Bayer Ag · XETR:BAYN

Bayer — FY2021 Earnings Presentation

31 slides from Bayer's earnings presentation, Mar 1, 2022

  1. Slide 1: Investor Conference Call FY/Q4 2021 Results

    Investor Conference Call /////////// FY/Q4 2021 Results March 1, 2022 Werner Baumann, CEO Wolfgang Nickl, CFO

  2. Slide 2: Cautionary Statements Regarding Forward-Looking Information

    Cautionary Statements Regarding Forward-Looking Information This presentation may contain forward-looking statements based on current assumptions and forecasts made by Bayer management. Various known and unknown risks, uncertainties and other factors could lead to material differences between the ac

  3. Slide 3: FY 2021 Results: Business Update

    FY 2021 Results Business Update /////////// Werner Baumann, CEO

  4. Slide 4: Setting the Stage for Future Growth

    Setting the Stage for Future Growth 1 Strong Sales Growth Momentum 2 Progress on Innovation Agenda 3 Attractive Outlook for 2022 4 Bayer FY/Q4 2021 Investor Conference Call /// March 1st, 2022

  5. Slide 5: FY 2021 Results: Divisional Performance & Outlook

    FY 2021 Results Divisional Performance & Outlook /////////// Rodrigo Santos Stefan Oelrich Heiko Schipper

  6. Slide 6: Crop Science: Achieved Record Sales

    Crop Science: Achieved Record Sales Sales Sales EBITDA Key Messages InIn million €,€, million ∆% yoy, ∆% yoycpa. In million €, before special items • Substantial sales growth across all regions and business units Volume +7% • Herbicides (+15%) driven by higher prices 6% (+11% cpa) 20.207 amidst tigh

  7. Slide 7: Crop Science: Set to Perform and Transform in 2022

    Crop Science: Set to Perform and Transform in 2022 Sales Growth EBITDA-margin 2022 1 2022 1 (cpa) (before special items) Crop ~ 7% 25% - 26% Science Key Assumptions • Strong commodity prices expected to continue; 180-182m U.S. corn and soybean acres anticipated • Expected stronger than PY pricing in

  8. Slide 8: Pharmaceuticals: Strong Volume Expansion

    Pharmaceuticals: Strong Volume Expansion Sales Sales EBITDA Key Messages InIn million €,€, million ∆% yoy, ∆% yoycpa. In million €, before special items • Solid topline growth after COVID-19 related restrictions in prior year Volume +6% • Flagship products performed particularly +9% (+7% cpa) well,

  9. Slide 9: Pharma: Advances Launches and Pipeline in 2022

    Pharma: Advances Launches and Pipeline in 2022 Sales Growth EBITDA-margin 2022 1 2022 1 (cpa) (before special items) Pharmaceuticals 3% - 4% ~ 32% Key Assumptions • New launches to increasingly contribute to topline, EyleaTM expected to grow mid-single digit • Volume growth for XareltoTM to largely

  10. Slide 10: Consumer Health: Strong, Above Market Growth

    Consumer Health: Strong, Above Market Growth Sales Sales EBITDA Key Messages InIn million €,€, million ∆% yoy, ∆% yoycpa. In million €, before special items • Broad-based sales growth across regions and categories Volume +5% +3% • Standout performance of Nutritionals (+12%), (+7% cpa) two consecutiv

  11. Slide 11: Consumer Health: Continued Growth and Innovation Focus in 2022

    Consumer Health: Continued Growth and Innovation Focus in 2022 Sales Growth EBITDA-margin 2022 1 2022 1 (cpa) (before special items) Consumer 4% - 5% 22% - 23% Health Key Assumptions • Growth expected at the high end of mid-term guidance of 3%-5% • Growth dynamics to be weighted towards HY1 with low

  12. Slide 12: FY 2021 Results: Group Performance & Outlook

    FY 2021 Results Group Performance & Outlook /////////// Wolfgang Nickl, CFO

  13. Slide 13: Strong Business Performance in a Challenging Environment

    Strong Business Performance in a Challenging Environment Outlook 2021 FY 2020 as of Nov 2021 FY 2021 incl. currency impact Net Sales 41.4 ~ 43 44.1 in €bn; ∆% yoy +7% / +9% cpa EBITDA margin 27.7% ~ 25.5% 25.4% before special items Core EPS 6.39 6.10 – 6.30 6.51 in € Free cash flow1 1.3 ~ -0.5 – 1.4

  14. Slide 14: Attractive Outlook for 2022

    Attractive Outlook for 2022 Outlook Estimated at constant currencies1 currency impact2 Key Assumptions Net Sales ~ €46bn ~ +€1bn • Represents sales growth of ~5% cpa • Margin expansion despite inflationary cost pressure; EBITDA margin offset by pricing and efficiency measures ~26% not material (befo

  15. Slide 15: Investor Conference Call FY/Q4 2021 Results

    Investor Conference Call /////////// FY/Q4 2021 Results March 1, 2022 Werner Baumann, CEO Wolfgang Nickl, CFO

  16. Slide 16: FY 2021: Core EPS to EPS Bridge

    FY 2021: Core EPS to EPS Bridge in € -1.58 6.51 -4.86 -0.10 1.05 1.02 Core EPS Depreciation & Special items Special items Tax effect EPS (total)FY'2021 FY'2021 Amortization (EBITDA) financial result/ on adjustments (on IP & PPE) taxes 16 Bayer FY/Q4 2021 Investor Conference Call /// March 1st, 2022

  17. Slide 17: Guidance 2022: Other Group KPIs

    Guidance 2022: Other Group KPIs Outlook Estimated at constant currencies1 currency impact2 Special items (EBITDA) ~ €1.0bn not material Depreciation and amortization (clean) ~ €3.6bn +€0.1bn of which for intangible assets (clean) ~ €2.1bn +€0.1bn Core financial result ~ -€1.5bn not material Core tax

  18. Slide 18: FY 2021: Key KPIs Bayer Group

    FY 2021: Key KPIs Bayer Group FY 2020 FY 2021 Net Sales 41,400 44,081 EBITDA before special items 11,461 11,179 Special items -14,371 -4,770 Reported EBITDA -2,910 6,409 Depreciation & Amortization -13,259 -3,056 1 Reported EBIT -16,169 3,353 Amortization and impairment losses / loss reversals on 11

  19. Slide 19: FY 2021: Key KPIs by Division

    FY 2021: Key KPIs by Division Crop Science Pharmaceuticals Consumer Health Reconciliation Group [€ million] FY'20 FY'21 FY'20 FY'21 FY'20 FY'21 FY'20 FY'21 FY'20 FY'21 Sales 18,840 20,207 17,243 18,349 5,054 5,293 263 232 41,400 44,081 Sales by region: Europe / Middle East / Africa 4,053 4,205 6,940

  20. Slide 20: Q4 2021: Key KPIs Bayer Group

    Q4 2021: Key KPIs Bayer Group Q4 2020 Q4 2021 Net Sales 9,995 11,118 EBITDA before special items 2,392 2,395 Special items -368 -664 Reported EBITDA 2,024 1,731 Depreciation & Amortization -509 290 1 Reported EBIT 1,515 2,021 Amortization and impairment losses / loss reversals on 254 -651 1 intangib

  21. Slide 21: Q4 2021: Key KPIs by Division

    Q4 2021: Key KPIs by Division Crop Science Pharmaceuticals Consumer Health Reconciliation Group [€ million] Q4'20 Q4'21 Q4'20 Q4'21 Q4'20 Q4'21 Q4'20 Q4'21 Q4'20 Q4'21 Sales 4,176 4,690 4,476 4,951 1,250 1,405 93 72 9,995 11,118 Sales by region: Europe / Middle East / Africa 545 573 1,918 2,127 452

  22. Slide 22: Q4 2021: Strong Growth and Cash Flow Performance

    Q4 2021: Strong Growth and Cash Flow Performance Sales EBITDA Core EPS Free Cash Flow In million €, ∆% yoy In million €, before special items In €, Cont. Operations In million € +11% (+8% cpa) 11.118 9.995 +0% 2.392 2.395 1900 1.535 -5% 1400 1,32 1,26 900 400 23.9% 21.5% -100 Q4'20 Q4'21 -600 -503 Q

  23. Slide 23: Crop Science Q4: LATAM and APAC Drive Excellent Growth

    Crop Science Q4: LATAM and APAC Drive Excellent Growth Sales Sales EBITDA Key Messages InIn million €,€, million ∆% yoy, ∆% yoycpa. In million €, before special items • Latin America and Asia / Pacific +12% contributed double-digit sales growth Volume (+9% cpa) -1% 4.690 • Higher volumes in Latin Am

  24. Slide 24: Pharmaceuticals Q4: Healthy Volume Trends of Top Brands

    Pharmaceuticals Q4: Healthy Volume Trends of Top Brands Sales Sales EBITDA Key Messages InIn million €,€, million ∆% yoy, ∆% yoycpa. In million €, before special items • Another recovery quarter after COVID-19 related restrictions in prior year Volume +11% +8% (+8% cpa) • EyleaTM +14%, supported by

  25. Slide 25: Consumer Health Q4: Strong Business Performance Continues

    Consumer Health Q4: Strong Business Performance Continues Sales Sales EBITDA Key Messages InIn million €,€, million ∆% yoy, ∆% yoycpa. In million €, before special items • Continued growth momentum across regions and categories Volume +12% +5% • Nutritionals (+7%) remain key growth driver (+9% cpa)

  26. Slide 26: Innovation

    Innovation 26 Bayer FY/Q4 2021 Investor Conference Call /// March 1st, 2022

  27. Slide 27: Key Pharma R&D Developments in Q4 2021

    Key Pharma R&D Developments in Q4 2021 • Ongoing strong launch momentum in the US Kerendia (Finerenone) • Received A recommendation in ADA guidelines based on FIDELIO-DKD trial • Received positive CHMP opinion for patients with chronic kidney disease and type 2 diabetes • Ongoing strong launch momen

  28. Slide 28: Pharmaceuticals Division: Overview Development Portfolio (as of March 2022)

    Pharmaceuticals Division: Overview Development Portfolio (as of March 2022) Phase I (23) Phase II (14) Phase III (10) Elimusertib (ATR Inhibitor) Regorafenib* (combi Nivolumab) Darolutamide (AR Inhibitor) /// Solid tumors (recurrent or metastatic) /// Prostate Cancer (mHSPC) (ARASENS) Regorafenib* (

  29. Slide 29: Crop Science Division: R&D Pipeline (Seed & Traits)

    Crop Science Division: R&D Pipeline (as of February 2022) Key Corn Seed & Traits, Soybean Seed & Traits and Other Projects with ~€19-€21bn Peak Sales Potential; ~50% Incremental Phase I Phase II Phase III Phase IV Life Cycle Mgmt.1 Digital Disease Mgmt. – NA 5th Generation Lepidoptera Protection Tra

  30. Slide 30: Crop Science Division: R&D Pipeline (as of February 2022)

    Crop Science Division: R&D Pipeline (as of February 2022) Key Crop Protection Projects with ~€9bn Peak Sales Potential; ~50% Incremental Phase I Phase II Phase III Phase IV Life Cycle Management1 New AI Development Non-Selective Glyphosate LCM New Herbicide New Herbicide (Post-Emergence Broad Acre)

  31. Slide 31: Consumer Health Division: Accelerating Growth with Innovation

    Consumer Health Division: Accelerating Growth with Innovation Selected Examples of Recent Launches or Approvals Astepro Rx-to-OTC Switch AleveX Topical Pain Relief Solutions Bepanthen extension to Dry Skin (launch in 2022) (launched 2021) (launched 2021)  First OTC Steroid-Free Antihistamine  Expa

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