Tessenderlo Group N.v. · EURONEXT:TESB
Tessenderlo — HY 2013 Earnings Presentation
26 slides from Tessenderlo's earnings presentation, Aug 29, 2013
Slide 1: Second Quarter 2013 and HY 2013 Results
TESSENDERLO GROUP Second Quarter 2013 and HY 2013 Results August 29, 2013
Slide 2: Key takeaways
Key takeaways Operational performance impacted by weakness in Akiolis, lower PPS volumes and limited margin contraction in Kerley • Second quarter 2013 group revenue increased 7.5% led by Tessenderlo Kerley, Inorganics and Gelatin & Akiolis • REBITDA decreased 8.4% versus the same period a year ago,
Slide 3: Key takeaways - continued
Key takeaways - continued Forecasts for 2013 adjusted to reflect continued pressure in Akiolis and PPS Tessenderlo Kerley • HY 2013 solid volumes but margins below record level last year: higher raw materials and logistics costs not passed on to customers • Second half 2013 “wait and see” approach f
Slide 4: Highlights
Highlights Sharpening focus on core activities and realizing cash proceeds • May 2013: Tessenderlo Group sold its Italian organic chlorine derivatives (OCD) activities, completing the group’s exit from the OCD industry • June 2013: The group completed the sale of its Compounds activities 2Q13 operat
Slide 5: 2Q13 revenue by operating segment
2Q13 revenue by operating segment Million EUR and % increase versus 2Q12 at comparable scope +17.4% +11.9% +6.3% 1.3% 1.0% Gelatin& Other PPS & Scope — Inorganics © “ayn —Norvallocated Businesses Profiles mz =a OOO (58.7) +18.8 +11.6 +8.0 +13 (0.6) (1.3) \ ) Y +7.5% + 37.8 Revenue Revenue 2012 2013
Slide 6: HY13 revenue by operating segment
Po HY13 revenue by operating segment Million EUR and % increase versus HY12 at comparable scope 47.2% +8.6% 14% 12% 4.7% i aasan Other . PPS & Scope — a i Non-allocated Businesses "organics Profiles (97.6) #180 +16.4 42.4 (1.6) (25) (14.3) ( J Y +1.8% +18.4 Revenue Revenue HY12 HY13 * Revenue in HY1
Slide 7: 2Q13 REBITDA by operating segment
2Q13 REBITDA by operating segment Million EUR and % increase versus 2Q12 at comparable scope Tessenderlo Other PPS & Non- Gelatin & Inorganics Kerley Businesses Profiles allocated Akiolis Scope +0.4 (0.8) (1.9) +2.0 (2.0) +3.3 (7.4) 55.4 - 8.4% 49.0 - 4.5 REBITDA REBITDA 2Q12 2Q13 • 2Q13 REBITDA was
Slide 8: HY13 REBITDA by operating segment
HY13 REBITDA by operating segment Million EUR and % increase versus HY12 at comparable scope Other Non- PPS & Tessenderlo Scope Inorganics Businesses allocated Profiles Kerley Gelatin & Akiolis (3.2) +1.5 (2.7) (4.1) +4.3 (5.4) (8.0) 99.3 - 14.9% 81.7 - 14.4 REBITDA REBITDA HY12 HY13 • REBITDA decre
Slide 9: Net debt position
Net debt position Million EUR 900.0 5.2 5 750.0 2.5 2.7 3 3.3 600.0 1.6 1.5 2.0 1.8 1 450.0 0.9 1.1 393.9 378.1 332.4 283.2 305.2 79.9 127.3 -1 300.0 123.4 85.8 121.2 150.0 314.0 -3 209.0 219.4 250.9 162.0 0.0 -5 31/12/2009 31/12/2010 31/12/2011 31/12/2012 30/06/2013 Net debt (Million EUR) Non-recou
Slide 10: Operational Highlights
Operational Highlights GROUP KEY FIGURES % Change at % Change at 2Q13 2Q12 comparable Million EUR HY13 HY12 comparable scope scope 542.4 563.3 7.5% Revenue 1029.0 1108.2 1.8% 49.0 55.4 -8.4% REBITDA 81.7 99.3 -14.9% 9.0% 9.8% - REBITDA margin 7.9% 9.0% - 30.3 33.0 -10.1% REBIT 43.9 55.4 -22.4% 5.6%
Slide 11: 2Q13 group revenue and REBITDA per segment
2Q13 group revenue and REBITDA per segment Revenue (% of total) REBITDA (% of total*) Non-allocated Other businesses Other businesses 0.5% 2.5% Gelatin Inorganics & 8.5% Akiolis Gelatin 8.5% & 24.8% Akiolis 20.1% 18.1% Tessenderlo Inorganics 542.4 49.0 51.6% Kerley mEUR mEUR 23.4% 22.7% 19.3% Tessen
Slide 12: HY13 group revenue and REBITDA per segment
HY13 group revenue and REBITDA per segment Revenue (% of total) REBITDA (% of total*) Non-allocated Other businesses 0.2% 3.1% Other businesses Inorganics Gelatin & 6.3% 10.7% Akiolis PPS & 26.1% Profiles 16.4% Tessenderlo Inorganics 19.9% 1,029.0 81.7 47.6% Kerley mEUR mEUR 22.8% 26.7% 20.2% PPS &
Slide 13: Tessenderlo Kerley
REBITDA (% of total) Tessenderlo Kerley HY13 47.6% Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) 300 60 27.2% 50 22.5% 200 2012 40 25.5% 2013 23.3% 30 208.0 52.2 46.8 100 191.6 20 108.2 127.0 10 27.6 29.7 0 0 2Q HY 2Q HY Revenue 2Q HY REBITDA 2Q HY % Change at % Change at + 17.4%
Slide 14: Gelatin and Akiolis
REBITDA (% of total) Gelatin and Akiolis HY13 26.7% Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) 300 40 13.7% 35 9.8% 30 2012 200 2013 25 14.1% 268.6 20 7.7% 34.3 100 250.6 15 126.7 134.7 10 17.8 26.3 5 10.4 0 0 2Q HY 2Q HY Revenue 2Q HY REBITDA 2Q HY % Change at % Change at +6.3
Slide 15: Inorganics
REBITDA (% of total) 6.3% Inorganics HY13 Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) 300 25 20 2012 200 2013 15 4.5% 3.0% 1.6% 0.9% 10 100 205.3 207.7 97.6 109.1 5 1.6 1.8 6.2 4.9 0 0 2Q HY 2Q HY Revenue 2Q HY REBITDA 2Q HY % Change at % Change at + 11.9% - 1.2% + 205.0% + 235.
Slide 16: Plastic Pipe Systems and Profiles
REBITDA (% of total) 16.4% Plastic Pipe Systems and Profiles HY13 Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) (28.8) 7.4% 30 300 6.9% (0.5) net scope 25 9.0% 8.4% 2012 200 (17.6) 20 2013 (0.0) 15 277.8 234.8 20.7 100 10 142.1 123.3 16.1 5 12.0 11.1 0 0 2Q HY 2Q HY Revenue 2Q HY
Slide 17: Other Businesses
REBITDA (% of total) 3.1% Other Businesses* HY13 * Includes Compounds, OCD, Pharma, Water Treatment and Sulfur Derivatives Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) 20 300 18 (68.9) net scope 16 2.7% 2012 14 3.3% 200 3.1% 2.4% 12 2013 (42.3) 10 (2.7) (1.9) 8 100 6 180.4 109.8
Slide 18: REBIT to Profit details for 2Q13
REBIT to Profit details for 2Q13 Million EUR REBIT Non-recurring Net finance Income Tax Share of result PROFIT 2Q13 items EBIT costs Expense of investments 2Q13 30.3 (49.0) (18.7) (36.2) (8.0) (10.8) 1.3 18
Slide 19: REBIT to Profit details for HY13
REBIT to Profit details for HY13 Million EUR REBIT Non-recurring Net finance Income Tax Share of result PROFIT HY13 items EBIT costs Expense of investments HY13 43.9 (49.0) (5.1) (14.6) (35.1) (18.1) 2.7 19
Slide 20: Non-recurring items 2Q13
Non-recurring items 2Q13 Million EUR Capital gain on sale Losses on disposal of non strategic Provisions and groups classified Other income and Total non-recurring assets claims Restructuring Impairment losses as held for sale expenses items 0.2 0.4 (37.4) (49.0) (4.6) (4.3) (3.5) Mainly: Mainly: (3
Slide 21: Non-recurring items HY13
Non-recurring items HY13 Million EUR Losses on Capital gain on disposal groups sale of non Provisions and classified as held Other income and Total non- strategic assets claims Restructuring Impairment losses for sale expenses recurring items 5.0 (1.5) (37.4) Mainly: (49.0) 4.7 m EUR from sale of la
Slide 22: Net debt evolution 2Q13
Net debt evolution 2Q13 Million EUR Net debt Net debt 31/03/2013 30/06/2013 (250.9) (332.6) REBITDA Sale of non- Change in WC Change in strategic assets 49.0 CAPEX factoring Non-recurring Financial charges (before 30.2 and other Dividends factoring) (29.0) & taxes received (16.0) 27.9 (5.0) 2.3 22.3
Slide 23: Net debt evolution HY13
Net debt evolution HY13 Million EUR Net debt Net debt 31/12/2012 30/06/2013 (250.9 (314.0) REBITDA CAPEX Change in Non-recurring 81.7 and other Sale of factoring Change in WC (50.2) Financial charges (before non-strategic and taxes factoring) Dividends assets 47.3 received ((23.7) 36.6 36.6 (16.5) (
Slide 24: Group Trade Working Capital
Group Trade Working Capital Million EUR 700 30% 600 22.1% 25% 19.8% 20.4% 20% 500 21.1% 17.0% 18.3% 15% 400 10% 300 5% 200 446.4 361.1 375.9 0% 100 -5% 0 -10% June 2012 December 2012 June 2013 Trade Working Capital excluding factoring Trade Working Capital excluding factoring/Last 12 months revenue
Slide 25: Balance Sheet
Balance Sheet Million EUR 1800.0 1800 1,428.6 1,428.6 1600.0 1,263.0 1600 1,263.0 Non-current assets 20.8 1188.3 15.7 1188.3 held for1400.0 sale 1400 64.4 40.6 Liabilities associated 1.3 0.0 with assets classified 1200.0 1200 as held for sale 553.1 656.0 Other current assets 1000.0 1000 542.0 512.5
Slide 26: 2Q13 Results August 29, 2013
Tessenderlo Group is a worldwide specialty company, focused on food, agriculture, water management and on valorizing bio- residuals. The group employs about 6,200 people and is a leader in most of its markets, with a consolidated revenue of 2.1 billion EUR in 2012. Tessenderlo Chemie NV is listed on