Sasol Limited · JSE:SOL
Sasol — FY2021 Earnings Presentation
20 slides from Sasol's earnings presentation, August 2021
Slide 1: Financial Results for the year ended 30 June 2021
FINANCIAL RESULTS for the year ended 30 June 2021 Copyright ©, 2021, Sasol
Slide 2: Forward-looking statements
Forward-looking statements Sasol may, in this document, make certain statements that are not historical facts and relate to analyses and other information which are based on forecasts of future results and estimates of amounts not yet determinable. These statements may also relate to our future pros
Slide 3: Business Overview
BUSINESS OVERVIEW Fleetwood Grobler Copyright ©, 2021, Sasol 3
Slide 4: Delivering on our triple bottom line
Delivering on our triple bottom line Planet Well advanced in setting new climate People change targets Delivery pathways well established Improved safety trends Progressed key partnerships in Support provided to COVID-19 FY21 support of our sustainability ambition initiatives Ongoing inv
Slide 5: What you will hear today
What you will hear today Employee and stakeholder wellbeing Business results exceeded Future Sasol ambition gaining prioritised expectations momentum Our relentless focus on safety Strong operational Early delivery of Sasol 2.0 is showing positive trends performance despite extreme transformat
Slide 6: Safety performance improved following focused interventions
Safety performance improved following focused interventions Fatalities, LWDC1 and RCR 120 ● Our strengthened leadership-led efforts yielding 0,28 100 positive results LWDC1 and fatalities 80 0,27 ● Regrettably, one fatality experienced during FY21 ● Remain committed to a pro-active approach as we RC
Slide 7: Playing a leading role in society
Playing a leading role in society Ongoing support Delivering to employees and shared value stakeholders ~R24bn spend with black- Employee vaccination >1,4 million litres owned businesses Increasing access to sites at Sasol facilities; sanitiser donated in SA of which ~16bn with quality education sup
Slide 8: Strong business recovery – Delivered on targets
Strong business recovery – Delivered on targets Operational Highlights Financial Highlights ENERGY BUSINESS Free cash flow3 Net debt: EBITDA4 Secunda operations benefitted from innovative shut down planning – 3% higher R19bn 1,5x Mozambique production 2% higher 75% higher Significant balance she
Slide 9: Optimised asset portfolio supports Future Sasol ambitions
Optimised asset portfolio supports Future Sasol ambitions All units online after weather-related incidents LIP JV1 units running at high rates CHEMICALS AMERICA ZAG2 units ramping up >US$400m in adjusted EBITDA delivered in 2H FY21 Underpins gas transformation strategy PSA3 project sched
Slide 10: Financial Results
FINANCIAL RESULTS Paul Victor Copyright ©, 2021, Sasol 10
Slide 11: What you will hear today
What you will hear today Significant progress in resetting the Maintaining focus on the factors Strong financial results delivered balance sheet within our control Improved group profitability Balance sheet strengthened - Delivering sustainable value despite significant challenges • Net debt:
Slide 12: Global macroeconomic recovery
Global macroeconomic recovery $ € Brent crude oil Exchange rate Ethane Polyethylene £ ¥ FY21 FY21 FY21 FY21 54 US$/bbl 15,40 R/US$ average 23 US$c/gal 1 187 US$/ton ▲6% from FY20 ▼2% from FY20 ▲34% from FY20 ▲28% from FY20 FY22 OUTLOOK1 Recovery Global risk sentiment Tight supply Robust demand, post
Slide 13: Group profitability by segment
Group profitability by segment FY21 FY20 FY21 FY202 %∆ Adjusted EBITDA Adjusted EBITDA (R'bn)3 (R'bn)3 Mining 3 227 2 756 17▲ ENERGY Gas 6 656 5 527 20▲ 5,8 5,3 Fuels (18 170)1 (11 609) 57▼ (12%) (14%) Chemicals Africa 6 9571 (17 035) >100▲ CHEMICALS Chemicals America 8 116 (77 556) >100▲ 14,1 17,6
Slide 14: Segmental highlights – a year of delivery
Segmental highlights – a year of delivery Mining Gas Fuels ▲ 10% adjusted EBITDA ▼ 18% adjusted EBITDA ▲ 22% adjusted EBITDA Higher sales volumes and export prices NERSA3 gas price ruling impact Higher sales volumes and crude oil prices R376/ton1 production cost Asset divestments R25bn impairment Fu
Slide 15: FY22 outlook – Maintaining momentum of delivery
FY22 outlook – Maintaining momentum of delivery ENERGY BUSINESS CHEMICALS BUSINESS Mining Mozambique Liquid fuels productivity gas production sales 1 200 - 1 300 106 - 110 bscf Chemicals Chemicals Chemicals 57 - 58 mm bbl t/cm/s Africa America sales Eurasia sales Delayed drilling Improved demand sal
Slide 16: Optimal capital spend to enable Future Sasol
Optimal capital spend to enable Future Sasol 60 • FY21 capital savings realised through responsible implementation of response plan 50 ● Further savings resulting from COVID-19 impacts 40 • Optimal future sustenance capital while ensuring 35 2 safe and reliable operations 2 30 ● Sustenance spend bro
Slide 17: Significant balance sheet reset, as promised
Significant balance sheet reset, as promised Delivery in FY21 Targets for FY22 Exceeded US$1bn cash conservation target in FY21 >US$1bn delivered in FY20 Net Debt: EBITDA Net debt US$3,8bn1 divestments progressed <1,5 times <US$5bn In line with strategy Net debt: EBITDA of 1,5 times Significantly be
Slide 18: Future Sasol
FUTURE SASOL Fleetwood Grobler Copyright ©, 2021, Sasol 18
Slide 19: Progressing a credible pathway to Future Sasol
Progressing a credible pathway to Future Sasol Strong foundation established Sasol 2.0 swiftly ramping up Capital markets day A resilient and focused strategy to deliver Balance sheet deleveraged, underpinned Key enabler to repositioning the business value by disciplined cost culture Value d
Slide 20: Abbreviations and definitions
Abbreviations and definitions m bbl thousand barrels Rbn Rand billions mm bbl million barrel Rm Rand millions mm tons million tons R/ton rand per ton bscf billion standard cubic feet R/US$ Rand/US dollar currency EUR/ton Euro per ton US$bn US dollar billions US$/bbl US dollar per barrel US$m US doll