Valmet Corp · OMXHEX:VALMT

Valmet — Non-Deal Roadshow (November 2022)

91 slides from Valmet's roadshow presentation, November 2022

  1. Slide 1: Valmet – unique offering with process technology, automation and services

    Valmet – unique offering with process technology, automation and services Roadshow presentation November 2022

  2. Slide 2: Agenda

    Agenda Valmet roadshow presentation 1 Valmet in brief 2 Investment highlights 3 Financials 4 Summary 2 November 2022 © Valmet | Roadshow presentation

  3. Slide 3: Valmet in brief

    Valmet in brief Valmet <>

  4. Slide 4: We have strong market shares and unique offering

    We have strong market shares and unique offering Process technologies Services Automation Board and Pulp and Flow Control Automation Paper Energy Systems Market position in Market position in Market position Market position Market position Pulp and Paper Pulp and Paper #1 #1–3 #1–2 #1 #1–3 Strong po

  5. Slide 5: Valmet's development since 2013

    Valmet’s development since 2013 Orders received Net sales Comparable EBITA Comparable EBITA margin (EUR billion) (EUR billion) (EUR million) (%) 5.5 5.5 600 12% 5.0 5.0 4.5 4.5 500 10% 4.0 4.0 400 8% 3.5 3.5 3.0 3.0 300 6% 2.5 2.5 2.0 2.0 200 4% 1.5 1.5 1.0 1.0 100 2% 0.5 0.5 0.0 0.0 0 0% 2013 2016

  6. Slide 6: Valmet has three strong segments

    Valmet has three strong segments Illustrative key figures for LTM Q3/2022 Net sales by segment Comparable EBITA by segment Orders received EUR 5,268 million Net sales EUR EUR EUR EUR 5,073 million 152 213 1,514 EUR million million million Comparable EBITA 2,383 EUR 537 million million EUR Comparable

  7. Slide 7: Global presence creating a good platform for growth in Services and Automation

    Global presence creating a good platform for growth in Services and Automation EMEA 10,768 employees ~140 service centers China 2,330 employees 54 North America production units 2,033 employees 24 R&D centers Asia-Pacific 8 1,557 employees Performance South America Centers 823 employees Personnel as

  8. Slide 8: Valmet's Way Forward

    Valmet’s Way Forward Vision Continuous improvement and To become the global champion in serving our customers and in Strategy renewal moving the industries forward Valmet develops and supplies competitive and Must-Wins reliable process technologies, services and  Customer excellence automation to t

  9. Slide 9: Valmet's R&D is aiming to address global megatrends

    Valmet’s R&D is aiming to address global megatrends R&D focus areas • Promotion of renewable materials • Raw material, water and energy efficiency • Emission reductions • Circularity • Productivity and environmental improvements with digitalization 24 EUR 98 million ~1,300 research and R&D spending

  10. Slide 10: Acknowledged leader in sustainability

    Acknowledged leader in sustainability 360º approach to sustainability across value chain Environmental Engaged efficiency workplace Good sustainability ratings  In Dow Jones Sustainability Index for the Climate Health and safety eighth consecutive year  AAA rating in the MSCI ESG Ratings assessmen

  11. Slide 11: Valmet's Climate Program: Forward to a carbon neutral future

    Valmet´s Climate Program: Forward to a carbon neutral future Targets by 2030 for the entire value chain SUPPLY CHAIN OWN OPERATIONS USE PHASE OF VALMET’S TECHNOLOGIES -20% -80% -20% 100% CO2 emission reduction CO2 emission reduction Further reduced energy use Carbon neutral production of Valmet’s cu

  12. Slide 12: Financial targets

    Financial targets Growth Profitability ROCE Dividend policy Net sales for Services and Comparable EBITA: Comparable return on Dividend payout at least Automation segments to 12–14% capital employed (ROCE) 50% of net profit grow over two times the before taxes1 at least 15% market growth Net sales fo

  13. Slide 13: Investment highlights

    Investment highlights Valmet <>

  14. Slide 14: Investment highlights

    Investment highlights 1 Strong position in the growing market of converting renewables 2 Unique offering combining process technology, services and automation 3 EUR 3.0 billion recurring and steadily growing stable business 4 Services: The widest offering and strong geographical presence 5 Flow Cont

  15. Slide 15: Strong position in the growing market of converting renewables

    1 2 3 4 5 6 7 8 9 Strong position in the growing market of converting renewables Process Technologies Services Automation #1 #1 #1 #1-2 #1-3 #1-2 #1 in pulp & paper #1-3 in pulp & paper Board Tissue Paper Pulp Energy Flow Control Automation Systems 3.5 2.0 8.0 0.9 2.1 EUR bn EUR bn EUR bn EUR bn EUR

  16. Slide 16: Unique offering combining process technology, services and automation

    1 2 3 4 5 6 7 8 9 Unique offering combining process technology, services and automation Paper Pulp Energy • Board, paper and tissue production lines • Wood and pulp handling • Heat and power generation • Rebuilds • Fiber processing • Air emission control • Stand-alone products • Recovery • Biofuels

  17. Slide 17: EUR 3.0 billion recurring and steadily growing stable business

    1 2 3 4 5 6 7 8 9 EUR 3.0 billion recurring and steadily growing stable business • Valmet’s stable business has grown Orders received (EUR million) steadily since 2014 3,500 • Future growth possibilities are supported 2,969 3,000 by favorable megatrends 366 2,500 877 • Stable business provides resil

  18. Slide 18: Services: The widest offering and strong geographical presence

    1 2 3 4 5 6 7 8 9 Services: The widest offering and strong geographical presence Services business line  Widest offering to support customers’ all service needs Services business line Orders received (EUR million)  Benefits from growing installed base  Strong geographical presence close to custom

  19. Slide 19: Flow Control: Strong and diversified offering across many process industries

    1 2 3 4 5 6 7 8 9 Flow Control: Strong and diversified offering across many process industries Flow control business line  Leading position as a flow control solution provider Flow Control business line Orders received (EUR million)  Market leadership in pulp & paper and industrial gases Sales by

  20. Slide 20: Automation Systems: Maximizing efficiency and safety of our customers

    1 2 3 4 5 6 7 8 9 Automation Systems: Maximizing efficiency and safety of our customers Automation Systems business line  Solutions range from single measurements to plant-wide Automation Systems business line process automation systems Orders received (EUR million)  Designed to maximize safety, s

  21. Slide 21: Paper: World-class technology for packaging and hygiene needs

    1 2 3 4 5 6 7 8 9 Paper: World-class technology for packaging and hygiene needs Paper business line  Offering includes world-leading technology and products Paper business line for board, tissue and paper making Orders received (EUR million) Net sales (EUR million)  Long-term growth supported by f

  22. Slide 22: Pulp and Energy: Strong business with high market share and flexible cost structure

    1 2 3 4 5 6 7 8 9 Pulp and Energy: Strong business with high market share and flexible cost structure Pulp and Energy business line  Offering includes full pulp mills and energy solutions for Pulp and Energy business line biomass and emission control Orders received (EUR million) Net sales (EUR mil

  23. Slide 23: Systematically building the future with continuous improvement

    1 2 3 4 5 6 7 8 9 Systematically building the future with continuous improvement Customer Technology Process People Valmet’s way to serve: Develop new products Continue to improve Continuous development Lifecycle collaboration and technologies project management of employees through between the cust

  24. Slide 24: Financials

    Financials Valmet <>

  25. Slide 25: Key figures

    Key figures EUR million Q3/2022 Q3/2021 Change Q1–Q3/2022 Q1–Q3/2021 Change Orders received 1,178 1,107 6% 3,809 3,647 4% Order backlog1 4,672 4,199 11% 4,672 4,199 11% Net sales 1,288 935 38% 3,534 2,736 29% Comparable EBITA 136 107 27% 337 282 20% % of net sales 10.5% 11.4% -0.9 pp 9.5% 10.3% -0.8

  26. Slide 26: Segment key figures

    Segment key figures Orders received, EUR million Q3/2022 Q3/2021 Change Q1–Q3/2022 Q1–Q3/2021 Change Services 427 341 25% 1,338 1,094 22% Automation 306 109 >100% 758 347 >100% Process Technologies 444 657 -32% 1,713 2,206 -22% Total 1,178 1,107 6% 3,809 3,647 4% Net sales, EUR million Q3/2022 Q3/20

  27. Slide 27: Comparable EBITA margin development

    Comparable EBITA margin development Net sales and Comparable EBITA (EUR million and %)1 4,733 Target 12–14% 3,935 3,740 10.2% 3,547 3,325 10.9% 3,058 2,928 2,926 9.8% 7.7% 2,473 7.1% 8.9% Capital Business 6.7% 2,383 6.2% 2,350 Stable business 1,832 2,079 2,163 4.3% 1,799 1,572 1,473 1,584 1,715 1,77

  28. Slide 28: Guidance and short-term market outlook

    Guidance and short-term market outlook Guidance for 2022 (Published on April 1, 2022) Guidance Valmet estimates that, including the merger with Neles, net sales in 2022 will increase in comparison with 2021 (EUR 3,935 million) and Comparable EBITA in 2022 will increase in comparison with 2021 (EUR 4

  29. Slide 29: Summary

    Summary Valmet <>

  30. Slide 30: Investment highlights

    Investment highlights 1 Strong position in the growing market of converting renewables 2 Unique offering combining process technology, services and automation 3 EUR 3.0 billion recurring and steadily growing stable business 4 Services: The widest offering and strong geographical presence 5 Flow Cont

  31. Slide 31: Important notice

    Important notice It should be noted that certain statements herein which are not historical facts, including, without limitation, those regarding expectations for general economic development and the market situation, expectations for growth, profitability and investment willingness, expectations fo

  32. Slide 32: FORWARD

    FORWARD

  33. Slide 33: Appendix

    Appendix 1 Financials 2 Growth and profitability improvement 3 Shareholders and share price development 4 Strategy and offering 5 Management and remuneration 33 November 2022 © Valmet | Roadshow presentation

  34. Slide 34: Financials

    Appendix ; Financials Valmet <>

  35. Slide 35: Quarterly Comparable EBITA margin development

    Quarterly Comparable EBITA margin development Target 12–14% 12.2% Net sales and Comparable EBITA (EUR million and %)11.5% 12.5% 11.4% 1,286 1,288 1,199 1,103 10.9% 1,167 10.1% 10.5% 9.5% 967 984 9.5%10.7% 960 919 9.4% 943 935 8.3% 8.4% 901 854 844 8.0% 857 832 858 804 7.5% 785 7.8% 777 779 821 8.3%

  36. Slide 36: Services: Orders received increased to EUR 1,338 million in Q1–Q3/2022

    Services: Orders received increased to EUR 1,338 million in Q1–Q3/2022 Orders received (EUR million) Net sales (EUR million) Comparable EBITA (EUR million and % of net sales) Q1–Q3/2021: Q1–Q3/2022: Q1–Q3/2021: Q1–Q3/2022: Q1–Q3/2021: Q1–Q3/2022: EUR 1,094 million EUR 1,338 million EUR 947 million E

  37. Slide 37: Automation: Orders received increased to EUR 758 million in Q1–Q3/2022

    Automation: Orders received increased to EUR 758 million in Q1–Q3/2022 Automation segment includes Automation Systems and starting from Q2/2022 also Flow Control Orders received (EUR million) Net sales (EUR million) Comparable EBITA (EUR million and % of net sales) Q1–Q3/2021: Q1–Q3/2022: Q1–Q3/2021

  38. Slide 38: Flow Control: Orders received amounted to EUR 387 million in Q2–Q3/2022

    Flow Control: Orders received amounted to EUR 387 million in Q2–Q3/2022 Orders received (EUR million)* Net sales (EUR million)* Q2–Q3/2021: Q2–Q3/2022: Q2–Q3/2021: Q2–Q3/2022: EUR 301 million* EUR 387 million EUR 308 million* EUR 360 million 800 753 800 681 699 700 700 660 628 625 611 590 593 576 60

  39. Slide 39: Automation Systems: Orders received increased to EUR 371 million in Q1–Q3/2022

    Automation Systems: Orders received increased to EUR 371 million in Q1–Q3/2022 Orders received (EUR million) Net sales (EUR million) Q1–Q3/2021: Q1–Q3/2022: Q1–Q3/2021: Q1–Q3/2022: EUR 347 million EUR 371 million EUR 252 million EUR 317 million 600 600 467 490 477 500 500 416 415 393 402 412 368 386

  40. Slide 40: Process Technologies: Orders received decreased to EUR 1,713 million in Q1–Q3/2022

    Process Technologies: Orders received decreased to EUR 1,713 million in Q1–Q3/2022 Orders received (EUR million) Net sales (EUR million) Comparable EBITA (EUR million and % of net sales) Q1–Q3/2021: Q1–Q3/2022: Q1–Q3/2021: Q1–Q3/2022: Q1–Q3/2021: Q1–Q3/2022: EUR 2,206 million EUR 1,713 million EUR 1

  41. Slide 41: Pulp and Energy business line: Orders received decreased to EUR 792 million

    Pulp and Energy business line: Orders received decreased to EUR 792 million in Q1–Q3/2022 Orders received (EUR million) Net sales (EUR million) Q1–Q3/2021: Q1–Q3/2022: Q1–Q3/2021: Q1–Q3/2022: EUR 922 million EUR 792 million EUR 720 million EUR 798 million 1,600 1,600 1,344 1,400 1,400 1,125 1,160 1,

  42. Slide 42: Paper business line: Orders received decreased to EUR 921 million

    Paper business line: Orders received decreased to EUR 921 million in Q1–Q3/2022 Orders received (EUR million) Net sales (EUR million) Q1–Q3/2021: Q1–Q3/2022: Q1–Q3/2021: Q1–Q3/2022: EUR 1,284 million EUR 921 million EUR 817 million EUR 959 million 1,800 1,634 1,800 1,600 1,600 1,400 1,271 1,400 1,28

  43. Slide 43: Orders received and net sales split in 2021

    Orders received and net sales split in 2021 Orders received (EUR million and % of total) Net sales (EUR million and % of total) 1,481 1,141 1,634 29% 1,360 31% 34% 35% Services Services Automation Automation Pulp and Energy Pulp and Energy Paper Paper 467 10% 412 1,022 1,160 26% 10% 25% 544 725 377

  44. Slide 44: Business lines in 2021: Stable business

    Business lines in 2021: Stable business Services business line Automation Systems business line 18% 10% 9% 15% 26% 10% 11% 30% 35% Orders received Orders received 7% 18% 9% 74% 13% 16% 40% 59% Performance parts Rolls North America Pulp and Paper North America Fabrics South America Energy and Process

  45. Slide 45: Business lines in 2021: Capital business

    Business lines in 2021: Capital business Pulp and Energy business line Paper business line 13% 2% 14% 13% 11% 22% 24% 7% Orders received Orders received 14% 16% 24% 78% 79% 47% 36% Pulp North America Board North America Energy South America Paper South America EMEA Tissue EMEA China China Asia-Pacif

  46. Slide 46: Areas: Orders received and net sales development

    Areas: Orders received and net sales development North America South America EMEA China Asia-Pacific (EUR million and % of total) 2,022 Orders received 1,690 1,594 1,606 1,470 1,508 1,420 1,320 880 885 804 755 717 686 730 621 725 670 696 48% 46% 51% 46% 588 533 43% 42% 43% 572 523 586 544 414 490 24

  47. Slide 47: Areas: Business line split in 2021

    Areas: Business line split in 2021 North America South America EMEA China Asia-Pacific 18% Orders received 25% 21% 38% 3% 31% 30% 28% 4% 39% 3% 54% 9% 62% 11% 22% 6% 40% 28% 27% Services Services Services Services Services Automation Systems Automation Systems Automation Systems Automation Systems A

  48. Slide 48: Announced orders booked in H2/2022

    Announced orders booked in H2/2022 Booked Date Description Business line Country Value quarter Q3 Sep 27 Key technology for Cheng Loong’s new board machine Paper Vietnam Not disclosed, but such an order is typically worth between EUR 20 and 30 million. Q3 Sep 28 A coated board making line Paper Asia

  49. Slide 49: Announced orders booked in H1/2022

    Announced orders booked in H1/2022 Booked Date Description Business line Country Value quarter Q1 Feb 2 Waste-to-energy boiler to Thang Long Energy Environment Joint Pulp & Energy Vietnam Not disclosed. The value of an order of this type is around EUR 20–30 million. Stock Company Q1 Apr 5 Fiberline

  50. Slide 50: Announced orders booked in H2/2021

    Announced orders booked in H2/2021 Booked Date Description Business line Country Value quarter Q3 Jul 7 Turnkey biopower plant for the city of Salzburg Pulp and Energy Austria Not disclosed. Q3 Sep 17 Container board making line to Kipas Kagit Paper Turkey Not disclosed. The total value of an order

  51. Slide 51: Orders received increased to EUR 1,178 million in Q3/2022

    Orders received increased to EUR 1,178 million in Q3/2022 Orders received in Q1–Q3/2022 by area Orders received (EUR million) 2,000 5,000 Asia- Pacific North 1,800 4,500 16% America 23% 1,600 4,000 1,400 3,500 1,200 3,000 China 14% South 1,000 2,500 America 800 1,324 2,000 7% 1,312 1,306 600 1,101 1

  52. Slide 52: Stable business orders received totaled EUR 2,602 million during the last twelve months

    Stable business orders received totaled EUR 2,602 million during the last twelve months Orders received (EUR million) in stable business 3,000 2,602 2,500 1,947 877 2,000 1,875 1,701 1,772 1,609 467 1,519 416 1,500 1,367 386 415 337 368 1,055 248 1,000 1,725 1,459 1,356 1,481 1,182 1,242 1,315 500 1

  53. Slide 53: Order backlog EUR 4,672 million at the end of Q3/2022

    Order backlog EUR 4,672 million at the end of Q3/2022 Order backlog (EUR million) Structure of order backlog by segment 5,000 4,672 4,500 ~15% 4,096 4,000 ~60% 3,500 3,333 3,257 3,000 2,829 ~25% 2,458 2,500 2,283 1,998 2,074 2,000 1,500 1,000 Process Technologies 500 Services Automation 0 2014 2015

  54. Slide 54: Gross profit and SG&A development

    Gross profit and SG&A development Gross profit (EUR million and % of net sales) SG&A (EUR million and % of net sales) 1,200 1,133 30% 1,200 30% 1,000 25% 1,000 25% 24% 774 800 20% 800 20% 600 15% 600 15% 16% 400 10% 400 10% 200 5% 200 5% 0 0% 0 0% 2014 2015 2016 2017 2018 2019 2020 2021 Q3/2022 2014

  55. Slide 55: Capital employed, Comparable ROCE and EPS

    Capital employed, Comparable ROCE and EPS Capital employed (EUR million) and Comparable return on capital Earnings per share (EPS) and Adjusted EPS, EUR employed (ROCE), before taxes (%) 2.23 3,324 2.09 23% 23% 22% 20% 1.54 16% 16% 1.35 14% 1,808 13% 1,639 1.01 10% 1,231 1,314 0.81 1,195 1,137 1,150

  56. Slide 56: Dividend and balance sheet

    Dividend and balance sheet Dividend payout at least 50% of net profit Track record Balance sheet and cash flow Dividend per share (EUR) and payout ratio (%) Net debt (EUR million) Cash flow provided by operating activities Net debt / EBITDA ratio Net working capital Target 200 2 600 >50% 150 178 1.5

  57. Slide 57: Orders received and profitability development, annual

    Orders received and profitability development, annual Orders received (EUR million)1 Net sales and Comparable EBITA (EUR million)1 4,740 3,935 Pulp and 3,740 Energy, and 3,986 3,547 10.9% 3,722 3,653 3,325 9.8% Paper business 3,272 3,014 2,928 2,926 3,058 8.9% lines 3,225 3,139 3,071 2,703 7.7% 2,87

  58. Slide 58: Growth and profitability improvement

    Appendix Growth and profitability improvement

  59. Slide 59: Actions to keep growing faster than the market

    Actions to keep growing faster than the market Net sales growth Stable business Capital business • Win new customers and increase share of wallet • Benefit from strong favorable megatrends in with existing customers Board, Tissue, Pulp and Energy • Grow service sales and multi-year service • Continu

  60. Slide 60: Procurement and quality cost development

    Procurement and quality cost development Implemented procurement savings of annual direct spend Quality costs (% of net sales) 4.3% 4.4% 4.3% 4.0% 3.8% 3.9% 3.7% 3.8% 4.0% 3.6% 3.1% 2.9% >3.0% 2.6% 2.8% 2.4% 2.2% 2.2% 1.9% <1.3% 2013 2014 2015 2016 2017 2018 2019 2020 2021 Annual goal 2013 2014 2015

  61. Slide 61: Merger of Valmet and Neles created a leading company with a unique offering

    Merger of Valmet and Neles created a leading company with a unique offering for process industries globally  Merger of Valmet and Neles was registered and the combination of Valmet’s and Neles’ business operations completed on April 1, 2022  Valmet acquired 29.5% of Neles shares in 2020 for EUR 45

  62. Slide 62: Acquisitions

    Acquisitions • Valmet’s acquisition strategy is to make Track record of successful acquisitions selective acquisitions with a clear industrial logic to support organic growth 2015 2019 2020 2021 2022 ‒ Focus on strengthening services and Automation GL&V 29.5% share EWK Merger in Neles ECP with Neles

  63. Slide 63: Valmet strengthened its business by acquiring PMP Group in 2020

    Valmet strengthened its business by acquiring PMP Group in 2020 Focus on small and medium-sized tissue machines and board and paper machine rebuilds Key information about the acquisition • PMP Group supplies process technologies and services for tissue, Net sales in 2019 EUR ~70 million board and pa

  64. Slide 64: Valmet strengthened its stable business through acquisitions

    Valmet strengthened its stable business through acquisitions Valmet completed the acquisitions of GL&V and J&L Fiber Services in Q2/2019 • GL&V is a supplier of technologies, upgrade and process • J&L Fiber Services is a manufacturer and provider of refiner optimization services, rebuilds and spare

  65. Slide 65: Shareholders and share price development

    Appendix Shareholders and share price development

  66. Slide 66: Largest shareholders on October 31, 2022

    Largest shareholders on October 31, 2022 Based on indicative data collected by Modular Finance # Shareholder name Number of shares % of shares and votes 1 Solidium Oy 18,640,665 10.10 % 2 Oras Invest Oy 8,547,691 4.63 % 3 Swedbank Robur Fonder 7,346,111 3.98 % 4 Varma Mutual Pension Insurance Compan

  67. Slide 67: Shareholder structure on October 31, 2022

    Shareholder structure on October 31, 2022 Based on Euroclear data. The classification of sectors determined by Statistics Finland. Sector Number of shareholders % of total shareholders Number of shares % of shares Nominee registered and non-Finnish holders 467 0.55 86,300,076 46.77 Finnish instituti

  68. Slide 68: Share of non-Finnish holders and number of shareholders

    Share of non-Finnish holders and number of shareholders Valmet has 85,028 shareholders and 46.8% of the shares are held by investors outside Finland 85,000 58% 57% 80,000 56% 75,000 55% 70,000 54% 53% 65,000 52% 60,000 51% 55,000 50% 49% 50,000 48% 45,000 47% 40,000 46% 12/2013 04/2014 08/2014 12/20

  69. Slide 69: Valmet share price development

    Valmet share price development Valmet share price development vs OMXH price index, last 3 years Share price YTD 2022 Valmet OMX Helsinki 40 December 31, 2021 37.72 12,862 October 31, 2022 23.03 10,396 High 38.41 13,132 35 Low 20.14 9,757 Market cap (EUR million) 4,250 30 Volume 2022 % of outstanding

  70. Slide 70: Strategy and offering

    Appendix Strategy and offering

  71. Slide 71: Valmet's Way Forward

    Valmet’s Way Forward Vision Continuous improvement and To become the global champion in serving our customers and in Strategy renewal moving the industries forward Valmet develops and supplies competitive and Must-Wins reliable process technologies, services and  Customer excellence automation to t

  72. Slide 72: Services segment

    Services segment Rolls and Workshop Board, Paper and Pulp and Energy Performance Parts Services Fabrics Tissue Solutions Solutions Spare parts and Rolls, roll covers and Paper machine clothing Improvement Projects, Improvement Projects, Field consumables maintenance, workshop and filter fabrics Fiel

  73. Slide 73: Our way to serve - Right combination of services for every stage in the lifecycle

    Our way to serve - Right combination of services for every stage in the lifecycle Our services offering Maintenance Industrial Spare and Workshop and Process Fabrics development & Field services Internet process parts roll services upgrades outsourcing solutions Delivery models Service products Serv

  74. Slide 74: Flow Control business line offering

    Flow Control business line offering Valves Valve automation Valve controls • Control valves High-performing pneumatic, electric and Automatic valve controllers and valve • Automated on/off valves manual actuators designed to maximize cycle positioners to improve process efficiency and life and impro

  75. Slide 75: Automation Systems business line offering

    Automation Systems business line offering Delivered as products and technology, projects and service agreements Distributed Quality Analyzers and Industrial Internet Automation control systems management measurements solutions services • Highly integrated • Quality control • For measuring and • Adva

  76. Slide 76: Future-proof automation solutions and services

    Future-proof automation solutions and services Our automation Distributed control Industrial Quality Analyzers and Industrial Internet Automation offering systems applications management measurements solutions services Delivery models Automation products and technology Automation projects Service ag

  77. Slide 77: Automation Systems business line offering and market overview

    Automation Systems business line offering and market overview Advanced automation and process monitoring solutions and services: Over 4,500  Distributed Control System (DCS) – Valmet DNA  Industrial internet solutions automation systems  Performance solutions  Automation services and over 40,000

  78. Slide 78: Pulp and Energy business line offering

    Pulp and Energy business line offering Leading global technology supplier Pulp Energy Pulp Biomass conversion Energy Emission control • Chemical pulp mill • Pretreatment for bioethanol Technology for biomass and municipal • Power plant flue gas cleaning  Wood handling production and industrial resi

  79. Slide 79: Paper business line offering

    Paper business line offering Stock preparation and recycled fiber Board and paper Tissue • Stock preparation lines  Board and paper production lines  Tissue production lines – Recycled fiber lines – Technologies for all board and paper grades – Technologies for all tissue grades and products – Sto

  80. Slide 80: Full scope offering for the pulp and paper industry

    Full scope offering for the pulp and paper industry Technologies Automation Services 1 Wood handling 6 Recycled fiber • Distributed Control System • Mill and plant improvements (DCS) • Spare and wear parts 2 Heat and power 7 Mechanical fiber • Performance solutions • Paper machine clothing productio

  81. Slide 81: Our offering for energy industry and biotechnologies

    Our offering for energy industry and biotechnologies Technologies Automation Services 1 Fuel handling 5 Modularized • Distributed Control System • Plant improvements power plants (DCS) • Rebuilds 2 Gasification • Performance solutions • Performance services 6 Prehydrolysis 3 Boiler and flue For biof

  82. Slide 82: Continuous investment in research and development to improve customers' processes

    Continuous investment in research and development to improve customers’ processes Example of our R&D work – Valmet’s R&D focus Valmet’s R&D resources OptiConcept M board and paper Customers’ needs machine • Increase production • Modularized and • Own R&D centers and efficiency standardized products

  83. Slide 83: Business accelerator: Valmet Industrial Internet - VII

    Business accelerator: Valmet Industrial Internet - VII Dialogue with data to move our customers performance forward Valmet Performance Center delivering remote support Recent development  VII solutions in place for all customer segments  Development of Mill Wide Optimization application  Asset Pe

  84. Slide 84: Typical dimensions of pulp mills, and paper, board and tissue machines

    Typical dimensions of pulp mills, and paper, board and tissue machines Paper and board machine Pulp mill Length 140 m, equivalent to a line of ~30 cars Speed: 72 km/h Production: 400,000 t/a Width 7 m Tissue machine Length 40 m, equivalent to a line of ~9 cars • Mill site area: 500,000 – 5,000,000 m

  85. Slide 85: Management and remuneration

    Appendix Management and remuneration

  86. Slide 86: Board of Directors

    Board of Directors Mikael Mäkinen Jaakko Eskola Aaro Cantell Anu Hämäläinen (b. 1956) (b. 1958) (b. 1964) (b. 1965) Chairman of Vice-Chairman of Vice-Chairman of Board member the Board the Board the Board Finnish citizen Finnish citizen Finnish citizen Finnish citizen • M.Sc. (Econ.) • M.Sc. (Eng.)

  87. Slide 87: Executive Team

    Executive Team Corporate Pasi Laine Katri Hokkanen Julia Macharey Anu Salonsaari-Posti President and CEO CFO SVP, Human Resources and SVP, Marketing, Communications, Share ownership: 177,137 Share ownership: 5,598 Operational Development Sustainability and Corporate Relations Share ownership: 38,319

  88. Slide 88: Remuneration of the President and CEO

    Remuneration of the President and CEO  The remuneration of the President and CEO is comprised of – fixed base salary (incl. taxable benefits1) – short-term and long-term incentives, and – pension and insurance benefits  The relative proportion of the variable pay elements at maximum level is 2–3 t

  89. Slide 89: Remuneration of the Executive Team

    Remuneration of the Executive Team  The remuneration of the Executive Team members comprises – fixed base salary (incl. monthly salary and taxable benefits1) – short-term and long-term incentives, and – a supplementary pension plan  Additional pension benefit in the form of a defined contribution

  90. Slide 90: The Performance Share Plan for Executive Team members

    The Performance Share Plan for Executive Team members  Includes a three-year performance period parallel to a one-year performance period  One-year performance measures are based on long-term strategic and financial targets. They are measured independently and have remained the same for the past e

  91. Slide 91: FORWARD

    FORWARD

Valmet — Non-Deal Roadshow (November 2022) on 6ix