ALS : Investor Presentation FY22

ersonal use only

Investor presentation

FY22 Results

Raj Naran, Managing Director and CEO Luis Damasceno, Chief Financial Officer

Important notice and disclaimer

This presentation has been prepared by ALS Limited, (ALS or the Company). It contains general information about the Company's activities as at the date of the presentation. It is information given in summary form and does not purport to be complete. The distribution of this presentation in jurisdictions outside Australia may be restricted by law, and you should observe any such restrictions.

This presentation is not, and nothing in it should be construed as, an offer, invitation or recommendation in respect of securities, or an offer, invitation or recommendation to sell, or a solicitation of an offer to buy, securities in any jurisdiction. Neither this document nor

a ything in it shall form the basis of any contract or commitment. This presentation is not intended to be relied upon as advice to investors
r potential investors and does not take into account the investment objectives, financial situation or needs of any investor. All investors
only
should consider such factors in consultation with a professional advisor of their choosing when deciding if an investment is appropriate.
The Company has prepared this presentation based on information available to it, including information derived from public sources that
have not been independently verified. No representation or warranty, express or implied, is provided in relation to the fairness, accuracy,
correctness, completeness or reliability of the information, opinions or conclusions expressed herein.
This presentation includes forward-looking statements within the meaning of securities laws. Any forward-looking statements involve
known and unknown risks and uncertainties, many of which are outside the control of the Company and its representatives. Forward-
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looking statements may also be based on estimates and assumptions with respect to future business decisions, which are subject to
change. Any statements, assumptions, opinions or conclusions as to future matters may prove to be incorrect, and actual results,
performance or achievement may vary materially from any projections and forward-looking statements.
Due care and attention should be undertaken when considering and analysing the financial performance of the Company.
Nuvisan (proportionally consolidated 49% investment) is included in the underlying financial results.
All references to dollars are to Australian currency unless otherwise stated.
right solutions. right partner.	© Copyright 2022 | ALS Limited	2
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Solid investors returns

Earnings per share improvement

Solid return on invested capital

Strong cash conversion

$400 million in underlying EBIT

$2 billion in revenue Mid-singledigit organic growth

Zero harm to our people

Exceeded our 5-year strategic plan (FY17-22)

Targets: ouselynersonalright solutions. right partner.

Achievements:

43% improvement

in injury frequency rates vs FY17

$2.2 billion	9.7%
+73% vs FY17	5-year Organic CAGR
$409 million	18.8% margin
+113% vs FY17	+350 bps vs FY17
>90%	20.1% ROCE
cash conversion (FY17-22)	+782 bps vs FY17
+135% EPS	131.2% TSR
18.6% CAGR since FY17	Cumulative return since FY17
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FY22 highlights1

Emissions and reduction commitments

only• Carbon neutrality in FY232

• 40% reduction in carbon intensity by FY303

• Deliver Net Zero emission roadmap in FY23

useLife Sciences: Earnings growth

• Strong organic growth driven by increased ersonalvolume activity, surpassing pre COVID-19

pandemic levels, and gradual price increase

• Successful acquisition strategy focused in food and pharmaceutical markets

• Robust margin improvement delivered

(1) Comparison period FY21

(2) Scope 1 and scope 2 emissions

(3) Scope 1 and 2 emissions per mAUD revenue on a FY2020 baseline

(4) Following refinancing of USPP notes to be funded in July 2022

right solutions. right partner.

Strong financial performance

• Exceeded 5-year strategic plan objectives in all key metrics
• 18.1% organic revenue growth supported by Life Sciences and Commodities
• Continued EBIT margin expansion with improvement of 164bps (18.8%)
• 42% increase in FY22 underlying NPAT and dividends

Commodities:

Market share growth

• Significant revenue growth and margin improvement
• Strong sample volume growth, price improvements, better mix (majors x juniors), and increased testing of base and energy metals
• Increased capacity by 20% (including +5% from MinAnalytical)

Higher dividends and disciplined capital management

• $158.5 million full year, 30% franked dividend (32.8 cps), representing 60% of underlying
  NPAT
• Acquisitions performing in line with plan
• Optimized CAPEX allocation to maximize return
• Solid Balance sheet : Strong liquidity ($432 m), 6.9 years maturity(4), and 1.9x Leverage Ratio

Industrial:

Improved outlook

• Tribology: continue to deliver good organic growth and gradually benefit from procurement initiatives, and easing of labour challenges
• Asset care: Improvement in revenue growth and margin supported by re-opening of borders in Australia

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Sustainability

Carbon neutrality in FY23

FY23 Targets
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•	Achieve carbon neutrality1 in FY23
• Achieve a 6% reduction in carbon intensity2
•	>90% renewable electricity across ALS global operations

Longer Term Targets

• Achieve 40% reduction in carbon intensity2 by 2030

use	During FY23, develop a roadmap to achieve net zero1 carbon emissions
	•
		ACHIEVING CLIMATE NEUTRAL* OPERATIONS
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* Scope 1 and 2 emissions

right solutions. right partner.

Our Green Bonds Commitment

In FY22, we executed green bonds under a new USPP funding arrangement, committing $30m to complete our projects to tackle climate change. Project categories include:

• Green Buildings - Investments related to new buildings or refurbishment of laboratories that have received or are expected to receive third-party sustainability certifications or verification
• Renewable Energy - Investments related to on-site or off-site renewable energy sources; or purchase of renewable energy through energy attribute certificates
• Energy Efficiency - Investments related to design, construction, operation, and maintenance of energy-efficient systems
• Clean Transportation - Investments in electric transportation, including investments in infrastructure for operation of electric vehicles (EV)

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1. Scope 1 and scope 2 emissions
2. Scope 1 and 2 emissions per mAUD revenue on a FY2020 baseline

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