Wacker Chemie Ag · XETR:WCH
Wacker Chemie — Wacker Chemie Ag Ord — FY2024 Earnings Presentation
24 slides from Wacker Chemie's earnings presentation, Mar 12, 2025
Slide 1: Annual Press Conference for 2024
Annual Press Conference for 2024 Christian Hartel, President & CEO Tobias Ohler, CFO March 12, 2025
Slide 2: WACKER posts good results overall in 2024 amid a weak market environment
WACKER posts good results overall in 2024 amid a weak market environment Group trend Previous year / change year over year Markets Sales €6.4bn ▪ Chemical sector still impacted €5.7bn 2024 by low industrial production in 2024 -11% ▪ Companies in major customer sectors such as construction EBITDA €82
Slide 3: Good performance for chemical divisions and Biosolutions in 2024, polysilicon impacted
Good performance for chemical divisions and Biosolutions in 2024, polysilicon business impacted by lower solar-grade polysilicon volumes Business division trend Silicones Polymers Biosolutions Polysilicon Sales 2024 €2.8bn €1.5bn €375m €949m +2% -7% +11% -41% EBITDA 2024 €347m €194m €35m €193m +47%
Slide 4: Foundation created for further growth: innovative technologies, new products, additional capacities
Foundation created for further growth: innovative technologies, new products, additional capacities Highlights from 2024 Groundbreaking ceremony for Opening of mRNA competence Expansion of specialty portfolio silicones site in the Czech center for semiconductor customers Republic Annual Press Confer
Slide 5: Over 60 percent of sales generated outside Europe
Over 60 percent of sales generated outside Europe Breakdown of sales by region Asia (37%) Europe (39%) €2.1bn €2.2bn Sales in 2024 €5.7bn Rest of world The Americas (19%) (5%) €1.1bn €0.3bn Annual Press Conference for 2024, March 12, 2025 4
Slide 6: Proposed dividend in line with longstanding dividend policy
Proposed dividend in line with longstanding dividend policy Dividend Proposed dividend 2024 €2.50 per share ▪ As a result, total payout amounts to around €124m based on the number of dividend-bearing shares on December 31, 2024 ▪ Corresponds to roughly 50% of net income for the year ▪ Dividend yield
Slide 7: Good progress on the sustainability front
Good progress on the sustainability front Carbon targets Absolute emissions 2030 By 2045 -50% Net zero Current status -30% ▪ Project examples: 100 percent green electricity at the Holla site for production of metallurgical-grade silicon, soon also use of biogenic carbon ▪ CDP rating: WACKER awarded
Slide 8: Sales and earnings decline over past year amid weak market environment
Sales and earnings decline over past year amid weak market environment Group trend Sales -11% ▪ Sales decrease primarily due to lower prices and in € bn reduced sales volumes at the Polysilicon division ▪ Chemical divisions perform well on the market, 6.4 5.7 Biosolutions sees sales growth ▪ Earning
Slide 9: Other key financial indicators
Other key financial indicators Group trend Previous year / change year over year ▪ Decrease in EBIT due to EBIT €405m significantly lower EBITDA €290m 2024 ▪ Higher depreciation and -28% amortization due to new plants Depreciation and starting up in Germany amortization €419m ▪ Decline in net income
Slide 10: Sales and earnings at Silicones stimulated by strong specialty business
Sales and earnings at Silicones stimulated by strong specialty business Silicones Sales +2% ▪ Improved product mix in € bn ▪ Significantly higher proportion of specialty products, 2.7 2.8 e.g. in the health domain, for high-performance LEDs and displays 2023 2024 ▪ Better plant utilization rates EBI
Slide 11: Polymers business impacted by weak construction sector
Polymers business impacted by weak construction sector, healthy demand for products used for adhesives and coatings Polymers Sales -7% ▪ Decrease in sales and in € bn earnings primarily due to significantly lower selling prices 1.6 1.5 ▪ Higher volumes thanks to solid demand for products 2023 2024 u
Slide 12: Biosolutions benefits from strong growth in biopharmaceuticals
Biosolutions benefits from strong growth in biopharmaceuticals Biosolutions Sales +11% ▪ Growth in biopharmaceuticals in € m drives positive trend in sales and earnings 375 ▪ New mRNA competence 337 center in Halle contributes to earnings trend 2023 2024 EBITDA + €28m in € m 35 7 2023 2024 Annual Pr
Slide 13: Robust semiconductor-grade polysilicon activities, marked decline in solar business
Robust semiconductor-grade polysilicon activities, marked decline in prices and volumes in solar business Polysilicon Sales -41% ▪ Further growth in total share of in € bn hyperpure polysilicon volumes for the semiconductor industry 1.6 ▪ Significant decline in price and 0.95 volumes for solar-grade
Slide 14: Continued investment at high level in global capacity expansion
Continued investment at high level in global capacity expansion Capital expenditures -6% 710 666 2023 2024 ▪ Net cash flow negative at €-326m due to lower earnings and an increase in working capital ▪ Net financial debt of €691m as of December 31, 2024 Annual Press Conference for 2024, March 12, 20
Slide 15: Strong statement of financial position: liquidity remains high
Strong statement of financial position: liquidity remains high, equity ratio above 50 percent Statement of financial position Previous year / change year over year Total assets €9.4bn €8.9bn 2024 +6% Liquidity €1.3bn €1.4bn December 31, 2024 -11% Equity €4.8bn €4.6bn 2024 +6% Equity ratio 51.4% 51.7
Slide 16: We expect growth across all business divisions for 2025
Despite the ongoing challenging market environment, we expect growth across all business divisions for 2025 Outlook for 2025 Sales €6.1 – €6.4bn 2025 EBITDA €700 – €900m 2025 Annual Press Conference for 2024, March 12, 2025 15
Slide 17: Strategic approaches to achieve our targets
Strategic approaches to achieve our targets Expansion of specialty Sustainability as a business Focus on semiconductor- Continuing to advance our Forging ahead with business model grade polysilicon biotech business digitalization and automation Annual Press Conference for 2024, March 12, 2025 16
Slide 18: We are continuing to expand our specialty business.
We are continuing to expand our specialty business. Annual Press Conference for 2024, March 12, 2025 17
Slide 19: We recognize sustainability as a business model.
We recognize sustainability as a business model. Annual Press Conference for 2024, March 12, 2025 18
Slide 20: We are focusing more on semiconductor-grade polysilicon.
We are focusing more on semiconductor-grade polysilicon. Annual Press Conference for 2024, March 12, 2025 19
Slide 21: We are continuing to advance our biotech business.
We are continuing to advance our biotech business. Annual Press Conference for 2024, March 12, 2025 20
Slide 22: We are forging ahead with automation and digitalization.
We are forging ahead with automation and digitalization. Annual Press Conference for 2024, March 12, 2025 21
Slide 23: Summary
Summary ▪ Well-positioned financially Long-term goals Sales 2030 ▪ Strategy confirmed ▪ Benefit from global megatrends €10bn ▪ On track with sustainability targets EBITDA margin 2030 ▪ Firm focus on profitability >20% Annual Press Conference for 2024, March 12, 2025 22
Slide 24: Creating tomorrow's solutions
Creating tomorrow's solutions COceccec- @eere-s - eee... i’: tet WACKER