Imerys : 2023 projet SLB - présentation investisseurs (Novembre 2023)

Sustainability Linked Bond (SLB)

Investor Presentation - November 2023

Sébastien Rouge, Chief Financial Officer

Leah Wilson, Chief Sustainability Officer

Imerys

Financial		SLB Framework
Sustainability	and Bond
Results
	Offering

• November 2023 | Sustainability Linked Bond

Imerys

Financial

Results

• November 2023 | Sustainability Linked Bond

Imerys, the world's leading supplier of mineral-based specialty solutions

1

#1 in 75%

of our businesses

14,000

employees

€720m

Nearly 30,000

customers

€4.3bn

revenueAmericas

32% of revenue

Sales in 133

EMEA

APAC

21% of revenue

Current EBITDA

countries

47% of revenue

2022 data

• November 2023 | Sustainability Linked Bond

Imerys in a nutshell

What we offer

Whom we serve

High added-value solutions

to different industries

We succeed through:

Best-in-classresources,

operations and technologies

Customer application knowledge and market-driveninnovation

Geographical footprint

and growing underlying markets

Leading positions

in most markets

Ambitious sustainability

targets

• November 2023 | Sustainability Linked Bond

Industry & Equipment

Energy &

Electronics

Automotive & Transportation

	URD 2022
Paper
8%
12%	Construction
37%
& Infrastructure
12%

12% 19%

Consumers

& Healthcare

Strategic roadmap in place, good financial resilience in a tough environment

Highlights

Financial

performance(1)

• Strategic roadmap focused on three megatrends: green mobility and sustainable energy, natural solutions for consumer goods and sustainable construction
• Strategic moves: High Temperature Solutions business divestiture, graphite and carbon capacity investments, lithium projects
• Current macroeconomic challenges following 2022 rebound
• First nine months revenue of €2.9 billion reflecting low end-markets and destocking effect
• Resilient current EBITDA margin at 16.6% for the first nine months of 2023 performance, only slightly below 2022 levels
• Positive price/cost balance maintained, demonstrating the strength of the Group's business model during periods of significant uncertainty
• Guidance confirmed for 2023 current EBITDA at the low end of €630-650 million range announced last July

(1) Please refer to the glossary in appendix for definition of Alternative Performance Measures

• November 2023 | Sustainability Linked Bond

Resilient current EBITDA margin despite low volumes

Revenue (€m) current EBITDA margin (%)

NB: HTS not included

First 9 months 2023 :

Revenue -8.5%like-for-like

Current EBITDA margin at 16.6%

2022 high comparables

Challenging markets hit by high interests rates and inflation

Positive price-mix cost balance, input costs reversing in Q3

Effective cost savings

• November 2023 | Sustainability Linked Bond

Stronger cash flow generation in H1 2023 despite lower current EBITDA

(including HTS as per IFRS 5 rules)

Net current free operating cash flow before strategic capex (€m)

• November 2023 | Sustainability Linked Bond

Current		Current EBITDA hit per lower
EBITDA
	sales volume vs Last Year
(€m)
H1 2022	H2 2022	H1 2023

Change		16	Improving OWC change:
in WCR	-160	lower inflation and structural
(€m)			actions
H1 2022	H2 2022	H1 2023
H1 2022	H2 2022	H1 2023
Capex			Consistent capex paid over
paid			the last two years
(€m)	-181

Source: Imerys

Net debt reduced by €468M (-28%) from December 2022 to June 2023

Change in net financial debt (€m)

Net Debt	Net current	Debt	Other income	Acquisition	Dividends	Discontinued	Other	Net Debt
Dec. 31, 2022	free operating	servicing	and expenses	net of disposals		operations		June 30, 2023
	cash flow	cost
2.3 x			Net financial debt to current EBITDA			1.7 x
49%			Net financial debt to shareholders' equity			36%

(1,198)

+96	-19	-28	-330	+84	-10

(1,666)

+673

Source: Imerys

• November 2023 | Sustainability Linked Bond

Covenant

-

160%, before IFRS 16

BBB-

Stable outlook

Baa3

Stable outlook

Maintaining a solid and flexible balance sheet

Net financial debt (€m) and financial ratios

Net financial debt

Gearing (a)

Leverage ratio (b)

IFRS 16

2.7

		(a) Net financial debt/Equity
10	November 2023 | Sustainability Linked Bond	(b) Net financial debt/current EBITDA