Slide 1: Q2 2022 Results
Q2 2022 RESULTS AUGUST 10, 2022 Conference Call Corporate Investor Relations 1
Slide 2: Agenda
Agenda EXECUTIVE SUMMARY Q2 2022 FINANCIAL DETAILS Q2 2022 OUTLOOK APPENDIX Brenntag SE – Q2 2022 Results Presentation | 10 August 2022 2
Slide 3: Highlights Q2 2022
Highlights Q2 2022 SALES OPERATING GROSS PROFIT OPERATING EBITDA EPS (fx adj.) (fx adj.) (fx adj.) +37.4% +28.0% +41.0% EUR 1.86 EUR 5,061.2m EUR 1,144.8m EUR 533.8m Significantly higher than in Q2 2021 PROJECT BRENNTAG FREE CASHFLOW OPERATING EBITDA DIVIDEND PAYMENT OF TARGETS ONE YEAR GUIDANCE FOR
Slide 4: Brenntag continued to manage exceptionally challenging macroeconomic and geopolitical conditions well in Q2 2022
Brenntag continued to manage exceptionally challenging macroeconomic and geopolitical conditions well in Q2 2022 • Besides the geopolitical uncertainties, we are still • Our Ukraine business is operational again experiencing pressure on global supply chains • Resilience by drawing on multiple supply
Slide 5: Project Brenntag achievements since inception of the program
Project Brenntag achievements since inception of the program ✓ One year ahead of plan: We expect to achieve our PB targets by the end of 2022 Project Brenntag Initial FY 20231) targets Project Brenntag Facts & Figures2) Achievement2) Top line levers ~EUR 40m ▪ Structural job reduction: ~1,060 ~EUR 6
Slide 6: Agenda
Agenda EXECUTIVE SUMMARY Q2 2022 FINANCIAL DETAILS Q2 2022 OUTLOOK APPENDIX Brenntag SE – Q2 2022 Results Presentation | 10 August 2022 6
Slide 7: Financials Q2 2022: Operating EBITDA bridges
Financials Q2 2022: Operating EBITDA bridges* Operating EBITDA growth (fx adj.) Operating EBITDA growth (fx adj.) in EUR m +41% in EUR m +56% +30% +41% 650 650 Organic growth FX translation M&A contribution 600 600 550 534 550 91 534 -2 500 500 70 128 90 450 450 3 18 61 400 400 355 355 7 25 22 350 2
Slide 8: Financials Q2 2022: Brenntag Specialties
Financials Q2 2022: Brenntag Specialties Operating EBITDA growth* ▪ Brenntag Specialties achieved stronger growth than EMEA AMERICAS Brenntag Essentials in line with expectations ▪ Strong op. gross profit increase* of 42.2% +43% +76% ▪ Op. EBITA growth* of 57.2% ▪ Broad-based growth across all segme
Slide 9: Financials Q2 2022: Brenntag Essentials
Financials Q2 2022: Brenntag Essentials Operating EBITDA growth* EMEA ▪ Op. EBITDA development almost entirely organic LATIN AMERICA ▪ Strong op. gross profit increase* of 19.5% +37% +25% ▪ Op. EBITA growth* of 40.5% ▪ EMEA, NA and LATAM particularly strong ▪ APAC impacted by severe lockdowns in Chi
Slide 10: Financials Q2 2022: Income statement
Financials Q2 2022: Income statement in EUR m Q2 2022 Q2 2021 ∆ ∆ FX adjusted Sales 5,061.2 3,470.1 45.9% 37.4% Cost of materials -3,916.4 -2,631.4 48.8% - Operating gross profit 1,144.8 838.7 36.5% 28.0% Operating expenses -611.0 -483.6 26.3% 18.5% Operating EBITDA 533.8 355.1 50.3% 41.0% Special i
Slide 11: Financials Q2 2022: Free cash flow
Financials Q2 2022: Free cash flow Q2 2022 Q2 2021 ∆ ∆ Operating EBITDA 533.8 355.1 178.7 50.3% Payments to acquire intangible assets and property, plant and equipment -45.8 -36.2 -9.6 26.5% ∆ Working capital -295.3 -168.3 -127.0 75.5% Principal and interest payments on lease liabilities -35.1 -30.4
Slide 12: Financials Q2 2022: Working capital
Financials Q2 2022: Working capital in EUR m 30 Jun 2022 31 Mar 2022 31 Dec 2021 30 Sep 2021 30 Jun 2021 Inventories 2,015.8 1,807.8 1,621.9 1,431.1 1,207.8 + Trade receivables 3,081.1 2,796.9 2,290.2 2,189.4 2,056.8 ./. Trade payables 2,240.8 2,109.4 1,802.3 1,660.1 1,555.2 Working capital (end of
Slide 13: Financials Q2 2022: Balance sheet and maturity profile
Financials Q2 2022: Balance sheet and maturity profile in EUR m 30 Jun 2022 31 Dec 2021 in EUR m Financial liabilities 2,631.8 2,329.7 Syndicated Facility Lease liabilities 445.2 445.6 800 Bond 2025 Bond ./. Cash and cash equivalents 515.0 705.0 Bond + 2029 600 Warrants Net Debt 2,562.0 2,070.3 400
Slide 14: Agenda
Agenda EXECUTIVE SUMMARY Q2 2022 FINANCIAL DETAILS Q2 2022 OUTLOOK APPENDIX Brenntag SE – Q2 2022 Results Presentation | 10 August 2022 14
Slide 15: Outlook 2022: Well positioned in an exceptionally challenging environment
Outlook 2022: Well positioned in an exceptionally challenging environment ▪ Guidance raised in June 2022: Previously EUR 1,450 – 1,550m Operating EBITDA ▪ FY 2022 operating EBITDA guidance of EUR 1,750 – 1,850m confirmed Guidance ▪ Expect to achieve the upper range of the guidance ▪ Guidance include
Slide 16: Brenntag strategically well on track
Brenntag strategically well on track Operating ▪ Strategically it was the right decision to setup two global divisions ✓ Model ▪ Dedicated commercial teams and differentiated steering approach Project ▪ Our transformation program Project Brenntag is very well on track ✓ Brenntag ▪ We expect to achie
Slide 17: Thank you for your attention!
Thank you for your attention! We are happy to answer your questions! Christian Kohlpaintner Kristin Neumann CEO CFO Brenntag SE – Q2 2022 Results Presentation | 10 August 2022 17
Slide 18: Agenda
Agenda EXECUTIVE SUMMARY Q2 2022 FINANCIAL DETAILS Q2 2022 OUTLOOK APPENDIX Brenntag SE – Q2 2022 Results Presentation | 10 August 2022 18
Slide 19: Financials Q2 2022: Segments (1/2)
Financials Q2 2022: Segments (1/2) in EUR m Operating gross profit1) Operating EBITDA2) ∆ FX ∆ FX Q2 2022 Q2 2021 ∆ adjusted Q2 2022 Q2 2021 ∆ adjusted Brenntag Specialties 461.4 308.9 49.4% 42.2% 234.1 144.5 62.0% 55.5% Brenntag Essentials 672.6 523.1 28.6% 19.5% 320.9 230.1 39.5% 29.6% All other s
Slide 20: Financials Q2 2022: Segments (2/2)
Financials Q2 2022: Segments (2/2) in EUR m Operating gross profit1) Operating EBITDA2) Conversion ratio ∆ FX ∆ FX Q2 2022 Q2 2021 ∆ adjusted Q2 2022 Q2 2021 ∆ adjusted Q2 2022 Q2 2021 Specialties EMEA 202.6 153.2 32.2% 33.8% 105.2 75.4 39.5% 42.5% 51.9% 49.0% Specialties Americas 178.8 103.3 73.1%
Slide 21: Financials Q2 2022: Cash flow statement
Financials Q2 2022: Cash flow statement in EUR m Q2 2022 Q2 2021 Profit after tax 294.1 137.2 Effect from IAS 29 on profit/loss after tax 7.2 - Depreciation & amortization 88.9 130.1 Income tax expense 107.6 55.6 Income taxes paid -121.4 -55.5 Net interest expense 21.0 13.1 Interest paid (netted aga
Slide 22: Financials Q2 2022: Cash flow statement (continued)
Financials Q2 2022: Cash flow statement (continued) in EUR m Q2 2022 Q2 2021 Proceeds from the disposal of other financial assets - 0.1 Proceeds from the disposal of intangible assets and property, plant and equipment 6.2 3.7 Payments to acquire consolidated subsidiaries and other business units - 0
Slide 23: Financials H1 2022: Operating EBITDA bridges
Financials H1 2022: Operating EBITDA bridges* Operating EBITDA growth (FX-adj.) Operating EBITDA growth (FX-adj.) in EUR m +45% in EUR m +65% +32% +45% 1,200 1,200 Organic growth FX translation M&A contribution 1,100 1,100 997 169 997 1,000 1,000 135 -13 900 900 261 185 7 26 800 800 138 700 655 700
Slide 24: Financials H1 2022: Income statement
Financials H1 2022: Income statement in EUR m H1 2022 H1 2021 ∆ ∆ FX adjusted Sales 9,594.3 6,602.6 45.3% 38.5% Cost of materials -7,411.6 -4,999.4 48.2% - Operating gross profit 2,182.7 1,603.2 36.1% 29.3% Operating expenses -1,185.9 -947.8 25.1% 18.9% Operating EBITDA 996.8 655.4 52.1% 44.5% Speci
Slide 25: Financials H1 2022: Free cash flow
Financials H1 2022: Free cash flow H1 2022 H1 2021 ∆ ∆ Operating EBITDA 996.8 655.4 341.4 52.1% Payments to acquire intangible assets and property, plant and equipment -96.3 -74.2 -22.1 29.8% ∆ Working capital -624.9 -328.8 -296.1 90.1% Principal and interest payments on lease liabilities -69.3 -61.
Slide 26: Financial calendar / Contact
Financial calendar / Contact Date Event August 10, 2022 Interim Report Q2 2022 November 9, 2022 Interim Report Q3 2022 November 10, 2022 Capital Markets Day 2022 Kelvin Jörn Bianca Li Thomas Altmann Diana Alester Jan Ruhlandt Manager IR Manager IR SVP IR Senior Manager IR Senior Manager IR March 8,
Slide 27: Disclaimer
Disclaimer This presentation may contain forward-looking statements based on current assumptions and forecasts made by Brenntag SE and other information currently available to the company. Various known and unknown risks, uncertainties and other factors could lead to material differences between the