Kloeckner & Co SE · XETR:KCO

Kloeckner & — Klöckner & — Q2 2023 Earnings Presentation

23 slides from Kloeckner &'s earnings presentation, Aug 2, 2023

  1. Slide 1: Q2 2023 Results

    Q2 2023 RESULTS Press Conference Call August 2, 2023 Guido Kerkhoff | CEO

  2. Slide 2: Disclaimer

    DISCLAIMER This presentation contains forward-looking statements which reflect the In addition to the key figures prepared in accordance with IFRS and current views of the management of Klöckner & Co SE with respect to German-GAAP respectively, Klöckner & Co SE is presenting non-GAAP future events.

  3. Slide 3: Agenda

    AGENDA 1. Highlights and update on strategy 2. Outlook 3. Appendix 3 Klöckner & Co SE | Q2 2023 Results | Press Conference

  4. Slide 4: Highlights of Q2 2023

    HIGHLIGHTS OF Q2 2023 Q2 2023 Q2 2022 Shipments (Tto) 1,158 1,226 -5.5% Down yoy due to challenging market environment, especially in Europe Sales (€m) 1,967 2,580 -23.8% Decrease due to considerably lower average price level yoy Gross profit (€m) 335 508 -34.1% Down yoy due to less favorable price

  5. Slide 5: EBITDA (€m) in Q2 2023

    EBITDA (€M) IN Q2 2023  Solid EBITDA-performance despite challenging market -28 environment  Negative volume effect due to muted demand in the light of the price correction and challenging macroeconomic -145 222 environment, particularly in Europe 1 -1 13  Negative price effect due to significant

  6. Slide 6: Klöckner & Co SE | Q2 2023 Results | Press Conference

    ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ Klöckner & Co SE | Q2 2023 Results | Press Conference

  7. Slide 7: Klöckner & Co SE | Q2 2023 Results | Press Conference

    ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ Klöckner & Co SE | Q2 2023 Results | Press Conference

  8. Slide 8: Leading the Sustainability Transformation

    LEADING THE SUSTAINABILITY TRANSFORMATION Launch of Nexigen® Data Services  Offering smart and digital management of CO2-emissions and Product Carbon Footprints (PCFs)  Built on and driven by the Nexigen® PCF Algorithm  Solution offers extended PCF order history as well as transparent insights 

  9. Slide 9: Agenda

    AGENDA 1. Highlights and update on strategy 2. Outlook 3. Appendix 9 Klöckner & Co SE | Q2 2023 Results | Press Conference

  10. Slide 10: Region Specific Business Outlook 2023

    REGION SPECIFIC BUSINESS OUTLOOK 2023 North America +1-3% Real steel Construction Manufacturing, Transportation Household & Energy demand industry machinery & mechanical Commercial industry engineering Appliances Europe -2-0% 10 Klöckner & Co SE | Q2 2023 Results | Press Conference

  11. Slide 11: Outlook

    OUTLOOK Q3  Shipments and Sales expected to increase considerably qoq  EBITDA expectation of €40-80m before material special effects 2023*)  Shipments expected to increase slightly yoy; sales expected to be below prior-year due to lower FY overall price level  EBITDA expectation of €220-280m bef

  12. Slide 12: Agenda

    AGENDA 1. Highlights and update on strategy 2. Financials 3. Outlook 4. Appendix 12 Klöckner & Co SE | Q2 2023 Results | Press Conference

  13. Slide 13: Quarterly and FY Results

    QUARTERLY AND FY RESULTS Q2 Q1 Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 FY FY FY FY FY (€m) 2023 2023 2022 2022 2022 2022 2021 2021 2021 2021 2020 2020 2020 2020 2022 2021 2020 2019 2018 Shipments (Tto) 1,158 1,213 1,047 1,148 1,226 1,257 1,108 1,190 1,295 1,287 1,195 1,242 1,070 1,365 4,679 4,881 4,873

  14. Slide 14: Segment Performance

    SEGMENT PERFORMANCE KM US Shipments (Tto) Sales (€m) EBITDA (€m) +1.7% 599 598 -23.5% 588 561 1,216 80 1,158 65 504 46 905 929 930 38 4 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 KM EU Shipments (Tto) Sales (€m) EBITDA*) (€

  15. Slide 15: Strong and Solid Balance Sheet

    STRONG AND SOLID BALANCE SHEET Solid equity ratio of 50%, gearing*) of 31% and leverage of 4.8x Assets Equity & Liabilities 3,859 3,826 3,859 3,826 1,033 1,048 1,968 1,929 51% 50% 1,633 1,517 760 688 38 33 940 1,070 785 891 73 179 96 96 308 285 Dec 31, 2022 Jun 30, 2023 Dec 31, 2022 Jun 30, 2023 Non

  16. Slide 16: Maturity Profile

    MATURITY PROFILE Facility Committed Drawn amount €m Jun 30, 2023 (€m) Jun 30, 2023 Jun 30, 2023 Dec 31, 2022 Adjusted equity4) 1,912 Syndicated Loan 250 40 25 Net Debt 596 ABS Europe1) 300 160 159 Gearing5) 31% ABL USA 598 18 155 Leverage6) 4.8x Convertible 20162) 141 141 139 Bilateral Facilities3)

  17. Slide 17: Sales by Markets, Products and Industries

    SALES BY MARKETS, PRODUCTS AND INDUSTRIES Sales by markets Sales by products Sales by industries 3% 3% 1% 8% 9% 5% 2% 8% 11% 14% 31% 7% 47% 51% 12% 10% 27% 13% 14% 24% USA Flat products Construction Germany/Austria Long products Manufacturing, Machinery, Mechanical Engineering Switzerland Aluminum T

  18. Slide 18: Share Price Performance in Q2 2023

    SHARE PRICE PERFORMANCE IN Q2 2023 110%  The capital market environment in Q2 2023 was 105% characterized by the rate hikes of central banks to tame inflation and the debt-ceiling standoff in the United States  The share price of Klöckner & Co remained mostly flat in the 100% beginning of Q2, reac

  19. Slide 19: Dividend Policy

    DIVIDEND POLICY In general, Klöckner & Co SE follows a dividend policy of  Inclusion of our general dividend policy in financial distributing 30% of net income before special items. year 2010 with a dividend of €0.30 per share Given the volatility of our business model, a sustainable  Due to earni

  20. Slide 20: Our Ambitious Climate Targets

    OUR AMBITIOUS CLIMATE TARGETS SCOPE 1 & 2: SCOPE 3 SCOPE 3 OWN DIRECT AND UNDER DIRECT NOT UNDER DIRECT INDIRECT EMISSIONS INFLUENCE INFLUENCE Reduction of 50% Reduction of 50% Reduction of 30% by 2030 by 2030 by 2030 Net zero by 2040 Net zero by 2040 Net zero by 2050 20 Klöckner & Co SE | Q2 2023 R

  21. Slide 21: Nexigen Steel Categorization

    21 NEXIGEN® STEEL CATEGORIZATION Six categorizations for transparent carbon emissions We have developed a categorization for CO2-reduced steel so that customers can directly see the carbon footprint of their purchased product. Emission in kg CO2 / t Steel LEADING THE SUSTAINABILITY TRANSFORMATION Ou

  22. Slide 22: A Comprehensive Approach

    A COMPREHENSIVE APPROACH Nexigen® categorizations for stainless steel & aluminum Stainless Steel Emission in kg CO2 / t stainless steel Aluminum Emission in kg CO2 / t aluminum 22 Klöckner & Co SE | Q2 2023 Results | Press Conference

  23. Slide 23: Contact and Financial Calendar

    Christian Pokropp FINANCIAL CALENDAR Head of Corporate Communications | October 31, 2023 Head of Group HR Q3 quarterly statement 2023 +49 203 307-2050 christian.pokropp@kloeckner.com www.kloeckner.com 23 Klöckner & Co SE | Q2 2023 Results | Press Conference

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