Tessenderlo Group N.v. · EURONEXT:TESB
Tessenderlo — FY2013 Earnings Presentation
27 slides from Tessenderlo's earnings presentation, Feb 26, 2014
Slide 1: Fourth Quarter 2013 and FY 2013 Results
TESSENDERLO GROUP Fourth Quarter 2013 and FY 2013 Results February 26, 2014
Slide 2: Highlights
Highlights Significant transformation work completed • In 2013, Tessenderlo Group completed a major divestment process which started in 2010 • The group launched its plan for the future for the profitability of its Ham (Belgium) potassium sulphates business • Selective growth initiatives were implem
Slide 3: Operational Highlights
Operational Highlights GROUP KEY FIGURES % Change at % Change at 4Q13 4Q12 comparable Million EUR FY13 FY12 comparable scope scope Revenue 1790.1 2129.6 346.0 503.9 -12.4% -2.9% REBITDA 9.1 24.5 -56.4% 116.6 160.0 -24.1% 2.6% 4.9% REBITDA margin 6.5% 7.5% REBIT -6.3 4.7 -255.7% 45.8 74.8 -41.1% -1.8
Slide 4: 4Q13 revenue by operating segment
4013 revenue by operating segment Million EUR and % increase versus 4Q12 at comparable scope -3.3% -2.5% 4.9% 14.7% -24.3% Scope Non-allocated Other PPS& Tessenderlo Gelatin& Inorganics Businesses _ profiles Kerley Akiolis (109.2) —= 1.0 0.8 1.7 — oo eT) i ) Y -12.4% -48.8 Revenue Revenue 4Q12 4Q13
Slide 5: FY13 revenue by operating segment
FY13 revenue by operating segment Million EUR and % increase versus FY12 at comparable scope 1.7% AB% 18% -3.9% 8.6% Scope Tessenderlo Other Gelatin & PPS& Kerley Non-allocated Businesses Akiolis Profiles Inorganics 455 +4.8 (2.8) (9.4) (16.8) (34.7) \ ) Y -2.9% -53.4 Revenue Revenue FY12 FY13 * FY
Slide 6: 4Q13 REBITDA by operating segment
4Q13 REBITDA by operating segment Million EUR and % increase versus 4Q12 at comparable scope PPS & Non- Tessenderlo Other Gelatin & Inorganics allocated Kerley Businesses Profiles Akiolis Scope +0.1 +0.9 +0.7 (3.5) +2.9 +1.6 (18.0) 24.5 -56.4% 9.1 -11.8 REBITDA REBITDA 4Q12 4Q13 • REBITDA decreased
Slide 7: FY13 REBITDA by operating segment
FY13 REBITDA by operating segment Million EUR and % increase versus FY12 at comparable scope Other PPS & Tessenderlo Inorganics Non-allocated Gelatin & Scope Businesses Profiles Kerley Akiolis +2.1 (1.1) (1.5) (6.5) +10.4 (8.2) (38.6) 160.0 -24.1% 116.6 -36.9 REBITDA REBITDA FY12 FY13 • FY13 REBITDA
Slide 8: Net debt position
Net debt position Million EUR 900.0 5.2 5 750.0 2.9 2.5 3 3.3 600.0 1.6 1.5 2.0 2.2 1 450.0 0.9 1.1 393.9 332.4 340.8 283.2 305.2 79.9 -1 300.0 81.9 123.4 85.8 121.2 150.0 314.0 -3 219.4 258.9 209.0 162.0 0.0 -5 31/12/2009 31/12/2010 31/12/2011 31/12/2012 31/12/2013 Net debt (Million EUR) Non-recour
Slide 9: Outlook
Outlook Based on current assumptions, which include low visibility in the fragile economic environment, Tessenderlo Group anticipates that 2014 REBITDA will be broadly in line with 2013 REBITDA at the same scope of activity. Compared to 2013, 2014 REBITDA is expected to be lower in the first and sec
Slide 10: Disclosure update
Disclosure update Trading updates • More focused disclosure for first and third quarters • Published earlier and aligned with Picanol Group timing • Allows increased management time for the business Updated 2014 calendar • First quarter trading update April 30 2014 • Second quarter and half year res
Slide 11: 4Q13 group revenue and REBITDA per segment
4Q13 group revenue and REBITDA per segment Revenue (% of total) REBITDA (% of total*) 9.1 mEUR Non-allocated Other businesses 0.4% 6.3% Gelatin Tessenderlo & Kerley Akiolis 69.8% Tessenderlo Kerley 18.0% 35.5% 346.0 mEUR 19.0% 31.3% Plastic Pipe Systems and Profiles PPS & Profiles 20.7% 9.3% Inorgan
Slide 12: FY13 group revenue and REBITDA per segment
FY13 group revenue and REBITDA per segment Revenue (% of total) REBITDA (% of total*) Non-allocated 0.3% Other businesses Inorganics 3.1% Other businesses Gelatin 8.6% & Akiolis 8.2% Tessenderlo Gelatin 28.7% Kerley & 18.6% Akiolis Tessenderlo 19.7% 1,790.1 116.6 48.1% Kerley mEUR mEUR 20.7% 23.1% I
Slide 13: Tessenderlo Kerley
REBITDA (% of total) Tessenderlo Kerley FY13 48.1% Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) 400 24.2% 80 70 21.4% 300 2012 60 50 18.3% 2013 200 332.2 40 16.4% 79.2 326.8 30 71.0 100 20 65.4 62.2 10 10.7 11.4 0 0 4Q FY 4Q FY Revenue 4Q FY REBITDA 4Q FY % Change at % Change at
Slide 14: Gelatin and Akiolis
REBITDA (% of total) 19.7% Gelatin and Akiolis FY13 Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) 12.9% 600 67 5.7% 500 57 2012 400 47 11.0% 2013 37 300 524.0 514.6 27 -1.7% 200 17 67.7 100 144.1 122.9 7 15.9 29.1 0 -3 4Q FY 4Q -2.1 FY Revenue 4Q FY REBITDA 4Q FY % Change at % Cha
Slide 15: Inorganics
REBITDA (% of total) 8.2% Inorganics FY13 Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) 500 25 20 400 3.3% 2012 15 2.1% 0.4% 300 2013 10 405.0 0.0% 200 370.2 12.1 5 1.5 1.7 100 0.0 0 94.7 71.7 4Q FY 0 -5 4Q FY Revenue 4Q FY REBITDA 4Q FY % Change at % Change at -24.3% -8.6% nm nm
Slide 16: Plastic Pipe Systems and Profiles
REBITDA (% of total) Plastic Pipe Systems and Profiles FY13 20.9% Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) (3.5) (114.4) 600 40 7.5% 6.6% 500 net scope 35 7.8% 2012 30 4.0% 400 (61.4) 2013 25 (2.9) 300 544.4 20 36.0 200 413.2 15 30.9 10 100 128.9 65.9 5 0 5.1 5.1 0 4Q FY 4Q F
Slide 17: Other Businesses
REBITDA (% of total) 3.1% Other Businesses* FY13 * Includes Compounds, OCD, Pharma, Water Treatment and Sulfur Derivatives Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) 20 400 (172.5) 18 net scope 16 3.0% 300 2012 14 1.8% 1.7% 2013 12 1.3% 200 (48.1) 10 (3.0) (0.6) 8 329.5 6 100 1
Slide 18: REBIT to Profit details for 4Q13
REBIT to Profit details for 4Q13 Million EUR Non-recurring Net finance Income Tax Share of result REBIT 4Q13 items EBIT costs Expense of investments PROFIT 4Q13 (6.3) (10.7) (4.4) (17.8) (6.7) (6.7) (1.0) 0.6 18
Slide 19: REBIT to Profit details for FY13
REBIT to Profit details for FY13 Million EUR Non-recurring Net finance Income Tax Share of result REBIT 12M13 items EBIT costs Expense of investmentsPROFIT 12M13 45.8 (64.4) (27.3) (18.7) (21.4) (27.3) (65.1) (23.4) 4.2 19
Slide 20: Non-recurring items 4Q13
Non-recurring items 4Q13 Million EUR Capital gain on sale Losses on disposal of non strategic Provisions and groups classified Other income and Total non-recurring assets claims Restructuring Impairment losses as held for sale expenses items 0.4 (0.8) 7.2 (3.2) (0.0) (8.0) (4.4) Mainly: Mainly: 10.8
Slide 21: Non-recurring items FY13
Non-recurring items FY13 Million EUR Losses on Capital gain on disposal groups sale of non Provisions and classified as held Other income and Total non- strategic assets claims Restructuring Impairment losses for sale expenses recurring items 4.9 5.7 (37.6) (64.4) (5.6) (15.8) Mainly: (16.1) 4.9 m E
Slide 22: Net debt evolution 4Q13
Net debt evolution 4Q13 Million EUR Net debt Net debt 30/09/2013 31/12/2013 (232.7) (258.9) CAPEX Change in WC (before Non-recurring factoring) (25.8) and other Financial charges Change in Sale of non- Capital Dividends REBITDA & taxes factoring strategic assets increase received 23.3 (16.0) (9.1) (
Slide 23: Net debt evolution FY13
Net debt evolution FY13 Million EUR Net debt Net debt 31/12/2012 31/12/2013 (258.9) (314.0) REBITDA CAPEX Sale of non- 116.6 strategic assets (99.2) Non-recurring and other Change in WC Financial charges 89.2 (before (45.2) & taxes Dividends factoring) Change in Dividends paid Capital received Acqui
Slide 24: Group Trade Working Capital
Group Trade Working Capital Million EUR 700 30% 25% 600 21.3% 19.8% 19.3% 20% 500 19.7% 15% 400 17.0% 16.9% 10% 300 417.1 5% 200 361.1 0% 100 301.7 -5% 0 -10% December 2011 December 2012 December 2013 Trade Working Capital excluding factoring Trade Working Capital excluding factoring/Last 12 months
Slide 25: Balance Sheet
Balance Sheet Million EUR 1800.0 1600.0 1,379.7 1,263.0 1,089.9 1800.0 1,379.7 1,263.0 1,089.9 Non-current assets held for1400.0 sale 7.8 1600.0 64.4 0.0 1400.0 1200.0 40.6 Liabilities associated 8.8 1200.0 8.3 with assets classified Other current assets 1000.0 641.7 520.8 as held for sale 542.0 100
Slide 26: Appendix – new segmentation
Appendix – new segmentation Agro segment • Tessenderlo Kerley Core (fertilizer activities) • Tessenderlo Kerley International (fertilizer activities outside North America) • NovaSource (crop protection activities) • Sulphates Bio-valorization • Akiolis • Gelatin Industrial solutions • Plastic Pipe S
Slide 27: 4Q13 Results February 26, 2014
Tessenderlo Group is a worldwide specialty company, focused on food, agriculture, water management and on valorizing bio- residuals. The group employs about 5,000 people and is a leader in most of its markets, with a consolidated revenue of 1.8 billion EUR in 2013. Tessenderlo Chemie NV is listed on