Omv Ag · VIE:OMV

Omv — OMV Aktiengesellschaft — Q2 2020 Earnings Presentation

19 slides from Omv's earnings presentation, Jul 29, 2020

  1. Slide 1: Q2 2020 Results Conference Call

    Q2 2020 Results Conference Call Rainer Seele Chairman of the Executive Board and CEO July 29, 2020 OMV Aktiengesellschaft

  2. Slide 2: Disclaimer

    Disclaimer This report contains forward-looking statements. Forward-looking statements may be identified by the use of terms such as “outlook,” “expect,” “anticipate,” “target,” “estimate,” “goal,” “plan,” “intend,” “may,” “objective,” “will”, and similar terms or by their context. These forward-loo

  3. Slide 3: Macro environment – all indicators down significantly

    Macro environment – all indicators down significantly Oil prices USD/bbl OMV indicator refining margin USD/bbl 69 70 62 63 6 5.5 5.0 4.9 60 66 50 5 59 61 50 4 3.2 40 47 30 3 2.3 30 Average Brent price 20 2 Average realized crude price 26 10 1 0 0 Q2/19 Q3/19 Q4/19 Q1/20 Q2/20 Q2/19 Q3/19 Q4/19 Q1/20

  4. Slide 4: Key messages

    Key messages FINANCIAL STRONG DELIVERING THE PERFORMANCE OPERATIONS STRATEGY Clean CCS Operating Result of Quarterly production of Signed MoU with Lafarge, EUR 145 mn (–86% y-o-y) with a 464 kboe/d VERBUND and Borealis to substantial deterioration in capture and utilize CO2 on an Production cost Ups

  5. Slide 5: Clean CCS Operating Result substantially impacted by lower oil and gas prices and reduced demand

    Clean CCS Operating Result substantially impacted by lower oil and gas prices and reduced demand Clean CCS Operating Result Clean CCS net income attributable Clean CCS Earnings Per Share EUR mn to stockholders EUR Upstream Corporate & Other, Consolidation EUR mn Downstream 1,047 1.56 510 650 699 137

  6. Slide 6: Upstream – significantly weaker oil and gas market environment and no sales in Libya

    Upstream – significantly weaker oil and gas market environment and no sales in Libya Clean Operating Result Q2/20 vs. Q2/19 EUR mn  Significantly weaker market environment  Average realized oil price decreased by 61% (802) -123%  Average realized gas price decreased by 32% 650  Positive FX impac

  7. Slide 7: Downstream – significantly weaker market environment, partially offset by positive hedging impact and higher gas contribution

    Downstream – significantly weaker market environment, partially offset by positive hedging impact and higher gas contribution Clean CCS Operating Result Q2/20 vs. Q2/19 EUR mn  Weaker market environment (118)  Refining indicator margin at USD 2.3/bbl (-29%) 428  Ethylene/propylene net margins at

  8. Slide 8: Cash flow from operating activities excluding net working capital effects of EUR 1.3 bn in first six months of 2020

    Cash flow from operating activities excluding net working capital effects of EUR 1.3 bn in first six months of 2020 Organic cash flow 6m/20 Cash flows 6m/20 vs. 6m/19 EUR bn  Decrease of EUR 966 in cash flow from operating activities excl. net working capital change 2.2  Net working capital effect

  9. Slide 9: Healthy balance sheet

    Healthy balance sheet Net debt excluding leases, Gearing ratio excluding leases EUR bn, % 26% End of June 2020 In Q2/20 issued senior bonds, OMV cash position in particular for financing the 22% Borealis deal 1 21% 19% EUR 5.8 bn EUR 3.25 bn 19% End of June 2020 OMV Remaining OMV undrawn committed c

  10. Slide 10: Borealis deal and divestment projects progressing well

    Borealis deal and divestment projects progressing well Acquisition of controlling interest in Borealis  Regulatory approvals on track  Joint project to identify synergies underway  Closing expected by year-end Divestment of share in Gas Connect Austria  Binding offer received from VERBUND  Ongo

  11. Slide 11: Updated outlook 2020

    Updated outlook 2020 2019 Outlook 2020 Brent oil price (USD/bbl) 64 40 Average realized gas price (EUR/MWh) 11.9 <10 (previously ~10) 450–470 Total hydrocarbon production (kboe/d) 487 (previously 440–470 1) OMV European indicator refining margin (USD/bbl) 4.4 ~3.0 (previously ~4.0) Ethylene/propylen

  12. Slide 12: OMV sets new, more ambitious emissions targets for 2025

    OMV sets new, more ambitious emissions targets for 2025 SCOPE 1 – target 2025 (vs. 2010) SCOPE 3 – target 2025 (vs. 2010) Reduce the carbon intensity of operations 1 by Reduce the carbon intensity of product portfolio 2 by ≥30% (previously 19%) >6% (previously 4%)  ≥60% share of low and zero carbon

  13. Slide 13: Net-zero Emissions in Our Operations by 2050

    Net-zero Emissions in Our Operations by 2050 13 | OMV Group, Q2 2020 Conference Call, July 29, 2020

  14. Slide 14: BACKUP

    BACKUP OMV Aktiengesellschaft

  15. Slide 15: Upstream – significantly weaker market environment partially offset by lower exploration expenses

    Upstream – significantly weaker market environment partially offset by lower exploration expenses Clean Operating Result Q2/20 vs. Q1/20 EUR mn  Significantly weaker market environment (289)  Realized oil price decreased by 45% 137  Realized gas price decreased by 25%  Production of 464 kboe/d (

  16. Slide 16: Downstream – lower earnings due to a significant lower refining margin and reduced demand

    Downstream – lower earnings due to a significant lower refining margin and reduced demand Clean CCS Operating Result Q2/20 vs. Q1/20 EUR mn  Weaker market environment (192)  Significantly lower refining margin at USD 2.3/bbl (-54%) 501  Lower ethylene/propylene net margin (-14%) Borealis & ADNOC

  17. Slide 17: Operational KPIs

    Operational KPIs Hydrocarbon production Refined product sales Retail sales kboe/d mn t mn t 490 472 464 5.38 1.63 4.60 1.44 4.16 1.23 Q2/19 Q1/20 Q2/20 Q2/19 Q1/20 Q2/20 Q2/19 Q1/20 Q2/20 Hydrocarbon sales Refinery utilization rate Natural gas sales kboe/d % TWh 484 96 94 48.0 446 434 79 235 182 173

  18. Slide 18: Strong balance sheet

    Strong balance sheet Balance sheet June 30, 2020 vs. March 31, 2020 EUR bn 42.3 42.9 42.9 42.3 Stockholders’ equity 12.7 12.9  Retail network in Germany reclassified to assets Tangible & 19.0 intangible assets 19.2 held for sale in Q2/20 Non-controlling interests 3.7 3.9 Trade payables 2.4 3.5  Bo

  19. Slide 19: OMV Aktiengesellschaft

    OV OMV OMV Aktiengesellschaft ouv OMV

OMV Aktiengesellschaft — Q2 2020 Earnings Presentation on 6ix