Slide 1: Q3 2019 Results Presentation
Q3 2019 Results Presentation 25 November 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 Q3 2019 Results
Overview Q3 2019 Results Highlights Summary Key Financials1) and KPIs Q3 2019 Q3 2018 %Δ 9M 2019 9M 2018 %Δ Own-produced volumes sold (5%) in Q3 2019 vs. Q3 2018 Revenue 633.9 773.5 (18%) 2,183.9 2,311.0 (6%) • Concentrated impact of planned turnarounds at IFCo, Sorfert, EFC and OCI Nitrogen offsett
Slide 4: Leading Global Producer and Distributor of Nitrogen Products and Methanol
Leading Global Producer and Distributor of Nitrogen Products and Methanol Nitrogen Products Methanol % of Sep-19 76% 24% LTM Revenue1 Products Ammonia, urea, CAN, UAN, DEF and melamine Methanol # of Plants 6 3 ▪ 3rd largest global producer of nitrogen fertilizers ▪ 5th largest global methanol produc
Slide 5: OCI Build and Transition Phases Complete | Run-Rate Starts During Q4-2019
OCI Build and Transition Phases Complete | Run-Rate Starts During Q4-2019 Debut ratings Current ratings Issuer rating Ba2 / BB- / BB Ba2 / BB / BB Transition to run- Platform build-up Run-rate rate Bond rating B1 / BB- / BB- Ba3 / BB / BB 2008 – 2017 2018 - 2019 2020 +$5bn Capex Program Deleveraging
Slide 6: Key Highlights | OCI at a Glance
Key Highlights | OCI at a Glance What Differentiates OCI Performance Drivers 2018 - 2020 ▪ Further double-digit volume ramp-up for nitrogen and methanol Global leader in nitrogen and methanol with excellent ✓ Expect to achieve full run-rate during Q4 ‘19; 2020 first full diversification – product &
Slide 7: Capacity Ramp-up Driving Volume Growth
Capacity Ramp-up Driving Volume Growth 2008 2017 Q4 2019 End-2019 Site Site locations locations 1 5 Key Drivers of OCI Growth 9 Capacity: 1.3mtpa Capacity: 11.6 mtpa ▪ 2018: Natgasoline starts Capacity: 16.1 mtpa production, ramping up in 2019, and run-rate expected UAE in 2020 Europe 13% ▪ 2019: 24
Slide 8: OCI N.V. – ADNOC Partnership (Fertiglobe) | Strengthening Competitive Position
OCI N.V. – ADNOC Partnership (Fertiglobe) | Strengthening Competitive Position First-of-its Kind Export Platform Urea and Ammonia Global Seaborne Export League Table1 Sellable Ammonia and Urea Export League Table (mtpa) ▪ OCI N.V. and ADNOC have created Fertiglobe: 6.5 o Combining ADNOC’s fertilizer
Slide 9: Debt Maturity Profile – Pre and Post Refinancing October 2019
Debt Maturity Profile – Pre and Post Refinancing October 2019 Reduced short term refinancing risk and extended maturity profile Weighted Average Group Debt Maturity Profile: extended 6 months from 4.7 to 5.2 years $ million ▪ In October 2019, OCI successfully completed a 2,000 c.$1.4 billion equival
Slide 10: Details of Q3 2019 Results
OCI Details of Q3 2019 Results 10
Slide 11: Financial Highlights - Consolidated Statement of Income
Financial Highlights - Consolidated Statement of Income*) $ million Q3 2019 Q3 2018 9M 2019 9M 2018 Net revenue 633.9 773.5 2,183.9 2,311.0 Cost of Sales (618.3) (636.9) (1,950.4) (1,844.4) Gross profit 15.6 136.6 233.5 466.6 SG&A (45.4) (40.0) (143.9) (126.5) Other Income 2.0 6.0 4.8 26.1 Other exp
Slide 12: Financial Highlights – Reconciliation of Adjusted EBITDA
Financial Highlights – Reconciliation of Adjusted EBITDA Reconciliation of reported operating income to adjusted EBITDA $ million Q3 2019 Q3 2018 9M 2019 9M 2018 Adjustment in P&L Operating profit as reported (27.1) 100.4 91.9 362.9 Depreciation and amortization 132.9 112.7 357.7 317.5 EBITDA 105.8
Slide 13: Financial Highlights – Net Income Bridge to Adjusted Net Income
Financial Highlights – Net Income Bridge to Adjusted Net Income Reconciliation of reported net income to adjusted net income $ million Q3 2019 Q3 2018 9M 2019 9M 2018 Adjustment in P&L Reported net income attributable to shareholders (182.5) (15.0) (243.8) (30.0) Adjustments for: Adjustments at EBIT
Slide 14: Financial Highlights – Free Cash Flow
Financial Highlights – Free Cash Flow Reconciliation of EBITDA to Free Cash Flow and Change in Net Debt $ million Q3 2019 Q3 2018 9M 2019 9M 2018 EBITDA 105.8 213.1 449.6 680.4 Working capital 0.2 (20.3) (17.1) (61.1) Maintenance capital expenditure (78.0) (56.6) (123.3) (115.0) Tax paid (16.4) (31.
Slide 15: Product Sales Volumes ('000 metric tons)
Product Sales Volumes (‘000 metric tons) Q3 2019 Q3 2018 %Δ 9M 2019 9M 2018 %Δ Own Product Ammonia 457.2 500.9 (9%) 1,416.8 1,562.4 (9%) Urea 618.3 740.0 (16%) 1,923.6 2,211.4 (13%) Calcium Ammonium Nitrate (CAN) 155.3 243.5 (36%) 882.1 810.3 9% Urea Ammonium Nitrate (UAN) 379.3 359.6 5% 1,078.4 1,0
Slide 16: Segment Information
Segment Information Segment overview Q3 2019 $ million Nitrogen Nitrogen Europe Nitrogen MENA Methanol US Methanol Europe Eliminatio Other Total US ns Segment revenues 104.8 151.5 230.7 125.8 61.0 (5.0) - 668.8 Inter-segment revenues - (0.1) (19.9) (11.5) (3.4) - - (34.9) Total revenues 104.8 151.4
Slide 17: Segment Information
Segment Information Segment overview 9M 2019 $ million Nitrogen Nitrogen Europe Nitrogen MENA Methanol US Methanol Europe Eliminatio Other Total US ns Segment revenues 407.0 617.9 697.7 431.8 179.8 (9.8) - 2,324.4 Inter-segment revenues - (0.5) (75.5) (59.1) (5.4) - - (140.5) Total revenues 407.0 61
Slide 18: Appendix
OCI Appendix 18
Slide 19: Flexible Production Capabilities to Maximize Production of Most Profitable Products
Flexible Production Capabilities to Maximize Production of Most Profitable Products Max. Proven Capacities¹ ('000 metric tons) Total Total Total2) Plant Country Ammonia Ammonia Urea UAN CAN Fertilizer Melamine4 DEF Nitrogen Methanol OCI NV (Gross) (Net)3 Iowa Fertilizer Company5 USA 914 195 438 1,75
Slide 20: For OCI N.V. investor relations enquiries contact: Hans Zayed
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 20