Slide 1: Full year results 2022
Full year results 2022 SIG Group Samuel Sigrist, CEO 28 February 2023
Slide 2: Disclaimer and cautionary statement
Disclaimer and cautionary statement The information contained in this presentation is not for use within any Neither SIG nor any of its directors, officers, employees, agents, affiliates or These alternative non-IFRS measures are presented as we believe that they country or jurisdiction or by any pe
Slide 3: Overview
Overview 2022 28 FEBRUARY 2023 | FY RESULTS 2022 3
Slide 4: Business Highlights
Business Highlights Implementing our strategy and driving growth Acquisitions of Scholle Growth in all regions High demand for Investing in our global Management IPN and Evergreen aseptic fillers manufacturing appointments Asia presence Broadening leadership in Strong volume growth Strong level of f
Slide 5: SIG continues to be an industry leader in sustainability
SIG continues to be an industry leader in sustainability ESG ratings – SIG consistently Delivering on our sustainability rated highly commitments FTSE4Good – SIG Group AG 100% of aseptic carton business deemed is now a constituent of the eligible under EU taxonomy as helping FTSE4Good Index Series(1
Slide 6: 2022 financial highlights
2022 financial highlights Strong revenue growth driven by volume and price Revenue Adjusted Free Adjusted net Proposed dividend € 2.78 billion EBITDA cash flow(2) income(2) per share(3) +27.4% CHF € 652 € 263 € 287 constant million million million 0.47 currency (2021: € 571 m) (2021: € 258 m) (2021:
Slide 7: Europe summary
Europe summary Q4 € million 2022 Strong organic revenue growth reflects resilient volumes 2022 and price increases Revenue 244 849 • Volume performance driven by: Revenue growth(1) 21.9% 15.9% • Hochwald mega-project ramp up from Q3 Organic revenue growth(1),(2) 3.9% 4.4% • NCSD(3) on-the-go consump
Slide 8: Middle East and Africa summary
Middle East and Africa summary Q4 € million 2022 2022 Excellent sales growth in 2022 Revenue 98 332 • Rebound of portion pack volumes in NCSD post COVID-19 Revenue growth(1) 1.7% 22.6% • Liquid dairy growth in South Africa following Organic revenue growth(1),(2) 1.7% 12.1% drought in 2021 Adjusted E
Slide 9: APAC summary
APAC summary Q4 € million 2022 CHINA – Resilient performance despite COVID-19 restrictions 2022 • Record 10.6 BN aseptic sleeves produced in China Revenue 303 900 • Delivered growth in market affected by COVID-19 Revenue growth(1) 44.1% 19.1% restrictions Organic revenue growth(1),(2) 17.1% 7.8% • C
Slide 10: New plant in India
New plant in India Expansion of global production network • Construction of phase 1 to commence in 2023 and completion expected by Q4 2024 in city of Ahmedabad, state of Gujarat • Printing and finishing of aseptic carton packs • Provides capacity for local supply for our rapidly expanding base of fi
Slide 11: Americas summary
Americas summary Q4 € million 2022 2022 Exceptional revenue growth Revenue 222 697 • Continued market share gains in dairy in Mexico and Brazil with regional and global champions Revenue growth(1) 96.0% 66.4% • Strong US foodservice demand with market share gains Organic revenue growth(1),(2) 13.1%
Slide 12: Financials
Financials 28 FEBRUARY 2023 | FY RESULTS 2022 12
Slide 13: Full year adjusted EBITDA bridge
Full year adjusted EBITDA bridge Successful implementation of price increases 2022 summary: € million • Strong revenue growth across all product substrates • Consolidation of bag-in-box, spouted pouch and chilled carton +5 +130 -148 with margin dilution effect +53 +8 +83 -50 • Price increases cover
Slide 14: Resilient adjusted EBITDA margin in 2022
Resilient adjusted EBITDA margin in 2022 Amidst intense global inflation 2022 margin impacted by: • Consolidation of acquisitions -100 bps • Dilutive impact of price -130 bps -190 bps increases • Not all cost inflation offset in 2022 27.7% (1) 23.5% (1) Price increases in 2023 to continue to 2021 Ac
Slide 15: Resilient adjusted EBITDA margin in Q4 2022
Resilient adjusted EBITDA margin in Q4 2022 Amidst intense global inflation € million Q4 margin impacted by: 34 -3 • Strong revenue performance of -37 13 -16 -1 34 bag-in-box and spouted pouch in Q4 182 193 169 • Organic constant currency revenue growth of 9.8% (1) • Carton pricing in Q4 over 6% Q4
Slide 16: Free cash flow
Free cash flow Strong cash generation € million 2022 2021 Net cash from operating activities 578 531 NWC impacted by higher net Acquisition of property, plant and equipment and intangible assets (net of sales)(1) (281) (246) working capital intensity in Payment of lease liabilities (35) (27) bag-in-
Slide 17: Capital expenditure
Capital expenditure Historic level of gross filler orders € million 2022 2021 • Net capex 5.2% of revenue: higher proportion of Capital expenditure contracts with upfront cash PP&E and intangible assets (net of sales and excl. filling lines and 108 93 • 91 gross filler additions reflect strong deman
Slide 18: Leverage and financing
Leverage and financing High cash balance at year end; target 2.5x leverage by end of 2024 (2x mid-term) € million 2022(1) 2021(2) Gross debt 2,684 1,732 Net debt reflects acquisition financing Cash 504 305 €450M Eurobond maturing Net debt 2,180 1,428 June 2023 Net leverage ratio 3.1x 2.5x • €400M br
Slide 19: Maintaining strong ROCE
Maintaining strong ROCE Post-tax ROCE 27% € million 2022(1) 2021(2) • ROCE remains high Income statement items Adjusted EBITDA 709 579 • Impact from acquisition offset by higher returns from Depreciation of PP&E (206) (172) organic business of 33% ROCE EBITA 502 407 ROCE (post 30% tax) • Group ROCE
Slide 20: Guidance and concluding remarks
Guidance and concluding remarks 28 FEBRUARY 2023 | FY RESULTS 2022 20
Slide 21: 2023 financial guidance
2023 financial guidance • Organic(1) price increases Revenue growth (constant currency) 20–22% Includes organic growth of 7-9% expected to be of similar magnitude to 2022 • Resin escalator for bag- +50-150 Adjusted EBITDA Range of in-box and spouted margin bps 24-25% pouch not included in guidance •
Slide 22: Mid-term financial guidance
Mid-term financial guidance Unchanged 4-6% Revenue growth Upper half • Best-in-class margins (constant currency) of range • Strong cash generation • Attractive pay-out policy with progressive 27% dividend growth Adjusted EBITDA margin Above • Clear path to deleveraging - around 2.5x by year end 2024
Slide 23: Thank you!
Thank you! www.sig.biz