Slide 1: Full Year Results 2020
< Full Year Results 2020 February 9, 2021
Slide 2: Agenda ‒ FY 2020
DKSH FY 2020 I Agenda Agenda ‒ FY 2020 1. Performance and development 2. Business Unit updates 3. Financial review 4. Outlook Page 2
Slide 3: DKSH continues to successfully navigate the crisis
DKSH FY 2020 I Performance and Development DKSH continues to successfully navigate the crisis While the macro environment was very challenging… … DKSH presents solid results in 2020 Intensity of COVID-19 restrictions1 GDP+ performance Europe Asia-Pacific 1 Net sales -2.1% vs. "Asian" GDP -5.0%2 Robu
Slide 4: Key developments in 2020
DKSH FY 2020 I Performance and Development Key developments in 2020 Business Units Diligent strategy implementation Markets Higher share in faster growing markets People New Identity and HR strategy Digital All Business Units online & digitizing Sustainability Stronger Sustainability progress Page 4
Slide 5: Accelerating digitization
DKSH FY 2020 I Performance and Development Accelerating digitization Exceeding our eCommerce sales target in 2020… … while digitizing DKSH for the «new normal» eCommerce sales in CHF million 3-4%* 3.0% >15x > 200 1.6% 1.2% > 270 webinars > 125 0.7% > 90 Shifting our sales and marketing > 2,800 digit
Slide 6: M&A strategy delivers shareholder value
DKSH FY 2020 I Performance and Development M&A strategy delivers shareholder value M&A annualized net sales (in CHF million) Benefits of recent acquisitions 300 1 2 3 4 Value Expansion Attractive 200 accretive potential multiples Acquisitions since 2017: 100 3 2 2 1 1 1 0 2014 2015 2016 2017 2018 20
Slide 7: Business Unit Healthcare
DKSH FY 2020 I Business Units Business Unit Healthcare Healthcare Net Sales EBIT (in CHF million) (in CHF million) • Resilient sales performance despite lower patient traffic and lack of medical tourism -5.1%¹ +0.4%¹ • Solid EBIT a result of new client wins and cost discipline 6’014.9 5’424.1 134.5
Slide 8: Business Unit Consumer Goods
DKSH FY 2020 I Business Units Business Unit Consumer Goods Consumer Goods Net Sales EBIT (in CHF million) (in CHF million) Fast Moving Consumer Goods (FMCG) • Transformation on track with FMCG delivering strong -1.4%¹ +1.2%¹ EBIT growth and higher margins 4’120.9 3’827.6 • Strategic client wins – eC
Slide 9: Business Unit Performance Materials
DKSH FY 2020 I Business Units Business Unit Performance Materials Performance Materials Net Sales EBIT (in CHF million) (in CHF million) • Another year of net sales and EBIT growth • Further expanding position as a leading specialty 15.1%¹ +7.0%¹ chemicals and ingredients distributor 1’108.0 89.7 91
Slide 10: Business Unit Technology
DKSH FY 2020 I Business Units Business Unit Technology Technology Net Sales EBIT (in CHF million) (in CHF million) • Business impacted by COVID-19 • High single-digit million cost savings realized -6.7%¹ -13.8%¹ • Focus on growing segments: scientific instrumentation, 431.9 382.5 26.8 precision mach
Slide 11: Solid financial results 2020
DKSH FY 2020 I Financials Solid financial results 2020 Net sales EBIT Profit after tax Free Cash Flow RONOC (in CHF billion) (in CHF million) (in CHF million) (in CHF million) (in percent) -2.1%¹ +2.4%¹ -1.8%¹ +34.1% -160ppt 11.6 176.1 164.8 265.4 257.5 210.2 19.7 10.7 18.1 156.7 2019 2020 2019 2020
Slide 12: Stable net sales in unprecedented times
DKSH FY 2020 I Financials Stable net sales¹ in unprecedented times Net sales (in CHF million) 11’579.2 -4.2% +2.1% -5.1% 10’742.2 -2.1% at CER¹ 2019 Organic M&A FX 2020 ¹ At constant exchange rates (CER) Organic: Difference 2020 figures to 2019 figures excluding M&A and FX M&A: Acquisition Auric Pac
Slide 13: Resilient EBIT performance
DKSH FY 2020 I Financials Resilient EBIT performance EBIT (in CHF million) -6.0% -4.0 +3.1% -5.1% +6.0 -4.0 -2.9% at CER¹ 279.9 265.4 265.4 262.3 262.3 257.5 257.5 2019 Restructuring Adjusted Organic M&A FX 2020 Consumer Goods 2019 ¹ At constant exchange rates Organic: Difference 2020 figures to 201
Slide 14: Low capital intensity and sound cash generation
DKSH FY 2020 I Financials Low capital intensity and sound cash generation Capex / net sales (in %) Free Cash Flow (in CHF million)1 0.8% 250 210.2 200 0.6% 156.7 139.5 140.6 Average 0.4% 150 128.8 0.4% 0.6% 100 0.5% 0.2% 0.4% 0.4% 0.4% 0.4% 0.4% 0.3% 50 0.2% 0.0% 0 2012 2013 2014 2015 2016 2017 2018
Slide 15: Continued strong balance sheet
DKSH FY 2020 I Financials Continued strong balance sheet in CHF million 2019 2020 Major changes in 2020: Cash/Liquid assets 592.6 680.8 • Dividend payment of CHF 123.6 million Trade receivables 2,241.2 2,015.9 • Acquisition payments of CHF 63.7 million Inventories 1,236.9 1,151.8 Intangibles 298.5 2
Slide 16: Additional financial indications
DKSH FY 2020 I Financials Additional financial indications 2021 Mid-term Comments 2019 2020 estimate estimate M&A Further M&A Contributions of closed +1.8% +2.1% +0.1%1 (net sales contribution) ambitions acquisitions FX +1.8% Mainly translational (net sales contribution) -5.1% 0%2 n.a. effect to Swi
Slide 17: Ordinary dividend 2020 is 2.6% higher than last year
DKSH FY 2020 I Dividend Ordinary dividend 2020 is 2.6% higher than last year 1 1.90 1.95 1.85 CAGR 16.9% 1.65 1.50 1.30 1.15 0.95 0.80 0.65 0.50 0.35 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Note: Ordinary dividend per share. The chart takes into account share split 1:100, effecti
Slide 18: Future prospects
DKSH FY 2020 I Outlook Future prospects Limited visibility on the evolution of the pandemic DKSH positioned for future value generation • Duration and impact of COVID-19 remain unclear • Proven asset-light and cash-generative business model • EBIT in 2021 expected above last year, assuming: • High s
Slide 19: Disclaimer
Disclaimer While this presentation has been prepared by DKSH with due care and based on information it reasonably believes to be accurate, complete and up-to-date on the date hereof, this presentation may be inaccurate or incomplete or contain typographical errors or information that is not up-to-da