Umicore Sa · EURONEXT:UMI
Umicore Sa — Shareholder Meeting (April 2017)
26 slides from Umicore Sa's shareholder meeting presentation, Apr 25, 2017
Slide 1: Shareholders' Meetings
Shareholders’ Meetings 25 April 2017 Shareholders’ Meetings 2017 1
Slide 2: Agenda
Agenda • Horizon 2020 objectives • Review of 2016 performance • Q1 2017 trading update • Governance review • Voting Shareholders’ Meetings 2017 2
Slide 3: Megatrends are strengthening
Megatrends are strengthening CLEAN ELECTRIFIED CIRCULAR AIR VEHICLES ECONOMY Shareholders’ Meetings 2017 3
Slide 4: Horizon 2020 objectives
Horizon 2020 objectives Horizon 2020 objectives Societal alignment Economic performance Strengthen Double the Rebalance leadership earnings portfolio Value chain and society Sustainable Sustainable supply products & services Eco-efficiency Efficient operations Great place to work Safety Health Peopl
Slide 5: Review of 2016 performance
Review of 2016 performance Shareholders’ Meetings 2017
Slide 6: Progress: Doubling the earnings
Progress: Doubling the earnings million € Recurring EBIT* • Revenues* of € 2.4 billion (+3%) 600 500 • Recurring EBIT* of € 320 million (+7%) 400 320 299 300 255 • Strong growth in Automotive Catalysts and 200 Rechargeable Battery Materials 100 0 • ROCE of 14.6% (versus 13.7% in 2015) 2014 2015 2016
Slide 7: Progress: Leadership in clean mobility and recycling
Progress: Leadership in clean mobility and recycling Recycling ▲ Capacity increase investments in Hoboken ▲ Upgrading cobalt refining and recycling facility in Olen Clean mobility ▲ Expansion in China and South Korea to triple cathode material capacity ▲ New production plants for automotive catalyst
Slide 8: Progress: A more balanced and focused portfolio
Progress: A more balanced and focused portfolio Balance Focus REBIT by business group RE 35% CA 42% EST 23% Shareholders’ Meetings 2017 8
Slide 9: Progress: Value chain & society
Progress: Value chain & society Revenues from clean mobility and • 62% of products and services already related to clean recycling mobility and recycling • Risk mapping at all business units for critical raw materials • Very positive reception from customers to Umicore’s ethical cobalt procurement a
Slide 10: Progress: Eco-efficiency
Progress: Eco-efficiency • 7% improvement in energy efficiency • Further improvements in overall impact of metal emissions • Comprehensive action plan and investments underway in Hoboken to reduce lead exposure from dust Shareholders’ Meetings 2017 10
Slide 11: Progress: Great place to work - Health & Safety
Progress: Great place to work - Health & Safety • Safety and health Number of lost time accidents 70 • Safety performance worsened 59 60 49 47 50 • Increase in excess readings from biomonitoring 40 35 37 30 • Actions 20 10 • Risk competence project to raise safety awareness 0 levels 2012 2013 2014 2
Slide 12: Progress: Great place to work - Employee engagement
Progress: Great place to work - Employee engagement Women representation Focus on diversity in senior management 15% 15.00% • Introduction of a voluntary target of 15% women in senior management functions by 2020 12% 9.49% 9.09% • Aim to increase the representation of non-Europeans in 8.70% 8.33% se
Slide 13: Shareholder returns
Shareholder returns Total shareholder return • Dividend of € 1.30 per share proposed 50% • Corresponds to 61% payout ratio based on recurring EPS 43.4% of € 2.14 per share 40% 34.0% • Best performing stock in the Bel20 for 2016 (+40%) 30% 19.7% 20% 10% 1.0% 0% 2012 2013 2014 2015 2016 -10% -20% -16.
Slide 14: Q1 trading update
Q1 trading update Shareholders’ Meetings 2017
Slide 15: Highlights Q1 2017
Highlights Q1 2017 Strong growth in revenues from continued operations (+13%): • Energy & Surface Technologies +29%: substantial growth in Rechargeable Battery Materials and higher demand and prices in Cobalt & Specialty Materials • Catalysis +9%: growth in Automotive Catalysts for LDV and HDD • Rec
Slide 16: Outlook 2017
Outlook 2017 Umicore expects full year recurring EBIT to be in a range of € 370 million to € 400 million assuming current market conditions continue to prevail. Excluding discontinued operations, this equates to a range of € 355 million to € 385 million and would represent an increase of 11% to 20%
Slide 17: Governance
Governance Shareholders’ Meetings 2017
Slide 18: Board of Directors
Board of Directors Key topics discussed by the Board in 2016 • Financial performance and budget for the Group • EU-Market Abuse Regulation and approval of a new Umicore Dealing Code • Investment projects • Business updates, technology review and risk assessment • Board and ExCom succession 5 full Bo
Slide 19: Executive remuneration: policy & principles
Executive remuneration: policy & principles Compensation & benefits package includes • Fixed remuneration reflecting the level of responsibility • Variable (cash remuneration) with 50% deferred over a period of 2 and 3 years • Share-based incentives: share grant + stock options (both with lock up of
Slide 20: Executive remuneration 2016
Executive remuneration 2016 (in EUR) CEO 2015 2016 Shares & options held by the Executive fixed 660,000 660,000 variable for the year 220,000 210,000 Committee at end 2016 variable deferred from prior year 74,250 90,450 variable deferred from year prior to prior year 76,950 81,000 • Outstanding opti
Slide 21: Proposed Board members
Proposed Board members Liat Ben-Zur Gérard Lamarche Shareholders’ Meetings 2017 21
Slide 22: Voting
Voting Shareholders’ Meetings 2017
Slide 23: Agenda items
Agenda items Ordinary shareholders’ meeting 1. Annual report of the Board of directors and report of the statutory auditor on the statutory annual accounts 2016 2. Approval of the remuneration report 3. Approval of the statutory annual accounts 2016 including the proposed allocation of the result 4.
Slide 24: Agenda items
Agenda items 5. Discharge to the directors 6. Discharge to the statutory auditor 7. Board composition and remuneration • Re-electing Mrs Ines Kolmsee as independent director for a period of three years • Appointing Mrs Liat Ben-Zur as independent director for a period of three years • Appointing Mr
Slide 25: Agenda items
Agenda items Extraordinary shareholders’ meeting 1. Renewal of the authorisation to acquire own shares Shareholders’ Meetings 2017 25
Slide 26: Shareholders’ Meetings 2017
Shareholders’ Meetings 2017 26