Syensqo Sa/nv · EURONEXT:SYENS
Syensqo Sa/nv — Q1 2025 Earnings Presentation
28 slides from Syensqo Sa/nv's earnings presentation, May 15, 2025
Slide 1: First Quarter 2025 Results
FIRST QUARTER 2025 RESULTS DR. ILHAM KADRI CHRISTOPHER DAVIS MAY 15, 2025 CHIEF EXECUTIVE OFFICER CHIEF FINANCIAL OFFICER
Slide 2: Disclaimer
DISCLAIMER This presentation may contain forward-looking information. Forward-looking statements describe expectations, plans, strategies, goals, future events or intentions. The achievement of forward-looking statements contained in this presentation is subject to risks and uncertainties relating t
Slide 3: Agenda
AGENDA Q1 2025 REVIEW 1 Q1 2025 FINANCIAL REVIEW 2 LOOKING AHEAD 3 3
Slide 4: First Quarter 2025 Review
DR. ILHAM KADRI CHIEF EXECUTIVE OFFICER FIRST 1 QUARTER 2025 REVIEW 4
Slide 5: First Quarter 2025 Highlights
FIRST QUARTER 2025 1.62bn NET -1% volumes € HIGHLIGHTS SALES 0% pricing Double digit growth in Composite Materials & Technology Solutions GROSS PROFIT 514mn € 31.7% margin 160 bps QoQ gross margin expansion driven by both Materials and Performance & Care 5% QoQ EBITDA growth, supported by higher pri
Slide 6: Updated Segment Reporting
UPDATED SEGMENT REPORTING Materials 74% Aligned with pure play speciality strategy & attractive growth markets FOUR GLOBAL BUSINESS UNITS MATERIALS PERFORMANCE & CARE Specialty Composite Technology 2024 Novecare EBITDA[1,2] Polymers Materials Solutions Performance & Care 26% € 2.6 bn € 1.2 bn € 1.4
Slide 7: First Quarter 2025 Segment Highlights
FIRST MATERIALS PERFORMANCE & CARE QUARTER ■ 10% YoY net sales growth in ■ 8% YoY net sales growth Composite Materials 2025 ■ Strong growth in both civil ■ Double digit YoY growth in Technology Solutions, SEGMENT and space & defense applications supported by share gains in mining HIGHLIGHTS ■ As exp
Slide 8: First Quarter 2025 Financial Review
CHRISTOPHER DAVIS CHIEF FINANCIAL OFFICER FIRST 2 QUARTER 2025 FINANCIAL REVIEW 8
Slide 9: First Quarter 2025 Financial Results
FIRST QUARTER 2025 FINANCIAL RESULTS Underlying (€ million) Q1 2025 Q1 2024 Q4 2024 YoY change YoY organic QoQ change Net sales 1,619 1,624 1,598 -0.3% -1.4% 1.3% Gross profit 514 583 482 -11.9% - 6.5% Gross profit margin 31.7% 35.9% 30.2% -420 bps - 160 bps Underlying EBITDA 311 363 298 -14.2% -15.
Slide 10: First Quarter 2025 Performance by Segment
FIRST QUARTER 2025 PERFORMANCE BY SEGMENT Materials Performance & Care [1] Other Solutions [2] Net Sales (€ million) Net Sales (€ million) Net Sales (€ million) EBITDA (€ million) & Margin (%) EBITDA (€ million) & Margin (%) EBITDA (€ million) & Margin (%) 10 [1] Performance & Care includes Novecare
Slide 11: First Quarter 2025 Underlying EBITDA Bridges
FIRST QUARTER 2025 UNDERLYING EBITDA BRIDGES Q1 2025 EBITDA (€ million) Q1 2025 EBITDA (€ million) Year-on-Year Sequential [1] [1] Q1 2024 Scope FX Q1 2024 Materials P&C Other Corporate Q1 2025 Q4 2024 Materials P&C Other Corporate Q1 2025 (constant Solutions Solutions scope & FX) 11 [1] Performance
Slide 12: Front Loaded Capex, Focused on Materials
FRONT LOADED CAPEX, FOCUSED ON MATERIALS € million Corporate Growth capex[1] Growth capital driven by Performance & Care Sustenance capex [2] ■ Tavaux expansion (completion in H2 2025): Other Solutions Materials ○ PVDF for automotive, oil & gas, electronics ○ PVDC for food & pharma packaging ■ Fluor
Slide 13: Cash Conversion Remains Robust
CASH CONVERSION REMAINS ROBUST € million Cash flow from operating activities Cash conversion [1] €167 million payment to the NJDEP in Q2 2024 Impact of €167 million payment to the NJDEP in Q2 2024 89% 1,107 80% 940 68% 774 LTM[2] Q1 2024 LTM Q1 2025 LTM[2] Q1 2024 LTM Q1 2025 13 [1] Cash conversion
Slide 14: Strong Financial Position
STRONG FINANCIAL POSITION Strong investment grade rating GEARING[2] S&P Stable outlook €1.7 bn 22% Underlying Net Debt undrawn committed € 2.3 bn BBB+ facilities Total cash & undrawn committed NET DEBT MOODY’S € 1.9 bn facilities leverage ratio [3] €0.6 bn Stable outlook cash[1] 1.4X Baa1 [1] Total
Slide 15: Looking Ahead
DR. ILHAM KADRI CHIEF EXECUTIVE OFFICER 3 LOOKING AHEAD 15
Slide 16: 2025 Outlook Unchanged
2025 OUTLOOK UNCHANGED SYENSQO OUTLOOK EXTERNAL FACTORS SYENSQO ACTIONS Excluding potential tariff impact & foreign exchange rates ■ Ongoing macro & end ■ Global footprint & demand uncertainty mitigation actions; limited EBITDA[1] direct cost impact at least € 1.4 billion ■ Direct impact expected[3]
Slide 17: Q&A
Q&A 17
Slide 18: Supplementary Information
SUPPLEMENTARY INFORMATION 18
Slide 19: First Quarter 2025 Key Figures
FIRST QUARTER 2025 KEY FIGURES IFRS Underlying (€ million) Q1 2025 Q1 2024 % YoY Q1 2025 Q1 2024 % YoY YoY organic Net sales 1,619 1,624 -0.3% 1,618 1,624 -0.3% -1.4% EBITDA 223 317 -29.6% 311 363 -14.2% -15.1% EBITDA margin 13.8% 19.5% -570 bps 19.2% 22.3% -310 bps -310 bps EBIT 62 173 -64.1% 183 2
Slide 20: First Quarter 2025 EBITDA to Free Cash Flow Bridge
FIRST QUARTER 2025 EBITDA TO FREE CASH FLOW BRIDGE € million Growth: -€93m Sustenance: -€83m Underlying Capex Change in Change in Financing Taxes FCF to EBITDA Working Capital Provisions & Other shareholders 20
Slide 21: Segment Performance: Materials
SEGMENT PERFORMANCE Materials The year-on-year decrease was primarily due to lower volumes in Specialty Polymers. This was partially offset by net sales growth in Composite Materials, driven by higher pricing and volumes YoY YoY QoQ Underlying (€ million) Q1 2025 Q1 2024 Q4 2024 change change change
Slide 22: Segment Performance: Performance & Care
SEGMENT PERFORMANCE Performance & Care Net sales increased by 8% on both a reported and organic basis compared to the first quarter of 2024, driven by higher volumes and, to a lesser extent, higher pricing in both Novecare and Technology Solutions YoY YoY QoQ Underlying (€ million) Q1 2025 Q1 2024 Q
Slide 23: Segment Performance: Other Solutions
SEGMENT PERFORMANCE Other Solutions Net sales declined by 2% organically versus the first quarter of 2024 as higher volumes in Oil & Gas was offset by lower volume and pricing in Aroma Performance YoY YoY QoQ Underlying (€ million) Q1 2025 Q1 2024 Q4 2024 change change change (%) (org %) (%) Net Sal
Slide 24: First Quarter 2025 Regional Sales Mix
FIRST QUARTER 2025 REGIONAL SALES MIX ASIA & REST OF AMERICAS THE WORLD EUROPE 1 2 3 43% net sales 33% net sales 24% net sales [1] +2.6% YoY -2.1% YoY -6.7% YoY [1] [1] industrial industrial industrial 36 sites 12 sites 14 sites major major major 4 R&I centers 3 R&I centers 5 R&I centers 24 [1] Net
Slide 25: Balanced Debt Maturity Profile
BALANCED DEBT MATURITY PROFILE In € or $ million or in % $600 $600 €500 €500 5.85% 5.65% 4.25% 3.95% 2.75% 2.50% Early redemption at par as of Feb 1, 2025 $163 2025 Dec 2026 Dec 2028 Jun 2030 2031 2032 2033 Jun 2025 2027 2029 2034 $ € € $ $ Senior Perp. Senior Senior Senior note Hybrid Note note not
Slide 26: Glossary
GLOSSARY ■ Cash flow from operating activities, or Operating cash flow are those generated from/(used by) the principal revenue-producing activities of the Group and other activities that are not investing or financing activities ■ Cash conversion Is a ratio used to measure the conversion of EBITDA
Slide 27: Investor Relations
IMPORTANT DATES ■ May 19, 2025: Dividend payment date ■ July 31, 2025: Q2 2025 results ■ Nov 6, 2025: Q3 2025 results INVESTOR INVESTOR CONFERENCES & ROADSHOWS RELATIONS ■ June 3, 2025: Exane BNP CEO Conference in Paris ■ June 10-11, 2025: US East coast roadshow ■ June 19, 2025: London roadshow Sher
Slide 28: Thank You
THANK YOU 28