Tessenderlo Group N.v. · EURONEXT:TESB
Tessenderlo — FY2011 Earnings Presentation
33 slides from Tessenderlo's earnings presentation, Feb 16, 2012
Slide 1: Tessenderlo Group delivers major strategic progress and a successful year on all fronts
Tessenderlo Group delivers major strategic progress and a successful year on all fronts 4Q11 and FY11 Results February 16th, 2012
Slide 2: 2010: review portfolio and understand impact of global mega-trends
2010: review portfolio and understand impact of global mega-trends + Market Attractiveness 01 02 Competitive position Global mega-trends Group Strategy 2
Slide 3: Mega-trends present mega-challenges – but also attractive opportunities
Mega-trends present mega-challenges – but also attractive opportunities Trends Challenges Unsustainable production Climate change & consumption practices Depletion of natural resources, Increasing wealth water, food Increasing population 3
Slide 4: Translating mega-trends into a business growth strategy
Translating mega-trends into a business growth strategy Kerley Food & Agriculture Valorising Bio-Residuals Gelatin & Akiolis Water Management Plastic Pipe Systems & Profiles Inorganics Other Businesses 4
Slide 5: Consistent progress of strategy execution
Consistent progress of strategy execution… » Takeover of Linuron by » Capacity expansions » Expansion of Kerley’s sulfur processing Kerley (US) - Gelatin Argentina capacity & fertilizer capacity through a » Acquisition of Fiso - Kerley Fresno (US) long term service agreement with the Investments Gro
Slide 6: ...and delivering improved operational results and financial position
...and delivering improved operational results and financial position Revenue +9.6% Net debt remained low Operational Financial • Leverage of 1.1x REBITDA +20.6% performance position • Gearing 26.8% REBIT +54.3% Broad-based Improved credit terms improvement: all of syndicated facility segments repor
Slide 7: Outlook
Outlook Tessenderlo Group sees 2012 as a year of transition. Demand for the majority of the group’s businesses is anticipated to remain resilient, in spite of the uncertain European economic climate. The group expects to move further along its strategic journey. It will keep on optimizing its portfo
Slide 8: FY Recurrent profit more than double of 2010
FY Recurrent profit more than double of 2010 GROUP KEY FIGURES % Change at % Change at 4Q11 4Q10 comparable Million EUR FY11 FY10 comparable scope scope 489.3 500.2 4.6% Revenue 2,126.0 2,024.0 9.6% 22.8 29.8 -16.4% REBITDA 187.0 162.8 20.6% 4.7% 6.0% - REBITDA margin 8.8% 8.0% - 1.0 4.4 -59.6% REBI
Slide 9: Net debt remains under control
Net debt remains under control 850.0 7 5.2 5 700.0 3 550.0 3.3 1.6 1.5 1 400.0 0.9 1.1 332.4 283.2 305.2 -1 250.0 123.4 85.8 121.2 -3 100.0 209.0 219.4 162.0 -5 -50.0 31/12/2009 31/12/2010 31/12/2011 -7 Net debt (Million EUR) Non-recourse factoring (Million EUR) Notional net debt including non-recou
Slide 10: 4Q11 Revenue by operating segment
4Q11 Revenue by operating segment Million EUR and % increase versus 4Q10 at comparable scope +3.4% +2.5% +17.2% -2.6% +9.0% PPS & Other Gelatin & Tessenderlo Inorganics Scope Profiles Businesses Akiolis Kerley +4.2 +2.0 (2.8) (32.5) +9.8 +8.4 500.2 + 4.6 % 489.3 + 21.6 Revenue Revenue 4Q10 4Q11 • Re
Slide 11: FY11 Revenue by operating segment
FY11 Revenue by operating segment Million EUR and % increase versus FY10 at comparable scope +9.5% +6.9% +3.8% +17.0% +15.7% Other Inorganics PPS & Gelatin & Tessenderlo Profiles Scope Akiolis Kerley Businesses +33.3 +27.5 +21.0 (83.8) +64.6 +39.4 2024.0 + 9.6 % 2126.0 + 185.8 Revenue Revenue FY10 F
Slide 12: 4Q11 REBITDA by operating segment
4Q11 REBITDA by operating segment Million EUR and % increase versus 4Q10 at comparable scope PPS & Non- Tessenderlo Profiles Inorganics allocated Gelatin & Scope Kerley Akiolis Other +4.4 +1.5 (1.7) Businesses (2.1) (3.3) (2.5) (3.4) 29.8 - 16.4 % 22.8 - 4.5 REBITDA REBITDA 4Q10 4Q11 • The gains reg
Slide 13: FY11 REBITDA by operating segment
FY11 REBITDA by operating segment Million EUR and % increase versus FY10 at comparable scope Other Gelatin & PPS & Non- Tessenderlo Inorganics Akiolis Profiles Kerley Businesses allocated Scope +0.9 (7.2) +6.3 +5.2 +8.0 (7.8) +18.8 + 20.6 % 187.0 162.8 + 32.0 REBITDA REBITDA FY10 FY11 • FY11 feature
Slide 14: 4Q11 group Revenue and REBITDA per segment
4Q11 group Revenue and REBITDA per segment Revenue (% of total) REBITDA (% of total*) Tessenderlo Kerley Other businesses 11.7% -8.2% Gelatin & Other businesses PPS & Profiles Inorganics 10.1% Akiolis 26.5% 38.7% 16.4% 489.3 23.6% 22.8 mEUR mEUR 21.1% 24.3% PPS & Inorganics Gelatin & Akiolis Profile
Slide 15: FY11 group Revenue and REBITDA per segment
FY11 group Revenue and REBITDA per segment Revenue (% of total) REBITDA (% of total*) T essenderlo Kerley Other businesses 5.9% Tessenderlo Other businesses 12.7% PPS & Profiles Inorganics Kerley 26.8% 13.1% 30.4% 18.0% 2,126.0 187.0 mEUR 20.2% mEUR 22.4% 20.1% PPS & Gelatin & Akiolis Profiles 30.4%
Slide 16: Tessenderlo Kerley
REBITDA (% of total) 30.4% 187.0 mEUR Tessenderlo Kerley 2010 REBITDA (Million EUR) & Revenue (Million EUR) 2010 2011 80 REBITDA margin(%) 2011 70 24.6% 300 60 20.6% 50 200 40 20.4% 270.8 30 66.5 100 231.4 20 47.6 14.9% 10 48.8 57.2 0 0 7.3 11.7 4Q FY 4Q FY % Change at % Change at comparable scope 4
Slide 17: Inorganics
REBITDA (% of total) 13.1% 187.0 mEUR Inorganics 2010 REBITDA (Million EUR) & Revenue (Million EUR) 2010 2011 REBITDA margin (%) 6.7% 2011 400 30 5.2% 300 20 200 428.1 400.7 4.7% 28.6 3.2% 20.7 10 100 106.0 103.2 5.0 3.3 0 0 4Q FY 4Q FY % Change at % Change at comparable scope 4Q FY comparable scope
Slide 18: Gelatin & Akiolis
REBITDA (% of total) 187.0 mEUR Gelatin & Akiolis 30.4% 2010 REBITDA (Million EUR) & Revenue (Million EUR) 2010 2011 80 REBITDA margin (%) 2011 70 14.9% 14.0% 400 60 50 300 40 475.4 14.6% 66.4 200 410.8 30 10.6% 20 61.2 100 109.1 118.9 10 15.9 12.6 0 0 4Q FY 4Q FY % Change at % Change at comparable
Slide 19: Plastic Pipe Systems and Profiles
REBITDA (% of total) 187.0 20.2% mEUR Plastic Pipe Systems and Profiles 2010 REBITDA (Million EUR) & 2010 Revenue (Million EUR) REBITDA margin(%) 80 2011 2011 70 7.9% 7.8% Scope 800 Scope (14.0) 60 (1.6) 600 50 40 6.1% 400 305.1% (7.6) 562.1 569.1 (0.7) 20 44.1 200 44.8 10 133.0 129.6 6.8 7.7 0 0 4Q
Slide 20: Other Businesses
REBITDA (% of total) 5.9% 187.0 mEUR Other Businesses* * Includes Compounds, OCD, Pharma, Water Treatment and Sulphur Derivatives Revenue (Million EUR) 2010 REBITDA (Million EUR) & 2010 2011 REBITDA margin 17 3.4% 2011 419.0 Scope 1.9% Scope 400 12.9 69.7 6.3 300 7 0.9% 382.6 12.9 200 -3.3% 2.6 6.6
Slide 21: REBIT to Profit details for 4Q11
REBIT to Profit details for 4Q11 Million EUR Profit from continuing Result from REBIT Non-recurring Net finance Income Tax Share of result operations discontinued PROFIT 4Q11 items EBIT costs Expense of investments 4Q11 operations 4Q11 1.0 (2.0) (0.9) (6.8) (8.4) (8.6) (0.2) (2.0) 1.4 21
Slide 22: REBIT to Profit details for FY11
REBIT to Profit details for FY11 Million EUR Profit from Share of continuing Result from REBIT Non-recurring Net finance Income Tax result of operations discontinued PROFIT FY11 items EBIT costs Expense investments FY11 operations FY11 1.0 (25.6) (28.3) 104.9 105.9 5.9 57.9 (153.6) (95.6) 22
Slide 23: Non-recurring items 4Q11
Non-recurring items 4Q11 Million EUR Capital gain on sale of Other Total non strategic assets Provisions and claims Restructuring non-recurring costs Non-recurring items 2.0 (2.0) 2.3 (4.3) (2.0) 23 Financial data from continuing operations
Slide 24: Non-recurring items FY11
Non-recurring items FY11 Million EUR Capital gain on sale of Other Total non strategic assets Provisions and claims Restructuring non-recurring costs Non-recurring items +2.1 (5.6) 11.2 (6.7) 1.0 • (3.1) m EUR realized result on electricity contracts • (3.1) m EUR unrealized result on electricity co
Slide 25: Net debt evolution
Net debt evolution Million EUR Net debt Net debt 31/12/2010 31/12/2011 (162.0) Proceeds from sale Capex & other of non-strategic (219.4) investments assets and CF from businesses operating (124.2) activities - discontinued CF from operating activities - 149.9 (80.5) Dividends Net other continuing mo
Slide 26: Group Trade Working Capital
Group Trade Working Capital Million EUR 700 30% 600 22.9% 25% 19.8% 500 17.3% 20% 15% 400 10% 300 5% 200 399.5 421.1 351.0 0% 100 -5% 0 -10% December 2009 December 2010 December 2011 Trade Working Capital excluding factoring Trade Working Capital excluding factoring/Last 12 months revenue (%) 26 Fin
Slide 27: Balance Sheet
Balance Sheet Million EUR 1800 1,696.5 1800 1,696.5 Non-current assets held for sale 1600 18.1 1600 6.5 6.5 1,379.7 1,379.7 1400 1400 Liabilities associated 649.9 7.8 648.9 with assets classified Other current assets 1200 1200 as held for sale 521.4 641.7 Other liabilities 1000 1000 Cash and cash 15
Slide 28: Q&A
Q&A
Slide 29: Appendices
Appendices
Slide 30: 4Q11 financial summary
4Q11 financial summary % Change at comparable scope REVENUE (Million EUR) REBITDA (Million EUR) Continuing Discontinued Total Continuing Discontinued Total operations operations operations operations 489.3 - 489.3 22.8 - 22.8 +4.6% -16.4% PROFIT FOR THE PERIOD (Million EUR) REBITDA MARGIN (%) Contin
Slide 31: FY11 financial summary
FY11 financial summary % Change at comparable scope REVENUE (Million EUR) REBITDA (Million EUR) Continuing Discontinued Total Continuing Discontinued Total operations operations operations operations 2,126.0 352.8 2,478.8 187.0 16.5 203.4 +9.6% +20.6% PROFIT FOR THE PERIOD (Million EUR) REBITDA MARG
Slide 32: FY11 result impacted by one-time non-cash charge taken in 2Q11
FY11 result impacted by one-time non-cash charge taken in 2Q11 GROUP KEY FIGURES – Discontinued operations 4Q11 4Q10 Million EUR FY11 FY10 - 134.2 Revenue 352.8 496.9 - 10.8 REBITDA 16.5 12.8 - 8.0% REBITDA margin 4.7% 2.6% - 3.9 REBIT 4.2 -14.1 - 2.9% REBIT margin 1.2% -2.8% Recurrent profit (+)/lo
Slide 33: 4Q11 and FY11 Results February 16th, 2012
Tessenderlo Group is a worldwide specialty company, focused on food, agriculture, water management and on valorizing bio-residuals. The group employs over 7,000 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 E