Azelis Group N.v. · EURONEXT:AZE
Azelis — FY2021 Earnings Presentation
21 slides from Azelis's earnings presentation, Mar 15, 2022
Slide 1: Full Year 2021 Results
Full Year 2021 Results March 2022
Slide 2: Agenda
Agenda Dr. Hans Joachim Müller Group CEO 1• Key developments & business update 2• Financial performance 3• Outlook Thijs Bakker Group CFO 4• Q&A 2 2021 Azelis group. All rights reserved © 2022
Slide 3: Disclaimer
Disclaimer This document may contain statement relevant to Azelis Group NV (the “Company”) and/or its affiliated companies (collectively “Azelis” or the “Azelis Group”) which are not historical facts and are hereby identified as “forward-looking statements”. Such forward looking statements, include,
Slide 4: Key developments & business update
Key developments & business update 4 © 2022 Azelis group. All rights reserved
Slide 5: Record year of achievements
Record year of achievements Strong momentum Increased profitability Progress on initiatives Balance sheet • 27.2% total revenue • 32.7% increase in gross • 50+ customer portals • Stable Operating CF growth profit launched despite elevated NWC levels to support strong • 15.7% organic growth • 41.3% i
Slide 6: Business update: Strong momentum in 2021
Business update: Strong momentum in 2021 15.7% organic growth • Strong end-market demand supported by positive economic tailwinds • Organic growth acceleration in Q4 to 22.3% • Strong growth in both Life Sciences and Industrial Chemicals • Double-digit organic growth in all regions • Volume growth u
Slide 7: Double-digit organic growth across all regions
Double-digit organic growth across all regions EMEA: Continued strengthening of footprint Americas: Strong momentum across end markets Asia Pacific: Regional growth strategy acceleration 66 -12 1,232 144 71 -18 1,164 158 1,034 953 143 4 431 46 238 FY 2020 Org M&A FY 2021 FY 2020 Org M&A FY 2021 FY 2
Slide 8: Innovation in Life Sciences: Food & Health
Innovation in Life Sciences: Food & Health Bringing oat milk mainstream • Develop an oat milk consumer product for a customer Innovation • Control viscosity, eliminate slimy mouthfeel, and Challenge deliver desired viscosity and sweetness • To develop this sustainable formulation, our team used a co
Slide 9: Innovation in Industrial Chemicals: CASE
Innovation in Industrial Chemicals: CASE Longer product life span at lower cost • Azelis was asked by a principal to help solve issues with viscosity and opacity with their TiO2 in printing Innovation ink compared to a competitive TiO2 Challenge • Azelis identified a customer that would benefit from
Slide 10: Our commitment to sustainability
Our commitment to sustainability Action 2025 Our commitment Progress in 2021 of our revenue from of our revenue in Sustainable TfS*-assessed 2021 was from Formulations 80% principals targeted 50% TfS-assessed by 20251 principals reduction in Scope reduction Minimized 1 & 2 carbon 50% intensity targe
Slide 11: Financial performance
Financial performance 11 © 2022 Azelis group. All rights reserved
Slide 12: Group P&L highlights 2021
Group P&L highlights 2021 Azelis Group Highlights Reported Reported Constant Q4 ‘21 Q4 ‘20 2021 2020 (EUR m) Change Change Currency Life Sciences 498.6 334.9 48.9% 1,758.9 1,383.2 27.2% 28.1% Industrial Chemicals 291.0 199.4 45.9% 1,068.4 839.7 27.2% 28.8% Group Revenue 789.6 534.3 47.8% 2,827.3 2,2
Slide 13: Headline growth 2021
Headline growth 2021 Azelis Performance F/X M&A Organic Total 2021 2020 (EUR m) Contribution Contribution Growth Growth EMEA 1,232.3 1,034.2 -1.2% 6.4% 13.9% 19.2% Americas 1,164.2 952.6 -1.8% 7.5% 16.5% 22.2% Asia Pacific 430.8 237.7 1.7% 60.2% 19.4% 81.2% Group Revenue 2,827.3 2,222.9 -1.2% 12.6%
Slide 14: Regional financial update
Regional financial update EMEA Americas Asia Pacific 42.8% 50.8% 41.0% 10,2% 47.8% 11,8% +19.2% Adjusted EBITA Margin Adjusted EBITA Margin 9,5% €1,232 10,0% +22.2% €1,164 34.4% Adjusted EBITA Margin € 1,034 Revenue € 953 Revenue 6,9% 31.3% +81.2% € 431 Revenue 6,3% € 238 2020 2021 2020 2021 2020 20
Slide 15: Net Profit
Net Profit Azelis Group 2021 2020 Net profit drivers (EUR m) Operating profit 207.8 147.2 • € 28m of one-off cash and non-cash Net financial expense -87.5 -68.1 costs related to IPO Financial income 0.7 4.9 • 2021 ETR driven by (pre) IPO- Financial expense -88.3 -73.0 related costs for which no tax
Slide 16: 2021 Cashflow Bridge
2021 Cashflow Bridge Group Cashflow CF Drivers 288 2021 2020 (EUR m) 268 Operating profit 207.8 147.2 Amortization 39.5 33.3 208 Adjustments 20.6 9.1 182 Adjusted EBITA 267.9 189.6 FCF conversion ratio 67.1% Depreciation 19.9 17.6 Adjusted EBITDA 287.8 207.2 Change in working capital -70.7 9.0 Lease
Slide 17: Working Capital
Working Capital Working Capital Evolution of NWC* Receivables Inventory Payables 15.3% 11.1% 467 9.2% 10.9% 262 268 256 376 167 200 218 -247 -227 -235 -369 20 18 20 19 20 20 20 21 2018 2019 2020 2021* DSO 32 34 35 44 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec DIO 49 44 43 55 DPO 47 38 38 44 201
Slide 18: Net debt
Net debt 5.3x -205 -50 -880 +67 +19 2.7x +28 +634 1,124 871 +72 +18 +44 Net Debt 31 Dec Operational CF Equity raise June IPO proceeds Income tax Interest paid Capex M&A Leases IPO/Funding-related FX & Others Net Debt 31 Dec Net2020 Debt IPO/Funding Net Debt Operational Equity2021 raised IPO Interest
Slide 19: Outlook
Outlook 19 © 2022 Azelis group. All rights reserved
Slide 20: Outlook
Outlook Our strategy of driving growth is underpinned by a continually strengthening lateral value chain, supported by investments in innovation capabilities and digitalization, as well as a commitment to sustainability to create long-term value. In line with this, we are positive that we should be
Slide 21: Q&A Contact Investor Relations
Q&A Contact Investor Relations investor-relations@azelis.com +32 (0) 478 51 23 89 21 © 2022 Azelis group. All rights reserved