Kordsa Teknik Tekstil A.s. · BIST:KORDS
Kordsa Teknik Tekstil A.s — FY2022 Earnings Presentation
18 slides from Kordsa Teknik Tekstil A.s's earnings presentation, Feb 24, 2023
Slide 1: Earnings Release
Kordsa.com Earnings Release Feb 24, 2023
Slide 2: Disclaimer
Disclaimer The information and opinions contained in this document have been compiled by KORDSA Teknik Tekstil Anonim Şirketi (the “Company”) from sources believed to be reliable and in good faith, but no representation or warranty, expressed or implied, is made as to their accuracy, completeness or
Slide 3: Agenda
AGENDA 01. 02. 03. 2022 in Brief Market Dynamics Key Financials 04. 05. ESG Focus Highlights/ Lowlights 3
Slide 4: Global Footprint and Kordsa Market Position
4 Global Footprint NORTH AMERICA Kordsa Market Position +47% vs. 2021 EMEA #1 NY TCF producer #1 PET TCF producer Anaheim, CA İstanbul İzmit Quakertown, PA NA Santa Ana, CA Laurel Hill, NC San Marcos, CA Chattanooga, TN Pistoia, Italy #1 NY TCF producer in US Thailand Indonesia SA Indonesia Composit
Slide 5: 2022 Results vs 2021
5 2022 Results REVENUE EBITDA MARGIN vs 2021 1,154 MUSD 11.7% All Hard- Currency 135 MUSD 30% ↑ YOY NET INCOME VOLUME XXX 94 MUSD 2% nearly same as 2021 Recessional slow down
Slide 6: Segment Reporting Results
6 Segment Reporting Results Dec, 22 Revenue Split Dec, 21 Revenue Split By Region By Product By Region By Product Other; Other; 2% 6% Composite, 10% Asia; Composite; Asia; 26% EMEA; 11% 28% EMEA; 33% 34% SA; 11% SA; 12% TCF & TCF & NA; Yarn; NA; Yarn; 30% 83% 27% 88%
Slide 7: Market Dynamics / Tire
7 Market Dynamics / Tire Global Automotive Market (million units) Global Tire Market (million units) 90 95 74 77 82 85 3.0 1,694 1,753 1,815 1,871 3.0 1,510 1,691 3.0 3.0 2.0 3.0 16.0 17.0 70 74 6,4% 14.0 15.0 5,9% 63 62 66 13.0 13.0 3,6% 5,5% 54 1,1% 4,1% 189 3,6% 191 4,0% 22.0 23.0 12,2% 185 -0,5%
Slide 8: Market Drivers / Composite
8 Market Drivers / Composite Global Prepreg Market (MUSD) Global Carbon Fiber Textile Market (MUSD) 3,834 4,024 4,313 4,663 5,082 4,988 3,349 1,504 1,674 1,799 1,927 2,076 1,396 1,137 184 2,311 179 1,486 2,165 173 166 212 1,901 2,028 157 7,5% 7,1% 200 433 1,798 103 11,3% 187 7,8% 411 32,9% 14,5% 5,0
Slide 9: Kordsa Income Statement YE'22
9 Kordsa Income Statement YE’22 USD Financials (MUSD) 2021 2022 D 1Q'22 2Q'22 3Q'22 4Q'22 Sales 888 1,154 30.0% 299 300 286 269 Gross Profit 195 210 7.9% 74 54 44 38 Gross Margin (%) 21.9% 18.2% -4 pts' 24.9% 18.1% 15.4% 14.0% OPEX (%) 11.0% 9.9% -1 pts' 9.0% 9.4% 9.4% 11.7% Operating Profit 149 103
Slide 10: 2022 Key Financials
10 2022 Key Financials Tire Price……………….66 M Tire Price……………….44 M Tire Price……………….34 M Tire Price……………….16 M Tire Volume…………….8 M Tire Volume…………….28 M Tire Volume…………….1 M Tire Volume…………….(21) M Tire Mix...……………..…3 M Tire Mix...……………..…7 M Tire Mix...……………..…0 M Tire Mix...……………..…(2) M Composi
Slide 11: 2022 Key Financials
11 2022 Key Financials Sales .............…………....94 M Sales .............…………....98 M Sales .............…………...51 M Sales .............…………....23 M Raw Materials………… (68) M Raw Materials………… (84) M Raw Materials………… (53) M Raw Materials………… (28) M Energy &Labor .……..…...1 M Energy &Labor .……..….(1
Slide 12: Well-Positioned for Strong Cash Generation
12 Well-Positioned for Strong Cash Generation Average Working Capital Turnover Net Debt / EBITDA -0.8pp 2.8 2.6 2.2 35.0% 2.0 2.0 31.9% 30.6% 30.2% 29.6% 4Q'21 1Q'22 2Q'22 3Q'22 4Q'22 4Q'21 1Q'22 2Q'22 3Q'22 4Q'22 Amount Avg. Int. Rates INVENTORIES UP 31% Y-O-Y M$ 31.12.2021 31.12.2022 % Driven by s
Slide 13: Kordsa Sustainability Targets and Awards & Recognition
13 Kordsa Sustainability Targets Kordsa Awards & Recognition Kordsa Involved in COP27 Kordsa’s Head of Sustainability Nevra Aydoğan delivered a speech at the Best 2030 Examples From Turkish Private Sector 46.2 % Emission Session of the Green Transition Journey of Reduction the Private Sector Panel 2
Slide 14: Highlights & Lowlights
14 HIGHLIGHTS & LOWLIGHTS HIGHLIGHTS LOWLIGHTS COMPOSITE REINFORCEMENT GLOBAL RECESSION Based on market research, recovery process are rapidly accelerating Cost and availability of funds could be more challenging starting from 2H’23 Expectation for global recession is bringing more competition from
Slide 15: Thank You
Thank You THE REINFORCER
Slide 16: Well-Positioned for Strong Cash Generation and Dividends
16 Well-Positioned for Strong Cash Generation and Dividends • Demonstrates value-based pricing model FX exposure • Ability to pass through raw material price volatility: 4% 1% (Revenue – raw material costs) tracked as a KPI by sales team 6% 1% 22% • Conversion costs as a key metric for management KP
Slide 17: Well-Positioned for Strong Cash Generation and Dividends
17 Well-Positioned for Strong Cash Generation and Dividends • Demonstrates value-based pricing model FX exposure • Ability to pass through raw material price volatility: 1% (Revenue – raw material costs) tracked as a KPI by sales team 6%4% 22% 6% • Conversion costs as a key metric for management KPI
Slide 18: Balance Sheet
18 Balance Sheet TL Financials (MTL) USD Financials (MUSD) YE 2021 YE 2022 D YE 2021 YE 2022 D Cash and Cash Equivalents 195 237 42 15 43 28 Account Receivables 2.566 3.557 991 193 206 14 Inventories 2.989 3.744 756 224 294 70 Other Current Assets 436 580 144 33 53 20 PPE & Intangibles 5.238 5.972 7
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