Nexam Chemical (NEXAM) ABGSC Investor Days summary

Key strategic themes

• Focus on innovative additives enabling advanced recycling and high-performance plastics, with a strong IP portfolio covering up to 50% of global plastics production.

• Industrial scale-up in recycling, including a major collaboration with Kullaplast, allowing higher recycled content in packaging and attracting international interest.

• Clear customer value proposition: Nexam's additives reduce costs and enable use of lower-grade recycled materials without sacrificing product quality.

• Three business logics: base business (aesthetics), growth engine (lightweight & high temperature), and scale-up (recycling), each with tailored strategies and peer benchmarks.

• Positioned for scalable impact across the circular plastics value chain, supporting manufacturers to increase recycled input.

Financial and operational highlights

• Recycling sales reached an all-time high in Q1 2025 at 3.6 mSEK, marking 50% quarter-on-quarter growth, with a new major customer ramping up production.

• Margins have improved for nine consecutive quarters, with contribution margin expected to remain stable.

• Revenue diversification across segments, with a growing share from recycling and high-performance applications.

• Over 90% of sales are recurring, and the organization can double volume without significant cost increases.

• Break-even EBITDA reduced to ~45 MSEK per quarter, with incremental sales contributing ~35% to the bottom line.

Market trends and growth outlook

• Global plastics recycling is forecasted to grow substantially, driven by regulatory targets and customer demand for sustainable solutions.

• Nexam's solutions address both polyolefins and PET, representing up to half of global plastics production.

• Packaging film market, a key focus, is valued at $8-10 billion with significant potential for additive sales.

• Project pipeline for recycling is robust, with 3-10x more volume than other segments and increasing customer activity.

• Positive 2025 outlook with growth in key segments, expanding customer base, and several long-term opportunities in high temperature and recycling.