Sensient Technologies Corporation · NYSE:SXT
Sensient Technologies — Investor Presentation (March 2019)
23 slides from Sensient Technologies's investor presentation, Mar 14, 2019
Slide 1: Investor Presentation March 2019
Investor Presentation March 2019 Sensient Technologies Corporation
Slide 2: Forward-looking statements
sensient.com This document contains statements that may constitute “forward-looking statements” within the meaning of Federal securities laws. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors concerning the
Slide 3: Non-GAAP Financial Measures
sensient.com Within this document, the Company reports certain non-GAAP financial measures, including: (1) adjusted operating income and adjusted diluted EPS from continuing operations (which exclude restructuring and other costs as well as the impact of the Tax Cuts and Jobs Act (“2017 Tax Legislat
Slide 4: Innovative Technologies Creating Unique Solutions
sensient.com Innovative Technologies Creating Unique Solutions Ingredient solutions serving Food & Beverage, Personal Care, and Industrial marketsApplications expertise and solutions-based sellingHigh impact relative to costTechnically-driven products that are difficult to replaceStable and consiste
Slide 5: Global Revenues
sensient.com Global Revenues ColorFood & Beverage ColorsPersonal Care IngredientsDigital Inks & Technical ColorsPharmaceutical Excipients Flavors & FragrancesSweetSavoryBeverageNatural IngredientsFragranceBionutrients 2018Revenue$1.4 B Sensient’s three reportable segments are the Flavors & Fragrance
Slide 6: Geographic Revenue
Geographic Revenue North America 52%Europe 25%Asia Pacific 15%RoW 8% sensient.com Sales information provided by geographic location is portrayed based on sales to third party customers.
Slide 7: Sensient Colors
Sensient Colors sensient.com Global market leaderGrowing end marketsUnmatched innovation & applications expertise
Slide 8: Color Group Markets Served
Color Group Markets ServedPercent of Group Revenues sensient.com 55% 28% 5% 12% BUSINESS POSITION TREND Food & Beverage Colors Top player Natural colors Personal Care Ingredients Top player Continuous Innovation Digital Inks & Technical Top player Innovation,Sustainability Pharmaceutical Excipients
Slide 9: Color Group
Color Group sensient.com Higher operating margin through mix improvementIncreased operating incomeWell-positioned to take advantage of strong commercial trendsCulled non-strategic, low margin business Operating Incomeand Margins in USD millions
Slide 10: Sensient Flavors & Fragrances
Sensient Flavors & Fragrances sensient.com Broad product offeringUnique ability to service global, regional, and local customersLeading technology platformsUnmatched applications expertise
Slide 11: Flavors & Fragrances Group Markets Served
Flavors & Fragrances Group Markets ServedPercent of Group Revenues sensient.com 18% 8% 30% 14% 7% 23% BUSINESS POSITION TREND Sweet Top 10 Clean labels, natural flavors, extracts, sugar-free, salt-reduction, taste-masking, organic Savory Top 10 Beverage Top 10 Natural Ingredients Top player Fragranc
Slide 12: Flavors & Fragrances Group
Flavors & Fragrances Group Completed restructuring program in 2017; culled and divested non-strategic and low margin business, and consolidated manufacturing footprint to improve operating efficienciesEmphasis on high-value added product portfolio mix and cost optimization to achieve margin improvem
Slide 13: Flavors & Fragrances Competition
Flavors & Fragrances Competition sensient.com BeverageFlavors & Systems SavoryFlavors & Ingredients SweetFlavors & Ingredients Natural Ingredients Fragrance Bionutrients
Slide 14: Asia Pacific Group
Asia Pacific Group Sales of Flavors and Colors in the Asia Pacific markets are reported as a separate segment that is managed on a geographic basisManufacturing capabilities in Australia, New Zealand, China, Japan, Philippines; R&D capabilities in Singapore, Thailand, Indonesia, and ChinaAnnual reve
Slide 15: ESG Information
ESG Information sensient.com Environmental Sensient is committed to the principles of sound environmental stewardship and the responsible and sustainable use of energy and natural resources. Established 10-year goals to reduce Energy, Water, and Hazardous Waste Intensity by 2025Seed-to-shelf program
Slide 16: 2018 Consolidated Results
sensient.com 2018 Consolidated Results Q4 Full Year Local Currency Revenue* +0.8% +1.1% Local Currency Adjusted Operating Income* (8.0%) (6.5%) Local Currency Adjusted EPS* (3.6%) +3.2% Q4: Revenue growth driven by Food Colors, offset by softness in the Cosmetics market and certain Flavors product c
Slide 17: 2018 Q4 & Full Year Segment Results
sensient.com 2018 Q4 & Full Year Segment Results Local Currency Revenue* Q4 Full Year Color 4.0% 4.8% Flavors & Fragrances (0.5%) (1.1%) Asia Pacific 0.2% 0.1% Color Group fourth quarter revenue increase driven by growth in Food Colors, partially offset by Cosmetics destocking. Operating income decl
Slide 18: Capital Allocation
sensient.com Capital Allocation Prioritize ROI capital projectsPreserve consistent dividend payoutMaintain financial flexibility to pursue M&AExcess capital returned to shareholders through opportunistic share repurchases
Slide 19: 2019 Financial Outlook
2019 Financial Outlook sensient.com * Local-currency revenue, operating income, and adjusted EBITDA are Non-GAAP metrics, please see our GAAP to Non-GAAP Reconciliation at sensient.com.
Slide 20: Why Invest?
Why Invest? sensient.com Strong competitive position‘Sticky’ business (& low portion of customer costs)Global presenceExposure to stable and growing marketsFocus on improving returns and on growth
Slide 21: EPS Calculations may not foot due to rounding
sensient.com EPS Calculations may not foot due to rounding differences
Slide 22: Percentage change in 2018 results compared to 2017
‘The following table summaries the percentage change in the 2018 results compared to the 2017 results for the corresponding periods in the respective financial measures, ‘Three Months Ended December 31, 2018 Twelve Months Ended December 31, 2018 Foreign Foreign Exchange Local Exchange Local Revenue
Slide 23: Sensient
—uaar» SENSIENT sensient.com —_—s SENSIENT 23 sensient.com
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