Solvay Sa · EURONEXT:SOLB
Solvay Sa — Investor Presentation (April 2019)
26 slides from Solvay Sa's investor presentation, Apr 24, 2019
Slide 1: Why invest in Solvay?
Why invest in Solvay? Geoffroy Raskin Head of Investor relations
Slide 2: Forenote
FORENOTE This presentation may contain forward-looking information. Forward-looking statements describe expectations, plans, strategies, goals, future events or intentions. The achievement of forward-looking statements contained in this presentation is subject to risks and uncertainties relating to
Slide 3: An Advanced and Specialty Chemicals company
An Advanced and Specialty Chemicals company
Slide 4: Solvay ID
Solvay ID >70% >50% ~33% specialty in GDP+ in each products markets region Created by Ernest Solvay in 1863, Solvay is today all Advanced Materials Automotive & aerospace Europe Advanced Formulations Electrical & electronics North America about advanced materials and Performance Chemicals Resources
Slide 5: We commit to answering mega trends
We commit to answering mega trends Evolving demography Resource constraints Innovation and consumer behavior & demand for sustainability acceleration • New materials for smart cities • Global warming and climate • Information age & big data disruption • Ever more connected people • Acceleration of c
Slide 6: Giving shape to a unique portfolio
Giving shape to a unique portfolio ADVANCED MATERIALS ADVANCED FORMULATIONS PERFORMANCE CHEMICALS 43% of Group sales 30% of Group sales 27% of Group sales Polymer & Surface & Soda ash & Composite Liquid Peroxides technologies chemistry Electronics Healthcare Aerospace Automotive Oil & Gas Mining Agr
Slide 7: Because our planet requires more sustainable mobility
Because our planet requires more sustainable mobility Doing more with less AUTOMOTIVE AEROSPACE BATTERIES Cleaner and more Enhanced Higher performance MORE energy-efficient lightweighting & fuel and energy storage mobility efficiency Reduce impact Reduce CO2 Reduce cost LESS to environment emissions
Slide 8: We make planes lighter & more efficient
We make planes lighter & more efficient AERO 4.5% >8,000 50% 2X Annual growth Record high Weight of composites Number of aircrafts expected in passenger traffic order backlog on new aircrafts vs <15% on legacy to double in 20 years SURFACE BONDING & COATINGS MULTIFUNCTIONALITY PRIMARY STRUCTURES SEC
Slide 9: We make cars lighter & more efficient
We make cars lighter & more efficient AUTO 2.4% ~30% CAGR light vehicles CAGR hybrid & plug-in production in 5 years electric vehicles in ten years STRUCTURAL & SEMI-STRUCTURAL PARTS INTERIORS THERMAL & AIR INSULATION MANAGEMENT SYSTEMS ENGINE ENERGY-EFFICIENT COMPONENTS TIRES EMISSIONS CONTROL EXTE
Slide 10: We are positioned in all auto platforms, outpacing industry growth by 3X
We are positioned in all auto platforms, AUTO outpacing the industry growth by 3X [1] ICE+ (P)HEV EV Increasing loading per car [2] ~ 6kg ~ 12kg ~ 8kg Internal combustion engine Transmission Performance drives value proposal Electrical engine Battery Opportunity for composites Chassis / functional p
Slide 11: Because resource constraints require more efficient solutions
Because resource constraints require more efficient solutions Doing more with less MINING OIL & GAS AGRO Higher throughput Maximize cost Targeted use MORE and yield of metals performance and of ingredients for & minerals fracturing efficiency seeds & crops Reduce impact Reduce Less clean LESS to emp
Slide 12: Innovation at our core with strong connections to advance science
Innovation at our core with strong connections to advance science Steering open innovation & collaboration 3.4% €352 m effort 264 patent applications R&I intensity 2,200 talents 21 R&I sites +100bp vs 2012 Ernest Solvay established first 1911 prestigious meetings of top scientists* Establishing worl
Slide 13: …in a sustainable way
…in a sustainable way Contribute to society Among many initiatives, we Act worked with WBCSD to identify responsibly the SDGs most impacted by our industry Innovate sustainable solutions 2018 highlights 50% -1 Mt Sustainable Solutions GHG emissions absolute value > Higher volume growth on average, h
Slide 14: 2018 achievements
2018 achievements
Slide 15: We delivered solid organic growth in 2018
We delivered solid organic growth in 2018 vs 2017 Underlying figures + 5.7% + 5.3% + 12% Organic growth Organic growth Continuing operations Net Sales EBITDA Earnings per share + 6% + 4.2% Continuing operations Free Cash Dividend Flow Dierickx Leys Funds 15 April 24, 2019
Slide 16: Constantly focused to respect our commitments
Constantly focused to respect our commitments 2016 - 2018 Delivery 2016 - 2018 -20% GHG Intensity -24% kg CO2 eq. Emissions / € EBITDA +7.5% Mid-to-high single digit EBITDA growth Underlying % yoy 40% Sustainable solutions 50% % Group Sales -10 % Accident rate -30% Acc. with medical treatment / m wo
Slide 17: While creating value for Solvay's shareholders
While creating value for Solvay’s shareholders Underlying EPS Free cash flow to Solvay Dividend (in €) shareholders (in €) 3.75 10.57 725 3.60 (in € m) 3.45 3.30 9.08 8.19 527 7.40 466 148 2015 PF 2016 2017 2018 2015 PF 2016 2017 2018 2015 PF 2016 2017 2018 [1] +13% CAGR +70% CAGR +4.4% CAGR Dierick
Slide 18: In 2019, we open a new chapter in Solvay's history led by a new CEO
In 2019, we open a new chapter in Solvay’s history led by a new CEO Customer intimacy Operational Simplification excellence Ilham Kadri, CEO Excellence center Customer experience Employee Experience Since March 1, 2019 Dierickx Leys Funds 18 April 24, 2019
Slide 19: 2019 outlook
2019 outlook EBITDA Free Cash growth Flow Underlying at constant scope and forex Modest EBITDA growth in FY 2019 [1] Solid FCF, expected to continue to Q1 broadly flat versus Q1 2018 [2] deleverage the balance sheet Dierickx Leys Funds [1] Organic growth, excluding scope & forex conversion eff
Slide 20: Why invest in Solvay?
Why invest in solvay? Leading Advanced Innovative and Customer Solid Financial Consistent Materials and sustainable obsession Performance Shareholders Specialty Chemicals solutions to the Reward company market of the future Top-notch chemistry that Innovation towards Answers to fast-pacing One of th
Slide 21: Solvay share
Solvay share
Slide 22: Solvay share
Solvay share Share data MAJOR Number of shares 105,876,416 SHAREHOLDERS Market capitalization € 9 bn 63.17% 30.71% Listing Euronext Brussels & Paris Member code SOLB.BE Currency EUR Solvac ISIN code BE0003470755 Blackrock Inc. Deferred settlement service Eligible 3.40% SSOM Shares savings plan PEA E
Slide 23: Becoming a shareholder of Solvay
Becoming a shareholder of Solvay HOW TO HOLD SOLVAY ORDINARY SHARES Dematerialized shares Your shares remain with your financial intermediary, who manages them Registered shares Your shares are registered directly in Solvay Register, and Benefits of registered shares managed by Solvay Registered Sha
Slide 24: Shareholders publications
Shareholders publications Dedicated to offer relevant and timely information to our shareholders Visit Solvay Shareholders’ Integrated Annual Report corner and subscribe to the Investors’ Club to receive our Shareholders’ Guide future publications Shareholders’ Letters Created in 2014, Solvay Invest
Slide 25: Investor relations
investor relations Events Geoffroy Raskin Head of Investor Relations +32 2 264 1540 [email protected] Laetitia Van Minnenbruggen Retail Manager +32 2 264 3025 [email protected] Latest news Shareholders service +32 2 639 6633 [email protected] Dierickx L
Slide 26: www.solvay.com
Investor Relations Shareholders Services Rue De Ransbeek, 310 Rue des Champs Elysées, 43 1120 Brussels, Belgium 1050 Brussels, Belgium T +32 2 264 3025 T +32 2 639 6630 M [email protected] M [email protected] www.solvay.com FOLLOW US ON QUESTIONS? Contact us investor.relations@solv