Solvay Sa · EURONEXT:SOLB
Solvay Sa — Shareholder Meeting (May 2015)
25 slides from Solvay Sa's shareholder meeting presentation, May 12, 2015
Slide 1: Dedicated to building a model of sustainable chemistry
Dedicated to building a model of sustainable chemistry Jean-Pierre Clamadieu, Chairman of the Executive Committee & CEO
Slide 2: Multi-speed global economy
Multi-speed global economy 6.9% NORTH 1.7% 1.6% 6.1% AMERICA A “Chemical Renaissance” Europe 670 bn € BRAZIL 3.6% Economic 2.9% China crisis 540 bn € > 1.0 trillion € 5.0% USA 4.2% The end of bulk 0.6% 0.9% EUROPE chemicals 2.3% 1.3% Japan The volume Brazil Saudi Arabia ASIA maker Chemical Output GD
Slide 3: The trend towards further differentiated models is expected to continue
The trend towards further differentiated models is expected to continue Evolution of competitive landscape Value chain From integrated conglomerates… … to differentiated business models Integrated Oil & Gas majors Regional Petchem Petro chemicals Major companies with Diversified integrated models Ba
Slide 4: We are building a model of sustainable chemistry to meet the challenges of the planet
We are building a model of sustainable chemistry to meet the challenges of the planet
Slide 5: We are a world leader in the chemical industry
We are a world leader in the chemical industry 15 26,000 119 R&I employees industrial sites centers 52 € 10,213 € 1,783 countries million of net sales million of REBITDA 2014 figures General Meeting 5 May 12, 2015
Slide 6: Our geographical presence is well-balanced
Our geographical presence is well-balanced North America Latin America Europe Asia-Pacific 23% of net sales 11% of net sales 34% of net sales 32% of net sales 3,450 employees 3,050 employees 13,500 employees 6,000 employees 28 industrial sites 10 industrial sites 52 industrial sites 29 industrial si
Slide 7: Our strategy is structured along megatrends
Our strategy is structured along 3 megatrends Resource constraints Evolving demography and increased demand Innovation and consumer for sustainability acceleration behaviours General Meeting 7 May 12, 2015
Slide 8: We transform Solvay: more growth, less cyclical and higher returns
We transform Solvay: more growth, less cyclical and higher returns Increase Improve Cash Flow Enhance REBITDA Return On Investment environmental to 2.3-2.5* bn€ (CFROI) by more thant footprint 100 basis points Growth 10%+ CAGR * At YE 2013 perimeter General Meeting 8 May 12, 2015
Slide 9: We improve Solvay's portfolio to generate sustainable value
We improve Solvay’s portfolio to generate sustainable value DISCONTINUED OPERATIONS NOVECARE Benvic Inovyn™ Chemlogics Erca Indupa Quimica Reducing Dhaymers cyclical & Enhancing low-growth customized SPECIALTY POLYMERS solution offering businesses exposure Aonix** Ryton® PPS Eco Flux Services SPECIA
Slide 10: Our investment program is ambitious
Our investment program is ambitious Investments Continuing operations ERCA Alkoxylation Fluoropolymers excluding acquisitions China Netherlands In € m Ryton PPS Silica Vanillin 2 sites Poland China United-States Silica South Korea Stable 861 PEEK Polymers India 734 PEEK Polymers Bicarbonate United-S
Slide 11: We are innovating for more sustainable chemistry
We are innovating for Innovation more sustainable chemistry in figures 15 R&I centers 1,950 R&I staff RESPONSIBILITY OPEN INNOVATION R&I € 287 million R&I effort Assessing projects using Involving players from 80% of R&I realized the Sustainable Portfolio every horizon is the best in our Global Mana
Slide 12: We strive for excellence in all domains
We strive for excellence in all domains Impact of Excellence initiatives on REBITDA Innovation Commercial Operational excellence excellence excellence +250 m€ +120 m€ +300 m€ Total +670 m€ From 2013 to 2016 ~300 m€ delivered by end 2014 General Meeting 12 May 12, 2015
Slide 13: We provide performance solutions to diversified markets
We prodive performance solutions to diversified markets AUTOMOTIVE & AERONAUTICS 18% 26% CONSUMER GOODS & Differentiation BUILDING & HEALTHCARE CONSTRUCTION Regulation 12% Sustainable INDUSTRIAL development APPLICATIONS 16% 11% AGRO, FEED & FOOD 7% 10% ELECTRICAL & ELECTRONICS ENERGY & ENVIRONMENT D
Slide 14: Consumer goods & healthcare
Consumer goods & healthcare Sustainably improved quality of life We support our customers in developing competitive and differentiating products and services • Formulations for shampoos, shower gels, cosmetics, cleaning products, etc. • Silica in toothpaste • Synthesis products for perfumery • Very
Slide 15: Automotive and aeronautics
Automotive and aeronautics Sustainable mobility, reduced emissions We help manufacturers meet the challenges of sustainable mobility • Lithium salts and high performance polymers in the batteries of Bluecar, the Bolloré group's 100% electric city car • 19 specialty polymers for 68 automotive applica
Slide 16: Energy and environment
Energy and environment Natural environment protected, resources preserved Our proven expertise in energy performance enables us to develop renewable energy • Fluoropolymer film to protect photovoltaic cells: from our research for SOLAR IMPULSE • Environmentally friendlier solutions for oil and gas e
Slide 17: We are committed to responsible chemistry
We are committed to responsible chemistry
Slide 18: Doing business, being responsible
Doing business, being responsible Solvay Way, our responsible approach 100% 2 main of Group sites • Doing business in an ethical and assessed their dimensions responsible way • Minimizing our environmental impacts CSR* practices in 2014 Sustainable Portfolio Management (SPM), at the heart of our str
Slide 19: Autonomy and responsibility at the heart of our management model and people model
Autonomy and responsibility at the heart of our management model and people model An organization that is: • decentralized and agile • entrepreneurial • close to the client • Results-oriented A management model and a people model deployed across the Group with priority to: • responsibility • working
Slide 20: Our strong performance reflects the progress achieved
Our strong performance reflects the progress achieved
Slide 21: Solid performances in 2014
Solid performances in 2014 Net sales YoY REBITDA YoY 10.2 bn€ +5% 1.8 bn€ +11% Net income YoY Free Cash Flow YoY Dividend YoY 156 m€ -50% 656 m€ +35% 3.40 € gross / share +6% 2.55 € net Accounting impact, non cash, related to disposals of (422) m€ General Meeting 21 May 12, 2015
Slide 22: Growth supported by innovation and forex at 1st quarter 2015
Growth supported by innovation and forex at 1st quarter 2015 Net sales REBITDA +6.4% +12% 2,646 m€ vs. Q1’14 502 m€ at Q1’14 Net result Free Cash Flow 106 m€ (97) m€ 158 m€ vs. at Q1’14 (344) m€ vs. at Q1’14 General Meeting 22 May 12, 2015
Slide 23: Social and environmental results
Social and environmental results 1.06 14.7 14.4 Accidents 0.97 involving persons at Group’ sites (1) Greenhouse gas emissions (3) 2014 2013 2014 2013 2020 target Accidents per million Mt CO2 reached In progress working hours (2) equivalent 181 180 79% of the portfolio analyzed Energy according to
Slide 24: We are dedicated to building a new model of sustainable chemistry
We are dedicated to building a new model of sustainable chemistry Portfolio upgraded On track Excellence delivery 2016 Poised for growth General Meeting 24 May 12, 2015
Slide 25: The Solvay spirit: Making the impossible possible
The Solvay spirit Making the impossible possible 1863 Ernest Solvay invents a revolutionary industrial process for producing soda ash 1911 Solvay’s physicist congress 2015 An aircraft designed to fly round the world on solar energy alone General Meeting 25 May 12, 2015