Slide 1: FY 2023 Results Presentation
1 < FY 2023 Results Presentation
Slide 2: Disclaimer
FY 2023 RESULTS PRESENTATION 2 Disclaimer This document may contain forward looking information and statements about ACERINOX, S.A., its subsidiaries and/or its management, including but not limited to financial projections and estimates and their underlying assumptions, and statements regarding the
Slide 3: Acerinox: 2023 another milestone year
FY 2023 RESULTS PRESENTATION 3 Acerinox: 2023 another milestone year Financial & operating Strategy ESG Value added: Net sales Diversification through HPA Highest recognition by of €6.6 billion ● VDM record EBITDA EcoVadis: Platinum of €175 million award ● Potential Haynes EBITDA acquisition of €703
Slide 4: Contribution to circular economy and sustainable development
208 FY 2023 Results Presentation 4 Contribution to circular economy and sustainable development Sustainability targets 2030 360º Positive Impact Plan Eco-efficiency Engaged team, and Most significant culture, diversity, climate change sustainability initiatives and safety mitigation in 2023 GHG emissi
Slide 5: Q4 & FY 2023: Destocking cycle
FY 2023 Results Presentation 5 Q4 & FY 2023: Destocking cycle Q4 & FY MARKET HIGHLIGHTS STAINLESS STEEL Apparent demand of flat products up 7% YoY in Q4, down 20% in 2023 Inventories already normalized USA Imports of flat products down 28% in 2023 Less base price volatility Apparent demand of flat down
Slide 6: Q4 2023: Resilient results
FY 2023 Results Presentation 6 Q4 2023: Resilient results Reflects strategy of growth, diversification & strength Income statement Cash flow statement Balance sheet Strong Sales of €1.5 billion Net financial debt (NFD) operating cash flow reduction: of €260 million €159 million Resilient EBITDA of €96 mi
Slide 7: Q4 & FY 2023: Consolidated group highlights
FY 2023 Results Presentation 7 Q4 & FY 2023: Consolidated group highlights % Q4 23 / % FY 23 / Q4 2023 Q4 2022 Q4 22 FY 2023 FY 2022 FY 22 Melting production 486 397 +22% 1,946 2,190 -11% (thousands of metric tons) Remarkable Net sales 1,529 1,693 -10% 6,608 8,688 -24% 2023 EBITDA of €703 million: E
Slide 8: Q4 & FY 2023: Stainless steel highlights
FY 2023 Results Presentation 8 Q4 & FY 2023: Stainless steel highlights Million EUR % Q4 23 / % FY 23 / Q4 2023 Q4 2022 Q4 22 FY 2023 FY 2022 FY 22 Melting production 468 379 +24% 1,869 2,108 -11% (thousands of metric tons) Net sales 1,166 1,351 -14% 5,195 7,426 -30% FY EBITDA: EBITDA 50 70 -28% 533
Slide 9: Q4 & FY 2023: High-performance-alloys highlights
FY 2023 Results Presentation 9 Q4 & FY 2023: High-performance-alloys highlights Million EUR % Q4 23/ % FY 23/ Q4 2023 Q4 2022 Q4 22 FY 2023 FY 2022 FY 22 Melting production 18 19 -2% 76 82 -7% Record full-year (thousands of metric tons) EBITDA of €175 million Net sales 366 341 +7% 1,437 1,262 +14% E
Slide 10: Q4 & FY 2023: Capital allocation
FY 2023 Results Presentation 10 Q4 & FY 2023: Capital allocation Million EUR Q4 Q4 Highlights Strong operating cash flow (OCF) of €260 million Debt reduction of €159 million driven by €258 million operating working capital (OWC) reduction FY FY Highlights OCF €481 million OWC decreased €79 million Sh
Slide 11: Our strategy pays off
FY 2023 RESULTS PRESENTATION 11 Our strategy pays off Centered around four key pillars Added Financial Excellence Sustainability value strength PREMIUM LEADER CORE EFFICIENT Rebalancing product Main operational Core to our business Accountable, mix to HPAs and pillar to increase model and a driver t
Slide 12: Acerinox Group strategy
FY 2023 RESULTS PRESENTATION 1212 Acerinox Group strategy Facing tomorrow’s challenges ● Strong leadership in the USA Changing our sales mix to include more HPAs and value-added products ● Growth in HPA +8 pp ● Widest product portfolio 5-year target 27% ● Focus on end user and specialties ● Increase
Slide 13: Organic growth: Main projects summary
FY 2023 RESULTS PRESENTATION 13 Organic growth: Main projects summary NAS ● Maximize existing assets through continuous improvement SCOPE: ● Use digitalization to optimize processes ECONOMIC: Expansion plan to ● Grow in line with the North American market increase sales in Capex: $244 million the No
Slide 14: Beyond Excellence
FY 2023 RESULTS PRESENTATION 1414 Beyond Excellence Target of €100 million at EBITDA level 2024-2026 Creating value in all areas of the company ● Increasing quality and yields in the production of high-value-added steels Decarbonization Efficiency ● Maximizing scrap utilization & environment ● Raw ma
Slide 15: Strong Strategic Rationale
FY 2023 RESULTS PRESENTATION 15 Strong Strategic Rationale AAA investment: Alloys, American, Aerospace Further expansion into high-performance alloys aligned with Acerinox’s strategy Strengthens presence in the US and aerospace segments: high growth markets Creates additional value through the expan
Slide 16: Enhanced combined HPA global footprint
FY 2023 RESULTS PRESENTATION 16 Enhanced combined HPA global footprint Sizeable increase in US presence and aerospace exposure Focus on our main core markets: USA and Europe Acerinox’s new HPA Division (VDM) Haynes HPA Division Revenue by Region China 6% China 5% Europe 23% China 6% Europe 53% Europ
Slide 17: Synergy Potential
FY 2023 RESULTS PRESENTATION 17 Synergy Potential Significant potential identified, with c.$200 million of Capex, earmarked to unlock most of the synergies by 2027e and full synergies by 2030e Sources of Potential Synergies $71 million Operational improvement 36% Potential synergies Stainless steel pl
Slide 18: Conclusions & outlook
FY 2023 Results Presentation 1818 Conclusions & outlook 01 02 03 Building a new Acerinox: Focus on financial strength, Acerinox reaches a new delivering a shareholder - From products to solutions profitability level return of €150 million - Beyond Excellence - Organic and inorganic growth (6% dividend
Slide 19: Events post FY 2023 Results
FY 2023 Results Presentation 1919 Events post FY 2023 Results EVENT ORGANIZATION 4 MAR. MADRID ROADSHOW SABADELL 5 MAR. PARIS ROADSHOW ODDO 5 MAR. NEW YORK ROADSHOW BNP PARIBAS 6 MAR. BOSTON ROADSHOW BNP PARIBAS 7-8 MAR. FRANKFURT ROADSHOW SANTANDER 13-14 MAR. LONDON ROADSHOW BARCLAYS 19 MAR. SAN FR
Slide 20: Alternative Performance Measures (Definitions)
FY 2023 Results Presentation 20 Alternative Performance Measures (Definitions) Beyond Excellence: operational excellence program for 2024 to 2026. These initiatives will be based on digital transformation, interdisciplinary collaboration, and a commitment to innovation Excellence 360º Plan: estimated
Slide 21: Q&A
21 < Q&A FY 2023 Results Presentation