Tessenderlo Group N.v. · EURONEXT:TESB
Tessenderlo — Q3 2012 Earnings Presentation
26 slides from Tessenderlo's earnings presentation, Nov 15, 2012
Slide 1: Third Quarter 2012 Results
TESSENDERLO GROUP Third Quarter 2012 Results November 15, 2012
Slide 2: Highlights
Highlights Continued progress in strategy execution • Tessenderlo Group announced in early October that it had launched a turnaround project to reposition its Loos (France) site to focus on the production of water treatment chemicals, securing the group’s leading position in this profitable growth s
Slide 3: 3Q12 revenue by operating segment
3Q12 revenue by operating segment Million EUR and % increase versus 3Q11 at comparable scope +23.7% +7.1% -1.3% -1.9% -13.0% Tessenderlo Gelatin & Other PPS & Akiolis Businesses Inorganics Scope Kerley Profiles (5.2) +8.5 (1.0) (2.6) (15.4) +13.4 519.8 + 0.6% 517.5 + 2.9 Revenue Revenue 3Q11 3Q12 •
Slide 4: 9M12 revenue by operating segment
9M12 revenue by operating segment Million EUR and % increase versus 9M11 at comparable scope +22.4% +6.6% -0.6% -4.5% -4.3% Tessenderlo Gelatin & Other PPS & Scope Kerley Akiolis Businesses Inorganics Profiles +47.8 +23.4 (1.4) (14.6) (18.0) (48.3) 1636.7 + 2.4% 1625.6 + 37.2 Revenue Revenue 9M11 9M
Slide 5: 3Q12 REBITDA by operating segment
3Q12 REBITDA by operating segment Million EUR and % increase versus 3Q11 at comparable scope Tessenderlo Non- Gelatin & Other PPS & Kerley allocated Akiolis Businesses Scope Profiles Inorganics +3.1 0.9 (0.1) (1.5) (2.3) 0.6 (11.3) 47.3 - 24.0% 36.6 - 11.3 REBITDA REBITDA 3Q11 3Q12 • REBITDA in 3Q12
Slide 6: 9M12 REBITDA by operating segment
9M12 REBITDA by operating segment Million EUR and % increase versus 9M11 at comparable scope Non- Gelatin & PPS & Tessenderlo Other allocated Akiolis Profiles Kerley Businesses Inorganics Scope +13.7 0.3 (2.5) (5.2) (0.5) (10.1) (23.5) 164.2 - 16.9% 136.4 - 27.3 REBITDA REBITDA 9M11 9M12 • 9M12 REBI
Slide 7: Net debt position
Net debt position Million EUR 850.0 5.2 4 700.0 3 3.3 2.2 1.6 1.5 2 550.0 1.7 1 0.9 1.1 400.0 332.4 350.9 0 283.2 305.2 -1 85.7 250.0 123.4 85.8 121.2 -2 219.4 265.2 -3 100.0 209.0 162.0 -4 -50.0 31/12/2009 31/12/2010 31/12/2011 30/09/2012 -5 Net debt (Million EUR) Non-recourse factoring (Million EU
Slide 8: Outlook
Outlook The group’s performance over the first nine months is overall in line with its expectations. Food and agriculture markets globally are anticipated to remain positive, acknowledging the fact that weather conditions may have a short term, limited negative impact on Tessenderlo Kerley. Given th
Slide 9: Operational Highlights
Operational Highlights GROUP KEY FIGURES % Change at % Change at 3Q12 3Q11 comparable Million EUR 9M12 9M11 comparable scope scope 517.5 519.8 0.6% Revenue 1,625.6 1,636.7 2.4% 36.6 47.3 -24.0% REBITDA 136.4 164.2 -16.9% 7.1% 9.1% - REBITDA margin 8.4% 10.0% - 15.0 27.5 -47.1% REBIT 70.9 103.8 -32.7
Slide 10: 3Q12 group revenue and REBITDA per segment
3Q12 group revenue and REBITDA per segment Revenue (% of total) REBITDA (% of total*) Other businesses -0.1%Inorganics Other businesses 0.7% PPS & 15.1% PPS & Profiles Profiles 26.6% 23.5% 36.7% Tessenderlo Inorganics 19.8% 517.5 36.6 Kerley mEUR mEUR 25.0% 13.5% Gelatin Gelatin 39.2% & & Tessenderl
Slide 11: 9M12 group revenue and REBITDA per segment
9M12 group revenue and REBITDA per segment Revenue (% of total) REBITDA (% of total*) Other businesses 2.9% 1.2% Inorganics Other businesses PPS & 15.9% Profiles PPS & 25.6% Profiles 20.0% 43.4% Tessenderlo T essenderlo Kerley 16.1% 1,625.6 136.4 Kerley mEUR mEUR 23.4% 19.1% Gelatin 32.5% & Gelatin
Slide 12: Tessenderlo Kerley
REBITDA (% of total) Tessenderlo Kerley 9M12 43.4% Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) 300 60 50 2011 200 2012 40 261.4 30 68.5 54.8 100 213.6 20 10 56.5 69.8 13.2 16.3 0 0 3Q 9M 3Q 9M Revenue 3Q 9M REBITDA 3Q 9M % Change at % Change at + 23.7% + 22.4% + 23.1% + 25.0% co
Slide 13: Gelatin and Akiolis
REBITDA (% of total) Gelatin and Akiolis 9M12 32.5% Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) 400 60 50 300 2011 40 2012 379.9 200 30 356.4 53.8 51.3 20 100 129.2 10 17.5 17.4 120.7 0 0 3Q 9M 3Q 9M Revenue 3Q 9M REBITDA 3Q 9M % Change at % Change at + 7.1% + 6.6% - 0.6% - 4.6%
Slide 14: Inorganics
REBITDA (% of total) 1.2% Inorganics 9M12 Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) 400 25 20 25.3 300 2011 2012 15 200 324.9 310.3 10 100 5 11.3 117.9 102.5 1.8 0.0 0 0 3Q 9M 3Q 9M Revenue 3Q 9M REBITDA 3Q 9M % Change at % Change at - 13.0% - 4.5% nm - 92.8% comparable scope
Slide 15: Plastic Pipe Systems and Profiles
REBITDA (% of total) 20.0% Plastic Pipe Systems and Profiles 9M12 Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) (6.1) 0.3 500 40 35 400 net scope 30 2011 300 1.8 2012 25 20 0.6 200 439.5 415.5 36.4 15 31.6 10 100 138.5 137.7 5 12.2 10.4 0 0 3Q 9M 3Q 9M Revenue 3Q 9M REBITDA 3Q 9M
Slide 16: Other Businesses
REBITDA (% of total) 2.9% Other Businesses* 9M12 * Includes Compounds, OCD, Pharma, Water Treatment and Sulfur Derivatives Revenue (Million EUR) REBITDA (Million EUR) & REBITDA margin (%) (42.2) 20 300 18 (0.9) net scope 16 2011 14 200 2012 12 302.3 10 (7.0) 258.6 8 15.6 100 6 0.0 4 86.3 78.3 1.9 4.
Slide 17: REBIT to Profit details for 3Q12
REBIT to Profit details for 3Q12 Million EUR REBIT Non-recurring Net finance Income Tax Share of result PROFIT 3Q12 items EBIT costs Expense of investments 3Q12 15.0 (46.0) (31.0) (40.2) (7.8) (3.0) 1.6 Effective tax rate based on recurrent profit (+)/loss (-) amounts to 72.5% 17
Slide 18: REBIT to Profit details for 9M12
REBIT to Profit details for 9M12 Million EUR REBIT Non-recurring Net finance Income Tax Share of result PROFIT 9M12 items EBIT costs Expense of investments 9M12 70.9 (83.7) (12.8) (19.4) (49.4) (22.5) 5.2 Effective tax rate based on recurrent profit (+)/loss (-) amounts to 50.4% 18
Slide 19: Non-recurring items 3Q12
Non-recurring items 3Q12 Million EUR Capital gain on sale Losses on disposal of non strategic Provisions and Other income and groups classified as Total non-recurring assets claims Restructuring expenses held for sale items 0 (0.8) (6.0) (4.7) (46.0) (34.6) Mainly: (1.9) m EUR realized result on ele
Slide 20: Non-recurring items 9M12
Non-recurring items 9M12 Million EUR Capital gain on sale Losses on disposal of non strategic Provisions and Other income and groups classified as Total non-recurring assets claims Restructuring expenses held for sale items 11.6 (1.7) (9.0) (14.2) (83.7) (70.5) Mainly: (5.7) m EUR realized result on
Slide 21: Net debt evolution 3Q12
Net debt evolution 3Q12 Million EUR Net debt Net debt 30/06/2012 30/09/2012 (244.5) (265.2) CAPEX Dividends Financial Change in REBITDA (31.0) charges & taxes Change in WC (before Non-recurring Acquisitions/ factoring) (19.8) factoring and other Equity injections 36.6 17.5 (12.6) (5.7) (5.0) (0.7) G
Slide 22: Net debt evolution 9M12
Net debt evolution 9M12 Million EUR Net debt Net debt 31/12/2011 30/09/2012 (219.4) (265.2) CAPEX REBITDA Financial charges (79.0) and taxes Change in WC Sale of (before non-strategic (37.1) factoring) Non-recurring Further assets and other Acquisitions/ settlement 136.4 (36.1) Equity Dividends PVC/
Slide 23: Group Trade Working Capital
Group Trade Working Capital Million EUR 700 30% 25% 600 21.1% 19.7% 19.2% 20% 500 15% 400 10% 300 5% 200 410.8 446.4 417.1 0% 100 -5% 0 -10% Sep 2011 Dec 2011 Sep 2012 Trade Working Capital excluding factoring Trade Working Capital excluding factoring/Last 12 months revenue (%) 23
Slide 24: Balance Sheet
Balance Sheet Million EUR 1800 1800 1600 1,385.8 1,379.7 1,383.7 1600 1,385.8 1,379.7 1,383.7 Non-current assets 30.2 Liabilities associated 7.6 7.8 32.2 held for sale 1400 1400 with assets classified as held for sale 1200 1200 560.1 520.8 508.3 Other liabilities Other current assets 630.6 641.7 612
Slide 25: Q&A Third Quarter 2012 Results
Q&A Third Quarter 2012 Results November 15, 2012
Slide 26: About Tessenderlo Group
Tessenderlo Group is a worldwide specialty company, focused on food, agriculture, water management and on valorizing bio- residuals. The group employs about 7500 people and is a leader in most of its markets, with a consolidated revenue of 2.1 billion EUR in 2011. Tessenderlo Chemie NV is listed on