Arkema Sa · EURONEXT:AKE
Arkema Sa — Q1 2016 Earnings Presentation
12 slides from Arkema Sa's earnings presentation, May 11, 2016
Slide 1: First Quarter 2016 Results
FIRST QUARTER 2016 RESULTS 11 MAY 2016
Slide 2: A Very Strong Quarter
A VERY STRONG QUARTER +1.2% YoY €1,893 m sales Volumes up +2.5% supported by innovation and recently started production units +27% YoY (€237 m in 1Q’15) with a very limited scope effect €302 m EBITDA A record high for a first quarter Up 330 basis points YoY 16% EBITDA margin Driven by excellent marg
Slide 3: 1Q'16 Take-aways
1Q’16 TAKE-AWAYS STRONG START STRUCTURAL DRIVERS STRONG POTENTIAL TO THE YEAR SUPPORTING OF BOSTIK HIGHER EARNINGS CONFIRMED SUCCESSFUL EXECUTION OUTLOOK FOR THE YEAR OF STRATEGY CONFIRMED 3 FIRST QUARTER 2016 RESULTS
Slide 4: Where Do We Stand on 2016 Priorities?
WHERE DO WE STAND ON 2016 PRIORITIES? DIVESTMENT BOSTIK THIOCHEMICALS FLUOROGASES PROGRAM Further good progress Targeted contribution Gradual recovery Project* to divest with strong YoY over a full year in line with Group’s activated carbon improvement (last 12 months) assumptions and filter aid act
Slide 5: 1Q'16 Key Figures
1Q’16 KEY FIGURES IN €M (EXCEPT EPS) 1Q’15 1Q’16 VARIATION Sales 1,871 1,893 +1.2% EBITDA 237 302 +27.4% EBITDA margin 12.7% 16.0% Recurring operating income 133 191 +43.6% Adjusted net income* 65 106 +63.1% Net income - Group share 42 98 +133.3% Adjusted EPS* (in euros) 0.89 1.42 +59.6% * Adjusted
Slide 6: 1Q'16 Sales Bridge
1Q’16 SALES BRIDGE SALES In €m Scope Volumes Price of business Currency +2.5% (5.5)% +4.9% (0.8)% Innovation in Acrylic cycle +1 month Bostik Technical Polymers Lower raw Divestment of Developments material prices Sunclear in adhesives 1,871 Thiochemicals 1,893 in Malaysia Acrylic downstream 1Q’15 1
Slide 7: High Performance Materials
HIGH PERFORMANCE MATERIALS 1Q’16 KEY FIGURES 1Q’16 SALES DEVELOPMENT IN €M 1Q’15* 1Q’16 variation Volumes +3.5% Sales 742 868 +17.0%** Prices (1.7)% EBITDA 111 149 +34.2% Currency (1.6)% EBITDA margin 15.0% 17.2% - Rec. operating income 76 112 +47.4% Scope +18.0% 1Q’16 HIGHLIGHTS 1Q’16 SALES BY BUSI
Slide 8: Industrial Specialties
INDUSTRIAL SPECIALTIES 1Q’16 KEY FIGURES 1Q’16 SALES DEVELOPMENT IN €M 1Q’15* 1Q’16 variation Volumes +1.8% Sales 626 586 (6.4)%** Prices (3.0)% EBITDA 93 129 +38.7% Currency - EBITDA margin 14.9% 22.0% - Rec. operating income 52 85 +63.5% Scope (6.4)% 1Q’16 HIGHLIGHTS 1Q’16 SALES BY BUSINESS LINE P
Slide 9: Coating Solutions
COATING SOLUTIONS 1Q’16 KEY FIGURES 1Q’16 SALES DEVELOPMENT IN €M 1Q’15* 1Q’16 variation Volumes +2.0% Sales 496 432 (12.9)% Prices (14.4)% EBITDA 53 50 (5.7)% Currency (0.3)% EBITDA margin 10.7% 11.6% - Rec. operating income 25 20 (20.0)% Scope (0.1)% 1Q’16 HIGHLIGHTS 1Q’16 SALES BY BUSINESS LINE G
Slide 10: 1Q'16 Cash Flow
1Q’16 CASH FLOW IN €M 1Q’16 EBITDA 302 Usual seasonality of working capital Working capital variation (1) (190) 16.7% working capital over annualized sales ratio against 17.8% end of March 2015 (2) Taxes (61) Current taxes excluding impact of Bostik PPA Cost of debt (19) 2016e capex: ~ €450m at 1.10
Slide 11: 2016 Outlook
2016 OUTLOOK A world economy remaining slow and volatile: Overall moderate global growth with low visibility and different dynamics by region Volatility in currencies, energy and raw material prices Strong organic momentum driven by: Continuous development of Bostik including ramp-up of synergies Pr
Slide 12: Disclaimer
DISCLAIMER The information disclosed in this document may contain forward-looking statements with respect to the financial condition, results of operations, business and strategy of Arkema. Such statements are based on management’s current views and assumptions that could ultimately prove inaccurate