Kemira Oyj · OMXHEX:KEMIRA
Kemira Oyj — Investor Day (November 2020)
14 slides from Kemira Oyj's investor day presentation, Nov 19, 2020
Slide 1: Industry & Water: Increasing focus on water treatment
CAPITAL MARKETS DAY 2020 Industry & Water: Increasing focus on water treatment ANTTI SALMINEN PRESIDENT, INDUSTRY & WATER
Slide 2: We have strengthened our business and improved profitability since 2017
We have strengthened our business and improved profitability since 2017 OPERATIVE EBITDA AND OPERATIVE EBITDA MARGIN DEVELOPMENT 1. BUSINESS FUNDAMENTALS: EUR • Two segments merged into one in 2017 million % • Streamlining of business and product portfolio, including 200 192 18.5% 20 optimization of
Slide 3: We have significantly improved profitability in North American water treatment
We have significantly improved profitability in North American water treatment Key actions since 2017 to improve profitability • Organization restructuring in 2018 • Disciplined price and cost management • Focus on customer profitability NORTH AMERICA WATER TREATMENT REVENUE AND MARGIN DEVELOPMENT 2
Slide 4: Our polymer investment in the Netherlands serves growing CEOR market
Our polymer investment in the Netherlands serves growing CEOR market • Capacity addition announced in October 2017, facility fully operational with positive EBITDA contribution as of Q1 2020 • Manufacturing facility serves offshore CEOR • Investment includes capacity addition as well as improves bac
Slide 5: Profitability has remained strong in 2020 despite volatility in shale
Profitability has remained strong in 2020 despite volatility in shale WATER TREATMENT 1-9 2020 OIL & GAS 1-9 2020 Revenue: Municipal water treatment (2/3 of water treatment Revenue: Significantly down due to shale and oil revenue) revenue grew slightly, industrial water treatment sands tailings, sli
Slide 6: Looking to the future
Looking to the future NOVEMBER 19, 2020 CAPITAL MARKETS DAY 2020 6
Slide 7: COVID-19 impact clear on shale, but remaining I&W business areas continue to be resilient
COVID-19 impact clear on shale, but remaining I&W business areas continue to be resilient short and long-term SHORT TERM IMPACT LONG TERM IMPACT EXPECTED CAGR OF COVID-19 OF COVID-19 2020-2026* Municipal Marginal drop in volumes due to lower activity mainly Expected to grow with around GDP Water in
Slide 8: APAC, CEOR and oil sands tailings provide strong growth opportunities
APAC, CEOR and oil sands tailings provide strong growth opportunities GROWING NEED FOR POLYMERS WATER TREATMENT IN APAC OIL SANDS TAILINGS CEOR • Largest and fastest growing • Market growth driven by regulatory • Exploration and drilling of new water treatment market liability to treat tailings from
Slide 9: Regulation continues to support growth in European water treatment market
Regulation continues to support growth in European water treatment market Regulation under update Comments & Implications Urban • Basis for wastewater treatment business in Europe Wastewater • Target to better enforce existing legislation in all countries Treatment Directive • Other potential improv
Slide 10: Water treatment customers focus increasingly on sustainability
Water treatment customers focus increasingly on sustainability • Consumers increasingly aware of sustainability issues • Water treatment customers increasingly focused on reducing CO2 footprint • Kemira survey shows customers are willing to pay a premium for biobased products • Micropollutant remova
Slide 11: We will increase focus on water treatment to further improve sustainability of portfolio
We will increase focus on water treatment to further improve sustainability of portfolio 24% WE WILL CREATE AN ACTION PLAN TO FURTHER IMPROVE THE SUSTAINABILITY of current raw materials PROFILE OF THE I&W PORTFOLIO from recycled sources Further improve the circularity of our business by increasing s
Slide 12: Our focus is to maintain profitability while increasing focus on growth
Our focus is to maintain profitability while increasing focus on growth PRIORITIZED GROWTH ACTIONS FURTHER PROFITABILITY • Increase focus on sustainable IMPROVEMENT water treatment business and ON-GOING look for growth, particularly in Oil & Gas profitability • Disciplined price and cost APAC • Cost
Slide 13: Kemira - Chemistry for a water intensive world
KEMIFA 100 bemisty
Slide 14: We have strong positions particularly in EMEA water treatment
We have strong positions particularly in EMEA water treatment Market position Market outlook EMEA Water treatment1,2) #1 North America Water treatment1) #1 APAC Water treatment2) #9 Oil & Gas CEOR2) #6 Shale2) #2 Oil Sands Tailings2) #2 NOVEMBER 19, 2020 CAPITAL MARKETS DAY 2020 I&W main product lin