Slide 1: Full Year 2022
FULL YEAR 2022 PRESENTED MARCH 2023
Slide 2: Full Year Results Presentation
FULL YEAR RESULTS PRESENTATION MARCH 2023 FULL YEAR PRESENTATION v 2
Slide 3: Agenda
FULL YEAR RESULTS PRESENTATION AGENDA MARCH 2023 ANDREW MILNE CHIEF EXECUTIVE OFFICER STRATEGIC & OPERATIONAL REVIEW DAVID RATTIGAN CHIEF FINANCIAL OFFICER FINANCIAL REVIEW AND OUTLOOK ANDREW MILNE CHIEF EXECUTIVE OFFICER LOOKING FORWARD – A CLEAR FOCUS 3
Slide 4: 2022 Highlights
F CUILTLY YPERAERS ER NE TS A U TL IT OS NP R E S E N T A T I O N 2022 HIGHLIGHTS MARCH 2023 • Full year Adjusted PBT in line with expectations • Strong top line growth delivered across the business • Continued accelerated sales momentum across our International geographies • Strong investment in Vi
Slide 5: Update
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N MARCH 2023 v UPDATE 5
Slide 6: UK Soft Drinks Market
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N UK SOFT DRINKS MARKET MARCH 2023 PERFORMANCE Total ‘take home’ Soft Drinks Value Volume Value £10.5bn +9.2% -2.1% • A resilient soft drinks market driving value over volume Volume 7.8bn litres • Shoppers buying soft drinks at a higher price WI
Slide 7: Vimto Outperforming the Market in Squash & Stills
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N VIMTO OUTPERFORMING THE MARKET IN SQUASH & STILLS MARCH 2023 SQUASH VALUE: -0.6% +1.7% VOLUME: -12.3% -4.0% • UK Vimto Brand Value £105.9m - Value +3.0%, Volume -6.6% • Value over volume strategy RTD’s STILL JUICE • Driving household penetrati
Slide 8: UK – Strong Investment Driving Brand Growth
F U L L Y E A R R E S UC LI T SY P R E S E N T A T I O N UK – STRONG INVESTMENT DRIVING BRAND GROWTH MARCH 2023 Launch of our Successful Consumer new bottle flavour engagement across our Innovation driven through squash launched strong in portfolio across the store portfolio execution In store Stron
Slide 9: Innovation & Execution Delivering Momentum in the Middle East
F U L L Y E A R R E S UCLI TT SY PP RR EE SS EE NN TT AA TT II O O NN INNOVATION & EXECUTION DELIVERING MOMENTUM IN THE MIDDLE EAST MARCH 2023 Outstanding Launch of the Launch of new market execution first Zero citrus based delivering strong cordial ‘green’ in-market across the range sales region pe
Slide 10: Africa Continues to Deliver Strong Growth
F U L L Y E A R R E S UCLI TT SY PP RR EE SS EE NN TT AA TT II O O NN AFRICA CONTINUES TO DELIVER STRONG GROWTH MARCH 2023 Launch of Vimto Strong marketing cans into 3 new campaigns were markets across launched across Africa – Angola, a number of Chad and key occasions Central in the first African H
Slide 11: Out of Home Business Re-opens for Full Year
F U L L Y E A R R E S UC LI T SY P R E S E N T A T I O N OUT OF HOME BUSINESS RE-OPENS FOR FULL YEAR MARCH 2023 Support for OoH Footfall and Old Jamaica Customers to consumer brand added to open up spend dispense fully slow to portfolio recover Strong New website execution on launched to ICEE drive
Slide 12: Operational Change Programme
FU C IL TL Y Y PE RA ER S R ENE ST UA LT TI O S NP R E S E N T A T I O N OPERATIONAL CHANGE PROGRAMME MARCH 2023 DELIVERING EFFICIENCY AND CAPACITY FOR FUTURE GROWTH • Dilutes production switched to Refresco • Logistics tenders completed across UK and International markets • Enhanced purchasing capa
Slide 13: Our Happier Future ESG 2022 Achievements
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N OUR HAPPIER FUTURE ESG 2022 ACHIEVEMENTS MARCH 2023 Pilot of our DRS Scotland All UK locations now Camp Vimto Programme Ready - Launch August operating on 100% – raising aspirations and 2023 Renewable Energy creating opportunities for young pe
Slide 14: New Non-Executive Chair Appointed
F U L L Y E A R R E S UCLI TT SY PP RR EE SS EE NN TT AA TT II O O NN NEW NON-EXECUTIVE CHAIR APPOINTED MARCH 2023 • Liz McMeikan announced as the Company’s next Non-Executive Chair • Liz McMeikan initially joined the Group as a Non-Executive Director on 1st February 2023 • Liz will become Chair on
Slide 15: Review
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N MARCH 2023 v REVIEW 15
Slide 16: Revenue
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N REVENUE • Progress across all reported segments and geographies as well as within each of our 3 routes to market MARCH 2023 • 12.1% Group revenue growth since 2019 FY22 FY21 Movement • Group - Carbonates +20.4%, Stills +8.2% Revenue 164.9 144.
Slide 17: Adjusted PBT
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N ADJUSTED PBT • Adjusted Profit Before Tax Margin 15.1% (FY21: 15.1%) MARCH 2023 • Gross Profit up +£5.8m FY22 FY21 Movement • Volume +£4.8m Adjusted profit before tax 25.0 21.8 14.5% • + UK Out of Home • + Packaged International volume • - UK
Slide 18: PBT - Exceptionals
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N PBT - EXCEPTIONALS • Total exceptional costs -£11.1m • £8.7m non-cash MARCH 2023 Adj FY22 FY22 • Out of Home asset impairment -£8.7m Profit before tax 25.0 13.8 • UK on trade slow down £25.0 • Record pub and bar closures • Increased cost of ca
Slide 19: Adjusted PBT – Draft Segmental
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N ADJUSTED PBT – DRAFT SEGMENTAL (Fully allocate d) MARCH 2023 • Unaudited Packaged Regions Total Total Total Out of Home UK Middle East Africa Rest of World *** Packaged Segments Corporate Group 2022 £m £m £m £m £m £m £m £m £m Continuing operat
Slide 20: Net Assets and Capital Employed
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N NET ASSETS AND CAPITAL EMPLOYED MARCH 2023 FY22 FY21 Movement Cash and Cash Equivalents 56.3 56.7 (0.7%) • EBITDA +£26.9m at 16.3% (2021: +£23.7m) • Free cash flow +£14.6m (+£18.9m excl HMRC settlement) £56.7 £56.3 • £17.5m 2021 • Fully utilis
Slide 21: Dividend Proposal and AGM
FCUI LT LY YPERAERS ERNE TS AU TL ITOS NP R E S E N T A T I O N DIVIDEND PROPOSAL AND AGM MARCH 2023 • Dividend policy remains at broadly 2x cover • Adjusted Earnings Per Share (basic) 55.38p • The Board therefore propose a final dividend of 15.3p • Combined with interim, results in a full dividend
Slide 22: Financial Outlook
F UC LI LT YY EP AR RE SREENSTUAL TT ISO N PRESENTATION CITY PRESENTATION FINANCIAL OUTLOOK MARCH 2023 MARCH 2023 • FY 2023 Group Adjusted PBT expectations 1 remain unchanged • We are comfortable with consensus for FY23 and FY24 • Balance between International being ahead of expectations, OoH being
Slide 23: Ahead
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N MARCH 2023 v AHEAD 23
Slide 24: Out of Home Strategic Review
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N OUT OF HOME STRATEGIC REVIEW MARCH 2023 CONCLUSIONS: • The impact of the pandemic and subsequent cost of living crisis has resulted in the strategic review of the Out of Home business • The National geographical footprint leads to inefficienci
Slide 25: Out of Home Strategic Review
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N OUT OF HOME STRATEGIC REVIEW MARCH 2023 OUTPUTS: • A simplified business model • Exit all frozen national accounts (except Cinema) • Exit our coffee business • Exit of the in-house central frozen region • Closure of a number of depots across t
Slide 26: Key Strategic Drivers for Our Packaged Business
F U L L Y E A R R E S UCLI TT SY PP RR EE SS EE NN TT AA TT II OO NN KEY STRATEGIC DRIVERS FOR OUR PACKAGED BUSINESS MARCH 2023 A clear focus to M&A drive accelerated focused on growth across our Packaged UK and business International Packaged businesses Implement the Deliver Business key initiative
Slide 27: 2023 Plan to Drive Growth Across UK & International Packaged Business
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N 2023 PLAN TO DRIVE GROWTH ACROSS UK & INTERNATIONAL PACKAGED BUSINESS MARCH 2023 Strong innovation New partners to pipeline across accelerate the packaged UK growth in key and African International markets regions Driving core Strong integrate
Slide 28: Out of Home Strategic Focus
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N OUT OF HOME STRATEGIC FOCUS MARCH 2023 SIMPLIFIED BUSINESS MODEL TO OPERATE AS A STAND-ALONE BUSINESS MAXIMISE VALUE 28
Slide 29: Summary
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N SUMMARY MARCH 2023 • The soft drinks category has remained resilient over several years with opportunities for future growth • The strength of the diverse business has been a key factor again in 2022 • Highly profitable and cash generative • C
Slide 30: Appendix
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N MARCH 2023 v 30
Slide 31: Consolidated Income Statement
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N CONSOLIDATED INCOME STATEMENT MARCH 2023 Audited Audited Year ended Year ended 31 December 2022 31 December 2021 £’000 £’000 Continuing operations Revenue 164,926 144,328 Cost of sales (93,905) (79,153) Gross profit 71,021 65,175 Distribution
Slide 32: Consolidated Statement of Financial Position
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N CONSOLIDATED STATEMENT OF FINANCIAL POSITION MARCH 2023 Audited Audited Audited Audited Audited Audited 31 December 31 December 31 December 31 December 31 December 31 December 2022 2021 2022 2021 2022 2021 LIABILITIES £’000 £’000 EQUITY £’000
Slide 33: Consolidated Cash Flow
F U L L Y E A R R E S UC LI T YS P R E S E N T A T I O N CONSOLIDATED CASH FLOW MARCH 2023 Audited Audited Year ended Year ended 31 December 2022 31 December 2021 £’000 £’000 £’000 £’000 Cash flows from operating activities Profit/(loss) for the financial period 11,635 (22,168) Adjustments for: Depr