Braskem S.a. · BMFBOVESPA:BRKM3
Braskem — Q3 2024 Earnings Presentation
26 slides from Braskem's earnings presentation, Nov 7, 2024
Slide 1: Earnings Conference Call 3rd Quarter
EARNINGS CONFERENCE CALL 3rd QUARTER NOVEMBER 7, 2024 PUBLIC
Slide 2: Disclaimer Regarding Forward-Looking Statements
3Q24 EARNINGS CONFERENCE CALL DISCLAIMER REGARDING FORWARD-LOOKING STATEMENTS This presentation may contain forward-looking statements. These statements are not historical facts and are based on the Company’s current vision and estimates of the Company’s management regarding future economic and othe
Slide 3: Agenda
AGENDA Main Highlights Performance by Segment Performance by Segment Alagoas Update Alagoas Update Outlook for the future Outlook for the future Strategy Strategy PUBLIC CONFIDENTIAL
Slide 4: 3Q24 Financial Highlights
3Q24 Financial Highlights EBITDA for the quarter was US$432 million, the highest quarterly Recurring EBITDA since 2Q22 3Q24 Financial Highlights R E S IL IE N CE AN D F IN AN CIAL Recurring EBITDA Cash Position² HE AL T H Advancement of corporate initiatives with US$ 432 MM ∆ 2Q24 ∆ 3Q23 U$2.4 billi
Slide 5: 3Q24 Operational Highlights
3Q24 Operational Highlights The Company continues to optimize the utilization rate of its centers while maintaining the level of safety of its operations 3Q24 Operational Highlights Operations Security | CAF + SAF¹ Utilization rate 3Q24 vs. 2Q24 9M24 +2 p.p. Brazil 0.91 (events/1MM HHT²) +60 p.p. Gr
Slide 6: Agenda
AGENDA Main Highlights Main Highlights Performance by Segment Alagoas Update Alagoas Update Outlook for the future Outlook for the future Strategy Strategy PUBLIC CONFIDENTIAL
Slide 7: 3Q24 Performance | Brazil
The Brazil Segment recorded US$335 MM of Recurring EBITDA, 45% higher than in 2Q24, due to higher sales volume and higher international spreads 3Q24 Performance | Brazil Utilization Rate of Petrochemical Plants Recurring EBITDA Resumption of operations in (% of ethylene capacity utilization) (in US$
Slide 8: 3Q24 Performance | Green PE
The utilization rate of Green Ethylene increased by 60 p.p. with the resumption of operations in the quarter after the extreme weather event in Rio Grande do Sul 3Q24 Performance | Green PE Green Ethylene Utilization Rate Green PE Sales (% of Green Ethylene capacity utilization)¹ (in thousand tons)
Slide 9: 3Q24 Performance | USA & Europe
In the USA & Europe Segment, Recurring EBITDA was US$71 million, higher compared to 2Q24 due to sales mix optimization 3Q24 Performance | USA & Europe Utilization Rate of U.S. & European plants Recurring EBITDA (% of average utilization of US & European PP capacities) (in US$ million) Maintenance sh
Slide 10: 3Q24 Performance | Mexico
Recurring EBITDA for the Mexico segment was US$80 MM, 44% higher than in 2Q24, mainly due to the higher PE spreads in the international market 3Q24 Performance | Mexico Average Utilization Rate of Mexico's Plants Recurring EBITDA Lower feedstock supply (% of average PE capacity utilization) (in US$
Slide 11: 3Q24 Performance | EBITDA
Braskem's consolidated Recurring EBITDA was US$432 MM, 35% higher than in 2Q24. 2024 YTD was US$982 million, 84% higher than the same period in 2023 3Q24 Performance | EBITDA Consolidated Recurring EBITDA Main factors (in US$ million) 3Q24 vs. 2Q24 +84% PETROCHEMICAL INDUSTRY SPREADS 982 Higher spre
Slide 12: 3Q24 Performance | Cash Flow
The Company's operating cash generation was R$416 million in 3Q24, with cash consumption in the period of R$1.9 billion 3Q24 Performance | Cash Flow Cash Flow in 3Q24 (in R$ million) Receipt of R$208.5 million from the conclusion of the Semi-annual operation for the sale of interest payment Cetrel’s
Slide 13: Braskem maintains a very long debt profile
Braskem maintains a very long debt profile 3Q24 Performance | Indebtedness Debt Indicators Debt Profile (US$ million) 09/30/20241 Liquidity to cover debt maturities: 52 months³ Total cash Principal SLL – Sustainable Linked Bond1 Average Debt Ratio: ~11 years Total debt Interest Stand by Weighted ave
Slide 14: Agenda
AGENDA Main Highlights Main Highlights Performance by Segment Performance by Segment Alagoas Update Outlook for the future Outlook for the future Strategy Strategy PUBLIC CONFIDENTIAL
Slide 15: Update on the closure front and monitoring of salt cavities
Update on the closure front and monitoring of salt cavities Status of 09/30/2024 Closing Technique # Status Comments 32 2 3 4 7 11 15 17 6 cavities with the fill completed¹ 33 3 6 3 cavities are in the process of filling 16 Sand filling 16 9 13 28 19 20 21 25 27 29 7 cavities are in the preparation
Slide 16: General update on the work fronts in Alagoas and provisioned amount
General update on the work fronts in Alagoas and provisioned amount Status of 09/30/2024 Total Amount and Balance of Provisions3 Urban Mobility Actions Of the 11 urban mobility projects, scheduled for (R$ billion) Disbursements Status of 09/30/2024 completion in 2026, 05 have already been completed
Slide 17: Agenda
AGENDA Main Highlights Main Highlights Performance by Segment Performance by Segment Alagoas Update Alagoas Update Outlook for the future Strategy Strategy PUBLIC CONFIDENTIAL
Slide 18: Operational Outlook | 4Q24 vs. 3Q24
Operational Outlook | 4Q24 vs. 3Q24 Brazil USA & Europe Mexico • USA: management of production volume • Return of the international supplier Utilization • Expectation of lower production, due to to meet the softer demand of the period after maintenance shutdown in 3Q24 Rate scheduled shutdowns in PE
Slide 19: Outlook for spreads in the international market
Outlook for spreads in the international market1 Brazil USA & Europe Mexico Spread PE Brazil Mix2 PP Spread US & Europe3 PE Spread Mexico4 (US$/ton) (US$/ton) (US$/ton) -18% -21% +5% +5% -3% 0% 506 986 ~810 ~850 ~400 ~420 391 ~380 ~380 3Q24 4Q24e 1Q25e 3Q24 4Q24e 1Q25e 3Q24 4Q24e 1Q25e 4Q24 vs. 3Q24
Slide 20: Agenda
AGENDA Main Highlights Main Highlights Performance by Segment Performance by Segment Alagoas Update Alagoas Update Outlook for the future Outlook for the future Strategy PUBLIC CONFIDENTIAL
Slide 21: The Company continues to advance its long-term strategy through its growth avenues
The Company continues to advance its long-term strategy through its growth avenues... 3Q24 Strategic Highlights TRADITIONAL AND BIO-BASED RECYCLING DECARBONIZATION New Renewables Innovation Center BNEF's 2024 Circular Economy Brilliant Future in the USA Company Ranking Braskem's first vessel under l
Slide 22: Priorities set for 2024 (1/2)
... as well as in the priorities set for 2024 (1/2) Resilience and financial health Impacts mapped Deliverables 2Q24 YTD Action fronts for 2024 PRIORITIES 2024 EBITDA ~US$ 51 MM Commercial ~US$ 100 MM Commitments Prioritization of investments established in related to the Company's Maceió long-term
Slide 23: Priorities set for 2024 (2/2)
... as well as in the priorities set for 2024 (2/2) Defense of the competitiveness of Brazilian industry Brazilian chemical and petrochemical sector¹ The 6th largest chemical industry in the 3rd largest industrial sector of GDP world Approval of the increase in the import Generates 2 million direct
Slide 24: Initiatives that support its priorities for 2024
Braskem continues to continuously implement initiatives that support its priorities for 2024 PRIORITIES 2024 ADVANCES IN 3Q24 Commitments established in Consolidated trajectory of material advances on all fronts of action Maceió ~R$11.5 billion of the financial provision disbursed until September/20
Slide 25: Save the Date
SAVE THE DATE 10 A.M. (BRT) 25/11 08 A.M. (EST) Soon more information 13 P.M. (LONDON) Online event
Slide 26: Earnings Conference Call - Investor Relations
EARNINGS EARNINGS CONFERENCE CONFERENCECALL CALLQ2 2024 3rd QUARTER 2024 NOVEMBER 7 , 2024 Investor Relations IR Website: https://www.braskem-ri.com.br/ E-mail: braskem-ri@braskem.com Phone: +55 (11) 3576-9531 Logo and Brand Assets — Spotify PUBLIC 26 | PUBLIC PUBLIC