Slide 1: Full Year Results 30th June 2007
For personal use only FULL YEAR RESULTS 30TH JUNE 2007 DOUG TOUGH – CHIEF EXECUTIVE OFFICER RUSTOM JILLA – CHIEF FINANCIAL OFFICER
Slide 2: Ansell F'07 Results Release Agenda
Ansell F’07 Results Release Agenda For personal use only Review of Business/Key Issues - Doug Tough Financial Results - Rustom Jilla Strategy/Outlook - Doug Tough US dollars used in all slides unless otherwise specified 2
Slide 3: F'07; Top Line Momentum, EPS Commitments Delivered
F’07; Top Line Momentum, EPS Commitments Delivered For personal use only F’06 F’07 Sales ($M) 849.1 975.4 Salesup Sales up15% 15% EBIT $M 98.9 96.5 EBITdown EBIT down2% 2% EPS (US¢) 54.8 53.4 EPS EPS US53.4¢ -3% US53.4¢ -3% A67.6¢ -8% A67.6¢ -8% 3
Slide 4: Review of F'07
Review of F’07 For personal use only Excellent Sales Growth; Broad-based organic growth in all businesses/regions Consumer growth through acquisitions HyFlex® continues to lead Occupational growth Core Business Solid; Higher margins realised in H2 Manufacturing restructuring progressed M&A Tra
Slide 5: Examples of Growth
Examples of Growth For personal use only Broad based organic sales growth driven by a focus on branding, products, geographies and channels; Branding – HyFlex® range extensions Products – Gammex® HydraSoft™, Sensilite ™, US Powder Free Surgical Geographies – EMEA Professional Emerging Markets, Latin
Slide 6: Occupational Business
Occupational Business 49% of Revenue and 59% of Segment EBIT For personal use only $M F’06 F’07 Chemical Resistant 54.8 59.3 HyFlex® 87.0 113.6 Solution Selling, new channels, new Knitted 46.8 44.5 geographies General Purpose 72.0 74.8 Disposables 81.9 94.9 Food Service All Other 82.1 91.8 Sales 424
Slide 7: HyFlex The Global Success Story
HyFlex® The Global Success Story For personal use only Sales Volume and Value CAGRs +22% over 6 years Impressive F’07 growth in Mature markets (EMEA +37%) Very encouraging progress in Emerging markets (Latin America +35% and Russia +63%) Product range now extends to 20 Styles 120 Sales Volum
Slide 8: Professional Business
Professional Business 33% of Revenue and 19% of Segment EBIT For personal use only $M F’06 F’07 Surgeons: Branded PF 71.7 83.8 PF/Synthetic volumes up Powdered 60.2 60.8 double digits in all regions Synthetic 16.2 19.8 EMEA and AP driving overall Other 4.1 3.6 surgical growth Exam: PF 77.2 83.7 Powd
Slide 9: Consumer Business
Consumer Business 18% of Revenue and 22% of Segment EBIT For personal use only $M F’06* F’07 Condoms: Branded 77.6 106.2 ~$22M from the 3 acquisitions Bid/Public/PL 26.3 28.8 Tenders Household Gloves 20.2 26.5 EMEA & PL Americas Other 11.4 14.7 4Play, Lubricants, Supplements Sales 135.5 176.2 +30.0%
Slide 10: Progress on Acquisitions
Progress on Acquisitions For personal use only All 3 Businesses are performing in line with expectations:- April 2006 - 75% of Jissbon (China): ~10% share (#2) of Chinese condom market First full year of operations a clear success EPS Accretive F’06 and F’07 April 2007 – Unimil (Poland): ~50% sh
Slide 11: Corporate Sustainability
Corporate Sustainability For personal use only Ansell’s Environmental Commitment Track Record to Date ISO 14001 4 of Ansell’s largest manufacturing plants Compliance to national standards for all were ISO 14001 recertified in F’07 Ansell manufacturing locations Establishment of active Environm
Slide 12: Financial Results
For personal use only Rustom Jilla Chief Financial Officer Financial Results
Slide 13: F'07 Financial Overview
F’07 Financial Overview Operational For personal use only Strong sales; with 12% growth (excluding the 3 acquisitions) Gross margins of “non-latex” products (52% of sales) up ~200 basis points EBIT declined as organic sales and acquisitions did not fully offset latex costs, higher growth & support
Slide 14: F'07 – Strong H2 vs. H1
F’07 – Strong H2 vs. H1 For personal use only Sales +$55M (+12%) higher Segment EBIT +$13M (+28%) higher 525 65 0 13 500 55 7 19 6 475 45 23 515 59 450 35 46 460 425 25 F'07 H1 Occup Prof Cons F'07 H2 F'07 H1 Occup Prof Cons F'07 H2 H1’s strong sales growth was sustained in H2; and Segment EBI
Slide 15: F'07 Profit & Loss
F’07 Profit & Loss For personal use only $M F’06 F’07 Sales 849.1 975.4 GPADE 272.7 309.7 SG&A 169.7 213.2 Operating EBIT 103.0 96.5 SPT Write down & Sale Costs 4.1 - EBIT 98.9 96.5 Interest & Borrowing Costs 4.4 7.0 Tax 5.8 7.2 Minorities 2.0 3.2 Profit Attributable 86.7 79.1 GPADE : Sales 32.1% 31
Slide 16: F'07 Margin Drivers
F’07 Margin Drivers GPADE rose $37M vs. F’06, with higher margins of non-latex products offsetting For personal use only latex products $M GPADE from higher sales volumes (pre-acquisitions) ~ +29 GPADE from acquisitions (Jissbon, Unimil, Blowtex) ~ +14 Net P&L impact of Latex (raw latex, exam glov
Slide 17: F'07 Expenses
F’07 Expenses For personal use only Ansell’s expenses were higher, in line with planned investments in growth and infrastructure Growth expenses up $29M including FX ($M) Jissbon/Unimil/Blowtex S&M 6 Sales & Marketing (regional & global) 17 Science &Technology, Business Development 3 Supply (inc
Slide 18: Portfolio Performance; Year On Year
Portfolio Performance; Year On Year For personal use only FY’07 SALES = $975.4 M 15% FY’07 SEGMENT EBIT = $105.5 M -2% Occupational Professional Consumer Occupational Professional Consumer Asia Asia Pacific Pacific Europe Europe Americas Americas > +5% From 0% to +5% < 0% Sales: Good regional tracti
Slide 19: F'07 Balance Sheet
F’07 Balance Sheet For personal use only $M 30 June 06 30 June 07 Fixed Assets 144.6 163.0 Goodwill & Intangibles 221.7 280.8 Other Assets/Liabilities (14.1) (22.0) Avg. WCD F’06 80 Days Working Capital 189.6 212.4 F’07 80 Days Net Operating Assets 541.8 634.2 Net Interest Bearing Debt 58.4 114.5 Sh
Slide 20: F'07 Cash Flow
F’07 Cash Flow For personal use only $M F’06 F’07 Operating EBIT (Excl SPT) 103.0 96.5 Depreciation & Asset Write Downs 18.9 22.8 With Sales Working Capital (excluding (16.3) (12.9) acquisitions) Tax Paid (12.2) (18.0) Capital Expenditure (12.3) (18.0) Interest Paid (Net) (4.4) (7.8) Free Cash Flow
Slide 21: Year End Financial Position
Year End Financial Position For personal use only Ansell Ended F’07 in a stronger position …. Strong organic sales growth and bolt-on acquisitions have strengthened our competitive position Plant restructuring progress with one small US plant closed in F’07 and further (global) moves under consi
Slide 22: Strategy/Outlook
For personal use only Doug Tough Chief Executive Officer Strategy/Outlook
Slide 23: 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 Occupational #1 Diverse Condoms #2 Portfolio ROE / ROA Focus Global Reach Strong Balance Sheet Multi-cultural Balanced Disciplined management Capital Acquisition Manageme
Slide 24: Strategic Evolution
Strategic Evolution For personal use only Methodology: Multi-faceted approach to growth 99 F’07 Base Retail Russia JV Jissbon Products China Alliances Unimil Programs Brazil Blowtex India 24
Slide 25: F'08 Outlook
F’08 Outlook For personal use only F’07 was a year of strong sales, investments in growth …. and delivery of our commitments with reported EPS of US53.4¢ (US50.5¢ if the impact of net DTA and plant restructuring were excluded) In F’08 we expect to: Continue sales growth momentum driven by new pr
Slide 26: For personal use only
For personal use only