2. Disclaimer
“Forward looking statements included in this presentation regarding the
Company’s business, operating and financial results and Company’s growth
are only predictions and were based on management's expectations
regarding future performance. These expectations are highly dependent on
market conditions, Brazilian economic scenario, industry performance and
international markets, and are therefore subject to change”
2
3. Highlights - 3Q11
Eternit’s performance exceeded the results for the sector.
Sales volume of fiber cement amounted to 232 thousand tons, a growth of 12.9%;
Sales of concrete tiles increased 9.2%;
Net consolidated revenue increased 6.6% and amounted R$ 213 million;
EBITDA amounted R$ 42.3 million and EBITDA margin of 20%, growth of 10.4%;
Net income of R$ 27.3 million and net margin of 13%, growth of 6.9%;
Eternit ramped up production capacity by 60% at Tégula, featured the new factory in
São José do Rio Preto / SP;
Initiate the installation of its multi-product plant in the State of Ceará;
The 12th factory will dedicate to the manufacture of bathroom chinaware.
3
14. Products and solutions for civil construction
Water tanks and filters
Components for constructions systems
Roof coverings
Bathroom chinaware fixtures
14
29. Capital Expenditures (in R$ million)
93
6 -57.5%
80
220.7% 14 3
14
34
34
-28.6% 34
29 12 2
21 12
8
15 13
3
27 10 4
21 20
3 16
11
5
2009 2010 3Q10 3Q11 9M10 9M11
Investments Capacity Increase – Eternit Tégula Acquisition
Molds and New Business Capacity Increase – Tégula Land Acquisitin – Ceará State
29
30. Construction of the New Synthetic Marble Production
External Area Production Line Resin Silo
30
31. Acquisition of Land for Multiproduct Plant - Ceará State
Cimenteira
Linha Gás Natural
35 km
15 km
Land of 400 000 m²
31
32. 1st Step - Multi-Product Plant in the Ceará State
Joint-Venture: Companhia Sulamericana de Cerâmica S. A.
Share of 60% Share of 40%
Knowledge of the local market Knowledge of manufacturing and
Strong distribution network products technology
Efficient logistics Low cost production
Brand strength Expertise in new product
development
Investment Resources Expertise in new market
Knowledge in Brazil development
Investments: R$ 97 million
Capacity: 1,500,000 pieces per year
Begin building: First half of 2012
End building: 18 months
Forecast of Gross Revenue at full capacity: approximately R$ 127 million
Straight Workforce: 330 employees
32
36. Ownership Structure - Oct/11
Shareholding Structure Oct/11 Oct/10
Geração L. Par. F. I. A. 18.61% 19.66%
30.70% Luiz Barsi Filho 13.41% 12.53%
Victor Adler + VIC DTVM 8.50% 7.83%
Management 1.08% 1.50%
Other Board of Directors 0.07% 0.03%
59.41% Treasurystock 0.03% 0.03%
7.54%
Member
2.35% Board of Directors
Since
Sérgio Alexandre Melleiro (*) 1993
Lírio Albino Parisotto (*) 2004
Individual Investors
Victor Adler (*) 2005
Corporations Élio A. Martins 2007
Investors Abroad Luiz Barsi Filho (*) 2008
Clubs. Funds and Foundations Marcelo Munhoz Auricchio (*) 2011
Luis Terepins (*) 2011
(*) Independent member
Member
FREE-FLOAT 76.33% Consultive Council
Since
Guilherme Affonso Ferreira 2011
Mário Fleck 2011
36
37. Ownership Structure
Average Traded Volume
Number of shareholders (R$ thousand)
6,615 6,714
1,108
5,910
975
800
2009 2010 2011(*) 2009 2010 2011(*)
(*) Until October
37
38. Shareholder Remuneration
Net Income X Shareholders Dividend Yield
Remuneration (R$ million)
102
15.1%
73 81
72
9.3%
65
55
7.5%
2009 2010 2011* 2009 2010 2011*
Net Income Dividends and Interest on own capital
(*) Until November
38
39. Eternit’s Shares Performance (Dec/06 - October/11)
Between 12/28/2006 to 10/31/2011, Eternit”s shares appreciated 49.5% and IBOVESPA
appreciated 31.2%.
In the same period, including the payment of dividends and interest on own capital, Eternit’s shares
appreciated 146.9%.
220
ETER3
IBOVESPA
200
180
160
R$ 9.06
140
58,338
120
100
80
60
40
Dec Feb Apr Jun Aug Oct Dec Feb Apr Jun Aug Oct Dec Feb Apr Jun Aug Oct Dec Feb Apr Jun Aug Oct Dec Feb Apr Jun Aug Oct
06 07 07 07 07 07 07 08 08 08 08 08 08 09 09 09 09 09 09 10 10 10 10 10 10 11 11 11 11 11
39
40. Quer ser sócio? / W ants to be a partner?
Eternit joined to Quer Ser Sócio? of
BM&FBOVESPA campaign
The campaign aims to achieve the goal of
winning 5 million of investors and make the
market more accessible to all Brazilians who want
to be partners in the growth of the country.
40
42. GDP and Gross Revenue Comparison (%)
GDP Construction GDP Brazil Eternit - Gross Revenues
37.1
18.3
16.8
15.2
11.6
8.6 8.2 7.5
5.0 5.4 5.1
3.4 3.5
-0.2
-6.3
2007 2008 2009 2010 2011(E)
(E) - Estimate - Source: BACEN.
Consolidated gross revenue growth was deflated by IGP-M. The period from January to September vs. the same
period of 2010. The Company does not inform guidance of future revenue.
42
43. Structured Expansion and Diversification Program
OBJECTIVE
Consolidate Eternit as a supplier of products and solutions to the civil construction industry
INITIATIVES
- Creation of the Development and New Businesses Area
- Inclusion of metallic roofing on its portfolio
- Investment in new product lines of fiber cement
- Investment in machinery for new products on its plants
- Increase in SAMA’s production capacity
- Launches of new products
- Debut into chinaware bathroom fixtures
- Inorganic growth – Acquisitions
43
44. Launches - 2011
Neighborhoods Nova Odebrecht – Angra dos Reis/ RJ
Following the market trend Eternit has launched ETERSYSTEM
Metal roof structure
44
45. Mobile Exhibitor - Bathroom Chinaware
Fiat Doblô cars equipped with bathroom chinaware and lavatory seats exhibitors
45
47. Chrysotile – The Brazilian Mineral
The use of Chrysotile ore in Brazil is regulated
by the Federal Law 9.055/95, by Decree
2.350/97 and by regulatory standards for
occupational health and safety. It is also
provided in the Convention 162 of the
International Labor Organization (OIT).
White Ore
Bends and silky fibers without tip
High Concentration of Magnesium:3MgOSiO2H2O
Biopersistence*: 2.5 days
*Biopersistence: Time that a inhaled particle remains in
the lungs before being eliminated by the body’s defense
mechanisms. To cause lung damage, the fiber must have
penetration and durability capacities in the alveoli.
Serpentinite rock with Chrysotile Ore fibers
47
48. Brazil concludes important research about chrysotile ore risks
Project Asbesto Ambiental
“Ambiental Exposition to Asbesto: Evaluation of Risk and Effects in Health”
Process CNPq n. 420001/2006-9
The results of the research were announced on November 25 2010 and
demonstrates that:
Among the householders surveyed, no clinical, respiratory functional and
high resolution tomographic alterations were found that could be
attributed to atmospheric asbestos fiber inhalation.
In the occupational assessment, no new alterations were identified or
progression in pleural and interstitial deterioration of individuals in the
sample Group exposed after 1980 and who underwent High Resolution
Computed Tomography scans in the two studies.
The full version of this research can be found in www.sectec.go.gov.br.
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49. Information
Élio A. Martins
elio.martins@eternit.com.br
Rodrigo Lopes da Luz
rodrigo.luz@eternit.com.br
Frederico Gomes Amaral
frederico.amaral@eternit.com.br
Phone: (55-11) 3038-3818 or (55-11) 3194-3872
www.eternit.com.br/ir or www.blogdaeternit.com.br
IR Consultant
Silvia Helena Madi Pinheiro This material was produced using FSC certified paper (Forest
Stewardship Council), which is a guarantee that the raw material
silvia.pinheiro@firb.com comes from a forest managed in an environmentally
responsible, socially and economically viable.
Tel: (55-11) 3500-5564
49