Umicore Investor Presentation
May 2019 Introduction to Umicore Who we are A global materials technology and recycling group
One of three global A leading supplier of key The world’s leading leaders in emission control materials for rechargeable recycler of complex waste catalysts for light-duty and batteries used in electrified streams containing heavy-duty vehicles and transportation and portable precious and other for all fuel types electronics valuable metals
3 Our foundations
Supportive Unique business Industry leader in megatrends & model sustainability legislation
resource scarcity more stringent emission control
electrification recyclingrecycling of the automobile
4 5 Unique position in clean mobility materials and recycling Present across all drive trains and offering sustainable closed-loop services
Internal Plug-In Hybrid Combustion Engine Electric Vehicle Umicore provides: Umicore provides: Emission control catalysts Battery cathode materials and emission control catalysts
Full Electric Vehicle Fuel cells Umicore provides: Umicore provides: Battery cathode materials Electro-catalyst and battery cathode materials
5 Unique position in clean mobility materials Full service offering vs competitors
Automotive Battery Fuel cell Refining & catalysts materials catalysts recycling ✔✔✔ Incumbent services ✔ Early stage
Umicore ✔✔✔ ✔✔✔ ✔ ✔✔✔
Automotive ✔✔✔ ✔ ✔ ✔ catalyst competitors (incumbent in spent automotive catalysts)
Battery material competitors ✔✔✔ ✔
Fuel cell catalyst competitors ✔✔✔ ✔ ✔
6 6 Unique position in recycling Metallurgical leadership and closed loop offering
Unique technologies in Hoboken for treating LONG complex residues and LOOP by-products Unique technologies Closing the loop for treating in product businesses complex residues & by offering recycling by-products services
Over 200 input streams
SHORT Recovery LOOP of 20 metals Recycling services for customer production scrap & residues
7 Where we come from Two centuries’ transformation away from mining & base metals
1800 1850 1900 1950 2000 2019
1805 1853 1873-1887-1901 1906 1908-1919 1989 2003 2005-2007 2015-2018
Vieille Asturienne des Degussa - Union Minière du Métallurgique Union Minière Acquisition Spin-off Streamlined portfolio Montagne Mines Usine de Haut Katanga Hoboken & Group of PMG Zinc – Focus on and acceleration in désargentation - Société de Copper clean mobility and recycling ACEC Minerais refining growth drivers
Where it all began Crossing borders Pieces of the puzzle A defining decade Today
• Several mining and smelting • Acquisition of Union Minière du • Merger in 1989 of UMHK with • Acquisition of PMG in 2003 • Since 2015, increased focus on accelerating companies coming together Haut Katanga (UMHK), mining and smelting subsidiaries adding presence in automotive clean mobility and recycling (“Horizon 2020”) producer of copper and other resulting in an integrated catalyst sector metals industrial group “Union Minière” • Divested four non-strategic units and acquired • In 2005, spin-off of copper Haldor Topsoe’s heavy duty diesel and • Gradual sale of mining activities; business to Cumerio, later stationary catalyst business in 2017. focus on precious metals, zinc Aurubis products and advanced materials • Ongoing €1.1bn capacity expansion in battery • In 2007, spin-off of zinc refining illustrated by name change to materials in China, Korea and Poland Umicore in 2001 and alloy business, resulting in Nyrstar • Today Umicore is a global materials technology and recycling group, with more than 10,000 employees and revenues (excl. metals) of € 3.3 billion 8 Global presence
COLLEAGUES PRODUCTION SITES R&D / TECHNOLOGY CENTERS 10,419 48 14
838
11 5,723 2 17 2,992
5 14
6
678 259 5 1 1
9 Our Group structure : focused and balanced
CATALYSIS ENERGY & SURFACE RECYCLING TECHNOLOGIES
Automotive Catalysts Rechargeable Battery Materials Precious Metals Refining Precious Metals Chemistry Cobalt & Specialty Materials Jewelry & Industrial Metals Electroplating Precious Metals Management Electro-Optic Materials Revenues EBIT Capital employed (excluding metal) (recurring) (average) RE RE RE CA 15% 19% 24% 30% CA CA 38% 42%
E&ST E&ST E&ST 39% 47% 46% 1011 CA = Catalysis, E&ST = Energy & Surface Technologies, RE = Recycling; Corporate not included Our Horizon 2020 strategy
Clear leadership Doubled the size in clean mobility of the business in materials and terms of earnings recycling
Rebalanced the Turned portfolio sustainability into & earnings a greater contributions competitive edge
11 In 2018, we made significant progress towards the 2020 ambitions
Clear leadership Doubled the size Turned sustainability Rebalanced in clean mobility of the business in into a greater portfolio & earnings materials and recycling terms of earnings competitive edge contributions
REVENUES ROCE Capex Record results in 2018 €3.3bn +17%* 15.4% €478m
REBIT Strategic choices and REC NET PROFIT R&D recent investments €514m +29%* paying off REBITDA €326m +22% €196m €720m +23%*
*Excluding discontinued operations
12 Consistent execution of the strategy Main investment projects
• Capacity expansion in Europe, China and India following major business wins • Initial investment in fuel cell catalyst Catalysis capacity expansion in Korea TIANJIN, CHINA
• Completion of € 460 million investment program in China and Korea on an accelerated schedule Energy & Surface • € 660 million greenfield investments in China Technologies and Poland ongoing INCHEON, KOREA
• Completion of environmental investments in Hoboken resulting in significant reduction in emissions. Recycling HOBOKEN, BELGIUM
13 Consistent execution of the strategy Technology innovation drives our business
R&D • Up 12% to € 196 million ENERGY & SURFACE • 6% of Umicore’s revenues TECHNOLOGIES
• Innovation roadmap spanning the CATALYSIS next 20 years for rechargeable battery materials • New product developments for upcoming emission • Developing new process regulations in Europe technologies and China; fuel cell technology • Battery recycling • State of the art process technologies
14 Business Group Overview
Catalysis Catalysis
A world leader in emission control catalysts for light-duty and Automotive heavy-duty vehicles and for all fuel types. Complemented by Catalysts smaller stationary catalyst applications (marine, power generation, …).
Precious Develops and produces metal-based catalysts used in chemistry, Metals life sciences and pharmaceutical applications. Also has a Chemistry complete portfolio of catalyst technologies for fuel cells.
16 Automotive Catalysts: business model
We develop technologies which allow our customers to meet automotive emission legislation at the lowest Total Cost of Ownership
Complete catalyst systems Customer to reduce exhaust focus gas emissions
People Operational engagement excellence
Global manufacturing & technical footprint
17 Total LDV and HDD catalyst market set for unprecedented value growth
MARKET VALUE EVOLUTION BY REGION Massive tightening of Europe emission norms in China, Europe and India drive Greater China massive value uplift in both Japan / Korea the LDV and HDD catalyst markets Middle East / Africa Value growth North America by far outpacing South America vehicle production South Asia (mainly India) Technology and Innovation play 20171 20202 20253
Source: IHS, KGP, Umicore estimates
18 Automotive Catalysts Production Footprint 19 plants in 14 countries, 10 R&D / tech. centers in 7 countries
Frederikssund Karlskoga Lyngby Nowa Ruda Songdo Denmark Sweden Denmark Poland Korea
Onsan Burlington Hanau Korea Canada Germany Tokoname Auburn Hills, MI Florange Japan USA France Kobe Japan Tulsa, OK Rheinfelden/ USA Bad Säckingen Himeji Germany Japan Houston, TX USA Tianjin China
Americana Suzhou Brazil China (2)
Production plant R&D/Tech. center Joinville Port Elizabeth Pune Rayong Production plant/R&D Tech. center Stationary Brazil South Africa India Thailand
19 Umicore well positioned to capture this growth
Next to volume growth, unprecedented future system value step-up due to tightening emission norms in Europe, China and India in particular.
Light-Duty Vehicles Heavy-Duty Diesel Stationary : ▪ Gaining significant share ▪ Growing from a distant # ▪ Growing niche in growing gasoline 3 position ▪ New legislation segment ▪ Strong position in China, ▪ Leverage global ▪ Disproportionate share of the largest HDD market presence gasoline GPF platforms ▪ Development partner of won in China and Europe most major HDD OEMs
Through R&D, we continue to build a competitive technology portfolio and invest in additional flexible capacity using proprietary processes
20 Catalysis financials 2018: Revenues +9%, REBIT +2%, REBITDA + 6%
REVENUES
Automotive Catalysts 1500 1.360 1.094 1.163 1.253 917 1000 651 • Increased contribution of HDD activity 620 H1 545 565 450 • Growth driven by higher gasoline volumes, 500 H2 708 despite slowing market (incl. diesel) 467 549 598 633 0 • Significant gasoline platform wins million € 2014 2015 2016 2017 2018 • Late 2017 acquisition synergies not yet included REBIT & REBIT margin
300 13,2% Precious Metals Chemistry 250 12,3% 12,4% 10,6% H1 200 8,2% 152 166 168 • Higher sales of APIs and chemical metal 150 124 H2 83 75 85 82 deposition applications 100 63 REBIT 41 Margin • Increased revenues from fuel cell catalysts 50 78 81 86 41 61 0 million € 2014 2015 2016 2017 2018
21 Impressions
Bad-Säckingen plant AC, Germany Catalyst elements Test bench
Nowa Ruda plant AC, Poland Canned catalyst Installation stationary DNox catalyst 22 Business Group Overview
Energy & Surface Technologies Energy & Surface Technologies
Rechargeable A leading cathode material supplier for lithium-ion rechargeable Battery batteries used in electrified vehicles and portable electronics. Materials
Cobalt & Refines and recycles cobalt and nickel; produces cobalt and Specialty nickel specialty chemicals for a wide range of applications (incl. Materials tires, catalysts, surface treatment). Also includes battery recycling.
Supplies precious metal electrolytes & processes for technical, Electroplating functional and decorative applications.
Electro-Optic Supplier of products for thermal imaging as well as wafers for space solar cells and high brightness LEDs, chemicals for fiber Materials optics and thin film applications.
24 Rechargeable Battery Materials: 20+ years of innovation in li-ion battery materials
First NMC First large High materials scale NMC Energy Mass Research into synthesized sale to LCO-IP market Acquiring high nickel and tested for automotive acquisition introduction NMC-IP cathode material Portables market (EV) from FMC NMC622 from 3M
1995 1998 1999 2003 2006 2007 2009 2011 2012 2014 2015 2016 2017
Initiate research First LCO First NMC Market Start LFP Install high Expand IP- into LCO for plant cathode introduction commercialization throughput coverage for Portables in Korea materials plant dedicated NMC under beLife JV production NMC (ANL, in Korea for high power technology CSEM) applications Focus on LCO/NMC
25 Rechargeable Battery Materials: business model
Product innovation Process innovation based on strong fuels productivity application know-how improvements while maintaining highest quality standards (stringent Established industrial automotive standards) footprint close to the customer Integrated process flows Strong industrialization with guaranteed access capabilities building on to critical raw materials historical Umicore key allows an agile market competences approach
26 Battery market projections Electrification triggered by legislation in Europe and China
700 Electrification Regulatory driver 600
500
400 Portables Societal driver 300
200
Energy 100 Storage System Regulatory driver 0 2015 2020 2025
Source: Avicenne, Navigant, Roland Berger, AABC, IHS, Gartner, SNR, CRU, Roskill
27 It takes a lot to play in the automotive league
Car OEMs need :
High quality cathode materials excellent product quality on 20+ specs • … custom made for different types of xEVs wide spectrum of cathode material technologies • … in massive volumes industrial capabilities • … at the highest speed and flexibility ability to scale up fast • … at a competitive price cost-efficient processes • …without any sustainability image risk. ethically sourced materials
It takes product technology, process technology and supply
28 Product, process and supply Key success factors
3 Supply 1 Product Technology 2 Process Technology
Raw Industrial Lab scale Pilot scale materials scale
• Ability to scale up fast • Feed flexibility Wide spectrum of cathode • Cost-efficient processes • Battery recycling material technologies • Industrial capabilities
Best in class product quality on 20+ specs: continuous fine-tuning at lab, pilot and industrial scale
29 1 Cathode material specs to fulfil cell
Product technology performance specs
Cathode material Cathode material product specs performance specs
• Particle size • Packing • Capacity • Safety • Morphology density • Power • Charge • Composition • Porosity (charge/discharge) efficiency • Purity • Consistency • Cycle life • and more… • and more…
Tailoring cathode Fundamental chemistry know- Ability to further enhance the material characteristics how to design the right product product designs during the to the cell specs composition during lab phase qualification cycles in pilot phase requires:
30 1 Not one cathode chemistry can fit all Product technology Low High Ni nickel NMC chemistries
BEV Long range
BEV Mid range
pHEV
E-Bus Transportation Other (Indust.)
Umicore • Wide spectrum of cathode • Capability to deliver excellent materials to fit different product quality on the 20+ specs transportaion requirements
31 2 Process technology as enabler
Process technology for fast growth and cost efficiency
FAST GROWTH COST EFFICIENT
• Efficient from pilot to industrial scale • Controlled capital intensity • Excellent product quality at large industrial • High throughput rate volumes • Maximize first pass yield • Capability to respond to market swings • Operational expenditures • Production lines forward and backward compatible
Umicore • Industrial capabilities • Cost-efficient and lean processes • Ability to scale up fast • Excellent product quality on 20+ specs
32 2 Rechargeable Battery Materials
Process technology Expansion projects timeline 2016 2017 2018 2019 2020 2021 2022 2023 Year
EUR 160 million announced April 2016 Brownfield in China Greenfield in Korea Completed on accelerated schedule Significant scale effects that EUR 300 million benefitted 2018 margins announced May 2017
Greenfield in China and Poland Competence Center in Belgium EUR 660 million announced Feb 2018 Expected to result in significant upfront costs in 2019 Construction (China, Poland) on track, timeline for ramp up of new capacity adjusted to pace of demand
33 3 Access to raw materials
Supply Unique integration in the value chain
Raw material Metal Product Application End use
Umicore • Flexibility in supply feed, high speed to market and responsiveness to customer needs
34 3 Access to raw materials
Supply Battery recycling as critical additional source of supply
• Umicore is fully aligned with OECD Due Diligence for Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk Areas • Certified clean and ethical supply to our customers • Urban mining indispensable for global electrification of transportation • Proven industrial capabilities for all types and formats of Li-ion batteries • Patented recycling technology • High recovery rates for lithium, cobalt, nickel and copper • Highest environmental standards Umicore Flexibility in supply feed, high speed to market and responsiveness to customer needs
35 Energy & Surface Technologies financials 2018: Revenues +44%, REBIT +82%, REBITDA +63%
REVENUES Rechargeable Battery Materials 1500 1.289 • Strong demand for NMC cathode materials for 1000 894 639 transportation applications 587 610 H1 488 495 • Fast ramp-up of new capacity in China and Korea 500 289 322 H2 242 650 398 • Earnings benefited from scale effects from new 245 298 288 0 capacity million € 2014 2015 2016 2017 2018
REBIT & REBIT margin Cobalt & Specialty Materials 300 19,8% • Strong volumes & supportive metal prices in H1 18 257 250 14,6% H1 • Increased activity level in battery recycling 12,6% 13,2% 200 10,1% 136 H2 150 140 REBIT 100 82 79 70 Margin 54 45 121 Slightly lower revenues for Electro-Optic 50 27 30 40 37 61 Materials; stable revenues in Electroplating 0 27 2014 2015 2016 2017 2018 million € 36 Key takeaways
Increasing Umicore uniquely electrification drives positioned to capture strong market significant growth in demand in the this segment: medium term • Full spectrum of highest quality cathode materials • Process technology and ability to scale up fast
Product • Innovation pipeline spanning the next customization trend 20 years • Integrated supply chain and battery recycling
37 Impressions
EV car battery pack
Packaging finished product RBM Cheonan production sites, Korea 38 Business Group Overview
Recycling Recycling
Operates the world’s most sophisticated precious metals recycling facility Precious Metals and recovers 17 precious and other valuable metals from complex waste Refining streams.
Precious Metals Services for hedging, leasing, purchasing and sale of precious and Management platinum group metals to internal and external customers
Supplier of precious metals based products for jewelry and industrial Jewelry & applications, recycler of jewellery and production scrap and producer of Industrial Metals platinum-based equipment for the glass and chemical industries.
40 Precious Metal Refining
Largest and most complex precious metals recycling operation in the world Leading refiner of 17 different metals
Processes more than 200 different types of raw materials World class environmental and quality standards
41 The value chain of metals
Ores & Refined New concentrates metals products
Smelters Industry Consumers Mines & refiners
Complex mining Smelting Complex Complex concentrates & refining production end-of-life & residues residues scrap materials
Industrial by-products End-of life materials
4242 Revenue Drivers
Main revenue drivers
Treatment & refining Metal yield charges
Treatment charges are Umicore assumes the risk determined, among other of recovery above or criteria, by the complexity under the contractually of the materials agreed recovery rate
43 Metal price exposure
Managing the effects of metal price movements Direct: Indirect: on earnings
through metal through raw Systematic hedging of yield material availability transactional exposure
Depending on market conditions hedging of (part of) structural metal price exposure through contractual arrangements
Impact on working capital is mitigated by toll-refining – metals remain property of the supplier during treatment
4444 Umicore has unique technology
Umicore is unique due to its proprietary complex flowsheet that combines three metallurgical streams
This enables
Ability to optimize Flexibility to treat Recovery & Scope to broaden feed and a broad range of valorization of the to new types of therefore input materials most metals materials in future profitability
• Umicore technology guarantees environmentally friendly processing, a high yield and a more competitive cost • Umicore introduced its unique Ultra High Temperature technology for Battery Recycling more than 5 years ago
4545 Recycling financials 2018: Revenues +6%, REBIT +12%, REBITDA +7% (*)
REVENUES 1000
800 678 663 641 Precious Metals Refining 650 626 600 336 320 318 311 300 H1 • Higher processed volumes despite fire incident 400 H2 • Somewhat more supportive metal prices 200 343 343 323 339 326 • Commercial conditions in some segments 0 impacted by competitive pressure million € 2014 2015 2016 2017 2018 • Mix broadly unchanged REBIT & REBIT margin
300 250 21,9% 21,3% 21,5% 19,5% 19,7% H1 Stable revenues in Jewelry & Industrial 200 149 142 135 H2 Metals and higher revenues for Precious 150 125 128 76 65 REBIT 100 63 55 56 Metals Management Margin 50 72 77 62 73 79 0 2014 2015 2016 2017 2018 million € (*) excluding the impact of the divestment of European Technical Materials (Recycling) in January 2018 46 Key Takeaways
Unique Increasing position in availability of complex complex recycling materials
Medium-term growth driven by gradual expansion of Hoboken facility. Longer term opportunity in battery recycling.
47 Impressions
PMR Hoboken recycling plant, Belgium 48 Financials Framework for value creation
Strong Focus on Solid growth returns cashflows and capital structure
• Multiple growth drivers • Earnings growth objective • Prioritize cash for strategic • Secular trends • Group and segment organic growth projects • Supporting legislation returns > cost of capital • Currently in accelerated investment phase • Privilege organic growth • 15%+ ROCE target • Strong self-funding • Capex and R&D • Value creation precedes ROCE maximization capacity (normalized excl. • Complementary M&A current acceleration) • Value creation focus • Not overstretch balance sheet • Cash return to shareholders
5050 Strong top and bottom line growth Strategic choices and recent investments paying off
REBIT & REBIT margin
700 15,5% 600 13,2% 12,2% 12,6% 514 500 10,9% 398 2014 REBIT 400 299 320 253 split per 300 255 203 140 165 200 128 Business 261 100 195 126 160 155 Group 0 2014 2015 2016 2017 2018 H1 Catalysis
REBITDA & REBITDA margin H2 Energy & Surface REBITDA Technologies 19,9% 20,0% 21,9% 18,2% 19,3% Margin 800 720 587 Recycling 600 465 496 2018 405 356 400 299 225 258 205 200 364 200 240 238 288 0 2014 2015 2016 2017 2018
Group, excluding discontinued activities Group, excluding Corporate segment million € 51 15 % ROCE target met in 2017 & 2018 All businesses creating value
ROCE ` ROCE ` 2014 2018 35 35
30 30
25 25
20 RECYCLING 20 RECYCLING 31.4% 29.7% Group 15 Group 15 ROCE 10 ROCE 10 15.4% CATALYSIS E&ST 12.8% E&ST CATALYSIS 5 5 10.2% 10.1% 17.5% 14.0% 0 0 Average capital employed Average capital employed
Catalysis 2018 Energy & Surface High recycling ROCE includes Technologies 2018 ROCE based on temporary dilution ROCE well up unique business from recent despite 50% model (in 2018 Group ROCE 2014 2018 acquisitions increase in capital includes effect of (excl. discontinued) 12.8% 15.4% employed YoY divestment)
52 Accelerating organic growth investments
Capex incl. capitalized development expenses excl. Discontinued Operations
800 16% 700 14% 600 12% 497 500 10% 377 400 8% 288 300 6% 194 226 200 4% 100 2% 0 0% 2014 2015 2016 2017 2018 Catalysis Recycling % of revenues Energy & Surface Technologies Corporate & investments million € Complemented by R&D Sizeable growth capex Proven implementation Capex increase in 2019 (€ 196 million in 2018), expected from E&ST with over 2/3rd in strategic track record for large including applied greenfields and Catalysis clean mobility projects (budget & timing) technology expansion
53 Solid capital structure
31.1%
24.4% 1.40 1.19 Gearing 1000 14.6% 15.3% 13.8% ratio 900 800 700 0.67 0.64 840 861 0.56 Net debt, 600 500 end of period / 400 recurring EBITDA 300 200 321 Net debt, 298 296 end of period 100 0 2014 2015 2016 2017 2018 million €
Underleveraged until 2017 when End of 2018 corresponds to : € 690 million fixed-rate growth investments started to medium- and long-term notes 1.2 x net debt to recurring accelerate EBITDA ratio Ample funding headroom to 10% equity raise in February 2018 24% gearing ratio execute growth strategy (€ 892 million proceeds)
54 2019 Outlook Outlook: near term delay vs stepped-up targets
Umicore currently expects recurring EBIT for the full year 2019 to be in a range of € 475 million to € 525 million.
Developments in Catalysis and Recycling are positive and both business groups are expected to grow earnings vs 2018.
The Energy & Surface Technologies business group is facing challenging market conditions, resulting in delays of 12 to 18 months in the development of its cathode material sales compared to the stepped-up expectations communicated in 2018. E&ST earnings in 2019 are expected to be below the record levels of 2018.
In 2020 Umicore currently expects significant growth in revenues and earnings but below the stepped-up expectations communicated in 20181.
1Umicore indicated in Febr 2018 that it had identified a potential to exceed its original 2020 earnings ambition of appr. € 500 million for the year 2020 by some 35% to 45%. 56 Key Investment Considerations Key investment considerations
• Well positioned to take advantage of accelerating global megatrends : more stringent emission control, electrification of the automobile and resource scarcity
• Global presence and unique competences acquired over many years;
• A market leader in most key product markets and particularly in automotive catalysts, cathode materials and complex polymetallic recycling;
• Strong organic growth prospects supported by legislation
• Well-diversified business profile with broad product, end-market and customer base driven by a common theme of sustainability
• Strong track record of and commitment to innovation to maintain competitive lead (R&D spending of close to 6 % of revenues in 2018)
• Robust financial performance across cycles and margin focus with recent investments yielding returns
• Strong balance sheet with recent substantial growth investments
• Experienced board, management team, and clear governance principles
58 Annex Record results in 2018 And all three business groups contributing to growth*
REVENUES REBIT RECURRING NET PROFIT +17%** to € 3.3 billion +29%** to € 514 million +22% to € 326 million 44% revenue growth in Energy & Surface Technologies Recurring EPS of € 1.36 (+12%) Energy & Surface Technologies already accounting for half of the Group REBIT Proposed 2018 dividend of € 0.75 per share REBIT margin up to 15.5% (up from € 0.70 in 2017) REBITDA +23%** to € 720 million REBITDA margin up to 21.9% ROCE up to 15.4%, in a period of intense investments
(*) excluding the impact of the divestment of European Technical Materials (Recycling) in January 2018 (**) excluding Discontinued Operations 60 Record investment in growth in 2018
3% Capital 14% 17% Group capex of € 478 million: expenditure • Energy & Surface Technologies: capacity expansions in Korea and China • Catalysis: capacity expansions in Poland, China and India Catalysis • Recycling: environmental investments in Hoboken Energy & 66% Surface Technologies
Recycling 3% Increase in NWC of € 707 million driven by Corporate 18% expansion in cathode materials: • Base inventory for newly commissioned lines Change in Cash Net 9% • Substantial production growth • Continuity of supply amidst a tight supply chain Working Capital • Substantial yoy increase in average cobalt price • Impact of a fire at the Hoboken plant 69% • Initiatives underway to optimise NWC
61 Financial KPIs
million € 2017 2018
Total turnover 12,277.2 13,716.7 Total revenues (excl. metals) 2,915.6 3,271.1 Recurring EBITDA 599.3 720.1 REBITDA Margin 19.5% 21.9% Recurring EBIT 410.3 513.6 REBIT Margin 13.1% 15.5% Capital expenditures 365.3 477.6 R&D expenditures 175.2 196.4 Net financial debt 839.9 861.0 Average capital employed 2,710.0 3,344.2 ROCE 15.1% 15.4% Gearing ratio 31.1% 24.4% Net debt / REBITDA 140.0% 119.0% Equity / Total Assets 35.2% 43.1%
Incl. discontinued operations in 2017
6262 Business Group key figures
CATALYSIS ENERGY & SURFACE TECHNOLOGIES RECYCLING
million € 2017 2018 million € 2017 2018 million € 2017 2018
Revenues 1,253.1 1,360.4 Revenues 893.6 1,289.3 Revenues 650.3 626.2 Recurring EBITDA 224.4 237.2 Recurring EBITDA 197.7 322.9 Recurring EBITDA 188.9 194.7
Recurring EBIT 165.5 168.2 Recurring EBIT 140.7 256.6 Recurring EBIT 127.9 134.8 EBIT 161.2 162.3 EBIT 109.7 251.3 EBIT 121.3 125.8 R&D expenditure 119.8 135.5 R&D expenditure 30.4 38.8 R&D expenditure 18.6 15.2 Capital expenditure 45.0 78.8 Capital expenditure 225.5 316.1 Capital expenditure 79.5 68.4 Recurring EBIT margin 13.2% 12.4% Recurring EBIT margin 14.6% 19.8% Recurring EBIT margin 19.7% 21.5% ROCE 16.3% 14.0% ROCE 14.4% 17.5% ROCE 25.8% 27.9%
6363 Forward-looking statements
This presentation contains forward- Should one or more of these risks, looking information that involves risks uncertainties or contingencies materialize, and uncertainties, including statements or should any underlying assumptions about Umicore’s plans, objectives, prove incorrect, actual results could vary expectations and intentions. materially from those anticipated, expected, estimated or projected. Readers are cautioned that forward- looking statements include known and As a result, neither Umicore nor unknown risks and are subject to any other person assumes any significant business, economic and responsibility for the accuracy of these competitive uncertainties and forward-looking statements. contingencies, many of which are beyond the control of Umicore.
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