Slide 1: 3rd quarter results 2015
3 quarter results 2015 Li LafargeHolcim
Slide 2: Content
Content 1 – Overview and key figures 2 – Results by Group region 3 – Outlook 4 – Annex © 2015 LafargeHolcim 2
Slide 3: 1 – Overview and key figures
f £ a yi: sal wrt igures d key f Overview an 1- Li LafargeHolcim
Slide 4: Q3 Highlights
Q3 Highlights • Nine months results impacted by merger and restructuring costs, adverse foreign exchange, economic slowdown in China and Brazil as well as softness in France and Switzerland • Good performance in the United States, United Kingdom and most countries in Asia Pacific and Latin America •
Slide 5: Key financial figures
Key financial figures CHFm Q3 9M 2014 2015 Variance LFL 2014 2015 Variance LFL Volumes Cement (Mt) 65.2 65.3 0.2% 0.2% 191.8 189.2 -1.3% -1.3% Aggregates (Mt) 88.2 86.8 -1.7% -1.7% 219.9 216.3 -1.6% -1.6% Ready-mix (Mm3) 15.3 15.3 -0.4% -0.4% 43.9 42.6 -3.0% -3.0% Net sales 8’570 7’825 -8.7% -1.1% 2
Slide 6: Sales volumes Q3 2015
Sales volumes Q3 2015 CEM Million t AGG Million t -5.2% -2.3% +3.6% RMX Million m3 34.2 33.4 +2.0% -2.9% -5.7% 39.9 38.8 12.5 11.8 4.8 4.9 CEM AGG RMX +2.1% +12.6% +1.2% 6.9 7.0 3.2 3.0 28.9 29.5 CEM AGG RMX 8.4 9.5 4.1 4.1 -1.7% +9.0% -2.2% CEM AGG RMX 10.5 10.4 2.8 3.0 1.4 1.3 +3.5% -28.1% -3.5% C
Slide 7: Sales volumes 9M 2015
Sales volumes 9M 2015 CEM Million t -5.7% -2.0% -0.7% AGG Million t RMX Million m3 94 92.1 +3.3% +1.0% -6.7% 83.8 84.6 33.9 31.9 14.1 14.0 -1.1% -1.5% +0.8% CEM AGG RMX 15.5 16.0 91.1 90.1 7.5 7.0 CEM AGG RMX 25.8 25.4 11.8 11.9 -2.0% +3.3% -7.7% CEM AGG RMX 32.7 32.0 8.2 8.5 4.5 4.1 +0.4% -29.0% -7
Slide 8: Net Sales / Operating EBITDA Q3 2015
Net Sales / Operating EBITDA Q3 2015 Net Sales Operating EBITDA adj Middle Middle Europe Other Europe Other East East AGG 26% 20% 21% 10% Africa Africa 14% 14% AGG 17% 15% Latin America North 11% America Latin North CEM 29% America America 65% 13% 24% Asia CEM Asia 76% Pacific Pacific 27% 19% CHFm Q
Slide 9: Net Sales / Operating EBITDA 9M 2015
Net Sales / Operating EBITDA 9M 2015 Net Sales Operating EBITDA adj Europe Middle Other Europe AGG East Middle Other 25% 18% 20% 11% Africa East 7% AGG Africa 16% 14% North 23% America 18% Latin North America America 11% 19% Latin CEM America CEM Asia 68% Asia 15% 82% Pacific Pacific 30% 24% CHFm 9M
Slide 10: Operating EBITDA bridge
Operating EBITDA bridge Operating EBITDA margin 20.3% 19.8% 19.1% 16.6% 9M 2014 9M 2015 CHFm 279 4'785 209 149 106 24 276 4'506 4'319 36 4'355 699* 3'657 Op EBITDA Merger & Op EBITDA Volume Price Cost CO2 FX Op EBITDA Synergies Op EBITDA Merger & Op EBITDA 9M 2014 Restruct 9M 2014 9M 2015 9M 2015 Re
Slide 11: Synergies
Synergies CHFm Operational 10 • Cement productivity best-practices deployment optimisation / best practice 220 • Network optimization in major overlapping countries 16 • ~2% reduction of external spending by renegotiating top 2000 Procurement contracts, switching to best supplier, implementing Categ
Slide 12: Cash flow
Cash flow CHFm Q3 9M 2014 2015 LFL 2014 2015 LFL Cash flow from operating activities 1’179 315 -80.0% 1’359 697 -54.9% Maintenance capex -256 -257 -11.9% -556 -643 -29.3% Expansion capex -387 -324 1.7% -1’197 -1’045 3.7% © 2015 LafargeHolcim 12
Slide 13: Net Financial Debt
Net Financial Debt CHFm Net Financial Debt (per September 30, 2015) Liquidity Summary 18'309 • Cash + marketable securities: CHFm 4‘666 • Cash + marketable securities + unused committed credit lines: CHFm 11‘269 17'360 Debt summary • Current financial liabilities: CHFm 5‘959 Incl fair value adjustme
Slide 14: Net Financial Debt bridge
Net Financial Debt bridge CHFbn 9.1 23.9 0.7 0.6 0.5 6.3 0.1 0.1 0.3 0.7 18.3 0.2 1.1 1.8 1.3 10.7 Lafarge Fair Value Change in Cash cons.* Holcim Total Cash Flow PPA Capex FX Divestments Dividends Elimination Other Squeeze Pro-forma reported Adjustments Scope reported Combined from Amortization of
Slide 15: 2 – Results by Group region
2 - Results by Group region Li LafargeHolcim
Slide 16: Asia Pacific
Asia Pacific CHFm Q3 9M 2014 2015 Variance LFL 2014 2015 Variance LFL Volumes Cement 28’884 29’503 2.1% 2.1% 91’063 90’099 -1.1% -1.1% Aggregates 8’444 9’506 12.6% 12.6% 25’785 25’403 -1.5% -1.5% Ready-mix 4’098 4’148 1.2% 1.2% 11’798 11’889 0.8% 0.8% Net sales 2’337 2’136 -8.6% -2.3% 7’076 6’685 -5
Slide 17: Middle East Africa
Middle East Africa CHFm Q3 9M 2014 2015 Variance LFL 2014 2015 Variance LFL Volumes Cement 10’544 10’369 -1.7% -1.7% 32’699 32’045 -2.0% -2.0% Aggregates 2’783 3’032 9.0% 9.0% 8’182 8’451 3.3% 3.3% Ready-mix 1’370 1’340 -2.2% -2.2% 4’465 4’122 -7.7% -7.7% Net sales 1’264 1’070 -15.3% -5.1% 3’773 3’4
Slide 18: Latin America
Latin America CHFm Q3 9M 2014 2015 Variance LFL 2014 2015 Variance LFL Volumes Cement 7’293 7’551 3.5% 3.5% 21’124 21’198 0.4% 0.4% Aggregates 2’873 2’066 -28.1% -28.1% 8’204 5’824 -29.0% -29.0% Ready-mix 1’957 1’889 -3.5% -3.5% 5’950 5’510 -7.4% -7.4% Net sales 924 840 -9.1% 7.0% 2’649 2’457 -7.3%
Slide 19: Europe
Europe CHFm Q3 9M 2014 2015 Variance LFL 2014 2015 Variance LFL Volumes Cement 12’451 11’807 -5.2% -5.2% 33’855 31’932 -5.7% -5.7% Aggregates 34’195 33’406 -2.3% -2.3% 93’976 92’063 -2.0% -2.0% Ready-mix 4’759 4’931 3.6% 3.6% 14’141 14’043 -0.7% -0.7% Net sales 2’271 1’999 -12.0% -1.8% 6’411 5’573 -
Slide 20: North America
North America CHFm Q3 9M 2014 2015 Variance LFL 2014 2015 Variance LFL Volumes Cement 6’862 7’002 2.0% 2.0% 15’491 16’007 3.3% 3.3% Aggregates 39’943 38’766 -2.9% -2.9% 83’789 84’603 1.0% 1.0% Ready-mix 3’156 2’975 -5.7% -5.7% 7’498 6’992 -6.7% -6.7% Net sales 1’866 1’889 1.2% 2.5% 3’951 4’177 5.7%
Slide 21: 3 – Outlook
Outlook 3- Li LafargeHolcim
Slide 22: Outlook for 2015
Outlook for 2015 • The Group estimates that cement volumes will be higher for 2015 in all regions except Europe • Aggregate volumes are expected to be higher in all regions except Latin America and Europe • Ready-mix volumes are expected to decrease in all regions, except Asia Pacific • Net debt is
Slide 23: 4 – Annex
4 - Annex LafargeHolcim
Slide 24: Volume and price development Cement
Volume and price development Cement 9M 2015 Volume Price & Other Volume Price & Other Asia Pacific -1.1% -1.9% Europe -5.7% -1.4% Bangladesh -6.8% -4.9% Azerbaijan -26.7% -10.5% China -6.4% -15.7% Bulgaria 5.1% 0.7% India -1.7% -2.0% Belgium -14.3% -4.0% Indonesia -0.9% -5.2% Croatia 15.2% -7.0% Mal
Slide 25: Volume and price development AGG
Volume and price development AGG 9M 2015 Volume Price & Other Volume Price & Other Asia Pacific -1.5% -7.5% Europe -2.0% 2.5% Australia -4.3% -6.3% Belgium -2.7% 7.3% Indonesia 8.7% 4.4% Bulgaria 23.3% 2.0% Latin America -29.0% 4.0% France -11.6% 4.7% Brazil -16.1% -11.4% Germany 7.5% 15.5% Mexico -
Slide 26: Condensed Statement of Financial position
Condensed Statement of Financial position CHFm Sept 30, 2015 Sept 30, 2015 Invested Capital 59’319 Equity 38’309 Out of which: Out of which: Goodwill 17’695 Equity attributable to the LH shareholders 33’871 Prop, Plant & Equipment 37’209 Non controlling interest 4’438 Intangible assets 1’531 Investm
Slide 27: Contact information and event calendar
Contact information and event calendar Contact information Event calendar Corporate Communications December 1, 2015 Capital Markets Day Phone +41 58 858 87 10 March 17, 2016 Annual Results 2015 (estimated date) Fax +41 58 858 87 19 May 12, 2016 Annual General Meeting communications@lafargeholcim.com
Slide 28: Disclaimer
Disclaimer These materials are being provided to you on a confidential basis, may not be distributed to the press or to any other persons, may not be redistributed or passed on, directly or indirectly, to any person, or published or reproduced, in whole or in part, by any medium or for any purpose.