Thrace Plastics Holding And Commercial S.a. · ATHEX:PLAT
Thrace Plastics Holding And Commercial — Thrace Group — Investor Presentation (May 2022)
41 slides from Thrace Plastics Holding And Commercial's investor presentation, May 2022
Slide 1: Corporate Presentation May 2022
CORPORATE PRESENTATION I MAY 2022
Slide 2: Thrace Group at a Glance
THRACE GROUP AT A GLANCE I Achieving growth and strong financial position in a challenging environment Operates in Products for Production of Headcount of Sales network in Operates in 3 business 25 market 28 different 2,201 80 9 units segments technologies employees countries countries Technical Fab
Slide 3: Business Units
BUSINESS UNITS I Operating in three different BUs, realizing synergies and diversification TECHNICAL FABRICS BU PACKAGING SOLUTIONS BU AGRICULTURE BU PRODUCING 100% RECYCLABLE PRODUCTS 3
Slide 4: Technical Fabrics Business Unit
TECHNICAL FABRICS I BUSINESS UNIT
Slide 5: Technical Fabrics BU
TECHNICAL FABRICS BU I A Top Class European producer with a wide range of products, well positioned in the European market ▪ 97% of sales on the international market ▪ Operates through 6 Group companies in 5 03 AGRI / HORTICULTURE countries: 01 GEOSYNTHETICS 02 CONSTRUCTION 04 LANDSCAPE GARDENING /A
Slide 6: Production & Revenue Breakdown
PRODUCTION & REVENUE BREAKDOWN I European based production with global footprint and extended sales network PRODUCTION GEOGRAPHICAL BREAKDOWN SALES GEOGRAPHICAL BREAKDOWN Asia, Africa & Oceania UK America 2% 32% America Volume Sold 11% 3% Greece 80.7 79.6 UK 3% '000 Tons 39% +1.4% European Union exc
Slide 7: Packaging Solutions Business Unit
PACKAGING SOLUTIONS I BUSINESS UNIT
Slide 8: Packaging BU
PACKAGING BU I A diversified product portfolio, aiming in a number of different industries, being the market leader in SE Europe ▪ Focused on the South Eastern European market ▪ Operates via 6 Group companies in 5 countries: 02 PALLET COVERING / 03 CONTAINER LINERS / Greece 01 BAGS / FFS FILMS PACKA
Slide 9: Production & Revenue Breakdown
PRODUCTION & REVENUE BREAKDOWN I SE Europe based production and sales, with an ongoing increase in volumes on a y-o-y basis ▪ 75% of production and 57% of sales in Greece ▪ Main markets are Greece and SE Europe (83%) 9
Slide 10: Agriculture Business Unit
SAS ) =e AGRICULTURE BUSINESS UNIT
Slide 11: Agriculture BU
AGRICULTURE BU I Environmentally friendly Greenhouses with almost ZERO CO2 footprint ▪ 18.5 Ha, the biggest hydroponic greenhouses in S.E Europe ▪ The only greenhouses in the world heated exclusively by geothermal energy ▪ Greek sun flavoured vegetables with almost zero CO2 footprint ▪ Cultivating u
Slide 12: Agriculture BU Products
AGRICULTURE BU PRODUCTS I A focused range of products, well placed in the Greek market, with growth potential locally & abroad Our Products: Fresh & delicious hydroponic, low carbon footprint vegetables Cucumber Mini Cucumber Aubergines Cluster Tomato Beef Tomato Brioso Tomato Papeletto Tomato 12
Slide 13: Agriculture BU Products
AGRICULTURE BU PRODUCTS I A focused range of products, well placed in the Greek market, with growth potential locally & abroad Product packaging: In collaboration with our innovation & creative partners we can design multi-use & 100% recyclable packaging with endless branding capabilities for privat
Slide 14: Strategy
STRATEGY I PURSUING PROFITABLE GROWTH THROUGH INNOVATION AND SUSTAINABILITY
Slide 15: Strategy Overview 2021 - 2025
STRATEGY OVERVIEW 2021 - 2025 I Group strategy implementation progressing, focusing on increased profitability and business development Sustainable Profitable Growth Value Capture New Business ▪ Further reduce production cost ▪ New business opportunities within the existing sectors ▪ Improvement of
Slide 16: CAPEX Progress
CAPEX PROGRESS I An extensive CAPEX plan of €237 mil. during the last 8 years, targeting in value adding products and profitability increase ▪ In the period 2015 – 2019, the Group entered into a new CAPEX plan for developing the Non-Wovens business, in parallel with capacity addition in Packaging BU
Slide 17: Strategy Overview
STRATEGY OVERVIEW I Strategy implementation accelerated during 2021, taking advantage of the robust financial performance of the Group STRATEGIC DEVELOPMENTS ▪ Ongoing investment plan focusing on improving profitability: ▪ New Fiber line used as the basic raw material for the production of non-woven
Slide 18: Sustainable Development
“Sustainable development is at the core of our corporate strategy and culture.” Konstantinos Chalioris Chairman of the Board SUSTAINABLE DEVELOPMENT Creating value for the society and the environment
Slide 19: Sustainability
SUSTAINABILITY I THRACE supports the United Nations Sustainable Development Goals, being the foundations of our business Focus areas: ▪ Environmental footprint ▪ Circular Economy Focus of business operations on the SDGs listed below: ▪ Energy efficiency Focus areas: ▪ Health & Safety of employees ▪
Slide 20: Environment
ENVIRONMENT I Contributing to the environment is at the top of our agenda, having in place a very specific set of actions OUR CONTRIBUTION TOWARDS A LOWER ENVIRONMENTAL FOOTPRINT Climate change and carbon emissions are today’s most significant challenge and an existential threat to Europe and the wo
Slide 21: Environment
ENVIRONMENT I Fully aligned with the European strategy for plastics and the transition to a more circular economy, THRACE Group turns today’s challenges into opportunities Member of the European Circular OUR CONTRIBUTION TOWARDS A MORE CIRCULAR ECONOMY Plastics Alliance USING MORE RECYCLED MATERIALS
Slide 22: In-the-Loop
IN-THE-LOOP I Strong progress in the expansion of “In-the-Loop”, a pioneer platform, aiming to link all stakeholders and upcycling the plastic waste CIRCULAR ECONOMY IN PRACTICE Having incorporated the opportunities that the circular economy presents in our business strategy, we have created the IN
Slide 23: Financial Review FY 2021
FINANCIAL REVIEW I FY 2021
Slide 24: COVID-19
COVID-19 I Continue with the same high pace during FY2021, with no business disruption and with increased safety for our people Business People ▪ Production on a “make to order” basis ▪ Maintain all protective measures applied – work proactively ▪ Increased Raw Materials safety stock level ▪ Provisi
Slide 25: Financial Highlights
FINANCIAL HIGHLIGHTS I Strong demand for THRACE products, intensive investment plan in progress, while achieving Net Cash position Industries Overview ▪ Strong demand for products related to construction industry, agriculture and Volume Sales 2021 2020 2019 2021 2020 2019 infrastructure Technical Fa
Slide 26: Cost Base
COST BASE I Significant increase in all cost elements Raw & Secondary Materials ICIS Index ▪ After a slowdown in 2020, raw material cost significantly increased during 2021 (an increase between Dec 2020 and Dec 2021 of c. 70%) ▪ Increased raw material prices throughout the year, combined with increa
Slide 27: Financial Analysis
FINANCIAL ANALYSIS I Sales characterized by the increased sales prices, while quarters performance remain very strong, excluding the traditionally quiet last quarter % % % % Q1 2021 Contrib Q2 2021 Contrib Q3 2021 Contrib Q4 2021 Contrib 12M 2021 12M 2020 Δ% Sales 111,367 26.0% 122,918 28.7% 107,290
Slide 28: Key P&L Figures
KEY P&L FIGURES I Historical high profitability, as a result of strong performance in both traditional portfolio and COVID related products Continuing & Discontinued Continuing Operations Operations 2021 2020 Δ 2021 2020 Δ COVID related products impact: Volumes (Tons) 115,521 111,756 3.4% 115,521 11
Slide 29: Segmental Performance
SEGMENTAL PERFORMANCE I Technical Fabrics had another successful year, while Packaging did not successfully recover all cost increases C19RP impact: C19RP impact: 2021: 51.8m 2021: 49.9m 2020: 22.7m 2020: 19.5m C19RP impact: 2021: 1.9m 2020: 3.2m C19RP: COVID-19 related products *Continuing Operatio
Slide 30: Financial Position
FINANCIAL POSITION I Solid financial position, low level of debt, depicting that the Group entered a different level from a financial position standpoint Balance Sheet 2021 2020 Key Ratios 2021 2020 Fixed Assets 167,551 155,477 Total Debt 53,978 79,034 Other NC Assets 23,393 20,395 Cash 63,240 40,82
Slide 31: Working Capital
WORKING CAPITAL I Improved WC performance, combining increased inventories and prudent AR/AP strategy ▪ DSO down by 27%, while total AR increased due to higher sales prices. ▪ Inventories’ volume slightly down, while value is higher, due to Raw Materials increased level. ▪ Same status for AP, with i
Slide 32: Cash Flow Overview
CASH FLOW OVERVIEW I Very strong cash generation, despite the outflows for CAPEX, debt repayment and dividends 32
Slide 33: Net Debt
NET DEBT I A Net Cash position, combined with change in debt maturity profile and finance cost streamlining ▪ Strong cash inflows reduced Net Debt/EBITDA (Net Cash: €9.3 mil.) ▪ Increased liquidity to be allocated to CAPEX implementation, debt repayment and dividend distribution. ▪ Debt profile move
Slide 34: FY2022 Q1 Financial Results
FY2022 I Q1 Financial Results Q1 2022 depicted solid profitability, despite the extremely adverse condition – Group profitability resilient and sustainable Group Turnover at €106.3 mil., while for the first quarter of 2021, ▪ Resilient and solid sales level, despite the the Turnover of the Group amo
Slide 35: FY2022 Outlook
FY2022 OUTLOOK I Targeting solid level of profitability despite the current uncertainty Q2 2022 ▪ Global trade still in distortion due to increased costs and Russia – Ukraine conflict ▪ Demand remains stable in most of the industries, with short term fluctuations ▪ Main cost drivers at high levels (
Slide 36: Thrace Group Stock Data
~~ ’ ie sional THRACE GROUP STOCK DATA r xs (a 16.23 ee, : 04] ; . ~ se MO Buy ee ee
Slide 37: Stock Performance
STOCK PERFORMANCE I Low P/E, while capitalization remains below the level of Equity value As of 10 May 2022: ▪ Stock price: € 4.35 ▪ Market cap: € 190 mil ▪ P/E (21): 2.62 37
Slide 38: Shareholders Analysis
SHAREHOLDERS ANALYSIS I Sufficient free float and well diversified investors portfolio Free float: 34.4% Year of Dividend Payout Gross Dividend Dividend Year of Reference Dividend Amount Ratio per share Yield Payout Stock Coverage 2017 2,058,218 2018 15% 0.05 1.95% In the last 2 yrs (July 2018 1,944
Slide 39: Alternative Performance Measures Analysis
ALTERNATIVE PERFORMANCE MEASURES I Analysis Alternative Performance Measures (APM) During the description of the developments and the performance of the Group, ratios such as the EBIT and the EBITDA are utilized. • EBIT (The indicator of earnings before the financial and investment activities as wel
Slide 40: Corporate Presentation Disclaimer
CORPORATE PRESENTATION I DISCLAIMER This material (the “Presentation”) has been prepared, issued and presented by Thrace Plastics Co S.A. (the “Company”) on the terms set out below for the exclusive and confidential use of the persons to whom it is addressed (“Recipients”), solely for use by the Rec
Slide 41: Contacts
Contacts Investors Relations Elina Sideri ir@thraceplastics.gr +30 210 9875081 Connect with us: www.linkedin.com/company/thrace-group/ www.thracegroup.com