Sartorius AG · XETR:SRT
Sartorius — Shareholder Meeting (March 2022)
27 slides from Sartorius's shareholder meeting presentation, March 2022
Slide 1: Report by the Executive Board Chairman and CEO
Report by the Executive Board Chairman and CEO Joachim Kreuzburg
Slide 2: Note
Note This presentation contains statements concerning the future performance of the Sartorius Group. These statements are based on assumptions and estimates. Although we are convinced that these forward-looking statements are realistic, we cannot guarantee that they will actually materialize. This i
Slide 3: 2021 was an intense and at the same time highly successful year
2021 was an intense and at the same time highly successful year Sharp increase in sales revenue, earnings and the number of employees Significant investments in production capacities Strengthening of product portfolio through acquisitions Inclusion of the preference share in the DAX 40 Amb
Slide 4: Significant double-digit growth and jump in profitability
Significant double-digit growth and jump in profitability Order intake Sales revenue EBITDA1 & margin Earnings per share2 in millions of € in millions of € in millions of € in € +52.3% cc +49.3% cc +69.7% +85.0% +84.8% 4,267.9 8.08 8.09 3,449.2 1,175.0 2,836.3 2,335.7 4.37 4.38 692.2 34.1% Ordinary
Slide 5: Dynamic business development in all regions
Dynamic business development in all regions Americas EMEA Asia | Pacific Sales by region in millions of € in millions of € in millions of € in % +45.5% +50.8% +52.3% EMEA 1,411.0 ~ 41% Americas ~ 33% 1,141.2 935.1 897.0 812.2 ~€3.45bn 588.4 Asia | Pacific ~ 26% 2020 2021 2020 2021 2020 2021 Accordin
Slide 6: Bioprocess Solutions: Strong core business, additional demand from coronavirus vaccines
Bioprocess Solutions: Strong core business, additional demand from coronavirus vaccines, strained supply chains Order intake Sales revenue Underlying EBITDA and margin in millions of € in millions of € in millions of € +57.6% cc +54.7% cc +71.3% 3,483.5 986.3 2,727.0 2,238.1 575.9 1,782.6 32.3% 36.2
Slide 7: Lab Products & Services: Dynamic development, especially in bioanalytics and the U.S.
Lab Products & Services: Dynamic development, especially in the bioanalytics business and the U.S. Order intake Sales revenue Underlying EBITDA and margin in millions of € in millions of € in millions of € +32.6% cc +32.0% cc +62.3% 784.4 722.2 188.8 598.2 553.0 116.3 26.1% 21.0% 2020 2021 2020 2021
Slide 8: Substantial investments in the expansion of global capacities
Substantial investments in the expansion of global capacities France Finland Significant CAPEX ratios Aubagne Kajaani, Helsinki China CAPEX in millions of €; ratio in % 100 600 Lourdes Beijing USA 90 500 400 Marlborough 80 70 Ann Arbor South Korea 400 60 50 238 226 240 300 Songdo Germany 40 15.2 12.
Slide 9: Strategically important acquisitions strengthen both divisions
Strategically important acquisitions strengthen both divisions Bioanalytics Downstream processing Cell and gene therapies Solutions for automated analysis, selection Chromatography systems for smaller Cell culture media and components for the and isolation of cells with numerous biomolecules and inn
Slide 10: Robust financial indicators; dynamic debt ratio significantly reduced
Robust financial indicators; dynamic debt ratio significantly reduced Key financial indicators Net debt and net debt to underlying EBITDA Dec. 31, Dec. 31, 2,000 4.0 Sartorius Group 2020 2021 1,500 3.0 Equity ratio 30.8 30.2 in % 1,000 2.0 Net debt 500 1.0 1,884 1,733 in millions of € 0 0.0 Net debt
Slide 11: Number of employees increases by around 30% to almost 14,000
Number of employees increases by around 30% to almost 14,000 Strong growth in workforce Integration an ongoing task Mix of experience and fresh ideas Number of employees ~4,500 new employees Length of employment ~1,600 additional jobs 137 4,381 ~15% created on avg. per year More than 15 years 13,832
Slide 12: Sartorius becomes more international, younger and more female
Sartorius becomes more international, younger and more female International workforce Many people younger than 40 Proportion of women to rise further Employees by nationality Workforce by age group Relatively high proportion of women at the senior management levels ~4,300 3,066 ≤29 Percentage of the
Slide 13: Development of Sartorius shares
Development of Sartorius shares 250% Share price development 2021 SAG pref. 225% SAG pref. +73.2% SAG ord. SAG ord. +44.6% DAX 200% DAX +15.8% TecDAX 175% MSCI Europe +19.9% MSCI Europe 150% 125% 100% 75% Jan-21 Feb-21 Mar-21 Apr-21 May-21 Jun-21 Jul-21 Aug-21 Sep-21 Oct-21 Nov-21 Dec-21 Jan-22 Feb-
Slide 14: Agenda item 2 dividend proposal: Total profit distributed would increase by around 78%
Agenda item 2 dividend proposal: Total profit distributed would increase by around 78% Dividend in € 1.25 1.26 0.71 Total profit distributed €85.9 million 0.70 0.71 0.70 0.61 0.62 Payout ratio3 15.5% 0.50 0.51 0.35 0.36 1 2017 2018 2019 2020 2021 2 Ordinary share Preference share 1 The original divi
Slide 15: Agenda item 9 profit and loss transfer agreements: Tax optimization
Agenda item 9 profit and loss transfer agreements: Tax optimization Two existing profit and loss transfer agreements supplemented by controlling provisions Amendment of existing profit and loss transfer agreements between Sartorius Aktiengesellschaft and two wholly owned subsidiaries by controllin
Slide 16: Sustainability is an integral part of our corporate purpose
Sustainability is an integral part of our corporate purpose Our mission We empower scientists and engineers to simplify and accelerate progress in Good health and well-being at life science and bioprocessing, enabling the focus of Sartorius‘ the development of new and better therapies business activ
Slide 17: Sustainability aspects affect the entirety of corporate activities
Sustainability aspects affect the entirety of corporate activities Governance Ethics Our ambition: Water Reduction of CO2 emission intensity by ~10% p.a. Human rights Corporate Sartorius receives very good sustainability ratings, e.g. sustainability Climate Diversity Biodiversity Labor conditions Wa
Slide 18: Ambitious target: Reduction of CO2 emission intensity by ~10% per year
Ambitious target: Reduction of CO2 emission intensity* by ~10% per year * = Emissions in proportion to sales CO2 emission intensity Emissions in proportion to sales (g CO2/€) Strong company growth sets technical limits to absolute (gross) CO2 emission reduction; CO2 emission intensity the more mea
Slide 19: Guidance 2022: Double-digit sales growth, sustained high profitability
Guidance 2022: Double-digit sales growth, sustained high profitability; uncertainties concerning the outlook remain on an elevated level Guidance 20221 Sales revenue growth Underlying EBITDA margin Sartorius Group ~15% - 19% ~34% thereof from acquisitions ~2pp Bioprocess Solutions ~17% - 21% ~36% th
Slide 20: Strategic focus of both divisions on life science and biopharma
Strategic focus of both divisions on life science and biopharma Lab Products & Services Division Bioprocess Solutions Division Cell line and process Upstream & Molecule development development downstream production Quality | Testing | Validation 20
Slide 21: Megatrends in our target markets offer strong growth opportunities
Megatrends in our target markets offer strong growth opportunities Growing and aging population1 Biologics are gaining importance2 9 billion people by 2050 World population over age 60 in 2050 Sales share of biologics in 2026 >2bn ~37% ~10% CAGR for the biopharma market in 2021–2026 World population
Slide 22: Customers' development activities are becoming more diverse
Customers' development activities are becoming more diverse Growing R&D pipeline with increasing Biopharmaceutical approaches are Biosimilars and Advanced Therapies share of biotechnology becoming more diverse and complex are growing particularly fast Modalities in biopharma R&D pipeline CAGRs 2021–
Slide 23: Innovative therapies need innovative technologies
Innovative therapies need innovative technologies - We offer solutions for efficient and accelerated processes Developing a new drug is time-consuming and costly, and Bioanalytical systems and novel bioprocessing technologies manufacturing is complex increase quality, efficiency and productivity >€2
Slide 24: Our innovation activities are based on three pillars
Our innovation activities are based on three pillars Constantly accelerating speed of innovation in Research activities in future key technologies and biotech and life sciences application areas Specialized product development 1 in areas of strong own core competencies Analytical Data New Cell Techn
Slide 25: The U.S. and Asia | Pacific are a focus of the regional growth strategy
The U.S. and Asia | Pacific are a focus of the regional growth strategy Development of sales by region Sales share 2021 | CAGR 2011-2021 Markets U.S.: Highly innovative market, further potential for market share gains Asia | Pacific Asia: Strong growth in China, Korea and other countries ~26% |
Slide 26: Targets 2025: Sales target confirmed, profitability target increased
Targets 2025: Sales target confirmed, profitability target increased Approximately doubling of sales Profitability targets 2025 raised every five years Sales CAGR: ~16% Sales FY 2025 EBITDA margin1 5000 ~5bn in € bn 4800 49 4600 47 4400 4200 4000 3800 3.4bn 45 43 Group 5.0 ~34% 3600 41 3400 3200 39
Slide 27: Thank you for joining us
Thank you for joining us