Imcd N.v. · EURONEXT:IMCD
Imcd — Shareholder Meeting (May 2016)
40 slides from Imcd's shareholder meeting presentation, May 12, 2016
Slide 1: Annual General Meeting
ANNUAL GENERAL MEETING Rotterdam, 12 May 2016 IMCD N.V.
Slide 2: 1. Opening
Annual General Meeting IMCD N.V. 1. Opening 2
Slide 3: 2. Annual report 2015 Management Board presentation
Annual General Meeting IMCD N.V. 2. Annual report 2015 Management Board presentation 3
Slide 4: IMCD at a glance
IMCD at a glance 1 Leading international speciality chemicals focused sales, marketing and distribution platform 2 Diversified, resilient and asset light business model 3 Demonstrated ability to deliver organic and M&A-led growth 4 Superior margin conversion and cash generation through asset light b
Slide 5: Financial development
Financial development VY 1.700 5 Revenue («Cumin 1520 aaa Gross profit (x UR million) 1.500 + 350 | 333 1.300 | 288 1.4117 300 4 1.100 | 1.023 2o1 250 | 238 900 | 852 218 200 | 182 687 700 + ts 18 500 2009 «=. 2010S «2011S 20122013. 20142015 100 2009 = 201022012012 «2018S 201d ~—2015 130 5 A 128 130
Slide 6: Sustainability: Value through expertise
Sustainability Value through expertise Product Responsible Sustainable HSEQ Stewardship Care logistics Provide a healthy and Support introduction of Be a responsible Participate in the “Lean safe workplace for our sustainable products partner for our & Green” concept of the employees and comply with
Slide 7: IMCD's ambition
IMCD’s ambition IMCD’s ambition To be the sales channel partner of choice for the chemical- and food ingredient industry and their customers Product know Focus on Transparent and how and profitable growth Excellent people reliable link in formulation for all the value chain expertise stakeholders 7
Slide 8: Value through expertise
Value through expertise IMCD
Slide 9: Highlights 2015
Highlights Highlights 2015 Revenue Revenue growth of 13% to EUR 1,530 million (+11% on a constant currency basis) Gross profit Gross profit growth of 16% to EUR 333 million (+14% on a constant currency basis) Operating Operating EBITA increased by 17% to EUR 128.3 million (+15% on a constant currenc
Slide 10: Highlights 2015: M&A acquisitions
Highlights Highlights 2015 M&A Successful execution of M&A strategy in 2015 M.F. Cachat (USA) Acquisitions Selectchemie (Brazil) Kushalchand (India) 10
Slide 11: MF Cachat overview
MF Cachat overview MF Cachat • Founded 1977 • Technical sales of Specialty chemicals • $ 300 million revenue • 90 employees • Coverage : Midwest, Central, Eastern & Southern regions • Represents leading global chemical suppliers • Primary markets : Coatings, Plastics & related sub-markets • Asset li
Slide 12: Selectchemie (Brazil)
Selectchemie Selectchemie (Brazil) • Founded • Head office in São Paulo • Approximately 35 employees • Coverage : Brazil • Represents leading manufacturers from China, India, US and Europe • Market: Pharma (excipients and API’s) 12
Slide 13: Summary financials 2015
Financials 2015 Summary financials 2015 13
Slide 14: Income statement
Financials 2015 Income statement fx adj. EUR million 2015 2014 change change change Revenue and other income 1,538 1,366 171 13% 11% Gross profit 333 288 45 16% 14% Gross profit in % of revenue 21.6% 21.0% 0.6% Third party costs 49 46 Own costs 156 131 Operating EBITA¹ 128 110 18 17% 15% Operating E
Slide 15: Revenue growth and Operating EBITA 2015
Financials 2015 Revenue growth 2015 Operating EBITA 2015 (excl Holdings) 1.550 9,6% 17 7,5% 1.500 1.450 132 20,1% 1.400 1.530 62,8% 10 1.513 1.350 6 19 1.300 1.358 Europe Asia Pacific OEM USA 1.250 Full year Europe Asia OEM USA Currency Full year 2014 Pacific 2015 Operating EBITA growth 2015 135 130
Slide 16: Balance Sheet
Financials 2015 Balance Sheet EUR million 31 December 2015 31 December 2014 change Property, plant and equipment 18 18 1 Intangible assets 907 665 242 Other fin. assets/def tax assets 26 18 8 Working capital 228 180 48 Provisions/employee benefits (12) (11) (1) Deferred tax liabilities (76) (72) (4)
Slide 17: Free cash flow
Financials 2015 VY Free cash flow EUR million 2015 2014 change Operating EBITA 128,3 110,0 18,3 Depreciation 315) 2,8 0,7 Operating EBITDA 131,8 112,7 19,1 Share based payments 0,7 - Capex (3,2) (3,1) (0,1) A Working capital’ (10,0) (15,0) 5,0 Free cash flow 119,3 94,6 24,7 Cash conversion ratio? 90
Slide 18: Proposed dividend
Financials 2015 Proposed dividend EUR million 2015 2014 change change Result for the year 61.8 Amortisation of intangible assets 34.8 Tax credits related to amortisation (4.0) Cash earnings 92.6 Proposed dividend payment 23.2 Pay out ratio 25% Proposed dividend per share in EUR 0.44 0.20 0.24 120% 1
Slide 19: Summary financials Q1 2016
Financials 2016 Summary financials Q1 2016 19
Slide 20: Highlights Q1 2016
Highlights Highlights Q1 2016 Revenue growth of 23% to EUR 436.0 million (+27% on a constant currency basis) Revenue Gross profit growth of 21% to EUR 96.0 million (+26% on a constant currency basis) Gross profit Operating Operating EBITA increased by 28% to EUR 39.1 million (+33% on a constant curr
Slide 21: Summary Financials Q1 2016
Summary Financials Q1 2016 Jan. 1 - March 31 Jan. 1 - March 31 Fx adj. EUR m illio n Change Change 2016 2015 change Revenue 436 356 80 23% 27% Gross profit 96 79 17 21% 26% Gross profit in % of revenue 22.0% 22.2% (0.2%) Operating EBITA 39 30 9 28% 33% Operating EBITA in % of revenue 9.0% 8.6% 0.4%
Slide 22: 3. Financial statements 2015, result and dividend
Annual General Meeting IMCD N.V. 3. Financial statements 2015, result and dividend a) Implementation of the remuneration policy in the financial year 2015 b) Adoption of the financial statements 2015 (voting point) c) Adoption of the dividend proposal (voting point) 22
Slide 23: 3a) Implementation of the remuneration policy in 2015
Annual General Meeting IMCD N.V. 3 a) Implementation of the remuneration policy in the financial year 2015 i. Remuneration Policy ii. Implementation in 2015 iii. Envisaged implementation in 2016 23
Slide 24: 3b) Adoption of the financial statements 2015
Annual General Meeting IMCD N.V. 3 b) Adoption of the financial statements 2015 (voting point) 24
Slide 25: Audit 2015 IMCD N.V.
Audit 2015 IMCD N.V. General Meeting of Shareholders Rotterdam May 12, 2016
Slide 26: Auditor's report
Auditor’s report Audit » In accordance with Dutch Law, including the Dutch Standards on Auditing » To determine whether consolidated and company 2015 financial statements of IMCD give a true and fair view » In accordance with EU-IFRS and Part 9 of Book 2 of Dutch Civil Code Opinion » Unqualified aud
Slide 27: Audit approach
Audit approach Key elements » Risk assessment » Materiality - Our audit is aimed at detecting material errors in the financial statements - Materiality set at EUR 5 million (0.3% of revenue and 1.5% of gross profit) » Top down approach » Involvement of component auditors - 27 group entities in scope
Slide 28: Key audit matters
Key audit matters Valuation of goodwill Accounting for and supplier acquisition of M.F. relations Cachat Company Key audit matters Valuation of deferred income tax assets © 2016 KPMG Accountants N.V. Alle rechten voorbehouden. 28
Slide 29: 3c) Adoption of the dividend proposal
Annual General Meeting IMCD N.V. 3 c) Adoption of the dividend proposal (voting point) 29
Slide 30: 4a) Discharge of Management Board members
Annual General Meeting IMCD N.V. 4 a) Discharge from liability of members of the Management Board for the performance of their duties in 2015 (voting point) 30
Slide 31: 4b) Discharge of Supervisory Board members
Annual General Meeting IMCD N.V. 4 b) Discharge from liability of members of the Supervisory Board for the performance of their duties in 2015 (voting point) 31
Slide 32: 5. Appointment of the external auditor for 2016
Annual General Meeting IMCD N.V. 5. Appointment of the external auditor for the financial year 2016 (voting point) 32
Slide 33: 6a) Appointment of Julia van Nauta Lemke-Pears
Annual General Meeting IMCD N.V. 6. Appointment as Supervisory Board member of: a) Mrs J. (Julia) van Nauta Lemke-Pears (voting point) 33
Slide 34: 6b) Appointment of Janus Smalbraak
Annual General Meeting IMCD N.V. 6. Appointment as Supervisory Board member of: b) Mr J. (Janus) Smalbraak (voting point) 34
Slide 35: 7a) Authorisation to issue shares
Annual General Meeting IMCD N.V. 7. Designation of the Management Board as the body authorized: a) To issue shares (voting point) 35
Slide 36: 7b) Restrict or exclude pre-emptive rights
Annual General Meeting IMCD N.V. 7. Designation of the Management Board as the body authorized: b) To restrict or exclude the pre-emptive rights on shares as described under 7 a) (voting point) 36
Slide 37: 8. Authorisation to acquire company shares
Annual General Meeting IMCD N.V. 8. Authorisation of the Management Board to acquire shares in the company on behalf of the company (voting point) 37
Slide 38: 9. Any other business
Annual General Meeting IMCD N.V. 9. Any other business 38
Slide 39: 10. Closing
Annual General Meeting IMCD N.V. 10. Closing 39
Slide 40: Disclaimer
Disclaimer Disclaimer This presentation was held at the Annual General Meeting of IMCD N.V. on 29 April 2015 and is made available on IMCD's website for information purposes only. The information contained in this presentation has been provided as at the date of the presentation and may be subject t