2. The consolidated financial statements presented here are consistent with the criteria of international accounting standards - IFRS issued by the
International Accounting Standards Board – IASB, based on audited financial information. Non-financial information contained herein, as well
as other operational information, were not audited by independent auditors and may include forward-looking statements and reflects the
current views and perspectives of the management on the evolution of macro-economic environment, conditions of the mining and
refractories industries, company performance and financial results. Any statements, projections, expectations, estimates and plans contained
in this document that do not describe historical facts, and the factors or trends affecting financial condition, liquidity or results of operations,
are forward-looking statements and involve several risks and uncertainties.
This presentation should not be construed as legal, tax, investment or other advice. This presentation does not constitute an offer, or invitation,
or solicitation of an offer, to subscribe for or purchase any securities, and neither any part of this presentation nor any information or
statement contained herein shall form the basis of or be relied upon in connection with any contract or commitment whatsoever. Under no
circumstances, neither the Company nor its subsidiaries, directors, officers, agents or employees be liable to third parties (including investors)
for any investment decision based on information and statements in this presentation, or for any damages resulting therefrom, corresponding
or specific.
The information presented or contained in this presentation is current as of the date hereof and is subject to change without notice. Magnesita
has no obligation to update it or revise it in light of new information and / or in face of future events, safeguard the current regulations which
we are submitted to. This presentation and its contents are proprietary information of the Company and may not be reproduced or circulated,
partially or completely, without the prior written consent of the Company.
Magnesita’s commercial transactions are in compliance with international trading sanctions rules
Disclaimer
2
3. Magnesita diversified substantially since 2013
Several geographies and segments developed over the past 3 years
Products being sold in more than 100 countries
Sales outside Established markets already account for ~25% of total sales (~10% in 2012)
Sales in BRL account for ~less than 20% of total sales
Pursuing long term growth opportunities in markets with adequate and sustainable margins
Countries where Magnesita has developed sustainable
business with steel and cement industries
3
4. 4
Crude Steel Production¹ (million tons) - Established Markets
Volume (‘000 tons)
Sales to Steel Segment
Revenues (US$ million)
4Q15 1Q16
189199
1Q15
209
-9%
-5%
-15%
4Q15
166
1%
198
168
1Q15 1Q16
Refractory Solutions Sales - Steel
Sales by region (in US$)
-9%
LTM 1Q15 LTM 1Q16
802
878
-19%
LTM 1Q16
713
LTM 1Q15
885
32%
5%
23%
9%
31%
1Q16
29%
3% 39%
9%
21%
1Q15
Asia PacificNorth America
MEA - CISSouth America Europe
South America
Source: ¹WSA
USA & Canada Western Europe
9,5
-14%
1Q164Q15
10,7
1Q15
11,0
-11%
4Q15
21
1Q15
0%
1Q16
2323
+8%
34 36
1Q15 1Q164Q15
-7%
38
+6%
LTM 1Q16
42
LTM 1Q15
-6%
45
99
LTM 1Q15
-8%
LTM 1Q16
91
LTM 1Q15
148 141
-4%
LTM 1Q16
MEA = Middle East and Africa
CIS = Commonwealth of Independent States
5. 5
Sales to Industrial Segment
Refractory Solutions Sales – Industrial Segment
Volume (‘000 tons) Revenues (US$ million)
-6%
1Q16
30
45 43
4Q151Q15
+42%
-16%
1Q16
41
4Q15
30
49
1Q15
+37%
LTM 1Q16
130
LTM 1Q15
152
-15%
132
175
-25%
LTM 1Q16LTM 1Q15
31%
6% 35%
17%
11%
46%
28%
9%
11% 5%
South America
North America Asia Pacific
Europe MEA - CIS
1Q161Q15
6. Refractory Solutions Sales and Margin - Consolidated
Volume (‘000 tons)
Revenues (US$ million)
Gross Profit and Margin (US$ million; %)
1Q16
+1%
229
-9%
4Q15
232
1Q15
254
84 7251
34.6%
26.2%
1Q15
34.1%
-14%
4Q15
+41%
1Q16
+7%
247
1Q164Q151Q15
-15%
196 209
-9%
LTM 1Q15 LTM 1Q16
932
1.030
-20%
845
LTM 1Q16LTM 1Q15
1.060
LTM 1Q15
264
334
31.5%
-21%
31.2%
LTM 1Q16
6
32%
32%
7%9%
21%
19%
4%
8%
29%
40%
Asia Pacific
MEA - CISEuropeSouth America
North America
1Q161Q15
19,7%
80,3%
19,9%
80,1%
1Q161Q15
Steel Industrial
Sales by region (in US$)
Sales by segment (in US$)
