Mondi Plc · LSE:MNDI
Mondi — Investor Day (September 2013)
20 slides from Mondi's investor day presentation, Sep 2, 2013
Slide 1: Mondi Capital Markets Day: Fibre Packaging
Mondi Capital Markets Day Fibre Packaging Peter J. Oswald | Thomas Ott 2 September 2013
Slide 2: Fibre Packaging at a glance
Fibre Packaging at a glance The Fibre Packaging business consists of Mondi’s primarily paper based downstream operations. It manufactures and sells a range of corrugated packaging products, industrial bags, extrusion coatings and releaser liner for a variety of consumer and industrial applications.
Slide 3: Improving financial performance
Improving financial performance Sales (€ million) and EBITDA margin (%)1 Operating profit (€ million) and ROCE (%)1 9.0% 12.5% 12.0% 8.7% 11.0% 8.3% 7.9% 8.5% 7.5% 6.7% 6.9% 5.0% 2,151 1,592 1,728 1,881 1,860 1,002 57 63 52 86 101 48 2008 2009 2010 2011 2012 H1 2013 2008 2009 2010 2011 2012 H1 2013
Slide 4: Strong operating platform to support growth opportunities
Strong operating platform to support growth opportunities Fibre Packaging: 68 plants in 24 countries Corrugated Packaging Industrial Bags Extrusion Coatings Release Liner Packagi ng Paper | F i b re Packag i n g | Consum er Packagi ng | Uncoat ed F i ne Paper | Sout h Af ri ca Di v i si on 3
Slide 5: Corrugated Packaging value chain and products
Corrugated Packaging value chain and products Value chain Applications (2012 sales %) Industrial 31% Virgin containerboard 59% Box plant Corrugated 10% FMCG packaging Consumer durables Recycled containerboard Consumption (2012): 16 box plants Production (2012): Consumer applications 69% Industrial a
Slide 6: Corrugated Packaging is focused on emerging Europe
Corrugated Packaging is focused on emerging Europe Top regional emerging Europe corrugated packaging European corrugated packaging growth forecast %2 producers (by sales)1 5.0% 4.5% Mondi Prinzhorn Smurfit Modern DS Smith Prowell Kappa Karton 0.9% -0.6% CAGR 06-11 CAGR 12-16E Western Europe Emerging
Slide 7: Fast moving consumer goods are a key end-use application of Mondi Corrugated Packaging
Fast moving consumer goods are a key end-use application of Mondi Corrugated Packaging 2012 Sales by end-use application (volume %)1 l Mondi Corrugated Packaging has a higher exposure to consumer applications than the industry average l As a result Corrugated Packaging enjoys more stable sales volum
Slide 8: Development of integrated design tool for optimised packaging solutions
Development of integrated design tool for optimised packaging solutions Board Grade Customer logistics Creator1 optimisation Board Grade Mondi logistics Optimiser1 optimisation METI PACKAGING PERFORMANCE Safety factor CO2 optimisation optimisation Corrugated Packaging plant Containerboard mill (incl
Slide 9: Continuous focus on performance and shift to emerging Europe
Continuous focus on performance and shift to emerging Europe 2005 Corrugated Packaging footprint 2013 Corrugated Packaging footprint Number of box plants in Western Europe 14 Number of box plants in Western Europe 5 Number of box plants in emerging Europe 4 Number of box plants in emerging Europe 11
Slide 10: Industrial Bags value chain and products
Industrial Bags value chain and products Value chain Applications (2012 sales %) Others DIY-building Chemicals 5% materials 13% 30% Food, 23% Kraft paper Bag plant Industrial bags feed, seed 29% Consumption (2012): 36 plants Production (2012): Cement 0.5 million tonnes 3,829 million units Product po
Slide 11: Industrial Bags leveraging strong European foothold
Industrial Bags leveraging strong European foothold Top 5 European industrial bags producers1 Industrial bags global growth forecast2 6.8% Mondi 5.1% 5.3% 4.5% 4.2% 4.1% 2.8% 2.0% 1.9% Segezha -0.3% -0.8% -1.1% BPI B+K Gascogne Western Eastern NAFTA Central Middle Asia Europe Europe & South East & P
Slide 12: Innovative anti-piracy solutions for industrial bags customers
Innovative anti-piracy solutions for industrial bags customers Challenge Multi feature bag l Product piracy rates are increasing l Highly sophisticated anti-counterfeiting globally and are a significant issue label enables end-users to verify genuine faced by the building products products industry:
Slide 13: Coatings value chain and products
Coatings value chain and products Value chain Polymers, silicones Release liner Kraft paper and/or other substrates Converting plant Extrusion coatings (films, aluminium foil, nonwovens) Production (2012): Paper consumption (2012): 0.2 million tonnes 15 plants 3,352 million m2 Release Liner applicat
Slide 14: Coatings with leading positions in chosen applications
Coatings with leading positions in chosen applications Top 5 European release liner producers1 Top 5 European extrusion coatings producers1 * Primarily captive Avery* production Walki Mondi UPM Raflatac* Mondi Amcor Felix Nordic Schöller Paper Gascogne Itasa #1 #2 #3 #4 #5 #1 #2 #3 #4 #5 l Release l
Slide 15: Responding to regulatory changes and customer demand through technology development
Responding to regulatory changes and customer demand through technology development Challenge Solution: OLMO Paper 2.0+ l Peelable process liners in flexible l OLMO Paper 2.0+ is an optimised solution that foam production are becoming more combines a strong Mondi paper with a special polymer and mor
Slide 16: Challenges and opportunities
Challenges and opportunities Challenges l Slow European economic environment l European construction sector (including Eastern Europe) currently declining, which has a negative impact on Industrial Bags and Extrusion Coatings l The above has led to overcapacity and pressure on margins Opportunities
Slide 17: Summary
Summary Group strategic framework Fibre Packaging value drivers ● Leading positions in chosen areas Achieve leading market positions ● Focused on growing in emerging Europe and other emerging markets ● High-quality asset base, upstream paper integration Maintain a high- quality, low-cost ● Focused o
Slide 18: Appendices
mondi Appendices
Slide 19: Fibre Packaging market positions sources and definitions
Fibre Packaging market positions sources and definitions Region definitions: Europe - Europe including Russia and Turkey. Emerging Europe - Albania, Armenia, Azerbaijan, Belarus, Bosnia and Herzegovina, Bulgaria, Croatia, Cyprus, Czech Republic, Estonia, Georgia, Hungary, Latvia, Lithuania, Macedoni
Slide 20: Forward-looking statements
FORWARD - LOOKING STATEMENTS It should be noted that certain statements herein which are not historical facts, including, without limitation those regarding expectations of market growth and developments; expectations of growth and profitability; and statements preceded by “believes”, “expects”, “an