Anadolu Efes Biracilik Ve Malt Sanayii A.s. · BIST:AEFES
Anadolu Efes Biracilik Ve Malt Sanayii A.s — Anadolu Efes — 9M 2023 Earnings Presentation
18 slides from Anadolu Efes Biracilik Ve Malt Sanayii A.s's earnings presentation, Nov 2, 2023
Slide 1: 9M 2023 Conference Call Presentation
9M 2023 CONFERENCE CALL PRESENTATION November 2, 2023
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation may contain certain forward-looking statements concerning our future performance and should be considered as good faith estimates made by the Company. These forward-looking statements reflect management expectations and are based upon currently available
Slide 3: General Overview & Operating Environment
GENERAL OVERVIEW & OPERATING ENVIRONMENT CAN ÇAKA CEO & Beer Group President
Slide 4: Remarkable 3Q results drive another guidance upgrade
Remarkable 3Q results drive another guidance upgrade… Outstanding topline performance in the most significant quarter EBITDA BNRI margin expansion despite cycling record high profitability levels 7 consecutive quarters of margin growth in beer group Strong cash generation with improved EBIT & pruden
Slide 5: Volume Breakdown: Beer
With continued surge in beer volumes… • Beer volume up 7.7% in 3Q; outpacing strong 2Q performance • Solid momentum in Russia & Türkiye • International beer volume up 8.6% • Russian volume growth of low-to-mid-single digits • Ukraine volume improved, yet below 2021 • Türkiye beer volume up 5.0% Ukra
Slide 6: Russia
Russia • Russian beer market was flat vs last year; • Supported by favorable price levels • Russian operation volume up around 4% with; • Well-balanced pricing • Execution of portfolio strategy & sales initiatives • Innovative product launches • Low base of September 2022 • Market leadership* in val
Slide 7: Georgia, CIS and Türkiye
Georgia CIS • CIS volume down mid-single digit in total; • Profitability focus in Kazakhstan & Georgia • Moldova volume down; yet slower pace vs previous two quarters Türkiye • Turkish beer market was strong despite; • High base of last year • Challenging operating landscape • Türkiye beer volume up
Slide 8: Volume Breakdown: Soft Drinks
Soft Drinks Soft Drinks • Consolidated volume up 3.0%; • Türkiye volume up by 12.1%; • Effective marketing campaigns • Favorable weather conditions • International volume down 2.5%; • Pakistan down 19.0%; due to challenging macro dynamics • High-single digit growth in Central Asia • Mid-teens growth
Slide 9: Record-high bottom line and cash generation
Record-high bottom line and cash generation… Anadolu Efes Beer Group 3Q 9M 3Q 9M REVENUE • Volume growth +67.3% +65.1% +43.7% +51.7% NET • Effective pricing CCR*:+44.2% CCR*:+42.8% CCR*:30.5% CCR*:+29.7% • FX translation impact BNRI % 24.9% 22.3% 26.5% EBITDA 22.8% • Moderate increase in COGS/hl (+2
Slide 10: Financial Overview
FINANCIAL GÖKÇE YANAŞMAYAN OVERVIEW Chief Financial Officer
Slide 11: Financials
Financials Anadolu Efes Beer Group mTL mTL 3Q2023 Change 9M2023 Change 3Q2023 Change 9M2023 Change Sales Revenue 49,790 67.3% 112,359 65.1% Sales Revenue 17,739 43.7% 41,376 51.7% Gross Profit 20,975 82.9% 45,184 80.2% Gross Profit 8,976 60.7% 19,876 70.2% EBITDA (BNRI) 12,388 84.5% 25,047 79.9% EBI
Slide 12: EBITDA (BNRI) & FCF Generation
Beer Group EBITDA (BNRI) & FCF Generation Free Cash Flow Bridge mTL EBITDA (BNRI) Bridge mTL +331% +60% 31%* 17%* -740 -1,057 50%* 1,298 122 -1,486 4,696 3,769 538 2,930 1,765 3,185 740 3Q2022 Net COGS Selling, Other 3Q2023 3Q2022 EBITDA BNRI Changes CAPEX, net Taxes & 3Q2023 Revenue Marketing and i
Slide 13: Cash & Debt Management
Cash & Debt Management Anadolu Efes Gross Debt Cash USD 1.5 bn USD 2.0 bn Average maturity 74% 51% 3.4 yrs held in Hard Currency Net Debt/EBITDA held in Hard Currency 32% 0.5x held in Eurozone Beer Group Gross Debt Cash USD 0.7 bn USD 0.8 bn Average maturity 68% 42% 3.3 yrs held in Hard Currency Net
Slide 14: Risk Management
Risk Management Beer Group COGS Split: Beer Group Hedges for 2023: 9% 17% Commodity : 18% 16% Aluminum: 99% for TR & CIS* 5% 17% 18% *For 2024: 54% for TR & CIS FX Exposure : Barley-Malt & Auxiliary Overhead (Labour Cost) Glass Bottle Amortization & Other Overhead Can Import products Russia: 100% He
Slide 15: FY2023 Expectations
FY2023 EXPECTATIONS
Slide 16: FY2023 Revised Expectations
FY2023 Revised Expectations ANADOLU EFES BEER GROUP SOFT DRINKS GROUP VOLUME Mid-single digit growth Low-to-mid-single digit growth Mid to high-single digit growth Initial: Low-to-mid-single-digit growth Revised: Low-single digit growth No change Initial: Low-single-digit decline SALES REVENUE High-
Slide 17: Q&A Session
Q&A SESSION 17
Slide 18: FX Rates
FX Rates 9M2022 9M2023 Δ% AVG 15.88 22.19 39.7% USD/TL PE 18.52 27.38 47.8% AVG 16.84 24.05 42.9% EUR/TL PE 18.14 29.03 60.0% AVG 4.45 3.73 -16.2% TL/RUB PE 3.10 3.56 14.8% AVG 28.87 20.41 -29.3% TL/KZT PE 25.75 17.33 -32.7% AVG 1.95 1.65 -15.4% TL/UAH PE 1.97 1.34 -32.4% AVG 1.18 0.82 -30.4% TL/MDL