Slide 1: Q3 2023 Results
Q3 2023 RESULTS OLIVIER RIGAUD (CEO) 26/10/2023 EDDY VAN RHEDE VAN DER KLOOT (CFO)
Slide 2: Business performance
Q3 2023 RESULTS Business performance Olivier Rigaud CEO 2 26/10/2023
Slide 3: Highlights
Q3 2023 RESULTS Highlights • YTD Q3: organic Sales growth in core activities of 4.2% driven by strong performance of Algae Ingredients • YTD Q3: Adjusted EBITDA: € 142.8M (13.1% margin), organic Adjusted EBITDA growth in core activities of 12.3% • Q3: Organic growth core activities: Sales -2.2% & Ad
Slide 4: Outlook 2023
Q3 2023 RESULTS Outlook 2023 • Organic Sales growth core activities: mid single digit growth for the full year 2023 [unchanged] • Low single-digit volume/mix decline for the full year in with market developments [unchanged] • Positive pricing for the full year • Q4: Volume/mix development is expecte
Slide 5: Strategic Developments
Q3 2023 RESULTS Strategic Developments • Restructuring program underway to accelerate significant positive free cash flow delivery as from 2024 onwards, • Full review to drive material improvements in operating expenses, capital program and working capital • Non-core Emulsifiers: broader auction pro
Slide 6: Financial performance
Q3 2023 RESULTS Financial performance 6 26/10/2023
Slide 7: Sales & Adjusted EBITDA - first nine months 2023
Q3 2023 RESULTS Sales & Adjusted EBITDA - first nine months 2023 Organic Sales growth Organic EBITDA growth Core Activities Core Activities +4.2% +12.3% 1200 1150 Sales (€ mln) 180 Adjusted EBITDA (€ mln) 11,3 160 1100 38,8 16,9 1.091,0 142,8 14,4 4,3 10,1 142,8 1.080,4 140 120 1050 100 1000 80 60 9
Slide 8: Sustainable Food Solutions
Q3 2023 RESULTS Sustainable Food Solutions € million YTD 2023 YTD 2022 Q3 2023 Q3 2022 Organic Sales growth of +1.6% in the first nine months Sales 579.9 579.1 194.4 213.3 • Positive pricing +7.5% to compensate for higher input costs, especially Organic growth 1.6% 20.9% -3.6% 25.7% driven by H1 • V
Slide 9: Lactic Acid & Specialties
Q3 2023 RESULTS Lactic Acid & Specialties € million YTD 2023 YTD 2022 Q3 2023 Q3 2022 Organic Sales growth of -1.4% in the first nine months Sales 292.3 300.6 85.6 98.8 • Positive pricing +8.4% to compensate for higher input costs, Organic growth -1.4% 21.2% -8.6% 11.4% especially driven by H1 • Vol
Slide 10: Algae Ingredients
Q3 2023 RESULTS Algae Ingredients € million YTD 2023 YTD 2022 Q3 2023 Q3 2022 Organic Sales growth of +68.9% in the first nine months Sales 80.1 48.2 30.6 24.1 • Driven by both strong volume/mix growth +52.1% and Organic growth 68.9% 87.3% 34.9% 87.4% sustainable price increases +16.8% in aquacultur
Slide 11: Incubator
Q3 2023 RESULTS Incubator € million YTD 2023 YTD 2022 Q3 2023 Q3 2022 • Currently no Sales reported following carve-out of Algae Ingredients Adjusted EBITDA (6.9) (6.6) (1.9) (2.4) as new reporting segment as of Q4 2022 % of core Sales -0.7% -0.7% -0.6% -0.7% • The Adjusted EBITDA of € -6.9 million
Slide 12: TotalEnergies Corbion joint venture
Q3 2023 RESULTS TotalEnergies Corbion joint venture € million * YTD 2023 YTD 2022 Q3 2023 Q3 2022 Organic Sales declined by -32.6% in the first nine months Sales 86.5 130.5 28.3 38.2 • Weakness of PLA market since mid 2022 EBITDA 12.5 40.3 2.5 9.9 • Early signs of recovery visible EBITDA margin 14.4
Slide 13: Non-core activities
Q3 2023 RESULTS Non-core activities € million YTD 2023 YTD 2022 Q3 2023 Q3 2022 Organic Sales declined by -7.4% Sales 138.7 152.5 42.4 56.8 • Driven by volume/mix decline of -18.7% partly offset by positive Organic growth -7.4% 26.8% -19.1% 27.7% pricing +11.3% Adjusted EBITDA 21.3 26.2 6.7 11.9 Adj
Slide 14: Annex
Q3 2023 RESULTS Annex 14 26/10/2023
Slide 15: Sales growth per segment: YTD/Q3 2023
Q3 2023 RESULTS Sales growth per segment: YTD/Q3 2023 Acquisitions/ Sales Volume/Mix Price Organic Currency Total growth (Divestments) YTD 2023 vs YTD 2022 Core -4.1% 8.3% 4.2% -1.6% 0.0% 2.6% - Sustainable Food Solutions -5.9% 7.5% 1.6% -1.5% 0.0% 0.1% - Lactic Acid & Specialties -9.8% 8.4% -1.4% -
Slide 16: Sales and Adjusted EBITDA: YTD/Q3 2023
Q3 2023 RESULTS Sales and Adjusted EBITDA: YTD/Q3 2023 € million YTD 2023 YTD 2022 Q3 2023 Q3 2022 Growth YTD 2023 Sales Core 952.3 927.9 310.6 336.2 2.6% - Sustainable Food Solutions 579.9 579.1 194.4 213.3 0.1% - Lactic Acid & Specialties 292.3 300.6 85.6 98.8 -2.8% - Algae Ingredients 80.1 48.2 3
Slide 17: Core Adjusted EBITDA bridge YTD 2023
Q3 2023 RESULTS Core Adjusted EBITDA bridge YTD 2023 200 150 15,5 29,9 9,5 0,0 € mln 0,0 100 116,6 121,5 82.0 50 0 Adj. EBITDA Vol / mix / Fixed costs Currency Acquisitions Adj. EBITDA Non-core Core YTD pricing impact Core YTD 2022 2023 17 26/10/2023
Slide 18: Core Adjusted EBITDA bridge Q3 2023
Q3 2023 RESULTS Core Adjusted EBITDA bridge Q3 2023 60 3.5 45 9.0 3,2 5.8 0,0 0,7 4,2 30 € mln 40.6 41,0 39,3 40.9 15 0 Adj. EBITDA Vol / mix / Fixed costs Currency Acquisitions Adj. EBITDA Q3 2022 pricing impact Q3 2023 Core Core 18 26/10/2023
Slide 19: Operating climate – overall relaxation of input costs
Q3 2023 RESULTS Operating climate – overall relaxation of input costs Input Costs split – Core business Sugar Anticipated input costs ‘24 vs ‘23 Corn Increase Energy Freight Decrease Other 19 26/10/2023
Slide 20: PLA development
Q3 2023 RESULTS PLA development PLA Global Market by quarter (volume) 80 60% 60 40% • Volume erosion stabilized, with early sign of recovery visible 40 20 20% • PLA market down, market share stable 0 0% 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 2021 2021 2021 2021 2022 2022 2022 2022 2023 2023 Global PLA market
Slide 21: Algae Ingredients development
Q3 2023 RESULTS Algae Ingredients development Sales (€ million) • Growing omega-3 demand and structural fish oil scarcity 200 leading to higher volumes and price (2023F Sales > 150 140 €100M) 2023LE CMD 2022 > 100 100 74 EBITDA • Omega-3 DHA yield increase improving profitability as of 50 31 25M 13
Slide 22: Investor relations
Investor relations Peter.Kazius@corbion.com www.corbion.com +31 20 590 6242 22 26/10/2023