Slide 1: Half-Yearly Results - CEO Presentation (cover letter)
Ansell Limited q A.B.N. 89 004 085 330 Level 3, 678 Victoria Street Richmond, Victoria 3121, Australia GPO Box 772H Melbourne Victoria 3001, Australia Telephone (+613) 9270 7270 Facsimile (+613) 9270 7300 www ansell. com 13 February 2003. Company Announcements Office Australian Stock Exchange Limite
Slide 2: Ansell Limited
ws ; Ba Ansell a EEE rae tc Ansell Limited
Slide 3: Half Year Results to 31 December 2002
ws ; Ba Ansell a EEE rae tc Half Year Results to 31 December 2002
Slide 4: Reporting Currency
Reporting Currency Ansell’s operating currency is USD <6% of revenue is AUD USD results translated to AUD solely for statutory reporting AUD has firmed 9% vs. USD year on year Hedge only key transaction currency — Euro vs. USD No hedge on accounting translation into AUD All numbers today are in USD
Slide 5: Ansell Performance Highlights H1 FY03
i Ansell Performance Highlights H1 FY03 * Profit to shareholders US$11m vs. LY loss $47m ° EPS US5.8¢ vs. LY loss US25.3¢ * EBITA Margin increased to 10.0% vs. LY 8.2% * Strong cash generation US$31m * Debt reduced to US$176m from $207m * Gearing reduced to 25.7% from 29.5% * Two non core businesses
Slide 6: Results Summary
Results Summary Ansell Ltd Healthcare Seqment 31/12/02 31/12/01 31/12/02 31/12/01 USD M USDM USDM USD M Sales Revenue 363.1 770.8 363.1 360.0 Operating EBITA 36.4 63.2 43.1 41.4 EBITA Margin 10.0% 8.2% 11.9% 11.5% Less Goodwill 7.3 7.9 Less Interest & Borrowing Costs 8.2 18.1 Profit Before Tax 20.9
Slide 7: Cash Flow
Ansell ; Cash Flow 31/12/02 Half USD M Operating EBITDA 45.2 Plus: Working Capital Reduction 7.0 Less: Tax Paid (0.9) Capital Expenditure (4.2) Restructuring Costs (4.9) Interest Paid (8.2) Other (Including Discontinued) (3.4) Movement in Net Interest Bearing Debt 30.6
Slide 8: Net Debt and Gearing
Net Debt and Gearing 31/12/02 30/6/02 31/12/01 USD M USDM USDM Gross Debt 310.9 353.3 441.3 Cash 134.5 146.3 219.0 Net Debt 176.4 207.0 222.3 Equity 510.0 495.9 496.7 Gearing (Net Debt : Net Debt plus Equity) 25.7% 29.5% 30.9% Interest Cover 5.0X 4.0X 2.3X
Slide 9: Ansell Occupational Division
Ansell Occupational Division 49% of Operating Revenue and 35% of EBITA 31/12/02 31/12/01 Sales USD M USD M % Movement HyFlex™ 22.9 15.2 Other 154.5 146.4 Total Sales 177.4 161.6 +9.8 EBITA 15.0 10.5 +42.9 EBITA Margin 8.5% 6.5% * HyFlex™ demand strong, and growing - new variants launched * Market sh
Slide 10: Ansell Professional Division
Ansell Professional Division 34% of Operating Revenue and 37% of EBITA 31/12/02 31/12/01 Sales USD M USDM % Movement Surgeons 69.0 80.4 Exam 50.2 56.9 Other 5.5 4.9 Total Sales 124.7 142.2 (12.3) EBITA 15.9 23.0 (30.9) EBITA Margin 12.8% 16.2% * Hospital Exam Gloves - Oversupply and Price Erosion co
Slide 11: Consumer Division
Consumer Division 17% of Operating Revenue and 28% of EBITA 31/12/02 31/12/01 Sales USD M USD M % Movement Condoms 48.0 43.2 HHG & Other 13.0 13.1 Total Sales 61.0 56.3 +8.5 EBITA 12.2 7.9 +54.5 EBITA Margin 20.0% 14.0% * Better condom prices (retail and tenders) * Lower condom costs (Asian producti
Slide 12: Operation Full Potential
°* B ° 3 Operation Full Potential oard Strategic Review completed April 2002 year Program to increase EBITA 50% vs. FY01 * 13 key initiatives in 3 waves * Wave 1 Launched July 2002 — now completed Recruit Program Director, 8 Business Analysts & Bain Consulting team Cost reductions (General & Adminis
Slide 13: Operation Full Potential Waves
Wave 2 January 2003 Operation Full Potential Next 12 Months Wave 3 July 2003 - Grow PF Surgeons gloves - Grow Alternate Care - Review pricing & rebates (USA) - Distributor Partnerships - S$§treamline Innovation Process - Implement OVP » First contract in H2 - Grow USA Condoms - Accelerate New Produc
Slide 14: Full Year Outlook
il Full Year Outlook “The Board and Management currently believe Ansell is on track to achieve double digit EBITA growth in U.S. dollars for the full year” H2 Drivers: Growth: * HyFlex™ family of products (volume and margins) in all Regions * Renewed surgeons’ gloves supply — strong demand, steady p
Slide 15: Capital Management
Capital Management Financial Strength: * H1 FY03 Cash Generated USD30.6 m * Gearing Conservative @ 25.7% * Strong Cash Generation to Continue Capital Management: * Allocate Cash Resources Between: - Debt Repayment - Growth (Internal and Bolt-on Acquisitions) - Shareholders Review: * Board to Review
Slide 16: Ansell Limited
ws ; Ba Ansell a EEE rae tc Ansell Limited