Ansell Limited · ASX:ANN
Ansell — Investor Presentation (May 2008)
27 slides from Ansell's investor presentation, May 15, 2008
Slide 1: Ansell Limited Business Overview – May 2008
For personal use only Ansell Limited Business Overview – May 2008 Doug Tough – Chief Executive Officer Rustom Jilla – Chief Financial Officer
Slide 2: Agenda
Agenda For personal use only 1. Overview - Doug Tough 2. Financials - Rustom Jilla 3. The Future - Doug Tough
Slide 3: Overview
For personal use only Overview Doug Tough
Slide 4: Who is Ansell?
Who is Ansell? For personal use only • A 114 year old company • A world leader in healthcare barrier protection products and services • Australian (ASX) listed Company (ANN), with market cap of ~US$1.5 billion • Sales of ~US$1 billion and over 11,000 employees in 26 countries • Statutory HQ in Austr
Slide 5: A Global Leader
A Global Leader For personal use only Estimated 2007/2008 global market sizes and Ansell positions Occupational Gloves (Synthetics) Market: ~US$2.5B Ansell #1 with ~20% Surgical Gloves Market: ~US$0.9B Ansell #2 with ~ 22% Condoms Market: ~US$1.2B Ansell #2 with ~14% Source: Nielsen, IMS, and intern
Slide 6: Diversified Business/Regional Portfolio
Diversified Business/Regional Portfolio For personal use only •Ansell has 3 businesses operating across 3 geographical regions Sales By Business Sales By Region Consumer Asia Pacific 20% 17% Professional Occupational Americas 32% 48% Europe 44% 39% * F’08 H1 total sales $533M 6
Slide 7: Business Strategies
Business Strategies For personal use only Occupational: ● Accelerate New Product Development ● Penetrate into new geographies/channels ● Solution selling via GuardianSM Professional: ● Enhance and expand Surgical portfolio ● Focused product ranges with new/improved products ● Seek differentiation an
Slide 8: Our Occupational Products
Our Occupational Products For personal use only 8
Slide 9: Our Professional Products
Our Professional Products For personal use only 9
Slide 10: Our Consumer Products
Our Consumer Products For personal use only 10
Slide 11: Diversified Customer Base
Diversified Customer Base For personal use only • Companies: industrial, auto, chemicals, food Hospitals & Retail, etc. Alternate Private Label Care , 32% & Public Sector, 20% • Hospitals/Medical Centres; acute and Alternate Markets, 2% alternate care, first General responders etc Construction, Indu
Slide 12: New Product Development Focus
New Product Development Focus For personal use only • OCCUPATIONAL HyFlex® Gloves 11-627 (Cut ‘n Cool) HyFlex® Gloves 11-920 Grip Vantage® Glove Range (5 gloves) • PROFESSIONAL Gammex® Surgical Underglove Hydrasoft® Surgical Range DermaPrene®, IsoDerm® Surgical • CONSUMER HyFlex® Multi
Slide 13: Global Manufacturing Facilities
Global Manufacturing Facilities For personal use only Americas & UK India India & & Sri Sri Poland Poland & & Germany Germany Lanka Lanka Chemical Chemical Resistant Resistant General Purpose General Purpose Condoms Standard & Specialty Specialty Premium High High spec spec knitt
Slide 14: Commitment to Corporate Sustainability
Commitment to Corporate Sustainability For personal use only Top Quartile Performance# – Striving for Continued Health & Safety Improvement Medical Treatment Injuries* 0.12 Lost Time Injuries* 0.8 0.09 0.6 0.4 0.06 0.2 0.03 0 0 F'03 F'04 F'05 F'06 F'07 F'08 F'03 F'04 F'05 F'06 F'07 F'08 *100 Employe
Slide 15: Financials
For personal use only Financials Rustom Jilla
Slide 16: Continuing Strong Performance
Continuing Strong Performance For personal use only F’06 F’07 F’08 H1* Profit & Loss ($M) Sales 849.1 975.4 532.8 GPADE 272.7 309.7 176.8 SG&A (169.7) (213.2) (128.4) EBIT 98.9 96.5 48.4 Interest & Borrowings (4.4) (7.0) (4.5) Taxes (5.8) (7.2) 6.9 Minority Interests (2.0) (3.2) (1.2) Profit Attribu
Slide 17: F'08 H1 – Portfolio Performance: Sales
F’08 H1 – Portfolio Performance For personal use only SALES ($M) Occupational Professional Consumer Total Asia Pacific 92 EMEA 208 Americas 233 258 172 103 533 > +5% From 0% to +5% < 0% 17
Slide 18: F'08 H1 – Portfolio Performance: Segment EBIT
F’08 H1 – Portfolio Performance For personal use only SEGMENT EBIT ($M) Occupational Professional Consumer Total Asia Pacific 16 EMEA 20 Americas 19 35 9 11 55 > +5% From 0% to +5% < 0% Underlying Segment EBIT for F’08 H1 $61M 18
Slide 19: Key Financial Metrics
Key Financial Metrics For personal use only F’06 F’07 F’08 H1* Sales Growth % 4.6 14.9 15.8 GPADE/Sales % 32.1 31.8 33.2 SG&A/Sales % 20.5 21.9 24.1 EBIT/Sales % 11.6 9.9 9.1 Free Cash Flow ($m) 76.7 62.6 46.9 Gearing % (NIBD:NIBD & Equity) 10.8 18.1 25.3 ROA % 17.5 16.4 14.9 ROE % 18.5 16.4 20.0
Slide 20: Acquisitions and Geographic Expansions
Acquisitions and Geographic Expansions For personal use only China(Consumer) China (Consumer) Poland/Germany(Consumer) Poland/Germany (Consumer) JissbonAcquisition Jissbon AcquisitionApril April2006 2006 UnimilAcquisition Unimil AcquisitionFeb Feb2007 2007 (75%for (75% for$19M) $19M) (100%for (100%
Slide 21: Ongoing Cash Distributions to Owners
Ongoing Cash Distributions to Owners For personal use only $M DIVIDENDS & SHARE BUY BACKS 160 From F’03 to end of F’08 H1; 140 Total Dividends Paid $104 M 120 Total Buy-Backs $387 M Cash Returned to 100 Shareholders $491 M ====== 80 60 Strong history of returning excess cash to shareholders 40 A
Slide 22: Forward Planning View
Forward Planning View For personal use only • Growth continues to be key priority – Investment in S&T, Sales & Marketing helping drive organic top line growth – Thorough reviews of M&A opportunities to strengthen competitive positions and grow value • Input costs (natural rubber latex, synthetic lat
Slide 23: The Future
For personal use only The Future Doug Tough
Slide 24: A Global Leader Delivering Shareholder Value
A Global Leader Delivering Shareholder Value Based On A Solid Platform For personal use only World: Superior Surgical #2 Products Diverse Occupational #1 Condoms #2 Portfolio ROE / ROA Focus Global Reach Strong Balance Sheet Multi-cultural Balanced Disciplined Management Capital Acquisition Manageme
Slide 25: Growth Strategy
Growth Strategy For personal use only Methodology: Multi-faceted approach to growth 99 F’07 Base Channels Emerging JV Several Bolt-ons Products markets under review Alliances Programs Overall perspective: A well balanced growth oriented global leader 25
Slide 26: Wrap Up
Wrap Up For personal use only Ansell Today – Steady growth: Organically, Geographically & Acquisitively – Cost components tightly managed to focus on growth – Diverse Portfolio – Regions/Businesses – Strong financial position with investment capacity F’08 Forecast • Guidance Upgraded – Underlying EP
Slide 27: ANSELL LIMITED
For personal use only ANSELL LIMITED