Aurubis Ag · XETR:NDA
Aurubis — Kepler Cheuvreux 23rd German Corporate Conference 2024
41 slides from Aurubis's conference presentation, Jan 15, 2024
Slide 1: Aurubis AG Metals for Progress
Aurubis AG Metals for Progress Kepler Cheuvreux 23rd German Corporate Conference 2024 Frankfurt January 15th, 2024
Slide 2: Copper makes the circular economy possible
Our metals for an innovative world: Copper makes the circular economy possible renewable energy e-mobility digitalization urbanization Aurubis Kepler Cheuvreux German Corporate Conference Frankfurt, January 15th, 2024
Slide 3: Closing the loop is part of Aurubis' integrated business model
Closing the loop is part of Aurubis’ integrated business model 28 30 34 45 46 47 Ni Zn Se Rh Pd Ag Copper cathodes Concentrates Smelting and Nickel sulfate refining Selenium Sulfuric acid 50 82 79 78 75 52 Sn Pb Au Pt Re Te Further processing Scrap/ intermediates Metals for progress Continuous cast
Slide 4: Lower concentrate throughput due to shutdown with strong demand for wire rod
Lower concentrate throughput due to shutdown with strong demand for wire rod Change vs. Change vs. FY 2022/23 prior year FY 2022/23 prior year Concentrate processing1 2,319,000 t -5 % Gold 49 t +4 % Copper scrap/ 515,000 t -5 % Silver 921 t +1 % blister copper input2 Other recycling materials2 565,0
Slide 5: Aurubis closes fiscal year with respectable results at the upper end of the last forecast
Aurubis closes fiscal year with respectable results at the upper end of the last forecast – despite criminal activities The financial impact of the criminal acts directed against Aurubis had a significant negative effect on fiscal year 2022/23 Operating EBT of ROCE Operating EBT at the upper end of
Slide 6: Criminal activities: Investigation moving forward at full speed
Criminal activities: Investigation moving forward at full speed Initial situation Actionability established Indications of significant deviations from the LKA investigating: ongoing and close estimated metal inventories and in individual samples cooperation with the authorities of specific shipmen
Slide 7: Criminal activities: Expanded level of knowledge
Criminal activities: Expanded level of knowledge Current status of investigation into criminal activities Trial started on December 12, 2023. We anticipate a guilty verdict. Theft that came to light in June No significant impact on FY 2022/23. It has been narrowed down to one material group –
Slide 8: Criminal activities: Security level increased
Criminal activities: Security level increased Financial impacts Security measures enacted Balancing inventories using a variety of reliable, Risk-based weak-point analysis: industry-standard estimation procedures Independent analysis of key critical areas These apply to stocktaking during inve
Slide 9: Solid balance sheet structure creates solid foundation for profitable, sustainable growth
Solid balance sheet structure creates solid foundation for profitable, sustainable growth 12M 12M 2022/23 2021/22 Target ROCE1 % 11.3 19.0 15.0 Equity ratio % 56.6 54.0 > 40.0 (equity/total assets) Debt coverage2 -0.4 -0.5 < 3.0 12M 12M Additional KPIs 2022/23 2021/22 Capital expenditure €m 633 362
Slide 10: Gross margin for the Group in FY 2022/23
Gross margin for the Group in FY 2022/23 Breakdown of income components in the Aurubis Group FY 2022/23 (prior-year figures in parentheses) 34 % (28 %) Treatment charges for concentrates + 27 % (38 %) recycling input Metal result ~ € 1,986 million* (~ € 2,240 million*) 39 % (34 %) Premiums + product
Slide 11: Lower energy costs were a significant driver of decrease in Group costs
Lower energy costs were a significant driver of decrease in Group costs Overview of cost/expense positions FY 2022/23 (prior-year figures in parentheses) 11 % (11 %) Depreciation and amortization 30 % (30 %) Personnel costs 13 % (12 %) Consumables ~ € 1,888 million* 14 % (12 %) (~ € 1,915 million*)
Slide 12: Significant decrease in energy prices
Significant decrease in energy prices Energy consumption/CO2 scopes in the Aurubis Group Breakdown of energy costs FY 2022/23 (prior-year figures in parentheses) Electricity consumption incl. oxygen in the Aurubis Group 65 % (74 %) CY 2022: approx. 1.85 TWh (PY: 1.94 TWh) Electricity incl. oxygen 29
Slide 13: Multimetal Recycling segment
Multimetal Recycling segment Breakdown of income components in MMR segment FY 2022/23 (prior-year figures in parentheses) 12M 12M Operating results 2022/23 2021/22 47 % (43 %) Refining charges 45 % (53 %) EBIT €m 177 206 Metal result for recycling input EBT €m 174 205 ROCE1 % 15.4 25.7 Quantities Ot
Slide 14: Custom Smelting & Products segment
Custom Smelting & Products segment Breakdown of income components in CSP segment 12M 12M FY 2022/23 (prior-year figures in parentheses) Operating results 2022/23 2021/222 EBIT €m 241 388 54 % (49 %) EBT €m 253 390 18 % (31 %) Premiums + ROCE1 % 13.0 18.7 Metal result products Quantities Concentrates
Slide 15: Dividend proposal for fiscal year 2022/23
Dividend proposal for fiscal year 2022/23 Aurubis dividend (in € per share) Dividend yield (in %) 3.3 1.80 3.1 1.60 1.40 2.5 Aurubis' growth strategy requires high 1.30 2.2 investments in the coming years 1.25 2.0 Strategic projects ensure considerable increase in overall group profitability in the
Slide 16: EBT between € 380 million and € 480 million
FY 2023/24 guidance Our forecast range Operating EBT Operating ROCE between € 380 million between 10 % and € 480 million and 14 % Operating EBT Operating ROCE in € million in % Group 380–480 10–14 Multimetal Recycling 60–120 5–9 Custom Smelting & Products 410–470 19–23 Aurubis Kepler Cheuvreux Germa
Slide 17: Our strategy builds on Aurubis' sound mission and covers relevant aspects for driving sustainable growth
Our strategy builds on Aurubis’ sound mission and covers relevant aspects for driving sustainable growth Secure Strengthen Pursue Core Business Core Business Growth Options Industry Leadership in Sustainability Enablers Digitalization, automation, and “Plant of the Future” Strategic resource man
Slide 18: Strategic investments and EBITDA impact to increase substantially
Strategic investments and EBITDA impact to increase substantially Short term Medium term Long term Currently approved Medium-term planning Until 2030 Strategic capex ~€ 1.7 billion Additional strategic capex is included Ambition and scale of our long-term approved in the medium-term planning and gro
Slide 19: Outflows from current project pipeline expected to peak in 2023/24
Outflows from current project pipeline expected to peak in 2023/24 Capex planning broken down into baseline and strategic Investment horizon of the Group (in € million) Baseline capex Strategic capex Depreciation The planned maintenance schedule of the two primary smelters in Hamburg and Pirdop wi
Slide 20: Aurubis Richmond: On the path to successful commissioning in 2024
Aurubis Richmond: On the path to successful commissioning in 2024 Aurubis Kepler Cheuvreux German Corporate Conference Frankfurt, January 15th, 2024 20
Slide 21: Aurubis Richmond – the leading processor of electric and electronic recycling materials in the US
Aurubis Richmond – the leading processor of electric and electronic recycling materials in the US EBITDA p.a. Pursue Growth Options Investment ~ € 80 million (by 2025/26) ~ € 740 million Aurubis Richmond complements and expands our international integrated smelter ~ € 170 million network with a high
Slide 22: Very attractive market environment: Relevant recycling materials to grow at ~5 % p.a. in North America
Very attractive market environment: Relevant recycling materials to grow at ~5 % p.a. in North America Pursuing growth in North America US-relevant recycling market Printed circuit boards Metal shredder supply Insulated copper (kt p.a.) (PCB) supply (kt p.a.) (kt p.a.) wire supply (kt p.a.) ~5% ~7%
Slide 23: New precious metal processing plant in Hamburg heightens security
New precious metal processing plant in Hamburg heightens security and enables additional strategic projects ~€ 300 million investment optimizes process chain and includes integrated security concept – multiple security levels for higher physical security Faster recovery of precious metals optimizes
Slide 24: Secure core business: Complex Recycling Hamburg (CRH)
Secure core business: Complex Recycling Hamburg (CRH) – further optimization of smelting process CRH Aurubis Kepler Cheuvreux German Corporate Conference Frankfurt, January 15th, 2024
Slide 25: CRH: Further optimization of the smelting process in Hamburg
Secure & strengthen core business CRH: Further optimization of the smelting process in Hamburg Secure Strengthen Core Business Core Business Investment EBITDA p.a. ~ € 190 million ~ € 40 million Aurubis is strengthening its core business and investing € 190 million for further (at full production) o
Slide 26: Pursue growth options: Test pilot for battery recycling in Hamburg
Pursue growth options Test pilot for battery recycling in Hamburg Battery recycling Aurubis Kepler Cheuvreux German Corporate Conference Frankfurt, January 15th, 2024
Slide 27: Lithium-ion batteries – exceptional value hidden in complex products
Lithium-ion batteries – exceptional value hidden in complex products, complex recycling material Batteries are complex scraps As the metal value in black mass is very high, that are of huge value capabilities to recover the value are essential Battery management system: Cu, Sn, Ag, Au, Pd Cables & c
Slide 28: Our innovative process for black mass leverages capabilities of our integrated smelter network
Our innovative process for black mass leverages capabilities of our integrated smelter network Black mass Benefits of the unique Aurubis process Innovative process route for black mass that utilizes ozone Li recovery Lithium High lithium recovery through Graphite Graphite, lithium first extraction s
Slide 29: Our sweet spot in the battery recycling value chain
Our sweet spot in the battery recycling value chain is based on Aurubis’ core expertise Electric vehicle End-of-life assembly lithium-ion batteries We are developing a fully-fledged battery recycling supply and value chain First steps taken with Librec, a specialist Cell & battery Collection & manuf
Slide 30: Aurubis could enter the commercial market in the second half of this decade
In line with projected market growth, Aurubis could enter the commercial market in the second half of this decade Regional supply of black mass for recycling (in kt) Europe US & Canada 2,414 1,985 938 801 310 314 8 7 75 90 2020 2025 2030 2035 2040 2020 2025 2030 2035 2040 Further pilot test work cam
Slide 31: We continue to lead our industry in sustainability
We continue to lead our industry in sustainability – minimizing emissions and costs, maximizing opportunities in new business areas We continue to strengthen our position as the most efficient and sustainable multimetal producer worldwide 1 2 Sustainability is a We strive for balance fundamental par
Slide 32: The Copper Mark certification demonstrates our leadership in sustainable production practices
The Copper Mark certification demonstrates our leadership in sustainable production practices The Copper Mark launched Focus on steady improvement Aurubis Beerse and Solberg for copper producers in of the sector's production certification in 2023 March 2020 practices expected Basis: Joint Due Dilige
Slide 33: Leading the way with life cycle assessments – substantially lower carbon footprints
Leading the way with life cycle assessments – and substantially lower carbon footprints than industry averages Copper cathodes (in kg CO2 eq./t Cu) Absolute Scope 1+2 CO2 emissions (in kt) 1,600 Global industry average Aurubis 1,310 800 2018 2022 2030 Scope 3 CO2 emissions (in kt)1 2022: 1,495 6,502
Slide 34: Our KPIs underline our sustainability ambitions and demonstrate momentum
Our KPIs underline our sustainability ambitions and demonstrate momentum Absolute Scope 1+2 CO2 emissions Scope 3 CO2 emissions Air emissions (dust) (in kt) (in kt)1 (in g per t of multimetal Cu equivalent)2 56.5 1,600 6,502 6,181 48.0 1,310 40.1 1 2 3 4,942 800 2018 2022 2030 2018 2021 2030 2018 20
Slide 35: Aurubis AG Metals for Progress
Aurubis AG Metals for Progress Kepler Cheuvreux 23rd German Corporate Conference 2024 Frankfurt January 15th, 2024
Slide 36: Financial calendar
Financial calendar Q1 2023/24 February 6, 2024 AGM (virtual) February 15, 2024 Q2 2023/24 May 8, 2024 Q3 2023/24 August 5, 2024 Annual Report 2023/24 December 5, 2024 Aurubis Kepler Cheuvreux German Corporate Conference Frankfurt, January 15th, 2024 36
Slide 37: Your IR contacts
Your IR contacts Angela Seidler Elke Brinkmann Ferdinand von Oertzen VP Investor Relations, Head of Investor Relations Senior Manager Investor Relations Corporate Communications +49 40 7883-2379 +49 40 7883-3179 & Sustainability e.brinkmann@aurubis.com f.vonoertzen@aurubis.com +49 40 7883-3178 a.sei
Slide 38: Aurubis at a glance
Based in Hamburg, Aurubis AG The company’s main expertise Aurubis develops its leading market is in optimally processing position with a responsible concentrates and recycling at a glance approach to the environment, raw materials with people and resources complex qualities The company, which was fo
Slide 39: Scheduled shutdowns in the next 3 years
Scheduled shutdowns in the next 3 years EBT effect from scheduled shutdowns (in € million) Status: December 2023 FY 2023/24 FY 2024/25 FY 2025/26 Smelter May until maintenance beginning of ~44 Hamburg July 2024 Anode May/June furnace ~6 2026 Hamburg Smelter Apr/ maintenance ~24 June 2025 Pirdop KRS
Slide 40: Primary copper production process
Primary copper production process Sulfuric acid plant Off-gas cleaning Copper scrap Copper concentrates Copper matte Blister copper (64 % Cu) (98 % Cu) Flash smelter Converter Anode furnace Copper Nickel sulfate (99.5 % Cu) Anode Cathode Anode slime Anode casting wheel Tankhouse Precious metal refin
Slide 41: Disclaimer
Disclaimer Forward-looking statements This document contains forward-looking statements that involve risks and uncertainties, including statements about Aurubis’ plans, objectives, expectations and intentions. Readers are cautioned that forward-looking statements include known and unknown risks and
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