Suominen Oyj · OMXHEX:SUY1V
Suominen Oyj — Q3 2024 Earnings Presentation
36 slides from Suominen Oyj's earnings presentation, November 2024
Slide 1: Investor Presentation, Q3/2024
“INVESTOR an PRESENTATION, Q3/2024
Slide 2: Content
CONTENT Suominen in brief Financials Strategy Sustainability ¢ R&D Market highlights Appendix We create innovative and sustainable nonwovens for our customers @) BIOLACE® FIBRELLA® ©) HYDRASPUN® ® GENESIS® NOVONETTE” & spc” > SUOMINEN WETLAID
Slide 3: Suominen in brief
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Slide 4: Suominen in brief
ie) OoOO0000 lomo) fe) SUOMINEN IN BRIEF « Nonwovens as roll goods for wipes and other applications ¢ The frontrunner in nonwovens innovation and sustainability * Business areas: Europe 36% and Americas 64% of net sales Net sales in 2023, EUR million 450.9 In 2023, sales of sustainable products incr
Slide 5: Executive team
EXECUTIVE TEAM Tommi Bj6rnman Janne Silonsaari Jonni Friman Markku Koivisto President & CEO CFO EVP, Transformation EVP, EMEA & CTO Management Office Interim EVP, Americas & suominen
Slide 6: Suominen has a strong global presence
Suominen has a strong global presence USA 2954 Green Bay @ Windsor Locks a Bethune @ SPAIN 682 Alicante @ @ BRAZIL 604 Paulinia FINLAND 152 4 Nakkila Espoo, head office ITALY 98 & Cressa Our main market areas are Europe and North America. We also hold a strong position in the South American markets
Slide 7: Suominen's position in the nonwovens value chain
Suominen’s position in the nonwovens value chain Suominen is the global market leader in nonwovens for wipes, and among the largest spunlace nonwovens producers in the world. The global demand for nonwovens is growing continuously. The growth depends mainly on consumer demand, which is a combination
Slide 8: Investment highlights
INVESTMENT HIGHLIGHTS Nonwovens markets are growing in all regions _—" Legislation and consumer behavior are driving the need for more sustainable products and we are very well placed to respond to this growing demand Q CN Our organization and strategy give us an excellent basis to continue to devel
Slide 9: Financials
Slide 10: Financials
FINANCIALS Comparable EBITDA, EUR million 60.9 Net sales, EUR million 600 500 A314 458.9 443.2 “ A1L4 400 300 - 7" Cash flow from operations, EUR million 200 60 57.0 50 100 40 321 a99 30.7 0 30 20 14.0 & 2 © » 14.1 S Sy Vv SS 10 0 -10 -2.6 Ss SF SK KX KX LK oe
Slide 11: Quarterly financials
Quarterly financials Comparable EBITDA, EUR million 5.2 5.3 5.0 5.0 Net sales, EUR million 160 140 434.9 133.1 116.8 118.7 120 M27 6a 114.9 113.6 111.6 Q3/22 Q4/22 Q1/23 Q2/23 Q3/23 Q4/23 Q1/24 Q2/24 Q3/24 100 8 Cash flow from operations, EUR million 20 15.6 60 G 13.1 4 10 64 80 5 3.3 24 20 @ -5 “2.
Slide 12: President & CEO's review — Q3/2024
President & CEO's review — Q3/2024 During the third quarter our net sales increased by 5% and were EUR 111.6 million (106.4). Our sales volumes, sales prices as well as sales margins increased from Q3/2023. Currencies impacted the net sales negatively by EUR 14 million Our quarterly comparable EBITD
Slide 13: Equity ratio stable
Equity ratio stable EUR million Leverage multiple & components 180 EI *L12M a 2.1K veo 140 149 120 417 100 109 101 80 60 58 59 40 20 ZT | 38 0 2018 2019 2020 2021 2022 2023 mmm |nterest-bearing liabilities Cash and cash equivalents ‘Comparable EBITDA e Leverage The leverage multiple has varied a lot
Slide 14: Outlook
lone) (oe) (oe) OoO0O00000000 CO00000000 O00000000 SS See OEE I ee ee TTT Te & Suominen OUTLOOK NOVEMBER 6, 2024 Suominen expects that its comparable EBITDA (earnings before interest, taxes, depreciation and amortization) in 2024 will increase from 2023. In 2023, Suominen’'s comparable EBITDA was EU
Slide 15: Financial targets 2020-2025
Financial targets 2020-2025 Net sales growth during the period: above relevant market growth Howto Growth get there? products * Innovation and launching new products to capture market share * Targeted investments to improve capabilities and increase capacity * Focus on fast-growing sustainable Geari
Slide 16: Strategy
Slide 17: Mission, vision and strategy
Mission Vision Enabling our customers to win Frontrunner for nonwovens by creating quality nonwovens innovation and sustainability Strategy: Growth and profitability through sustainability, customer focus and efficiency We will grow by creating innovative and more sustainable nonwovens for our custo
Slide 18: Strategy highlights Q3/2024
Strategy highlights Q3/2024 ecovadis Sustainability Rating JUL 2024 Suominen awarded Gold Medal from its 2024 EcoVadis assessment Suominen has taken part in the EcoVadis assessment in 2024 for the third time and improved its score from a Silver Medal level to a Gold Medal level. This result places S
Slide 19: Strategy highlights in 2023
Strategy highlights in 2023 Investment project to further strengthen our capabilities in sustainable nonwovens in l Nakkila, Finland lea Closure of Mozzate plant in Italy to improve the competitiveness of European business Sales of sustainable products increased by 79%* Share of new products exceede
Slide 20: Sustainability and R&D
Slide 21: Sustainability
SUSTAINABILITY Sustainability is at the core of our strategy and business. Our vision is to be the frontrunner in nonwovens innovation and sustainability. Sustainability is an integral part of all our operations. Sustainability Agenda 2020-2025 Suominen’s sustainability agenda crystallizes the susta
Slide 22: Our sustainability agenda 2020-2025 and KPIs
Our sustainability agenda 2020-2025 and KPI's * Zero LTA (lost time accidents) + Engagement index 73% by 2025 Reduction targets are set per ton of product + 20% reduction of energy consumption * 20% reduction of process waste to landfill * 20% reduction of water intake * 20% reduction of emitted gre
Slide 23: Progress in sustainability targets in 2023
Progress in sustainability targets in 2023 * 12 sustainable product launches + Sustainable products: 79% increase of sales from base year 2019 * 6 lost-time accidents (LTA) + Engagement index 66% Reduction targets are set per ton + Renewed Code of Conduct of product. Results in 2023: < 'Q coverage:
Slide 24: Sustainable Development Goals - Suominen
WIEST OOOOCNONONONOOO eee ee eee eee OOO OC OCOOOOO Sustainable Development Goals - Suominen The Sustainable Development Goals (SDG) adopted by the United Nations in 2015 define international sustainable development focus areas and goals. We have identified three SDG’s which cover the areas where we
Slide 25: Sustainability ratings and initiatives
Sustainability ratings and initiatives ecovadis Sustainability Rating ‘JUL 2024 EcoVadis Suominen scored 77/100 points in the assessment in 2024 and received a Gold level rating. The result places Suominen in the top 5% of all the companies rated by EcoVadis and top 1% of companies rated by EcoVadis
Slide 26: Sustainability defined by Suominen
Sustainability defined by Suominen WY o™ COMPOSTABLE Nonwovens are compostable according to the international compostability standards and are made of only fibers from renewable resources. RENEWABLE Nonwovens made of variety of renewable materials from biobased plastics to natural fibers MOIST TOILE
Slide 27: R&D
R&D Suominen'’s vision is to be the leader in nonwovens innovation and sustainability. Sustainability is also one of the key themes in our R&D. Suominen is a pioneer in producing sustainable nonwovens, and our versatile R&D team has excellent Know-how in sustainable fibers. Our pilot lines at Nakkil
Slide 28: Pioneer in sustainable products, strong R&D
oo00000000 -O0O0O0000000 “OO0O0O0000000 ~~ 2 Sa TO —~ a —~ &, Suominen Pioneer in sustainable Strong Technology fit to products R&D sustainable nonwovens —- \ & BIOLACE® sustainable product 15 R&D professionals Aarti taeteeraale . . iT Paritalto sine Oey Focus on sustainability and We invented the w
Slide 29: R&D highlights
R&D highlights ARTICLE October 29, 2024 Suominen's BIOLACE® product family — Pioneering biodegradable and compostable nonwovens READ MORE > Stock Exchange Release ‘August 9, 2024 Suominen invests in increasing capacity in sustainable products by establishing a new production line at its Alicante sit
Slide 30: New Fiber Center
New Fiber Center Target is to collaborate and — | Pamples offibers in the pipeline: onboard novel sustainable + Bast fibers fibers at Suominen —— * Regenerated fr ¢ Pilot and testing facilities in cellulose fiber / Finland and US * Native cellulose man-made fiber * Carding and wetlaid * Bonding: spu
Slide 31: Market highlights
Slide 32: Nonwovens markets are growing in all regions
Nonwovens markets are growing in all regions We are the leaders both in the spunlace and wipes nonwovens markets The demand for wipes is expected to remain above pre-COVID-19 levels Legislation and consumer behavior are driving for more sustainable products and we have excellent opportunities to mee
Slide 33: Consumers believe they can make a difference
believe they can make a difference through their everyday choices and actions in 2022
Slide 34: Appendix
{—_ Suominen PURE NORDIC QUALITY
Slide 35: DIX
DIX N — in suede
Slide 36: Suominen history
Suominen Suominen Alicante, Bethune Green Bay Paulinia J.W. Suominen 1898 C.H. Dexter & Sons 1767 a as Le Tecnofibra/ Fiberweb 1971 = | | Green Bay Nonwovens 1997 wv Suominen