Boryszew S.a. · GPW:BRS
Boryszew — FY2022 Earnings Presentation
24 slides from Boryszew's earnings presentation, 2023
Slide 1: Boryszew Group FY 2022 Financials
BORYSZEW GROUP FY 2022 FINANCIALS 1
Slide 2: FY 2022 Summary & Consolidated Results
1. FY 2022 Summary & Consolidated 2. 3. Results Performance of Prospects for the business coming quarters segments 2
Slide 3: Key Factors Affecting the Group's Performance in FY 2022
KEY FACTORS AFFECTING THE GROUP’S PERFORMANCE IN FY 2022 High prices in Q1-Q3 Easing supply crunch in Lower prices of key raw Good financial ratios: Shorter supply chains due the automotive sector materials and higher • continued decline in to the war Growth of orders prices of utilities working cap
Slide 4: FY 2022 Summary
FY 2022 SUMMARY Consolidated revenue Adjusted EBITDA1 [PLN m] [PLN m] 22.3% 11.8% 8.4% 3.2% 6 791 6 264 5 555 346 375 387 FY 2020 FY 2021 FY 2022 FY 2020 FY 2021 FY 2022 Net profit [PLN m] -59.7% 38.2% 281 82 114 FY 2020 FY 2021 FY 2022 1 Adjusted for one-offs 4
Slide 5: FY 2022 Summary
FY 2022 SUMMARY Consolidated revenue Comparable basis consolidated revenue [PLN m] [PLN m] 22.3% 66.3% 8.4% 24.1% 6 791 6 791 5 555 6 264 5 473 4 084 FY 2020 FY 2021 FY 2022 FY 2020 FY 2021 FY 2022 5
Slide 6: FY 2022 Summary
FY 2022 SUMMARY Reported EBITDA Adjusted EBITDA [PLN m] [PLN m] 58.2% 96.8% 14.6% 18.7% 481 1501 344 395 387 327 249 196 FY 2020 FY 2021 FY 2022 FY 2020 FY 2021 FY 2022 One-offs [PLN m] FY 2020 FY 2021 FY 2022 Impairment of assets 31 30 Asset sale/liquidation -60 Provision for risks 97 23 1 Structur
Slide 7: EBITDA Bridge [PLN m]
FY 2023 EBITDA1 BRIDGE [PLN m] 3.2% 82 387 375 -24 11 -9 -48 FY 2021 Structure changes 2 Metals Automotive Chemicals Other FY 2022 1 Adjusted for one-offs 7 2 Structure changes: sale of FŁT and Elana PET, and Hutmen – termination of operations
Slide 8: Capital Expenditures [PLN m]
CAPITAL EXPENDITURES [PLN m] 259 22 59,9% 15 175 162 Other 58 32,5% 53 Chemicals Metals 163 122 Automotive FY 2020 FY 2021 FY 2022 • CAPEX doubled on FY 2020 and up by 60% on FY 2021; • Development investment – PLN 145 million, including: • Automation of the production process of A/C tubes for elect
Slide 9: Working Capital and Debt [PLN m]
WORKING CAPITAL AND DEBT [PLN m] Net working capital Receivables/Inventories/Liabilities -3.9% 1 097 1 020 982 966 960 900 975 980 927 736 992 1 026 1 092 1 120 1 035 -10,6% -3,7% -1,7% 13,6% -899 -1 004 -1 025 -998 -790 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022
Slide 10: FY 2022 Summary
FY 2022 SUMMARY Consolidated revenue Revenue by segment [PLN m] -3.7% (4.8%1) Metals Automotive Chemicals 4,9% 4,5% 4,4% 4,6% 4,9% 130 1 21,9% 22,0% 22,9% 24,7% 29,4% 1 834 1 703 1 707 1 477 1 548 67,2% 67,1% 65,4% 59,8% 59,2% Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q
Slide 11: FY 2022 Summary
FY 2022 SUMMARY Reported EBITDA Adjusted EBITDA [PLN m] [PLN m] -29.8% -20.2% (-11.8%1) 81 135 77 100 85 68 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 172 One-offs [PLN m] Q4 2021 Q2 2022 Q4 2022 100 85 Impairment of assets 31 30 54 38 Asset sale/liquidation -60 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022
Slide 12: Performance of Business Segments
2. Performance of 1. business segments 3. Prospects for the FY 2022 coming quarters Summary & Consolidated Results 12
Slide 13: Revenue [PLN m]
REVENUE [PLN m] -3.7% (4.8%1) Y/Y Revenue by segment Q4 Q1 Q2 Q3 Q4 change [PLN m] 2021 2022 2022 2022 2022 Q4 2022/ Q4 2021 130 1 Metals 1,081 1,142 1,200 1,020 916 -15.2% 1 703 1 834 1 707 Automotive 352 375 419 421 455 29.3% 1 477 1 548 Chemicals 79 77 80 79 75 -4.6% Other2 95 109 134 187 101 5.7
Slide 14: EBITDA [PLN m]
EBITDA1 [PLN m] -20.2% (-11.8%2) EBITDA by segment Q4 Q1 Q2 Q3 IVQ [PLN m] 2021 2022 2022 2022 2022 Metals 93.8 99.0 120.9 72.0 48.4 Automotive 0.1 -1.7 7.9 7.0 17.8 82 135 Chemicals -15.1 3.7 4.1 2.0 0.5 100 85 77 68 Other3 6.2 -1.0 1.8 3.8 1.0 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 • Consolidated
Slide 15: Investment Projects in Response to Market Trends
INVESTMENT PROJECTS IN RESPONSE TO MARKET TRENDS Construction of new production plants in China and Mexico; Electromobility continued expansion of A/C hose production line Production capacity expansion Energy-efficient electricity of overhead power lines at NPA transmission and distribution Skawina
Slide 16: Growth Prospects of the Electric Vehicle Market
GROWTH PROSPECTS OF THE ELECTRIC VEHICLE MARKET Registrations of BEVs2 in Europe Global BEV2 production in thousands (ACEA1) 2022 2023E 2030F forecast (in thousands) 29.3% Tesla 1,370 1,800 20,000 14.0%3 Hyundai 209 330 1,870 10.3%3 1 575 Volkswagen 595 950 50% 1 218 BMW 215 378 50% FY 2021 FY 2022
Slide 17: Nominations for New Projects
NOMINATIONS FOR NEW PROJECTS Total value of new contracts signed in 2021-2023 with EOP1 2036: EUR 878.5 million. Share of nominations concerning electric vehicles Year Value of new contracts in the total value of nominations throughout the project life cycle 2021 EUR 521.3 million 69.3% 2022 EUR 98.
Slide 18: Automotive Segment Results [PLN m]
AUTOMOTIVE SEGMENT RESULTS [PLN m] 29.3% 0.0%1 178x 3.9%1 419 421 455 352 375 0,1 17,8 7,9 7,0 -1,7 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Revenue EBITDA • Segment’s revenue growth in Q4 2022 by 29.3% y/y due to: • higher sale volumes at Maflow as the effect
Slide 19: Metals Segment Results [PLN m]
METALS SEGMENT RESULTS [PLN m] -15.2% (-3.6%1) 9.0%2 -48.4% (-43.5%1) 5.3%2 130 1 1 142 1 200 81 951 1 020 916 121 86 99 72 48 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 IVQ21 IQ22 IIQ22 IIIQ22 IVQ22 Revenue EBITDA3 • On comparable basis Segment’s revenue down by 3.6% on Q4 2021 and EBITDA down by 43.5
Slide 20: Investment in the Energy Sector
INVESTMENT IN THE ENERGY SECTOR Investment in the development of power grids [USD bn]1 215% NET-ZERO 820 EMISSIONS 2050 260 2020 2030 The market’s Number The market’s annual Country Time perspective volume potential [t] of years volume potential [t] Poland 107,896 2023-2030 8 13,487 Czech Rep. 26,09
Slide 21: Chemicals Segment Results [PLN m]
CHEMICALS SEGMENT RESULTS [PLN m] -4.6% -19.2%2 0.7%2 103.5% 2,0 0,5 79 77 80 79 75 3,7 4,1 -15,1 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Revenue EBITDA1 1 Adjusted for one-offs 2 EBITDA margin 21
Slide 22: Prospects for the Coming Quarters
3. Prospects for the 1. 2. • 3. coming quarters FY 2022 Performance of Summary & business Consolidated segments Results 22
Slide 23: Prospects for the Next Quarters
PROSPECTS FOR THE NEXT QUARTERS Acceleration of Strategy electromobility (new EU Continuing high Economic slowdown implementation law on registration of inflation combustion engine cars) Acquiring project Prolonged financing from the Simplification of the Group’s Continued restructuring implementati
Slide 24: Thank you!
Thank you! Boryszew Group is: • one of the largest private industrial groups in Poland; • the largest non-ferrous metals processing group in Poland and CEE; • the largest manufacturer of automotive components in Poland. The Group operates 35 manufacturing plants and 6 R&D centres located in Europe,