Dupont De Nemours, Inc. · NYSE:DD
Dupont De Nemours — Investor Day (November 2018)
46 slides from Dupont De Nemours's investor day presentation, Nov 8, 2018
Slide 1: Investor Day: Transportation & Advanced Polymers
Investor Day November 8, 2018 Tr a n s p o r t a t i o n & Ad va n c e d P o l ym e r s ProductStone, Randy or business President name
Slide 2: Transportation & Advanced Polymers Key Messages
TRANSPORTATION & ADVANCED POLYMERS KEY MESSAGES Transforming Industries and Improving Lives through Material Science › 12% Annual revenue growth* Superior Financial › 20% Annual adjusted operating EBITDA growth** Performance* › >360 Basis point margin improvement** › 95% Product line is specialty, e
Slide 3: Transportation & Advanced Polymers Overview
TRANSPORTATION & ADVANCED POLYMERS OVERVIEW LARGE & PROFITABLE (2018E) NET SALES (2018E) BY BUSINESS SOURCES OF COMPETITIVE ADVANTAGE $5.7B 29% › Leading customer positions in high growth markets NET SALES ADJUSTED OP. › Innovation based on advantaged technology platform, 29% application development
Slide 4: Strong Global Businesses: Value Proposition
STRONG GLOBAL BUSINESSES Performance Resins Engineering Polymers Performance Solutions Value Proposition Unique products & technology and deep Unrivaled engineering plastics portfolio, Highly differentiated specialty businesses application expertise for highly global presence and leading formulation
Slide 5: Addressing the World's Most Critical Needs
ADDRESSING THE WORLD’S MOST CRITICAL NEEDS Market Global Megatrends Our Solution Space Size** Automotive › Lightweighting › Crash safety Automotive Electrification Nearly half of cars will be H/E by 2030 › Fuel efficiency & EV › Comfort $12B range Future Mobility › Structural adhesives, › Materials
Slide 6: Future Mobility Drives Revenue Growth
FUTURE MOBILITY DRIVES REVENUE GROWTH REVENUE PER VEHICLE INCREASES BY >50% FROM INTERNAL COMBUSTION ENGINES TO ELECTRIC VEHICLES ICE $190-$200/vehicle Hybrid $300-$320/vehicle BEV $320-$340/vehicle ICE = Internal Combustion Engine BEV = Battery Electric Vehicle DuPont Transportation & Advanced Poly
Slide 7: DuPont Mobility Solutions to Move Ahead
DUPONT MOBILITY SOLUTIONS TO MOVE AHEAD™ Future Mobility Time / Requirements Industry Needs Progression to Scale* DuPont Capabilities HYBRID / EV Ongoing PARTIAL Ongoing AUTOMATION • CONNECTIVITY • ADHESIVES • LIGHTWEIGHTING 2022-24 • ARAMIDS ELECTRIC Battery range; Total VEHICLES • THERMAL Cost of
Slide 8: Providing Industry Leading Innovation
PROVIDING INDUSTRY LEADING INNOVATION KALREZ® & VESPEL® HIGH PERFORMANCE PARTS KALREZ® VESPEL® STRONG GROWTH STRONG GROWTH Profitable & Growing Profitable & Growing Market Market ~10% ~8% CAGR growth until 2022 CAGR growth until 2022 Value Proposition Value Proposition › Specialty seals for the most
Slide 9: Delivering Cost & Growth Synergies
DELIVERING COST & GROWTH SYNERGIES Combining the strengths & capabilities of two GROWTH SYNERGY DRIVERS leading portfolios to drive innovation in mobility, healthcare, electronics, and industrials Cross-Technology Innovation › Complementary automotive portfolio enhances Cross-Selling Opportunities l
Slide 10: Driving Sustainable Top & Bottom Line Growth
DRIVING SUSTAINABLE TOP & BOTTOM LINE GROWTH FINANCIAL SUMMARY ($ BILLIONS) MEDIUM-TERM OUTLOOK $5.1 $5.7 $4.5 1.5x GDP growth NET SALES › Accelerate volume growth through 12% CAGR capacity release 2016A 2017A 2018E Sales Growth › Mix enrichment strategy for core products $1.6 ADJUSTED $1.1 $1.3 › D
Slide 11: Investor Day: Electronics & Imaging
Investor Day November 8, 2018 Electronics & Imaging Product Jim Fahey, or business President name
Slide 12: Electronics & Imaging Key Messages
ELECTRONICS & IMAGING KEY MESSAGES World-leading electronic materials portfolio enabled by expertise in integrating materials to meet customer needs, global market presence and best-in-class manufacturing capabilities › Market trends such as AI, IoT, 5G, autonomous vehicles and smart cities/homes Ro
Slide 13: Electronics & Imaging Overview
ELECTRONICS & IMAGING OVERVIEW LARGE & PROFITABLE (2018E) NET SALES (2018E) BY BUSINESS SOURCES OF COMPETITIVE ADVANTAGE $4.8B 39% 5% Semiconductor Tech › Innovation capabilities NET SALES ADJUSTED OP. 11% › Advantaged product portfolio Interconnect Solutions EBITDA MARGIN 35% › Strong customer rela
Slide 14: Strong Global Businesses: Value Proposition
STRONG GLOBAL BUSINESSES Semiconductor Photovoltaics & Interconnect Solutions Advanced Printing Display Technologies Technologies Advanced Materials Value Proposition Advanced materials for integrated Metallization, imaging, surface Materials to increase the lifetime Flexographic printing solutions
Slide 15: Addressing the World's Most Critical Needs
ADDRESSING THE WORLD’S MOST CRITICAL NEEDS Market Global Megatrends Our Solution Space Size* Semiconductor Technologies › Smart phones › Automotive Artificial intelligence › PCs & servers › Data storage $8B Ubiquitous Connectivity Internet of things Interconnect Materials › PCs › Automotive $5B › Sm
Slide 16: Providing Industry Leading Innovation
PROVIDING INDUSTRY LEADING INNOVATION IoT and Artificial Intelligence 5G Infrastructure STRONG GROWTH STRONG GROWTH Large & Growing New Market Market > 20% $3.5B CAGR growth until 2022 Market Opportunity by 2022 Key Strengths Leveraged Key Strengths Leveraged › IC and advanced packaging materials ›
Slide 17: Delivering Cost & Growth Synergies
DELIVERING COST & GROWTH SYNERGIES SUCCESS STORIES MORE SOLUTIONS ACROSS THE COMPLETE VALUE CHAIN KEY ACTIONS › Amplify sales of existing products leveraging market channels CMPT Kapton® Dielectric Smart & EKC Film Infrastructure › Integrate heritage technology programs to build novel materials solu
Slide 18: Driving Sustainable Top & Bottom Line Growth
DRIVING SUSTAINABLE TOP & BOTTOM LINE GROWTH FINANCIAL SUMMARY ($ BILLIONS) MEDIUM-TERM OUTLOOK $4.8 $4.8 $4.3 NET 1.5x GDP driven by: SALES 6% CAGR Sales › Market trends driving growth of new 2016A 2017A 2018E Growth applications and materials needs › Design partner at key OEMs $1.8 $1.9 $1.4 ADJUS
Slide 19: Investor Day: Safety & Construction
Investor Day November 8, 2018 Safety & Construction Product Rose Lee, or business Presidentname
Slide 20: Safety & Construction Key Messages
SAFETY & CONSTRUCTION KEY MESSAGES A global leader providing highly engineered solutions for essential needs of water, shelter and safety across a wide variety of end markets › Solving world’s challenges in water, shelter, and safety Strong Market › Market leader based on proven track record, global
Slide 21: Safety & Construction Overview
SAFETY & CONSTRUCTION OVERVIEW LARGE & PROFITABLE (2018E) NET SALES (2018E) BY BUSINESS SOURCES OF COMPETITIVE ADVANTAGE $5.5B 25% › Global market reach and credibility NET SALES ADJUSTED OP. 19% Aramids › Technical depth linked with market intimacy 29% EBITDA MARGIN › Strong, global brands Construc
Slide 22: Strong Global Businesses: Value Proposition
STRONG GLOBAL BUSINESSES Aramids Construction Tyvek® Enterprise Water Solutions Value Proposition Unmatched leader in essential From foundation to attic, our Tough, durable, breathable Innovators in purification, lightweight strength, durability, portfolio of insulation, sealants materials that enab
Slide 23: Addressing the World's Most Critical Needs
ADDRESSING THE WORLD’S MOST CRITICAL NEEDS Market Global Megatrends Our Solution Space Size* Medical & Pharma Packaging Nearly half › Medical Device › Pharma Cold Chain $4B Packaging Packaging Of the global population could be facing water scarcity by 20301 Water Sustainable Development › Residentia
Slide 24: Providing Industry Leading Innovation
PROVIDING INDUSTRY LEADING INNOVATION FILMTEC™ Residential Water Filtration Membrane Tyvek® 40L Medical Device Packaging STRONG GROWTH STRONG GROWTH Growing Market New Market ~20% ~$400MM CAGR growth until 2022 Market Opportunity Key Strengths Leveraged Key Strengths Leveraged › Most trusted brand i
Slide 25: Delivering Cost & Growth Synergies
DELIVERING COST & GROWTH SYNERGIES Combining the strengths & capabilities of two MARKET DRIVERS influential portfolios in building materials to drive innovative solutions Sustainable, Energy Efficient Structures › Complementary portfolio enables new solutions in thermal comfort, structural protectio
Slide 26: Driving Sustainable Top & Bottom Line Growth
DRIVING SUSTAINABLE TOP & BOTTOM LINE GROWTH FINANCIAL SUMMARY ($ BILLIONS) MEDIUM-TERM OUTLOOK $5.5 $5.0 $5.1 1.5x GDP driven by: NET SALES › Innovation acceleration 5% CAGR Sales 2016A 2017A 2018E Growth › Capacity expansion › Technical depth linked with market $1.4 intimacy $1.2 $1.2 ADJUSTED OPE
Slide 27: Investor Day: DuPont Industrial Biosciences
Investor Day November 8, 2018 DuPont Industrial Biosciences Product or William Feehery, business President name
Slide 28: Industrial Biosciences Key Messages
INDUSTRIAL BIOSCIENCES KEY MESSAGES World-leading position in the industrial biotechnology technology space, accessing a broad set of markets, disrupting traditional chemical and material markets › Leveraging world-leading biotechnology into enzyme and microbial solutions Biotechnology › Acceleratin
Slide 29: Industrial Biosciences Overview
INDUSTRIAL BIOSCIENCES OVERVIEW LARGE & PROFITABLE (2018E) NET SALES (2018E) BY BUSINESS SOURCES OF COMPETITIVE ADVANTAGE $2.2B 13% Bioactives › 25+ years of industrial biotechnology expertise › Deep customer-focused application development NET SALES › Large scale manufacturing and operational Bioma
Slide 30: Strong Global Businesses: Value Proposition
STRONG GLOBAL BUSINESSES Bioactives Biomaterials Microbial Control Clean Technologies Value Proposition Premier global industrial enzymes Successful enzyme-enabled Leading producer of main biopolymer businesses, selling a microbial control agent in oil/gas Primary technology provider to all business
Slide 31: Addressing the World's Most Critical Needs
ADDRESSING THE WORLD’S MOST CRITICAL NEEDS Market Global Megatrends Our Solution Space Size* Industrial Biotechnology › Food and grain processing › Animal health and nutrition › Home and personal care › Carpet and apparel Hygiene Solutions $15B › Enzymes, yeast & › Enzymatic polysaccharides Health &
Slide 32: Providing Industry Leading Innovation
PROVIDING INDUSTRY LEADING INNOVATION Enzymes Power Cold Water Washing Probiotics and Enzymes in Poultry Feed Energy Solutions STRONG STRONG STRONG GROWTH GROWTH GROWTH Large Market Expanding Market Large & Growing Market $1B ~$1B $1B Market Market Market Opportunity Opportunity Opportunity Key Stre
Slide 33: Delivering Cost & Growth Synergies
DELIVERING COST & GROWTH SYNERGIES A POWERFUL COMBINATION OF CAPABILITIES ACCELERATES GROWTH IN HOME CARE Laundry Malodor is an Emerging From DuPont • Protein libraries Challenge for Consumers • Probiotics From Dow • Microbial control • Odor science Shorter wash cycles, lower wash temperatures and s
Slide 34: Driving Sustainable Top & Bottom Line Growth
DRIVING SUSTAINABLE TOP & BOTTOM LINE GROWTH FINANCIAL SUMMARY ($ BILLIONS) MEDIUM-TERM OUTLOOK $2.2 NET SALES $2.1 1.5x GDP growth driven by: 6% CAGR Sales › New products $1.9 Growth › Leadership positions in growth markets and regions › Technology-driven higher value/lower cost products Operating
Slide 35: Investor Day: Nutrition & Health
Investor Day November 8, 2018 Nutrition & Health Matthias Heinzel, President
Slide 36: Nutrition & Health Key Messages
NUTRITION & HEALTH KEY MESSAGES World-leading provider of innovative and sustainable solutions for the food and health industry, offering the broadest portfolio across the food & beverage, dietary supplements and pharma excipients segments Powerful and › Leading positions vs competition in key segme
Slide 37: Nutrition & Health Overview
NUTRITION & HEALTH OVERVIEW LARGE & PROFITABLE (2018E) NET SALES (2018E) BY BUSINESS SOURCES OF COMPETITIVE ADVANTAGE $4.7B Probiotics, Cultures & Food › Broad, market leading portfolio › Innovation leadership with strong science foundation NET SALES 16% 17% Protection Pharma Excipients › Route-to-m
Slide 38: Strong Global Businesses: Value Proposition
STRONG GLOBAL BUSINESSES Probiotics & Pharma Systems & Emulsifiers & Protein Solutions Cultures Excipients Texturants Sweeteners Value Proposition Serving global Meeting drug delivery First choice for High-quality and Solutions for efficient, demand for healthy, needs through healthy, application-sp
Slide 39: Addressing the World's Most Critical Needs
ADDRESSING THE WORLD’S MOST CRITICAL NEEDS Market Global Megatrends Our Solution Space Size* Food & Beverage › Dairy Nutrition for healthy › Beverages living › Bakery $10B › Confectionary and snacks Growing & › Frozen desserts and fruit applications Aging Smaller & local brands › Meat and poultry Po
Slide 40: Providing Industry Leading Innovation
PROVIDING INDUSTRY LEADING INNOVATION Probiotics: Creating a Health Category HMO: The Next Step in Infant Formulation Pharma Excipients: Free-From Capsules The Core: STRONG Infant STRONG STRONG GROWTH Nutrition GROWTH GROWTH Next Tier: Toddler & Large & Trending Market Adult Health New Market Growin
Slide 41: Delivering Cost & Growth Synergies
DELIVERING COST & GROWTH SYNERGIES Bringing Together Three Winning Businesses Creates a Unique Value Proposition % of Food & Dietary Pharma Revenue Beverage Supplements Excipients (2018E) ...and growth and cost synergies Innovation Capabilities Lean Business Structure Example: Example: Improve Formu
Slide 42: Driving Sustainable Top & Bottom Line Growth
DRIVING SUSTAINABLE TOP & BOTTOM LINE GROWTH FINANCIAL SUMMARY ($ BILLIONS) MEDIUM-TERM OUTLOOK $6.0 $6.9 $5.7 NET $2.2 $1.9 $2.1 1.5x GDP driven by: SALES IB $3.8 $3.9 $4.7 9% CAGR N&H › Underlying market growth driven by Sales consumer trends 2016A 2017A 2018E Growth › Outstanding innovation stren
Slide 43: Safe Harbor Statement
Safe Harbor Statement This presentation contains “forward-looking statements” within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. In this context, forward-looking state
Slide 44: Safe Harbor Statement, continued
Safe Harbor Statement, continued Non-GAAP Information: This presentation includes information that does not conform to U.S. GAAP and are considered non-GAAP measures. These measures include operating EBITDA and operating EBITDA margin, and pro forma operating EBITDA and pro forma operating EBITDA ma
Slide 45: Non-GAAP Reconciliation
Non-GAAP Reconciliation <OUPONT> Electronics & Imaging in millions 1ais 2016 +~=«3016~=—«QG | 2016 | 1017 2017 3017 40%7 | 217 | 1018 2018 3Qi8 | 2018 ro Forma Pro Forme PreForma froFoma Pro Forma |Pre Forma fro Forma Pro Forma As Reported |Pro forma |As Reported As Reported As Reported |As Reported
Slide 46: Non-GAAP Reconciliation
Non-GAAP Reconciliation <OUPONT> Electronics & Imaging lin milfions ais 2015 3ais = ais | 2016 | 1017 2017 «3017s aay | 2017 ] 1018 2018 ais | 2018 lpro Forma Pro Forma Pro Forma ProFormo |Pro Forma |Pro Forma Pro Forma FroForma As Reported |Fro Forma |AsReported As Reported As Reported |As Reported