PORTUGAL
CAPITAL
MARKETS
DAY 2024
AEM l EURONEXT
J u n e 27, 2024
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DISCLAIMER
This presentation is intended to provide a general overview of The Navigator Company S.A.'s business and does not purport to deal with all aspects and details regarding The Navigator Company S.A.. Accordingly, no representation, undertaking or warranty, expressed or implied, is given by The Navigator Company S.A. or any of its subsidiaries' undertakings, affiliates, directors, officers, employees or advisors or any other person as to the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation or of the views given or implied or any other material discussion in connection with this presentation.
This presentation has been prepared by The Navigator Company S.A. for information purposes only. The Navigator Company S.A. or any of its affiliates, directors, officers, employees or advisers or any other person shall not have any liability whatsoever (including in case of omission, negligence or otherwise) for any losses, errors or omissions howsoever arising, directly or indirectly, from any use of this presentation or its contents or otherwise arising in connection therewith or with respect to their reliance upon the completeness and accuracy of any such information, as well as any damages resulting hereof.
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BIOINDUSTRY ON THE RIGHT SIDE
OF THE FUTURE
O U R P U R P O S E
PEOPLE, THEIR
QUALITY OF LIFE, AND THE PLANET'S FUTURE ARE WHAT INSPIRE AND MOVE US
Trust
Integrity
Entrepreneurship
Innovation
Sustainability
Excellence
We believe in people, we accept everyone's contribution, and we respect their identity. We are committed to development, cooperation and communication
We are guided by principles of transparency, ethics and respect in our relationships among ourselves and with others
We are passionate about what we do, we like to get out of our comfort zone, we have the courage to take decisions and to accept risks in a responsible way
By expanding our knowledge and creative potential, together we can achieve the impossible
The balance between the Economic, Environmental and Social pillars of Sustainability is the foundation of our business model
We believe in quality, efficiency, safety and rigor in everything we do
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THE NAVIGATOR COMPANY
Solid Core. Increasingly diversified
Forest
Bioenergy | Pulp |
Integrated
Producer
PackagingPaper
Tissue
Source: NVG Sustainability Report 2023
An integrated producer of forestry, pulp, paper, tissue, sustainable packaging solutions and bioenergy, based on unique raw material (Eucalyptus Globulus), continuous R&D and state-of-the-art factories worldwide.
Production capacity of 1.6 million tons of pulp, 1.6 million tons of paper, 165.000 tons of tissue per year (310.000 tons converting), and 381 MW of installed power for energy production.
The Group has a vertically integrated forestry business, with its own forestry research institute, and is responsible for planting a vast area of forest in mainland Portugal (1.2% of the country's area), 100% certified by the FSC® and PEFC systems.
More than 90% of Navigator's sales of goods are sold to 130 countries, across all 5 continents.
Navigator is a bioindustry on the right side of the future, when it leads the research and industrialization of a new generation of forest- based bioproducts, but also when takes care of its impacts.
Navigator was one of the 1st in the world, to make an ambitious commitment to decarbonize its industrial complexes, anticipating national and European targets by 15 years.
The investment allocated to its Decarbonization Roadmap amounts to 340 million euros, to be implemented between 2019 and 2028, 89% of which has already been or is in the process of being implemented.
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AGILE BUSINESS MODEL
Proving Resilience in a Cyclical Market
Navigator stability and consistency in delivering results:
- operational flexibility;
- resilient business model, anchored in a solid diversification strategy, with differentiated products and a focus on the premium segment and own brands;
- responsible price and margin management.
EBITDA (M€) & EBITDA margin (%) 736
Energy 9% | Packaging 2% |
(vs. 10%) | (vs. 4%) |
Tissue 15% (vs. 8%)
€1,953M | |
Pulp 13% | Turnover |
2023 | |
(vs. 8%) |
Paper 61% (vs. 70%)
EBITDA Margin (Last 14 years):
- Average: 24.8%
455 | 502 | ✓ Std: 2.8% | ||||||||||||||||||||||||||||||
400 | 385 | 385 | 350 328 | 390 | 397 | 404 | 372 | 355 | ✓ Min: 21% | |||||||||||||||||||||||
286 | 30% | |||||||||||||||||||||||||||||||
29% 26% 26% 23% 21% | 24% 25% 25% 27% | 26% | ||||||||||||||||||||||||||||||
22% 21% 22% | ✓ Max: 30% | |||||||||||||||||||||||||||||||
2010 | 2011 | 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | |||||||||||||||||||
Source: NVG Sustainability Report 2023 | 5 | |||||||||||||||||||||||||||||||
- BIOINDUSTRY ON THE RIGHT SIDE OF
THE FUTURE
01-Solid & Resilient Business Model
02-Paper l Pulp l Energy & Tissue
03-New Business Opportunities
04-Sustainability at the Core
05-Financial Performance & Outlook
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THE NAVIGATOR COMPANY
Vertically integrated with a diversified business portfolio
R & D
Leader in Eucalyptus
globulus cloning
T I S S U E
#1 Portugal, #2 Iberia, #4 Consumer Tissue in UK
165,000 tons Reels
310,000 tons Converting *
55 | 5 | ||
65 | 60 | 130 | |
70 | |||
60 | 35 | k tons | |
P A P E R
#1 Europe, #6 World
1.6 M tons of UWF paper
800 800
k tons
F O R E S T
109,086 ha of forest (under management) 4
356 Kha Land Use Rights
P U L P
#1 Europe, #7 World 1.6 M tons of BEKP pulp
k tAD 6551 5551 3902
E N E R G Y
1.41 TWh of electricity 3
(76% renewable)
GWh | 986 | 475 | 283 |
Figueira da Foz | Setúbal | Aveiro | Vila Velha de Rodão | Zaragoza | United Kingdom 5 | |||||
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*total nominal capacity | 1 Integrated | 2 Market | 3 2023 Net electricity generation l 4 Forest in Portugal and Spain l 5 Accrol aquisition effective - May 24, 2024
WITH THE FOREST
AT THE HEART OF EVERYTHING WE DO
A Natural and Renewable Resource
6.2 Million t CO2 eq
- 8 Million
Plants produced
at Portuguese
Nurseries
1,057 Species of
Flora 253 Species of
Fauna
RAIZ
109,086 ha
9.6 Million
Forest and Paper
Research
Institute
Improve forestry management
Increase eucalyptus Yields
EUCALYPTUS GLOBULUS wood differentiates this species from other eucalyptus or hardwood species given the quality of its (short) fibers, providing higher
Forest under | Investment in forest |
management in Portugal | fires protection 2 |
and Spain 1 |
thickness, specific volume, opacity and drying capacity.
Due to its morphology, Eucalyptus allows 2-6 more recycling cycles compared to other paper fibers
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1 In addition, around 14,000 hectares in Mozambique l 2 Included investment in some land preparation operations in afforestation and reforestation
BASED ON WORLD SCALE PRODUCTION UNITS
With state-of-the-art technology
ZARAGOZA
- Tissue - 35,000 tons reels 60,000 tons converting*
- Energy - 5 MWp
AVEIRO
- Pulp (Market) - 390,000 tAD
- Tissue - 70,000 tons reels 55,000 tons converting*
- Energy - 47 MW
FIGUEIRA DA FOZ
- Pulp (Integrated) - 655,000 tAD
- Paper - 800,000 tons
- Energy - 165 MW
SETÚBAL
- Pulp (Integrated) - 555,000 tAD
- Paper - 700,000 tons
- Packaging - 100,000 tons
- Energy - 164 MW
*total nominal capacity (1) Accrol aquisition effective - May 24, 2024
2 1
4
3
5
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With global capacity of:
- 1.6 Mt of Paper
- 1.6 Mt of Pulp
- 165 kt of Tissue Reels
- 310 kt of Tissue Converting
- 381 MW of Energy
TISSUE UK (1)
- 1:LEYLAND - 34,000 tons converting*
- 2:BLACKBURN - 50,500 tons converting*
- 3:LEICESTER - 38,000 tons converting*
- 4:FLINT - 5,000 tons converting*
- 5:BRIDGEWATER - 3,500 tons converting*
VILA VELHA DE RÓDÃO
- Tissue - 60,000 tons reels 65,000 tons converting*
LEADING MANUFACTURER
Uncoated Printing and Writing Papers (UWF) in Europe
#1 in Europe #6 in the World by capacity, with the largest and most modern mills
European uncoated woodfree (UWF)
Main players (Excluding Russian Mills and Specialties)
MT %
1 NVG (PT) | 1.6 | 28% | |
2 | Sylvamo (SE, FR) | 0.7 | 13% |
3 | UPM (FI, DE) *** | 0.7 | 12% |
4 | Mondi (SK, AT) * | 0.6 | 11% |
5 | MM Board & Paper (PL) ** | 0.4 | 7% |
6 | Arctic Paper (PL, SE) | 0.4 | 7% |
7 | Burgo (IT) | 0.2 | 4% |
8 | Iberpapel (SP) | 0.2 | 3% |
9 | Clairefontaine (FR) | 0.2 | 3% |
10 Crown Van Gelder (NL) | 0.2 | 3% | |
TOP - 10 | 4.9 | 87% | |
UWF EUR Capacity Excl. Russian mills and Specialities | 5.6 |
Figueira da Foz | Setubal | |||||||||||||||||
Nymölla | Saillat | |||||||||||||||||
Kymi | Nordland | |||||||||||||||||
Ruzomberok | There | sienthal | ||||||||||||||||
Kwidzyn | ||||||||||||||||||
Kostrzyn | Munk | edal | ||||||||||||||||
Tolmezzo Sora | ||||||||||||||||||
Capacity in tons | ||||||||||||||||||
Hernani | ||||||||||||||||||
Etival | Evergnicourt | Integrated | ||||||||||||||||
Clairef. | ||||||||||||||||||
Velsen-N | oord | Non Integrated | ||||||||||||||||
0 | 400 000 | 800 000 | 1 200 000 | 1 600 000 |
UWF EUR Capacity Excl. Russian mills Including Specialities | 7.7 | |
Source: RISI; NVG; EMGE | ||
* In April 2023 Mondi announced PM6 shut, which is already considered above in both, the chart and the table. | ||
** MM of conversion of PM1 in Kwidzyn from copy paper to sack kraft paper (announced in April 2023) was put on hold in | ||
November 2023 | 10 | |
*** On May 29th, UPM issued a statement indicating it would permanently close, until the end of 2024, its Hürth |
newsprint mill (330kt/year) and to shut down one fine paper machine at Nordland Papier (PM 3) in Dörpen (280kt/year).
Europe
#1 #6
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The Navigator Company SA published this content on 01 July 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 01 July 2024 13:37:05 UTC.