Cranswick Plc · LSE:CWK
Cranswick — Investor Day (March 2025)
74 slides from Cranswick's investor day presentation, Mar 20, 2025
Slide 1: Capital Markets Day
CAPITAL MARKETS DAY 20 MARCH 2025
Slide 2: Agenda
AG E N DA C H A I R M A N ' S W ELCOME ST RAT EG I C OV E RVI EW H I STO R I C T RAC K RECORD US ING O U R ST RAT EG I C E N A B L E R S TO DRI VE F U RTHE R GROW TH : S U P P LY C HA I N A N D L E A N PROCE S SIN G I CO N I C P R O D U CT S A N D C U STOME R PARTNE RSHIPS I N V E ST M E N T CASE Q&
Slide 3: Chairman's Welcome
CHAIRMAN’S WELCOME TIM SMITH CBE CHAIRMAN MARCH 2025 CAPITAL MARKETS DAY 3
Slide 4: Strategic Overview
STRATEGIC OVERVIEW ADAM COUCH CEO MARCH 2025 CAPITAL MARKETS DAY 4
Slide 5: Investment in High Quality, Sustainable Growth
INV E ST M E N T I N HI G H Q UA LI T Y, SUSTAIN ABLE GROW TH Animal feed Livestock Grain Fresh Pork Cooked Gourmet Mediterranean Gourmet production trading trading production Meats Sausage Foods Bacon 1978 1979 1985 1995 2004 1975 INCORPORATED 1991 1992 2001 Preston Abattoir Sutton Fields Continent
Slide 6: Vertical Integration: Highly Differentiated Operating Model
V E R T I C A L I N T E G R AT I O N : H I G H LY D I F F E R E N T I AT E D O P E R AT I N G M O D E L WE CONTINUE TO GROW OUR FARM-TO-FORK INTEGRATION AND SIMULTANEOUSLY BROADEN OUR PRODUCT PORTFOLIO, TRULY UNMATCHED IN UK FOOD PRODUCTION WE FARM WE PRODUCE WE SUPPLY Cranswick owned Cranswick Prim
Slide 7: Resilient Business Model Delivering Sustained Growth
RE SIL I E N T BUSI NE S S MO DE L DE LI VERIN G SUSTAIN ED GROW TH AN EFFICIENT, DIVERSIFIED BUSINESS DEPLOYING CAPITAL AT SCALE 10 YEARS AGO FY14 5 YEARS AGO FY19 TODAY FY24 3 1% Pet Gourmet Food Poultry Fresh Poultry Products 14% Pork 17% 17% 25% Fresh 32% Fresh Pork Pork 19% 40% 18% Gourmet Gour
Slide 8: A Well Defined, Growth Led Strategy
A WE LL DE F I NE D, G ROW TH LED STRATEGY OUR Creating great tasting PURPOSE Where great food comes from nutritious food; authentically made and sustainably produced GUIDING PRINCIPLES STRATEGIC ENABLERS OUR DIFFERENTIATORS QUALITY VALUE AGRICULTURAL ENTREPRENEURIAL SUPPLY CHAIN LEAN PROCESSING ROO
Slide 9: Strengthening Our Competitive Advantage Through the Strategic Enablers
S T R E N G T H E N I N G O U R C O M P E T I T I V E A DVA N TAG E T H R O U G H T H E S T R AT E G I C E N A B L E R S W E HAV E D RI V EN A CLE AR COM PETITIVE ADVANTAGE AND A UNI Q UE P OSI TI O N WI THI N THE UK FOOD INDUSTRY SUPPLY CHAIN LEAN PROCESSING ICONIC PRODUCTS CUSTOMER PARTNERSHIPS Tr
Slide 10: Strong Foundations for Future Success
S T R O N G F O U N DAT I O N S F O R F U T U R E S U C C E S S SUPPLY CHAIN LEAN PROCESSING ICONIC PRODUCTS CUSTOMER PARTNERSHIPS Industry leading A clearly defined Ever broadening Strong investment strategy product portfolio management TEAM Highly differentiated Underpinned by robust Expanding opp
Slide 11: Historic Track Record
HISTORIC TRACK RECORD MARK BOTTOMLEY CFO MARCH 2025 CAPITAL MARKETS DAY 11
Slide 12: A History of Successful Compounding
A H I STO RY O F S U CC E S S F U L CO M P O U N D I N G ADJUSTED PROFIT BEFORE TAX 1 (£M) DIVIDEND PER SHARE (PENCE) 10 YEAR CAGR £2,599m 176.6 90.0 Compound annual growth rates to 30 March 2024 £2,323m Revenue 34 years of unbroken dividend growth 75.6 REVENUE 136.9 +10.1% 60.4 £1,667m 53.7 102.3 9
Slide 13: Investment Led Margin Progression
INVESTMENT LED MARGIN PROGRESSION ADJUSTED GROSS MARGIN1 ADJUSTED EBITDA MARGIN1,2 ADJUSTED OPERATING MARGIN1,2 15.3% 14.7% 10.7% 14.1% 10.3% 13.1% 12.9% 9.8% 9.2% 9.4% 7.5% 6.8% 7.0% 6.5% 6.1% H1 FY23 H2 FY23 H1 FY24 H2 FY24 H1 FY25 H1 FY23 H2 FY23 H1 FY24 H2 FY24 H1 FY25 H1 FY23 H2 FY23 H1 FY24 H2
Slide 14: Sustainable Long-Term Cash Generation
S U S TA I N A B L E L O N G -T E R M C A S H G E N E R AT I O N CASH INFLOW / £M FREE CASH FLOW NET CAPEX ACQUISITION1 DIVIDEND PAID (OUTFLOW) 2 Sustainable capital allocation H1 FY25 105.4 46.7 4.4 36.1 18.2 supported by strong long-term free cash flow FY24 223.4 90.6 39.2 43.9 49.7 FY23 149.2 83.
Slide 15: Growing Capital Deployment Delivering Strong Returns
G ROW I NG CA P I TA L DE P LOYME NT DELIVERIN G STRON G RETU RN S 1,200 25% 1,000 20% 800 15% £m 600 10% 400 5% 200 0 0% FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 H1 FY25 Average Capital Employed ROCE1 Proven track record of attractive ROCE whilst continuing to deploy capital
Slide 16: Delivering on Value Creation
DE LI V E RI NG O N VA LU E CREATION GU IDING PRINCIPLES QUALITY VALUE Strong business focus on long-term Delight the customer Vertical integration value creation Lead on premium Utilisation Capital Attractive Technical excellence Efficiency Employed ROCE INNOVATION PUTTING PEOPLE Well defined strat
Slide 17: Supply Chain and Lean Processing
SUPPLY CHAIN AND LEAN PROCESSING RICK BUCKLE STEPHEN WAITE CHRIS ALDERSLEY MANAGING DIRECTOR FOR COMMERCIAL MANAGER COO FARMS (PORK DIVISION) FOR FARMS (PORK DIVISION) ASH GILMAN TOM WILSON STEVE MOORE DIRECTOR OF AGRICULTURAL COMMERCIAL DIRECTOR SALES AND MARKETING STRATEGY (FRESH PORK) DIRECTOR (P
Slide 18: Supply Chain and Lean Processing
S U P P LY C H A I N A N D L E A N P R O C E S S I N G SUPPLY CHAIN LEAN PROCESSING SUPPLY CHAIN LEAN PROCESSING Securing pig supply Expanding Fresh Pork Maximising opportunity Growing poultry and driving competitive for growth and in the poultry processing capacity advantage leveraging automation s
Slide 19: Securing Pig Supply and Driving Competitive Advantage
SECURING PIG SUPPLY AND DRIVING SUPPLY CHAIN COMPETITIVE ADVANTAGE A R O BU ST P I G S U P P LY C H A I N P R OD UC I N G 3 5,000 P I G S P ER W EEK S U S TA I N A B L E FA R M I N G PRIMARY ADDING FEED MILLING SYST E M PROCESSING VA L U E Indoor 100% sustainable soya and 3 highly automated primary
Slide 20: Securing Pig Supply: Operational Benefits
SECURING PIG SUPPLY AND DRIVING SUPPLY CHAIN COMPETITIVE ADVANTAGE O P E RATIO N AL B ENEFI TS I NTEG R IT Y A N D TR U ST O P E R ATI O N A L E XC E LLE N C E TA LE NT D EV E LO PM E NT • Integrated farming model • Allows investment in farming • Solves generational farming excellence challenges • T
Slide 21: Securing Pig Supply: Long-Term Strategic Benefits
SECURING PIG SUPPLY AND DRIVING SUPPLY CHAIN COMPETITIVE ADVANTAGE LO N G-TE RM STRATEG I C BENEFI TS S ECU R IT Y O F S U P P LY M A RG I N E XPA N S I O N CO M PETITIV E A DVA NTAG E • Supports growth opportunities • Captures value in the supply • Facilitates customer herd chain alignment • Enhanc
Slide 22: Introducing JSR Genetics
SECURING PIG SUPPLY AND DRIVING SUPPLY CHAIN COMPETITIVE ADVANTAGE I N D U STRY LE A D I N G SCA LE D PI G INTRODUCING JSR G E N ETI C S P RO D U C E R Industry leading genetics • Producer of breeding • Producer of 2,000 stock for pig industry finished pigs per week 100% high health gilts • Sole sup
Slide 23: Competitive Advantage Through Genetics
SECURING PIG SUPPLY AND DRIVING SUPPLY CHAIN COMPETITIVE ADVANTAGE CO M P E TITIVE ADVAN TAGE T HRO U G H G ENET I C S E N H A N C E D P RO D U C T E N H A N C E S CU STO M E R I N D U STRY LE A D I N G Q UA LIT Y O PP O RTU N ITI E S • Only UK processor with direct • Demonstrable benefits from • Su
Slide 24: Using Genetic Quality to Drive Customisation in Retail
SECURING PIG SUPPLY AND DRIVING SUPPLY CHAIN COMPETITIVE ADVANTAGE U S IN G GEN ET I C QUA L I T Y TO D R I VE C U STOM I SAT I ON I N R ETAI L STANDARD TIER PREMIUM TIER 1 1 EFFICIENCY QUALITY BENEFITS OF 2 2 GENETICS CONSISTENCY TAILORING ON PRODUCT QUALITY 3 3 QUALITY EFFICIENCY JSR TN TEMPO TTD
Slide 25: Sustainable Farming
SECURING PIG SUPPLY AND DRIVING SUPPLY CHAIN COMPETITIVE ADVANTAGE S U STA I N A B L E FAR M I N G SHORTER SUPPLY CHAINS PRODUCER ALIGNMENT LAND TENURE • Increased food security • Shared responsibility for sustainability • Strategic, long-term approach • Greater transparency and trust • Greater cont
Slide 26: Expanding Fresh Pork for Growth
EXPANDING FRESH PORK FOR GROWTH LEAN PROCESSING PRE STON - HULL NORFOLK BALLYMENA ACQUIRED 1991 ACQUIRED 2009 ACQUIRED 2017 Weekly throughput lifted from Weekly throughput lifted from Weekly throughput lifted from 3,000 to 35,000 10,000 to 20,000 7,500 to 12,000 LARGEST PIG PROCESSOR IN THE UK STRON
Slide 27: Invested Over £100m in Fresh Pork Sites
EXPANDING FRESH PORK FOR GROWTH LEAN PROCESSING OVER £100m I NTO O U R F R E S H PO R K S ITE S OVE R TH E L A ST 5 YE AR S WITH INVESTED A FU RTH E R £ 87M PL AN N E D FO R TH E N E XT 5 YE AR S 90000 PRESTON EXPANSION 80000 2016 BALLYMENA 70000 60000 2009 NORFOLK 50000 40000 30000 20000 Capacity 1
Slide 28: Strategic Investment Projects at Preston
EXPANDING FRESH PORK FOR GROWTH LEAN PROCESSING STRATEG I C I NV ESTM ENT P R OJECTS AT PRESTON £62M SITE EXPANSION AND COLD STORAGE £35M ABATTOIR EXPANSION (IN PROGRESS) (NOW APPROVED) E XPEC TED CO M PLETI O N MARCH 2026 E XPEC TED CO M PLETI O N M I D 2027 • Automated on-site cold storage reduces
Slide 29: Leveraging Automation
LEVERAGING AUTOMATION LEAN PROCESSING P ROV EN BENEFI TS AT PR ESTON Development partner 2024 Opening Robots (World first) 2023 Primal Break 2025 onwards (World first) Abattoir Upgrade 2021 2021 Sensor X Trim Leg DeboFlex and Expansion 2017 Management System (World first) Shoulder DeboFlex LABOUR TH
Slide 30: Leveraging Automation: Houmous, Pigs in Blankets, Robotic Packing
LEVERAGING AUTOMATION LEAN PROCESSING LEADING HOUMOUS I N N O VAT I N G P I G S I N A D VA N C E D R O B O T I C PRODUCTION SYSTEM BLANKETS PA C K I N G S O L U T I O N S UNIQUE PROCESSING CAPABILITY INNOVATIVE ROBOTIC PROCESS AUTOMATED MULTI COMPONENT OFFERS FLEXIBILITY AND DRIVES DEVELOPED TO AUTO
Slide 31: Maximising Opportunity in the Poultry Supply Chain
MA X I MI S I NG O P P O RTU N IT Y IN TH E SUPPLY CHAIN P O ULT RY S UP PLY CH AIN O UR UN I QU E , F UL LY I N T EG RAT ED SU P P LY C H AI N S U S TA I N A B L E FA R M I N G PRIMARY ADDING FEED MILLING SYST E M PROCESSING VA L U E 22 integrated breeder and rearer farms 100% sustainable soya and
Slide 32: Poultry Supply Chain: Investing for Growth
MA X I MI S I NG O P P O RTU N IT Y IN TH E SUPPLY CHAIN P O ULT RY S UP PLY CH AIN I N VEST I N G F OR GR OW T H LOWER STOCKING DENSITIES FARMING FOR THE FUTURE OPTIMISING THE SUPPLY CHAIN • Leading on the drive to reduce • Plans progressing to increase • £9m investment to expand incubatory stockin
Slide 33: Growing Poultry Processing Capacity
GROWING POULTRY PROCESSING CAPACITY LEAN PROCESSING EYE FRESH POULTRY FACILITY THROUGHPUT EXPANSION £13M INITIAL BUILD AND CAPABILITY EXPANSION (IN PROGRESS) • Weekly throughput of 1.4m birds • Uplifts weekly throughput to 1.6m birds • Fully automated operations • Adds 3 new automated filleting line
Slide 34: Maximising Opportunity in Lean Processing: Poultry
MA X I MI S I NG O P P O RTU N IT Y IN TH E LEAN PROCESSING P O ULT RY S UP PLY CH AIN COOKED POULTRY DUAL SITE EXPANSIONS £29M PREPARED POULTRY (NEARING COMPLETION) • Capability to provide added-value cooked and coated poultry • Extensions to both facilities nearing completion • Multi channel focus
Slide 35: Growing Poultry Processing Capacity: Demand for Additional Capacity
GROWING POULTRY PROCESSING CAPACITY LEAN PROCESSING DEMAND FOR ADDITIONAL CAPACITY GROWS • Poultry consumption growing but facilities at capacity • Competitor landscape deteriorating • UK food security a significant opportunity SECOND EYE FACILITY IN MOTION • Plan to double capacity in Fresh Poultry
Slide 36: Leveraging Supply Chain and Lean Processing for Growth
SUPPLY CHAIN LEVERAGING SUPPLY CHAIN AND LEAN LEAN PROCESSING P R O C E S S I N G F O R G R OW T H BROAD OPPORTUNITIES EXIST ACROSS SUPPLY CHAIN AND LEAN PROCESSING • Capture value in the supply chain • Automate complex tasks and reduce labour • Optimise lean processing and grow capacity • Different
Slide 37: Coffee Break
COFFEE BREAK MARCH 2025 CAPITAL MARKETS DAY 37
Slide 38: Iconic Products and Customer Partnerships
ICONIC PRODUCTS AND CUSTOMER PARTNERSHIPS JIM BRISBY CHIEF COMMERCIAL OFFICER MARCH 2025 CAPITAL MARKETS DAY 38
Slide 39: Celebrating 50 Years
Celebrating 50 years 202 5 MARCH 2025 CAPITAL MARKETS DAY 39
Slide 40: A Well Defined, Growth Led Strategy
A WE LL DE FI NE D, G ROW TH LED STRATEGY OUR Creating great tasting PURPOSE Where great food comes from nutritious food; authentically made and sustainably produced GUIDING PRINCIPLES STRATEGIC ENABLERS OUR DIFFERENTIATORS QUALITY VALUE AGRICULTURAL ENTREPRENEURIAL SUPPLY CHAIN LEAN PROCESSING ROOT
Slide 41: Strengthening Our Competitive Advantage Through the Strategic Enablers
S T R E N G T H E N I N G O U R C O M P E T I T I V E A DVA N TAG E T H R O U G H T H E S T R AT E G I C E N A B L E R S W E HAV E D RI V EN A CLE AR COM PETITIVE ADVANTAGE AND A UNI Q UE P OSI TI O N WI THI N THE UK FOOD INDUSTRY SUPPLY CHAIN LEAN PROCESSING ICONIC PRODUCTS CUSTOMER PARTNERSHIPS Tr
Slide 42: Iconic Products
ICONIC PRODUCTS MARCH 2025 CAPITAL MARKETS DAY 42
Slide 43: A Broad Product Portfolio
A B ROA D P RO DUCT PORTFOLIO FRESH PORK G O U R M ET SAU SAG E G O U R M ET BACO N S LOW CO O K CO O K E D M E AT S R E A DY-TO - E AT FRESH CHICKEN CHICKEN COAT E D C H I C K E N G O U R M ET PA STRY P ET P R O D U C T S C H A RC U TE R I E O LI V E S & A NTI PA STI S P EC I A LIT Y A M B I E NT F
Slide 44: Cranswick's Food Heroes Provide Authenticity and Expertise
C R A N S W I C K ’ S F O O D H E R O E S P R OV I D E AU T H E N T I C I T Y A N D E X P E RT I S E MARCH 2025 CAPITAL MARKETS DAY 44
Slide 45: Our Product Strategy
PREMIUM FOCUS BESPOKE GENETICS UPSCALING ARTISAN TOP TIER CATEGORIES NATURALLY CONVENIENT HEALTHY SOLUTIONS PROMOTE OUR BALANCED DIET PRODUCT MEAL SOLUTIONS FOCUS ON PROTEIN S T R AT E G Y ADDED-VALUE REMOVAL OF FUNCTIONAL ULTRA-PROCESSED FOODS PACKAGING MARCH 2025 CAPITAL MARKETS DAY
Slide 46: Delivering Further Premiumisation
D E L I V E R I N G F U R T H E R P R E M I U M I S AT I O N ICONIC PRODUCTS MARCH 2025 CAPITAL MARKETS DAY 46
Slide 47: Creating Convenient Meal Solutions
C R E AT I N G C O N V E N I E N T M E A L S O L U T I O N S ICONIC PRODUCTS RESTAURANT QUALITY EVERYDAY OR FOR SPECIAL DAYS Modern solutions for everyday occasions attracting new consumers Encouraging a stress-free Christmas Utilising new capacity at Sutton Fields Delivers consistent, high-qualit
Slide 48: Focus on Naturally Nutritious, Real Food
F O C U S O N N AT U R A L LY N U T R I T I O U S , R E A L F O O D ICONIC PRODUCTS U LT R A - P R O C E S S E D C A R B O H Y D R AT E S N AT U R A L LY H E A LT H Y 36G 29G PROTEIN PROTEIN PER PER SERVING SERVING Meat substitutes Added protein claims Natural source of protein in pork and chicken L
Slide 49: Demand for Meat Continues to Rise
D E M A N D F O R M E AT C O N T I N U E S T O R I S E ICONIC PRODUCTS R E S U R G E N C E O F F R E S H M E AT MAR KET G ROW TH 2.0 1.5 1.0 0.5 Meat Free % 0 Fresh & Fresh Pork Chicken Beef -0.5 Chilled Meat -1.0 -1.5 -2.0 -2.5 -3.0 Pork and poultry growth ahead of fresh and chilled Meat free categ
Slide 50: Key Consumer Trends
PREMIUM FOCUS BESPOKE GENETICS UPSCALING ARTISAN TOP TIER CATEGORIES NATURALLY CONVENIENT HEALTHY SOLUTIONS PROMOTE KEY BALANCED DIET CONSUMER MEAL SOLUTIONS FOCUS ON PROTEIN TRENDS ADDED-VALUE REMOVAL OF FUNCTIONAL ULTRA-PROCESSED FOODS PACKAGING MARCH 2025 CAPITAL MARKETS DAY 50
Slide 51: Customer Partnerships
CUSTOMER PARTNERSHIPS JIM BRISBY CHIEF COMMERCIAL OFFICER MARCH 2025 CAPITAL MARKETS DAY 51
Slide 52: A Significant Addressable Market
A SIGNIFICANT ADDRESSABLE MARKET MARKET SIZE E ATING IN £173.1BN EATING OUT £100.8BN OTHER OTHER CHANNEL DISCOUNTERS SUPERMARKETS ONLINE CONVENIENCE QSR/FTG RESTAURANTS ACCOMMODATION SPLIT 16% 51% 10% 20% 35% 18% 11% 36% 3% CRANSWICK CUSTOMERS Source: IGD 2024 MARCH 2025 CAPITAL MARKETS DAY 5
Slide 53: Opportunities Exist Beyond Retail: White Space
O P P O R T U N I T I E S E X I S T B E YO N D R E TA I L W H I T E S PAC E CRANSWI CK SHARE O F RETAIL CATEGORY SALES Cranswick Other MEDITERRANEAN PET PIG MEAT POULTRY FOODS FOOD Retail Sales Value Cooked Pastry Premium Bacon Premium Fresh Sausage Slow Fresh RTE Coated Charcuterie Houmous Olives &
Slide 54: Long-Term Supply Agreements
L O N G -T E R M S U P P LY AG R E E M E N T S A TR U STE D S U PPLI E R Long-term relationships and strong reputation Industry leading service levels Transparent open book costing models, incorporating direct and indirect costs Differentiated agri supply chains with further opportunities afforded b
Slide 55: Customer Showcase
CUSTOMER SHOWCASE B ROA D R A N G E O F Q UA LIT Y P RO D U C T S OUR FIRST RETAIL CUSTOMER, BACK IN 1989 FULLY VERTICALLY INTEGRATED MODEL ON PIG MEAT ANCHOR CUSTOMER AT KEY CRANSWICK SITES ALL CATEGORIES SECURED WITHIN SUPPLY CONTRACTS MARCH 2025 CAPITAL MARKETS DAY 55
Slide 56: Announcing a New 10-Year Sole Supply Agreement for British Pork
ANNOUNCING A NEW 10-YEAR SOLE SUPPLY AGREEMENT FOR BRITISH PORK U N I Q U E AG R E E M E N T B E T W E E N SA I N S B U RY ’ S , C R A N S W I C K A N D I N D E P E N D E N T FA R M E R S 100% O F B R ITI S H P O R K , SAU SAG E , PR E M I U M BACO N A N D COO K E D M E AT S L E V E R A G I N G O U
Slide 57: A Differentiated Supply Chain
Builds on success of Sainsbury’s Pig Producer Group, created in 2009 A DIFFERENTIATED SUPPLY CHAIN UK’s largest producer group able to supply 100% of Sainsbury’s requirement SUPPLY CHAIN Q UALIT Y W E L FA R E RESILIENCE S U S TA I N A B I L I T Y Bespoke genetics for Industry leading health Dedic
Slide 58: Investment and Efficiency
INVESTMENT AND EFFICIENCY LEAN PROCESSING A G R I C U LT U R A L I N V E S T M E N T SITE INVESTMENT • Flexible farrowing systems for indoor pigs • Preston investment supports growth plan • First to market for enhanced welfare standard • Investment for efficiency at key sites • £11m investment in
Slide 59: Driving Sales of Our Iconic Products – Innovate to Lead
DRIVING SALES OF OUR ICONIC PRODUCTS – INNOVATE TO LEAD ICONIC PRODUCTS PREMIUM CONVENIENCE H E A LT H Consistent genetics Inspiring solutions Naturally healthy positioning Improved eating quality Easy to prepare Nitrite reduction Range extensions for TTD Functional packaging Removal of ultra-proce
Slide 60: Creating a Strong Partnership
CREATING A STRONG PARTNERSHIP CUSTOMER PARTNERSHIPS VA L U E T H AT S T I C K S I N N O VAT E T O L E A D S U P P L I E R S A S PA R T N E R S Aldi price match Win in premium 10 year deal Nectar promotions Good food for all Transparent open book model Premium trade up Pioneering in R&D Joint market
Slide 61: New 10-Year Sole Supply Agreement for British Pork
ANNOUNCING A NEW 10-YEAR SOLE SUPPLY AGREEMENT FOR BRITISH PORK Builds on success of Sainsbury’s Pig Producer Group, created in 2009 A DIFFERENTIATED SUPPLY CHAIN UK’s largest producer group able to supply 100% of Sainsbury’s requirement INVESTMENT AND EFFICIENCY SUPPLY CHAIN LEAN PROCESSING A G R I
Slide 62: Sole Supply of Fresh and Coated Chicken, Growth in Mediterranean Foods
SOLE SUPPLY OF FRESH AND COATED CHICKEN W HILST DELIVERING GROWTH IN MEDITERRANEAN FOODS SUPPLY CHAIN ICONIC PRODUCTS Vertical Range extensions integration with in Charcuterie, unique NestBorn Olives and system Antipasti LEAN PROCESSING CUSTOMER PARTNERSHIPS ANCHOR CUSTOMER FOR EYE; Fresh and added
Slide 63: Successfully Developing Category Supply Agreements Since 2015
SUCCESSFULLY DEVELOPING CATEGORY SUPPLY AGREEMENTS SINCE 2015 SUPPLY CHAIN ICONIC PRODUCTS “Select Farms” 2019 2020 2021 2022 2025 Continued outdoor bred innovation in pigs and Heritage premium ranges Sutton Fields extension to launch M&S sous vide launches from Launch of sous vide turkey and Launc
Slide 64: Our Growing Partnership with M&S
OUR GROWING PARTNERSHIP WITH M&S 2019 2020 2021 2022 2025 Sutton Fields extension to launch M&S sous vide launches from Launch of sous vide turkey and Launch of Butcher’s Choice sausages and sliced cooked meats range. OBE pie Sutton Fields. 1884 ham & relaunch of crispy bacon from cooked dinky sausa
Slide 65: Integrated Supply Model for Fresh Pork and Added Value Categories
INTEGRATED SUPPLY MODEL FOR FRESH PORK AND ADDED VALUE CATEGORIES SUPPLY CHAIN ICONIC PRODUCTS Finest Bacon Dedicated relaunch pig herd for leveraging Tesco Finest Woodall’s heritage LEAN PROCESSING CUSTOMER PARTNERSHIPS SUPPLY OF PIGS THROUGH CRANSWICK Strong Norfolk, Milton Keynes and OPERATION
Slide 66: Vertically Integrated Model for Pork and Cooked Bacon Since 2021
VERTICALLY INTEGRATED MODEL FOR PORK AND COOKED BACON DEVELOPED SINCE 2021 SUPPLY CHAIN ICONIC PRODUCTS Supply of Cooked 8,000 outdoor Bacon, Pork for bred pigs sausage patty per week and McCrispy LEAN PROCESSING CUSTOMER PARTNERSHIPS CRANSWICK GOURMET KITCHEN, Lead customer for BUILT TO SUPPLY MC
Slide 67: 10 Year Deal Secured Within 12 Months of Entering Pet Food
10 YEAR DEAL SECURED WITHIN 12 MONTHS OF ENTERING PET FOOD CATEGORY SUPPLY CHAIN ICONIC PRODUCTS Integrated Supply of supply chain Wainwrights opportunities flagship brand LEAN PROCESSING CUSTOMER PARTNERSHIPS 10 YEAR SUPPLY AGREEMENT SECURED FOR PETS AT HOME DRY DOG FOOD £10m investment BRANDS; REP
Slide 68: Industry Leading Growth by Leveraging Strategic Enablers
I N D U S T R Y L E A D I N G G R O W T H B Y L E V E R AG I N G S T R AT E G I C E N A B L E R S SUPPLY CHAIN LEAN PROCESSING ICONIC PRODUCTS CUSTOMER PARTNERSHIPS Trusted from farm-to-fork Delivering excellence Feeding the Nation Meaningful relationships Vertical integration Operating at scale Div
Slide 69: Investment Case
INVESTMENT CASE MARK BOTTOMLEY CFO MARCH 2025 CAPITAL MARKETS DAY 69
Slide 70: Clear Characteristics of a Compounder
C L E AR CHA RAC T E RI ST I C S OF A COM POUN DER COMPOUNDING CON SISTENT COM POU N DING CON SISTENT QUALITY SUSTAINAB LE STRONG ORGAN IC INVESTM ENTS STRONG CASH H IG H ROCE RESILIENCE OUTCOMES MARGIN S G ROW TH AN D M& A CONVERSION 8 acquisitions Adjusted Last 5 years Compound revenue Free cash f
Slide 71: A Strategy Which Delivers Compound Growth
A ST RAT EGY WHI C H DE LI V E R S COM POUN D GROW TH GROWING, CASH GENERATIVE CORE DRIVEN BY GROWTH IN AFFORDABLE, HEALTHY PROTEINS C O N S O L I DAT E VALUE-ADDED PRODUCT WHICH RESONATES WITH CUSTOMERS CONTINUED VERTICAL INTEGRATION AND REINVESTMENT TO DRIVE GROWTH AND EFFICIENCY + SIGNIFICANT WHI
Slide 72: Upgraded Medium Term Targets
U P G RA DE D ME DI UM TERM TARGETS GU IDING PRINCIPLES Upgraded medium term targets QUALITY VALUE reflect strengthening returns Delight the customer Vertical integration Lead on premium Utilisation Capital Attractive from strategic investment and Technical excellence Efficiency Employed ROCE discip
Slide 73: Robust Investment Case
ROBUST INVESTMENT CASE SUPPLY CHAIN LEAN PROCESSING ICONIC PRODUCTS CUSTOMER PARTNERSHIPS Industry leading A clearly defined Ever broadening Strong investment strategy product portfolio management TEAM Highly differentiated Underpinned by robust Expanding opportunities With ambition to any competito
Slide 74: Q&A
Q&A MARCH 2025 CAPITAL MARKETS DAY 74