Slide 1: 3rd quarter 2019 results announcement
rd 3 quarter 2019 results announcement TOMRA Systems ASA 21 October 2019 © TOMRA
Slide 2: Highlights from the quarter
HIGHLIGHTS FROM THE QUARTER 2
Slide 3: Highlights from the quarter
Highlights from the quarter Revenues • Revenues of 2,378 MNOK (2,247 MNOK in third quarter 2018) – up 6% Adjusted for currency, revenues were: - Up 2% for TOMRA Group - Up 5% in TOMRA Collection Solutions - Down 1% in TOMRA Sorting Solutions Gross margin • Gross margin 45%, up from 44% in third quar
Slide 4: Highlights Collection Solutions
Highlights Collection Solutions Business drivers Public pressure to reduce waste and littering, handling single-use plastics and deposit legislation being the solution P/L • Revenues of 1,238 MNOK, up from 1,135 MNOK in third quarter 2018 - Revenues up 5% in local currencies due to higher activity i
Slide 5: Latest update on selected new container deposit markets
Latest update on selected new container deposit markets Western Australia Scotland Portugal England France • September 2016, the • September 2017, First • December 2018, the • March 2018, UK • June 2019, State government announced Minister Nicola Sturgeon Government published Environment Secretary S
Slide 6: Highlights Sorting Solutions
Highlights Sorting Solutions P/L Food Recycling & Mining • Revenues equaled 1,140 MNOK in • Business drivers: growing population • Business drivers: Growth in waste third quarter 2019, up 3% year-over- and more demanding consumers, volume combined with stronger year need to increase yield, productiv
Slide 7: Circular Economy Shaper – Alliance to End Plastic Waste
Circular Economy Shaper – Alliance to End Plastic Waste 7
Slide 8: Financials and outlook
FINANCIALS AND OUTLOOK 8
Slide 9: Currency risk and hedging policy
Currency risk and hedging policy 10% change in NOK towards other +7.5% currencies will impact: Positive Revenues Expenses EBITA impact from EUR* 4.5% 4.0% 7.0% stronger +2.8% USD 3.5% 2.5% 8.0% USD vs EUR OTHER** 2.0% 3.0% -4.0% ALL 10.0% 9.5% 11.0% 3Q18 4Q18 1Q19 2Q19 3Q19 HEDGING POLICY *Average r
Slide 10: Financial highlights | P&L statement
Financial highlights | P&L statement 3rd quarter YTD 9 months Amounts in NOK million 2019 2018 2018 Adj* 2019 2018 2018 Adj* Revenues 2,378 2,247 2,332 6,777 6,129 6,346 Collection Solutions 1,238 1,135 1,178 3,368 3,124 3,228 Sorting Solutions 1,140 1,112 1,154 3,409 3,005 3,117 Gross contribution
Slide 11: Collection Solutions financials
Collection Solutions financials 3rd quarter YTD 9 months Amounts in NOK million 2019 2018 2018 Adj* 2019 2018 2018 Adj* Revenues 1,238 1,135 1,178 3,368 3,124 3,228 Northern Europe 153 147 458 457 Europe (ex Northern) 449 433 1,210 1,245 North America 502 467 1,290 1,202 Rest of the world 134 88 410
Slide 12: Sorting Solutions financials
Sorting Solutions financials 3rd quarter YTD 9 months Amounts in NOK million 2019 2018 2018 Adj* 2019 2018 2018 Adj* Revenues 1,140 1,112 1,154 3,409 3,005 3,117 Europe 459 423 1,344 1,107 America 398 410 1,185 1,166 Asia 118 136 411 339 Rest of the world 165 143 469 393 Gross contribution 528 511 5
Slide 13: Development in order intake and order backlog
Development in order intake and order backlog Order intake Order backlog Revenues • TOMRA Sorting Solutions (TSS): - Revenues of 1,140 MNOK, up from 1,112 MNOK last year - Order intake of 1,224 MNOK in the quarter, compared to 1,105 MNOK last year - Order backlog of 1,430 MNOK by the end of third qu
Slide 14: Financial highlights | Balance sheet and cash flow
Financial highlights | Balance sheet and cash flow With IFRS 16 Without IFRS 16 30 Sept 30 Sept 30 Sept 31 Dec Amounts in NOK million 2019 2019 2018 2018 ASSETS 11,284 10,211 9,117 9,595 Intangible non-current assets 3,800 3,787 3,653 3,821 Tangible non-current assets 2,409 1,350 1,129 1,276 Financi
Slide 15: Bond issue to refinance existing debt
Bond issue to refinance existing debt • Signed mandate letter with DNB Markets and SEB 3,000 • Execution during fourth quarter 2019 • Size and maturity dependent upon investor interest and markets conditions: 2,500 In April 2019, TOMRA signed an EUR o Up to 1,000MNOK 110m loan agreement with one-yea
Slide 16: Outlook
Outlook • Overall stable business Collection Solutions • Increased operating expenses due to ramping up in new markets • Good momentum within Recycling Sorting Solutions • Slightly improved momentum in Food, but with regional differences • Reporting in NOK and with some NOK cost base, TOMRA will in
Slide 17: Q&A
Q&A 17
Slide 18: Copyright and Disclaimer
Copyright The material in this Document (which may be a presentation, video, brochure or other material), hereafter called Document, including copy, photographs, drawings and other images, remains the property of TOMRA Systems ASA or third-party contributors where appropriate. No part of this Docume