Titan S.a. · EURONEXT:TITC

Titan — Titan Cement International — Q1 2023 Earnings Presentation

21 slides from Titan's earnings presentation, May 11, 2023

  1. Slide 1: Financial Results – 1st Quarter 2023

    Financial Results – 1st Quarter 2023 TCI Investors’ and Analysts’ Presentation Nicosia, 11 May 2023 1 OYMPIA ODOS, GREECE

  2. Slide 2: Further strong sales and profitability growth.

    Further strong sales and profitability growth. • Very strong start to the year. Sales at €588.1m, up 29.3%, in a seasonally low quarter. Driven by increased demand in key markets thanks to mild weather conditions and good pricing performance. • A leap in EBITDA at €107.1m, up 131% vs a below-normal

  3. Slide 3: Start of the year with high sales and EBITDA growth.

    Start of the year with high sales and EBITDA growth. Group Sales Group EBITDA Group NPAT 29.3% 130.8% 3277.0% 133.5 588.1 60 600 120 60.7 1st Quarter 107.1 454.6 43.0 44.3 90 400 40 60 46.4 200 20 30 1.3 0 0 0 Sales Variance Sales EBITDA Variance EBITDA NPAT Variance NPAT 2022 2023 2022 2023 2022 20

  4. Slide 4: 12-month rolling financials highlight performance growth.

    12mo-rolling financials highlight performance growth. Group Sales Group EBITDA Group NPAT 34.3% 47.6% 95.9% 617.1 2,415.6 400 126.4 391.9 2,600 12-month rolling 180 152.6 1,798.5 265.5 74.7 1,950 300 135 1,300 200 77.9 90 650 100 45 0 0 0 12MR Sales Variance 12MR Sales 12MR EBITDA Variance 12MR EBIT

  5. Slide 5: Sales growth exceeded cost inflation resulting in higher profitability.

    Sales growth exceeded cost inflation resulting in higher profitability. Variance In Million Euros, unless otherwise stated Q1 2023 Q1 2022 Q1 23 vs Q1 22 Sales 588.1 454.6 29.3% Cost of Goods Sold -429.5 -364.5 17.8% Gross Margin (before depreciation) 158.6 90.1 76.0% SG&A -53.3 -45.1 18.2% Other In

  6. Slide 6: Rise in most domestic cement, ready-mix and aggregates volumes.

    Rise in most domestic cement, ready-mix and aggregates volumes. All cement exports directed to Group US and European terminals. 1st Quarter Sales Volume +5% 2022 4 .0 3 .8 2023 +8% 5 .0 4 .6 +7% -100% 1.3 1.4 0 .13 0 .0 Cement (1), (2) Cement (2) Aggregates(2) Ready-mix(2) Domestic Exports (tn m) (m

  7. Slide 7: Seasonal increase of net debt by €40m to €838m.

    Seasonal increase of net debt by €40m to €838m. Continued investment program and higher working capital needs. Sources and Uses of Cash Q1 2023 Operating Free Cash Flow (€ in millions) 107 5 ( 5 0) €-20m 100 75 ( 8 2) 50 25 ( 4 0) 0 (4) (4) ( 1 2) -25 (3) 2 -50 -75 -100 EBITDA Non-Cash CapEx Operati

  8. Slide 8: Group net debt at €838m. Leverage ratio dropped to 2.12x.

    Group net debt at €838m. Leverage ratio dropped to 2.12x. Strong EBITDA growth led to rapid reduction of Net Debt / EBITDA ratio. Group Net and Gross Debt Evolution (€ in millions) * Net Debt / EBITDA calculation as per the RCF covenant rules. 1,254 377 28% 260 600 72% 293 105 85 199 46 90 72 28 8 Q

  9. Slide 9: Overview of markets by region

    Overview of markets by region

  10. Slide 10: Continued strength of US economy supports Titan America sales and profitability growth.

    Continued strength of US economy supports Titan America sales and profitability growth. Resilient market demand in Florida, Virginia, Carolinas and NY. USA Sales USA Sales USA EBITDA 36.7% 217.4% 80 400 45.4 66.3 97.4 362.9 1st Quarter 60 300 265.5 40 200 20.9 100 20 0 0 Sales Variance Sales EBITDA

  11. Slide 11: Construction activity in Greece on growth trajectory.

    Construction activity in Greece on growth trajectory. Sales growth combined with manufacturing excellence. Greece Greece & WESales & WE Sales Greece & Corporate EBITDA Greece & Corporate EBITDA 30.3% 85.7% 80 400 1st Quarter 60 300 40 200 21.8 93.8 8.1 17.5 72.0 20 100 9.4 0 0 Sales Variance Sales E

  12. Slide 12: SEE Sales growth in Q1 2023 supported by favorable weather.

    SEE Sales growth in Q1 2023 supported by favorable weather. Higher profitability as energy cost softens. SEESales SEE Sales SEE EBITDA SEE EBITDA 31.5% 68.0% 80 400 1st Quarter 60 300 40 200 20.1 83.8 7.3 18.0 100 63.7 20 10.7 0 0 Sales Variance Sales EBITDA Variance EBITDA 2022 2023 2022 2023 16.8%

  13. Slide 13: EMED volatile environment.

    EMED volatile environment . Good performance in Turkey while softening demand in Egypt. EMEDSales EMED Sales EMED EMEDEBITDA EBITDA -11.2% -0.7% 80 400 1st Quarter 60 300 40 200 100 20 53.4 -5.9 47.5 5.4 5.4 0 0 Sales Variance Sales EBITDA Variance EBITDA 2022 2023 2022 2023 10.1% EBITDA Margin 11.4

  14. Slide 14: Brazil – Joint Venture: Cimento Apodi

    Brazil – Joint Venture: Cimento Apodi* $ 1,069.3 Q1 2023 Apodi (100%) 2023 2022 Sales (€m) 29.5 22.5 $ 200.7 $ 200.6 EBITDA (€m) 3.5 2.7 * Consolidated on an equity basis • In Brazil, Q1 cement demand reached 14.7m tons 1.2% lower y-o-y, affected by intense rainfalls, high inflation and interest rat

  15. Slide 15: Accelerating the pace towards net zero

    Accelerating the pace towards net zero 2023 Q1 Highlights Highlights Specific net CO2 emissions (Scope 1) 700 675 672 (kg/t cementitious product) ▪ 6.8% lower net specific CO2 emissions vs. 2022 Q1 652 650 ▪ Record high 20.2% alternative fuels substitution 619 597 ▪ Record low 77.1% clinker-to-cemen

  16. Slide 16: Outlook

    Outlook

  17. Slide 17: Outlook

    Outlook Global economic conditions signal a tentative stabilization and resilience. • US economy remains strong. In our regions, low housing inventories and demand for multifamily housing covers the decline in single-family residential. Demand for commercial and infrastructure consumption is expecte

  18. Slide 18: Appendix

    Appendix

  19. Slide 19: Group Balance Sheet 31 March 2023

    Group Balance Sheet 31 March 2023 Variance In Million Euros, unless otherwise stated 31 Mar' 23 31 Dec' 22 Mar 23 vs Dec 22 Property, plant & equipment and inv. Property 1,649.6 1,675.7 -26.1 Intangible assets and goodwill 357.7 364.7 -7.0 Investments/Other non-current assets 141.3 141.7 -0.4 Non-cu

  20. Slide 20: Disclaimer

    Disclaimer This presentation (“the Presentation”) has been prepared by Titan Cement International S.A (the “Company” and together with its subsidiaries, “the Group”) and is general background information about the activities of the Group at the date of the Presentation. The information in the Presen

  21. Slide 21: Thank you!

    Thank you! We invite you to visit our 2022 Integrated Annual Report https://ir.titan-cement.com/en/investor-information/integrated-annual-report

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