Aurubis Ag · XETR:NDA
Aurubis — Non-Deal Roadshow (May 2024)
46 slides from Aurubis's roadshow presentation, May 16, 2024
Slide 1: Aurubis AG Metals for Progress
Aurubis AG Metals for Progress Virtual Roadshow ODDO BHF May 16th, 2024
Slide 2: Aurubis production sites
Aurubis production sites Headquarters Primary Copper Recycling/Precious Metals Hamburg Pirdop Copper Products Lünen Olen Richmond Hamburg (DE) Beerse (BE) Olen (BE) Lünen (DE) Under construction Berango (ES) Beerse Berango Pirdop (BG) Aurubis ODDO BHF - virtual Roadshow | May 16th, 2024
Slide 3: Closing the loop is part of Aurubis' integrated business model
Closing the loop is part of Aurubis’ integrated business model 28 30 34 45 46 47 Ni Zn Se Rh Pd Ag Copper cathodes Concentrates Smelting and Nickel sulfate refining Selenium Sulfuric acid 50 82 79 78 75 52 Sn Pb Au Pt Re Te Further processing Scrap/ intermediates Metals for progress Continuous cast
Slide 4: Lower concentrate throughput due to shutdown with strong demand for wire rod
Lower concentrate throughput due to shutdown with strong demand for wire rod Change vs. Change vs. FY 2022/23 prior year FY 2022/23 prior year Concentrate processing1 2,319,000 t -5 % Gold 49 t +4 % Copper scrap/ 515,000 t -5 % Silver 921 t +1 % blister copper input2 Other recycling materials2 565,0
Slide 5: Executive summary of first 6 months 2023/24
Executive summary of first 6 months 2023/24 Aurubis' positive development continued in the second quarter 2023/24 Operating EBT Operating EBT positively influenced by increased TC/RCs for concentrates, a Operating ROCE higher metal result, a significant rise in the Aurubis copper premium coupled 6M
Slide 6: Aurubis' financial position enables our growth strategy
Aurubis’ financial position enables our growth strategy 6M 6M 2023/24 2022/23 Target ROCE1 % 10.0 14.13 15.0 Equity ratio % 54.2 56.6 > 40.0 (equity / total assets) Debt coverage2 0.2 -0.2 < 3.0 6M 6M Additional KPIs 2023/24 2022/23 Capital expenditure €m 317 179 Capital employed €m 3,683 3,176 (bal
Slide 7: Gross margin for the Group in 2023/24 YTD
Gross margin for the Group in 2023/24 YTD Breakdown of income components in the Aurubis Group 6M 2023/24 YTD (YTD prior-year figures) 32 % (32 %) Treatment charges for concentrate + 32 % (31 %) recycling input Metal result ~ € 1,105 million* (~ € 1,069 million*) 36 % (37 %) Premiums + products Prior
Slide 8: Overview of Group costs — further decrease in energy costs
Overview of Group costs — further decrease in energy costs Overview of cost/expense positions 6M 2023/24 YTD (YTD prior-year figures) 10 % (10 %) Depreciation and amortization 33 % (31 %) Personnel costs 11 % (13 %) Consumables ~ € 971 million* 12 % (13 %) (~ € 928 million*) External services 22 % (
Slide 9: Significantly lower energy costs in the first HY
Significantly lower energy costs in the first HY Breakdown of energy costs 6M 2023/24 (YTD prior-year figures) Key influencing factors for reduction of energy costs in 6M 2023/24: 66 % (59 %) Electricity − Active energy management/hedging incl. oxygen transactions 27 % (36 %) Natural gas − Indirect
Slide 10: Multimetal Recycling segment
Multimetal Recycling segment Breakdown of income components in MMR segment 6M 2023/24 YTD (YTD prior-year figures) 6M 6M Operating results 2023/24 2022/23 46 % (49 %) Refining charges 45% (44 %) EBIT €m 72 102 Metal result for recycling input EBT €m 75 103 ROCE1 % 10.3 15.5 Quantities Copper scrap /
Slide 11: Custom Smelting & Products segment
Custom Smelting & Products segment Breakdown of income components in CSP segment 6M 6M 6M 2023/24 YTD (YTD prior-year figures) Operating results 2023/24 2022/23 EBIT €m 234 168 27 % (25 %) Treatment charges EBT €m 235 171 for concentrate + 27 % (25 %) ROCE1 % 14.2 17.2 recycling input Metal result Q
Slide 12: Dividend for fiscal year 2022/23
Dividend for fiscal year 2022/23 Aurubis dividend (in € per share) Dividend yield (in %) 3.3 1.80 3.1 1.60 1.40 2.5 Aurubis' growth strategy requires high 1.30 2.2 investments in the coming years 1.25 2.0 Strategic projects ensure considerable increase in overall group profitability in the years to
Slide 13: Market outlook for 2023/24
Market outlook for 2023/24 We anticipate a reduced but sufficient concentrate supply for Aurubis from the mining side thanks to Copper our long-term sourcing strategy with the global mining industry. concentrates Our smelters are already well supplied into Q4 of FY 2023/24. Aurubis expects a subdued
Slide 14: EBT between € 380 million and € 480 million
FY 2023/24 guidance Our forecast range Operating EBT Operating ROCE between € 380 million between 10 % and € 480 million and 14 % Operating EBT Operating ROCE in € million in % Group 380–480 10–14 Multimetal Recycling 60–120 5–9 Custom Smelting & Products 410–470 19–23 Aurubis ODDO BHF - virtual Roa
Slide 15: Our strategy builds on Aurubis' sound mission and covers relevant aspects
Our strategy builds on Aurubis’ sound mission and covers relevant aspects for driving sustainable growth Secure Strengthen Pursue Core Business Core Business Growth Options Industry Leadership in Sustainability Enablers − Digitalization, automation, and “Plant of the Future” − Strategic resource man
Slide 16: Strategic investments and EBITDA impact to increase substantially
Strategic investments and EBITDA impact to increase substantially Short term Medium term Long term Currently approved Medium-term planning Until 2030 Strategic capex ~€ 1.7 billion Additional strategic capex is included Ambition and scale of our long-term approved in the medium-term planning and gro
Slide 17: Strong pipeline features advanced projects included in medium-term planning
Strong pipeline features advanced projects included in medium-term planning, plus wealth of nascent concepts to drive sustainable growth Strategic projects from development to implementation Research & Concept Basic No status Feasibility In implementation ideation development engineering Industrial
Slide 18: Timeline of strategic projects in implementation
Timeline of strategic projects in implementation Timeline for the commissioning of our strategic projects 2024 2025 2026 − Bleed treatment Olen Beerse (BOB) − Solar Park 4 (BG Pirdop) − Tankhouse Expansion (BE Olen) (BG Pirdop) − CRH (DE Hamburg) − Industrial Heat II (DE Hamburg) − Precious Metals R
Slide 19: Pursue growth options: Aurubis Richmond makes further visible progress
Pursue growth options Aurubis Richmond makes further visible progress Aurubis ODDO BHF - virtual Roadshow | May 16th, 2024
Slide 20: Aurubis Richmond, USA Visible progress
Aurubis Richmond, USA Visible progress — first important milestones achieved Aurubis ODDO BHF - virtual Roadshow | May 16th, 2024
Slide 21: Very attractive market environment: recycling materials to grow ~5% p.a. in North America
Very attractive market environment: Relevant recycling materials to grow at ~5 % p.a. in North America Pursuing growth in North America US-relevant recycling market Printed circuit boards Metal shredder supply Insulated copper (kt p.a.) (PCB) supply (kt p.a.) (kt p.a.) wire supply (kt p.a.) ~5% ~7%
Slide 22: Aurubis Richmond – the leading processor of electric and electronic recycling materials in the US
Aurubis Richmond – the leading processor of electric and electronic recycling materials in the US EBITDA p.a. Pursue Growth Options Investment ~ € 80 million (by 2025/26) ~ € 740 million Aurubis Richmond complements and expands our international integrated smelter ~ € 170 million network with a high
Slide 23: Secure and strengthen core business: Investments in the Hamburg site
Secure and strengthen core business: Investments in the Hamburg site Financial impacts − Timeframe: May–July 2024 − Capex: approx. € 235 million in FY 2023/24 ▪ Maintenance € 95 million ▪ H2-ready anode furnace around € 40 million ▪ Industrial heat system around € 100 million − EBT effect: approx. €
Slide 24: Aurubis expands Germany's largest industrial heat system and makes anode furnaces H2-ready
Aurubis expands Germany’s largest industrial heat system and makes anode furnaces H2-ready Aurubis ODDO BHF - virtual Roadshow | May 16th, 2024
Slide 25: New precious metal processing plant in Hamburg
New precious metal processing plant in Hamburg heightens security and enables additional strategic projects ~€ 300 million investment optimizes process chain and includes integrated security concept – multiple security levels for higher physical security Faster recovery of precious metals optimizes
Slide 26: Investments in the Pirdop site
Investments in the Pirdop site: Strategic investments and baseline investments Financial impacts – Capex: approx. € 400 million in FY 2023/24 ▪ Tankhouse expansion € 120 million ▪ Groundbreaking for PV modules 2 & 3 + expansion announcement for PV module 4 ▪ Optimization of slag processing at Aurubi
Slide 27: Start of tankhouse and solar park expansion
Start of tankhouse and solar park expansion Aurubis ODDO BHF - virtual Roadshow | May 16th, 2024
Slide 28: Complex Recycling Hamburg (CRH) – further optimization of smelting process
Secure core business: Complex Recycling Hamburg (CRH) – further optimization of smelting process CRH Aurubis ODDO BHF - virtual Roadshow | May 16th, 2024
Slide 29: CRH: Further optimization of the smelting process in Hamburg
Secure & strengthen core business CRH: Further optimization of the smelting process in Hamburg Secure Strengthen Core Business Core Business Investment EBITDA p.a. ~ € 190 million ~ € 40 million Aurubis is strengthening its core business and investing € 190 million for further (at full production) o
Slide 30: Test pilot for battery recycling in Hamburg
Pursue growth options Test pilot for battery recycling in Hamburg Battery recycling Aurubis ODDO BHF - virtual Roadshow | May 16th, 2024
Slide 31: Lithium-ion batteries – exceptional value hidden in complex recycling material
Lithium-ion batteries – exceptional value hidden in complex products, complex recycling material Batteries are complex scraps As the metal value in black mass is very high, that are of huge value capabilities to recover the value are essential Battery management system: Cu, Sn, Ag, Au, Pd Cables & c
Slide 32: Our innovative process for black mass leverages our integrated smelter network
Our innovative process for black mass leverages capabilities of our integrated smelter network Black mass Benefits of the unique Aurubis process Innovative process route for black mass that utilizes ozone Li recovery Lithium High lithium recovery through Graphite Graphite, lithium first extraction s
Slide 33: Our sweet spot in the battery recycling value chain
Our sweet spot in the battery recycling value chain is based on Aurubis’ core expertise Electric vehicle End-of-life assembly lithium-ion batteries We are developing a fully-fledged battery recycling supply and value chain Cell & battery Collection & First steps taken with Librec, a specialist manuf
Slide 34: Aurubis could enter the commercial market in the second half of this decade
In line with projected market growth, Aurubis could enter the commercial market in the second half of this decade Regional supply of black mass for recycling (in kt) Europe US & Canada 2,414 1,985 938 801 310 314 8 7 75 90 2020 2025 2030 2035 2040 2020 2025 2030 2035 2040 Further pilot test work cam
Slide 35: We continue to lead our industry in sustainability
We continue to lead our industry in sustainability – minimizing emissions and costs, maximizing opportunities in new business areas We continue to strengthen our position as the most efficient and sustainable multimetal producer worldwide 1 2 Sustainability is a We strive for balance fundamental par
Slide 36: The Copper Mark certification demonstrates our leadership
The Copper Mark certification demonstrates our leadership in sustainable production practices The Copper Mark launched Focus on steady improvement Aurubis Beerse and Solberg for copper producers in of the sector's production certification in 2023 March 2020 practices expected Basis: Joint Due Dilige
Slide 37: Leading the way with life cycle assessments and lower carbon footprints
Leading the way with life cycle assessments – and substantially lower carbon footprints than industry averages Copper cathodes (in kg CO2 eq./t Cu) Absolute Scope 1+2 CO2 emissions (in kt) 1,600 1,327 Global industry average Aurubis 800 2018 2022 2030 Scope 3 CO2 emissions (in kt)1 6,502 4,942 2022:
Slide 38: Our KPIs underline our sustainability ambitions
Our KPIs underline our sustainability ambitions and demonstrate momentum Absolute Scope 1+2 CO2 emissions Scope 3 CO2 emissions Air emissions (dust) (in kt) (in kt)1 (in g per t of multimetal Cu equivalent)2 56.5 1,600 6,502 48.0 1,327 4,942 40.1 1 2 3 4,113 800 2018 2022 2030 2018 2022 2030 2018 20
Slide 39: Aurubis AG Metals for Progress
Aurubis AG Metals for Progress
Slide 40: Financial calendar
Financial calendar − Q3 2023/24 August 5, 2024 − Annual Report 2023/24 December 5, 2024 − Annual General Meeting April 3, 2025 (preliminary) Aurubis ODDO BHF - virtual Roadshow | May 16th, 2024
Slide 41: Your IR contacts
Your IR contacts Angela Seidler Elke Brinkmann Ferdinand von Oertzen VP Investor Relations, Head of Investor Relations Senior Manager Investor Relations Corporate Communications +49 40 7883-2379 +49 40 7883-3179 & Sustainability e.brinkmann@aurubis.com f.vonoertzen@aurubis.com +49 40 7883-3178 a.sei
Slide 42: Overview of restated operating EBT Q1–Q4 2022/23
Overview of restated operating EBT Q1–Q4 2022/23 relevant only at Group and CSP level – New findings have resulted from the investigation into 3M 6M 9M 12M and clarification of the criminal activities against 2022/23 2022/23 2022/23 2022/23 (operating in €m) Aurubis. Aurubis Group – We now assume th
Slide 43: Scheduled shutdowns in the next 3 years
Scheduled shutdowns in the next 3 years EBT effect from scheduled shutdowns (in € million) Status: December 2023 FY 2023/24 FY 2024/25 FY 2025/26 Smelter May/July maintenance ~44 2024 Hamburg Anode furnace May/June ~6 Hamburg 2026 Smelter Apr/June maintenance ~24 2025 Pirdop KRS Lünen May 2024 ~10 M
Slide 44: Aurubis at a glance
Based in Hamburg, Aurubis AG The company’s main expertise Aurubis develops its leading market is in optimally processing position with a responsible concentrates and recycling at a glance approach to the environment, raw materials with people and resources complex qualities The company, which was fo
Slide 45: Primary copper production process
Primary copper production process Sulfuric acid plant Off-gas cleaning Copper scrap Copper concentrates Copper matte Blister copper (64 % Cu) (98 % Cu) Flash smelter Converter Anode furnace Copper Nickel sulfate (99.5 % Cu) Anode Cathode Anode slime Anode casting wheel Tankhouse Precious metal refin
Slide 46: Disclaimer
Disclaimer Forward-looking statements This document contains forward-looking statements that involve risks and uncertainties, including statements about Aurubis’ plans, objectives, expectations and intentions. Readers are cautioned that forward-looking statements include known and unknown risks and