Investor Relations Presentation - May 2021
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Investor Relations Presentation May 2021
Forward Looking Statements & Non-GAAP Financial Measures
This presentation includes forward-looking statements. Forward-looking statements are made pursuant to
the safe harbor provisions of Section 27A of the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934 and are based on management’s beliefs and assumptions in light of information
currently available to management. Accordingly, the Company’s actual results may differ materially from
those expressed or implied in such forward-looking statements due to known or unknown risks and
uncertainties that exist in the Company’s operations and business environment, including, among other
factors, those described in documents filed by the Company with the Securities and Exchange
Commission, specifically its Form 10-Ks and 10-Qs. The Company does not assume any obligation to
update, amend or clarify such statements to reflect new events, information or circumstances after the
date of this presentation.
During the course of this presentation, certain non-GAAP financial information will be presented.
A reconciliation of those numbers to GAAP financial measures is available on the company’s website at
www.aptar.com on the Investor’s page (click on Events & Presentations / Presentations).
2
Transforming ideas into products that improve everyday life.
THE LEADER IN CONSUMER SERVING BEST KNOWN GLOBAL &
DISPENSING AND DRUG DELIVERY RESEARCH AND IP-DRIVEN
LOCAL BRANDS
75-year history of innovation R&D
Providing brand differentiation and
consumer / patient convenience 3% Approximately
Consistent long-term focus, stability
and financial results
Of Annual Revenue
1,250
Patent Families
ATTRACTIVE END MARKETS (FY 2020) DIVERSIFIED PORTFOLIO
Home Care, 4%
SALES BY REGION (FY 2020)*
Beverage, 4%
Active Packaging, 5%
Beauty, 20% 33% 50%
10%
Injectibles, 8%
7%
Consumer Health
Care, 10%
$2.9 bil
Personal Care, 20%
Food, 10%
*By Aptar Shipping Destination
Prescription, 19%
*2020 Annual Revenue
3
Broad Portfolio
Business segments aligned by end markets
Beauty + Home Food + Beverage
Pharma
Food Dispensing Closures
Multidose Nasal Spray Devices Lotion / Sanitizer Dispensers Flexible (Pouch) Fitments & Closures
Unidose / Bidose Devices Fine Mist Spray Pumps Beverage Closures
Metered Dose Inhaler Valves Airless Solutions Pump Systems
Ophthalmic Squeeze Dispensers Dispensing Closures Flow-controlling Valves
Elastomeric Components Spray Valves & Accessories Anti-Microbial Food Trays
Active Material Solutions (stability, moisture control) Facial Skin Care and Color Cosmetic Solutions Bonded Aluminum to Plastic (BAP) Seals
Digital Healthcare Devices Sampling & Promotion
4
Leveraging Deep Industrial and Product Knowhow
Globally Across Three Reporting Segments
Common Technologies and Solutions… …Serving Three Market-facing Reporting Segments
% of Segment 2020 Sales % of Segment 2020 Adj. EBITDA
1 Core Manufacturing Technologies
42% 68%
Precision Injection Molding
High-Speed Assembly $1.2 bil
35%
$428 mil
Metal Processing + Decorating 2020
Adj EBITDA
Material Science/Active Packaging Margin
2 Best-in-Class Products and Services 44%
21%
10%
Dispensing and Delivery $1.3 bil $129 mil
2020
Sealing Adj EBITDA
Margin
Active Packaging
14% 11%
3 Aimed at Global Megatrends
18%
ü Sustainability ü Urbanization $0.4 bil $72 mil
2020
ü Health + Wellness ü Changing Demographics Adj EBITDA
Margin
ü Digitalization ü e-Commerce/Individualization
* - EBITDA %’s of total values are calculated on total Segment Adjusted EBITDA and exclude Corporate Expenses; see accompanying slide titled: Forward Looking Statements & Non-GAAP Financial Measures 5
Q1 2021 Highlights
+8% +1%
• Resilient business serving patients and consumers
across a variety of end markets
Reported Sales Growth
including 2% from Core Sales Growth* • Wide range of dispensing systems, active material
acquisitions science solutions and drug delivery technologies
and services leveraged across three reporting
segments
• Ongoing commitment to R&D and new
Double-Digit
Core Sales Growth in
+10% •
innovations
Top 10 Company in Reducing Environmental
Adjusted Earnings Per
Food + Beverage* Share growth* Impact by JUST Capital
* See accompanying slide titled: Forward Looking Statements & Non-GAAP Financial Measures. 6
Aptar Pharma
Pharma Highlights
• Active material science technology
selected to protect two new at-home
COVID-19 tests that recently received
Emergency Use Authorization from the
U.S. FDA
• Unidose Powder Device used in pivotal
trial of intranasal powder-based Naloxone
• New treatment for allergic rhinitis approved
in Europe with our nasal spray device
• Continue to support various COVID-19
vaccine distributions in all regions, with the
most recent projects being in India and
Latin America
3 Year Q1 Long-term
Metric
Average 2021 Target
Core sales growth1 10% 0% 6-10%
Adj. EBITDA2 margin 36% 35% 32-36%
7
(1) Excludes acquisitions and currency effects. (2) Adjusted EBITDA (earnings before net interest, taxes, depreciation and amortization) excludes restructuring costs, acquisition costs, non-recurring
purchase accounting adjustments.
7
Aptar Beauty + Home
Beauty + Home Highlights
• E-commerce capable, high flow pump
for P&G’s indie brand shampoo, Native
• 100% post-consumer recycled resin
closures for Planet KIND face wash and
Unilever’s Dove Purifying Charcoal &
Clove Hydrating Body Wash
• Pumps for in-store, refillable personal
care products for The Body Shop®
• Fragrance pumps for the Flora and
Guilty Gucci® perfumes by Coty
• Airless jar for L’Oreal’s® Revitalift ®
facial skin care product in China
3 Year Q1 Long-term
Metric
Average 2021 Target
Core sales growth(1) 0% -3% 3-6%
Adj. EBITDA(2) margin 12% 10% 15-17%
8
(1) Excludes acquisitions and currency effects. (2) Adjusted EBITDA (earnings before net interest, taxes, depreciation and amortization) excludes restructuring costs, acquisition costs, non-recurring
purchase accounting adjustments.
8
Aptar Food + Beverage
Food + Beverage Highlights
• Infant nutrition closures for Crème de
la Cream instant enriched milk powder
in Europe and HiPP Combiotic in Asia
• Closures with valves for inverted
condiments are featured on several
barbeque, mayonnaise, ketchup and
jelly products in Brazil
• Dispensing closures for Mike’s Hot
Honey Original Sauce® and Burman’s
Hot Sauce Original in the US
• Sports closure featured on two new
flavors of a functional drink
beverage in China
3 Year Q1 Long-term
Metric
Average 2021 Target
Core sales growth(1) 1% 14% 6-10%
Adj. EBITDA(2) Margin 16% 17% 18-21%
9
(1) Excludes acquisitions and currency effects. (2) Adjusted EBITDA (earnings before net interest, taxes, depreciation and amortization) excludes restructuring costs, acquisition costs, non-recurring
purchase accounting adjustments.
9
Outlook
Outlook Highlights
• Current underlying demand conditions in our markets
Earnings Per Share are not expected to change dramatically from what we
$1.20
$1.00 $0.91 – $0.99
26-28% •
experienced in the first quarter
Demand for our prescription drug and consumer
health care devices expected to remain under
$0.85
$0.80 Q2 expected pressure compared to the prior year as customers
continue to work off existing inventories
$0.63
$0.60 tax rate range • For some markets, an easier comparison to the prior
year second quarter which was the most difficult
$0.40
(prior year Q2 period when considering the impact of pandemic
Adj. EPS lockdowns
$0.20
effective tax rate • We also expect our results to be negatively impacted
by the timing of passing through higher resin and
$0.00 = 29%) other raw material costs
Q2 2020 Q2 2020 Q2 2021
Reported Adjusted* Outlook* • Positive mid and long-term view is unchanged, based
on our strong innovation and customer project
pipelines
• 2021 capital expenditures will be in the range of $300
Guidance Fx Euro Rate = 1.21 - $330 million dollars
• Depreciation & amortization estimate for 2021
is $230M - $240 million
* Adjusted EPS and Outlook EPS exclude the impact of restructuring initiatives, acquisition related costs, and net investment gains and losses related to
observable market price changes on equity securities. See accompanying slide titled: Forward Looking Statements & Non-GAAP Financial Measures.
10Appendix
11First Quarter 2021 Reported Results
Adjusted Q
Reported Q1Sales
EPS* Reported Q1 EPS
Q Sales Reported Q1 Sales
(in millions $)
$1.20 $1.09 $1.40 $1.24
$0.99 10% $1,000
$1.00 $1.20 48%
$800 $722 8% $777
$0.80 $1.00 $0.84
$0.80 $600
$0.60
$0.60
$0.40 $400
$0.40
$0.20 $0.20 $200
$- $- $-
Q1 2020 Q1 2021 Q1 2020 Q1 2021 Q1 2020 Q1 2021
29% 16% 29% 17% +5%
Q1 2020 Q1 2021 Q1 2020 Q1 2021 +1% Currency
Effects
Effective Tax Effective Tax Reported Reported Core Sales
Rate Adjusted
Earnings*
Rate Adjusted
Earnings*
Effective Tax
Rate
Effective Tax
Rate
Growth* +2%
Acquisitions
*Adjusted EBITDA and EPS exclude the impact of restructuring initiatives, acquisition related costs, and net investment gains and losses related to observable market price changes on equity
securities. Prior year Adjusted EPS includes foreign currency effects that are approximations of the adjustment necessary to state the prior year earnings per share using current period foreign currency
exchange rates.
* See accompanying slide titled: Forward Looking Statements & Non-GAAP Financial Measures. 12Strategic Priorities
Strategic Priorities
2017 2022
Financial Financial
(five year avg) Organic +8% Reported, 1% Core (Q1 2021); Sales Growth 4-7%
Sales Growth 3% Growth Adding capabilities and scale in Asia; EBITDA Margin 20-22%
EBITDA Margin 19% Partnership with BTY for Beauty
Acquisitions/Partners
Acquisitions Talent & Gender & Diversity KPI Alliance, Global acquisitions, partnerships,
Strategic technologies in the Leadership Diversity Targets, EVP General Counsel, incubators, new business models
US and EU Strategy/ M&A, Innovation, Digital,
Talent
Talent Excellence External Benchmarks, Innovation Pipeline, Greater diversity, inclusion and
Evolving need for greater
Pillars
Performance Mgmt, 6σ, Sustainability global capabilities
capabilities and diversity
Geographic Focus
Geographic Focus Continuous Improvement Mindset,
Transformation Added emphasis on Asia/Middle
Americas & EU
Footprint Rationalizations in North East/Eastern EU
America and Europe
Acquisitions &
CSP Technologies, FusionPKG, BTY,
Partnerships Cohero Health, Sonmol, Nanopharm,
Reboul, Gateway Analytical, Noble,
PureCycle, Loop, Nippon Closures
Macro • Aging Population • E-Commerce Supply Chain • Rise of Eastern Economies • Sustainability
Trends • Connectivity • Health and Wellness • Shareholder Engagement • Urbanization 13Consolidated Financial Targets
3 Year Average 2020 Long-term Target
Core Sales Growth1 4% 0% 4-7%
Adj. EBITDA2 / Sales % 20% 20% 20-22%
ROIC3 11% 10% 13-15%
Dividend Payout Ratio4 37% 40% 30-40%
Leverage Ratio ≈ 2X ≈ 2X 1-3X
1. Excludes acquisitions and currency effects.
2. Adjusted EBITDA (earnings before net interest, taxes, depreciation and amortization) excludes restructuring costs, acquisition costs, and non-recurring purchase
accounting adjustments.
3. ROIC (return on invested capital) = adjusted earnings before net interest and taxes, less tax effect / average capital (average of beginning of year and end of year
capital) [capital = equity plus debt less cash].
14Aptar Pharma Today
SALES BY REGION (Q1 2021) CUSTOMERS (Approx. 3,000) PATENTS
28% 66%
4% Managing close to
2% 750
Patent Families
SALES BY MARKET (Q1 2021) PATIENT / CONSUMER INNOVATIVE SOLUTIONS
EXPERIENCE
12% Over
Prescription
23% 43%
Consumer
Health Care
Injectables
8 Billion
Active Solutions per Year
Packaging Successful long-term track record with more than
22% 150 approved NDAs, ANDAs and INDs in the past
five years
15
15Leader in Delivery Systems for Traditional Therapies
Nasal Delivery Solutions Pulmonary Delivery Solutions Eye Care Delivery Solutions
Global leader in nasal devices for Allergic Global leader in pressurized metered dose Our Ophthalmic Squeeze Dispenser is
Rhinitis, Aptar Pharma delivers across a inhaler (pMDI) valves. We address the the leading device for preservative-free
wide spectrum of nasal needs, from Asthma and COPD therapy markets with a multidose prescription medications and
respiratory and allergy treatments to broad range of devices including pMDI OTC eye care products with over 300
vaccines and crisis medications. valves, Dry Powder Inhalers (DPIs), and references on the market.
electronic and connected devices.
16Growth from Drugs Repurposed
for New Delivery Formats
Recent examples:
Anti-depressant Therapy Hypoglycemic Crisis Treatment Epilepsy Seizure Treatments
Bidose Nasal Spray Device Protective Active Packaging Container and Unidose Nasal Spray Devices
Unidose Powder System Device
17Growth in the Injectables Market
Proven injectables partner Added-value solutions to meet
• 450+ customers in 70+ countries worldwide stringent market requirements for
complex & highly sensitive drug
• 10 out of 10 top Pharma players in injectables formulation developments
• 70 of the 100 top molecules, including life • PremiumCoat®
saving treatments
• Premium Fill®
• Deliver more than 1B units annually to the • Ready-to-Use (RTU)
vaccine industry
Supporting the fight against Covid-19 Global manufacturing network
expansion to meet fast
• Aptar Pharma solutions validated for
growing demand
COVID-19 vaccines & treatments
• PremiumCoat® film-coated solution
validated with mRNA vaccines and
other sensitive vaccine technologies
• Increase in emergency / antibiotics
treatments
18Expanding Our Pharma Services Platform
Foundation for Future Growth: Support through every step of the drug development journey
Guiding you through every step of drug product development
A global provider of A leading provider of A full-service cGMP A full-service cGMP lab A global leader in
innovative orally inhaled & lab specializing in providing industry- patient onboarding
drug delivery nasal drug product analytical testing of leading particulate and adherence
systems and service design & development drug delivery detection & predictive programs.
solutions. services. systems. analytical services.
Aptar Pharma Services
Device &
Regulatory Market launch &
formulation Clinical trials
filings post-launch
development
19Aptar Beauty + Home Today
SALES BY REGION (Q1 2021) CUSTOMERS (6,000+) PATENTS
28% 55% Over
7%
10% 400
Patent Families
A significant amount of Europe sales end up in Asia in
luxury and travel
SALES BY MARKET (Q1 2021) INNOVATIVE SOLUTIONS
CONSUMER EXPERIENCE
8%
Over
44% 48%
Beauty
Personal Care 16 Billion
Solutions per year
Home Care
20Broad Portfolio of Brand-differentiating Solutions
Beauty Personal Care Essentials Home Care Staples
Global leader in the beauty packaging Providing a wide variety of solutions for Full range of dispensing systems for
industry, known for combining functional liquid soaps, hand sanitizers, sun staples such as surface cleaners and
dispensing with premium aesthetics. We protection, hair care products and body disinfectants, air fresheners, and pet
provide solutions for the luxury facial skin lotions. Sustainability is a focus and in care.
care, cosmetic and perfumery markets, as addition to using PCR, Aptar’s pumps are
well as turnkey solutions ideal for indie currently being used on refillable personal
brands and the fast beauty market. care products for TerraCycle’s Loop
platform.
21Strategic Steps to Strengthen Our Beauty Business
BTY FusionPKG Ongoing Footprint Consolidation
• Acquired a 49% equity interest in BTY • We are closing our Stratford and Torrington
• Recently acquired FusionPKG, leader in high
• Leading Chinese manufacturer of high quality, prestige airless and color cosmetics (CT) sites in the US, and our Ballinasloe
quality, decorative metal components, packaging, with conception-to-launch and site in Ireland; will absorb and rationalize
metal-plastic sub-assemblies, and turnkey solutions for the North American production capacities into existing other
complete color cosmetics packaging beauty market facilities
solutions for the beauty industry • Better positions us to serve our customers
• Proven creativity, engineering, formulation and
fast go-to-market capabilities – ‘fast-beauty’ and focus on long-term, profitable growth
• Existing relationships with both global • Continuation of other steps we have made
cosmetic and skin care customers and with to streamline our Beauty + Home footprint
many indie brands (facility consolidations in India, Argentina
and Southeast Asia, and sale of molding
• Potential to scale this beyond North America facility in the US)
to other regions
22Positioned for Sustained Growth in Asia
Key Growth Drivers Aptar Footprint Growth Investments
Tokyo
Aptar Suzhou One Campus
Skin Care and Rapidly Aging
Color Cosmetics Population
Aptar Guangzhou
Made in Asia for Economic Scale Select Customers
Asia
Aptar Hyderabad
23Aptar Food + Beverage Today
SALES BY REGION (Q1 2021) CUSTOMERS PATENTS
(>200 clients with top 20 representing 65% of sales)
58% 24%
10% Over
8% 150
Patent Families
SALES BY MARKET (Q1 2021) CONSUMER EXPERIENCE INNOVATIVE SOLUTIONS
Over
7 Billion
26% Food
Beverage
Solutions per Year
74%
24Consumer-focused, Value-driven Applications
Fridge and Pantry Staples On-The-Go Beverage Food Protection
Aptar serves the beverage market Aptar Food + Beverage is setting new
Aptar Food + Beverage uses our
by providing closures for sports standards to improve food safety. Our
innovative technologies to reinvent
drinks, drinkable dairy, juices and active packaging technology protects
everyday staples. Our solutions
provide product differentiation for bottled water. We reinvent and fresh cut produce and fresh seafood
customers on the grocery store improve the drinking experience from harmful pathogens like bacteria,
shelf and improved functionality for with tethered caps, child-friendly fungi and viruses.
the end user. closures and e-commerce ready
solutions.
25Sustainable and Convenient Solutions
Focus on Recyclability
Made from a low density TPE
material, the valve floats,
allowing it to be easily
separated from the PET Flexible Packaging
stream, and then recycled
right along with the PP/PE As a leader in the development of
olefin stream. SimpliCycle’s™ flexible package dispensing, we are
combination of high helping customers increase their
performance and recyclability market share with innovative, best-
provides the perfect solution to in-class pouch fitments (sealing and
revolutionize the world of tamper evidence) and flow-
sustainable valve dispensing controlling dispensing solutions.
26Relying on Aptar Solutions Through the Pandemic
Beauty + Home
Rescue drugs and Preventive medicines Vaccines and
treatments and diagnostics therapeutics
Pharma Food + Beverage
27Sustainability Vision
Circular Economy Operations
Advocate for a circular Optimize the consumption
economy to address social of natural resources
and environmental in our operations and
imperatives that create processes. Serve the
purpose and shared societal communities in which
value; increase customer and we operate.
employee loyalty.
People Solutions Suppliers
Safety of our people Design products and & Partners
is the priority. Build a winning processes with people and Collaborate with thought
culture that is values-based, the planet in mind. Innovate leaders to cultivate an
inclusive and develops and to deliver optimal economic innovative supply chain that
engages people to premier and performance value is both socially inclusive and
performance. throughout the value chain environmentally conscious,
and product life cycle. in order to meet customer
and consumer needs.
28Memberships / Partnerships
Aptar’s Opportunities
Aptar is
committed to
accelerating
our efforts.
29Recent ESG Highlights
Recognized by In the Top 100 One of Barron’s Recognized with Prime Entered into a partnership
CDP as a America’s Most Top 100 Most status by ISS ESG, with CARE to support
Climate A List Responsible Sustainable U.S. one of the world’s educational programming,
Company 2020 and Companies 2020 and Companies leading rating agencies women’s economic
Supplier 2021 (2019 - 2021) for sustainable empowerment and “Fast +
Engagement by Newsweek investments Fair” Covid-19 Vaccine
Leader Response Campaign
30
30Sustainability Solutions & Ventures
Stock Closure Portfolio Designed to Recycle Circular Economy
(PCR)
Post Consumer Exploring connected
Mono Material
Recycled (Food grade) refillable solutions
31Diversity & Inclusion Recognition
• Member of the Gender and Diversity KPI
Alliance
• Member of the Catalyst CEO Champions for
Change
• Recognized for Diversity by Women on Boards
2020 and the Women’s Forum of New York
• ALIGN Women's Employee Resource Group
focused on networking, development and
leadership
• ATR included in the SPDR® SSGA Gender
Diversity Index ETF (SHE)
32A Year of Resiliency
Matt DellaMaria
SVP, Investor Relations
& Communications
Phone: 815-479-5530
Matt.Dellamaria@aptar.com
aptar.com
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