PRESENTATION OF Q RESULTS. May 11th 2016

Transcription

1 PRESENTATION OF Q RESULTS May 11th 2016

2 Agenda Page Overview of Grupa Azoty 3 Market overview 7 Grupa Azoty Group 13 Grupa Azoty PUŁAWY Group 22 Grupa Azoty POLICE Group 30 Grupa Azoty KĘDZIERZYN Group 38 Appendix Parent 44 2

3 OVERVIEW OF GRUPA AZOTY

4 KEY DEVELOPMENTS COMMERCIAL CONTRACTS MANAGEMENT OF THE GROUP EDUCATION AWARDS Gas supply contract with PGNiG introducing gas prices linked to market indices Contract with Agro CS for the supply and distribution of UAN on the Czech market Stepping up integration and effective consolidation Personnel changes on the Management and Supervisory Boards Personnel changes in subsidiaries Second edition of the 'Grounded in knowledge' programme OXO and Polymers Application Centre founded in Kędzierzyn Grupa Azoty partners with Texas A&M University and Polish Association of Grain Producers Grupa Azoty ZAK S.A. awarded Employee- Friendly Firm title Champion of Change of Polish Industry title in recognition of unprecedented capital expenditure projects OVERVIEW OF GRUPA AZOTY 4

5 MANAGEMENT BOARD President of Management Board M. Bober Vice-President of the Management Board of A. Skolmowski Vice-President of the Management Board of W. Szczypiński Member of Management Board A. Kopeć Member of Management Board J. Rojek Member of Management Board T. Hinc Management and HR Finance Director General of Grupa Azoty S.A. Production assets Investments Procurement strategy Audit, risk and compliance Planning and controlling Agro Centre Technical safety Development strategy Strategic and technical procurement Communication Logistics Plastics Business Centre Environmental protection Research and development Raw materials and semi-finished product integration CSR IT Organic Synthesis Business Centre Infrastructure President of the Management Board of Grupa Azoty PUŁAWY Investor relations Production integration Social dialogue OVERVIEW OF GRUPA AZOTY 5

6 Q CAPITAL EXPENDITURE (PLN '000) BUSINESS DEVELOPMENT INVESTMENTS 130,600 BUSINESS MAINTENANCE INVESTMENTS 77,097 MANDATORY INVESTMENTS 29,437 PURCHASE OF FINISHED GOODS 4,543 TOTAL PLN 249,127 thousand OTHER (COMPONENTS, MAJOR OVERHAUL WORK) 7,450 GRUPA AZOTY POLICE PLN 50,041 thousand, GRUPA AZOTY PUŁAWY PLN 27,075 thousand GRUPA AZOTY KĘDZIERZYN PLN 61,724 thousand 6 GRUPA AZOTY S.A. PLN 106,686 thousand OVERVIEW OF GRUPA AZOTY 6

7 MARKET OVERVIEW

8 STRONG POSITION IN TARGET MARKETS 90% of revenue derived from sales to EU markets North America 0.5% 0.2% European Union 1 33% 31% Other Europe 1% 1% Asia 5% 3% Poland 57% 62% Q Q South America 2% 0.03% Africa 2% 2% 1 Excluding Poland GRUPA AZOTY MARKET OVERVIEW 8

9 MARKET OVERVIEW FERTILIZERS OUTLOOK No indicators of improvement in agricultural activity in the near term. With no prospects for an increase in prices of agricultural products, fertilizer prices are unlikely to go up during the year. PLASTICS Global urea oversupply continues to put pressure on nitrogen fertilizer prices across the board. CHEMICALS Q VS. Q PRICING TRENDS -14% -15% -34% -32% -28% -10% EUR/t RAW MATERIALS AN CAN USD/t -13% Ammonia Urea DAP NPK AS GRUPA AZOTY MARKET OVERVIEW 9

10 MARKET OVERVIEW FERTILIZERS PLASTICS OUTLOOK Global and European markets continue to experience oversupply due to imbalance of capacity and demand in China. Stabilisation of crude oil prices as one of the conditions necessary to restore full market equilibrium in the sector and drive anticipated growth in demand for engineering plastics not hampered by other factors. Clear signs of recovery and growing consumption in the textile industry and strong demand in the automotive sector. CHEMICALS Good long-term market outlook for PA6 producers, given the considerable growth potential with respect to extension of the product chain towards more technologically advanced products. Q VS. Q PRICING TRENDS RAW MATERIALS EUR/t -4 % -8% 2% 4% CPL PA6 Benzene Phenol GRUPA AZOTY MARKET OVERVIEW 10

11 MARKET OVERVIEW FERTILIZERS PLASTICS CHEMICALS RAW MATERIALS OUTLOOK Q VS. Q PRICING TRENDS EUR/t Titanium white price declines attributable to the persistent oversupply of the product, forcing producers to temporarily or permanently shut down production facilities. Seasonal spike in demand for titanium white, with prices likely to go up slightly in the second and third quarter of the year. Strong demand from customers in the CEE region and maintenance shutdowns planned by melamine producers likely to drive price rises in the second quarter of the year, but the overall, not fully stable melamine supply/demand situation in the region may strongly affect the prices in the following quarters. -26% -11% -32% 2-EH DOTP Propylene Melamine Titanium white 3% -14% GRUPA AZOTY MARKET OVERVIEW 11

12 MARKET OVERVIEW FERTILIZERS PLASTICS CHEMICALS OUTLOOK Weak potassium chloride demand, downtrend in prices, and phosphate price corrections led by softening demand for compound fertilizers. High sulfur stocks and lower compound and phosphate fertilizers output bearing down on prices. The market environment of many oil-derived feedstocks (phenol, benzene and propylene) to remain in a strong time-lagged correlation with oil price movements. Lower gas and electricity prices. " In 2016, the average coal price to stay largely flat compared with GAS PRICES (EUR/MWh) 30 RAW MATERIALS EUR/MWh Q Q Q Q Q Q Q Q Q PGNiG tariff TTF DA net of transmission costs GPL DA net of transmission costs GRUPA AZOTY MARKET OVERVIEW 12

13 GRUPA AZOTY GROUP

14 GRUPA AZOTY GROUP: KEY FINANCIALS REVENUE Q1 2015** Q Q Q Q EBITDA EBITDA (adjusted)* EBITDA MARGIN 17,1% 12,8% 12,6% 20,9% ,3% Q 2015** 2Q Q Q Q 2016 NET PROFIT NET PROFIT (adjusted)* NET PROFIT MARGIN 10,8% 6,7% 6,1% 12,4% ,4% Adjusted for impairment losses on the benzene derived C-none production unit, fat processing plant, and carbon disulfide plant in 2015 * Restated following adoption of uniform accounting policies across the Group (see Section 2.2.c of the Supplementary information to the financial statements) GRUPA AZOTY GROUP 1Q 2015** 2Q Q Q Q

15 GRUPA AZOTY GROUP: EBITDA KEY DRIVERS positive effect on EBITDA negative effect on EBITDA EBITDA Q1 2015* Lower cost of sales Other income Selling and distribution expenses Administrative expenses Profit/(loss) on other activities Lower sales volumes Lower selling prices EBITDA Q & Price pressure in fertilizers partly offset by lower prices of energy carriers, mainly gas & Gas cost advantage reflected in melamine profitability & Improved profitability of OXO products driven by feedstock prices falling faster than selling prices & Performance buoyed by upward exchange rate movements (mainly with respect to USD exposures) ( CPL-benzene and PA6-benzene deltas down on strong price pressures and unstable feedstock environment (benzene/phenol) ( Lower sales volumes in the fertilizer business * Restated following adoption of uniform accounting policies across the Group (see Section 2.2.c of the Supplementary information to the financial statements) GRUPA AZOTY GROUP 15

16 GRUPA AZOTY GROUP: PERFORMANCE BY SEGMENT SEGMENT REVENUE EBITDA Q1 2015* Q Q1 2015* Q Agro Fertilizers 1,798 1, Plastics Chemicals Energy Other Q VS. Q CHANGE IN EBITDA 170 1% Q REVENUE Plastics % 61% 0% 19% Agro Fertilizers Chemicals GRUPA AZOTY GROUP Agro Fertilizers Plastics Chemicals Energy Other Activities 16 Other 26Energy 61 * Restated following adoption of uniform accounting policies across the Group (see Section 2.2.c of the Supplementary information to the financial statements)

17 GRUPA AZOTY GROUP: AGRO FERTILIZERS Q1 2015* Q CHANGE VOLUMES Q Q Segment revenue including: Nitrogen fertilizers and ammonia 1,798 1,576-12% ( 1, % ( Compound fertilizers % ( EBITDA % EBITDA margin 21% 24% Compound fertilizers '000 tonnes GRAIN PRICES NITROGEN PRODUCT PRICES PLN/t 1100 USD/t kg N /1 kg 235 EUR/t Q Q Q Q Q Q Q Q Q Consumable wheat PLN/t Fodder corn PLN/t Oilseed rape PLN/t 1 kg N/1 kg consumable wheat ratio Source: Ministry of Agriculture and Rural Development Q Q Q Q Q Q Q Q Q Ammonia USD/t Urea USD/t Calcium ammonium nitrate CAN EUR/t Ammonium sulfate AS USD/t Source: ICIS, Argus FMB, Profercy. 200 Restated following adoption of uniform accounting policies across the Group (see Section 2.2.c of the Supplementary information to the financial statements) GRUPA AZOTY GROUP 17

18 GRUPA AZOTY GROUP: PLASTICS Q1 2015* Q CHANGE VOLUMES Q Q Segment revenue, including: % 28 Polyamide % Caprolactam % EBITDA % EBITDA margin -1% -5% '000 tonnes Polyamide Caprolactam PRICES OF BENZENE, PHENOL, CPL, PA EUR/t Q Q Q Q Q Q Q Q Q Benzene Liquid caprolactam PA6 Phenol Source: ICIS, TECNON Restated following adoption of uniform accounting policies across the Group (see Section 2.2.c of the Supplementary information to the financial statements) GRUPA AZOTY GROUP 18

19 GRUPA AZOTY GROUP: CHEMICALS Q1 2015* Q CHANGE Segment revenue including: % OXO products % Urea (technical grade) % Melamine % Titanium white % EBITDA % VOLUMES Q Q EBITDA margin 9% 16% 0 '000 tonnes Titanium white OXO products PRICES OF DOTP, 2-EH AND PROPYLENE EUR/t Propylene DOTP 2-EH Source: ICIS * Restated following adoption of uniform accounting policies across the Group (see Section 2.2.c of the Supplementary information to the financial statements) GRUPA AZOTY GROUP Q Q Q Q Q Q Q Q Q

20 GRUPA AZOTY GROUP: STATEMENT OF FINANCIAL POSITION RATIOS Profitability ratios Q1 2015* Q Non-current assets Mar * Mar CHANGE 6,691 7,352 10% EBIT margin (%) EBITDA margin (%) ROCE (%) ROE (%) Liquidity ratios Current ratio Debt ratios Total debt ratio (%) Net debt Current assets 3,497 3,795 9% including cash and cash equivalents and short-term investments of up to one year 1,047 1,381 35% TOTAL ASSETS 10,188 11,148 9% Mar * Mar CHANGE Equity 6,783 7,419 9% Liabilities 3,405 3,729 10% including financial debt 1,102 1,338 18% Debt to equity ratio (%) TOTAL EQUITY AND LIABILITIES 10,188 11,148 9% Restated following adoption of uniform accounting policies across the Group (see Section 2.2.c of the Supplementary information to the financial statements) GRUPA AZOTY GROUP 20

21 GRUPA AZOTY GROUP: COST STRUCTURE % Y/Y CHANGE Q1 2015* Q Raw materials and consumables used Services Labour costs Depreciation and amortisation Other Restated following adoption of uniform accounting policies across the Group (see Section 2.2.c of the Supplementary information to the financial statements) GRUPA AZOTY GROUP 21

22 GRUPA AZOTY PUŁAWY GROUP

23 GRUPA AZOTY PUŁAWY GROUP: KEY FINANCIALS REVENUE Q Q Q Q Q EBITDA Kolumna1 EBITDA MARGIN , , , , ,9 Q Q Q Q Q NET PROFIT Kolumna1 NET PROFIT MARGIN , ,2 65 6, , ,9 Q Q Q Q Q Grupa Azoty PUŁAWY 23

24 GRUPA AZOTY PUŁAWY GROUP: PERFORMANCE KEY DRIVERS positive effect on EBITDA negative effect on EBITDA PLNm EBITDA Q Lower other cost of sales Lower raw material volumes* Lower product sales volumes Higher selling and distribution expenses EBITDA Q Lower prices of key feedstocks Lower selling prices Lower sales volumes *Only the Parent Grupa Azoty PUŁAWY 24

25 GRUPA AZOTY PUŁAWY GROUP: PERFORMANCE BY SEGMENT SEGMENT REVENUE EBITDA Q Q Q Q Agro Chemicals Energy Other Activities Q VS. Q CHANGE IN EBITDA % Q REVENUE Agro 70% % +8% -100% Agro Chemicals Energy Other Chemicals 27% Grupa Azoty PUŁAWY 25 Other Energy 1% 2%

26 GRUPA AZOTY PUŁAWY GROUP: AGRO VOLUMES Q Q CHANGE Q Q Revenue % ( Nitrogen fertilizers % ( Phosphate and compound fertilizers % ( Other products and services % & Merchandise and materials % & EBITDA % & EBITDA margin 27.6% 32.2% 4.6 p.p. & 0 '000 tonnes Nitrogen fertilizers Other PRICES OF AN, UAN AND UREA EUR/t USD/t Q Q Q Q Q Q Q Q Q Urea USD/t Ammonium nitrate AN EUR/t UAN EUR/t Source: Argus FMB, Profercy Grupa Azoty PUŁAWY 26

27 GRUPA AZOTY PUŁAWY GROUP: CHEMICALS Q Q CHANGE VOLUMES Q Q Revenue % ( Melamine % & Caprolactam % ( Urea % ( Other products and services % & 30 Merchandise and materials % ( EBITDA & 15 EBITDA margin 11.0% 16.8% 5.8 p.p. & '000 tonnes 0 Melamine Other PRICES OF MELAMINE AND CAPROLACTAM EUR/t USD/t Q Q Q Q Q Q Q Q Q Crystalline caprolactam USD/t Melamine EUR/t Source: ICIS GRUPA AZOTY PUŁAWY 27

28 GRUPA AZOTY PUŁAWY GROUP: STATEMENT OF FINANCIAL POSITION RATIOS Q Q Mar Mar CHANGE Profitability ratios EBIT margin (%) 17.7% 19.0% EBITDA margin (%) 21.3% 23.9% ROCE (%) 6.0% 5.3% ROE (%) 6.0% 5.0% Liquidity ratios Current ratio 2.7% 2.9% Debt ratios Total debt ratio (%) 21.4% 21.5% Non-current assets 2,145 2, % & Current assets 1,549 1, % & incl. cash and cash equivalents % & TOTAL ASSETS 3,694 4, % & Mar Mar CHANGE Equity 2,903 3, % & Liabilities % & incl. borrowings % & Net debt Debt to equity ratio (%) 27.2% 27.3% other financial liabilities TOTAL EQUITY AND LIABILITIES 6 6-3,694 4, % & GRUPA AZOTY PUŁAWY 28

29 GRUPA AZOTY PUŁAWY GROUP: COST STRUCTURE % Q/Q CHANGE PLNm Q Q Raw materials and consumables used Services Employee benefits expense Depreciation and amortisation Other DRIVERS Cost of raw materials and consumables used down mainly on lower gas and coal prices. Higher cost of labour resulting from financial performance. GRUPA AZOTY PUŁAWY 29

30 GRUPA AZOTY POLICE GROUP

31 GRUPA AZOTY POLICE: KEY FINANCIALS REVENUE Q Q Q Q Q ,5% EBITDA EBITDA MARGIN 12,7% 12,0% ,5% 10,8% Q Q Q Q Q ,9% NET PROFIT NET PROFIT MARGIN 6,8% 51 8,0% 56 2,6% 6,1% Q Q Q Q Q 2016 GRUPA AZOTY POLICE GROUP 31

32 GRUPA AZOTY POLICE: PERFORMANCE BY SEGMENT SEGMENT REVENUE EBITDA Q Q Q Q Fertilizers Pigments Other Q VS. Q CHANGE IN EBITDA Fertilizers 88% Q REVENUE EBITDA Fertilizers Pigments Other Other 1% Pigments 10% GRUPA AZOTY POLICE GROUP 32

33 GRUPA AZOTY POLICE GROUP EBITDA KEY DRIVERS positive effect on EBITDA negative effect on EBITDA EBITDA Q prices of key raw materials/feedstocks movements in finished goods inventory Lower product prices Favourable movements in the prices of natural gas, fine coal, sulfur and ilmenite Lower volumes of key products sold Lower selling prices of ammonia, urea and titanium white GRUPA AZOTY POLICE GROUP 33 Lower sales volumes Raw material volumes Higher fixed costs EBITDA Q1 2016

34 GRUPA AZOTY POLICE: FERTILIZERS Q Q CHANGE Revenue % ( Compound fertilizers % ( Urea % ( VOLUMES Q Q Ammonia % ( Other % & EBITDA % & EBITDA margin 14% 17% 23% & PRICES OF NPK, DAP, PHOSPHATE ROCK, POTASSIUM CHLORIDE '000 tonnes Compound fertilizers Urea Ammonia Other 475 USD/t Q Q Q Q Q Q Q Q Q NPK DAP Phosphate rock Potassium chloride GRUPA AZOTY POLICE GROUP 34

35 GRUPA AZOTY POLICE: PIGMENTS Q Q CHANGE Revenue % ( Titanium white % ( Other 3 3 8% & EBITDA % & EBITDA margin 2% 3% 52% & '000 tonnes Volumes Q Q Titanium white Other PRICES OF TITANIUM WHITE, ILMENITE AND TITANIUM SLAG EUR/t USD/t Q Q Q Q Q Q Q Q Q Titanium white EUR/t Ilmenite USD/t Titanium slag USD/t 0 GRUPA AZOTY POLICE GROUP 35

36 GRUPA AZOTY POLICE: STATEMENT OF FINANCIAL POSITION RATIOS Q Q Mar Mar CHANGE Profitability ratios Non-current assets 1,359 1,546 14% EBIT margin 9% 12% EBITDA margin 13% 16% ROCE 5% 5% ROE 4% 5% Current assets % incl. cash and cash equivalents % TOTAL ASSETS 2,081 2,251 8% Liquidity ratios Current ratio Mar Mar CHANGE Debt ratios Total debt ratio 45% 42% Net debt Equity-to-debt ratio 124% 136% Equity 1,150 1,295 13% Liabilities % incl. borrowings % other financial liabilities TOTAL EQUITY AND LIABILITIES 8 8 0% 2,081 2,251 8% GRUPA AZOTY POLICE GROUP 36

37 GRUPA AZOTY POLICE: COST STRUCTURE % y/y change DRIVERS Lower gas prices Higher labour costs driven by pay rises 0 Q Q Raw materials and consumables used Services Labour costs Depreciation and amortisation Other GRUPA AZOTY POLICE GROUP 37

38 GRUPA AZOTY ZAKŁADY AZOTOWE KĘDZIERZYN S.A.

39 GRUPA AZOTY KĘDZIERZYN: KEY FINANCIALS REVENUE Q Q Q Q Q ,6% EBITDA EBITDA MARGIN 17,1% 15,4% 93 6,8% 8,0% Q Q Q Q Q ,0% NET PROFIT NET PROFIT MARGIN 11,0% 60 8,6% 66 3,0% 3,2% Q Q Q Q Q 2016 Grupa Azoty POLICE 39

40 GRUPA AZOTY KĘDZIERZYN: PERFORMANCE BY SEGMENT SEGMENT REVENUE EBITDA Q Q Q Q Fertilizers alcohols Other Q VS. Q CHANGE IN EBITDA Q REVENUE OXO alcohols 36% Fertilizers 58% -2 Fertilizers OXO alcohols Other Other 6% GRUPA AZOTY KĘDZIERZYN 40

41 GRUPA AZOTY KĘDZIERZYN: STATEMENT OF FINANCIAL POSITION RATIOS Profitability ratios Q Q EBIT margin (%) EBITDA margin (%) ROCE (%) ROE (%) Non-current assets Mar Mar CHANGE 1,030 1,289 25% Current assets % incl. cash and cash equivalents % TOTAL ASSETS 1,631 1,825 12% Liquidity ratios Current ratio Debt ratios Total debt ratio (%) Mar Mar CHANGE Equity 1,119 1,190 6% Liabilities % incl. borrowings % Net debt Debt to equity ratio (%) other financial liabilities TOTAL EQUITY AND LIABILITIES 3 3-1,631 1,825 12% GRUPA AZOTY KĘDZIERZYN 41

42 DISCLAIMER The information presented below has been prepared by the Grupa Azoty Group (the Group ) solely for the purpose of presentation to investors and market analysts on May 11th 2016 (the Presentation ). By participating in the meeting at which the Presentation is presented or by referring to the following Presentation, you agree to the following specific restrictions and disclaimers. This presentation does not constitute or form any part of, and should not be considered as, an offer to sell or as an offer to subscribe for, or as a guarantee to purchase or acquire in other way, any securities of any company of the Group. Neither this Presentation nor any part hereof may form the basis of, or be relied upon in connection with, any subscription for any securities of the Group, or their acquisition. Neither this Presentation nor any part hereof may form the basis of, or be relied upon in connection with, any investment agreement, commitment or decision relating to securities of the Group companies. This Presentation does not constitute a recommendation regarding any securities of the Group companies. No statement or assurance, expressed or implied, has been made by or on behalf of the Group or any of its shareholders, members of its bodies, officers, employees, agents or advisers or any other person, as to the accuracy, completeness or reliability of information or opinions contained in this Presentation. This Presentation may contain forward-looking statements. Forward-looking statements are different from statements of historical facts. Statements containing such words as "expects", "intends", "plans", "believes", "anticipates", "will", "aims", "can", "would", "could", "continues" or similar words are examples of such forward-looking statements. Forward-looking statements include statements about the financial performance, business strategy, plans and objectives of the Group (including development plans relating to the Group). All forward-looking statements contained in this Presentation relate to matters involving known and unknown risks, issues that are impossible to predict, and other factors. Actual results and achievements of the Group may be materially different from those described in statements concerning the past, and from the results and achievements of the Group in the past. Forward-looking statements are made based on various assumptions of future events, including numerous assumptions regarding present and future business strategies of the Group and its future business environment. Although the Group believes that its estimates and assumptions are reasonable, they may prove to be incorrect. 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44 APPENDIX 1 PARENT

45 KEY RATIOS SINCE IPO 2008, QUARTERLY * REVENUE AND NET PROFIT Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q1 2015* Q Q Revenue Net profit (right axis) 700 EBITDA AND NET DEBT Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Net debt EBITDA *Grupa Azoty Group GRUPA AZOTY S.A. 45

46 GRUPA AZOTY S.A.: KEY FINANCIALS REVENUE Q1 2015** Q Q Q Q EBITDA EBITDA (adjusted)* EBITDA MARGIN 10,7% 12,9% 54 4,7% 4,5% ,9% 16 1Q 2015** 2Q Q Q Q 2016 NET PROFIT NET PROFIT (adjusted)* NET PROFIT MARGIN 59,0% ,6% ,3% -21-4,8% ,1% 1Q 2015** 2Q Q Q Q 2016 * Adjusted for impairment losses recognised on benzene-derived C-none production unit in Q * Net profit adjusted for dividends received (in all reporting periods) ** Restated following adoption of uniform accounting policies across the Group (see Section 2.2.c of the Supplementary information to the financial statements) GRUPA AZOTY S.A. 46

47 GRUPA AZOTY S.A.: PERFORMANCE BY SEGMENT SEGMENT REVENUE EBITDA Q Q Q Q Fertilizers Plastics Energy Other Q VS. Q CHANGE IN EBITDA +26% Q REVENUE Modified 47% -86% -25% -25% Fertilizers Plastics Energy Other Fertilizers 50% GRUPA AZOTY S.A. 47 Other 1% Energy 2%

48 GRUPA AZOTY S.A.: FERTILIZERS Q Q CHANGE Segment revenue including % ( Nitrogen fertilizers % ( EBITDA % EBITDA margin 16% 22% '000 tonnes VOLUMES Q Q Nitrogen fertilizers PRICES OF AMMONIA, AMMONIUM SULFATE AND CALCIUM AMMONIUM NITRATE USD/t EUR/t Q Q Q Q Q Q Q Q Q Ammonia USD/t Calcium ammonium nitrate CAN EUR/t Ammonium sulfate AS USD/t Source: Argus FMB, ICIS GRUPA AZOTY S.A. 48

49 GRUPA AZOTY S.A.: PLASTICS Q Q CHANGE Segment revenue including % Polyamide % Caprolactam % EBITDA % VOLUMES Q Q EBITDA margin 3% 0% 0 PRICES OF BENZENE, PHENOL, CPL, PA6 Polyamide Caprolactam EUR/t Q Q Q Q Q Q Q Q Q Benzene Liquid caprolactam PA6 Phenol Source: ICIS, TECNON GRUPA AZOTY S.A. 49

50 GRUPA AZOTY S.A.: COST STRUCTURE % y/y change Q Q 2016 Other Depreciation and amortisation Labour costs Services Raw materials and consumables used Grupa Azoty S.A. 50

51 SHARE PERFORMANCE Growth from Jun :422% High (Dec ) PLN Low (Feb ) PLN Jul/12 Oct/12 Feb/13 Jun/13 Oct/13 Feb/14 May/14 Sept/14 Jan/15 Trading May/15 volume Sept/15 Dec/15 Apr/16 Aug/16 Dec/16 Apr/17 Aug/17 Nov/17Price Apr/18 Jul/18 Nov/18 Mar/19 Jul/19 Oct/19 Feb/20 0 GRUPA AZOTY S.A. 51

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