Slide 1: Q2 2023 Results Conference Call
Q2 2023 Results Conference Call Alfred Stern Chairman of the Executive Board and CEO July 28, 2023 1 | Q4 2022 Conference Call, February 2, 2023 © OMV Group
Slide 2: Disclaimer
Q2 2023 Results conference call Disclaimer This presentation contains forward-looking statements. Forward-looking statements may be identified by the use of terms such as “outlook”, “believe”, “expect”, “anticipate”, “intend”, “plan”, “target”, “objective”, “estimate”, “goal”, “may”, “will”, and sim
Slide 3: Macro environment
Macro environment Declining oil and gas prices, normalizing refining margins and weak chemical market environment Oil prices Gas prices USD/bbl EUR/MWh Realized gas price Central European Gas Hub Average Brent price Average realized crude price 201 114 101 102 99 107 89 99 81 78 56 82 38 86 57 78 75
Slide 4: Key messages
Q2 2023 Results conference call Key messages FINANCIAL OPERATIONS DELIVERING THE PERFORMANCE Q2/23 Q2/23 STRATEGY Clean CCS Operating Result of Polyolefin sales incl. JVs FID for Neptun Deep, Romania EUR 1.18 bn (7)% y-o-y Acquired a 6.5% stake in a geothermal energy (60)% y-o-y technology (Eavor) T
Slide 5: Clean CCS Earnings
Clean CCS Earnings Performance impacted by declining commodity prices and higher tax rate Clean CCS Operating Result Clean CCS net income attributable to Clean CCS Earnings Per Share EUR mn stockholders EUR Chemicals & Materials EUR mn Fuels & Feedstock Energy Corporate & Other 2,937 1,418 602 2,079
Slide 6: Chemicals & Materials
Chemicals & Materials Significant negative inventory effects, lower sales volumes and margins, and materially lower contributions from Nitro and JVs Clean Operating Result EUR mn Nitro: lower margins and negative inventory effects (596) 602 Olefins & Polyolefins Europe ● Market environment and inven
Slide 7: Fuels & Feedstock
Fuels & Feedstock Significantly lower refining margins and planned Petrobrazi turnaround, partially offset by higher sales volumes and margins Clean CCS Operating Result EUR mn (295) 578 ● Significantly lower refining indicator margin Europe (USD 7.6/bbl vs. 20.5/bbl) ● Operational performance ● Hig
Slide 8: Energy
Energy Lower oil and gas prices, partially offset by stronger Gas Marketing & Power result Clean Operating Result EUR mn ● Market environment ● Average realized crude oil price decreased by -30% (888) ● Average realized natural gas price declined by -50% 1,784 49 ● Negative FX impact due to stronger
Slide 9: Cash Flow
Cash Flow Organic free cash flow before dividends at EUR 1.2 bn for H1/23 Cash flow 6m/23 vs. 6m/22 ● Decrease of ~EUR 4.1 bn in cash flow from operating activities EUR bn excluding net working capital effects vs. H1/22 ● Net working capital effects of EUR 1.3 bn -4.1 6m/22 (6m/22: EUR -2.6 bn) 5.7
Slide 10: Strong balance sheet
Strong balance sheet Leverage ratio at 11% and EUR 6.5 bn cash at the end of June Leverage ratio Net debt in EUR bn 9.3 End of June 2023 OMV cash position1 32% 6.0 EUR 6.5 bn 4.7 22% 21% End of June 2023 3.1 OMV undrawn committed 2.2 11% credit facilities 8% 0.6 2% EUR 5.2 bn 2019 2020 2021 2022 Q1
Slide 11: Updated outlook 2023
Q2 2023 Results Updated outlook 2023 2022 H1 2023 2023 Brent oil price (USD/bbl) 101 80 75-80 (previously >80) Average realized gas price (EUR/MWh) 54 32 ~30 (previously ~35) Europe ethylene indicator margin (EUR/t) 560 524 ~530 Europe propylene indicator margin (EUR/t) 534 419 ~400 (previously ~480
Slide 12: Appendix
APPENDIX 12 | Q2 2023 Conference Call, July 28, 2023 © OMV Group
Slide 13: Chemicals & Materials
Chemicals & Materials Significant negative inventory effects and lower sales and margins in standard products Clean Operating Result EUR mn (88) Nitro: Lower result driven by lower margin, partially compensated by less negative inventory effects 94 Olefins and polyolefins in Europe ● Market environm
Slide 14: Specialty Polyolefins
Specialty Polyolefins Specialty polyolefin margins and volumes in Europe have proven very resilient Polyolefin clean sales margin of Borealis excluding JVs Standard products sales margin in EUR ● Specialty products are supplied to various industries such as Specialty products sales margin in EUR Ene
Slide 15: Fuels & Feedstock
Fuels & Feedstock Lower refining margins, partially compensated for by higher utilization rate and retail contribution Clean CCS Operating Result EUR mn (298) -51% 581 187 ● Lower refining indicator margin Europe (USD 7.6 vs 14.8/bbl) ● Operational performance ● Lower refinery utilization rate (73%
Slide 16: Energy
Energy Strong contribution from Gas Marketing & Power almost offset by weaker market environment Clean Operating Result EUR mn (584) ● Weaker market environment 1,479 ● Realized oil price decreased by -4% Gas Marketing 164 ● Realized gas price decreased by -19% &Power 358 ● Negative FX impact due to
Slide 17: Balance sheet
Balance sheet Strong balance sheet Balance sheet June 30, 2023 vs. March 31, 2023 EUR bn 54.4 54.4 ● Tangible & intangible assets: impacted by increased 50.0 50.0 decommissioning costs due to updated parameters (mainly in RO) Tangible & 22.0 19.2 ● Trade receivables: decrease mainly related to lower
Slide 18: Sensitivities of the OMV Group results in 2023
2023 Sensitivities Sensitivities of the OMV Group results in 2023 Annual impact excl. hedging Clean CCS Operating Operating cash flow in EUR mn Result Brent oil price (USD +1/bbl) +55 +25 Realized gas price (EUR +1/MWh) +75 +40 OMV indicator refining margin Europe (USD +1/bbl) +110 +85 Ethylene indi