Icl Group Ltd. · TASE:ICL
Icl — Israel Chemicals — Q3 2016 Earnings Presentation
17 slides from Icl's earnings presentation, Nov 23, 2016
Slide 1: Q3 2016 Results
Asher Grinbaum | Acting CEO November 23 , 2016 Q3 2016 Results
Slide 2: Important Legal Notes: Disclaimer and Safe Harbor for Forward-Looking Statements
Important Legal Notes Disclaimer and Safe Harbor for Forward - Looking Statements The information contained herein in this presentation or delivered or to be delivered to you during our presentation does not constitute an offer, expressed or implied, or a recommendation to do any transaction in Is
Slide 3: Q3 2016 Results Summary
Q 3 2016 Results Summary $ millions Q 3 16 Q 2 16 % change Q 3 15 % change Sales 1 , 383 1 , 377 0.4 % 1 , 379 0.3 % Adjusted operating income 164 163 0.6 % 242 ( 32.2 )% Net income ( 340 ) 120 NA 121 NA Adjusted net income 120 132 ( 9.1 )% 155 ( 22.6 )% Operating cash flow 249 238 4.6 % 124 100.8
Slide 4: Business Performance & Major Developments
Business performance & Major Developments ▪ Potash sales volumes increase supported by market stabilization following contracts signing in China and India ▪ ICL’S Potash competitiveness continue to improve with year - on - year and sequential decline in cost per tonne ▪ Competitive price pressure in
Slide 5: Increasing Contribution of Specialty Solutions
Increasing Contribution of Specialty Solutions Q3 2016 Q 3 2015 See Q 3 2016 reports for a reconciliation of Adjusted operating income to operating income. Excluding G&A and unallocated expenses Adjusted operating income $ 191 M 58 % $ 138 M 42 % Essential Minerals Specialty Solutions $ 82 M 32 %
Slide 6: Financial Results
Financial Results Kobi Altman CFO
Slide 7: Resilience Despite Weak Commodity Markets
Resilience Despite Weak Commodity Markets Q 3 2016 Sales Q 3 2016 Adjusted o perating income Numbers may not add up due to rounding and set offs $ millions Q 3 16 Q 2 16 % change Q 3 15 % change Sales 1 , 383 1 , 377 0.4 % 1 , 379 0.3 % Adjusted operating income 164 163 0.6 % 242 ( 32.2 )% Net inc
Slide 8: Divisional Evolution of Sales and Adjusted Operating Income
0 50 100 150 200 250 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Essential Minerals Specialty Solutions 0 100 200 300 400 500 600 700 800 900 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Essential Minerals Specialty Solutions Divisional Evolution of Sales and Adjusted Operat
Slide 9: Essential Minerals Bridge Analysis
Essential Minerals Bridge Analysis Sales ($M) Adjusted Operating income ($M) See Q 3 2016 financial reports for a reconciliation of Adjusted operating income to operating income and Adjusted net income to net income. Numbers may not add due to rounding and set offs Excluding G&A and unallocated ex
Slide 10: Specialty Solutions Bridge Analysis
Specialty Solutions Bridge Analysis Sales ($M) Adjusted Operating income ($M) See Q 3 2016 financial reports for a reconciliation of Adjusted operating income to operating income and Adjusted net income to net income. Numbers may not add due to rounding and set offs Excluding G&A and unallocated
Slide 11: Improved Competitiveness
FY2013 FY2014 FY2015 Q1 2016 Q2 2016 Q3 2016 Improved Competitiveness 11 FY2013 FY2014 FY2015 Q1-Q3 2016 Green phosphoric Acid Cost $/ tonne FOB Potash average realized full cost per tonne sold Operational Excellence Procurement HR * Run - rate, compared to 2013 Potash average realized full cost per
Slide 12: Maintain Robust Financial Position Despite Commodity Market Weakness
□ Local rating maintained high level at AA with stable outlook □ International rating downgraded one notch to (BBB - ) but remained investment - grade with stable outlook Maintain Robust Financial Position Despite Commodity Market Weakness 3 , 431 3 , 440 3 , 423 3,400 3,410 3,420 3,430 3,440 3,4
Slide 13: Thank You
Thank You
Slide 14: Appendix
Appendix
Slide 15: Essential Minerals' Business Unit Sales
Essential Minerals’ Business Unit Sales Potash & Magnesium ($M) Phosphates ($M) Numbers may not add due to rounding and set offs See Q 3 2016 financial reports for a reconciliation of Adjusted operating income to operating income and Adjusted net income to net income. 239 282 100 2 55 401 351 80
Slide 16: Potash Business Stand-Alone Bridge Analysis
Potash Business Stand - Alone Bridge Analysis Sales ($M) Adjusted Operating income ($M) See Q 3 2016 financial reports for a reconciliation of Adjusted operating income to operating income and Adjusted net income to net income. Numbers may not add due to rounding and set offs Excluding G&A and un
Slide 17: Specialty Solutions' Business Unit Sales
Specialty Solutions’ Business Unit Sales ($M) Numbers may not add due to rounding and set offs See Q 2 2016 financial reports for a reconciliation of Adjusted operating income to operating income and Adjusted net income to net income. Industrial Products Advanced Additives Specialty Fertilizers F