Braskem S.a. · BMFBOVESPA:BRKM3
Braskem — Q3 2021 Earnings Presentation
29 slides from Braskem's earnings presentation, Nov 10, 2021
Slide 1: Braskem participates in COP26 in Glasgow
Braskem participates in COP26 in Glasgow COP26 1 COP26 WANTS TO ACCELERATE THE FIGHT AGAINST CLIMATE CHANGE. AND BRASKEM CONTINUES. ACCELERATING ITS PROJECTS. » ) BRASKEM A MORE SUSTAINABLE FUTURE TODAY. EARNINGS CONFERENCE CALL 3Q21 NOVEMBER 10, 2021 Braskem ©
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This presentation includes forward-looking statements. These forward-looking statements represent not solely historical data, but also reflect the goals and expectations of Braskem’s management. The terms “anticipate,” “believe,” “expect,” “foresee,” “intend,” “plan,” “est
Slide 3: In 3Q21, petrochemical spreads remained at high levels
In 3Q21, petrochemical spreads remained at high levels and above the upcycle of the petrochemical industry PE US — Naphtha ARA Spread’ PE US — Ethane US Spread’ PP US — Propylene US Spread’ (S/ton) @ {ion OE) so & 1567 1855 1,839 sag 1924 1943 2579 2,770 3226 774703 18 773 704 -915_NO8B 1,279 1,194
Slide 4: 3Q21 Highlights | Consolidated Braskem (1/2)
3Q21 Highlights | Consolidated Braskem (1/2) Recurring Operating Result —- 3Q21 and 9M21 (USS million) Braskem improved its profitability in 2021 (9M21), as shown by the period's higher recurring operating margin 4,510 1,776 1,469 1,249 - | i 3Q20 2021 3021 920 9M21 Recurring Operating 23% 36% 27% 1
Slide 5: 3Q21 Highlights | Consolidated Braskem (2/2)
3Q21 Highlights | Consolidated Braskem (2/2) Net Income - 3021 and 9M21 (R$ million) Positive net margin in 2021, reversing the net loss in the prior year -1,413 -7,538 3Q20 2Q21 3Q21 9M20 9M21 mds -9% 28% 12% 9% C7) Source: Braskem. Note (1): Based on Net Income as a ratio of Net Revenue. Note (2):
Slide 6: 3Q21 Highlights | Brazil
3Q21 Highlights | Brazil Operational Utilization Rate of Petrochemical Crackers %) Restarting of operations after SMS? in SP [Srey 76% 79% rey 87% 105% =. oD Quarterly record- high 3Q20 2021 3Q21 Id 2021 3Q21 Hl Ethylene I creen Ethylene Resin Sales (PE+PP+PVC) ©) = a 1.058 ae i O a i = = Ea 3Q20 2Q
Slide 7: Update on geological event in Alagoas - Financial Impact
Update on geological event in Alagoas - Financial Impact Financial Impact’ — Balance of provisions in 3Q21 Disbursements Schedule (RS billion) (RS billion) In 3Q21, the balance of provisions related to the geological event in Alagoas with some 68% registered under Current was around R$7.1 billion...
Slide 8: Update on geological event in Alagoas — Advances in PCF
Update on geological event in Alagoas — Advances in PCF’ Status on Update of PCF' as of October 31, 2021 October 31, 2021 Around 97% of families outside = —e— Acceptance Index for Proposals Submitted of risk areas i Financial Compensation Proposals Submitted [Bl payments Made (R$ million)? Hl Famili
Slide 9: 3Q21 Highlights | USA and Europe
3Q21 Highlights | USA and Europe Financial Recurring Operating Result BRIDGE 4 a Volume Contribution FC'#SG&A?_—_—Recurring Margin +Other Operating Result — 3Q21 Operational Utilization Rate of PP plants? (%) Capp» (US$ million) 99% 98% 96% % % Levels above the 87% 94% 92% err /ierace Wa bat 3020 2Q
Slide 10: 3Q21 Highlights | Mexico
3Q21 Highlights | Mexico Operational Utilization Rate of PE plants (%) (USS million) rl Financial Adjusted Recurring Operating Result BRIDGE* 21 bai 5 Affected by higher 58% 68% ethane imports from the United States (Fast Track) 220 2021 3021 Mire PE sales (kt) Ee ao Adjusted Recurring Operating Res
Slide 11: Higher ethane imports from USA to Braskem Idesa
Higher ethane imports from USA to Braskem Idesa Ethane Imports from USA (Fast Track Solution) (thousand barrels per day — kbpd) The expectation is to increase Fast Track capacity to 35 kbpd during 222 35.0 WN iY Quarterly record, while September registered record imports of 22,400 \ « WY barrels per
Slide 12: Agreements with PEMEX and other Mexican government entities
Agreements with PEMEX and other Mexican government entities Volume First-Refusal Rights Terminal Agreement Additional Achievements Source: Braskem, rl Guarantee of feedstock supply until the import terminal permits independence from a single supplier Amendment to ethane supply agreement with PEMEX +
Slide 13: Braskem Idesa also concluded its debt refinancing plan
Additionally, Braskem Idesa also concluded its debt refinancing plan Braskem Idesa Debt Profile (US$ million) — Proforma Braskem Idesa substituted the remaining balance of US$1.35 billion of Project Finance with new debt under a corporate format with a long maturity profile 53% E a ane ine - 2 Cash
Slide 14: Historic quarterly record of operating cash generation in 3Q21
Considering the consolidated result, Braskem posted a historic quarterly record of operating cash generation in 3Q21 Free Cash Generation (R$ million) — 3Q21 Consistent operating cash generation, in line with the strategy to pri efficient capital allocation / financial health Impact from (i) managem
Slide 15: Maintenance of very long debt maturity profile
Maintenance of very long debt maturity profile Debt Profile (USS million) Sep/30/21 Strong liquidity position, with most liabil ies maturing in long term (55% after 2030) 55% Stand-by credit — facilities available om 21% 12% 1,262 3% 4% 4% 1% 20 20 2% 18 _ ao oe” Ea age* (ay Cash on 2021 2022 2023 2
Slide 16: Braskem continued to deleverage and present solid credit metrics
Braskem continued to deleverage and present solid credit metrics Lowest Adjusted Net Debt/Recurring Operating Result’ leverage ratio ever (US$) —®-— Corporate Leverage (Ex-Braskem Idesa) HH Adjusted Net Debt (Ex-Braskem Idesa) [ll] Recurring Operating Result (LTV?) i “6.3 pac 5.84 4.98 cr ee 1.80 1.
Slide 17: S&P upgraded Braskem's credit risk to investment grade
The risk rating agency S&P upgraded Braskem's credit risk to investment grade Braskem's risk level on global scale (Agency Rating Scales) Comments: * S&P upgraded Braskem's credit rating on the global scale to BBB-, with a stable outlook = o 3 a z AA > © The agency highlighted Braskem’s substantial
Slide 18: ESG: MOU with SCG Chemicals and Lummus Technology
ESG: Braskem signed MOU' with SCG Chemicals and Lummus Technology Main information about Braskem Main information about Braskem and SCG Chemicals Project? and Lummus Technology Project * Project: conducting feasibility studies for a joint investment * Project: jointly license Braskem's green ethylen
Slide 19: ESG: Partnership with Ecovadis on supplier management
ESG: Braskem has partnered with Ecovadis to reinforce its supplier management program based on ESG criteria Braskem } ecovadis PARTNERSHIP WITH ECOVADIS * EcoVadis is one of world's largest sustainability rating companies for global supply chains + The partnership aims to engage suppliers in ESG top
Slide 20: ESG: Recognized by BloombergNEF in Circular Economy
ESG: Braskem recognized by BloombergNEF in Circular Economy BloombergNEF Top 10: Brand Owners and Plastic Producers (Circular Economy Score) Catia 76% — Braskem } 7s 7d 15% VA sorca.is Sn 69% S pepsico 74% ‘lvondellbasell a Dh Nestle 73% O\scc I «. LOREAL 73% SVE Totaicneroies IT cox, 1 <> cx INQORA
Slide 21: ESG: Recognized for Human Rights initiatives by OHCHR and UN Global Compact
ESG: Braskem recognized for its Human Rights initiatives by OHCHR! and UN Global Compact under scope of RBCLAC project? Pacto Global Re Brasil HUMAN RIGHTS INITIATIVES & — * Recognition of practices related to protecting Human Rights in business activities * Twelve cases were selected, two from Bras
Slide 22: ESG: One of the world's best companies to work for, per Forbes
ESG: Braskem is one the world's best companies to work for, according to Forbes FORBES' RANKING + Ranking of world's best employers * Over 150,000 people interviewed with criteria including companies’ positioning and concern with: i. Environmental impacts ii. Efforts to develop new talent iii. Socia
Slide 23: Petrochemical Scenario — Main Chemicals
Petrochemical Scenario — Main Chemicals Main Chemicals - Naphtha ARA Spread’ Butadiene US - Naphtha ARA Spread" Benzene US - Naphtha ARA Spread" (S/ton) & (S/ton) @ bio 6) gig 00-4496 3,264 078 1,903 4,764 1,166 sig eg 8 ot 1,235 =e heSSst 466 sag 596 «668 7626 466 669 High domestic demand in a scen
Slide 24: Petrochemical Scenario — PE & PVC
Petrochemical Scenario — PE & PVC PE US — Naphtha ARA Spread’ PE US — Ethane US Spread" PVC Spread — Spread Par" (S/ton) @ sion) QE) {hon © 1567 18551839 1618 4 296 yss3 2924 1943 4.675 way 2882 peg, TEM ayes 1,052 a 2 8a Ot i 668 762 669 : 514 466 544596 ss. 12257 a2sise S320 08 499429376 Level abo
Slide 25: Petrochemical Scenario — PP
Petrochemical Scenario — PP PP US -Propylene US Spread’ PP Europe — Propylene Europe Spread’ PP Asia - Naphtha ARA Spread’ (S/ton) & (hon @ vio © 3,226 2,101 1,302 ase: zao_ 2 2822 5549 peg 2 2,024 2,029 4814 495)» 1,246 1184 1,271 1,179 1339 1,552 soy 0609 1477 M815 4514 1426 9691066 «12484957 NSA
Slide 26: Braskem Outlook | 4Q21 vs. 3Q21
Braskem Outlook | 4Q21 vs. 3Q21 Brazil Expected increase in ethylene Utilization production, with restarting of Rate feedstock supply in Rio de Janeiro Despite the lower seasonality, higher total sales volume and maintenance of strategy to prioritize sales to Brazil and SAM? Sales Volume" PE-Naphtha
Slide 27: Braskem remains an interesting investment opportunity in the global petrochemical industry
Braskem remains an interesting investment opportunity in the global petrochemical industry Multiple EV/Recurring Operating Result LTM" A lower multiple could indicate that a stock is an interesting investment ‘opportunity in its industry Tl us Peers? Average [J Braskem 12.5 11.8 Upside potential 9.8
Slide 28: We remain focused on main objectives for 2021
We remain focused on 6 main objectives for 2021 GEOLOGICAL PHENOMENON IN ALAGOAS Continue the advances related to the geological phenomenon in Alagoas BRASKEM = Expand the ethane import operation and negotiate definitive agreement with IDESA PEMEX CAPITAL ALLOCATION / = Ensure the Company's continue
Slide 29: Form 6-K forward-looking statements
This report on Form 6-K may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are statements that are not historical facts, and are based on our management’s current view and estimates of future economic and other circumst