Synthomer Strategy
Capital Markets Day
12 October 2022
Agenda
09:00 - 09:45 | Introduction and Strategy review | Michael Willome, Chief Executive Officer |
09:45 - 10:00 | Coffee break | |
10:00 - 10:30 | Deep dive into Adhesive Technologies | Toby Heppenstall, President Adhesive Technologies |
10:30 - 10:40 | Key performance indicators | Lily Liu, Chief Financial Officer |
10:40 - 11:00 | Summary and conclusions | Michael Willome, Chief Executive Officer |
11:00 | Q&A |
Michael Willome | Lily Liu | Toby Heppenstall |
Synthomer plc Capital Markets Day October 2022 | 2 |
Introduction & Strategy Review
Michael Willome, Chief Executive Officer
Synthomer plc Capital Markets Day October 2022 | 3 |
The opportunity - Focus, Strengthen, Grow
Focus
- Portfolio rationalisation to reduce complexity
- Increase end market orientation
- Expand speciality solutions portfolio
- Disciplined capital allocation
Synthomer plc Capital Markets Day October 2022
Strengthen
- Innovation, leveraging sustainability to drive further value
- Optimise acquired operational network
- Balance sheet, returning leverage to target levels
Grow
- Opportunity to realise significant growth from being a larger scale, more focused and stronger business
- Deliver on clear strategic objectives and financial targets
- An attractive return on invested capital
- Consistent growth and increasing margins
- Strong cash flow
4
Strengthening the balance sheet to deliver the strategy
- Portfolio management - Strategic divestment actions
- Near and longer-term opportunities for portfolio management identified
- Process underway to support our disciplined route to our target 1-2x leverage
- Working capital actions
- Adhesives Technologies working capital improvement
- Supply chain optimisation
- Legacy group working capital target as a % of revenue remains ~10%
- Actions in response to slower H2 market conditions
- Capex reduced to ~£80m in 2022 from expected £130m
- Discretionary cost programme deployed
- New streamlined organisation with lower cost base and reduced complexity
- Covenant headroom discussions progressing well
- Dividend suspension to December 2023 announced
- Five-yearUK export finance package of £450m agreed
Synthomer plc Capital Markets Day October 2022 | 5 |
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Synthomer plc published this content on 12 October 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 12 October 2022 09:11:02 UTC.