Aksa Akrilik Kimya Sanayii A.s. · BIST:AKSA
Aksa Akrilik Kimya Sanayii A.s — Investor Presentation (January 2011)
34 slides from Aksa Akrilik Kimya Sanayii A.s's investor presentation, Jan 19, 2011
Slide 1: Aksa Akrilik Kimya Sanayi, 19 January 2011, Istanbul
AKSA AKRILIK KIMYA SANAYI 19 January 2011, Istanbul 1
Slide 2: Akkok Industrial Investment & Development Inc. Main Sectors
AKKOK INDUSTRIAL INVESTMENT &DEVELOPMENT INC, Main Sectors AKKOK GROUP COMPANIES vCHEMICALS AIM TO BECOME v ENERGY A WORLD-CLASS v REAL ESTATE DEVELOPMENT ORGANIZATION v TEXTILES v PORT MANAGEMENT v MARKETING & SALES - INSURANCE AKKOK Companies Quoted at the Istanbul Stock Exchange AKSA WORLD’S LARG
Slide 3: Akkok Industrial Investment & Development Inc.
AKKOK INDUSTRIAL INVESTMENT & DEVELOPMENT INC, ESTABLISHED A STABLE GROWTH SINCE 1952 COMBINED SALES OF US$2,2 BILLION IN 2009 EXPORTS OF US$332 MILLION IN 2009 US$1,2 BILLION OF INVESTMENT IN 2006 - 2009 PLANS US$700 MILLION OF CAPEX FOR 2010 EMPLOYS AROUND 4,000 PEOPLE 3
Slide 4: Aksa Acrylic Shareholder Structure
AKSA ACRYLIC SHAREHOLDER STRUCTURE SHAREHOLDERS EQUITY PARTICIPATIONS COMPANY TITLE % AK-PA 13,5 FITCO B,V 100,0 AK-TOPS 60,0 AK GIRISIM 58,0 Free float : 38% 4
Slide 5: Strategic Business Units of Aksa Acrylic
STRATEGIC BUSINESS UNITS of AKSA ACRYLIC 5
Slide 6: Acrylic Fiber Business Unit
ACRYLIC FIBER BUSINESS UNIT 6
Slide 7: 42 Years of Experience in Acrylic Fiber Industry
HAVING 42 YEARS OF EXPERIENCE IN ACRYLIC FIBER INDUSTRY,,, • Leader in Turkey and in international markets in terms of capacity, size, pre-and post-service quality, product diversity & flexibility; • Low cost leader; • Production capacity : 308,000 ton/year; • Capacity Utilization Rate: 85% in 2009,
Slide 8: Aksa Acrylic Fiber Production
AKSA ACRYLIC FIBER PRODUCTION Annual production growth rate 10,3% 8
Slide 9: 2010 Sales Breakdown of Aksa Akrilik
2010 /SALES BREAKDOWN OF AKSA AKRİLİK DOMESTIC SALES BREAKDOWN EXPORT SALES BREAKDOWN Share of technical fibers and special fibers within total exports has increased from 10% to18% in 2010 9
Slide 10: Acrylic Fiber Sector in Brief
ACRYLIC FIBER SECTOR IN BRIEF • Acrylic fiber market accounts for 2 million tonnes in 2010, • Biggest Consumption Markets China 875,000 tonnes – 44% of world Turkey 265,000 tonnes – 13% of world Iran 130,000 tonnes – 6,5% of world India 110,000 tonnes – 5% of world Egypt 33,000 tonnes – Syria 27,000
Slide 11: Acrylic Fiber Industry Players
ACRYLIC FIBER INDUSTRY PLAYERS • Jilin and MonteFibre founded JiMont by forming an alliance, Jilin Qifeng and Jimont, 2 factories, have a cumulative production capacity of 240,000 tonnes. • In 2009, MonteFibre shut down the last facility in Italy, They only produce 90,000 tonnes in Spain. • Birla in
Slide 12: Threat of Substitutes
THREAT OF SUBSTITUTES GLOBAL PRODUCTION OF TEXTILE FIBERS ( 1000 TONNES ) 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 AGR Synthetic Fibers 32,101 31,686 33,907 35,511 37,953 38,165 41,277 44,523 42,640 44,600 3,70% Polyester 19,073 19,244 20,956 22,258 24,406 24,701 27,808 31,094 30,650 32,400
Slide 13: Cost Structure of Acrylic Fiber
COST STRUCTURE OF ACRLYIC FIBER 13
Slide 14: Ecru Tow - ACN Price Margin (US$/ton)
ECRU TOW - ACN PRICE MARGIN (US$/ton) Source: PCI Average of US/Europe/Far East Prices 14
Slide 15: Carbon Fiber Business Unit
CARBON FIBER BUSINESS UNIT 15
Slide 16: Carbon Fiber, Composite Materials & Composites Is a $10 Billion Industry
CARBON FIBER, COMPOSITE MATERIALS & COMPOSITES IS A $10 BILLION INDUSTRY Capital Intensity* Facilities Required: Facilities Required: Facilities Required: Precursor Facility Weavers/Looms, Fabric Layup Carbonization Prepreg Lines Curing Equipment Facility *Investment required in technology and produ
Slide 17: Uses / Current Market for Carbon Fiber
USES / CURRENT MARKET FOR CARBON FIBER AKSA is targeting Industrial Applications 17
Slide 18: Expected Growth in Demand for Carbon Fiber
EXPECTED GROWTH IN DEMAND FOR CARBON FIBER Industrial Apps 2010 vs 2020: Wind: 5,000t Overall Demand for 15,000-50,000t Carbon Fiber in 10 years is expected to Compounding: be 3 to 6 times what 5,000t it is today (100,000- 15,000-50,000t 200,000mt or more), Pressure Vessels: 3,000t Industrial
Slide 19: Growth in Demand for Carbon Fiber Over 50 Years
1st CF Sporting Goods 1st CF in Aerospace 1st CF in Commercial Airliners CF in F1 Cars CF Adopted in Electronics Plastics CF Adopted in Earthquake Retrofitting CF Adopted in Wind Blades CF Trials in Offshore Oil Boeing 787 YEARS FROM 1970-2020 BMW City Car GROWTH IN DEMAND FOR CARBON FIBER OVER 50 1
Slide 20: Most Applications of Carbon Fiber Are Just Beginning
MOST APPLICATIONS OF CARBON FIBER ARE JUST BEGINNING ON THE PRODUCT LIFE CYCLE Compounding Sporting Goods Commercial Aircraft Wind Turbine Blades CNG Tanks Infrastructure Autos Fuel Cell Offshore Oil&Gas Source: CF Conf – Dec 2009 – Lucintel Presentation 20
Slide 21: Milestones for Aksaca
a MILESTONES FOR AKSACA (axsaca AKSA ¢ Investments began for the production of carbon fiber, ¢«Aksa worked on_ laboratory-scale carbon fiber system precursor) and carbon fiber development and experimentation, ¢ Installations and start-up for the pilot carbon fiber plant that will be working at a 34
Slide 22: Aksa's Potential Strength in Carbon Fiber
AKSA’S POTENTIAL STRENGTH IN CARBON FIBER Having the world’s largest capacity for acrylic fiber production under a single roof, AKSA’s infrastructure is unmatched by any carbon fiber producer. Acrylic Fiber and Precursor Capacity of Carbon Fiber Producers (000mt) AKSA is uniquely positioned to offer
Slide 23: Cost Structure of Carbon Fiber
COST STRUCTURE OF CARBON FIBER • Capital Intensive – Initial capital cost of a precursor and carbon fiber production facility is very high, depreciation is significant. • Half of cost is linked to the price of oil – Acrylonitrile and the energy to convert and process it into carbon fiber. • AKSA’s A
Slide 24: Aksa's Target in Carbon Fiber
AKSA’S TARGET IN CARBON FIBER • Entered the carbon fiber market with “standard grade” small-tow products; • Targeting industrial applications where high quality, reliably supplied; competitively priced carbon fiber is wanted; • Intending to further develop our portfolio of products over time; • Supp
Slide 25: Energy Business Unit
PN AKSA ENERGY BUSINESS UNIT AKKOK
Slide 26: Our Energy Is Increasing...
OUR ENERGY IS INCREASING... • In 2008, in an effort to reduce energy costs and to increase competitive power, Aksa had been looking into alternative power production methods. • Aksa acquired 70,04 MWe capacity power production plant from Akenerji. • Aksa ventured out in the last quarter of the year
Slide 27: Energy Production & Turnover
ENERGY PRODUCTION & TURNOVER 27
Slide 28: Long-Term Main Strategic Goals (2015)
LONG-TERM MAIN STRATEGIC GOALS (2015) • Generate at least US$1,1 billion sustainable revenue in its Strategic Business Areas, • Achieve at least 15% EBITDA margin, • Maintain capacity utilization in Acrylic Fiber Business and low-cost leadership through cost saving projects, • Target 5% market share
Slide 29: 2011 Budget Figures
2011 BUDGET FIGURES Net Sales US$ 930-960 milllion AF US$ 790-805 Technical Fibers US$ 60-65 CF US$ 25-28 Energy US$ 55-62 Exports US$ 350-375 milllion AF CUR %85 EBITDA margin 10%-11% CAPEX US$160-170 Million 29
Slide 30: Net Sales & Export (FOB) (US$ million)
NET SALES & EXPORT (FOB) (US$ million) 30
Slide 31: EBIT - EBITDA - Net Profit (US$ million)
EBIT - EBITDA - NET PROFIT (US$ million) 31
Slide 32: EBIT - EBITDA - Net Profit (%)
EBIT -EBITDA - NET PROFIT (%) 32
Slide 33: Investment-Profit-Dividend
INVESTMENT-PROFIT-DIVIDEND 2000-2010/09: • Total Investment : US$ 472,00 million • Total Net Profit : US$ 356,87 million • Total Dividend : US$ 72,70 million 33
Slide 34: Thank You
AKSA AKKOK 111M AKSA THANK YOU YOU IMAGINE, WE PRODUCE http://www,aksa,com http :// www,aksaca,com, tr
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