Slide 1: Q1 2019 Results Presentation
Q1 2019 Results Presentation 24 May 2019
Slide 2: Disclaimer
Disclaimer This presentation ("Presentation") has been prepared by OCI N.V. (the "Company"). By accessing and reading the Presentation you agree to be bound by the following limitations: This Presentation does not constitute or form a part of, and should not be construed as, an offer for sale or sub
Slide 3: Overview Q1 2019 Results
Overview Q1 2019 Results Highlights Summary Key Financials1) and KPIs Q1 2019 Q1 2018 %Δ Own-produced volumes sold -22% in Q1 2019 vs. Q1 2018 Revenue 596.5 744.8 (20%) • Built up nitrogen fertilizer inventory to a peak of 1.1 million Gross Profit 52.5 169.7 (69%) tons at 31 Mar, v 0.5 million tons
Slide 4: Adjusted EBITDA $129 million in Q1 2019
Adjusted EBITDA $129 million in Q1 2019 ▪ Adjusted EBITDA decreased 45% to $129 million in Q1 2019 due to: o Lower own-produced volumes of 22% and resulting drop in revenues due to a build-up in inventories in anticipation of start of season o A planned turnaround at Sorfert to install new equipment
Slide 5: Net debt at approximately the same level as at 31 December 2018
Net debt at approximately the same level as at 31 December 2018 $ million Q1 2019 Q1 2018 EBITDA 122.2 252.1 Working capital (104.9) (55.5) Maintenance capital expenditure (18.6) (20.1) Tax paid (0.5) (0.9) Interest / net dividends paid / received (46.6) (51.0) Insurance receivable / received Sorfer
Slide 6: Key Highlights
Key Highlights A global leader in nitrogen and methanol with excellent diversification Favourable positioning on the cost curve with state-of-the-art asset base Substantial cash generation ability post end of capex program with volume ramp up Fertilizer and methanol facilities in strategic locations
Slide 7: A Globally Diversified and Growing Platform
A Globally Diversified and Growing Platform #4 #5 #2 #1 #1 #1 Fast-growing Global nitrogen presence in Global methanol CAN producer in Global melamine Global bio- European fertilizer diesel exhaust producer Europe producer methanol methanol producer fluid (DEF) producer producer Global nitrogen fert
Slide 8: Benefitting from the Youngest Asset Base Relative to Peers
Benefitting from the Youngest Asset Base Relative to Peers OCI's capacity breakdown per vintage (% of total capacity1) OCI Nitrogen BioMCN EFC EBIC Sorfert OCI Beaumont IFCo Natgasoline Youngest asset base relative ▪ $5bn+ spent on new investments and significant operational 5% improvements since 20
Slide 9: Strategic Locations for Fertilizer Facilities Allow Enhanced Netbacks for Products
Strategic Locations for Fertilizer Facilities Allow Enhanced Netbacks for Products A global production and distribution footprint with domestic-focussed assets as well as an export-focused platform, supported by a disciplined commercial approach A Stable customer base in domestic-focused regions Eur
Slide 10: Global Methanol Supply Platform with Efficient Distribution & Logistics Network
Global Methanol Supply Platform with Efficient Distribution & Logistics Network OCI Methanol Marketing (OMM) Natgasoline ▪ OMM, a wholly-owned subsidiary, markets ▪ OCI Beaumont and Natgasoline OCI’s methanol portfolio globally both strategically located at heart of ‒ 2.95 mtpa from 3 methanol produ
Slide 11: Investing in Environmental Solutions
Investing in Environmental Solutions Investing in products and initiatives to provide cleaner and more sustainable solutions to our customers Diesel Exhaust Fluid (AdBlue) Bio-Methanol as an Advanced Biofuel ▪ IFCo can now produce >1 million metric tons of DEF per year: ▪ OCI is a leading bio-methan
Slide 12: Production Capacity Footprint is Well-positioned Globally
Production Capacity Footprint is Well-positioned Globally1 Methanol Production Footprint Nitrogen Production Footprint BioMCN – Netherlands OCI Nitrogen – Netherlands Egyptian Fertilizer Co (EFC) – Egypt ▪ Acquired: 2015 ▪ Acquired: 2010 ▪ Acquired: 2008 ▪ 100% owned ▪ 100% owned ▪ 100% owned Produc
Slide 13: Appendix – Q1 2019 Results
OCI Appendix — Q1 2019 Results 13
Slide 14: Product Sales Volumes ('000 metric tons)
Product Sales Volumes (‘000 metric tons) Q1 2019 Q1 2018 %Δ Own Product Ammonia 367.5 524.0 (30%) Urea 448.2 664.9 (33%) Calcium Ammonium Nitrate (CAN) 108.7 223.0 (51%) Urea Ammonium Nitrate (UAN) 239.9 341.8 (30%) Total Fertilizer 1,164.3 1,753.7 (34%) Methanol1) 398.1 342.3 16% Melamine 35.2 34.3
Slide 15: Net Income Bridge to Adjusted Net Income
Net Income Bridge to Adjusted Net Income $ million Q1 2019 Q1 2018 Adjustment in P&L Reported net income attributable to shareholders (81.2) 24.5 Adjustments for: Adjustments at EBITDA level 7.1 (17.0) Add back: Natgasoline EBITDA adjustment (8.1) - Expenses related to expansion projects - 4.9 Incom
Slide 16: Segment Information
Segment Information Segment overview Q1 2019 $ million Methanol Methanol Nitrogen Nitrogen Nitrogen Other Elimination Total US Europe US Europe MENA Segment revenues 145.2 57.2 91.2 193.7 162.0 - - 649.3 Inter-segment revenues (25.1) (2.0) - - (25.7) - - (52.8) Total revenues 120.1 55.2 91.2 193.7 1
Slide 17: For OCI N.V. investor relations enquiries contact
For OCI N.V. investor relations enquiries contact: Hans Zayed hans.zayed@oci.nl T +31 (0) 6 18 25 13 67 OCI N.V. corporate website: www.oci.nl 17