Ansell Limited · ASX:ANN
Ansell — Shareholder Meeting (October 2018)
32 slides from Ansell's shareholder meeting presentation, Oct 18, 2018
Slide 1: Chairman's Address & CEO Presentation – 2018 AGM
18 October 2018 For personal use only Manager Companies Company Announcements Office Australian Securities Exchange Limited Level 4, Stock Exchange Centre 20 Bridge Street SYDNEY NSW 2000 Dear Sir / Madam ANSELL LIMITED: Chairman’s Address & CEO Presentation – 2018 AGM Please find attached the addre
Slide 2: Chairman's Address
ANSELL LIMITED 2018 ANNUAL GENERAL MEETING 18 OCTOBER 2018 CHAIRMAN’S ADDRESS Good afternoon, Ladies and Gentlemen. For personal use only My name is Glenn Barnes ‐ the Chairman of Ansell Limited. It is my great pleasure to welcome you to the 2018 Ansell Limited Annual General Meeting. The Company Se
Slide 3: Chairman's Address: Capital Deployment and Financial Performance
optimising our manufacturing operations; tight management of overheads; and investing in innovation and technology. With sound program management, our Transformation journey is well on target, delivering US$10 million in savings in fiscal year ending 2018 and we remain on target to meet or exc
Slide 4: Corporate Social Responsibility & Sustainability
In addition, there are many social and geopolitical forces for change making themselves felt around the world – challenging orderly interaction, commerce and trade. Your company which derives 95% of sales from international markets must, and is, dealing with these changes to position Ansell to susta
Slide 5: Board Succession
Ronnie has leveraged his deep knowledge and experience of management in a transnational environment, in addition to his keen sense of strategic focus, to help the business chart its path back to one of innovation and disciplined growth. The Board and management wish to acknowledge and thank Ronnie f
Slide 6: Remuneration and Closing
There is also increasing questioning of the value of remuneration programs that have significant stretch targets and rewards. With this in mind, the Board is conducting a thorough review of its remuneration programs to determine if better structures can be designed…and implemented with stakeholder s
Slide 7: Annual General Meeting - CEO Report
For personal use only Ansell Limited Annual General Meeting - CEO Report Magnus Nicolin – Chief Executive Officer 18 October 2018
Slide 8: Disclaimer
For personal use only FULL YEAR RESULTS F’18 Disclaimer The following presentation has been prepared by Ansell Limited (Ansell or the company) for information purposes only. The information contained in this presentation is a summary only and does not purport to be complete. It should be read in con
Slide 9: Ansell, The Safety Company
For personal use only FULL YEAR RESULTS F’18 Ansell, The Safety Company LOST TIME INJURY (LTI) ANSELL SAFETY EXPERTISE 0.8 Innovative products and Ansell The Chemical Guardian® platform Guardian® expertise combine to keep launched F’18 H2 to connect LTIs per 100 Employees per Annum 0.7 workers and h
Slide 10: Contents
For personal use only 01 Business Overview & Performance Summary CONTENTS 02 Strategy Execution 03 Business Update & Guidance 04 Ansell 125 05 Appendix
Slide 11: Business Overview & Performance Summary
For personal use only 01 Business Overview & Performance Summary
Slide 12: Statutory Results
For personal use only FULL YEAR RESULTS F’18 STATUTORY RESULTS Transformational Year; Positive Outcomes US Dollars Millions¹ F’17 F’18 Continuing Discontinued² Total Group Continuing Discontinued² Total Group Sales 1,374.5 225.2 1,599.7 1,489.8 57.7 1,547.5 EBIT 177.8 40.0 217.8 157.8 399.2 557.0 Pr
Slide 13: Financial Highlights
For personal use only FULL YEAR RESULTS F’18 Financial Highlights – EPS¹ already exceeds F’17 Total Company; Dilution from SW Sale has been fully offset Continuing Business SALES Adjusted¹ EPS Adjusted¹ ROCE % KEY POINTS • Delivering sustainable Sales & EBIT $1,489.8m 102.0¢ 12.9% growth 8.4% Report
Slide 14: Key Indicators and Recent Trends are Solid
For personal use only FULL YEAR RESULTS F’18 Ansell Key Indicators and Recent Trends are solid ORGANIC GROWTH GROWTH BRAND EVOLUTION EMERGING MARKET TRENDS 11% 11% Growth Brands expressed as a % of total sales 10% 9% 8% 6% F’17 F’18 % Org 5% $M $M Growth 3% 3% ‐1% 6.0% 3.9% 4.5% Emerging 2.3% 2.7% 3
Slide 15: Numerous Awards as Distributor Deals and Channel Partnership Scope Expands
FULL YEAR RESULTS F’18 For personal use only Numerous awards as Distributor Deals and Channel Partnership scope expands RECENT WINS CONTRIBUTING CUSTOMER RECOGNITION GOING FORWARD – OPTIMISE RESULTS • Partnerships contributing to improved growth • Multiple Industry Awards recognising • Further expan
Slide 16: Industrial Delivering Sales Expansion through Guardian & Innovation
For personal use only FULL YEAR RESULTS F’18 Industrial Delivering Sales Expansion through Guardian & Innovation STRONG SALES GROWTH & GLOBAL EXPANSION HYFLEX SALES AT ~$275M 5.2% Overall Organic Sales Growth +9% 3.1% in Mature Markets 11.7% in Emerging Markets 9.6% in Growth Brands ALPHATEC ACCELER
Slide 17: Healthcare Leveraging Synergies to Accelerate Growth
For personal use only FULL YEAR RESULTS F’18 Healthcare Leveraging Synergies to Accelerate Growth SALES GROWTH & EXPANDED GLOBAL FOOTPRINT NEW PRODUCT SALES 3.0% Strong Growth >100% Recent Launches Overall Organic • Microflex® High Chem • Microflex® High Chem Clean Sales Growth • GAMMEX® PI Hybrid™
Slide 18: Delivering Targeted Results
For personal use only FULL YEAR RESULTS F’18 D elivering Targeted Results FINANCIAL GOALS F’18 RESULT COMMENT 3-5% ORGANIC GROWTH PER 4.0% (CC) Focused growth strategy delivering ANNUM EBIT Growth Muted By Temporary High Raw Material Costs in F18 H1; Margins restored in F18 H2 18% (CC) Adjusted 5-10
Slide 19: Strategy Execution
For personal use only 02 Strategy Execution
Slide 20: Transformation Program and Investments Focused on Strengthening Three of Eight Dimensions
FULL YEAR RESULTS F’18 For personal use only Transformation Program and Investments Focused on Strengthening Three of Eight Dimensions STRONG BALANCE SHEET INDUSTRY LEADING CUSTOMER INTIMACY & CASH CONVERSION & SAFETY FOCUS 8. STRONG 1. BALANCE CUSTOMER SHEET INTIMACY WORLD-CLASS MANUFACTURING 2. BR
Slide 21: Strategic Model for Shareholder Value Creation
For personal use only FULL YEAR RESULTS F’18 Strategic Model for Shareholder Value Creation By Being Ansell will Business Performance Targeting Differentiated Gain Share 3‐5% Organic Growth p.a. (8 dimensions) • Organically through customer focus 5‐10% EPS Growth p.a. • By acquisition Focused ROCE i
Slide 22: Increasing Investment in Innovation, Manufacturing & Supply Chain Excellence
FULL YEAR RESULTS F’18 For personal use only Increasing Investment To Develop Ansell’s Market Leadership In Innovation, Manufacturing & Supply Chain Excellence CAPEX RISING TO $60-$65M P.A. for F’19 & F’20 M&A ACTIVITY – NO MATERIAL F’18 SPEND FIRST INVESTMENT PRIORITY IS IN BASE BUSINESS TARGETING
Slide 23: Transformation Program Delivering Above Plan
For personal use only FULL YEAR RESULTS F’18 Transformation Program Delivering Above Plan PROGRAM OBJECTIVES ANSELL TRANSFORMATION PROGRAM P&L Savings >$30m SAVINGS ACHIEVED Costs and Savings Additional Cash Benefits AND TARGETED STATUS VS TARGET¹ F’20 Target vs > $30m $M F’18 F’19 Forecast Base Yea
Slide 24: Market Update & Guidance
For personal use only 03 Market Update & Guidance
Slide 25: Business Update
For personal use only OCTOBER 2018 AGM MEETING – BUSINESS UPDATE Global Economy & Trade Update Performance Update Capital Deployment & Transformation Global economic conditions remain broadly supportive to growth Anticipate continued buyback activity through F’19 Continue to achieve good growt
Slide 26: F'19 EPS Guidance Update
For personal use only OCTOBER 2018 AGM MEETING – BUSINESS UPDATE F’19 EPS Guidance Update EPS RATIONALE F’19 GUIDANCE – EPS¢ F’19 EPS Adjusted2 EPS Guidance Range of $1.00 to $1.12 112.0 EPS delivery weighted to second half Higher raw material costs in F’19 H1 prior to full realisation of sell
Slide 27: Takeaways
For personal use only OCTOBER 2018 AGM MEETING – BUSINESS UPDATE Takeaways ANSELL SHAREHOLDER VALUE CREATION MODEL KEY TAKEAWAYS Organic growth momentum is based on solid execution of innovation, emerging market growth, distribution partnership and brand power. High cost commodities continue in
Slide 28: Ansell 125
For personal use only 04Ansell 125
Slide 29: Ansell Celebrating Years
For personal use only Ansell Celebrating 125 Years
Slide 30: Appendix
For personal use only 05 Appendix
Slide 31: Non Recurring Items Recorded in F'18
For personal use only FULL YEAR RESULTS F’18 Non Recurring Items Recorded in F’18 Growth Brands Continue Strong Performance +9% YoY $M Sales EBIT PA EPS Notes Total Group 1,547.5 557.0 484.3 336.8¢ Less - Gain on Sale of Sexual Wellness (398.2) (344.8) (239.8)¢ Sale Completed Sept 2017 Less - Stub P
Slide 32: For personal use only
For personal use only