Seche Environnement Sa · EURONEXT:SCHP
Seche Environnement Sa — Investor Day (December 2023)
92 slides from Seche Environnement Sa's investor day presentation, Dec 12, 2023
Slide 1: Investor Day
YOUR TRANSITION Investor Day Paris December 12, 2023 OUR TRANSITION
Slide 2: Presentation schedule
Presentation schedule 2 Accelerating the ecological transition The challenges of our ecological transition are our customers' challenges Part 1 (8.30am - 10.30am) Part 2 (10:45am - 12:00pm) A word of welcome Innovation for growth and decarbonization R&D: accelerating decarbonization Build an innov
Slide 3: A word of welcome
3 YOUR TRANSITION A word of welcome Joël Séché Chairman of the Board of Directors OUR TRANSITION Investor Day I December 12, 2023
Slide 4: An Investor Day, why?
A word of welcome 4 An “Investor Day”, why? Reminder of targets for 2025 (based on 2021 scope) Successful growth - Contributed revenue of €1,000 million New financial and profitability - EBITDA between 24% and 25% of contributed revenue and non-financial strategy - Generation of free operating cash
Slide 5: Presentation schedule
5 YOUR TRANSITION Presentation schedule Maxime Séché Chief Executive Officer OUR TRANSITION Investor Day I December 12, 2023
Slide 6: Part 1 (8:30am - 10:30am)
Investor Day Agenda 6 Part 1 (8:30am - 10:30am) Séché, a player in the ecological transition Maxime Séché Pierre-Yves Burlot David Drouin Chief Executive Officer Director of Sustainable Development Group Sales Director Building an innovative offer New non-financial commitments Highly visible, sustai
Slide 7: Part 1 (8:30am - 10:30am)
Investor Day Agenda 7 Part 1 (8:30am - 10:30am) Séché, a player in the ecological transition Nicolas Rogeau Marco Paesano Shoba Govender Director of Industrial Operations Director of International Sales Sales Director at Interwaste responsible for services Expanding our offer in the Geographical sco
Slide 8: Part 2 (10:45am - Noon)
Investor Day Agenda 8 Part 2 (10:45am - Noon) Operational and financial trajectory to 2026 Sylvain Durécu Franck Morineau Baptiste Janiaud Director of R&D Director of Operations Chief Financial Officer Innovation for growth Further optimization Financial trajectory and decarbonization of industrial
Slide 9: Questions / Answers
Investor Day Agenda 9 Questions / Answers At your disposal Questions can already be directed to: Manuel Andersen, Head of Investor Relations m.andersen@groupe-seche.com They will be transmitted during the exchange sessions planned during the presentation Investor Day I December 12, 2023
Slide 10: Build an innovative offer for customers' ecological transition challenges
10 YOUR TRANSITION Build an innovative offer in response to our customers' ecological transition challenges Maxime Séché Chief Executive Officer OUR TRANSITION Investor Day I December 12, 2023
Slide 11: Build an innovative, integrated offer for ecological transition challenges
Our positioning 11 Build an innovative, integrated offer that meets the ecological transition challenges of economic actors Our values Our missions OUR INTEGRATED OFFER FOR INDUSTRIAL CUSTOMERS AND LOCAL AUTHORITIES Family business Reducing OUR BESPOKE SERVICES OUR INDUSTRIAL AND Long-term vision TE
Slide 12: Three complementary areas of expertise
Séché at the hear t of industrial and regional ecology 12 Three complementar y areas of exper tise to help our customers make the ecological transition ≈34% of ≈ 21% of ≈ 45% of revenue revenue revenue in 2023E in 2023E in 2023E Circular economy and Hazard management Services businesses decarbonizat
Slide 13: Expertise in industrial customers and complex waste management
Séché at the hear t of industrial and regional ecology 13 Expertise in industrial customers and complex waste management to develop a secure circular economy Breakdown of revenue to 12/31/2022 Breakdown of revenue to 12/31/2022 by division and customer base by business sector Consumer goods: 1% NHW
Slide 14: A growth strategy based on complementary pillars
Profitable growth strategy 14 A growth strategy based on 4 complementar y pillars Deploying an innovative circular economy offer Putting R&D at the heart of our business Developing innovative processes for recycling model rare materials Improving existing processes (productivity, Investing in
Slide 15: Expanding our offer and diversifying geographically
Dynamic exter nal growth strate gy 15 Expanding our offer and diversifying geographically 2017-2022 A dynamic external growth strategy 2023 more than €270 million in 2022 revenue acquired over the period 2021 France Finalization of the integration of the including ≈€145 million outside France In
Slide 16: Industrial water cycle: consolidation of new strategic businesses
Expanding our of fer 16 Industrial water cycle: consolidation of new strategic businesses in the circular economy and industrial ser vices markets Séché Assainissement Séché Assainissement 34 STEI Séché ARI Investor Day I December 12, 2023
Slide 17: Build strategic international positions in synergy with local operations
Geographical scope of our of fer 17 Build strategic inter national positions in synergy with local operations Italy Namibia Peru Investor Day I December 12, 2023
Slide 18: Deploy our offer in high-potential industrial economies
Geographical scope of our of fer 18 Deploy our offer in high-potential industrial economies Geographical breakdown of revenue to 12/31/2022 South Africa Latin America 14% 3% International 30% Rest of world 4% France 70% Italy 7% Spain 2% Germany <1% Investor Day I December 12, 2023
Slide 19: Strong organic growth coupled with an active acquisition strategy
Positioning in growth markets 19 Strong organic growth coupled with an active acquisition strategy Expanding our offer in the service sector Strong business growth between 2018 and 2022 Shift in business mix towards services Breakdown of contributed revenue by activity €895m 45% €529m* 38% 34% 35% 2
Slide 20: Accelerating the ecological transition: non-financial performance
20 YOUR TRANSITION Accelerating the ecological transition: non-financial performance, a driver of virtuous growth Pierre-Yves Burlot Director of Sustainable Development OUR TRANSITION Investor Day I December 12, 2023
Slide 21: New analysis of the taxonomy
Green taxonomy as of 06/30/2023 21 New analysis of the taxonomy based on the European Commission's final version (June 2023) Eligibility / Revenue alignment 100% 90% 86% 80% Waste and water sector Energy sector 70% 67% 60% 60% 50% 47% 44% 38% 40% 33% 30% 24% 25% 20% 15% 10% 0% 4 other companies in t
Slide 22: New commitments 2026
Investor Day 2023 22 New commitments 2026 Investor Day I December 12, 2023
Slide 23: Reducing GHG emissions
Non-financial indicators: CLIMATE 23 Reducing GHG emissions Group carbon footprint: 604 KTCO2 in 2022 COMMITMENT / TARGET -2% -10% -13% -25% After a peak in emissions in 2021, emissions fell in 2022 to a level below that of 2020, the year of COVID (-2%, and -4% compared with 2021). 619 604 557 538
Slide 24: Strategy for increasing GHG emissions avoided in materials recovery
Non-financial indicators: CLIMATE 24 Strategy for increasing GHG emissions avoided in materials recover y COMMITMENT / TARGET In 2020, the Group avoided 175 KTCO2e material recovery Target: increase avoided emissions +11% +40% +50% by 50% by 2026 Séché Environnement's circular economy capacities (
Slide 25: Energy efficiency
Non-financial indicators: ENERGY 25 Energy efficiency COMMITMENT / TARGET Group consumption: 457 GWh of energy in 2022 Energy consumption will fall for the first time -10% -12% in 2022: - 1% (vs 2021, a peak year) -1% Objective: -12% by 2026 459 464 457 413 404 IDENTIFIED ACTIONS Improving the ene
Slide 26: Energy generation
Non-financial indicators: ENERGY 26 Energy generation COMMITMENT / TARGET +18% +32% +36% Energy self-sufficiency rate of 270% by 2022 Target: Increase energy production by 25% compared to 2020 by 2026 270% 300% 310% Target: 310% by 2026 228% 2020 2022 2025 2026 Self-sufficiency rate at current s
Slide 27: Commitment to water conservation
New 2026 targets: WATER 27 Commitment to water conser vation ACTION PLAN COMMITMENT / TARGET For the first time, water consumption will Limit the use of mains water fall in 2022 (at a constant tonnage treated Develop rainwater rainwater collection basis): -2% systems Target -13% by 2026 Develop th
Slide 28: Commitment to water conservation
New 2026 targets: WATER 28 Commitment to water conser vation IDENTIFIED ACTIONS Overview of solutions Budget (OPEX/CAPEX mix): €400k/year Replacing equipment with more energy-efficient alternatives 22 actions identified Sites concerned: around 50 Reuse of rainwater 28 actions identified ROI varies a
Slide 29: New 2023-2027 targets: Biodiversity
New 2017 targets: BIODIVERSITY 29 New Cycle 2023-2027 30 volunteer sites At least 4 actions Europe at each site for 1 to 5 years (until 2027) France A biodiversity ambassador at each site Worldwide Creating participatory momentum among employees and the local community Verification of our actions by
Slide 30: Panorama of developments on site
Panorama of developments on site 30 These achievements are adjustments Amphibians Plantations: develop vegetation, Management practices of and reptiles refuges structure soils and wildlife local areas • Permanent pools refuges • Differentiated management • Laying areas • Hedgerows • Free evolution •
Slide 31: Our Biodiversity Strategy for 2023-2027
31 Our Biodiversity Strategy for 2023-2027 A full commitment in every territories and in the chain of value Investors ESG financing Clients Impact loans Soil remediation Emergency response Suppliers Biodiversity support Sustainable purchasing policy Our resources for biodiversity Internal Expe
Slide 32: Summary of commitments 2026
Investor Day 2023 32 Summary of commitments 2026 Investor Day I December 12, 2023
Slide 33: Table for tracking non-financial indicators
Summar y of commitments 33 Table for tracking non-financial indicators Non-financial indicators 2020 2021 2022 2025 targets 2026 targets CLIMATE & ENERGY GHG emissions (KTCO2) 619.0 646.8 604.0 557 (-10%) 538 (-13%) Energy consumption (GWh) 459.0 488.8 457.0 413 (-10%) 404 (-12%) GHGs avoided by mat
Slide 34: Highly visible, sustainable growth markets in France and abroad
34 YOUR TRANSITION Highly visible, sustainable growth markets in France and abroad David Drouin Group Sales Director OUR TRANSITION Investor Day I December 12, 2023
Slide 35: Key factors in our growth
Market dynamics 35 Key factors in our growth Developing our capacity for innovation • Maxibrome: circular economy loop for industrial customers • PFAS: R&D on treatment solutions (soil decontamination, thermal treatment, effluent purification, etc.) Developing our service offers • Emergency response
Slide 36: Key factors in our growth: regulatory changes
Markets dynamics 36 Key factors in our growth Regulatory changes • PFAS • Zero Net Artificialization • Decarbonation Our answers to environmental challenges • Restriction to water uses • Post-Lubrizol regulations • … • Extended Producer’s responsibility (eco-conception, circular economy) Our answers
Slide 37: Positive sales outlook: local authority markets in France
Markets dynamics 37 Positive sales outlook Local authority markets in France Trends on local authorities markets (17% of contributed revenue en 2023) Our strategy : a selective approach Proximity challenges Value added of our expertise Synergies with our commercial offer Example of potential :
Slide 38: Positive sales outlook: industrial markets in France
Markets dynamics 38 Positive sales outlook Industrial markets in France Trends on industrial markets (83% of contributed revenue in 2022) Our levers Sectors Tendances marchés Exposition Séché Regulatory : PFAS, Zero Net Chemicals Hazardous waste treatments, Regeneration, Services Artificialization,
Slide 39: Good business prospects: our clients internationally
Market dynamics 39 Good business prospects Our clients inter nationally Breakdown of international revenue by business sector Other 16% Energy 24% Pharma 3% Distribution 10% Mining Environmental services 11% 18% Chemical s 18% Investor Day I December 12, 2023
Slide 40: Good business prospects: international markets
Market dynamics 40 Good business prospects Inter national markets • Developing our offer for industrial customers • Southern Africa based on the French model • Expanding our processing capabilities • Delegated management • Offering high-standard solutions for managing • Polluted sites and soils haza
Slide 41: Accelerating growth: industrial water cycle and international activity
41 YOUR TRANSITION Accelerating growth: the industrial water cycle and new areas for international activity OUR TRANSITION Investor Day I December 12, 2023
Slide 42: Expanding our offer: the industrial water cycle
42 YOUR TRANSITION Expanding our offer in the circular economy and service divisions: The industrial water cycle Nicolas Rogeau Director of Industrial Operations, responsible for Services OUR TRANSITION Investor Day I December 12, 2023
Slide 43: Why industrial water cycle markets?
Industrial water cycle 43 Why industrial water cycle markets? An issue of our sovereignty as a Group All our current and future industrial facilities (waste recovery/treatment, etc.) are directly affected by the issue of production, reduction of consumption, treatment, and reuse of water Growing d
Slide 44: Service solutions to reduce our ecological footprint
Industrial water cycle 44 Ser vice solutions to reduce our ecological footprint Materials Water Land Energy Water cycle Decontamination Waste management Energy generation Reducing pollution Pollution treatment Circular economy solutions Energy recovery Reducing consumption Site r
Slide 45: Industrial water cycle divisions
Industrial water cycle 45 Industrial water cycle divisions Effluents Process water Integrated water cycle Network sanitation Operation of effluent Process water supply Integrated outsourced Cleaning of networks and treatment plants (filtration, softening, ultra management services infrastruc
Slide 46: Comprehensive expertise in water cycle management
Industrial water cycle 46 Comprehensive exper tise in water cycle management Design Works Operation Maintenance Engineering Implementation On-site operations Interventions Supervision Turnkey design of Construction of new Deployment of dedicated Maintenance at all levels process water plants or part
Slide 47: Example project
Industrial water cycle 47 Example project Investor Day I December 12, 2023
Slide 48: A high-potential market
Industrial water cycle 48 A high-potential market Industrial water market in France in 2021 Market expected to grow Total market €1.8 billion of which €275 million subcontracted Growing tendency for industrial customers to outsource water cycle management, given the increasing complexity of Other
Slide 49: Outlook: numerous opportunities for industrial water cycle activities
Industrial water cycle 49 Outlook: numerous oppor tunities for industrial water cycle activities Performance: making it profitable Optimization of operational resources (contracts, agencies, regions, support functions) and deployment of KPI management Improved profitability: rationalization of t
Slide 50: Synergy / extension of industrial offer: example of a pharma customer
Industrial water cycle 50 Synergy / extension of industrial offer Example of a phar ma customer Integrated contract end 2022 Duration 3 years Operation of an industrial effluent treatment plant Operated by the agency STEI Tours Expanding our offer through teamwork Presentation of the STEI conn
Slide 51: Deploying our offer internationally: Séché Italia
51 YOUR TRANSITION Deploying our offer internationally Séché Italia New opportunities for Mecomer-Furia Marco Paesano Director of International Sales OUR TRANSITION Investor Day I December 12, 2023
Slide 52: Mecomer: Italy's best-equipped and most modern platform
Mecomer Srl 52 Mecomer Italy's best-equipped and most moder n platfor m Revenue Employees 58 326 160 141 60 000 130 134 49 352 140 50 000 45 506 44 715 111 117 120 40 000 100 80 30 000 60 20 000 40 10 000 20 - - 2019 2020 2021 2022 2023F 2019 2020 2021 2022 2023F Change in annual tonnage 120 000 SOL
Slide 53: Mecomer has finalized its industrial expansion plan for 2023
Mecomer Srl 53 Mecomer has finalized its industrial expansion plan for 2023 Per mit extensions and new capacities Surface area has more than doubled: from 7,145 m2 to 19,406 m2 (+172%) Permitted capacity has doubled: from 100,000 tons/year to 200,000 tons/year (+100%) Commissioning of a new nitrogen
Slide 54: Mecomer: new technological resources
Mecomer Srl 54 Mecomer finalized its industrial expansion plan in 2023 New technological resources A new in-house analysis laboratory 7 computerized weighbridges Central fire detection and extinguishing system Workshop for reconditioning reactive chemicals 2 new mixing pits for sludge waste 2 regene
Slide 55: An industrial facility unique in Italy
Mecomer Srl 55 An industrial facility unique in Italy Investor Day I December 12, 2023
Slide 56: Furia: a recent acquisition offering geographic synergies with Mecomer
Furia Srl 56 A recent acquisition (October 2023) offering strong geographic synergies with Mecomer Substantial resources Surface area of 14,450 m2 Permitted 223,000 tons/year Platform for preparation and pre-treatment of Hazardous Waste and Non-Hazardous Waste Specialized in solid waste: slu
Slide 57: Positioning ourselves in complementary businesses
Furia Srl 57 Positioning ourselves in complementar y businesses Construction Total Waste Transportation sites Management and processing Demolition, Solidification, excavation, Handling stabilization decontamination contracts for key accounts Physical & Emergency chemical response Customer treatment
Slide 58: A major operator in Italy
58 ITALY A major operator in Italy Top 5 operators in Italy Italy's leading foreign operator REVENUE A strong presence €117m with major industrial customers Investor Day I December 12, 2023
Slide 59: Deploying our offer internationally: Southern Africa
59 YOUR TRANSITION Deploying our offer internationally Southern Africa A successful strategy Shoba Govender Sales Director at Interwaste OUR TRANSITION Investor Day I December 12, 2023
Slide 60: A strong presence in Southern Africa
Deploying our of fer in souther n Africa 60 A strong presence in Southern Africa A comprehensive offer targeting industrials Investor Day I December 12, 2023
Slide 61: Investor Day
YOUR TRANSITION Investor Day Conference resumes at 10:45am sharp Paris December 12, 2023 OUR TRANSITION
Slide 62: Part 2: Operational and financial outlook to 2026
62 YOUR TRANSITION Part 2 Operational and financial outlook to 2026 OUR TRANSITION Investor Day I December 12, 2023
Slide 63: Innovation for growth and decarbonization
63 YOUR TRANSITION Innovation for growth and decarbonization Sylvie Durécu Director of R&D OUR TRANSITION Investor Day I December 12, 2023
Slide 64: Our objectives
R&D at the hear t of Séché's strategy 64 Our objectives Manage I Optimize I Contribute I Improve I Innovate I Promote Develop the technologies of the future Treat and recycle tomorrow's waste Develop new technologies Medium-term projects, disruptive technologies Conduct waste assessments Anticipatin
Slide 65: Strategic importance for French industry
R&D for the circular economy 65 Recycling metals and strategic minerals Lithium GOVERNMENT Development of new businesses in lithium chemistry. Critical substances Collecting and recycling lithium waste for lithium Strategic importance for French industry for French industry recovery Very high critic
Slide 66: Reducing GHG emissions for ourselves and our customers
R&D for decarbonization 66 Reducing GHG emissions for ourselves and our customers Carbon capture Modeling oxy-fuel combustion solutions for incineration with flue gas recirculation Carbon recovery Developing partnerships with players in the transformation of biogenic CO2 for the synthesis of molecul
Slide 67: Per- and polyfluoroalkyl substances (PFAS)
R&D for hazard control 67 Per- and polyfluoroalkyl substances (PFAS) PFAS processing Enhanced service offer Continued demonstration of our hazardous Launch of a Transposition of Contaminated soil waste incineration collaborative project water-saving treatment program plants’ ability to to treat acti
Slide 68: Further optimization of industrial and logistics facilities
68 YOUR TRANSITION Further optimization of industrial and logistics facilities Franck Morineau Group Operations Director OUR TRANSITION Investor Day I December 12, 2023
Slide 69: Non-hazardous waste treatment: performance and customer-oriented organization
Industrial operations: pursuing industrial and logistical optimization 69 A perfor mance & customer-oriented organization Industrial Focus and discipline Chemicals and industrial services performance in execution Non-hazardous waste treatment Special waste treatment On-site waste International manag
Slide 70: Our organization's main objectives
Industrial operations: pursuing industrial and logistical optimization 70 Our organization's main objectives The men and women of Séché Operational performance Raising our health & safety culture Zero accidents, Zero regulatory deviations to the highest industry standards Develop industrial ca
Slide 71: Our health and safety commitments and results
Industrial operations: pursuing industrial and logistical optimization 71 Our health and safety commitments Our results Deployment of the 9 vital rules Our results in terms of frequency Working (TF1) and severity (TG) towards Zero Accidents 14 13,15 2,5 13 12,60 1. Confined spaces 2. Portable machin
Slide 72: Imperative: zero regulatory deviations
Industrial operations: pursuing industrial and logistical optimization 72 Imperative: zero regulator y deviations Following-up on Scopes being Monitoring regulatory actions during extended: compliance regulatory audits international, services Participation in Regulatory audits Recording corrective a
Slide 73: CAPEX breakdown
Industrial operations: pursuing industrial and logistical optimization 73 CAPEX breakdown Séché Chile: €0.3 million for the installation of fire extinguishing lines FG site (South Africa) : €0.3 million for the Development license to operate 40% Regulatory Maxibrome (France): €6.5 million for the ex
Slide 74: Productivity improvement plan: examples from France
Industrial operations: pursuing industrial and logistical optimization 74 Productivity improvement plan A few examples from France Speichim Saint Vulbas Mo’Uve VNProcess +20% tons processed Value chain instrumentation for improved operational performance Setting up a new circular economy loop +48% r
Slide 75: Productivity improvement plan: international examples
Industrial operations: pursuing industrial and logistical optimization 75 Productivity improvement plan A few inter national examples Solarca Séché Peru Investment-related productivity gains Investment-related productivity gains Reducing the cost of liquid waste Liquid waste treatment: diversion
Slide 76: Supply Chain Management supporting the Group's growth
Industrial operations: pursuing industrial and logistical optimization 76 Supply Chain Management Suppor ting the Group's growth OBJECTIVE: deliver value-creating, high quality service to our customers through an optimized, innovative, and sustainable supply chain PRIORITIES Special waste (includi
Slide 77: The School of Knowledge
Industrial operations: pursuing industrial and logistics optimization 77 The School of Knowledge Investor Day I December 12, 2023
Slide 78: The School of Knowledge
Industrial operations 78 The School of Knowledge Finding Ambitions Methods •Lack of academic training in some of our •Promoting our professions in schools and at •Supporting teams in mastering key skills businesses and external recruitment of career fairs employees who need professional training •Pr
Slide 79: Financial trajectory to 2026
79 YOUR TRANSITION Financial trajectory to 2026 Pursue growth Improve operating profitability Maximize free cash flow generation Baptiste Janiaud Chief Financial Officer OUR TRANSITION Investor Day I December 12, 2023
Slide 80: Solid historical performance, 2023 targets confirmed
Outlook for 2024-2026 80 Solid historical perfor mance 2023 targets confir med Change in revenue (excluding TGAP, in € million) €990 m < contributed revenue < €1,000 m 895 736 657 642 529 2018 2019 2020 2021 2022 2023 E Change in EBITDA (in € million) €215m < EBITDA < €219m 202 170 135 137 109 2018
Slide 81: Factoring in a macroeconomic environment less favorable to growth
Outlook for 2024-2026 81 Factoring in a macroeconomic environment less favorable to anticipated growth Economic growth Real GDP 2019 2020 2021 2022 2023E 2024E 2025E 2026E France +1.9% -7.7% +6.4% +2.5% +1.0% +1.3% +1.8% +1.7% Italy +0.5% -9.0% +7.0% +3.7% +0.7% +0.7% +1.0% +1.2% Spain +2.0% -11.2%
Slide 82: Performance levers
Outlook for 2024-2026 82 Perfor mance levers Increasing the profitability Controlling Industrial efficiency of new and existing businesses operating expenses +€9m +€5m +€17m on EBIT on EBIT on EBIT 2026E 2026E 2026E Accelerating economies of scale through Maintaining excellence in operational bu
Slide 83: Improving performance: reducing expenses and controlling costs
Outlook for 2024-2026 83 Improving perfor mance Reducing expenses and controlling costs Basis of expenditure 2022: €275 million Cost savings plan Insurance 5% Expenditure cut by €20 million in 3 years Technical fees Overhead (at constant scope) 5% 15% HR Diversification of supplies (energy, raw
Slide 84: Restatement of non-recurring effects on revenue and EBITDA
Outlook for 2024-2026 84 Restatement of non-recurring effects impacting contributed revenue and EBITDA In €m 2022 2023E Reported contributed revenue 895 990 - 1000 - ‘Exceptionally large’ emergencies contracts - 25 - - Energy (price effect) - - 14 Adjusted contributed revenue 870 976 - 986 In €m 202
Slide 85: Outlook to 2026: adjusted revenue
Trajector y 2024-2026 85 Outlook to 2026 Adjusted revenue and operating margins Adjusted revenue in € million CAGR 2024-2026: +5.0% i.e., revenue in 2026 ≈ €1,200m 2024 revenue: +5.0% vs. 2023 + scope effect: €65m (FY effect) 986* 870 2022 2023E 2024E ** 2025E ** 2026E ** *mid-range estimate **at co
Slide 86: Outlook to 2026: adjusted EBITDA and EBIT
Trajector y 2024-2026 86 Outlook to 2026 Adjusted revenue and operating margins Adjusted EBITDA in € million CAGR 2024 - 2026: +9% 265 < adjusted EBITDA < 275 EBITDA≈230* 22% < adjusted EBITDA < 23% ≈210* 21.3% 194 21.4% 22.1% 2022 2023E 2024E ** 2025E ** 2026E ** Adjusted EBITDA Adjusted EBIT in €
Slide 87: Maximize free cash flow generation
Financial trajector y 2024-2026 87 Maximize free cash flow generation WCR reduction: improvement in DSO to offset the increase Earnings per share and dividends in business over the 24-26 period and payout ratio 8 60,00% Invoicing back to normal after the 2023 cyber-attack 54,1% 7 Increased use o
Slide 88: Liquidity
Outlook for 2024-2026 88 Liquidity Free cash flow before financial investments in excess of €250 million for the 2024-2026 period as a whole EBITDA - Corporate tax paid - Dividends - Rehabilitation & maintenance costs - Interest paid ≈ €20 million* = Free cash flow ≥ €250 m cumulative over the perio
Slide 89: Maintaining financial discipline: debt reduction and financial flexibility
Outlook for 2024-2026 89 Maintaining financial discipline: debt reduction and financial flexibility Leverage < 3x within 12 months of acquisition Ratings S&P : BB / Positive Fitch : BB / Stable Reduced debt and leverage (excluding acquisitions in 2024) 800 3,1 3,1 3,5 3,0 2,9 2,8 600 2,7 3,0 2.7 2,5
Slide 90: 2024-2026: new growth and profitability trajectory
Outlook for 2024-2026 90 2024-2026: new growth and profitability trajector y Towards a more liquid and flexible balance sheet Targets* 2024E Trajectory* 2024E-2026E Adjusted revenue up around +5% organically Contributed revenue Growth Adjusted revenue up an average of +5% + Contribution from acquisi
Slide 91: Questions and Answers
Investor Day 2023 91 QUESTIONS AND ANSWERS If you have any questions, please send an e-mail to Manuel Andersen, Director of Investor Relations m.andersen@groupe-seche.com Investor Day I December 12, 2023
Slide 92: Notice
NOTICE 92 This document may contain forward-looking statements. This information represents either trends or objectives at the date of production of this document and should not be considered as forecasts of results or any other performance indicator. By its very nature, this information is by its v