Turkiye Sise Ve Cam Fabrikalari A.s. · BIST:SISE
Turkiye Sise Ve Cam Fabrikalari A.s — Türkiye Şişe ve Cam Fabrikaları A.Ş. (Şişecam) — H1 2019 Earnings Presentation
21 slides from Turkiye Sise Ve Cam Fabrikalari A.s's earnings presentation, 2019
Slide 1: Recent Developments Overview
Recent Developments Overview 2019 H1 Results
Slide 2: Şişecam Group Review
Şişecam Group Review Şişecam Overview Flat Glass Glassware Glass Packaging Chemicals Production Capacities Currency Exposure COGS Analysis 2
Slide 3: Şişecam Overview
Şişecam Overview 2019 H1 Revenue Growth 15% 8% 16% 32% 37% 24% 27% 25% 26% 25% 23% 20% 21% 22% 15.550 11.318 7.415 8.569 8.617 6.876 6.782 2.810 4.035 1.365 1.594 1.919 1.716 2.024 2014 2015 2016 2017 2018 H1'18 H1'19 Revenue Adjusted EBITDA Adjusted EBITDA Margin 27% YoY Revenue Growth in 2019 H1 2
Slide 4: Revenue by Geography
Şişecam Overview Revenue by Geography TRY bn H1’18 H1’19 15,6 1% 3% 11,3 39% 24% 21% 23% 23% 8,6 8,6 37% 7,4 6,9 22% 6,8 31% 41% 28% 28% 23% 38% 23% 23% 14% 15% 23% 23% 21% 39% 46% 40% 49% 49% 41% 35% 41% 35% 2014 2015 2016 2017 2018 H1'18 H1'19 Domestic Export from Turkey Sales from Foreign Operati
Slide 5: Segments' Contribution in 2019 H1
Şişecam Overview Segments’ Contribution in 2019 H1 REVENUE EBITDA** 2% 5% 21% 34% 38% 27% 22% 11% 17% 23% Flat Glass Glassware Glass packaging Chemicals Other* *Consists of energy trade of Şişecam ** Excluding one-off incomes 5
Slide 6: Sustained Capital Base & Conservative Leverage
Şişecam Overview Sustained Capital Base & Conservative Leverage Net Debt / EBITDA continues to remain within the comfort zone of 1,25 Net Debt (TRY mn)* 4.370* 2.239 1.440 1.489 1.068 580 2014 2015 2016 2017 2018 H1'19 Net Debt/EBITDA 0,78 0,82 0,70 0,19 0,46 0,87 Net Debt/Equity 0,15 0,15 0,13 0,04
Slide 7: Solid Liquidity
Şişecam Overview Solid Liquidity TRY mn 14.000 2.894* 8.009 6.737 5.780 5.897 2.606* 4.614 1.085* 3.843 29* 1.878* 3.164 3.144 3.206 2.775 3.439 4.370 1.440 1.489 2.239 1.068 580 2014 2015 2016 2017 2018 H1'19 Net Debt Cash and cash equivalents Marketable Securities 11 (*) Marketable securities (Eur
Slide 8: Debt Profile
Şişecam Overview Debt Profile TRY mn up to 1 years +1 years Total % in Currency USD 1.883 4.084 5.967 43% EUR 2.745 819 3.563 25% RUR 887 678 1.565 11% EGP 89 - 89 1% KM 13 - 13 0,1% BGN 7 39 46 0,3% INR 1 2 3 0,02% TL 2.487 268 2.755 20% Total 8.110 5.890 14.000 % in Maturity 58% 42% Short Term Lon
Slide 9: Flat Glass
Flat Glass Shareholder Structure Operations of Flat Glass in 10 countries with 3,2 mn tons/year installed capacity Free Float; Bulgaria 2 1 31% Trakya Glass Bulgaria EAD Şişecam; 1 1 1 Float, & Auto Glass, Mirror & Processed 69% Slovakia Hungary Romania Laminated Line Flat Glass Market Outlook Richa
Slide 10: Flat Glass-TRKCM
Flat Glass-TRKCM 2019 H1 Revenue Growth 36% 5% 42% 44% 36% 25% 28% 21% 25% 25% 25% 21% 19% 18% 5.875 4.331 3.016 3.266 2.547 2.019 2.118 1.483 1.068 387 391 624 639 680 2014 2015 2016 2017 2018 H1'18 H1'19 Revenue Adjusted EBITDA Adjusted EBITDA Margin 28% YoY Revenue Growth in 2019 H1 EBITDA Margin
Slide 11: Glassware
Glassware Shareholding Structure Islamic Development Bank EBRD 0,5% Paşabahçe, operational in 4 regions, is Şişecam Group’s leading brand name in the 14,9% glassware segment with a portfolio focusing on production of automated, handmade, heat resistant, crystalware, paper and packaging Şişecam 84,6%
Slide 12: Glassware
Glassware 2019 H1 Revenue Growth 12% 7% 4% 8% 29% 13% 32% 17% 18% 18% 13% 14% 15% 15% 2.529 1.803 1.956 1.616 1.728 1.478 1.117 293 288 453 209 260 198 221 2014 2015 2016 2017 2018 H1'18 H1'19 Revenue Adjusted EBITDA Adjusted EBITDA Margin 32% YoY Revenue Growth in 2019 H1 Adjusted EBITDA Margins* •
Slide 13: Glass Packaging
Glass Packaging Glass Packaging Market Outlook Operations & Global Presence Turkey Russia Georgia Anadolu Cam, operational in 4 regions with 2,65mn tons/year installed capacity, is Şişecam Group’s leading brand name in the glass packaging 11% segment with a portfolio focusing on food, alcoholic and
Slide 14: Glass Packaging-ANACM
Glass Packaging-ANACM 2019 H1 Revenue Growth 2% -0,2% 18% 32% 34% 19% 37% 21% 21% 23% 24% 25% 25% 17% 3.231 2.411 1.828 1.887 1.555 1.552 1.382 784 553 480 267 320 378 339 2014 2015 2016 2017 2018 H1'18 H1'19 Net Sales Adjusted EBITDA Adjusted EBITDA Margin 37% YoY Revenue Growth in 2019 H1 Adjusted
Slide 15: Chemicals
Chemicals Chemicals Market CAGR: Operations & Global Presence Turkey – Mersin Plants Mersin Soda Plant: 1,4 Million tons / year Global Soda Ash Market Turkey Turkey Bulgaria 4,5% Solvay Sodi Şişecam Elyaf Plant Kromsan Chromium Compounds Plant: Chromic Acid 24, Basic 3,7% Chromium Sulfate 119, Sodiu
Slide 16: Chemicals-SODA
Chemicals-SODA 2019 H1 Revenue Growth 14% 10% 17% 19% 40% 25% 37% 28% 30% 30% 34% 33% 27% 26% 3.430 2.451 2.068 2.030 1.772 1.607 1.485 1.153 616 736 423 499 486 556 2014 2015 2016 2017 2018 H1'18 H1'19 Net Sales Adjusted EBITDA Adjusted EBITDA Margin 37% YoY Revenue Growth in 2019 H1 Gross Margin P
Slide 17: Production Capacities
Production Capacities 2019 H1 Capacity Expansions (2018 & 2019) K tons p.a. Flat Glass Capacity Breakdown • Float line investment in Turkey – 220K/tons of capacity p.a. – expected to be online within 2020 (USD 127 Mn.) 3.125 • Acquisition of Sangalli Manfredonia – 190K/tons of capacity p.a. – expect
Slide 18: Currency Exposure
Currency Exposure Flat Glass (2019 H1) Glass Packaging (2019 H1) Revenue 10% 57% 26% 1% 5% Revenue 5% 14% 39% 37% 5% COGS 11% 57% 23% 6% 3% COGS 14% 40% 42% 4% USD EUR TRY RUB Other USD EUR TRY RUB Other Glassware (2019 H1) Chemicals (2019 H1) Revenue 16% 28% 37% 13% 6% Revenue 51% 37% 8% COGS 65% 9
Slide 19: COGS Analysis
COGS Analysis 2019 H1 Şişecam 11% Chemicals 33% 21% 4% 6% 7% 29% 8% Glass Packaging 50% 14% 9% 11% 13% 3% 46% 13% Glassware 42% 14% 5% 28% 5% 6% Flat Glass 52% 17% 5% 10% 7% 7% 17% Input & Materials & Packaging Ngas Electricity Labor Depreciation Outsourcing & Other 19
Slide 20: Natural Gas Analysis
Natural Gas Analysis Natural Gas Price Actions by Botaş Actual Turkey Ngas Expense % in total COGS 18% Natural Gas Price Hikes 2019 H1 2012 - April 20% Hike 13% 2012 - October 10% Hike 11% 11% 2014 - October 9% Hike 7% 2016 - October 10% Discount 2017- December 8% Hike for Electricity Producers 2018
Slide 21: Contact Details
Türkiye Şişe ve Cam Fabrikaları A.Ş. Şişecam Genel Merkezi D-100 Karayolu Cad. No:44A 34947 Tuzla/İstanbul Turkey Tel : (+90) 850 206 50 50 Fax: (+90) 850 206 40 40 Contact Details Görkem Elverici, Chief Financial Officer gelverici@sisecam.com Tel: (+90) 850 206 3885 Investor Relations Team SC_IR@si
Türkiye Şişe ve Cam Fabrikaları A.Ş. (Şişecam) — H1 2019 Earnings Presentation on 6ix