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2 September 2015 Andaz London Liverpool Street

2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

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Page 1: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

2 September 2015Andaz London Liverpool Street

Page 2: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

Cautionary statement

2

This presentation contains forward-looking information that involves risks and uncertainties, including statements about Umicore’s plans, objectives, expectations and intentions.

Readers are cautioned that forward-looking statements include known and unknown risks and are subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond the control of Umicore.

Should one or more of these risks, uncertainties or contingencies materialize, or should any underlying assumptions prove incorrect, actual results could vary materially from those anticipated, expected, estimated or projected.

As a result, neither Umicore nor any other person assumes any responsibility for the accuracy of these forward-looking statements.

Page 3: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

Programme

09:00 Welcome with coffee

09:30 Strategic Update Marc Grynberg10:15 Catalysis Pascal Reymondet

Q&A session

11:30 Coffee break

12:00 Energy & Surface Technologies Marc Van Sande12:15 Rechargeable Battery Materials Kurt Vandeputte

Q&A session

13:15 Lunch

14:15 Recycling Stephan Csoma14:30 Precious Metals Refining Luc Gellens

Q&A session

15:30 Technology & Innovation Denis Goffaux16:00 Coffee break

16:30 Driving returns and value Filip Platteeuw17:00 Wrap-up and Q&A Marc Grynberg18:00 Reception and walking dinner

3

Page 4: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

Strategic

Marc GrynbergChief Executive Officer

Speaker

update

Page 5: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

Our 2015 ambitions (as stated back in 2010)

5

Innovation as differentiator for success in all areas

Performance based environmental and social objectives

• Double digit growth potential for select high-growth businesses

• Global GDP growth for other activities

• 15-20% ROCE

Materials for PV

Emission control catalysts

Recycling

Rechargeable battery materials for (H) EV

Page 6: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

How we anticipated the journey would evolve

6

2010-2012

Prepare

2012-2015

Focus

2015+

Accelerate

• Regain profitability of 2007-2008

• Lay foundations for major growth initiatives

• Prepare for new breakthrough areas in environmental and social objectives

• Intensification of investment efforts

• Initial pay-off for major growth initiatives

• Deliver on all environmental and social objectives

• Acceleration of profitable growth

• Optimum economic, environmental and social performance

• Further investments in chosen areas

Page 7: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

2010-2015 financial performance

7

High growthbusinesses

GDP growthbusinesses

AverageROCE

Target 10%+p.a. 4%p.a. 15-20%

Realised* 8%p.a. 3%p.a. 15.3%

* 2015 figures included in the averages are estimates

Page 8: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

Vision 2015 achievements

8

Capacity & capability expansions New

products& services

New markets &

applications Profitability improvement

measures

Page 9: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

Vision 2015 achievements

9

Capacity & capability expansions New

products& services

New markets &

applications Profitability improvement

measures

Capex cumulative

€1.4bnR&D cumulative

€800mExamples: Heavy duty diesel, cathode materials for xEV, expansion into Asia and US

Selective measures in several

business units

Page 10: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

Vision 2015 sustainability achievements

10

Great place to work

Zero lost time accidents

Occupational exposure reduction

People development

Preferred employer

Eco-efficiency

Carbon footprint reduction

Metal emission reduction

Product sustainability

Stakeholder engagement

Sustainable procurement

Local community

Page 11: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

Vision 2015: key lessons learned

11

metals materialsolutions

recycling

applicationknow-how

Chemistry material science

metallurgy

more stringentemission control

electrification of the

automobile

resourcescarcity

Business model MegatrendsSustainable development

approach

Page 12: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks
Page 13: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

By 2020 we have…

13

Clear leadership in clean mobility materials and recycling

Rebalanced the portfolio & earnings contributions

Doubled the size of the business in terms of earnings

Turned sustainability into a greater competitive edge

Page 14: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

Unique position in clean mobility materials

14

ICEEmission

control catalysts

BEVBattery cathode

materials

(p)HEVBattery cathode materials and emission control catalysts

Fuel cellsElectro-catalyst and battery cathode materials

Page 15: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

Battery material competitors

Fuel cell catalyst competitors

Umicore

Automotive catalyst competitors (incumbent in spent

automotivecatalysts)

Unique position in clean mobility materials

15

Automotive catalysts

Battery materials

Fuel cell catalysts

Recycling services

Grow faster than the market in LDV and HDD

Clear leadership in cathode materials for xEV

Incumbent

Early stage

Page 16: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

Unique position in recycling

16

by-products from mining and smelting / refining +

end-of-life materials

Unique technologies in Hoboken for treating complex residues and by-products

Over 200 input streams

Recovery of 20 metals

Page 17: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

Unique position in recycling

17

by-products from mining and smelting / refining +

end-of-life materials

LONG LOOP

Unique technologies in Hoboken for treating complex residues and

by-products

Page 18: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

Unique position in recycling

18

by-products from mining and smelting / refining +

end-of-life materials

Further leverage Umicore’sleadership in closed loop solutions for customers

Leverage the profitable expansion to 500kt in Hoboken

SHORT LOOP

Recycling services for customer

production scrap and residues

LONG LOOP

Unique technologies in Hoboken for treating complex residues and

by-products

Page 19: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

Increase ROCE to beyond 15% target

Projections do not include high growth scenario for battery materials demand

Doubling the earnings

19

Waiting on graph input

0

100

200

300

400

500

600

2014 2015e 2020

Recurring EBITExcluding Discontinued

CAGR ~10%

Potential to double earnings from 2014 base

EU

R m

Page 20: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

Rebalancing the portfolio

20

More significant relative contribution expected from both Catalysis and Energy & Surface Technologies in 2020

Page 21: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

21

Turning sustainability into a greater competitive edge

21

We have transformed Umicoreinto a sustainability leader over the past 15 years

The purpose is to generate more concrete benefits from our sustainability efforts eg:

Page 22: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

CSM PMC

RBMRBM

ACPMR TFPPEM ACPMR

Catalysis

New segmentation

22

Recycling Energy & Surface Technologies

TM EOM

PMM EP

JIM

Page 23: 2 September 2015 - umicore.com · 2 September 2015. Andaz London Liverpool Street. Cautionary statement. 2. This presentation contains forward -looking information that involves risks

By 2020 we have…

23

Clear leadership in clean mobility materials and recycling

Rebalanced the portfolio & earnings contributions

Doubled the size of the business in terms of earnings

Turned sustainability into a greater competitive edge