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Buzzi Unicem Investor Presentation 2025
4218_rns_2025-05-27_e0670a63-c754-41ab-81df-e6f2ab04b010.pdf
Investor Presentation
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European Champions Conference Deutsche Bank
Frankfurt , 27 May 2025
EXECUTIVE SUMMARY
COMPANY OVERVIEW INVESTMENT HIGHLIGHTS Q1 2025 OVERVIEW OUR JOURNEY TO NET ZERO
COMPANY OVERVIEW
BUZZI AT A GLANCE: WELL POSITIONED TO CATCH FUTURE OPPORTUNITIES
MORE THAN 110 YEARS OF HISTORY
1907-1970 Foundation by Pietro and Antonio Buzzi, with Trino cement plant
Mexico
Expansion in Northern Italy
New markets
Existing markets
Start of the ready-mix concrete production
1999
Acquisition and incorporation of Unicem;
Listing on the Italian stock exchange with the name of Buzzi Unicem
| Italy |
|---|
| United States |
2009-2011 New lines in United States Russia
Russia 2014 Acquisition of Korkino
Italy
Brazil 2018-2021 50% acquisition of Cimento Nacional in 2018 Acquisition of CRH Brazilian assets
Central and Eastern Europe
Gulf Cement Company UAE
BUZZI TODAY
OPERATIONAL SUMMARY AND KEY NUMBERS
INVESTMENT HIGHLIGHTS
INDUSTRY LEADING PERFORMANCE THROUGH THE CYCLE
0
1000
2000
3000
4000
Net Sales
CAGR (2015-2024): +5.5% Solid growth fuelled by sound demand and significant price re-rating in recent years
EBITDA
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
CAGR (2014-2023):+ 11.6% Over proportional growth to Net Sales, with EBITDA which has more than doubled
EBITDA MARGIN
+12 percentage points Leading performance, driven by cost efficiency and synergies
Margin protection
Pass through of higher costs on selling prices
HISTORICAL EBITDA BY COUNTRY
| 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | (37.2) | (22.2) | (79.7) | (1.7) | 43.4 | 33.8 | 40.8 | 82.0 | 175.2 | 196.6 | |
| Italy | margin | -9.8% | -5.9% | -18.6% | -0.4% | 8.6% | 6.8% | 6.8% | 11.3% | 21.4% | 24.0% |
| EBITDA | 72.1 | 76.8 | 78.1 | 82.5 | 102.3 | 123.8 | 127.5 | 120.5 | 189.1 | 164.1 | |
| Germany | margin | 12.6% | 13.4% | 13.3% | 13.0% | 15.1% | 17.3% | 18.0% | 15.1% | 21.7% | 20.7% |
| Benelux | EBITDA | 19.7 | 25.8 | 17.6 | 23.1 | 22.7 | 21.7 | 16.5 | 7.0 | 28.1 | 14.5 |
| margin | 11.7% | 14.7% | 9.4% | 11.7% | 11.8% | 11.3% | 8.2% | 3.1% | 13.1% | 7.9% | |
| EBITDA | 32.6 | 34.4 | 36.5 | 43.6 | 46.3 | 46.8 | 51.3 | 56.8 | 72.0 | 68.0 | |
| Czech Rep/ Slovakia |
margin | 24.0% | 25.2% | 24.7% | 26.5% | 27.5% | 29.4% | 28.9% | 28.2% | 35.2% | 32.6% |
| EBITDA | 22.7 | 23.4 | 24.1 | 31.9 | 32.1 | 35.3 | 31.3 | 27.2 | 38.2 | 40.1 | |
| Poland | margin | 20.4% | 24.6% | 24.9% | 28.6% | 25.9% | 29.9% | 24.8% | 19.2% | 24.3% | 23.1% |
| Ukraine | EBITDA | 4.0 | 12.8 | 16.0 | 7.0 | 21.0 | 21.9 | 13.3 | (6.8) | 5.6 | 3.6 |
| margin | 5.7% | 16.1% | 16.9% | 8.0% | 15.9% | 18.9% | 10.5% | -11.4% | 6.5% | 5.1% | |
| EBITDA | 48.4 | 43.2 | 46.0 | 50.1 | 57.7 | 52.9 | 58.6 | 99.6 | 96.2 | 97.1 | |
| Russia | margin | 29.0% | 28.0% | 24.9% | 27.0% | 26.9% | 28.3% | 28.3% | 34.3% | 33.8% | 33.0% |
| EBITDA | 311.7 | 356.5 | 369.6 | 341.2 | 402.7 | 444.2 | 455.1 | 497.5 | 639.2 | 663.8 | |
| USA | margin | 28.1% | 31.9% | 33.0% | 31.9% | 32.4% | 35.2% | 34.2% | 31.3% | 36.7% | 38.4% |
| EBITDA | 28.5* | ||||||||||
| Brazil | margin | 33.2% | |||||||||
| Consolidated | EBITDA | 473.2 | 550.6 | 508.2 | 577.2 | 728.1 | 780.8 | 794.6 | 883.7 | 1,243.2 | 1,276.1 |
| (IFRS application) | margin | 17.8% | 20.6% | 18.1% | 20.1% | 22.6% | 24.2% | 23.1% | 22.1% | 28.8% | 29.6% |
| Mexico (50%) | EBITDA | 128.1 | 146.7 | 164.6 | 144.5 | 126.1 | 132.5 | 141.3 | 152.9 | 232.8 | 222.6 |
| margin | 40.9% | 48.2% | 48.0% | 46.3% | 42.5% | 46.2% | 42.7% | 39.8% | 45.4% | 44.6% | |
| Brazil (50%) | EBITDA | 15.9 | 11.7 | 24.0 | 40.5 | 59.4 | 44.3 | ||||
| margin | 23.9% | 17.4% | 34.5% | 31.9% | 29.7% | 22.5% | |||||
| Consolidated | EBITDA | 601.3 | 697.3 | 672.8 | 737.6 | 865.9 | 937.3 | 976.4 | 1,096.0 | 1,520.3 | 1,498.7 |
| (proportional method) |
margin | 20.2% | 23.5% | 21.4% | 22.7% | 24.2% | 26.2% | 25.0% | 23.3% | 30.2% | 31.1% |
SOUND CASH GENERATION AND VALUE CREATIVE CAPITAL ALLOCATION
STRONG BALANCE SHEET, PRESERVING INVESTMENT CAPACITY FOR GROWTH
Consistent deleveraging
Achieved in 10 years, while continuing to create value
Net Cash position
Since the end of 2021, further strengthened in 2023. Strongest balance sheet in the industry
Investment grade metrics
Remain among our commitments, preserving the capacity to create value for the company and shareholders, while financing the Net Zero transition
SUSTAINABLE GROWTH IN SHAREHOLDERS REMUNERATION
+14%
Equity FCF CAGR Thanks to strengthened operating results, selective CAPEX and reduced interests through deleveraging
~990 €million
Returned to shareholders since 2014 ~590 € million as dividend ~400 € million as buyback
DPS growth
Commitment to a sustainable growth in dividend policy
DISCIPLINED AND BALANCED FINANCIAL APPROACH
| Margin protection, through organic growth, adequate pricing and efficient cost management |
|---|
| Selective capex decisions (on average ~8% to Net Sales) |
| Value creation, confirming positive avg ROIC vs WACC spread |
| Financial soundness protection, maintaining investment grade metrics (Net debt/EBITDA ratio of 1.5 x – 2.0 x) |
| Focus on cash generation to serve external growth and shareholders remuneration |
| Access to fixed income markets and loan markets as well as private placements focusing on maturity profiles, flexibility and cost of funding. |
Q1 2025 OVERVIEW
Q1 2024 IN BRIEF
Q1 cement volumes up 23% thanks to the consolidation of Brazilian assets, despite deconsolidation of Ukraine (stable trend on a lfl basis). Ready-mix slightly up (+3.9%)
Adverse weather conditions and a subdued demand weighing on activity in US, while in Central Europe volumes rebound vs the weak previous year. Fanna sale led to a reduction in deliveries in Italy, whereas Eastern Europe experienced a favorable demand evolution.
Marginal contribution from selling price variance and positive fx effect
Stable Net Cash Position
Guidance confirmed: 2025 group recurring EBITDA expected to consolidate the excellent level reached in 2024; higher degree of uncertainty and risk on projections, due to the current macroeconomic scenario
NET SALES BY COUNTRY
| Q1 25 | Q1 24 | ∆ | ∆ | Forex | Scope | ∆ l-f-l | |
|---|---|---|---|---|---|---|---|
| EURm | abs | % | abs | abs | % | ||
| Italy | 192.1 | 190.9 | 1.3 | +0.7 | - | - | +0.7 |
| United States | 355.2 | 367.2 | (12.0) | -3.3 | 11.0 | - | -6.3 |
| Germany | 169.9 | 170.3 | (0.4) | -0.2 | - | - | -0.2 |
| Lux / Netherlands | 45.3 | 41.1 | 4.1 | +10.1 | - | (1.7) | +14.8 |
| Czech Rep / Slovakia | 38.1 | 36.3 | 1.7 | +4.8 | - | - | +4.8 |
| Poland | 41.2 | 28.2 | 13.0 | +46.0 | 1.3 | - | +41.6 |
| Brazil | 80.8 | - | 80.8 | n.s. | - | 80.8 | n.s. |
| Ukraine | - | 16.7 | (16.7) | n.s. | - | (16.7) | n.s. |
| Russia | 59.7 | 52.1 | 7.6 | +14.6 | 0.2 | - | +14.3 |
| Eliminations | (10.1) | (8.5) | (1.7) | ||||
| Total | 972.2 | 894.4 | 77.9 | +8.7 | 12.4 | 62.4 | +0.3 |
| Mexico (100%) | 225.7 | 267.7 | (42.0) | -15.7 | (37.3) | - | -1.8 |
| Brazil (100%) | 80.8 | 90.3 | (9.4) | -10.5 | (11.9) | - | +2.7 |
OUR JOURNEY TO NET ZERO
«OUR JOURNEY TO NET ZERO» ROADMAP UPDATE
APPENDIX
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European Champions Conference – Deutsche Bank | 27 May 2025 20
Cement (mt) Ready-mix concrete (mm3
PRICE INDEX BY COUNTRY
HISTORICAL CEMENT CONSUMPTION BY COUNTRY
2024 CEMENT CONSUMPTION VS PEAK
Total market (m ton) Per capita consumption (kg)
THIS REPORT CONTAINS COMMITMENTS AND FORWARD-LOOKING STATEMENTS BASED ON ASSUMPTIONS AND ESTIMATES. EVEN IF THE COMPANY BELIEVES THAT THEY ARE REALISTIC AND FORMULATED WITH PRUDENTIAL CRITERIA, FACTORS EXTERNAL TO ITS WILL COULD LIMIT THEIR CONSISTENCY (OR PRECISION, OR EXTENT), CAUSING EVEN SIGNIFICANT DEVIATIONS FROM EXPECTATIONS. THE COMPANY WILL UPDATE ITS COMMITMENTS AND FORWARD-LOOKING STATEMENTS ACCORDING TO THE ACTUAL PERFORMANCE AND WILL GIVE AN ACCOUNT OF THE REASONS FOR ANY DEVIATIONS.
