Grupo Rotoplas Sab De Cv · BMV:AGUA
Grupo Rotoplas Sab De Cv — Q4 2021 Earnings Presentation
23 slides from Grupo Rotoplas Sab De Cv's earnings presentation, Feb 10, 2022
Slide 1: 4Q21 Earnings Call
4Q721 Farnings Call February 10th 2022
Slide 2: Webcast will start soon
/potop!2s:. » Grab a coffee! webcast will start 1:03 am EST
Slide 3: Forward Looking Statements
4Q21 Earnings Call - /potopls:. Forward Looking Statements This presentation contains certain forward-looking statements and information relating to Grupo Rotoplas S.A.B. de CY. and its subsidiaries (collectively, “ROTOPLAS”) that are based on its knowledge of present facts, expectations and project
Slide 4: Speakers
4Q21 Earnings Call Speakers Carlos Rojas Aboumrad CEO Mario Romero Orozco CFO
Slide 5: Double-digit growth
2x Double-digit
Slide 6: Challenges and solutions
4Q21 Earnings Call zc pe s. potopl2 jr ague yee Challenges Solutions Global supply shortages Disciplined price strategy Increased costs > Agile adjustments & efficiencies Growth above guidance (26% vs. 17%) Slowdown in services sales Development of synergies eMyBrands — “AotoplaS. sENORIAL iB Sytesa
Slide 7: Priorities 2021
4Q21 Earnings Call Priorities | 2021 “Yo Team members health & wellbeing “wo Maintain continuity of operations “Yo Customer satisfaction & timely delivery v4 “O Achievement of Guidance sf Guidance 2021 Results 2021 Sales > 170% 26.3% e@ EBITDA $ 1,800 $ 1,764 e@ Net Debt / EBITDA <2x 1.3x e@ ROIC WA
Slide 8: Technological upgrade of the manufacturing plants in Mexico
4Q21 Earnings Call Technological upgrade of the manufacturing plants in Mexico First stage of the next generation of water tanks CAPEX Increase production capacity in Mexico, Argentina, CA, Peru Minority Stake — ~~ Acquisition of | BANYAN WATER’ {6% Smarter use of water Acuantia. 2% through data-der
Slide 9: Sustainability recognition and goals
4Q21 Earnings Call y /potoplas:. Net zero carbon emissions by 2040 Women as 30% of our workforce by 2025 Sustainability Yearbook MEMBER OF Dow Jones +10% S&P Global Sicnsyasrolca*S |SAM rating a S&P Global Sustainability Yearbook MSCI (i) susan
Slide 10: Financial Highlights
21 Earnings Call Financial Highlights
Slide 11: 2021 Highlights
4Q21 Earnings Call 2021] Highlights Million MXN 2021 2020 A %/bps Net sales | 10918 || 8644 || 26% Cost of Sales | 6,761 | s,048 || 34% | Gross Profit = | 4153 | 3600 | 15% Margin | 38% |L42% || (350) pb | Operating Income toed) oar Margin 10% | 12% | ( Financing Result 623 | 203 | Taxes 122 | 277 |
Slide 12: COVID-19 Operations Status
4Q21 Earnings Call zE, s.. COVID-19 | Operations Status /potopl®. October November December Mest e eo ® | Continuos Operations us e e e@ ; Restricted Argentina r r @ Operations Peru @ @ @ Central America @ r r 12
Slide 13: 4Q21 and 2021 financial results
4Q21 Earnings Call /potoplas: Million MXN 4Q2]1 4Q20 A %/bps 2021 2020 A %/bps Net sales | 2800 || 2450 |/ 14% || 10915 || 38644 | 26% | Cost of Sales | 1697 || 1431 |[ 19% || 6,761 || so4s || 34% | Gross Profit | 1103 || 1,019 || 8% | 4183 | 3600 | 15% | Margin | 39% || 42% || (220) pb _|| 38% || 4
Slide 14: Sales per country
4Q21 Earnings Call 2 Sales | Per country /potop!?s:. = Products growth compensates weakness in services 4Q21 2021 — Sequential margin recovery after price increases 4 Sales 4% 14% — First investments for the new generation of water tanks EBITDA Margin 19% 18% = Double-digit growth across all categor
Slide 15: Sales per country
4Q21 Earnings Call Sales | Per country 3) otoplas:.. = Sales and market share growth in all countries — Increased penetration of water flow in Guatemala — Increased penetration of water flow 4Q21 2021 — Depreciation of the local currency has an adverse effect + A Sales (3%) 28% EBITDA Margin 21% 17%
Slide 16: Sales | Products & Services Mix
4Q21 Earnings Call Sales | Products & Services Mix Million MXN — More than 60,000 bebbia users —=No sales recognition in the drinking water fountains business —= Strong demand for products across all regions — Public sector sales: 4Q21- 41% 2021 - 3.7% 4Q21 4Q21 2021 Products 18% 30% Services (38%)
Slide 17: Strong Cash Position
4Q21 Earnings Call Strong Cash Position Current Leverage Balance Sheet 2021 2020 A% Cash & Cash equivalents 1,629 3,092 (47%) Total Debt 4,007 47 (3%) Net Debt [ 2,378 l| 1,024 l| 132% Net Debt / Adjusted EBITDA| 1.3x l| 0.7x l| (1.0x) Debt Maturity Profile $4,007 2021 2027 $4 billion from the issua
Slide 18: Discipline: CAPEX and Capital Allocation
4Q21 Earnings Call Discipline CAPEX Capital Allocation 4Q20 lm Mexico a) “9 > Improvement of our production & customer outreach Leveraged cash position to sustain growth and guarantee availability of raw materials Investment towards shaping the Rotoplas of the future mmm Argentina
Slide 19: ROIC | Sustainable value creation
4Q21 Earnings Call ROIC | Sustainable value creation Apotopls-. sy © ROIC guidance achieved © we 14.5% 12N% 1% 73% 73% ZTPTQHQnneogooeor ree ovowaanAAADAOOSOSAARAAS eMCMCM<MoMOMoMoMoMoMmoMmoMMeMoMmoMmeMoMoMoMo—oM—~ EE m~ Rom°Mmomel OT TNMTTATNMTTNMTTRTNMNAT TANNA TE RA aye NOT ROIC: NOPAT Li2M/Inves
Slide 20: Results | ESG
4Q21 Earnings Call Results | ESG Profit Direct suppliers evaluated with ESG iS) criteria Client satisfaction (NPS Score) Planet CO, intensity -Scope 1 and Scope 2- per ton of processed resin m3 of water purified by our solutions (cumulative) People People given access to water and @ sanitation Women
Slide 21: Guidance 2022
4Q21 Earnings Call Guidance 2022 top!as.. 2) Sales 215% O EBITDA 16.5% ~ 17.5% Ld ROIC WACC +200bps Net Debt / EBITDA < 2x 21
Slide 22: AGUA* share performance and analyst coverage
y AGUA* /potoplas-. 2020 2021 A% AGUA Closing Price 25.28 28.11 11.2% O% Capital reimbursement 2.14 ncrease in AGUA AGUA+ reimbursements 25.28 30.25 19.7% share price since the beginning of Flow! Coverage TP Recomendation GBM 48.00 Buy Signum Research / Punto Casa de Bolsa 42.22 Buy Miranda Research
Slide 23: Submit a question
4Q21 Earnings Call A You can submit a question by pressing the “Q&A” button. Please include: *Name *Fund or Company