In € million

 

Underlying

 

FY 2016

 

FY 2015 pro forma

 

% yoy

(1)

Following the discontinuation of Acetow, some residual business is still contained in Performance Chemicals’ net sales. These accounted for € 3 m in Q4 and € 10 m in FY 2016, compared to € 4 m in Q4 and € 16 m in FY 2015. There was no material contribution to EBITDA.

Net sales(1)

 

2,460

 

2,526

 

(2,6)%

Soda Ash & Derivatives

 

1,561

 

1,554

 

0.4%

Peroxides

 

542

 

558

 

(2.8)%

Coatis

 

346

 

398

 

(13)%

EBITDA

 

695

 

628

 

11%

EBITDA margin

 

28%

 

25%

 

3.4pp

EBIT margin

 

22%

 

19%

 

3.1pp

CFROI

 

8.9%

 

8.5%

 

0.5pp

Cash conversion

 

73%

 

61%

 

12pp

Research & innovation intensity

 

1.1%

 

1.0%

 

0.1pp

Net sales evolution

Performance Chemicals – Net sales evolution (bar chart)Performance Chemicals – Net sales evolution (bar chart)

Net Sales were down (2.6)% to € 2,460 m, due to the lower average prices, which reflect the pass-through effect of lower raw material costs. Foreign exchange effects were negative over the year, mainly with the depreciation of the Brazilian real. Volumes were stable overall. In Soda Ash & Derivatives, volumes were similar to the prior year. Higher bicarbonate sales, supported by the ramp-up of the new plant in Thailand, offset slightly lower volumes of soda ash, linked to slower market demand at the start of the year. In Peroxides, the ramp-up of the new plant in China supported volume growth in the traditional wood pulp bleaching market, offsetting weaker sales in specialties. Overall sales were down due to mix effects. Coatis suffered low demand in its domestic Latin American market.

Underlying EBITDA increased by 11% to € 695 m. Operational excellence remained the main driver for the improvement, leading to a record EBITDA margin of 28%.