Slide 1: 2023 Full Year Results
2023 Full Year Results February 29, 2024 2024 2021
Slide 2: Disclaimer
Disclaimer • This document has been prepared by Wendel S.E. (“Wendel”) solely for use at the 2023 Full Year Results presentation, to be held on February 29, 2024. This document must be treated confidentially by attendees at such presentation and may not be reproduced or redistributed to any other pe
Slide 3: How to ask questions to our speakers?
How to ask questions to our speakers? Directly from the room OR Directly from the webcast You can submit your questions in writing directly via the platform
Slide 4: 2023 kick starts Wendel's transformation journey
2023 kick starts Wendel’s transformation journey Principal Asset Return to Investments Management Shareholders Assets turnover & Good Building an Asset Higher dividend policy Operational Performance Management platform in private assets Acquisition of Scalian Sale of Constantia Flexibles 4 direct in
Slide 5: 2023 financial highlights: strong financial flexibility
2023 financial higlights: strong financial flexibility Strong performance of Significant 2023 NAV impacted portfolio companies financial flexibility by listed assets NAV €160.2, down 2.7%(3) YoY, including dividend Consolidated sales of €7.1bn, Ample liquidity: €2.2 billion(1) up +5.7% overall, incl
Slide 6: Return to shareholders: higher dividend policy is starting now
Return to shareholders: higher dividend policy is starting now Proposing a €4.00 per share dividend, up +25% Representing a yield of 4.4%(1) on Share Price and 2.5% of NAV c. 330,000 Wendel shares repurchased(2) for €26 million +8% CAGR €4.00 To be proposed at next AGM €3.20 €3.00 €2.80 €2.90 €2.80
Slide 7: Performance of Group companies fully consolidated
Performance of Group companies fully consolidated FY 2023 - Figures include IFRS 16, unless otherwise specified
Slide 8: Bureau Veritas – Strong growth and record earnings in 2023
Bureau Veritas – Strong growth and record earnings in 2023: confident of strong growth in 2024 Strong organic revenue growth (+8.5%) Ø Three businesses delivered double-digit organic revenue growth, with Industry up +16.5%, Marine & Offshore +14.4% and Certification +12.4%. Two businesses delivered
Slide 9: Stahl – Good 2023 Results, Successful ISG Integration
Stahl – Good 2023 Results, Successful ISG Integration Stable sales, a solid performance, outperforming an unfavorable market environment Ø Organic growth was -8.3%, FX -1.6%. Ø External growth (+9.7%), driven by the acquisition of ISG in March 2023 Ø Positive trend change in the second half of the y
Slide 10: Crisis Prevention Institute – Strong Revenue and EBITDA Growth
Crisis Prevention Institute – Strong Revenue and EBITDA Growth +15.2% total revenue growth, or 15.6% organic with -0.4% FX impact Ø Growth was relatively consistent across geographies. Ø North American revenues were up +16% vs. 2022 driven by higher price and volume mix (+22% increase in renewals) Ø
Slide 11: ACAMS – Strong EBITDA Growth
ACAMS – Strong EBITDA Growth Good performance for ACAMS, with reported revenue growth of +4.5% (1) Ø Global membership base over 111k members as of December 2023, up 8% YoY Ø 2023 YoY growth was impacted by the roll-off of the benefit of an unusually large enterprise contract in 2022 Ø Normalizing f
Slide 12: Scalian – Double-digit growth in 2023
Scalian – Double-digit growth in 2023, above market in a context of overall industry slowdown Scalian is fully consolidated since July 2023. Full Year 2022 and Full Year 2023 are like-for-like unaudited figures. EBITDA and net debt are post IFRS 16 Good 2023 topline performance with sales up +15.7%
Slide 13: Wendel Growth is ramping up: new direct investments completed in 2023
Wendel Growth is ramping up: 4 new direct investments completed in 2023 4 new direct investments made: Total commitments of €235 million as of December 31, 2023 • o/w €180m in funds, c. 70% have already been called • o/w c.€55m invested in direct opportunities
Slide 14: Financial and ESG Performance Review
Financial and ESG Performance Review Full Year 2023
Slide 15: 2023 P&L – Good financial performance overall
2023 P&L – Good financial performance overall (in millions of euros) 2022 2023 Consolidated subsidiaries 789.3 826.3 Strong performance of BVI and CPI Financing, operating expenses and taxes -118.7 -115.3 Decrease in financing costs Net income from operations(1) 670.6 711.0 Net income from operation
Slide 16: NAV of €160.2 per share as of December 31, 2023
NAV of €160.2 per share as of December 31, 2023 (in millions of euros) Dec. 31, 2023 Listed equity investments Number of shares Share price(1) 3,867 • Bureau Veritas 160.8 million €22.2 3,575 • IHS 63.0 million $4.4 251 • Tarkett €9.1 40 Investments in unlisted assets(2) 4,360 Wendel’s NAV is now al
Slide 17: Net Asset Value per share bridge in 2023
Net Asset Value per share bridge in 2023 -2.7% In euro per share 167.9 167,9 +8.8 8,8 +3.2 3,2 163.4 163,4 -2,8 160.2 160,2 -2.8 -3,2 -10,5 -10.5 -3.2 Share prices(1): BVI: -7.1% IHS: -25.2% Tarkett: -19.0% 22 ts ts r 23 3 0 sse sse he aid 0 02 2/2 a a Ot d p 2/2 a i d 2 /2 d d 3 1/1 iste iste d i d
Slide 18: Wendel is financed at 2.4% average cost with no maturity until 2026
Wendel is financed at 2.4% average cost with no maturity until 2026 c.€1.3bn cash + €875m undrawn credit facility extended to July 2028 Weighted average Cash available cost of bond debt: 2023 2.4% Exchangeable bonds into Bond maturity Bureau Veritas’ shares 750 (25% premium) Average maturity: 4.6 ye
Slide 19: Strong ESG ratings
Strong ESG ratings Best Worst Wendel score Wendel score ratings Ratings 2023 2022 66 72 World and 50 20 Europe 66 AA AA AAA AA A BBB BB B CCC A- B A A- B/B- C/C- D/D- Negligible risk Negligible risk (top 1% of the (top 1% of the Low risk Medium High sector) sector) Negligible Risk 58/100 58/100 58/1
Slide 20: Key takeaways
Key takeaways Ny WENDEL
Slide 21: Wendel has Solid Foundations for a Compelling Value Creation Journey
Wendel has Solid Foundations for a Compelling Value Creation Journey Good operational performance of portfolio companies € Ongoing development of private asset management business Capital to be deployed towards more growth Continuous and measurable progress on ESG Opportunities to create more value
Slide 22: Q&A session
Q&A session Ny WENDEL
Slide 23: Appendix 1: Financial information as of Dec. 31, 2023
Appendix 1 Financial information as of Dec. 31, 2023
Slide 24: FY 2023 consolidated sales
FY 2023 consolidated sales in millions of euros 2022 2023 Δ Organic Δ Bureau Veritas 5,650.6 5,867.8 +3.8% +8.5% Scalian(1) n.a. 126.8 n.a. n.a. Stahl(2) 914.9 913.5 -0.2% -8.3% CPI 114.2 128.0 +12.1% +15.6% ACAMS(3) 66.2 91.6 n.a. 12,0%(4) Consolidated sales (5) 6,745.9 7,127.6 +5.7% +6.4% (1) Cont
Slide 25: FY 2023 sales of companies accounted for by the equity method
FY 2023 sales of companies accounted for by the equity method in millions of euros 2022 2023 Δ Organic Δ Tarkett(1) 3,358.9 3,363.1 +0.1% +4.5% (1) Selling price adjustments in the CIS countries are historically intended to offset currency movements and are therefore excluded from the
Slide 26: Net income from operations
Net income from operations in millions of euros 2022 2023 Bureau Veritas 561.3 594.0 Stahl 118.3 90.3 Constantia Flexibles 91.4 115.2 CPI 19.6 20.7 ACAMS -1.4 0,0 Scalian n/a -2.8 Tarkett (equity accounted) 0.1 8.8 Total contribution from Group companies 789.3 826.3 of which Group share 341.8 362.1
Slide 27: Consolidated income statement
Consolidated income statement in millions of euros 2022 2023 Net sales 6,746.0 7,127,6 Other income from operations 1.1 4.7 Operating expenses -5,849.2 -6,263.9 Net gain (loss) on sale of assets 120.8 5.4 Asset impairment - Other income and expenses 3.4 -6.4 Operating income 1,022.0 867.4 Income fro
Slide 28: Consolidated balance sheet
Consolidated balance sheet in millions of euros 12/31/2023 12/31/2022 in millions of euros 12/31/2023 12/31/2022 Goodwill 4,180.5 3,929.1 Share capital 177.7 177.6 Premiums 23.5 22.2 Intangible assets. net 1,577.6 1,710.6 Retained earnings & other reserves 2,343.9 1,932.5 Property, plant & equipment
Slide 29: Conversion from accounting presentation to economic presentation
Conversion from accounting presentation to economic presentation Equity- Wendel method and investments Total Group Bureau Constantia holding in millions of euros Veritas Flexibles Stahl Scalian CPI ACAMS Tarkett companies Net income from operations Net sales 5,867.8 - 913.5 126.8 (3) 128.0 91.6 7,12
Slide 30: IFRS 16 - Summary table of main aggregates before and after application
IFRS 16 - Summary table of main aggregates before and after the application of IFRS 16 (in millions) Sales EBITDA Net Debt FY 2022 pre FY 2022 post FY 2023 pre FY 2023 post FY 2023 pre FY 2023 post FY 2022 FY 2023 IFRS 16 IFRS 16 IFRS 16 IFRS 16 IFRS 16 IFRS 16 Stahl €914.9 €913.5 €191.1 €194.3 €197
Slide 31: Appendix 2: Additional information
Appendix 2 Additional information
Slide 32: 2023 is the beginning of Wendel's transformation journey (2/2)
2023 is the beginning of Wendel’s transformation journey (2/2) June 22 : Laurent Mignon becomes Chairman of Bureau Veritas March 17: Announcement of New March 22: Wendel July 31: Sale of Constantia Flexibles Strategic Orientations announces the successful (c. €1.1bn of proceeds expected, issue of €7
Slide 33: Transforming Wendel into a compelling investment opportunity
Transforming Wendel into a compelling investment opportunity A more balanced and attractive equity story Improved and more with recurring and predictable cash-flows predictable return to shareholders >10% TSR Permanent capital Asset management Dividends to increase to a floor of 2.5% of NAV(1)(2) an
Slide 34: Leverage – Net debt at low level and strong resilience of LTV
Leverage – Net debt at low level and strong resilience of LTV Low LTV 52.0% 47.5% 36.7% 32.6% 31.9% 34.4% 22.9% 12.2% 10.3% 6.1% 6.0% 6.2% 5.8% 9.6% (1) 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 (1) Proforma of the disposal of Constantia, € bn Net debt kept low acquisitio
Slide 35: Wendel's NAV is now aligned with IPEV Guidelines
Wendel’s NAV is now aligned with IPEV Guidelines • Wendel’s NAV methodology has been updated to incorporate the recommendations of the industry market standard International Private Equity Valuation Guidelines (IPEV) , under which NAV is based on management’s best estimate of Fair Value. • The main
Slide 36: Financial agenda
Financial agenda Ny WENDEL
Slide 37: Financial agenda
Financial agenda Thursday April 25, 2024 Q1 2024 Trading update – Publication of NAV as of March 31, 2024 (post-market release) Thursday May 16, 2024 Annual General Meeting Wednesday July 31, 2024 H1 2024 results – Publication of NAV as of June 30, 2024, and condensed Half-Year consolidated financia
Slide 38: For more information, please visit www.wendelgroup.com
For more information, please visit www.wendelgroup.com