Ansell Limited · ASX:ANN
Ansell — Shareholder Meeting (October 2012)
25 slides from Ansell's shareholder meeting presentation, Oct 22, 2012
Slide 1: Chairman's Address & CEO Presentation - 2012 AGM
Ansell Limited A.B.N. 89 004 085 330 Level 3, 678 Victoria Street Richmond, Victoria 3121, Australia GPO Box 772 Melbourne Victoria 3001, Australia Telephone (+613) 9270 7270 For personal use only Facsimile (+613) 9270 7300 www.ansell.com 22 October 2012 Manager Companies Company Announcements Offic
Slide 2: Chairman's Address 2012 Annual General Meeting
CHAIRMAN’S ADDRESS For personal use only 2012 ANNUAL GENERAL MEETING Ladies and Gentlemen, When we last met in October 2011, I informed you that while Ansell faced an uncertain global economy our businesses overall were performing as expected. It is pleasing to be able to report to you that in the 2
Slide 3: Chairman's Address (continued)
Products, a business that provides high end chemical protective suits and other protective products to first responders, military and industrial customers and in August 2012 the Company announced the acquisition of the Comasec glove business. Ansell is committed to protecting the environment and min
Slide 4: Chairman's Address (conclusion)
I have had the pleasure of working with a very strong global Board of extremely capable Directors and a highly talented management team. I leave Ansell secure in the knowledge that the leadership of our Company is in the best of hands. Finally, I would like to thank you, our shareholders. It has alw
Slide 5: Ansell Limited Annual General Meeting
For personal use only Ansell Limited Annual General Meeting Magnus Nicolin Chief Executive Officer & Managing Director 22 October 2012
Slide 6: Disclaimer
Disclaimer For personal use only The following presentation has been prepared by Ansell Limited for information purposes only. The presentation may contain forward looking statements or statements of opinion. No representation or warranty is made regarding the accuracy, completeness or reliability o
Slide 7: Results Summary
F’12 – Results Summary For personal use only Statutory Result in Results in Operating Australian Dollars Currency – US Dollars F’11 F’12 F’11 F’12 A$M A$M US$M US$M Sales 1,219.8 1,218.3 1,206.9 1,255.3 Earnings Before Interest & Taxes (EBIT) 138.8 149.4 136.9 153.2 Profit Attributable (PA) 122.7 13
Slide 8: Overview
F’12 - Overview For personal use only Positives Negatives Sexual Wellness terrific performance Fusion ERP delays and adverse financial Industrial’s sales solid despite European impact economic slowdown and Fusion Medical GBU sales challenges Specialty Markets EBIT improving Higher raw material costs
Slide 9: A Solid Year
F’12 – A Solid Year For personal use only F’11 F’12 Change Sales ($M) 1,206.9 1,255.3 + 4% EBIT ($M) 136.9 153.2 + 12% PA ($M) 121.7 133.0 + 9% EPS (¢) 91.6 101.4 + 11% 5
Slide 10: Emerging Markets expansion continues
F’12 – Emerging Markets expansion continues For personal use only Russia Other EMEA • Growth YOY +24% • Growth YOY +17% • 3% of global sales • 4% of global sales China (CIS, Turkey, • Growth YOY +39% Poland, CEE) • 4% of global sales India • Growth YOY +23% Latin America & • 2% of global sales Carib
Slide 11: New Product Launches taking off in F'13
F’12 - New Product Launches taking off in F’13 For personal use only 25 Number of New Product Launches 20 15 10 5 0 2010 2011 2012 2013 H1 H2 7
Slide 12: Heightened Business Development Activity
F’12 - Heightened Business Development Activity For personal use only During the year there were: 3 Acquisitions - Sandel Medical Industries - Trelleborg Protective Products - Shanghai FTC Limited 2 Minority Stakes - Yulex Corporation - Lakeland Industries Inc 1 Partnership - Koreca Industry Co 1 Te
Slide 13: Comasec SAS acquisition announced
F’12 – Comasec SAS acquisition announced For personal use only Founded in 1948, Comasec manufactures and distributes industrial and consumer gloves (HHG, DIY, gardening gloves) and other protection equipment. With its HQ in Gennevilliers, France, and two manufacturing plants in Malaysia and Portugal
Slide 14: Industrial GBU Overview
F’12 - Industrial GBU Overview For personal use only 40% of Revenue and 51% of Segment EBIT $M F’11 F’12 General Purpose/Mechanical - HyFlex® 178.1 194.1 9% All Regions up. Strong H2 for NA & LAC - Other GP/M 117.7 116.0 -1% EMEA slowdown Chemical/Liquid Handling - AlphaTec® 6.2 8.9 43% Strong growt
Slide 15: Industrial GBU New Product Development
F’12 - Industrial GBU For personal use only New Product Development HyFlex® 11-518 Gloves First to market ultra light 18 gauge EN Level 3 cut resistance. Made from Dyneema yarn (on global exclusivity) and with thin polyurethane coating HyFlex® 11-644 Gloves Dynamic mix of lightweight high abrasion a
Slide 16: Specialty Markets GBU Overview
F’12 - Specialty Markets GBU Overview For personal use only 14% of Revenue and 4% of Segment EBIT $M F’11 F’12 General Purpose 14.4 14.5 1% Construction/DIY up, Food down Chemical/Liquid Handling – HHG Retail/Consumer 28.8 32.1 11% Prices up in both Consumer and Industrial – HHG Industrial 49.1 52.4
Slide 17: Specialty Markets GBU New Product Development
F’12 - Specialty Markets GBU For personal use only New Product Development Oil, Gas & Mining Vertical Military & First Responders Vertical ACTIVARMR® Flame Resistant ACTIVARMR® Flame Resistant Impact Gloves Utility Gloves First to market flame Military grade seamless knit resistant impact solution c
Slide 18: Medical GBU Overview
F’12 - Medical GBU Overview For personal use only 28% of Revenue and 24% of Segment EBIT $M F’11 F’12 Surgical: NRL 186.8 187.9 1% Lower NA and AP Vol offset by EMEA ASP Synthetic 38.2 44.8 17% Volumes up 29%; All regions contributed Exams: NRL 69.7 52.0 -25% Volumes down 38%; Margins up Synthetic 5
Slide 19: Medical GBU New Product Development
F’12 - Medical GBU For personal use only New Product Development Gammex® – Sensoprene® Gloves Best in Class surgical glove; thinnest PC blend on the market and is also accelerator and natural rubber latex free ReCap-It™ – Syringe Recapping Card New Sandel addition to its Sharps Injury Prevention lin
Slide 20: Sexual Wellness GBU Overview
F’12 - Sexual Wellness GBU Overview For personal use only 18% of Revenue and 21% of Segment EBIT $M F’11 F’12 ® ® Condoms: Branded 154.8 167.2 8% Line extensions, SKYN , Zero , Emerging Markets growth Tenders/Private 26.6 26.2 -2% Private Label up, Tenders down Label Lube/Devices/Other 19.2 23.9 24%
Slide 21: Sexual Wellness GBU New Product Development
F’12 - Sexual Wellness GBU For personal use only New Product Development 1. ™ – Essential Intimate 3. Ring Bottle Lubricant Range Freshness Products A new range of wash and intimate wipes, ph friendly formula, allergen free fragrance With 4 lubricants and 1 massage gel 2. LifeStyles® – Fun BumpsTM 4
Slide 22: Portfolio Performance
F’12 - Portfolio Performance For personal use only F’12 v. SALES $1,255m 4% EBIT $153m 12% F’11 Industrial SM Medical SW Industrial SM Medical SW NA LAC EMEA AP Total > +5% From 0% to +5% < 0% 18
Slide 23: Strong EPS/Dividend Growth and Cash Generation
F’12 – Strong EPS/Dividend Growth and Cash Generation For personal use only US¢ A¢ 100 35 EPS Dividends 80 28 60 21 40 14 EPS (US¢) 20 7 Dividends (A¢) 0 0 F'08 F'09 F'10 F'11 F'12 $M 120 Free Cash Flow 100 80 60 40 20 0 F'08 F'09 F'10 F'11 F'12 Note: Fusion capex spend in F’10, F’11 and F’12 was $1
Slide 24: F'13 – Business Outlook
F’13 – Business Outlook For personal use only Externally: Global economic environment proving a challenge in APAC, Europe and North America and now also effecting emerging markets Improved currency outlook Raw Material prices remaining low Internally: Tough environment, however guidance achievable F
Slide 25: F'13 – Guidance Reconfirmed
F’13 – Guidance Reconfirmed For personal use only Ansell’s year on year sales growth through September has been lower than planned, as the recovery in North America from F’12’s Fusion impacted Q1 was more than offset by economic weakness in our EMEA region. GPADE margins to sales have remained solid