Semperit Ag Holding · VIE:SEM
Semperit — FY2022 Earnings Presentation
37 slides from Semperit's earnings presentation, Mar 22, 2023
Slide 1: Semperit Group FY 2022 Investor Presentation
SEMPERIT GROUP FY 2022 INVESTOR PRESENTATION Karl Haider, CEO Helmut Sorger, CFO 22 March 2023 1
Slide 2: Agenda
Agenda Key Highlights (p.2) Operational Performance (p.4) Financial Performance & Strategy (p.12) Outlook (p.23) Appendix (p.26) 2 Investor Presentation FY 2022 I 22 March 2023 I Investor Relations
Slide 3: Strategic and operational highlights FY 2022
Strategic and operational highlights FY 2022 Sale of Sempermed to HARPS announced on 16 December 2022; sales price of EUR 115m; completion of first part (examination gloves) expected mid-year; second part (surgical gloves) remains up to five years as contract manufacturing Change in reporting accord
Slide 4: Agenda
Agenda Key Highlights (p.2) Operational Performance (p.4) Financial Performance & Strategy (p.12) Outlook (p.23) Appendix (p.26) 4 Investor Presentation FY 2022 I 22 March 2023 I Investor Relations
Slide 5: Industrial Sector: significant sales and earnings increase
Industrial Sector: significant sales and earnings increase Revenues in EUR m Quarterly development of EBITDA (EURm) and EBITDA margin (%) FY’19 – FY’22 +34.1% +32.0% 41.4 20.7 734.0 21.3 17.4 19.1 14.2 17.3 16.1 17.1 15.9 16.4 15.5 32.4 15.0 547.2 556.1 28.2 14.5 27.1 12.1 478.4 24.5 10.5 10.3 26.4
Slide 6: Semperflex FY 2022
Semperflex FY 2022 Lower customer demand and economic slowdown started in Q3’2022 29.0% 24.4% 27.2% 27.3% EBITDA in EUR m 24.5% 23.3% 24.5% 22.8% 19.9% 22.5% 18.1% EBITDA margin 20.0% 19.3%20.4% 18.1% 15.9% Semperflex 27.3 19.6 21.5 13.9 14.5 14.0 11.4 12.3 13.9 11.2 13.9 13.9 10.8 8.7 9.3 7.2 Q1’19
Slide 7: Sempertrans FY 2022
Sempertrans FY 2022 Late-cycle tailwinds resulted in highest order book for last three years 22.7% EBITDA in EUR m EBITDA margin 14.2% 15.4% 16.7% 12.8% Sempertrans 4.7 13.1% 9.0% 7.6% 9.2% 3.3% 5.4% 3.7 4.5% 5.3 5.4 4.6 2.5% 5.0 3.8% 4.9 1.3 0.0% 1.4% 3.7 1.4 1.6 2.1 1.0 0.4 1.3 0.8 0.0 1.0 0.8 1 2
Slide 8: Semperseal FY 2022
Semperseal FY 2022 Impact of economic slowdown in construction since Q4’2022 14.1% 14.7% 14.7% 10.0% EBITDA in EUR m 13.2% 12.8% 12.6% 12.0% 8.3% EBITDA margin 9.8% Semperseal 7.5% 7.9% 4.2 6.5% 3.9 4.1 3.8 3.4 3.0% 3.3 3.2 3.2 2.5 2.9 3.0% 2.4 2.4 1.7 0.6 0.9 -1.2 -4.1% Q1’19 Q2’19 Q3’19 Q4’19 Q1’2
Slide 9: Semperform FY 2022
Semperform FY 2022 Results impacted by price increases and changed product mix 22.6% 18.3% EBITDA in EUR m 19.6%18.4% 17.5% 19.6% 17.7% 13.9% EBITDA margin Semperform 12.2% 12.9%15.4%15.2%14.1% 12.2% 10.3% 9.9% 4.8 5.0 5.0 4.0 4.1 4.0 3.6 4.1 3.5 3.1 3.3 3.2 2.7 2.5 2.5 2.8 Q1’19 Q2’19 Q3’19 Q4’19 Q
Slide 10: Medical Sector / Sempermed segment FY 2022
Medical Sector / Sempermed segment FY 2022 Excess capacity, reduced demand and further inventory clean-up impact volumes 57.7% 51.6% 54.6% 37.5% 45.9% EBITDA in EUR m 19.7% 21.7% EBITDA margin Sempermed 0.8% 2.3% -0.1% 6.1% 105.3 115.3 12.6% 2.5% -1.2% 83.0 44.4 56.9 13.3 18.2 23.7 -19.6 -11.4 -0.9
Slide 11: Medical Sector – Sales agreement with HARPS
Medical Sector – Sales agreement with HARPS Signing on 16 December 2022: Sale of medical business agreed with the Southeast Asian glove producer HARPS GLOBAL PTE. LTD., based in Singapore with production facilities in Malaysia The sales price (cash and debt free) is EUR 115 million and is subjec
Slide 12: Agenda
Agenda Key Highlights (p.2) Operational Performance (p.4) Financial Performance & Strategy (p.12) Outlook (p.23) Appendix (p.26) 12 Investor Presentation FY 2022 I 22 March 2023 I Investor Relations
Slide 13: CFO focus and financial framework
CFO focus and financial framework Financial framework • Disciplined cash management • Strong financial position with healthy leverage • Efficient capital allocation: balanced focus on growth and sustainable shareholder return • Disciplined growth investments with strict return criteria • Attractive
Slide 14: IFRS 5 Effects
IFRS 5 Effects: Profit and Loss Sales, EBITDA, EBIT, financial results – shown for continued operations Net result after tax – shown separately for continued and discontinued operations and on aggregate 1. EBITDA before the transaction Medical Adjust- Medical Corporate Industry Surgical ments Exam 2
Slide 15: Overview of key financial KPIs, 2021 vs. 2022 (as reported)
Overview of key financial KPIs, 2021 vs. 2022 (as reported) FY 2021 FY 2022 Δ ‘21/‘22 Revenues, in EUR m 601.8 779.8 29.6% EBITDA, in EUR m 54.0 100.5 86.2% EBITDA margin, in % 9.0 12.9 3.9PP EBIT, in EUR m 25.2 62.1 146.3% EBIT margin, in % 4.2 8.0 3.8PP Earnings after tax, in EUR m 247.5
Slide 16: Revenue: Segment reporting & reconciliation for continued business
Revenue: Segment reporting & reconciliation for continued business -10% 21.6 20.5 47.5 88.3 1,182.2 45.8 1,104.0 -324.2 1,058.2 -301.9 779.8 +32.0% -48.2% +36.7% +45.5% +17.9% +22.7% Industrial Sector Medical Sector 1 FY 2021 Semperflex Sempertrans Semperseal Semperform Sempermed FY 2022 Adjustments
Slide 17: Strong performance in Industrial against steep decline in Medical
Strong performance in Industrial against steep decline in Medical in EUR m -75% 12.8 2.7 30.9 361.8 -3.3 90.5 8.4 98.9 -1.6 100.5 -316.5 2.1 FY 2021 Semperflex Sempertrans Semperseal Semperform Sempermed Corporate FY 2022 Adjustments Continued Discontinued Continued = Segments’ on Group and operatio
Slide 18: Major drivers of operating performance
Major drivers of operating performance in EUR million +86% 179.5 -95.0 -15.3 -5.9 100.5 -14.4 -2.3 54.0 EBITDA Price Effect Sales Cost of materials Energy (used Logistics Personnel exp. Misc. EBITDA and purchased for production) FY 2021 services (excl. FY 2022 energy) 18 Investor Presentation FY 202
Slide 19: Quarterly Segment CAPEX development 2021-2022
Quarterly Segment CAPEX development 2021-2022 • FY2022 CAPEX above prior-year level • Industrial continues to receive higher CAPEX, notably Semperflex and Semperseal • Responsible stewardship for Sempermed with continuing CAPEX in Q4’2022 • FY2023 maintenance CAPEX to remain stable at EUR ~50m and a
Slide 20: Free cash flow development
Free cash flow development Operating cash flow Significantly reduced due to lower earnings and EUR 62.1mn tax payment, notably at Sempermed Impacted by inventory build-up Investment cash flow: largely stable After years of being reduced to necessary levels CAPEX normalized with stronger fo
Slide 21: Working Capital overview
Working Capital overview Components of Working Capital in EUR m 16.1%1 19.6%1 21.0%1 22.0%1 19.6%1 232.8 222.2 237.4 190.3 203.1 207.3 198.9 153.1 186.8 128.2 Inventories 132.6 144.1 134.5 98.8 88.9 Trade receivables -63.9 Trade payables -95.3 -113.5 -118.6 -96.0 1 31 Dec 2021 31 March 2022 30 June
Slide 22: Balance sheet structure and financial profile (contd. operations)
Balance sheet structure and financial profile (contd. operations) Balance sheet structure Financial profile as of 31 December 2022 Balance sheet 31/12/2022: EUR 843m Balance sheet 31/12/2021: EUR 959m Cash and cash equivalents at EUR 107m – Strong cash position to fend off inflationary impact and
Slide 23: Agenda
Agenda Key Highlights (p.2) Operational Performance (p.4) Financial Performance & Strategy (p.12) Outlook (p.23) Appendix (p.26) 23 Investor Presentation FY 2022 I 22 March 2023 I Investor Relations
Slide 24: Management agenda 2023
Management agenda 2023 Starting point in early 2023 Operations: Encouraging start in Industrial Sector… …while Medical Sector burdened by high inventory level in the market Diminished recessionary fears albeit market slowdown in economic activity and continuing high inflation (high inventories in th
Slide 25: Outlook 2023 (continued operations)
Outlook 2023 (continued operations) EBITDA in the range of 70–90m EUR CAPEX ~ 100 m EUR for 50:50 growth and maintenance Base dividend 2022 at EUR 1.50 per share Conditional dividend to be announced before AGM 25 Investor Presentation FY 2022 I 22 March 2023 I Investor Relations
Slide 26: Contact and financial calendar
Contact and financial calendar Investor Relations Semperit Financial Calendar 2023 Judit Helenyi, Director Investor Relations 22.03.2023 Publication of 2022 annual financial statements 25.04.2023 Annual General Meeting, Vienna +43 1 79777 - 310 www.semperitgroup.com/en/ir 10.05.2023 Report on Q1 202
Slide 27: Agenda
Agenda Key Highlights (p.2) Operational Performance (p.4) Financial Performance & Strategy (p.12) Outlook (p.23) Appendix (p.26) 27 Investor Presentation FY 2022 I 22 March 2023 I Investor Relations
Slide 28: Sectors and Group: FY 2022 vs FY 2021
Sectors and Group: FY 2022 vs FY 2021 Industrial Sector Medical Sector Semperit Group 1) 2) 3) 1 1 in EUR m FY 2022 FY 2021 % FY 2022 FY 2021 % FY 20221 FY 2021 % Revenue 734,0 556,1 +32,0% 324,2 626,1 -48,2% 1 058,2 1 182,2 -10,5% EBITDA 125,2 82,1 +52,5% -15,4 301,1 n/a 90,5 361,8 -75,0% EBITDA ma
Slide 29: Semperit Group adj. where applicable
Semperit Group adj. where applicable Semperit Group adj. where applicable Q3 FY Q3 Q4 FY FY Q1 Q2 Q4 Q1 Q2 Q3 Q4 FY Q1 Q2 2020 2020 2022 2022 2022 2019 2020 2020 adj.1) 2020 adj. 2021 2021 2021 2021 2021 2022 2022 in EUR m adj.2) adj.3) adj.4) adj.5) adj.5) Revenue 840.6 199.1 219.8 238.2 270.5 927.
Slide 30: Semperflex and Sempertrans (adj. where applicable)
Semperflex and Sempertrans (adj. where applicable) Semperflex (Hoses) FY Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Q4 FY Q1 2022 Q2 2022 Q3 2022 Q4 2022 FY 2022 2019 2020 2020 2020 2020 2020 2021 2021 2021 2021 2021 in EUR m Revenue 222.7 46.8 51.5 46.6 45.0 189.9 54.7 59.7 57.7 68.4 240.5 79.8 93.9 78.5 76.6 328.8 E
Slide 31: Semperform and Semperseal (adj. where applicable)
Semperform and Semperseal (adj. where applicable) Semperform (Window and door profiles, Handrails) - after 2020 FY Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Q4 FY 2019 2020 2020 2020 2020 2020 2021 2021 2021 2021 2021 2022 2022 2022 2022 2022 in EUR m Revenue 91.1 19.9 21.9 20.4 19.6 81.8 19.8 23.6 23.
Slide 32: Sempermed (adj. where applicable)
Sempermed (adj. where applicable) Sempermed (Gloves) Q2 Q3 FY FY Q1 Q4 Q1 Q2 Q3 Q4 FY Q3 2022 Q4 2022 1) 2020 2020 4) 2020 Q1 2022 Q2 2022 6) 7) FY 2022 2019 2020 2) 3) 2020 5) 2021 2021 2021 2021 2021 adj. adj. in EUR m adj. adj. adj. Revenue 293.3 77.5 92.2 118.4 161.1 449.2 192.9 199.8 124.0 109.
Slide 33: Key figures 2012-2022
Key figures 2012-2022 Key performance figures 2016 2017 2018 2019 2020 7) in EUR m 2012 2013 20141) 20151) 2021 2022 adj.2) adj.3) adj.4) adj.5) adj.6) Revenue 828,6 906,3 858,3 914,7 852,4 874,2 878,5 840,6 927,6 1 182,2 1 058,2 EBITDA 108,7 132,5 101,9 96,2 74,7 35,8 50,3 63,8 208,6 361,8 90,5 EBI
Slide 34: Overview price indices Butadiene
Overview price indices Butadiene Price movements for raw materials1) became highly unpredictable Price indices Butadiene as main raw material for synthetic rubber / latex 250 Ø 2022 ø 2019 ø 2020 200 150 100 50 ø 2021 0 Butadiene Europe Butadiene Korea 1) Selected raw materials are shown for illustr
Slide 35: Overview price indices LFO-F-NWE / wire rod
Overview price indices LFO-F-NWE / wire rod Significant increase for raw material1) used in industrial segments Price index LFO-F-NWE Price index wire rod 225 200 ø 2019 ø 2020 ø 2021 Ø 2022 Ø 2022 200 ø 2019 ø 2020 ø 2021 175 175 150 150 125 125 100 100 75 75 50 50 25 25 Fuel Oil 1% Sulphur NWE FOB
Slide 36: Product / market position / segment view, FY 2022
Product / market position / segment view, FY 2022 in EUR m Semperit Group 4) Industrial Sector Medical Sector Semperflex Sempertrans Semperform Semperseal Sempermed Revenue 328.8 / 31%1) 151.9 / 14%1) 111.1 / 10%1) 142.1 / 13%1) 324.2 / 30%1) EBITDA 82.2 19.7 15.1 8.3 -15.4 Employees 1,782 / 27%3) 8
Slide 37: Shareholder Structure
Shareholder Structure Shareholder structure Semperit is listed on the Vienna Stock Exchange since 1890 Total of 20,573,434 shares B & C Holding Österreich GmbH is part of < 46% B & C Privatstiftung, an Austrian based private foundation / trust > 54% Primary focus of B & C is pursuing the fou