Wesfarmers Limited · ASX:WES
Wesfarmers — Macquarie Australia Conference 2023
21 slides from Wesfarmers's conference presentation, May 2, 2023
Slide 1: ASX cover letter: Macquarie conference presentation and address
2 May 2023 The Manager Market Announcements Office Australian Securities Exchange Dear Manager, MACQUARIE CONFERENCE PRESENTATION AND ADDRESS Please find attached a copy of the presentation by the Managing Director of Wesfarmers Limited, Rob Scott, that is to be given at the Macquarie Australia Conf
Slide 2: Macquarie Conference 2023
Macquarie Conference 2023 To be held on 2 May 2023
Slide 3: Primary objective: satisfactory return to shareholders
Wesfarmers’ primary objective is to provide a satisfactory return to shareholders We believe it is only possible to achieve this over the long term by: Anticipating the needs of Looking after our team Engaging fairly with our our customers and members and providing suppliers and sourcing delivering
Slide 4: Active allocation of capital towards businesses that deliver superior long-term returns
Active allocation of capital towards businesses that deliver superior long-term returns Bunnings Actively directing incremental capital Kmart Group towards higher returning businesses Chemicals, Energy and Fertilisers Developing new Officeworks platforms for growth in health and critical Wesfarmers
Slide 5: Consistent focus on shareholder returns over time
Consistent focus on shareholder returns over time TSR1 Index from November 1984 to April 2023 Wesfarmers’ Wesfarmers and All Ordinaries Accumulation Index long-term total shareholder returns in excess of the broader market SINCE LISTING WES +19.1% pa Index +10.5% pa LAST 10 YEARS WES +10.8% pa Index
Slide 6: Wesfarmers Way focuses on delivery of the Group's objective
Wesfarmers Way focuses on delivery of the Group’s objective Wesfarmers’ objective is to provide a satisfactory return to shareholders Value-creating Strengthen existing Secure growth Renew the Ensure strategies to deliver businesses opportunities portfolio sustainability through operating through en
Slide 7: Wesfarmers' operating model enhances business and financial performance
Wesfarmers’ operating model enhances business and financial performance Divisional Financial discipline and Data and digital autonomy active capital allocation • Responsibility for strategy • Rigorous investment criteria • Emerging source of as well as operations and strong focus on competitive adva
Slide 8: Significant expansion of data and digital capabilities
Significant expansion of data and digital capabilities Large scale digital reach Unique and complementary Driving value through deeper customer member programs connections and operating efficiency 56% % of sales to known 34%customers Accelerating % of sales to known growth of customers OnePass FY18
Slide 9: Strengthen existing businesses through operating excellence and satisfying customer needs
Strengthen existing businesses through operating excellence and satisfying customer needs Maintaining a relentless Strengthening positions in Leveraging unique focus on customers attractive markets capabilities and platforms • Continued improvements in customer • Businesses with expanding • Large, l
Slide 10: Secure growth opportunities through entrepreneurial initiative
Secure growth opportunities through entrepreneurial initiative WesCEF capacity Acquisitions of TKD and Bunnings’ major expansion expansion and low carbon Beaumont Tiles to expand of its pets category ammonia opportunities Bunnings’ commercial offer Divisional data and digital Early sale of spodumene
Slide 11: Renew the portfolio through value-adding transactions
Renew the portfolio through value-adding transactions Mt Holland lithium project Wesfarmers Health • Attractive long-term demand outlook for electric vehicles • Provides access to structural growth in health care • Mt Holland lithium project is less than 12 months from earnings • Opportunities for b
Slide 12: Ensure sustainability through responsible long-term management
Ensure sustainability through responsible long-term management Our value-creating strategies Our approach to sustainability creates value for our stakeholders Team • Diverse teams perform better members • Improves productivity and performance • Increases retention and engagement • Customers value ou
Slide 13: Retail divisions are well positioned for the current environment
Retail divisions are well positioned for the current environment Supply of essential Strong Well advanced and everyday value on productivity products credentials initiatives to both retail and as value becomes to enable continued efficiency commercial customers increasingly important and productivit
Slide 14: Key messages
Key messages Value-creating strategies and Retail divisions are Strong and flexible balance unique operating model support well positioned for the current sheet to take advantage of delivery of superior long-term environment and for future opportunities and support financial performance growth ongoi
Slide 15: Wesfarmers
0s Wesfarmers
Slide 16: Managing Director's address
2023 MACQUARIE CONFERENCE MANAGING DIRECTOR’S ADDRESS MANAGING DIRECTOR’S ADDRESS Good morning everyone and thanks for making the time to join this session. I want to take the opportunity today to speak about Wesfarmers’ overarching strategies and ways of working, discuss how these are directed towa
Slide 17: Address: shareholder returns and the Wesfarmers Way
Turning to slide 4, which shows Wesfarmers’ delivery of superior returns for our shareholders over the long term. Since we listed in 1984, Wesfarmers has delivered total shareholder returns of 19.1 per cent per annum. Our TSR results on both a 5-year and 10-year basis have also been strong. While re
Slide 18: Address: divisional autonomy and management teams
Our divisional leaders have a high degree of control over their strategies and operations, which enables them to manage their businesses for the long term and respond quickly to business-specific issues and disruptions. They also have accountability for performance. For those businesses already meet
Slide 19: Address: brands, capabilities and capital allocation
Through this focus, our major retail businesses have developed trusted brands, and we have industrial businesses with strategically positioned manufacturing and processing capabilities, providing access to key raw materials and close proximity to customers in critical industries. Finally, enabled by
Slide 20: Address: Wesfarmers Health and bolt-on acquisitions
In Wesfarmers Health, we see potential for incremental bolt-on acquisitions to support growth. Last month, Wesfarmers Health made a proposal to acquire SILK Laser Australia (‘SILK’), one of the largest non- surgical aesthetics clinic operators in Australia and New Zealand. If the indicative proposal
Slide 21: For more information: Media and Investors
For more information: Media Investors Rebecca Keenan Simon Edmonds Media and Public Affairs Manager Investor Relations Manager +61 8 9327 4423 or +61 402 087 055 +61 8 9327 4438 or +61 409 417 710 rkeenan@wesfarmers.com.au sedmonds@wesfarmers.com.au Wesfarmers Limited 2023 Macquarie Conference Manag