Titan S.a. · EURONEXT:TITC

Titan — Titan Cement International — H1 2019 Earnings Presentation

20 slides from Titan's earnings presentation, Jul 31, 2019

  1. Slide 1: First Half 2019 Financial Results - Investors' & Analysts' Presentation

    i | | Financial Results — 1% Half 20 = ten alysts’ Presentation 13.8 145i 1 ZA F (CEMENT INTERNATIONAL CEMENT INTERNATIONAL BA BZ EAL ECONOMY Brussels | Amsterdam | Dublin Lisbon Athens, 31 July 2019

  2. Slide 2: Tender Offer Successful: Titan Cement International SA New Parent Company of Titan Group

    Tender Offer Successful: Titan Cement International SA New Parent Company of Titan Group Acceptance ratio reached 93% for the ordinary shares and 92.36% for the preference shares. Core shareholding of the founders of Titan Group remains unchanged. New Board of Directors of TCI elected with majority

  3. Slide 3: 2019 H1 Highlights

    2019 H1 Highlights  Group Turnover increased in all regions except EMED to €785m (up by 10.2%) assisted by a stronger US$. Stable EBITDA at €122m despite EMED shortfall.  Net Profit at €13m in H1 2019 (€25m in 2018), following higher depreciation costs and negative FX result.  In the US, sales vo

  4. Slide 4: Turnover and EBITDA Growth in All Regions Except EMED

    Turnover and EBITDA Growth in All Regions Except EMED Group Turnover Group EBITDA Group NPAT € in m illions 10.2% € in m illions 0.0% € in m illions -46.3% 800 72.9 785.4 122.2 122.2 712.5 120 40 600 30 90 -11.5 24.8 400 1st Half 60 20 13.3 200 30 10 0 0 0 Turnover Variance Turnover EBITDA Variance

  5. Slide 5: Increased Sales Volume in USA, SEE and Greece. Substantial Drop in Egypt and Turkey.

    Increased Sales Volume in USA, SEE and Greece. Substantial Drop in Egypt and Turkey. 1st Half Sales Volume 2nd Quarter Sales Volume 8.9 2018A 2018A 8.1 2019A 2019A -9%(3) -9%(3) +5%(3) 4.8 4.4 8.9 -1%(3) +4%(3) 8.5 -2%(3) 2.63 2.60 4.4 4.5 1.37 1.34 (1), (2) (2) (2) (1), (2) (2) (2) Cement Aggregate

  6. Slide 6: Net Profit Affected by Higher Depreciation Charges and FX Losses

    Net Profit Affected by Higher Depreciation Charges and FX Losses In Million Euros, unless otherwise stated H1 2019 H1 2018 Variance Q2 2019 Q2 2018 Variance Net Sales 785.4 712.5 10.2% 422.7 390.0 8.4% Cost of Goods Sold -587.0 -520.5 12.8% -306.1 -275.7 11.0% Gross Margin (before depreciation) 198.

  7. Slide 7: EBITDA 12Month-Rolling Quarterly Analysis by Region (2008-2019)

    EBITDA 12Month-Rolling Quarterly Analysis by Region (2008-2019) USA GREECE & WE (€ in millions) (€ in millions) 240 250 184 186 185 178182 194 194 190 173 200 183 169 145 140 150 135128 106 111 123 101 90 70 70 100 87 61 43 39 40 47 49 45 40 26 32 50 35 36 32 37 36 36 31 12 21 18 4 4 3 6 13 14 10 11

  8. Slide 8: Increase in Net Debt Due to IFRS 16 Impact. Lower WC Needs Led to Improved OFCF

    Increase in Net Debt (vs Q4 2018) Due to IFRS 16 Impact. Lower WC Needs Led to Improved OFCF vs H1 2018. Sources and Uses of Cash (€ in millions) H1 Operating Free Cash Flow 150 122 3 (53) €54m 100 (18) 2 (52) 50 (12) (59) (67) 0 -50 -100 EBITDA Non-Cash CapEx Operating Acquisitions Interest, FX Imp

  9. Slide 9: Titan Group Balance Sheet Grows Due to $ Strength

    Titan Group Balance Sheet Grows Due to $ Strength Variance In Million Euros, unless otherwise stated 30 Jun' 19 30 Jun' 18 31 Dec' 18 30 Jun '19 vs 30 Jun '18 Property, plant & equipment and inv. Property 1,707.6 1,482.4 1,660.1 225.2 Intangible assets and goodwill 411.6 358.0 405.2 53.6 Investments

  10. Slide 10: Net Debt Levels Affected by the Adoption of IFRS 16

    Net Debt Levels Affected by the Adoption of IFRS 16 Group Net Debt Evolution (€ in millions) Net debt 1,200 1112 1,100 986988 1,000 930947 874 889 900 831 787 784772 839 800 739739 732 754 758 751 707 713 716 738 674 723 700 660 650 661 632 630 621605 602 596 578 600 562 552563 541 541 509 490529 50

  11. Slide 11: Performance by Region

    Performance by Region First Half 2019

  12. Slide 12: US Topline Growth Continues in H1 2019. Market Fundamentals Continue Positive.

    US Topline Growth Continues in H1 2019. Market Fundamentals Continue Positive. USA Turnover USA EBITDA € in m illions 13.9% € in millions 4.9% 57.5 471.8 84.2 90 80.2 4.0 450 414.3 1st Half 300 60 150 30 0 0 Turnover Variance Turnover EBITDA Variance EBITDA 2018 2019 2018 2019 19.4% EBITDA Margin 17

  13. Slide 13: Greece Turnover and Profitability Growth in H1 2019

    Greece Turnover and Profitability Growth in H1 2019 Greece& WE Turnover Greece & WE EBITDA € in m illions 7.6% € in m illions 88.1% 450 90 1st Half 300 60 150 114.6 8.7 123.3 30 4.7 9.9 5.2 0 0 Turnover Variance Turnover EBITDA Variance EBITDA 2018 2019 2018 2019 4.6% EBITDA Margin 8.0%  Greece & W

  14. Slide 14: Strong SEE Performance Due to Favorable Market Conditions in Most Countries

    Strong SEE Performance Due to Favorable Market Conditions in Most Countries SEE Turnover SEE EBITDA € in m illions 17.1% € in m illions 450 37.2% 90 1st Half 300 60 9.0 32.9 150 103.1 17.6 120.7 30 23.9 0 0 Turnover Variance Turnover EBITDA Variance EBITDA 2018 2019 2018 2019 23.2% EBITDA Margin 27.

  15. Slide 15: EMED Performance Weakened Due to Egyptian Market Distortions and Contraction of Turkish Economy

    EMED Performance Weakened Due to Egyptian Market Distortions and Contraction of Turkish Economy EMED Turnover EMED EBITDA € in m illions -13.5% € in m illions 450 80 1st Half 300 50 150 20 12.8 -17.5 80.6 -10.9 69.7 -4.7 0 -10 Turnover Variance Turnover EBITDA Variance EBITDA 2018 2019 2018 2019 15.

  16. Slide 16: H1 2019 – Joint Ventures' Performance

    H1 2019 – Joint Ventures’ Performance  In Brazil, cement consumption increased in H1 2019 by 1.5% reaching 25.8MMT. In the North and Northeast regions market demand was stable.  Apodi sales volumes remained relatively stable in H1 2019, despite extreme wet weather conditions, while revenue increas

  17. Slide 17: Outlook

    Outlook First Half 2019

  18. Slide 18: Outlook 2019

    Outlook 2019 – • Solid fundamentals for further growth. USA • Focus on delivering on both growth and profitability. • Improving outlook for domestic demand. Greece • Focus on cost competitiveness and optimization of exports profitability. • Positive momentum. S.E. Europe • Focus on capturing synergi

  19. Slide 19: Disclaimer

    Disclaimer This presentation has been prepared by Titan for informational purposes only. Although the information contained in this presentation has been obtained from sources which Titan believes to be reliable, it has not been independently verified and no representation or warranty, express or im

  20. Slide 20: Thank you

    Thank you 20 Investors' & Analysts' Presentation First Half 2019

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