BofAML GLOBAL AG & CHEMICALS CONFERENCE IMPORTANT LEGAL NOTES - - PowerPoint PPT Presentation

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BofAML GLOBAL AG & CHEMICALS CONFERENCE IMPORTANT LEGAL NOTES - - PowerPoint PPT Presentation

Aug 29, 2023 229 likes •1.08k views

BofAML GLOBAL AG & CHEMICALS CONFERENCE IMPORTANT LEGAL NOTES ICL- AT A GLANCE $5.6 B 49 ~11,000 TOP 3 $ 7 .1 B < 3% #2 BBB- LEADING GLOBAL COMPANY 35%* 22% 25% 3 % 1 % 12% 2 % Sales & marketing office Production site *

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BofAML GLOBAL AG & CHEMICALS CONFERENCE

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IMPORTANT LEGAL NOTES

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49 $5.6B $7.1B #2

TOP 3

~11,000

ICL- AT A GLANCE

<3%

BBB-

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Production site Sales & marketing office

35%* 25% 1% 22% 12%

* Percentage of sales by main geographical areas, 2017

LEADING GLOBAL COMPANY

2% 3%

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proximity to ports & customers

STRATEGIC LOCATIONS

innovation

STARTUP NATION

accumulated over decades

KNOW-HOW UNIQUE ASSETS

ICL – STRATEGIC ADVANTAGES

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#1 #1 #1 #1 #1 #3

DNA OF LEADERSHIP

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PRESENT

LEADERSHIP STRATEGY

POTASH IAS

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essential ingredients

LEADERSHIP STRATEGY

PRESENT

Phosphate Solutions division Potash division Industrial Products division IAS - Innovative Ag Solutions division

POTASH IAS

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ICL BUSINESS LEADERSHIP

Potash Business Costs by Site and by Company2

ICL 24%

ICL

Dead Sea

Market Share – Specialty Phosphates – Europe, NA, and LatAm1

ICL

POTASH IAS

(Dead Sea) 40% Albemarle (Dead Sea) 16% USA (ALB, LXS) 23% Chinese producers 11% Others 11%

Global Bromine Production Capacity1

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ORGANIZATIONAL STRUCTURE ALIGNED WITH STRATEGY

Phosphate Solutions division1 Potash division1 Industrial Products division1 IAS - Innovative Ag Solutions division1

POTASH IAS

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LEADERSHIP STRATEGY

FUTURE

POTASH

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Industrial Products

Anat Tal President ICL Industrial Products Division

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LEADERSHIP STRATEGY

POTASH

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Industrial Products in a Snapshot

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Industrial Products Geographical Sales Distribution

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Industrial Products Sales Distribution

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Industrial Products Global Footprint

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Industrial Products Supply Chain

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Industrial Products’ 4-Pillar Strategy

A WORLD LEADER AND BEYOND

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Industrial Products Market Leadership

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Industrial Products Business Performance

✓ ✓ ✓

83 73

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2018 Record Segment Profit of $350 Million

2014 2015 2016 2017 2018

Industrial Products Business Performance

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Industrial Products Leading the Global Bromine Market

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Flame Retardants 41%

Brominated
  • rganic
intermediates & Industrial 34% Clear brine fluids 15% Biocides 7% Mercury Control 4% 280 280 120 120 170 165 70 50 80 90 2018 2023

Industrial Products Leading the Global Bromine Market

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Industrial Products Global Trends & Major End-Markets

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Industrial Products Benefitting from Higher Bromine Prices

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Trends ICL’s Solutions

Major Trends and ICL-IP’s Solutions

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Industrial Products: Our Products are All Around You

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THANK YOU

visit us at www.icl-group.com

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Appendix

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ICL- 90 YEARS OF HISTORY

Focusing on innovation and solidifying leadership 2000s - Establishing & growing operations in Israel 1920s - 1970s Consolidating & expanding globally 1970s - 2014

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CORE VALUES

TOP TIER SAFETY PERFORMANCE AND ENVIROMENTAL RESPONSIBILITY EMPLOYER OF CHOICE LEVERAGING TECHNOLOGY AND INDUSTRIAL KNOW HOW TO MEET THE NEEDS OF OUR CUSTOMERS ADOPTING BEST PRACTICES FOR CORPORATE GOVERMANCE

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SUSTAINABILITY 99% $115M 89%

SILVER RANKING TfS

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2018 ACHIEVEMENTS

✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓

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Financial Overview

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Additional Data Regarding Aligned Divisions

Sales FY 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 FY 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 FY 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 FY 2018 Potash 1,515 273 299 351 415 1,338 283 314 372 414 1,383 353 346 409 515 1,623 Phosphate Solutions 2,049 556 584 548 498 2,186 523 507 520 487 2,037 525 532 530 495 2,082 Industrial Products (Bromine) 1,034 268 294 275 283 1,120 310 291 289 303 1,193 317 331 328 320 1,296 Innovative Ag Solutions 680 188 189 147 137 661 192 190 154 156 692 221 212 161 147 741 Setoffs and eliminations (239) (59) (55) (53) (34) (202) (48) (48) (46) (53) (196) (53) (59) (57) (67) (236) Sub-Total 5,039 1,226 1,311 1,268 1,299 5,103 1,260 1,254 1,289 1,307 5,109 1363 1362 1371 1410 5,506 Divested businesses' contribution 366 39 66 115 39 260 35 68 151 54 309 41 9
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Total Sales - ICL 5,405 1,265 1,377 1,383 1,338 5,363 1,295 1,322 1,440 1,361 5,418 1,404 1,371 1,371 1,410 5,556 Profit FY 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 FY 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 FY 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 FY 2018 Potash 637 50 64 75 93 282 37 61 65 119 282 62 76 97 158 393 Phosphate Solutions 340 65 70 48 41 224 37 37 52 23 149 51 53 62 38 204 Industrial Products (Bromine) 225 62 71 77 76 286 77 76 77 73 303 78 94 95 83 350 Innovative Ag Solutions 63 20 23 7 5 55 20 19 9 8 56 25 23 7 2 57 G&A & other (349) (86) (91) (92) (84) (353) (64) (65) (64) (73) (266) (71) (56) (60) (67) (254) Sub-Total 916 111 137 115 131 494 107 128 139 150 524 145 190 201 214 750 Divested businesses' contribution 78 4 26 49 9 88 9 25 76 18 128 6 (2) (1)
  • 3
Total - adjusted operating income - ICL 994 115 163 164 140 582 116 153 215 168 652 151 188 200 214 753 (1) (1) (1) (1) (1) (1) (1)
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Q4 and FY2018 Highlights

✓ ✓ ✓ ✓ ✓ ✓

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Q4 and Full Year 2018 Results Summary

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Sequential Growth Throughout 2018

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Effective Tax Rate

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2019 2020 2021 2022 2023 2024 2025 2026 2038

Successful Optimization of Debt Structure

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Decreasing Net Debt/EBITDA Ratio

2013 2014 2015 2016 2017 2018

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2018 KEY TAKEAWAYS

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Industrial Products

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THE GLOBAL BROMINE MARKET LEADER 175K TONNES

NO.1

SOLID LEADERSHIP

230K TONNES

NO.1

BROMINE PRICES IN CHINA

INDUSTRIAL PRODUCTS

UNIQUE ADVANTAGE

2,600 3,100 3,600 4,100 4,600 5,100
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Potash

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LEADERSHIP STRATEGY

POTASH

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INCREASE YIELDS AND FEED THE WORLD

POTASH

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100 200

World Crop Production in 2005- 2007 Expansion of Arable Land Crop Rotation Increase in Yields World Crop Production in 2050

POTASH

0.16 0.24 0.32 0.40 0.48 3 4 5 6 7 8 9 10 11 1961 1972 1983 1994 2005 2016 2027E 2038E 2049E World population (Bn) Arable land (Ha/Person)
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ICL’S UNIQUE POSITION

4.9 MILLION TONNES

STRONG POSITION

POTASH

80% PRODUCED FROM

THE DEAD SEA

WELL ESTABLISHED IN GROWING MARKETS LOWER COST AND FASTER TIME-TO-MARKET

NO.6

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ICL’S UNIQUE POSITION

4.9 MILLION TONNES

STRONG POSITION

POTASH

LOWER COST AND FASTER TIME-TO-MARKET

China India IL Europe Brazil US

WELL ESTABLISHED IN GROWING MARKETS

80% PRODUCED FROM

THE DEAD SEA NO.6

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POTASH OUR GOALS TOP-3

5MT

10%

1M

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Total Fertilizer Use by Crop at Global Level

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World Main Crops Long Term Forecast Consumption, Stock and Stock to Use Ratio

Consumption

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World Grains Production & Consumption: Current Stock to Use Ratio

1960/61 1962/63 1964/65 1966/67 1968/69 1970/71 1972/73 1974/75 1976/77 1978/79 1980/81 1982/83 1984/85 1986/87 1988/89 1990/91 1992/93 1994/95 1996/97 1998/99 2000/01 2002/03 2004/05 2006/07 2008/09 2010/11 2012/13 2014/15 2016/17 2018/19

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ICL’s Potash Market Share in Fast Growing Markets

10% 25% 25%

16%

20% 4% APC BPC Canpotex ICL Uralkali K+S 5% 20% 23% 9% 29%

14%

SQM BPC Uralkali K+S Canpotex ICL 20% 23% 31%

12%

9% 5% Uralkali BPC Canpotex ICL APC Others

India Brazil China

31% 16% 13% 23%

15%

2% Canpotex Uralkali APC BPC ICL K & S 30% 24% 2% 19%

12%

13% Canpotex Uralkali SQM BPC ICL K&S 21% 19% 38% 4%

11%

3% 4% Uralkali BPC Canpotex APC ICL K+S Other
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Positive Potash Spot Pricing trend

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ICL UK: The World’s Only Producer of Polysulphate

▪ ▪ ▪ ▪ ▪ ▪

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Phosphate Solutions

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LEADERSHIP STRATEGY

POTASH

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PHOSPHATE SOLUTIONS - FOOD

ESSENTIAL MINERALS BITE TASTE & MOUTH FEEL TEXTURE & LAST LONGER RISE

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Oil drilling Mining Oral care Cleaning products Metals Leather Construction Asphalt Paints & coatings

  • INDUSTRIAL

PHOSPHATE SOLUTIONS

Water treatment

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UNIQUE BACKWARD INTEGRATION MODEL 5,000K TONNES

Over 90% of phosphate rock

AND VALUABLE INNOVATIVE PRODUCTS

ICL’S RECIPE FOR LEADERSHIP PHOSPHATE SOLUTIONS

1,190K TONNES 290K TONNES

ICL 24%

WITH A LEADING MARKET POSITION

Source: ICL estimates (2017)

Market Share – Specialty Phosphates – Europe, NA, and LatAm1

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OUR GOALS PHOSPHATE SOLUTIONS

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Phosphate Solutions: Backward Integrated Value Chain

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Phosphoric Acid Pricing Trends

%

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We Have Built a World-Class Advanced Additives Portfolio

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Vast Product Portfolio Serving a Variety of End Food Additives Markets

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Food Specialties: Markets and Competition

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Innovative Ag Solutions

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LEADERSHIP STRATEGY

POTASH

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0.4 1.8

FAST GROWING INDUSTRY

1.8 3.2

SPECIALTY FERTILIZERS - THE FOUNDATION FOR THE FUTURE ~850K TONNES

OVER 300

INNOVATIVE AG SOLUTIONS CREATING LEADERSHIP

FASTEST GROWING DIVERSIFIED PORTFOLIO

25 YEARS

Coated Fertilizers Solubles / Straights Liquids SRF CRF Solubl e NPK MAP/ MKP SOP/CN NOP Bulk Liquids Foliar Liquids ICL-SF ^ ^ ^ ^ ^ ^ Compo ^ ^ ^ ^ Haifa ^ ^ ^ ^ YARA ^ ^ ^ SQM ^ ^ ^ ^ Kingenta ^ ^ ^ ^
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THE PERFECT STORM

CHANGE GROW MORE WITH LESS GROUNDBREAKING SOLUTIONS

2B MORE PEOPLE

WITHIN 20 YEARS

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ACADEMIC TECHNOLOGICAL BUSINESS

IAS LEVERAGING ISRAEL'S HIGH-TECH AND AGRI-TECH ECO SYSTEM

TARANIS

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ICL AIMS TO OFFER FARMERS CUTTING-EDGE SOLUTIONS

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INNOVATIVE AG SOLUTIONS

UNIQUE R&D CAPABILITIES GET CLOSER TO GROWER PORTFOLIO GROWTH INNOVATION DIGITAL TRANSFORMATION

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ICL’s Leadership in the Specialty Fertilizers Market

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ICL Specialty Fertilizers: Our Strengths

▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪

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Our Core Markets and Products Today

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Specialty Fertilizers and Bio Solutions Have Became An Important Part of the Ag Input

~$150bn

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PRESENT&FUTURE

LEADERSHIP STRATEGY

POTASH

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THANK YOU

visit us at www.icl-group.com

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Reconciliation Tables (1/2)

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Reconciliation Tables (2/2)