Cph Group Ag Class A · SIX:CPHN
Cph Group Ag Class A — CPH Chemie + Papier Holding — Investor Day (September 2023)
43 slides from Cph Group Ag Class A's investor day presentation, Sep 26, 2023
Slide 1: Diversified. Leading. Innovative.
CPH Chemie + Papier Holding AG Diversified. Leading. Innovative. Investors’ Day 26 September 2023 CPH Investors’ day Zurich, 26 September 2023 1
Slide 2: Disclaimer
Disclaimer Investing in the shares of CPH Chemie + Papier Holding AG involves risks. Prospective investors are urged to consult their investment advisors and tax advisors prior to investing in CPH Chemie + Papier Holding AG shares. This document contains forward-looking statements which involve risk
Slide 3: Agenda
Agenda 1 Business Development and Strategy Implementation Peter Schildknecht 2 Insights into the Divisions Peter Schildknecht 3 Focus Topic Sustainability Gerold Brütsch 4 Financials Gerold Brütsch 5 Investment Case Gerold Brütsch 6 Outlook Peter Schildknecht CPH Investors’ day Zurich, 26 September
Slide 4: The first half of 2023 at a glance
The CPH Group The first half of 2023 at a glance 332 18.7 53 Sales EBITDA margin EBIT in CHF millions in % in CHF millions 61 1 184 63.2 Net result Employees Equity ratio in CHF million in full-time equivalents in % CPH is an internationally active and diversified industrial group that was founded i
Slide 5: Key figures for the first-half of 2023
The CPH Group Key figures for the first-half of 2023 01.01.-30.06., in CHF millions 2023 2022 ± ± in % Sales 750 Sales 332 360 -28 -7.8% 600 EBITDA 62 62 - +0.5% 450 EBITDA margin 18.7% 17.1% +2.1% 300 EBIT 53 52 +1 EBIT margin 16.0% 14.4% 150 Net result 61 47 +14 +27.7% 0 2019 2020 2021 2022 H1 23
Slide 6: Market position
The CPH Group Market position Chemistry Paper Packaging Strategy Differentiation Cost leadership Differentiation CHF 78.2 Mio. CHF 9.5 Mio. 287 Market 3 1 3 position Number 3 worldwide Number 1 in Switzerland Number 3 worldwide in molecular sieves in newsprint and magazine in coated barrier films fo
Slide 7: Segment results for the first half of 2023
The CPH Group Segment results for the first half of 2023 CPH Group Chemistry Paper Packaging 01.01.-30.06., in CHF millions 2023 2022 ±% 2023 2022 ±% 2023 2022 ±% 2023 2022 ±% Sales 332 360 -7.8% 58 56 +1.9% 142 188 -24.5% 133 116 +14.4% EBITDA 62 62 +0.5% 9 10 -5.1% 29 37 -22.4% 24 16 +54.5% EBITDA
Slide 8: Strategy implementation
The CPH Group Strategy implementation Balance shares of sales Raise share of Reduce dependence Objectives among the three divisions total sales on the Swiss franc from outside Europe CHF 78.2 Mio. in currency terms CHF 9.5 Mio. 287 Expand Chemistry and Expand markets Expand capacities Actions Packag
Slide 9: Business and operating locations
The CPH Group Business and operating locations Müllheim Gröbenzell Zvornik Utzenstorf Perlen Rüti Donghai Whippany Suzhou Shanghai Louisville Singapore Anápolis CPH Investors’ day Zurich, 26 September 2023 9
Slide 10: Business development
The CPH Group Business development CPH Group Chemistry Paper Packaging 750 150 500 250 Sales 600 120 400 200 in CHF 450 90 300 150 millions 300 60 200 100 150 30 100 50 0 0 0 0 150 25% 25 25% 100 25% 40 25% EBITDA 120 20% 20 20% 80 20% 32 20% in CHF millions 90 15% 15 15% 60 15% 24 15% 60 10% 10 10%
Slide 11: Strategic success factors
The CPH Group Strategic success factors Leading market position Own production facilities in Europe, in relevant sales markets Asia and North and South America Diversification into multiple markets Consistent long-term leadership and business models through a stable management team Focus on markets
Slide 12: M&A strategy
The CPH Group M&A strategy Rationales for M&A and strategic partnerships ▪ Support transformation ▪ Consistent strategy implementation ▪ Generate enterprise value Systematic and global approach ▪ Focus on growth markets in Chemistry and Packaging ▪ Ongoing market screening and target identification
Slide 13: Agenda
Agenda 1 Business Development and Strategy Implementation Peter Schildknecht 2 Insights into the Divisions Peter Schildknecht 3 Focus Topic Sustainability Gerold Brütsch 4 Financials Gerold Brütsch 5 Investment Case Gerold Brütsch 6 Outlook Peter Schildknecht CPH Investors’ day Zurich, 26 September
Slide 14: The Chemistry Division
The Chemistry Division CPH Investors’ day Zurich, 26 September 2023 14
Slide 15: Investments in additional production capacities
Chemistry Investments in additional production capacities Capacity and work Capacity and cost Capacity Capacity and quality quality reduction Louisville (USA) Rüti (CH) Zvornik (BiH) Donghai (CN) ▪ Capacities expanded for ▪ Capacities expanded for ▪ Molecular sieve powder ▪ Dust extraction facility
Slide 16: Industry innovations drive demand
Chemistry Industry innovations drive demand Modern multi-pane insulated glass windows R&D projects and production ventures ▪ A more energy-efficient way to manufacture non- ▪ The division produces various deuterated fogging double glazing drive demand for molecular molecules for R&D projects within
Slide 17: The Paper Division
The Paper Division CPH Investors’ day Zurich, 26 September 2023 17
Slide 18: Market and pricing trends in Western Europe
Paper Market and pricing trends in Western Europe Newsprint Magazine paper in million tons in million tons 10 10 8 8 6 6 Capacity 4 4 Demand 2 2 0 0 Source: PPPC Indexed (basis: 2010 = 100, in CHF) Indexed (basis: 2010 = 100, in CHF) 110 110 100 100 90 90 80 Prices 80 70 70 60 60 CPH Investors’ day
Slide 19: Sustainable papers developed
Paper Sustainable papers developed First producer of climate neutral paper in the world ▪ Sole recovered paper recycler in Switzerland ▪ Steam supply from Renergia, from own biomass power and hydroelectric water plants ▪ Carbon footprint of Perlen paper is 76% lower than European average ▪ Since 202
Slide 20: 480 000 m2 of industrial area
Paper 480 000 m2 of industrial area ▪ 412 000 m2 for paper mill (incl. rounding off such as e.g. fiber and/or energy projects) ▪ 68 000 m2 land leased out under building rights CPH Investors’ day Zurich, 26 September 2023 20
Slide 21: The Packaging Division
The Packaging Division CPH Investors’ day Zurich, 26 September 2023 21
Slide 22: New coating plant in Brazil
Packaging New coating plant in Brazil Müllheim Gröbenzell Zvornik Utzenstorf Perlen Rüti Lianyungang Whippany Suzhou Shanghai Louisville Anápolis Singapur ▪ New coating facility commenced operations in Q4/2022 ▪ Exclusive collaboration with local PVC mono film manufacturer Cipatex ▪ Latin American p
Slide 23: Recyclable PVC mono blister developed
Packaging Recyclable PVC mono blister developed ▪ PVC is the most extensively researched synthetical material for pharmaceutical packaging ▪ The new PERLALUX PVC Mono Blister is the Packaging Division’s first response to the growing demand for recyclable packaging solutions ▪ It was honored at the 2
Slide 24: Agenda
Agenda 1 Business Development and Strategy Implementation Peter Schildknecht 2 Insights into the Divisions Peter Schildknecht 3 Focus Topic Sustainability Gerold Brütsch 4 Financials Gerold Brütsch 5 Investment Case Gerold Brütsch 6 Outlook Peter Schildknecht CPH Investors’ day Zurich, 26 September
Slide 25: Sustainability Strategy: Attitude and goals
Sustainability Strategy Attitude and goals ▪ Long-term and sustainable value creation anchored in the articles of incorporation at AGM 2023 as a corporate purpose ▪ Working to achieve net zero, developing an appropriate stage plan, while maintaining competitiveness, reduction of CO2 emissions in the
Slide 26: Sustainability Strategy: Dimensions
Sustainability Strategy Dimensions Environmental Social Governance ▪ High climate awareness ▪ Sustainable relationships ▪ Registered shares as single ▪ Continuous initiatives for with clients, suppliers, class share category energy consumption employees and communities ▪ Neither registration nor vot
Slide 27: Sustainability: Selected key figures
Sustainability Selected key figures Environmental Social Governance Carbon intensity in tons per Nationalities Independent CHF million of sales of employees Board members 25 38 5 (2021: 36) (2021: 35) (of 6) –––––––––––––––––––––––––––––– –––––––––––––––––––––––––––––– ––––––––––––––––––––––––––––––
Slide 28: Effective climate protection measures
Sustainability Effective climate protection measures CO2 emissions Steam from renewable sources (right-hand scale) (left-hand scale) Use of fossil fuels (right-hand scale) CO2 in tons GWh 90 000 540 80 000 480 70 000 420 60 000 360 50 000 300 40 000 240 30 000 180 20 000 120 10 000 60 0 0 2013 2014
Slide 29: Current projects in the divisions
Sustainability Current projects in the divisions Chemistry Paper Packaging ▪ Installation of more energy ▪ Updating of the greenhouse ▪ Focus on sustainable efficient equipment gas inventory and development goals (SDGs) ▪ Several recycling programs developing a roadmap for ▪ Preparation of a greenho
Slide 30: Agenda
Agenda 1 Business Development and Strategy Implementation Peter Schildknecht 2 Insights into the Divisions Peter Schildknecht 3 Focus Topic Sustainability Gerold Brütsch 4 Financials Gerold Brütsch 5 Investment Case Gerold Brütsch 6 Outlook Peter Schildknecht CPH Investors’ day Zurich, 26 September
Slide 31: 2023 Half-year consolidated income statement I
The CPH Group 2023 Half-year consolidated income statement I 01.01.-30.06., in CHF millions 2023 % 2022 % ± ±% Net sales 1 332 100.0 360 100.0 -28 -7.8% Other operating income 6 1.8 4 1.0 Change in inventories -0 -0.0 6 1.6 Cost of materials 2 -163 -49.1 -197 -54.5 Cost of energy 3 -34 -10.1 -33 -9.
Slide 32: 2023 Half-year consolidated income statement II
The CPH Group 2023 Half-year consolidated income statement II 01.01.-30.06., in CHF millions 2023 % 2022 % ± ±% EBITDA 62 18.7 62 17.1 +0 +0.5% Depreciation expense -9 -2.7 -10 -2.7 Operating result EBIT 53 16.0 52 14.4 +1 +2.1% Financial result -1 -0.3 -1 -0.4 Non-operating result 1 17 5.1 -2 -0.4
Slide 33: 2023 Half-year consolidated balance sheet
The CPH Group 2023 Half-year consolidated balance sheet in CHF millions 30.06.2023 % 31.12.2022 % ± ±% Cash and cash equivalents 158 23.3 144 21.6 Trade receivables 89 13.1 94 14.1 Inventories 118 17.3 113 17.0 Other current assets 28 4.2 31 4.7 Fixed assets 285 42.1 284 42.6 Total assets 678 100.0
Slide 34: 2023 Half-year consolidated cash flow statement
The CPH Group 2023 Half-year consolidated cash flow statement 01.01.-30.06., in CHF millions 2023 % 2022 % ± ±% Net result 61 100.0 47 100.0 +14 +27.7% Non-cash items -9 -14.0 13 26.4 Cash flow 1 52 86.0 60 126.4 -8 -13.1% Change in net working capital -1 -2.0 -11 -22.7 Cash flow from operating acti
Slide 35: Sound value with further growth potential
The CPH Group Sound value with further growth potential Sales at constant currency 3.9% down on very strong prior-year period Group EBITDA margin of 18.7%, boosted by higher sales prices Chemistry EBITDA margin of a strong 16.4% thanks to high demand and good utilization of facilities Paper EBITDA m
Slide 36: Agenda
Agenda 1 Business Development and Strategy Implementation Peter Schildknecht 2 Insights into the Divisions Peter Schildknecht 3 Focus Topic Sustainability Gerold Brütsch 4 Financials Gerold Brütsch 5 Investment Case Gerold Brütsch 6 Outlook Peter Schildknecht CPH Investors’ day Zurich, 26 September
Slide 37: Value drivers
The CPH Group Value drivers Megatrends Markets Applications Products Packaging films Active Molecular sieves Healthcare Pharma ingredients Gels Petrochemicals Molecular sieves Energy Industry Ethanol Energy production Industry Circular Printers Newsprint economy Publishing Publishers Magazine papers
Slide 38: CPH share: An attractive investment
CPH share An attractive investment ▪ Leading competitive positions in three industrial sectors with distinct and strong brands ▪ Chemistry and Packaging divisions expand in growth markets with focus on Asia and the Americas ▪ Expanding of production capacities outside Switzerland, increasing natural
Slide 39: Information for shareholders
The CPH Group Information for shareholders Market capitalization at 30.06.2023 Share price development 1.1.2018-31.8.2023 in CHF millions 110 100 508 90 80 70 60 6 000 000 registered shares of CHF 0.20 nominal value 50 2018 2019 2020 2021 2022 2023 in CHF CPHN SPIX adjusted Dividend policy and divid
Slide 40: Agenda
Agenda 1 Business Development and Strategy Implementation Peter Schildknecht 2 Insights into the Divisions Peter Schildknecht 3 Focus Topic Sustainability Gerold Brütsch 4 Financials Gerold Brütsch 5 Investment Case Gerold Brütsch 6 Outlook Peter Schildknecht CPH Investors’ day Zurich, 26 September
Slide 41: Outlook for 2023 shows many uncertainties
Outlook for 2023 shows many uncertainties CPH Group Chemistry Paper Packaging ◼ Still sizeable ◼ Economic outlook ◼ Demand for graphic ◼ Normalization of uncertainties in the uncertain paper products customer ordering markets strongly declining in behavior (esp. ◼ Costs of raw materials Europe reduc
Slide 42: Financial calendar and contact
Financial calendar and contact Financial calendar 10 January 2024 Baader Helvea Swiss Equities Conference, Bad Ragaz 20 February 2024 Media and investors’ conference, 2023 Annual Report 20 March 2024 Annual General Meeting in Lucerne Investor relations contact Gerold Brütsch, CFO CPH Chemie + Papier
Slide 43: Thank you for your attention
Q&A Thank you for your attention CPH Investors’ day Zurich, 26 September 2023 43
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