Arkema Sa · EURONEXT:AKE
Arkema Sa — 18th European CEO Seminar (June 2016)
13 slides from Arkema Sa's conference presentation, June 2016
Slide 1: Arkema - 18th European CEO Seminar
ARKEMA 18th EUROPEAN CEO SEMINAR Thierry Le Hénaff Chairman and CEO
Slide 2: Arkema in 2015
ARKEMA IN 2015 € 7.7 bn 19,000 Worldwide presence 136 3 R&D sales employees industrial sites and innovation worldwide in 50 countries geographical hubs 2 18th European CEO seminar
Slide 3: Sales breakdown by business
SALES BREAKDOWN BY BUSINESS 10% Acrylics Coating Performance Additives 14% Solutions 24% 14% Coating Resins and Additives Technical Polymers 10% 2015 SALES €7,683 m Specialty Adhesives 11% PMMA (Bostik) 20% High Performance Industrial Materials 44% 9% Specialties 32% Thiochemicals 4% 8% Hydrogen Flu
Slide 4: Main strategic directions
MAIN STRATEGIC DIRECTIONS 1 2 3 ACCELERATE GROWTH SELECTIVE GROWTH IN REINFORCE ACRYLICS OF HIGH PERFORMANCE INDUSTRIAL SPECIALTIES DOWNSTREAM MATERIALS 4 5 6 FINALIZE THE FULL MAINTAIN EMPHASIS DISPOSAL OF NON-CORE GEOGRAPHICAL ON OPERATIONAL BALANCING ASSETS EXCELLENCE 4 18th European CEO seminar
Slide 5: A step change in the group's profile
A STEP CHANGE IN THE GROUP’S PROFILE FY’15 sales by business segment FY’15 sales by region 24% 28% Cyclical businesses 44% 38% (Acrylics, 29% 41% Fluorogases, in 2014 in 2014 PMMA) 32% 29% 34% (39% in 2014) High Performance Industrial Coating North Asia Europe Materials Specialties Solutions America
Slide 6: A strong value creation
A STRONG VALUE CREATION Since 1 January 2016: (at 10 June 2016) Arkema: +7% Peers average: -8% CAC 40: -8% 100,00 Share price since 18 May 2006 90,00 at 10 June 2016 80,00 Arkema 70,00 +161% 60,00 50,00 40,00 Peers average +35% 30,00 20,00 CAC 40 -13% 10,00 0,00 18/05/2006 18/05/2007 18/05/2008 18/0
Slide 7: Dividend
DIVIDEND DIVIDEND AND PAYOUT RATIO IN € / SHARE AND IN % 1.90 Dividend increased to €1.90, up +2.7% 1.85 1.85 1.8 Reflects confidence in the Group’s solid cash generation and balance sheet 45% payout on 2015 adjusted net income 1.3 2.9% dividend yield (based on share price at year end) 1.0 51% 0.75
Slide 8: 1Q'16: a very strong quarter
1Q’16: A VERY STRONG QUARTER +1.2% YoY €1,893 m sales Volumes up +2.5% supported by innovation and recently started production units +27% YoY (€237 m in 1Q’15) with a very limited scope effect €302 m EBITDA A record high for a first quarter Up 330 basis points YoY 16% EBITDA margin Driven by excelle
Slide 9: 1Q'16 take-aways
1Q’16 TAKE-AWAYS STRONG START STRUCTURAL DRIVERS STRONG POTENTIAL TO THE YEAR SUPPORTING OF BOSTIK HIGHER EARNINGS CONFIRMED SUCCESSFUL EXECUTION OUTLOOK FOR THE YEAR OF STRATEGY CONFIRMED 9 18th European CEO seminar
Slide 10: 1Q'16 performance by segment
1Q’16 PERFORMANCE BY SEGMENT IN €M 1Q’15* 1Q’16 variation HIGH PERFORMANCE MATERIALS Sales 742 868 +17.0%** Strong contribution from Bostik and developments in Technical Polymers EBITDA 111 149 +34.2% in lightweight materials and new energies EBITDA margin 15.0% 17.2% IN €M 1Q’15* 1Q’16 variation IN
Slide 11: Where do we stand on 2016 priorities?
WHERE DO WE STAND ON 2016 PRIORITIES? DIVESTMENT BOSTIK THIOCHEMICALS FLUOROGASES PROGRAM Further good progress Targeted contribution Gradual recovery Project* to divest with strong YoY over a full year in line with Group’s activated carbon improvement (last 12 months) assumptions and filter aid act
Slide 12: 2016 outlook confirmed
2016 OUTLOOK CONFIRMED A world economy remaining slow and volatile: Overall moderate global growth with low visibility and different dynamics by region Volatility in currencies, energy and raw material prices Strong organic momentum driven by: Continuous development of Bostik including ramp-up of sy
Slide 13: Disclaimer
DISCLAIMER The information disclosed in this document may contain forward-looking statements with respect to the financial condition, results of operations, business and strategy of Arkema. Such statements are based on management’s current views and assumptions that could ultimately prove inaccurate