Slide 1: 2020 IFRS Results
2020 IFRS RESULTS 19 MARCH 2021
Slide 2: Disclaimer
DISCLAIMER THIS PRESENTATION IS FURNISHED TO YOU SOLELY FOR YOUR INFORMATION AND SHOULD NOT BE TREATED AS GIVING INVESTMENT ADVICE AND MAY NOT BE REPRODUCED OR REDISTRIBUTED, IN WHOLE OR IN PART, TO ANY OTHER PERSON. THIS PRESENTATION IS NOT FOR DISTRIBUTION, DIRECTLY OR INDIRECTLY IN THE UNITED STA
Slide 3: 2020: Market
2020: MARKET Overall Market Consumption, mn t 2019 2020 YoY Nitrogen fertilisers, N 105.1 107.3 +2.0% • The COVID-19 pandemic had limited impact on the industry. Phosphate fertilisers, P2O5 46.3 47.8 +3.2% • Global mineral fertiliser consumption continued to grow. Potash fertilisers, K2O 35.8 36.4 +
Slide 4: 2020: Company
2020: COMPANY In 2020, Acron Group finalised three investment projects: • Construction of a 135,000-tpa nitric acid unit • Construction of a 700,000-tpa urea granulation unit • Upgrades to the Ammonia-4 unit to increase capacity by 90,000 tpa Product output was up 7% to a new record high of 8.0
Slide 5: Key Financials
KEY FINANCIALS RUB mn USD mn 2020 2019 YoY 2020 2019 YoY Revenue 119,864 114,835 +4% 1,661 1,774 -6% EBITDA 35,311 35,749 -1% 489 552 -11% EBITDA margin 29% 31% -2 p.p. 29% 31% -2 p.p. Net profit 3,836 24,786 -85% 53 383 -86% Net profit margin 3% 22% -19 p.p. 3% 22% -19 p.p. Total debt 115,116 86,54
Slide 6: Quarterly Results
QUARTERLY RESULTS REVENUE (USD mn) EBITDA (USD mn) PRODUCTION & SALES (kt) 500 200 2 250 Production Sales 445 423 149 403 150 2036 2019 2022 390 120 19941973 400 2 000 1948 110 111 1925 1865 100 300 1 750 50 200 0 1 500 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 2020 2020 2020 2020 2020 2020 2020 2020 2020
Slide 7: Revenue Dynamics
REVENUE DYNAMICS REVENUE GROUP’S SALES AVERAGE USD/RUB 130 000 9 000 80 120 000 + 4% + 11% 8 000 + 3% 70 RUB mn 110 000 kt 100 000 114 835 119 864 7 000 60 72.1 7 807 90 000 7 569 64.7 80 000 6 000 50 2019 2020 2019 2020 2019 2020 AVERAGE INDICATIVE PRICES 400 OPERATING RESULTS 2019 2020 USD/t, FOB
Slide 8: Revenue Breakdown
REVENUE BREAKDOWN 3 000 Sales by Product 2019 2020 2 000 kt 1 000 Other: 11% 0 Apatite concentrate: 3% NPK + Bulk Ammonium UAN Urea* Blends nitrate* Urea*: 12% NPK + Bulk Blends: 36% UAN: 13% Ammonium nitrate*: 25% UAN premium/discount AN premium/discount NPK premium to Urea by nutrient to Urea by n
Slide 9: Sales Markets: Leadership and Diversification
SALES MARKETS: LEADERSHIP AND DIVERSIFICATION Acron Group in 2020 • #1 AN exporter to Brazil (65% of AN imports) • #2 NPK exporter to Brazil (31% of NPK imports) • #2 UAN exporter to US (27% of UAN imports) • #2 NPK exporter to China (23% of NPK imports) • #2 NPK supplier to Russia (19% of NPK sales
Slide 10: Cost Side
COST SIDE COGS BREAKDOWN 70 000 65 817 + 10% 59 784 60 000 16% Other 12% 6% 50 000 5% Repairs and maintenance 11% 12% COMMENTS 40 000 13% Potash • COGS was up 10%. The increase in sales 14% RUB mn volume, higher D&A, and repairs and maintenance expenses were the main drivers Fuel and energy behind t
Slide 11: EBITDA Analysis
EBITDA ANALYSIS EBITDA BRIDGE EBITDA & NET PROFIT 60 000 50 000 +13 489 50 000 40 000 +5 738 35 311 40 000 35 749 -13 738 35 311 30 000 RUB mn RUB mn -5 778 -150 30 000 +2 049 20 000 -12 106 20 000 -5 334 10 000 10 000 -10 735 3 836 -1 574 -3 775 0 0 * Excl. D&A EBITDA was supported by an increase i
Slide 12: Group Segments
GROUP SEGMENTS CONTRIBUTION TO THE GROUP’S EBITDA EBITDA MARGIN 57% 30% Acron Acron 73% 39% 17% 23% Dorogobuzh Dorogobuzh 11% 18% 8% 26% Mining NWPC Mining NWPC 7% 23% 2020 2019 17% 2020 5% Other Other 9% 2019 3% Average: 29% 0% 10% 20% 30% 40% 50% 60% 70% 80% 0% 10% 20% 30% 40% 50% 12
Slide 13: Capex
CAPEX CAPEX BREAKDOWN 21 000 19 030 (USD 294 mn) 17 946 - 6% Other 825 (USD 249 mn) 18 000 766 COMMENTS 3 793 15 000 3 121 VPC (Talitsky mine) • CAPEX was down 6%. USD-denominated CAPEX decreased 15% to USD 249 mn. 3 322 3 253 • Acron’s increase in CAPEX was due to 12 000 RUB mn NWPC (Oleniy impleme
Slide 14: Debt Position
DEBT POSITION TOTAL DEBT NET DEBT NET DEBT/EBITDA 2 000 2 000 3 + 11% + 0.6 pp 1 600 1 600 In USD equivalent + 11% 2 USD mn USD mn 1 200 1 200 2.8 800 800 2.2 1 398 1 558 1 348 1 1 215 400 400 0 0 0 31.12.2019 31.12.2020 31.12.2019 31.12.2020 31.12.2019 31.12.2020 DEBT CURRENCY STRUCTURE EUR loans:
Slide 15: 2021: Market
2021: MARKET Overall Market Consumption, mn t 2020 2021F YoY Nitrogen fertilisers, N 107.3 109.1 +1.7% • Global consumption of mineral fertilisers continues to grow. Phosphate fertilisers, P2O5 47.8 48.8 +2.1% • Record-high cereal crop prices at the beginning of the year encourage higher Potash fert
Slide 16: 2021: Company
2021: COMPANY Acron Group continues to pursue its investment programme. Timeline, Output increase, Capex, Projects at the active stage Site years ktpa USD mn Increase of Urea-6 unit capacity 2019 – 2Q 2021 +520 81 Acron Construction of CN unit 2020 – 2022 +100 22 Acron Increase of Ammonia-3 unit c
Slide 17: Contacts
CONTACTS Investor Relations Ilya Popov Tel.: +7 (495) 745 77 45 ext. 5252 Email: ipopov@acron.ru Sergey Smirnov Tel.: +7 (495) 745 77 45 ext. 5184 Email: smirnov@acron.ru JSC Acron www.acron.ru World Trade Centre 12 Krasnopresnenskaya Naberezhnaya Moscow 123610, Russia Tel.: +7 (495) 745 77 45 17