Q3 2013 ResultsInvestor Conference Call
October 31, 2013 / Marijn Dekkers, CEO
DisclaimerThis presentation may contain forward-looking statements based on currentassumptions and forecasts made by Bayer Group or subgroup management.
Various known and unknown risks, uncertainties and other factors could lead tomaterial differences between the actual future results, financial situation,development or performance of the company and the estimates given here.These factors include those discussed in Bayer’s public reports which areavailable on the Bayer website at www.bayer.com.
The company assumes no liability whatsoever to update these forward-lookingstatements or to conform them to future events or developments.
• Q3 2013 Investor Conference Call • Marijn Dekkers Page 2
Page 3
Q3 2013 – Bayer Continues Encouraging Business Development
Ongoing strong performance of Life Sciences, MaterialScience level
with prior-year quarter
New pharma product sales exceeding expectations, full-year target
raised to >€1.4bn
Earnings significantly impacted by negative currency effects
Full-year 2013 Group outlook maintained although increasingly
ambitious
• Q3 2013 Investor Conference Call • Marijn Dekkers
Page 4
EBITin € million
+47%
1,221828
Salesin € million% currency & portfolio adj.
+6%
9,6439,661
EBITDAadjusted**in € million
+8%
1,9841,842
Core EPSin €
+9%
1.271.17
*Prior-year figures restated**before special items
Q3’13Q3’12* Q3’13Q3’12* Q3’13Q3’12* Q3’13Q3’12*
Q3 2013 –Encouraging Business Development
• Q3 2013 Investor Conference Call • Marijn Dekkers
Q3 2013 – Regional Performance: Growth Led By Emerging Economies
Page 5
Africa & Middle East
EasternEurope
Emerging Economies
EmergingEconomies¹
+9%
Others²+8%
USA+3%
Western Europe+5%
Q3 2013 Group Sales by Region
Group €9,643m; +6%
~1,400
+18%
~1,500
+1%
~400
+6%
~500
+11%
¹ Emerging economies include: Latin America, Asia w/o Japan, Australia,New Zealand, Africa and Middle East incl. Turkey, Eastern Europe
² Others = Japan, Australia, New Zealand, Canada³ Emerging Asia = Asia w/o Japan, Australia, New Zealand
In € million, ∆% yoy Fx adjusted
40%
9%31%
20%
Latin America
Emerging Asia³
• Q3 2013 Investor Conference Call • Marijn Dekkers
Q3 2013 –Cash Flow And Net Debt Development
Page 6
-€1.3bn
7.7
GCF oFCF
1,367
Invest-ments
514 1,214
∆y-o-y +36% -19%
NCF
1,728
-13% +6%June 30, 2013 Sep 30, 2013
9.0
Q3 2013 Cash Flow Net Debt DevelopmentCash Flow in € million, Net Debt in € billion
• Q3 2013 Investor Conference Call • Marijn Dekkers
Q3 2013 – HealthCare: Organic GrowthDriven by New Products and Consumer Care
Page 7*before special items
Sales Earnings1
Pharma+3% (+11%)
ConsumerHealth
-3% (+3%)36%
HealthCare €4,742m; +1% (+7%)
2,8181,924
Price0%
Volume+8%
Fx-8%
Portfolio+1%
In € million, ∆% yoy, () = Fx & portf. adjusted
Q3‘12 Q3‘13 Q3‘12 Q3‘13
847915
484 477
+8%
-1%
1,3311,392 +5%
373 -1%
1,0061,048 +4%
633
371
Adj.EBITDA*
Adj.EBIT*
677 +7%
• Q3 2013 Investor Conference Call • Marijn Dekkers 1 Prior-year figures restated.
Sales Earnings1
Q3 2013 – CropScience: Good Start to the Season in Latin America
Page 8
Crop Protection+6% (+14%)
Environmental Science+8% (+19%)
Seeds-30% (-30%)
In € million, ∆% yoy, () = Fx & portf. adjusted
CropScience €1,712m; +4% (+12%)
Price+3%
Volume+9%
Fx-8%
Portfolio+1%
1,504
Q3‘12 Q3‘13 Q3‘12 Q3‘13
197224 +14%
76
115 +51%
Adj.EBITDA*
Adj.EBIT*
14068
• Q3 2013 Investor Conference Call • Marijn Dekkers *before special items
1 Prior-year figures restated.
Sales Earnings1
Q3 2013 - MaterialScience: On Prior-Year Level
Page 9**CAS: Coatings, Adhesives, Specialties *** IO: Industrial Operations
CAS**-5% (+1%)
In € million, ∆% yoy, () = Fx & portf. adjusted
*before special items
MaterialScience €2,897m; -3% (+1%)
Price-1%
Volume+2%
Fx-4%
Portfolio0%
1,567673
IO***-9% (-7%)
Q3‘12 Q3‘13 Q3‘12 Q3‘13
Adj.EBITDA*
Adj.EBIT*
337 346 +3%
174186 +7%
486
171
• Q3 2013 Investor Conference Call • Marijn Dekkers 1 Prior-year figures restated.
Polyurethanes0% (+4%)
Polycarbonates-6% (-3%)
FY 2013 Group Outlook Maintained Although Increasingly Ambitious
Page 10
20121 2013E
Sales €39.7bn +4-5% to~€40bn*
adj. EBITDA €8.3bn mid-single-digit % increase
Core EPS €5.30 high-single-digit % increase
Sales ∆ Fx and portfolio adjusted, EBITDA before special items
*Assuming average Fx rates of 9M 2013Outlook depends on specific planning assumptions as detailed in the Annual Report• Q3 2013 Investor Conference Call • Marijn Dekkers
1 2012 figures restated
Q3 2013 ResultsInvestor Conference Call
October 31, 2013 / Marijn Dekkers, CEO