Distribuidora Internacional De Alimentacion Sa · BME:DIA

Distribuidora Internacional De Alimentacion Sa — Q1 2017 Earnings Presentation

27 slides from Distribuidora Internacional De Alimentacion Sa's earnings presentation, 2017

  1. Slide 1: Q1 17 Results

    Q117 Results

  2. Slide 2: Legal disclaimer

    Legal disclaimer This document does not constitute or form part of any purchase, sales or Exchange offer, nor is it an invitation to draw up a purchase sales or exchange offer, or advice on any stock issued by Distribuidora Internacional de Alimentación, S.A. (“DIA” or the “Company”). Nor shall this

  3. Slide 3: Index

    Index 01 Highlights 4 02 Financial review 6 03 Closing remarks 14 04 Q&A 18 05 Appendix 19 /3

  4. Slide 4: Highlights

    01 Highlights

  5. Slide 5: Highlights

    Highlights 6.8% gross sales under banner growth. Strong sales performance in Iberia despite intense competitive environment and 2.6% space contraction. Lower inflation in Emerging Markets, compensated by stronger currencies. Online sales growth 3.4 times vs the same period last year. Adj. EBITDA gro

  6. Slide 6: Financial review

    OL SS SSS review Financial a

  7. Slide 7: 6.8% increase of Gross Sales Under Banner

    6.8% increase of Gross Sales Under Banner Change +4.1% -1.0% +3.7% +6.8% EURm 86.8 2,502.8 95.6 -23.6 2,344.0 Q1 2016 LFL Space FX & calendar Q1 2017 effect /7

  8. Slide 8: Iberia: solid same-store sales growth

    Iberia: solid same-store sales growth Change +0.8% -2.6% -1.8% EURm 1,599.2 13.2 -42.2 1,570.2 Q1 2016 LFL Space & calendar Q1 2017 effect /8

  9. Slide 9: Iberia LFL: 4th positive quarter in a row

    Iberia LFL: 4th positive quarter in a row 1.7% 1.3% 1.4% 1.1% 0.8% -0.3% -0.9% -2.4% 3.0% LFL in April 2017 Easter week placed in April 2017 vs March 2016 /9

  10. Slide 10: Emerging Markets: 25.2% gross sales under banner growth

    Emerging Markets: 25.2% gross sales under banner growth Change +10.1% +3.2% +11.9% +25.2% EURm 88.8 932.7 75.3 23.8 744.8 Q1 2016 LFL Space FX & calendar Q1 2017 effect / 10

  11. Slide 11: 4.2% adj. EBITDA growth in Euros

    4.2% adj. EBITDA growth in Euros EURm 2.7 123.0 2.7 118.1 -0.5 Q1 2016 Iberia Emerging FX Q1 2017 / 11

  12. Slide 12: Adj. EBITDA

    Stable operating margins; decline due to mix effect Iberia Emerging DIA Group Adj. EBITDA 7.5% 7.6% 2.9% 6.0% 2.7% 5.9% Q1 2016 Q1 2017 Q1 2016 Q1 2017 Q1 2016 Q1 2017 Iberia Emerging DIA Group Adj. EBIT 4.4% 1.1% 3.3% 4.3% 0.9% 3.1% Q1 2016 Q1 2017 Q1 2016 Q1 2017 Q1 2016 Q1 2017 / 12

  13. Slide 13: Net debt reduction of EUR116.6m

    Net debt reduction of EUR116.6m EURm Leverage down from 1.9x to 1.7x net debt to adj. EBITDA. 1,166.7 Successful bond issuance 1,050.1 1.9x EUR300m; 6y; 0.875%: 1.7x • EUR194.3m repurchase of bonds due in 2019. • Maturity extended. Q1 2016 Q1 2017 Baa3 (Moody’s) and BBB- (S&P) ratings. / 13

  14. Slide 14: Closing remarks

    03 Closing remarks

  15. Slide 15: Operating highlights

    Operating highlights Good results and progress on remodeling effort to intensify in Q2 2017 and Q3 2017. Increased competitive pressure from main players in all markets. Slowdown in inflation in Emerging Markets. Soft start to the year in Brazil. First tests of “new” DIA Market in Spain delivering p

  16. Slide 16: Closing remarks

    Closing remarks Focus on maintaining the LFL performance in Iberia through active improvement of the store base. Space contraction in Spain to ease on second half of 2017. Synergies will continue to be invested in customer through prices and improvements in service. Lower inflation in LatAm to conti

  17. Slide 17: Capital Markets Day 2017 website

    https://diagroupcapitalmarketsday2017.com

  18. Slide 18: Q&A

    Pd. eee ;

  19. Slide 19: Appendix

    04 Appendix

  20. Slide 20: Gross sales under banner by country

    Gross sales under banner by country Change (EURm) Q1 2017 % Change FX effect (ex-FX) Spain 1,376.5 55.0% -2.1% - -2.1% Portugal 193.6 7.7% 0.3% - 0.3% IBERIA 1,570.2 62.7% -1.8% - -1.8% Argentina 429.5 17.2% 18.1% -5.8% 23.9% Brazil 503.2 20.1% 32.0% 29.1% 2.9% EMERGING MARKETS 932.7 37.3% 25.2% 12.

  21. Slide 21: Q1 2017 results summary

    Q1 2017 results summary Change (EURm) Q1 2017 % Change FX effect (ex-FX) Net sales 2,096.0 100.0% 6.2% 4.0% 2.2% Adjusted EBITDA1 123.0 5.9% 4.2% 2.3% 1.9% D&A -57.8 -2.8% 8.3% 4.1% 4.2% Adjusted EBIT1 65.2 3.1% 0.8% 0.8% 0.0% Non-Recurring items -12.5 -0.6% -20.7% 1.2% -22.0% Non-Recurring cash ite

  22. Slide 22: Trade working capital

    Trade working capital Change (EURm) 31 March 2017 Change (ex-FX) Inventories (A) 658.3 11.9% 7.9% Trade & other receivables (B) 307.9 9.6% 6.9% Trade & other payables (C) 1,678.4 7.8% 5.3% TRADE WORKING CAPITAL1 -712.2 3.6% 2.3% 1. Trade working capital defined as A+B-C / 22

  23. Slide 23: Currency performance

    Currency performance Q1 2016 Q2 2016 Q3 2016 Q4 2016 FY 2016 Q1 2017 28.2% 18.6% 8.0% EUR/ARP EUR/BRL -4.8% -4.8% -17.4% -25.1% -34.1% -38.5% -38.1% -38.4% -37.4% Bloomberg average currency rates (a negative change in exchange rates implies a depreciation versus the Euro) / 23

  24. Slide 24: A story of consistent, profitable growth in food retail

    A story of consistent, profitable growth in food retail # of stores DIA banner franchised stores 7,799 61% 62% 7,306 7,718 54% 6,463 52% 40% 44% 4,394 4,639 4,933 34% 2010 2011 2012 2013 2014 2015 2016 2010 2011 2012 2013 2014 2015 2016 Gross Sales Under Banner adj. EBITDA 10,547 10,550 610 625 9,29

  25. Slide 25: Gross Sales Under Banner & adj. EBITDA by segment

    Gross Sales Under Banner & adj. EBITDA by segment Q1 2016 Gross sales under banner Q1 2017 Gross sales under banner Iberia 68.2% Iberia 62.7% Emerging 31.8% Emerging 37.3% Q1 2016 adj. EBITDA Q1 2017 adj. EBITDA Iberia 85.7% Iberia 81.9% Emerging 14.3% Emerging 18.1% / 25

  26. Slide 26: Growing penetration of Dia banner franchised stores

    Growing penetration of Dia banner franchised stores 61% 62% 61% 54% 48% 42% 38% 33% 27% 2009 2010 2011 2012 2013 2014 2015 2016 Q1 2017 Reported data / 26

  27. Slide 27: Contact details

    PARQUE EMPRESARIAL DE LAS ROZAS Jacinto Benavente, 2 A Las Rozas (Madrid) Spain - Postcode: 28232 +34 91 398 54 00 www.diacorporate.com

Distribuidora Internacional de Alimentación, S.A. (DIA) — Q1 2017 Earnings Presentation on 6ix