Basf Se · XETR:BAS
Basf — Investor Day (September 2024)
18 slides from Basf's investor day presentation, Sep 27, 2024
Slide 1: Industrial Solutions
DRAFT: September 13, 2024 Industrial Solutions Anup Kothari Member of the Board of Executive Directors BASF Capital Markets Day, September 2024
Slide 2: Cautionary note regarding forward-looking statements
Cautionary note regarding forward-looking statements This presentation contains forward-looking statements. These statements are based on current estimates and projections of the Board of Executive Directors and currently available information. Forward-looking statements are not guarantees of the fu
Slide 3: Industrial Solutions: Driving product performance for diversified end markets
Industrial Solutions Driving product performance for diversified end markets €8.0 billion sales in 2023 (share of main industries in %) Paints & coatings Construction Electronic materials Chemicals Plastics & rubber Paper coatings Automotive 17% 12% 10% 9% 8% 7% 6% Role in BASF portfolio We create v
Slide 4: Industrial Solutions has delivered strong earnings and high ROCE for BASF
Industrial Solutions has delivered strong earnings and high ROCE for BASF Sales (adj.1) EBITDA bsi (adj.1) 2019 – 2023 Strong performance Billion € Billion € during pandemic years … €1.2 billion 10.0 . 1.5 . Resilient supply Ø EBITDA bsi p.a. chain 7.5 . 1.0 . 5.0 . ~70% High asset availability Ø ca
Slide 5: We have built a strong, focused portfolio and are well positioned to accelerate value creation
We have built a strong, focused portfolio and are well positioned to accelerate value creation … will allow us to accelerate value Our diligent efforts in 2019 – 2023 … … creation in 2024 – 2028 Portfolio moves +40% Invested prudently in growth markets Paper & water Pigments Improved asset per-
Slide 6: Our strategic priorities for 2024 – 2028 will drive value creation for BASF Group
Our strategic priorities for 2024 – 2028 will drive value creation for BASF Group 1 Grow with leading 2Accelerate growth in 3 4 Leverage investments, market positions electronic materials Drive cost efficiencies drive capital efficiency Value creation share1 Value creation share1 Value creation shar
Slide 7: We have leading market positions in our key products
Grow with leading market positions 1 We have leading market positions in our key products Dispersions & Resins Performance Chemicals Oilfield chemicals & Coatings Electronic materials Fuels & lubricants Process catalysts Plastic additives mining solutions 45%1 9%1 18%1 12%1 11%1 5%1 Our key products
Slide 8: Key trends drive growing need for fit-for-purpose products
Grow with leading market positions Key trends drive growing need for fit-for-purpose products Dispersions & Resins Performance Chemicals Oilfield chemicals & Coatings Electronic materials Fuels & lubricants Process catalysts Plastic additives mining solutions ~3% ~5% ~1.5% ~3% ~3% ~2% Regulation Hig
Slide 9: Our business model enables us to win and grow with our customers
Grow with leading market positions Our business model enables us to win and grow with our customers We enable our customers to win … … by applying our strengths to their advantage Products Customer proximity Know-how + + Value creation through Performance Chemistry toolbox to enable Regional ass
Slide 10: Growth lever: New formulations that provide commercial and sustainability advantages for our customers
Grow with leading market positions Growth lever: New formulations that provide commercial and sustainability advantages for our customers Our HyCon® construction additives reduce the overall bill of materials Mortar bag weight composition Value composition of dry mortar (assumed % per ton) Value cre
Slide 11: Growth lever: Product solutions for electrified powertrains based on our strong application expertise
Grow with leading market positions Growth lever: Product solutions for electrified powertrains based on our strong application expertise Growth example: Coolants for BEV1 Electric powertrain Interior & Exterior HVAC housing Instrument panel Coolants first fill market Long-term thermal stabilizers
Slide 12: Growth lever: Enabling the green transformation by developing and supplying novel high-performance catalysts
Grow with leading market positions Growth lever: Enabling the green transformation by developing and supplying novel high-performance catalysts High-performance catalysts for thyssenkrupp Uhde’s leading EnviNOx® technology to reduce greenhouse gas emissions tons of nitrogen oxides generated by ~700,
Slide 13: We accelerate our growth in electronic materials by leveraging our global footprint close to key markets
Accelerate growth in electronic materials 2 We accelerate our growth in electronic materials by leveraging our global footprint close to key markets We focus on a selected portfolio in ultra-pure bulk chemicals and formulations with capabilities in close customer proximity Semiconductor market1 Bill
Slide 14: Our core capabilities differentiate and create value for our customers and for BASF
Accelerate growth in electronic materials Our core capabilities differentiate and create value for our customers and for BASF Our value proposition for our customers ensures customer retention … … and financial success Net sales +15% increase 2019 2023 Innovation Speed Investment execution Customer
Slide 15: We drive cost efficiencies to reduce the impact of inflation
Cost efficiencies 3 We drive cost efficiencies to reduce the impact of inflation Asset optimization Digitalization Procurement excellence Lean organization Operational excellence savings R&D Qualify additional suppliers Restructuring Site closures & optimization Operations Renegotiatio
Slide 16: We leverage recent investments in growth markets and drive capital efficiencies
Capital efficiency 4 We leverage recent investments in growth markets and drive capital efficiencies Location of key We will continue to invest at ~80% of investments in 2021 – 2023 depreciation in 2024 – 2028 -20% Expansion Optimization Business continuity Depreciation Capex 15 BASF Capital Markets
Slide 17: We are accelerating value creation in Industrial Solutions
We are accelerating value creation in Industrial Solutions 1 Grow with leading market positions +40% Targeted EBITDA bsi increase of 2 Accelerate growth in electronic materials €400 million 3 Drive cost efficiencies – €500 million by 2028 4 Leverage investments, drive 2023 2028 capital efficiency 16
Slide 18: BASF - We create chemistry
O- BASF We create chemistry