Slide 1: Q3 2021 Results
Q3 2021 RESULTS NOVEMBER 4, 2021 Conference Call Corporate Investor Relations
Slide 2: Agenda
Agenda HIGHLIGHTS Q3 2021 FINANCIALS Q3 2021 OUTLOOK APPENDIX to navigate Brenntag SE – Q3 2021 Results Presentation | 4 November 2021 2
Slide 3: Highlights Q3 2021: Outstanding quarterly results
Highlights Q3 2021: Outstanding quarterly results OPERATING GROSS PROFIT OPERATING EBITDA FREE CASHFLOW EPS (fx adj.) (fx adj.) EPS +23.7% +29.7% EUR 155m 0.63 EUR 1.02 EUR 862.3m EUR 342.9m Working Capital turn still +34% compared Following to Q3 EUR 0.74 2020 one year high at 8.4x ago OUTSTANDING
Slide 4: Clear assignment and accounting for products according to industry needs
Clear assignment and accounting for products according to industry needs Process chemicals Specialties & ingredients Products used indirectly in the broader Products are directly used in the Definition production process production of customers' end-product Sodium Monopropylene Sulphuric Flavors & f
Slide 5: Stringent definition of Brenntag Essentials and Brenntag Specialties
Stringent definition of Brenntag Essentials and Brenntag Specialties Specialties and ingredients Process chemicals Accounted for under Specialties Industries Brenntag Specialties Accounted for under All other industries Brenntag Essentials Brenntag SE – Q3 2021 Results Presentation | 4 November 2021
Slide 6: Continued challenging market conditions in Q3 2021
Continued challenging market conditions in Q3 2021 Continued disruptions in some countries due to COVID-19 lockdowns Global supply chains persistently under pressure Spiking energy prices „Dual-Control“ regulatory program in China Brenntag SE – Q3 2021 Results Presentation | 4 November 2021 6
Slide 7: Agenda
Agenda HIGHLIGHTS Q3 2021 FINANCIALS Q3 2021 OUTLOOK APPENDIX to navigate Brenntag SE – Q3 2021 Results Presentation | 4 November 2021 7
Slide 8: Financials Q3 2021: Operating EBITDA bridge
Financials Q3 2021: Operating EBITDA bridge* in EUR m 450 Organic growth +27% +34% +25% 400 36 343 350 44 -14 300 264 12 1 250 200 150 Q3 2020 FX translation Acquisition Brenntag Brenntag All other Segments Q3 2021 contribution Essentials Specialties * Calculations are partly based on assumptions ma
Slide 9: Financials Q3 2021: Brenntag Essentials
Financials Q3 2021: Brenntag Essentials Organic op. EBITDA growth EMEA LATIN AMERICA ▪ Brenntag Essentials again with strong performance +16% +28% ▪ EMEA, North America and Latin America contributed to results ▪ Asia Pacific impacted by strict COVID-19 lockdowns ▪ Maintaining supply chains was key N
Slide 10: Financials Q3 2021: Brenntag Specialties
Financials Q3 2021: Brenntag Specialties Organic op. EBITDA growth EMEA AMERICAS ▪ Benefitting from good margin management +29% +64% ▪ Growth across all segments and industries ▪ Asia Pacific impacted by strict COVID-19 lockdowns ▪ Nutrition, Material Science and Lubricants with particularly strong
Slide 11: Financials Q3 2021: Segments (1/2)
Financials Q3 2021: Segments (1/2) in EUR m Operating gross profit1) Operating EBITDA2) ∆ FX ∆ FX Q3 2021 Q3 2020 ∆ Q3 2021 Q3 2020 ∆ ∆ organic adjusted adjusted Brenntag Essentials 520.2 433.0 20.1% 19.5% 210.3 162.9 29.1% 28.7% 26.9% Brenntag Specialties 334.3 257.3 29.9% 30.1% 152.9 108.0 41.6% 4
Slide 12: Financials Q3 2021: Segments (2/2)
Financials Q3 2021: Segments (2/2) in EUR m Operating gross profit1) Operating EBITDA2) ∆ FX ∆ FX Q3 2021 Q3 2020 ∆ Q3 2021 Q3 2020 ∆ ∆ organic adjusted adjusted Essentials EMEA 188.3 172.5 9.2% 8.1% 70.9 60.1 18.0% 17.2% 16.4% Essentials North America 268.1 203.7 31.6% 31.7% 118.0 83.2 41.8% 42.5%
Slide 13: Financials Q3 2021: Income statement below operating EBITDA
Financials Q3 2021: Income statement below operating EBITDA in EUR m Q3 2021 Q3 2020 ∆ FY 2020 Operating EBITDA 342.9 264.4 29.7% 1,057.7 Special items -15.4 -14.6 -5.5% -47.2 Depreciation -65.1 -61.5 5.9% -252.4 EBITA 262.4 188.3 39.4% 758.1 Amortization -15.8 -10.7 47.7% -45.1 EBIT 246.6 177.6 38.
Slide 14: Financials Q3 2021: Free cash flow
Financials Q3 2021: Free cash flow in EUR m Q3 2021 Q3 2020 ∆ ∆ FY 2020 Operating EBITDA 342.9 264.4 78.5 29.7% 1,057.7 Capex -38.0 -38.5 0.5 -1.3% -201.9 ∆ Working capital -114.2 226.5 -340.7 -150.4 325.0 Principal and interest payments -35.7 -31.7 -4.0 12.6% -126.2 on lease liabilities Free cash f
Slide 15: Financials Q3 2021: Balance Sheet and maturity profile
Financials Q3 2021: Balance Sheet and maturity profile 1,000 Syndicated in EUR m 30 Sep 2021 31 Dec 2020 Facility Financial liabilities 2,124.1 1,639.4 800 Bond 2025 Bond Lease liabilities 451.4 426.8 600 Bond + 2029 2) Warrants ./. Cash and cash equivalents 544.0 726.3 400 Net Debt 2,031.5 1,339.9
Slide 16: Financials Q3 2021: Working capital
Financials Q3 2021: Working capital in EUR m 30 Sep 2021 30 Jun 2021 31 Mar 2021 31 Dec 2020 30 Sep 2020 Inventories 1,431.1 1,207.8 1,092.8 978.9 1,005.9 + Trade receivables 2,189.4 2,056.8 1,938.7 1,597.5 1,648.0 ./. Trade payables 1,660.1 1,555.2 1,485.7 1,229.8 1,194.2 Working capital (end of pe
Slide 17: Project Brenntag: Status update 9M 2021
Project Brenntag: Status update 9M 2021 Overall Measures Results Implementation ▪ Implementation of transformation ▪ Implementation of measures ▪ Working Capital turn of 8.4x program on track according to plan ▪ Structural reduction of more than 740 ▪ Ongoing implementation of site ▪ Broad portfolio
Slide 18: Project Brenntag: Operating EBITDA contribution
Project Brenntag: Operating EBITDA contribution Project Brenntag FY 2023 Project Brenntag Achievement Top line levers EBITDA impact from Operating Gross Profit ~EUR 40m1) ~EUR 12m growth Bottom line levers EBITDA impact from ~EUR 180m1) ~EUR 59m expenses reduction around EUR 70m in EUR m Total Opera
Slide 19: Digital Sales Channel Development @ Brenntag
Digital Sales Channel Development @ Brenntag Brenntag Connect Key Features Digital Sales Solutions Channel to over 10,000 chemicals and ingredients globally $ i ▪ Buy thousands of products online by industry, supplier and product type Place Orders and Track Search Products and View and Download Ship
Slide 20: Agenda
Agenda HIGHLIGHTS Q3 2021 FINANCIALS Q3 2021 OUTLOOK APPENDIX to navigate Brenntag SE – Q3 2021 Results Presentation | 4 November 2021 20
Slide 21: Outlook 2021: Well positioned in challenging environment
Outlook 2021: Well positioned in challenging environment ▪ Exceptional market conditions expected to persist well into 2022 Macro ▪ Continuous pressure on global supply chains, spiking energy prices and developments in China environment play an important part ▪ Well positioned to keep high level of
Slide 22: Thank you for your attention!
Thank you for your attention! Christian Kohlpaintner Georg Müller CEO CFO We are happy to answer your questions! Brenntag SE – Q3 2021 Results Presentation | 4 November 2021 22
Slide 23: Agenda
Agenda HIGHLIGHTS Q3 2021 FINANCIALS Q3 2021 OUTLOOK APPENDIX to navigate Brenntag SE – Q3 2021 Results Presentation | 4 November 2021 23
Slide 24: Financials 9M 2021: Operating EBITDA bridge
Financials 9M 2021: Operating EBITDA bridge* in EUR m Organic growth +28% +28% +26% 1100 88 998 1000 139 -25 900 804 18 800 -26 700 600 500 400 9M 2020 FX translation Acquisition Brenntag Brenntag All other Segments 9M 2021 contribution Essentials Specialties * Calculations are partly based on assum
Slide 25: Financials 9M 2021: Income statement below operating EBITDA
Financials 9M 2021: Income statement below operating EBITDA in EUR m 9M 2021 9M 2020 ∆ Operating EBITDA 998.3 803.6 24.2% Special items -104.1 -33.4 211.7% Depreciation -191.9 -189.6 1.2% EBITA 702.3 580.6 21.0% Amortization -91.7 -33.5 173.7% EBIT 610.6 547.1 11.6% Financial result -49.2 -61.9 -20.
Slide 26: Financials 9M 2021: Cash flow items
Financials 9M 2021: Cash flow items in EUR m 9M 2021 9M 2020 ∆ ∆ Operating EBITDA 998.3 803.6 194.7 24.2% CAPEX -105.9 -127.1 21.2 -16.7% ∆ Working capital -443.0 214.2 -657.2 -306.8% Principal and interest payments on lease liabilities -97.3 -94.8 -2.5 2.6% Free cash flow 352.1 795.9 -443.8 -55.8%
Slide 27: Financials FY 2020: Operating EBITDA bridge
Financials FY 2020: Operating EBITDA bridge* in EUR m Organic growth 1200 +17% -7% +25% +20% +6% 1100 68 20 1,058 12 1,002 18 1000 -2 -33 -25 900 800 700 600 500 FY 2019 FX translation Acquisition EMEA North America Latin America Asia Pacific Rest of World FY 2020 contribution * Calculations are par
Slide 28: Financials FY 2020: Income statement below operating EBITDA
Financials FY 2020: Income statement below operating EBITDA in EUR m FY 2020 FY 2019 ∆ Operating EBITDA 1,057.7 1,001.5 5.6% Special items -47.2 8.6 -648,8% Depreciation -252.4 -243.6 3.6% EBITA 758.1 766.5 -1.1% Amortization 1) -45.1 -49.6 -9.1% EBIT 713.0 716.9 -0.5% Financial result -79.7 -83.5 -
Slide 29: Financials FY 2020: Cash flow items
Financials FY 2020: Cash flow items in EUR m 2020 2019 ∆ ∆ Operating EBITDA 1,057.7 1,001.5 56.2 5.6% CAPEX -201.9 -205.2 3.3 -1.6% ∆ Working capital 325.0 161.7 163.3 -101.0% Principal and interest payments on lease liabilities -126.2 -120.7 -5.5 4.6% Free cash flow 1,054.6 837.3 217.3 26.0% FREE C
Slide 30: Financials FY 2020: Continuous dividend increase
Financials FY 2020: Continuous dividend increase Dividend in EUR in EUR m 2020 2019 ∆ 1.5 1.35 Profit after tax 473.8 469.2 1.0% 1.25 1.20 1.2 1.10 Less minority interests 7.3 2.5 1.05 1.00 0.87 0.90 Profit after tax (consolidated) attributable 0.80 466.5 466.7 0.0% 0.9 to shareholders of Brenntag S
Slide 31: Financial calendar / Contact
Financial calendar / Contact Date Event March 9, 2022 Annual Report 2021 June 9, 2022 General Shareholders’ Meeting 2021 The financial calendar is updated regularly. You can find the latest dates on Kelvin Jörn Bianca Li Thomas Altmann Diana Alester Jan Ruhlandt https://www.brenntag.com/corporate/en
Slide 32: Disclaimer
Disclaimer This presentation may contain forward-looking statements based on current assumptions and forecasts made by Brenntag SE and other information currently available to the company. Various known and unknown risks, uncertainties and other factors could lead to material differences between the