Arkema Sa · EURONEXT:AKE
Arkema Sa — Q2 2015 Earnings Presentation
14 slides from Arkema Sa's earnings presentation, Jul 31, 2015
Slide 1: Second Quarter 2015 Results
SECOND QUARTER 2015 RESULTS 31 July 2015
Slide 2: 2Q'15 Highlights
2Q’15 HIGHLIGHTS +39%, significantly up YoY €2,106 m sales Including Bostik’s contribution of +27% With volumes up 2.1%* Excellent rise, up +52% YoY (€210 m in 2Q’14) Up +28% YoY excluding Bostik’s contribution €320 m EBITDA Good and promising performance of Bostik Solid contribution of new Thiochem
Slide 3: Where We Stand in 2Q'15 on Main Drivers
WHERE WE STAND IN 2Q’15 ON MAIN DRIVERS Strong performance Bostik Confirm its very promising start within Arkema Excellent technical and commercial start-up of the unit Thiochemicals in Malaysia Significant contribution with ramp-up a touch faster than initially planned Continue to be in low-cycle c
Slide 4: Bostik's Highlights
BOSTIK’S HIGHLIGHTS Strong performance which supports decision to acquire Bostik 1H’15 performance EBITDA of €89 m over 6m’15 (of which 5 months (of which 5 months inside Arkema) inside Arkema) • Up +15% versus 6m’14 EBITDA margin close to 11% Highly committed teams Implementation of synergies well
Slide 5: Organic Projects Announced Since April 2015
ORGANIC PROJECTS ANNOUNCED SINCE 1 APRIL 2015 BOSTIK SPECIALTY MOLECULAR SIEVES HOLT MELT PRESSURE SENSITIVE FOR OIL & GAS ADHESIVES (HONFLEUR, FRANCE) (BANGALORE, INDIA) X2 PRODUCTION CAPACITY EXPANSION OF PRODUCTION ~€60 m CAPEX Start up in 2 phases CAPACITIES in 2016 and 2017 5
Slide 6: 2Q'15 Key Figures
2Q’15 KEY FIGURES IN €M (EXCEPT EPS) 2Q’14* 2Q’15 VARIATION Sales 1,520 2,106 +38.6% EBITDA 210 320 +52.4% EBITDA margin 13.8% 15.2% Recurring operating income 130 208 +60.0% Adjusted net income 72 120 +66.7% Net income (Group share) 50 133 +166.0% Adjusted EPS** (euro) 1.09 1.65 +51.4% * Restated f
Slide 7: 2Q'15 Sales Bridge
2Q’15 SALES BRIDGE SALES IN €M Scope Volumes Price Currency of business +10.2% 2,106 +29.5% 1,520 +2.1%* (3.1)% Strong demand Mainly in Bostik acquisition Favorable euro / improvement in Coating US dollar FX rate June Solutions Acquisition of a stake in Sunke in Ramp-up of the Acrylics in China new
Slide 8: 1H'15 Sales Breakdown by Segment and Region
1H’15 SALES BREAKDOWN BY SEGMENT AND REGION 1H’15 sales by segment 1H’15 sales by region High Coating Performance Asia and Solutions 25% Materials RoW 28% (China: 9%) 34% 42% 28% 38% Europe €4.0 bn €4.0 bn 33% 38% 34% Industrial North Specialties America Favorable balance in current market condition
Slide 9: High Performance Materials
HIGH PERFORMANCE MATERIALS 2Q’15 KEY FIGURES 2Q’15 SALES DEVELOPMENT In €m 2Q’14* 2Q’15 variation Sales 427 907 +112.4% Volumes +2.7% EBITDA 76 149 +96.1% Prices +0.6% EBITDA margin 17.8% 16.4% Currency +9.1% Rec. operating income 52 111 +113.5% Scope +99.7% 2Q’15 HIGHLIGHTS 2Q’15 SALES BY BUSINESS
Slide 10: Industrial Specialties
INDUSTRIAL SPECIALTIES 2Q’15 KEY FIGURES 2Q’15 SALES DEVELOPMENT In €m 2Q’14* 2Q’15 variation Volumes +2.3% Sales 583 684 +17.3% Prices +2.9% EBITDA 85 128 +50.6% Currency +11.2% EBITDA margin 14.6% 18.7% Scope +0.9% Rec. operating income 52 84 +61.5% 2Q’15 HIGHLIGHTS 2Q’15 SALES BY BUSINESS LINE Th
Slide 11: Coating Solutions
COATING SOLUTIONS 2Q’15 KEY FIGURES 2Q’15 SALES DEVELOPMENT In €m 2Q’14* 2Q’15 variation Volumes +0.6% Sales 505 509 +0.8% Prices (13.3)% EBITDA 61 61 - Currency +10.1% EBITDA margin 12.1% 12.0% Scope +3.4% Rec. operating income 39 32 (17.9)% 2Q’15 HIGHLIGHTS 2Q’15 SALES BY BUSINESS LINE Acrylics (a
Slide 12: 2Q'15 Cash Flow
2Q’15 CASH FLOW IN €M 2Q’15 EBITDA 320 Working capital variation* (28) Excluding €27 m non-recurring items primarily relating to Bostik acquisition Taxes (63) Current taxes excluding impact of Bostik PPA Cost of debt (22) 2015e capex: ~ €450m computed with the 1.25 €/US$ rate used for the budget. Wi
Slide 13: 2015 Outlook
2015 OUTLOOK Macro-economic assumptions Arkema enters 2H’15 with confidence, while remaining cautious on the future development of the global economic environment Market conditions expected to remain volatile and contrasted with different dynamics depending on geographic regions and end-markets Tren
Slide 14: Disclaimer
DISCLAIMER The information disclosed in this document may contain forward-looking statements with respect to the financial condition, results of operations, business and strategy of Arkema. Such statements are based on management’s current views and assumptions that could ultimately prove inaccurate