Products
FIRESTONE BUILDING PRODUCTS A SUCCESSFUL START AS OF APRIL 1ST, 2021 Strong market Expansion in Industry leader in DEMAND LATAM INNOVATION Growth in all product lines and Holcim GacoFlex TechoProtec Environmental and energy all regions launched in Mexico efficient solutions Volumes up 21% in Q2 Tham
Slide 6: Bolt-on Acquisitions and Asset Divestments
BOLT-ON ACQUISITIONS AND ASSET DIVESTMENTS FUTURE GROWTH FUELED WITH 7 BOLT-ON ACQUISITIONS Xtree France 20% stake in large scale 3D printing Beton Mobile / Canada / Montreal RMX Buhler Switzerland AGG Cemex France / Lyon AGG / RMX Edile Commerciale Italy / Milan RMX Heinrich Teufel Germany AGG / RM
Slide 7: At the Forefront of Innovative and Sustainable Building Solutions
AT THE FOREFRONT OF INNOVATIVE AND SUSTAINABLE BUILDING SOLUTIONS FURTHER STRENGTHENING OUR LEADERSHIP Holcim achieves 3D printing, a new language for ECOPact now available in Highest rating of A1+ concrete that is digital and 24 markets, across all five regions just environmental, from complex one
Slide 8: Global Roll Out of ECOPact
AT THE FOREFRONT OF INNOVATIVE AND SUSTAINABLE BUILDING SOLUTIONS GLOBAL ROLL OUT OF ECOPACT ACCELERATING THE GREEN CONCRETE Picture Placeholder North America Europe Middle East Africa Latin America Asia Pacific 2020 2020 2021 2020 2021 US | CANADA SWITZERLAND | QATAR | JORDAN COLOMBIA | MEXICO | IN
Slide 9: Financial Highlights
H1 2021 Yuhang Opera, Hangzhou - China 02. FINANCIAL HIGHLIGHTS GÉRALDINEPICAUD GÉRALDINE PICAUD| CHIEF | CHIEF FINANCIAL FINANCIAL OFFICER OFFICER
Slide 10: H1 2021 Performance Highlights
H1 2021 PERFORMANCE HIGHLIGHTS RECORD RECURRING EBIT, EPS AND FREE CASH FLOW GROWTH IN H1 NET RECURRING EPS2 FREE CASH SALES EBIT FLOW3 CHF CHF 1 1 +16.6% +4.9% VS H1 2019 +72.2% +35.5% VS H1 2019 1.43 PER SHARE 814 M CHF 12’556 M CHF 1’983 M +78% +9% Q2 2021 Q2 2021 +25.5%1 +55.8%1 CHF 7’194 M CHF
Slide 11: H1 2021 Volumes Development
H1 2021 VOLUMES DEVELOPMENT VOLUMES GROWTH IN ALL REGIONS +9% LFL -1% +6% M ton GROUP +18% M m3 vs 2020 +2% 22.2 56.1 9.9 +3% CEM AGG RMX +6% 9.1 45.2 4.7 +13% Europe +28% CEM AGG RMX North America +12% +43% +8% +12% +14% 17.8 2.0 1.4 +9% CEM AGG RMX 35.8 16.9 3.9 Middle East CEM AGG RMX 99.0 123.0
Slide 12: Net Sales Bridge
H1 2021 NET SALES BRIDGE STRONG INCREASE IN NET SALES +16.6% LFL -468 12’556 +1’770 10’693 +561 H1 2020 Scope LFL FX H1 2021 +17.4% CHF M 12
Slide 13: Recurring EBIT Bridge
H1 2021 RECURRING EBIT BRIDGE RECORD RECURRING EBIT, INCREASE OF 72.2% LFL +72.2% LFL +24 -3 -134 1’983 +255 +586 +61 1’194 H1 2020 Scope Volume Price over cost JVs contribution Depreciation FX H1 2021 +66.1% CHF M 13
Slide 14: Net Sales and Recurring EBIT by Segment
H1 2021 NET SALES AND RECURRING EBIT BY SEGMENT SIGNIFICANT MARGIN IMPROVEMENT IN ALL BUSINESS SEGMENTS CEMENT AGGREGATES RMX SOLUTIONS & PRODUCTS 1 CHF M 7’932 1’864 2’462 1’423 Net Sales +20.3% LFL +7.2% LFL +14.3% LFL +8.7% LFL Recurring EBITDA 2’343 357 108 121 after leases +36.1% LFL +42.1% LFL
Slide 15: Solutions and Products Business Unit
SOLUTIONS AND PRODUCTS BUSINESS UNIT SIGNIFICANT STEP ACHIEVED WITH NEW ROOFING SYSTEMS PLATFORM Roofing systems Q2 2021 Net Sales Solutions and Products Net Sales of CHF 499 m in Q2 Other regions Volumes up 9% 21% in Q2 30% • 61% Concrete Products, Asphalt, Europe Contracting & Services Net Sales o
Slide 16: Regional Performance
H1 2021 REGIONAL PERFORMANCE SIGNIFICANT MARGIN IMPROVEMENT IN ALL REGIONS +14.2% +1.4% +25.9% +3,6% +15.1% +48.8% +31.7% +78.7% +58.5% +76.7% +65.8% 2’984 380 1’269 425 3’886 469 1’162 198 2’998 713 North America Latin America Europe Middle East Africa Asia Pacific +2.5pp +5.3pp +3.3pp +4.8pp +5.7p
Slide 17: North America
NORTH AMERICA GOOD MOMENTUM AND STRONG OPERATING LEVERAGE Green city, New York - USA Q2 2021 H1 2021 CHF M Net Sales1 2’071 2’984 +6.6% LFL +1.4% LFL Recurring EBIT 433 380 +18.3% LFL +31.7% LFL 1 Net Sales to external customers → Strong market demand in the US, good recovery in Canada West → Demand
Slide 18: Latin America
LATIN AMERICA ANOTHER QUARTER OF OUTSTANDING PERFORMANCE Q2 2021 H1 2021 CHF M Net Sales1 655 1’269 +72.5% LFL +48.8% LFL Recurring EBIT 202 425 +92.1% LFL +78.7% LFL 1 Net Sales to external customers → Outstanding volumes growth in all business segments → New grinding station started in Merida, Mex
Slide 19: Europe
EUROPE GOOD MOMENTUM CONTINUES Extension of Kunsthaus Zürich - Switzerland Q2 2021 H1 2021 CHF M Net Sales1 2’243 3’886 +24.0% LFL +14.2% LFL Recurring EBIT 412 469 +53.9% LFL +58.5% LFL 1 Net Sales to external customers → Strong recovery in the UK, solid demand in France, continuous growth in Easte
Slide 20: Middle East Africa
MIDDLE EAST AFRICA STRONG PERFORMANCE Kenitra Train station - Morocco Q2 2021 H1 2021 CHF M Net Sales1 599 1’162 +27.3% LFL +15.1% LFL Recurring EBIT2 111 198 +110.2% LFL +76.7% LFL 1 Net Sales to external customers 2 Contribution from share of net income from JVs: CHF 35 m in H1 2021 vs. CHF 18 m i
Slide 21: Asia Pacific
ASIA PACIFIC REGION WITH THE HIGHEST MARGIN EXPANSION IN H1 Chengdu Yintai Center - China Q2 2021 H1 2021 CHF M Net Sales1 1’490 2’998 +36.8% LFL +25.9% LFL Recurring EBIT2 410 713 +53.1% LFL +65.8% LFL 1 Net Sales to external customers 2 Contribution from share of net income from JVs: CHF 167 m in
Slide 22: H1 2021 Financial Performance
H1 2021 FINANCIAL PERFORMANCE RECORD EPS INCREASE OF 78% CHF M H1 2020 H1 2021 Before impairment & Before impairment & Change divestments divestments Net Sales 10’693 12’556 1’863 RECURRING EBITDA after leases 2’152 2’928 777 +36% Depreciation & amortization -958 -945 12 RECURRING EBIT 1’194 1’983 7
Slide 23: H1 2021 Free Cash Flow
H1 2021 FREE CASH FLOW1 RECORD FREE CASH FLOW OF CHF 814 M CHF M H1 2020 H1 2021 Change RECURRING EBITDA after leases 2’152 2’928 777 Right of use assets 184 176 -8 Change in net working capital -314 -879 -565 Income taxes paid -254 -328 -75 Net financial expenses paid & FX -264 -217 46 Share of pro
Slide 24: Net Financial Debt Bridge
NET FINANCIAL DEBT BRIDGE STRONG FREE CASH FLOW SUPPORTING FIRESTONE ACQUISITION CHF M +136 12’438 +307 +1’222 10’652 -2’501 +3’436 -814 NFD 1 FCF 2 FCF 2 Disposals / Group Non-controlling Others NFD 1 June 2020 H2 2020 H1 2021 acquisitions shareholders interests June 2021 1 Excluding hybrid bond Di
Slide 25: Outlook and Guidance 2021
H1 2021 03. OUTLOOK AND GUIDANCE 2021 JAN JENISCH | CHIEF EXECUTIVE OFFICER JAN JENISCH | CHIEF EXECUTIVE OFFICER JAN JENISCH | CHIEF EXECUTIVE OFFICER Cepovett head office – France - Architect: Agence AUM Pierre Minassian / Photo: ©Studio Erick Saillet
Slide 26: Outlook and Targets 2021
OUTLOOK AND TARGETS 2021 GROWTH TRENDS TO CONTINUE IN 2021, GUIDANCE UPGRADED Growth momentum continues in all regions, supported as of H2 2021 by various stimulus programs Unleash Firestone growth platform, continue acceleration of bolt-on acquisitions Accelerated progress towards 2030 sustainabili
Slide 27: Strategy 2022 Targets to Be Achieved One Year in Advance
STRATEGY 2022 TARGETS TO BE ACHIEVED ONE YEAR IN ADVANCE STRATEGY 2022 2021 OUTLOOK NET 3%-5% LFL SALES P.A. RECURRING AT LEAST 7% EBIT LFL P.A. CASH CONVERSION > 40% ROIC > 8% LEVERAGE BELOW 2x 27
Slide 28: Upcoming Events
UPCOMING EVENTS OCTOBER 29, 2021 Q3 2021 Trading Update NOVEMBER 18, 2021 Capital Markets Day FEBRUARY 25, 2022 Full-Year 2021 Results APRIL 22, 2022 Q1 2022 Trading Update 28
Slide 29: Disclaimer
DISCLAIMER These materials are being provided to you on a confidential basis, may not be distributed to the press or to any other persons, may not be redistributed or passed on, directly or indirectly, to any person, or published or reproduced, in whole or in part, by any medium or for any purpose.
Slide 30: Holcim
HOLCIM