Slide 1: Third quarter 2024 results
Philippe Kehren CEO Alexandre Blum CFO Third quarter 2024 results Earnings call November 6th, 2024 1
Slide 2: Forenote
Forenote This presentation may contain forward-looking information. Forward-looking statements describe expectations, plans, strategies, goals, future events or intentions. The achievement of forward-looking statements contained in this presentation is subject to risks and uncertainties relating to
Slide 3: Introduction
Introduction Philippe Kehren 3
Slide 4: Safety at the heart of our operations
Safety at the heart of our operations RIIR = Reportable Injuries and Illness per 200,000 work hours 0.27 0.27 0.27 0.24 4 4 4 3 3 2 3 0 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2022 2023 2024 * 1 Fatality H-RIIR RIIR in Aug 4
Slide 5: Q3 2024 results
Q3 2024 results Year-on-year higher sales and stable EBITDA organically, continued strong FCF delivery € € € € 1.2bn 259m 74m 1.5bn 17.3% Underlying Underlying Net Sales EBITDA FCF1 Net Debt ROCE2 +4% organic flat organically 1.5x leverage2 last 12 months 22.4% EBITDA margin YTD € € € 3.6bn 796m 320m
Slide 6: Advancing on sustainable growth
Advancing on sustainable growth Focus on Green River, WY, USA ● Solvay’s largest GHG reduction project: completion of plant transformation, phasing out coal and deploying regenerative thermal oxidation (RTO) technology. ● Expansion of soda ash production by 600 kilotons by early 2025, strengthening
Slide 7: Financials
Financials Alexandre Blum 7
Slide 8: Q3 Sales bridge
€1,156m in Q3 2024 VS Q3 Sales bridge Positive volume for 3nd quarter in a row, more than €1,120m in Q3 2023 offsetting lower price effect Price Forex Volume €92m volumes up Scope conversion & mix benefitting from a more favorable comparable basis +4% slightly lower pricing +3% Q3 2023 Q3 2023 Q3 202
Slide 9: Q3 EBITDA bridge
€259m in Q3 2024 Q3 EBITDA bridge VS Stable year-on-year organically €286m in Q3 2023 MARGIN -3.2pp MARGIN 25.6% 22.4% Slight volume growth in all businesses yoy Scope Forex Volume Net Fixed Other conversion & mix pricing costs Lower Net pricing from soda ash, as expected resilient in other business
Slide 10: Basic Chemicals results
Basic Chemicals results Q3 2024 (€m) % YoY % YoY organic Soda Ash & Deriv. 471 -2% -2% Peroxides 235 +33% +9% Net Sales 706 +8% +1% EBITDA 181 -23% -22% EBITDA Margin 25.7% Q3 Highlights ➝ Soda Ash & Derivatives : Higher volumes on Soda Ash (seaborne offsetting lower demand in EU container glass) th
Slide 11: Performance Chemicals results
Performance Chemicals results Q3 2024 (€m) % YoY % YoY organic Silica 127 -5% -4% Coatis 164 +12% +29% Special Chem 157 -16% +2% Net Sales 448 -4% +9% EBITDA 79 -2% +26% EBITDA Margin 17.6% Q3 Highlights ➝ Silica : Higher volumes yoy though lower sequentially on tire market. Lower prices with indexa
Slide 12: Corporate segment results
Corporate segment results Normalized One-offs 0 New Solvay leaner organization ERP rollout - IT simplification -50 (EBITDA, €m) Start of (-) Dombasle TSA exit TSA exit provision & offset by new ERP (+) Discret. Spent & TSA -100 Dombasle provision -128 -50/-60 -70/-90 -150 2023 2024 est. 2025 est. 202
Slide 13: Solid FCF generation: €320m YTD
€74m in Q3 2024 Solid FCF generation : €320m YTD VS Supported by resilient EBITDA while Capex ramped up €120m in Q2 2024 Resilient EBITDA Performance Capex Working capital Capex ramp up Provisions Financing Taxes -73 €84m in Q3 & other +40 EBITDA FCF Higher provisions 9M 2024 9M 2024 mainly from pre
Slide 14: Capital structure
Capital structure Adequate debt level S&P RATING: BBB- Stable outlook Net debt: €1.5 Bn Net pension liabilities: €0.75 Bn M&A Others1 Environmental liabilities: €0.5 Bn FCF Dividends Leverage ratio: 1.5x Net Debt Net Debt 31 Dec 23 30 Sep 24 14 1. Remeasurements, change in scope and separation costs
Slide 15: Outlook
Outlook Philippe Kehren 15
Slide 16: Outlook
Outlook Expectations for full year 2024 Underlying EBITDA organic growth expected at the high end of the -10% to -15% guidance Free Cash Flow1 higher than €300 million 16 1 Free Cash Flow to Solvay shareholders from continuing operations
Slide 17: Q&A
17 &A Q&A
Slide 18: Visit solvay.com
Visit solvay.com Contact media relations Contact investor relations 18