Slide 1: Borouge Analyst & Investor Presentation
ADNOC Classification: Public BOROUGE ANALYST & INVESTOR PRESENTATION FOR THE THREE-MONTH AND NINE-MONTH PERIODS ENDED 30 SEPTEMBER 2022
Slide 2: Disclaimer
ADNOC Classification: Public DISCLAIMER This presentation has been prepared by the Borouge PLC and its subsidiaries (the “Company”) based on publicly available information and non-public information to assist you in making a preliminary analysis of the content referenced herein solely for informatio
Slide 3: Agenda and Presenters
ADNOC Classification: Public AGENDA AND PRESENTERS Hazeem Sultan Al Suwaidi 1 Strategic Overview Chief Executive Officer 2 Market Update Rainer Hoefling Chief Marketing Officer 3 Operational Highlights 4 Financial Highlights Saeed Al Dhaheri Chief Financial Officer 5 Summary 6 Appendix Louis Roland
Slide 4: Strong Q3 Sales in Challenging Market Environment
ADNOC Classification: Public STRONG Q3 SALES IN CHALLENGING MARKET ENVIRONMENT Highlights from the three and nine months ended 30 September 2022 Revenue growth of 8% y-o-y in Q3 22 (-10% q-o-q) driven by growing sales $5,134m volumes, despite weak operating environment 9M 22 revenue at 14% y-o-y gro
Slide 5: Polyolefins Market & Premia Update
ADNOC Classification: Public POLYOLEFINS MARKET & PREMIA UPDATE Product Prices and Premia Evolution Commentary 1,518 1,394 1,435 1,393 1,337 1,322 1,309 1,319 1,271 1,124 1,155 1,133 1,075 1,048 1,066 1,082 1,062 1,117 ▪ Q3 average selling price fell by 21% q-o-q for 967 949 Benchmark polypropylene
Slide 6: Operational Performance
ADNOC Classification: Public OPERATIONAL PERFORMANCE Sales Volumes(1) Commentary 1,849 1,943 +4.5% +4.5% ▪ 9M 22 sales volumes grew by 12% y-o-y, with Polyethylene record steam cracker performance in Q3 +5.1% (kt) 652 681 652 681 ▪ Q3 22 sales volumes higher for 9M 21 9M 22 Q3 21 Q3 22 Q2 22 Q3 22 p
Slide 7: Revenue & Profitability
ADNOC Classification: Public REVENUE & PROFITABILITY Key Metrics(1) Commentary (3) 5,134 PE PP Others 4,522 205 112 +8.0% -10.5% 2,035 Revenue 1,852 1,551 1,674 1,870 ▪ 9M 22 revenue increase of 14% y-o-y and 8% +13.5% 1,674 ($m) 12 85 86 in Q3 vs. Q2, primarily driven by higher 85 2,559 2,894 644 6
Slide 8: Costs
ADNOC Classification: Public COSTS Key Metrics(1) Commentary (3) % of Revenue 42.1% 46.5% 44.1% 51.4% 42.3% 51.4% 2,388 ▪ Cost of sales increased in Q3 22 vs Q2 22 1,903 and Q3 21 in absolute terms and as a +25.9% +8.6% Cost of Sales percentage of revenue ($m) +25.5% 860 792 860 683 ▪ Q3 22 costs in
Slide 9: Capex & Free Cash Flow
ADNOC Classification: Public CAPEX & FREE CASH FLOW Key Metrics(1) Commentary 156 113 +33.6% +165.0% -27.6% 22 29 29 Capital Expenditure ($m) • Cashflow conversion was high, reflecting -44 low capital expenditure in the period given recent project completions, including PP5 9M 21 9M 22 Q3 21 Q3 22 Q
Slide 10: Outlook
ADNOC Classification: Public OUTLOOK ▪ We recognize signs of slowing economic activity in developed markets, however, economic activity in our core markets of the Asia Pacific and Middle East remains robust Market ▪ Stable polyolefin demand growth expected following the potential easing of restricti
Slide 11: Summary
ADNOC Classification: Public SUMMARY Resilient Operational Tactical and Innovation- Confident in performance, excellence flexible driven business delivering despite driving response to model, dividend challenging volume market demand focussed on commitments market growth differentiated for FY 2022 e
Slide 12: Thank You
ADNOC Classification: Public THANK YOU www.borouge.com/en/investor-relations investorrelations@borouge.com