Interim Results Presentation 28 August 2017 Forward Looking - PowerPoint PPT Presentation

Interim Results Presentation 28 August 2017

Forward Looking Statements The information in this presentation has not been independently verified and does not purport to be comprehensive. One51 is not undertaking any obligation to provide any additional information or to update this presentation or to correct any inaccuracies that become apparent. This presentation is neither a prospectus nor an offer nor an invitation to apply for securities. The information contained in this presentation is for background purposes only and is subject to material updating, completion, revision, amendment and verification. This presentation does not constitute or form a part of any offer for sale or solicitation of any offer to buy or subscribe for any securities. Any prospective investor must make its own investigation and assessments and consult with its own adviser concerning any evaluation of the Company and its prospects. No representation or warranty, express or implied, is or will be given by One51, its subsidiaries, its shareholders or their respective directors, officers, employees or advisers as to the accuracy or completeness of this presentation and, so far as permitted by law, no responsibility or liability is accepted for the accuracy or sufficiency of this presentation. In particular, without limitation, no representation or warranty is given as to the achievement or reasonableness of any projection, estimate, target or forecast in this presentation, which it should be noted is provided for illustrative purposes only. This presentation contains forward-looking statements which reflect management’s current views and estimates. These forward looking statements involve certain risks and uncertainties that could cause actual results to differ materially from those contained in the forward looking statements. Potential risks and uncertainties include such factors as general economic conditions, foreign exchange fluctuations, competitive product and pricing pressures and regulatory developments. Management undertake no responsibility to revise any such forward looking statements to reflect any changes in management’s expectations or any change in circumstances, events or the Group’s plans and strategy. Accordingly, no reliance can be placed on the figures contained in such forward looking statements. 2

Group Overview Rigid Plastics Plastics consists of two sub-divisions – IPL and OPG. Plastics supplies products to a broad range of customers in Ireland, the UK, USA, Canada and China from 14 production facilities across 3 primary business categories Agricultural and Bulk, Environmental and Packaging Automotive Products Industrial Products 3

Geographic Footprint One51 Plastics has significant international reach with sophisticated R&D capabilities  14 manufacturing facilities  2 R&D facilities in Ireland and Canada  c. 1.8 million square feet of manufacturing space  270 machines 4 Agricultural & Automotive Products Packaging Bulk, Environmental & Industrial Products R&D Centre

H1 2017 Financial Highlights 1  32.4% growth in Revenue to € 225.8m (2016: € 170.6m) 2  31.1% increase in EBITDA to € 32.4m (2016: € 24.7m) 2  32.6% growth in EBIT to € 20.1m (2016: € 15.2m) 2  Profit before tax, exceptional items and share of associate profits increased to € 14.8m (2016: € 10.9m) 2  Profit for the period of € 6.2m (2016: € 8.9m)  29.7% increase in Adjusted diluted EPS to 7.24c (2016: 5.58c)  EBITDA interest cover of 5.94x (2016: 5.89x)  Total Assets of € 634.2m (31 December 2016: € 507.6m)  Total Equity (excluding IPL Put liability) of € 197.0m (31 December 2016: € 190.9m)  Net Debt of € 261.6m (31 December 2016: € 152.5m) 5 1 The financial highlights should be read in conjunction with the Interim Report published on 28 August 2017. 2 June 2016 amounts have been restated to exclude the effect of discontinued operations. 3 Certain tables and numbers in this presentation may not add or compute precisely due to rounding.

H1 2017 Business Alignment Highlights  The successful integration of Encore Industries into the IPL North America business since acquisition in November 2016.  The acquisition of 100% of the share capital of Macro Plastics Inc. on 9 June 2017 through IPL. Macro is one of the largest manufacturers of rigid bulk bins worldwide and is a market leader in providing rigid plastic bulk packaging solutions to the agricultural and automotive sectors.  The disposal of ClearCircle’s Specialist Environmental Services (“SES”) Divisions in Ireland and the UK. − Initial cash consideration of c. € 40m received from the sale of both divisions. − The disposals complete One51’s exit from the specialist environmental services sector as the Group focuses on the continued development of its global plastics business. One51 continues to own a residual investment in a small UK metals recycling company. 6

H1 2017 Operational Highlights  The North America market has contributed significant organic growth driven by continued increased demand in both the Retail and Bulk and Environmental divisions.  Further significant development capital investment programmes underway in our North American operations providing the Group with enhanced ability and capacity to serve an expanding business and customer base.  The OPG business has continued to grow organically in the UK in H1 2016 on a constant currency basis. OPG’s Ireland and China business has been negatively impacted by reduced demand from its largest customer following the merger of that customer with another industry participant.  Renegotiated and extended IPL Canadian syndicated loan facility to finance the acquisition of Macro and to provide further bank facilities to the IPL Group with a revised expiry date of July 2021. 7

One51 Plastics Evolution Target to double Plastics EBITDA in the medium term through a combination of organic growth and acquisitions International plastics Rebranding 2013 Acquisition of IPL 2015 manufacturer of significant size and scale 2017 +  Selected  Acquisitions acquisitions of IPL and (Encore & Straight OPG Macro) 43% 57% IPL  Rebranded to  Organic 100% OnePlastics growth Group Total EBITDA c. € 16m Total EBITDA c. € 48m Total EBITDA c. € 75m+ Plastics Packaging Market Overview Rigid plastic packaging market valued US$171bn is the fastest growing segment within Plastic packaging Global packaging market est. to be worth US$800bn. Rigid  All US$ packaging valued at c. US$171bn¹ . CAGR 5.8% c.$226bn Global rigid plastic packaging forecast to grow at 5.8% CAGR c.$171bn  $250bn over the next 5 years , faster than average global GDP of 3.4%¹ $200bn $98.3bn Growth is being driven by its comparatively lower cost,  Food 7% $150bn lighter weight and flexibility over traditional packaging $64.3bn Beverage 27% materials $100bn $57.2bn c.$171bn 37% Non-food $46.6bn Rigid plastic has a wide application in food and beverage sector  $50bn $45.1bn Industrial/other $39.3bn 29% which is seen as less susceptible to macro-economic influences $25.8bn $20.4bn $0bn as other industries 2020 2015 Rest of the world North America Europe Asia 8 Source: Smithers Pira, The Future of Global Rigid Plastic Packaging to 2020. Market sizing excludes Environmental Containers which represents a c. US$1bn market in North America (per EY) and a substantial market in the UK & Ireland 1. (being One51’s core markets in Environmental)

One51 Plastics Overview One51 Plastics supplies products to a broad range of customers in Ireland, UK, North America and China Agricultural & Automotive Packaging Bulk, Environmental & Products (Macro) (IPL Retail, OPG Cork & China) Industrial Products (IPL B&E & OPG UK) Products   Niche player in North Niche player in North  Market Position #1 Globally America, UK and Ireland America, UK, Ireland and China Key Customers Local Authorities Food producers    Sustainability Substitution effect (e.g. Sustainability   Growth Drivers Substitution effect glass/metals to plastics) Replacement cycle    Regulation R&D / innovation Regulation  Urbanisation    Defensive High barriers to entry Food industry counter Diversity of customer Characteristics cyclical base  High barriers to entry 9

One51 Plastics Growth Strategy Clear growth strategy based on a combination of organic growth and targeted M&A  Favourable Market Backdrop Fragmented Substitution Increasing product Growing rigid Regulation market place effect innovation plastics demand Clear Strategy Organic Growth M&A  Investment in manufacturing facilities  Focus on higher growth niche segments of the market  Focused capital investment projects in USA & Canada  European & North American geographic focus  Deliver manufacturing efficiencies  Synergy potential  Target EBITDA > € 10m and margin of 13% - 15%  Continued investment in R&D  Target ROCE 10% - 15%  Leverage synergies & cross selling opportunities  Significant acquisition pipeline developed between IPL & OPG Future Market Focus Continue to review market Continue to focus on Expand product range Leverage existing opportunities to add new existing segments driven by customer/market capabilities for entry plastics manufacturing which exhibit demand relying on into new segments technologies and product significant growth in-house R&D facilities types 10