Metso Corporation · OMXHEX:METSO

Metso — Investor Day (November 2020)

21 slides from Metso's investor day presentation, Nov 11, 2020

  1. Slide 1: Capital Markets Day 2020

    November 11, 2020 Capital Markets Day 2020

  2. Slide 2: Forward looking statements

    Forward looking statements It should be noted that certain statements herein which are not historical facts, including, without limitation, those regarding expectations for general economic development and the market situation, expectations for customer industry profitability and investment willingn

  3. Slide 3: Creating an industry leader with strong performance

    Capital Markets Day November 11, 2020 Creating an industry leader with strong performance Pekka Vauramo President and CEO

  4. Slide 4: Our purpose: Enabling sustainable modern life

    Our purpose Enabling sustainable modern life November 11, 2020

  5. Slide 5: Our vision

    Our vision To be customers’ number-one choice for sustainable use of earth’s natural resources. Together we deliver service, reliability, innovation and results – safely. November 11, 2020

  6. Slide 6: Our strategy

    Our strategy November 11, 2020

  7. Slide 7: Target to be industry leading company with strong financial performance

    Target to be industry leading company with strong financial performance Adjusted EBITA Maintaining margin of investment >15% grade credit over the cycle rating Dividend payout of Progress in sustainability at least in alignment with the 50% 1.5°C of earnings per share commitment November 11, 2020

  8. Slide 8: Strategy will be implemented via TOP Priorities

    Strategy will be implemented via Performance Integration and TOP Priorities culture financial performance Tier-1 company Sustainability Customer centricity November 11, 2020

  9. Slide 9: Our key strengths provide a strong base…

    Our key strengths provide a strong base… Widest offering Leading services Customer base Strong technology Scale & financial and capabilities expertise and strong brand and R&D power position November 11, 2020

  10. Slide 10: ...which is supported by focused organization with clear roles and responsibilities

    ...which is supported by focused organization with clear roles and responsibilities Business areas Market • P&L responsibility • Offering • Go-to-market models • R&D 5 areas • Customer service • Sales & account management 8 • Local operations • Scale benefits Global functions • Best practices • Glob

  11. Slide 11: Our strong portfolio with aftermarket opportunities

    Our strong portfolio with aftermarket opportunities Aggregates Minerals processing Metals 25% of sales 63% of sales 8% of sales Global #1 Global #1 Global #1 Aftermarket potential Aftermarket potential Aftermarket potential ~35-45% ~60-70% ~30-40% Note: sales split year-to-date 2020, excluding Recyc

  12. Slide 12: Emphasizing services and product development

    Emphasizing services and product development CONTINUOUSLY FOCUS ON PRODUCT GROW SERVICES DEVELOPMENT • Reinforce presence in Insert Background Picture • Building on our end-to- service-intensive Forend process best knowledge result, use businesses an image that is 16:9 • Standardized and pre- • Prof

  13. Slide 13: Action taken in Metals & Recycling

    Action taken in Metals & Recycling • Metals’ performance has been unsatisfactory • Restructuring and turnaround initiated • Business scope and cost structure to be addressed • Recycling business to be divested as a result of portfolio assessment • Target to find a new owner to leverage the full pote

  14. Slide 14: Our core industries have a solid growth outlook…

    Our core industries have a solid growth outlook… AGGREGATES MINERALS PROCESSING METAL REFINING – equipment market growth – equipment market growth – equipment market growth EUR billion EUR billion EUR billion 10 4 ~6 6 ~8-10 8 ~3 5 ~7 CAGR CAGR ~2-3 CAGR 19-23F 6 19E-23F 19E-23F 4 4-6% 2 3-6% 3-6% 4

  15. Slide 15: …and our exposure is balanced…

    …and our exposure is balanced… ~80% of sales spread across 4 major applications 9% 10% 30% Copper Aggregates Iron Gold Battery metals 13% Other metals 24% 14% Excluding recycling and other industries November 11, 2020

  16. Slide 16: …between three major growing metals…

    …between three major growing metals… MINING CAPEX PRODUCTION 2019-2023 Current market Share of M:O sales M:O addressable market, EUR billion balance COPPER (total committed) 24 21 Slight oversupply Mt +4% Deficit expected >2023 30% 2019 2023 ~8-10 ~7 CAGR IRON ORE 2.534 3-6% 2.423 Mt Slight oversupp

  17. Slide 17: …and a good position in fast-emerging battery metal processing and recycling markets

    …and a good position in fast-emerging battery metal processing and recycling markets GLOBAL LI-ION DEMAND 2019-30, Mt Current market Future market BATTERY CELL balance balance NICKEL DEMAND (battery-grade / +23% p.a. HPAL route) GWh 1.19 Slight oversupply Shortage of battery-grade is expected after

  18. Slide 18: Our commitment to the 1.5 °C journey

    Our commitment to the 1.5 °C journey Handprint: Sustainable offering and innovations Energy Water Offering in Safe efficiency and efficiency circularity operations emissions Footprint: Responsible and trusted partner Environmental Responsible Engaged Health and efficiency in procurement and diverse

  19. Slide 19: Maximizing value from digital opportunities

    Maximizing value from digital opportunities Customer engagement Connectivity, analytics Equipment & process Internal digital & experience and remote support optimization efficiency November 11, 2020

  20. Slide 20: Creating industry-leading company

    Creating industry- leading company • Solid strategy with unique offering and customer focus • Exposure to growing industries with focused portfolio • Emphasis on services and product development • Sustainability in key role in value creation • Delivering strong financial performance November 11, 202

  21. Slide 21: mogroup.com

    fe OO © CO Partner for positive change

Metso — Investor Day (November 2020) on 6ix