Tessenderlo Group N.V. · EURONEXT:TESB
Tessenderlo — Q3 2013 Earnings Presentation
25 slides from Tessenderlo's earnings presentation, Nov 14, 2013
Slide 1: Third Quarter 2013 and 9M 2013 Results
TESSENDERLO GROUP Third Quarter 2013 and 9M 2013 Results November 14, 2013
Slide 2: Highlights
Highlights Strategy execution continued • September 2013: The group sold its UK Profiles (Eurocell) activities and marked the exit of profiles activities • November 2013: The Picanol Group successfully completed the acquisition of the stake held by SNPE SA and now holds 27.52% of the share capital o
Slide 3: 3Q13 revenue by operating segment
3Q13 revenue by operating segment Million EUR and % increase versus 3Q12 at comparable scope 1% 08% 48% 1% 9.0% SCOPE Nonallocated _ Other PPS& — Gelatin& Tessenderlo Inorganics usinesses profiles Akiols —«Kerley 445 (0.4) (0.9) (62) (7.7) = L T -5.3% -23.0 Revenue Revenue 3012 3013 * 3Q13 revenue w
Slide 4: 9M13 revenue by operating segment
9M13 revenue by operating segment Million EUR and % increase versus 9M12 at comparable scope +3.1% +3.3% 1.5% -3.8% 42% Gelatin& Tessenderlo Oth ‘ PPS& Scope “Akos. Kerley“ NOnallocated y cireece, Inorganics profiles (177) +118 +81 +33 (2.0) (11.7) (15.2) \ J J Y 7 -0.3% -4.6 Revenue Revenue 9M12 9M
Slide 5: 3Q13 REBITDA by operating segment
3Q13 REBITDA by operating segment Million EUR and % increase versus 3Q12 at comparable scope Non- Other PPS & Tessenderlo Gelatin & Inorganics allocated Businesses Profiles Kerley Akiolis Scope (3.5) +4.5 +0.7 +0.5 (0.4) +0.3 (12.6) 36.3 -29.5% 25.8 -10.8 REBITDA REBITDA 3Q12 3Q13 • REBITDA decrease
Slide 6: 9M13 REBITDA by operating segment
9M13 REBITDA by operating segment Million EUR and % increase versus 9M12 at comparable scope Scope Other PPS & Tessenderlo Gelatin & Inorganics Businesses Non-allocated Profiles Kerley Akiolis +2.0 (2.0) (4.5) (2.9) +8.8 (8.9) (20.6) 135.6 -19.0% 107.5 -25.1 REBITDA REBITDA 9M12 9M13 • 9M13 REBITDA
Slide 7: Net debt position
Net debt position Million EUR 900.0 5.2 5 750.0 2.5 2.4 3 3.3 600.0 1.6 1.5 2.0 1.8 1 450.0 0.9 1.1 393.9 332.4 321.1 283.2 305.2 79.9 -1 300.0 123.4 88.4 85.8 121.2 150.0 314.0 -3 209.0 219.4 232.7 162.0 0.0 -5 31/12/2009 31/12/2010 31/12/2011 31/12/2012 30/09/2013 Net debt (Million EUR) Non-recour
Slide 8: Outlook
Outlook Based on the nine months 2013 performance, Tessenderlo Group’s best estimate today is that the REBITDA decrease of 2013 versus 2012 could be up to 25%. This estimate is based on the events already disclosed in the half year 2013 results release. The competitive environment for the segment Ge
Slide 9: Operational Highlights
Operational Highlights GROUP KEY FIGURES % Change at % Change at 3Q13 3Q12 comparable Million EUR 9M13 9M12 comparable scope scope Revenue 415.1 517.5 -5.3% 1,444.0 1,625.6 -0.3% REBITDA 25.8 36.3 -29.5% 107.5 135.6 -19.0% 6.2% 7.0% - REBITDA margin 7.4% 8.3% - REBIT 8.2 14.7 -52.4% 52.1 70.1 -29.3%
Slide 10: 3Q13 group revenue and REBITDA per segment
3Q13 group revenue and REBITDA per segment Revenue (% of total) REBITDA (% of total*) Non-allocated Other businesses Other businesses 0.4% 3.5% 5.4% Gelatin Inorganics & Tessenderlo Akiolis Kerley 13.4% Tessenderlo 15.0% 29.6% Kerley Gelatin 38.8% 415.1 & Akiolis 15.0% 25.8 mEUR mEUR Inorganics 22.5
Slide 11: 9M13 group revenue and REBITDA per segment
9M13 group revenue and REBITDA per segment Revenue (% of total) REBITDA (% of total*) Non-allocated 0.3% Inorganics 3.2% Other businesses Other businesses Gelatin 9.2% & 8.1% Akiolis Tessenderlo 27.1% Kerley PPS & 18.7% Profiles 19.6% Tessenderlo 1,444.0 107.5 45.4% Kerley mEUR mEUR 20.7% 24.1% Inor
Slide 12: Tessenderlo Kerley
REBITDA (% of total) Tessenderlo Kerley 9M13 45.4% Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) 300 26.2% 70 22.1% 60 200 2012 50 23.4% 270.1 2013 20.6% 40 261.4 68.5 30 59.6 100 20 69.8 62.1 10 16.3 12.8 0 0 3Q 9M 3Q 9M Revenue 3Q 9M REBITDA 3Q 9M % Change at % Change at - 11.1%
Slide 13: Gelatin and Akiolis
REBITDA (% of total) Gelatin and Akiolis 9M13 23.7% Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) 13.6% 500 40 8.0% 35 400 30 2012 300 2013 25 13.6% 51.8 20 200 391.6 15 4.0% 379.9 31.2 10 100 17.6 129.2 123.0 5 0 0 4.9 3Q 9M 3Q 9M Revenue 3Q 9M REBITDA 3Q 9M % Change at % Change
Slide 14: Inorganics
REBITDA (% of total) 8.1% Inorganics 9M13 Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) 400 24 300 2012 19 2013 4.7% 3.6% 14 200 -0.1% 0.6% 310.3 298.5 9 100 10.6 4 1.8 102.5 93.3 4.4 0 -1 -0.1 3Q 3Q 9M 9M Revenue 3Q 9M REBITDA 3Q 9M % Change at % Change at - 9.0% -3.8% nm nm comp
Slide 15: Plastic Pipe Systems and Profiles
REBITDA (% of total) 19.6% Plastic Pipe Systems and Profiles 9M13 Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) (0.6) (53.0) 7.4% 7.4% 500 30 net scope 8.6% 400 25 7.4% 2012 2013 20 (24.2) 300 (0.1) 15 30.9 200 415.5 25.8 347.4 10 100 10.2 9.7 137.7 112.6 5 0 0 3Q 9M 3Q 9M Revenue
Slide 16: Other Businesses
REBITDA (% of total) 3.2% Other Businesses* 9M13 * Includes Compounds, OCD, Pharma, Water Treatment and Sulfur Derivatives Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) 300 (124.4) 20 18 net scope 16 5.2% 3.2% 14 2012 1.8% 200 2013 12 0.4% (55.5) 10 (2.4) 258.6 8 +0.4 100 6 132.2
Slide 17: REBIT to Profit details for 3Q13
REBIT to Profit details for 3Q13 Million EUR REBIT Non-recurring Net finance Income Tax Share of result PROFIT 3Q13 items EBIT costs Expense of investments 3Q13 8.2 (11.0) (2.8) (6.0) (12.1) (4.2) 0.8 17
Slide 18: REBIT to Profit details for 9M13
REBIT to Profit details for 9M13 Million EUR REBIT Non-recurring Net finance Income Tax Share of result PROFIT 9M13 items EBIT costs Expense of investments 9M13 52.1 (60.0) (7.9) (20.6) (47.3) (22.3) 3.6 18
Slide 19: Non-recurring items 3Q13
Non-recurring items 3Q13 Million EUR Capital gain on sale Losses on disposal of non strategic Provisions and groups classified as Other income and Total non-recurring assets claims Restructuring Impairment losses held for sale expenses items (0.0) (0.0) (0.7) (0.1) (7.3) (11.0) (2.9) Mainly: Net eff
Slide 20: Non-recurring items 9M13
Non-recurring items 9M13 Million EUR Losses on Capital gain on disposal groups sale of non Provisions and classified as held Other income and Total non- strategic assets claims Restructuring Impairment losses for sale expenses recurring items 5.0 (1.5) (38.0) Mainly: (60.0) 4.7 m EUR from sale of la
Slide 21: Net debt evolution 3Q13
Net debt evolution 3Q13 Million EUR Net debt Net debt 30/06/2013 30/09/2013 (232.7) (250.9) Sale of non- strategic assets Change in factoring Change in WC (before CAPEX factoring) 56.4 (38.8) Dividends Non-recurring paid and other Financial charges REBITDA (23.2) Dividends 29.3 & taxes Acquisitions
Slide 22: Net debt evolution 9M13
Net debt evolution 9M13 Million EUR Net debt Net debt 31/12/2012 30/09/2013 (232.7) (314.0) REBITDA CAPEX Sale of non- strategic assets 107.5 Non-recurring (73.4) and other Dividends Change in WC paid Financial charges Change in (before 93.0 (30.3) & taxes Dividends factoring factoring) (22.2) Acqui
Slide 23: Group Trade Working Capital
Group Trade Working Capital Million EUR 700 30% 25% 600 21.3% 19.8% 20.1% 20% 500 19.7% 15% 400 17.0% 16.7% 10% 300 417.1 5% 200 361.1 0% 324.5 100 -5% 0 -10% September 2012 December 2012 September 2013 Trade Working Capital excluding factoring Trade Working Capital excluding factoring/Last 12 month
Slide 24: Balance Sheet
Balance Sheet Million EUR 1800.0 1800.0 1600.0 1,370.1 1,263.0 1,092.7 1600.0 1,370.1 1,263.0 1,092.7 Non-current assets held for1400.0 sale 32.2 1400.0 30.1 64.4 40.6 Liabilities associated with assets classified 1200.0 13.6 1200.0 12.8 as held for sale 511.2 Other current assets 1000.0 612.8 1000.
Slide 25: 3Q13 Results November 14, 2013
Tessenderlo Group is a worldwide specialty company, focused on food, agriculture, water management and on valorizing bio- residuals. The group employs about 6,200 people and is a leader in most of its markets, with a consolidated revenue of 2.1 billion EUR in 2012. Tessenderlo Chemie NV is listed on