Slide 1: Invest in What the World Needs
INVEST IN WHAT THE WORLD NEEDS STRATEGY UPDATE & INTERIM RESULTS H1 FY2025 12 NOVEMBER 2024
Slide 2: Disclaimer
DISCLAIMER This presentation does not constitute an invitation to underwrite, subscribe for or otherwise acquire or dispose of any shares or other securities of DCC plc (“DCC”) . This presentation contains some forward - looking statements that represent DCC’s expectations for its business, based on
Slide 3: Agenda
AGENDA 1 Strategic action plan 2 Financial considerations 3 Performance review H1 FY25 4 Outlook, summary and Q&A 5 Appendix STRATEGY UPDATE & INTERIM RESULTS 12 NOV 2024 3
Slide 4: Strategic Action Plan
STRATEGY UPDATE & INTERIM RESULTS DONAL MURPHY STRATEGIC ACTION PLAN STRATEGY UPDATE & INTERIM RESULTS 12 NOV 2024 4
Slide 5: Decisive Plan to Maximise Shareholder Value
DECISIVE PLAN TO MAXIMISE SHAREHOLDER VALUE Focused DCC will maximise value FOCUS ON OPPORTUNITY IN ENERGY SIMPLIFY OUR GROUP DCC Healthcare DCC Technology Cleaner Energy in Your Power Sale in 2025 Strategic review STRATEGY UPDATE & INTERIM RESULTS 12 NOV 2024 5
Slide 6: Focus on Our Winning Strategy for Energy
FOCUS ON OUR WINNING STRATEGY FOR ENERGY bio REDUCE BUILD the carbon intensity a leading electron - of essential liquid based energy mgmt. fuels business DRIVE 1 2 3 c.10% growth annually at Lifetime value per Doubling of profit high - teens returns customer of 1.4 to 4x by 2030 1 STRATEGY UPDATE &
Slide 7: Pro Forma DCC Is a Market Leader with Scale and Great Capability
PRO FORMA DCC IS A MARKET LEADER WITH SCALE AND GREAT CAPABILITY Scale > 10m cross sector customers Since new Energy strategy announced FY22 FY24 SRO% 1 22 % 35% Capability Leadership CO 2e/EBIT 26% Unique capability in off - gas - 50 years of experience → A grid and decentralised energy market lead
Slide 8: We Are Well on Track to Deliver Our Vision Outlined in September 2023
WE ARE WELL ON TRACK TO DELIVER OUR VISION OUTLINED IN SEPTEMBER 2023 EBIT BRIDGE (FY22A - FY30), £M (2) c. 830 EBIT growth >20% of EMS EBIT growth in SRO achieved c. 100 Managed decline in oil c.£5m HVO 40% of LG profit uplift achieved to so far c. 110 end FY24 c. 30 c. 30 c. 40 24% EBITA c. 120 gr
Slide 9: Sale of DCC Healthcare to Create Significant Shareholder Value
SALE OF DCC HEALTHCARE TO CREATE SIGNIFICANT SHAREHOLDER VALUE PURSUING SALE OF HEALTHCARE UNIQUE OPPORTUNITY TO ACQUIRE MARKET - LEADING INTERNATIONAL PLATFORM 1. Market - leading positions in both • Long term record of sustained growth, consumer and patient health 10- year EBITA CAGR 12% 10- year
Slide 10: Value Maximisation Plan for DCC Technology
VALUE MAXIMISATION PLAN FOR DCC TECHNOLOGY MAXIMISE VALUE OF DCC TECHNOLOGY LEADER IN TECHNOLOGY DISTRIBUTION Strong business with the leading position in • No.1 in Pro Tech (AV and Audio) globally Pro Tech (AV and audio) distribution • High quality Life Tech business – based in North America 1. Mat
Slide 11: Financial Considerations
STRATEGY UPDATE & INTERIM RESULTS KEVIN LUCEY FINANCIAL CONSIDERATIONS STRATEGY UPDATE & INTERIM RESULTS 12 NOV 2024 11
Slide 12: Pro-Forma DCC Has Excellent Financial Characteristics
PRO - FORMA DCC HAS EXCELLENT FINANCIAL CHARACTERISTICS OUR ENERGY BUSINESS HAS DRIVEN THE GROWTH OF THE GROUP DCC Energy & DCC plc EBITA (last 10 years) Track record and recent performance is FY24 ROCE: stellar DCC Energy 18.7% 21.6% DCC plc 14.3% FY15 FY24 21.0% 19.8% 18.4% 18.6% 19.0% 18.7% Energ
Slide 13: Our Strategy and Actions Will Maximise Value for Shareholders
OUR STRATEGY AND ACTIONS WILL MAXIMISE VALUE FOR SHAREHOLDERS WE WILL CONTINUE OUR FOCUS ON DISCIPLINED CAPITAL ALLOCATION KEY MESSAGES TODAY Maintain strong balance Return surplus cash and sheet, committed to Capital allocation discipline minimise value leakage investment grade rating STRATEGY UPDA
Slide 14: Performance Review H1 FY25
STRATEGY UPDATE & INTERIM RESULTS KEVIN LUCEY PERFORMANCE REVIEW H1 FY25 STRATEGY UPDATE & INTERIM RESULTS 12 NOV 2024 14
Slide 15: Highlights H1 FY25
HIGHLIGHTS H1 FY25 Good profit growth & development progress FINANCIAL DEVELOPMENT − Group adjusted operating profit up 4.7% (6.0% on a ccy − Committed c.£ 130 million to M&A: primarily in DCC basis) to £ 259.3 million Energy − Organic growth 0.5% with M&A contributing 5.5% − Acquisitions in new ene
Slide 16: Financial Highlights for the Six Months Ended 30 September 2024
FINANCIAL HIGHLIGHTS FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2024 % % £’m 2024 2023 change change CC Revenue (billion) 9.3bn 9.6bn - 3.0% - 1.8% Group adjusted operating profit 1 259.3 247.6 +4.7% +6.0% Adjusted EPS 1 (pence) 158.5 149.3 +6.2% +7.5% Interim dividend per share (pence) 66.19 63.04 +5.0%
Slide 17: Divisional Results for the Six Months Ended 30 September 2024
DIVISIONAL RESULTS FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2024 % % £’m 2024 2023 change change CC Adjusted operating profit by division Adjusted operating profit 1 DCC Technology DCC Energy 182.7 170.6 +7.0% +8.4% 15% DCC Healthcare 38.1 38.3 - 0.4% +0.4% 15% DCC Healthcare DCC Technology 38.5 38.7 -
Slide 18: Divisional Highlights
DIVISIONAL HIGHLIGHTS FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2024 − Operating profit up 8.4% cc. Driven by acquisitions in Solutions and good organic growth in Mobility. − Organic profit up 1.0% notwithstanding very strong prior year performance. Mobility and DCC Energy Solutions in UK&I strongest pe
Slide 19: Outlook, Summary and Q&A
STRATEGY UPDATE & INTERIM RESULTS DONAL MURPHY OUTLOOK, SUMMARY AND Q&A STRATEGY UPDATE & INTERIM RESULTS 12 NOV 2024 19
Slide 20: Outlook FY25
STRATEGY UPDATE & INTERIM RESULTS 30 SEPTEMBER 2024 OUTLOOK FY25 Notwithstanding the headwind of currency translation, DCC expects that the year ending 31 March 2025 will be a year of good operating profit growth and significant strategic progress. STRATEGY UPDATE & INTERIM RESULTS 12 NOV 2024 20
Slide 21: Summary & Vision of the Future
SUMMARY & VISION OF THE FUTURE OUR STRATEGIC PLAN AND DECISIVE ACTIONS WILL MAXIMISE SHAREHOLDER VALUE: − FOCUS ON THE LARGEST OPPORTUNITY: ENERGY − SIMPLIFY OUR OPERATIONS: PORTFOLIO ACTION AND MAXIMISE VALUE − CAPITAL DISCIPLINE: RETURN SURPLUS TO SHAREHOLDERS, MAINTAIN STRONG BALANCE SHEET STRATE
Slide 22: Q&A
Q&A STRATEGY UPDATE & INTERIM RESULTS 12 NOV 2024 22
Slide 23: Appendix
STRATEGY UPDATE & INTERIM RESULTS APPENDIX STRATEGY UPDATE & INTERIM RESULTS 12 NOV 2024 23
Slide 24: DCC Energy Performance Summary
DCC ENERGY PERFORMANCE SUMMARY Strong profit growth in H1 % % 2024 2023 change change CC – Operating profit up 7.0% (8.4% cc). Driven by acquisitions in Volume 1 (bn litres equivalent) 7.106 7.184 - 1.1% Solutions and good organic growth in Mobility. Gross profit (£’m) 830.1 764.4 +8.6% +10.1% – Org
Slide 25: DCC Energy – Key Numbers
DCC ENERGY – KEY NUMBERS Direct customers 1 Employees Countries Operating profit by business 1.7m 8,900 12 Revenue 2 Operating profit Volume (litres 3 ) Energy Solutions 38% Energy Mobility £6.6bn £182.7m 7.1bn 62% Scope 3 Carbon intensity Biogenic content - 5.5% in CO 2e 74.1kgCO 2e/GJ 8.0% of all
Slide 26: DCC Energy – Key Numbers
DCC ENERGY – KEY NUMBERS Energy Solutions (62% of DCC Energy EBITA) Energy Mobility (38% of DCC Energy EBITA) Operating profit by product/solution Operating profit by product/solution Traditional (>65kgCO 2e/GJ) 2 11% Services, Renewables and Other (≤10kgCO 2e/GJ) 2 Lower Carbon 46% 48% (≤65kgCO 2e/
Slide 27: DCC Healthcare Performance Summary
DCC HEALTHCARE PERFORMANCE SUMMARY In line performance with organic growth % % 2024 2023 change change CC – Operating profit up 0.4% on an organic cc basis. Modestly Revenue (£’m) 415.1 420.5 - 1.3% - 0.3% behind on a reported basis (0.4%). Gross profit (£’m) 137.6 130.8 +5.2% +6.3% – In DCC Vital,
Slide 28: DCC Technology Performance Summary
DCC TECHNOLOGY PERFORMANCE SUMMARY Robust performance in a weak market % % 2024 2023 change change CC – Operating profit increased 1.1% cc, declining 0.4% on a Revenue (£’bn) 2.321 2.294 +1.2% +2.3% reported basis. Organic profits back 1.4%. Gross profit (£’m) 286.5 288.6 - 0.7% +0.5% – Market condi
Slide 29: Financial Summary for the Six Months Ended 30 September 2024
FINANCIAL SUMMARY FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2024 Volumes/ Operating O perating Organic Operating revenue Gross profit costs profit profit YoY margin DCC Energy 7.1bn1 £830.1m £647.4m £182.7m +1.0% 2.57ppl 2 DCC Healthcare £415.1m £137.6m £99.5m £38.1m +0.4% 9.2% DCC Technology £2.321bn £
Slide 30: Other Financial Considerations Regarding FY25 Outlook
OTHER FINANCIAL CONSIDERATIONS REGARDING FY25 OUTLOOK (AS AT 12 NOVEMBER 2024) FX translation impact on adj. operating profit c. - 2% Net finance costs c.£105m - £110m Effective tax rate c.20.5% Minority interest c.£14m No. of shares outstanding 98,876,284 STRATEGY UPDATE & INTERIM RESULTS 12 NOV 20