Lion Finance Group PLC · LSE:BGEO
Lion Finance — Teliani Valley (BGEO Group) — Investor Day (November 2017)
18 slides from Lion Finance's investor day presentation, Nov 9, 2017
Slide 1: Teliani Valley Beverage Business
Teliani Valley Beverage Business BGEO Investor Day Speaker: Shota Kobelia, CEO 9 November 2017
Slide 2: Content
Content Teliani overview Industry overview Performance highlights Teliani strategy Annex
Slide 3: Teliani Business Lines
Teliani Business Lines Wine Business Distribution Business Beer Business Leading wine producer Wide distribution platform Leading beer producer Russian Federation Caspian Black Sea Sea Poti Georgia Batumi Tbilisi Rustavi Azerbaijan Baku Turkey Armenia Business ■ GEL 23.5mln revenue and GEL ■ Beer an
Slide 4: Content
Content Teliani overview Industry overview Performance highlights Teliani strategy Annex 4
Slide 5: Beverage Market
Beverage Market Total Beverage Market - GEL 1.8bln Wine (bottled) Beer Juice Local Market GEL 50mln GEL 357mln GEL 90mln Export Market GEL 350mln 5
Slide 6: Wine market overview
Wine market overview Key drivers for wine sales growth - local Key drivers for wine sales growth - export ■ Switch from homemade to bottled wine ■ Free trade agreement signed between Georgia and EU in July 2016 ■ Number of tourists ■ Free trade agreement signed between Georgia and China in May 2017
Slide 7: Beer and lemonade market overview
Beer and lemonade market overview Highly concentrated, but sizeable market Local brands beer market segmentation (Sep-17) ■ Beer and lemonade market is GEL 447mln: Other, 7% Natakhtar i, 29% ■ 74.3% of the market is concentrated within 2 major ICY, 22% players; ICY ■ All have mix of local and foreig
Slide 8: Content
Content Teliani overview Industry overview Performance highlights Teliani strategy Annex 8
Slide 9: ICY Launch NEW DAY - NEW STORY
ICY Launch NEW DAY - NEW STORY Main objectives ■ To build a brand awareness as a new refreshing mainstream beer ■ Encourage a trial of new brand ■ Create an unique brand positioning Communication content Event sponsoring 91 000 > contacts ■ Distribution ■ Trade visibility ■ Soap opera ■ Sponsoring o
Slide 10: Revenue Breakdown
Revenue Breakdown Total Revenue Wine Business Revenue 70,000 25,000 +100% +121% +33% 60,000 +38% 20,000 50,000 Thousands GEL Thousands GEL 40,000 15,000 30,000 62,764 23,511 10,000 16,104 17,676 20,000 40,889 28,459 5,000 11,662 10,000 20,471 - - 9M 16 9M 17 2016 2017 9M 16 9M 17 2016 2017 Distribut
Slide 11: EBITDA Breakdown
EBITDA Breakdown Total EBITDA Wine Business EBITDA 2,500 6,000 -27% -47% +58% 5,000 +219% 2,000 4,000 1,500 Thousands GEL Thousands GEL 3,000 5,569 1,000 2,110 2,067 1,531 2,000 4,089 3,532 ,500 1,092 1,000 1,284 - - 9M 16 9M 17 2016 2017 9M 16 9M 17 2016 2017 Distribution Business EBITDA Beer Busin
Slide 12: Content
Content Teliani overview Industry overview Performance highlights Teliani strategy Annex 12
Slide 13: Teliani Strategy
Teliani Strategy Become a leading beverages producer and distributor in Caucasus Wine business Distribution business Beer business ■ Retain the leading position on the local ■ Become the largest third-party logistics ■ Achieve 33% market share by the end Strategic market company (3PL) of 2020 Target
Slide 14: Factory Visit
Factory Visit You are kindly invited to visit our beer factory in Tsilkani on November 11th at 11 am. New day - new story! 14
Slide 15: Content
Content Teliani overview Industry overview Performance highlights Teliani strategy Annex 15
Slide 16: Annex: Revenue Breakdown
Revenue AnnexBreakdown Total Revenue Wine Business Revenue 45,000 18,000 +100% +38% 40,000 16,000 35,000 14,000 30,000 12,000 25,000 10,000 +151% Thousands GEL Thousands GEL 20,000 40,889 8,000 16,104 15,000 6,000 +37% 11,662 10,000 21,474 20,471 4,000 12,270 5,596 6,470 5,000 8,549 2,000 4,719 - -
Slide 17: Annex: EBITDA Breakdown
EBITDA AnnexBreakdown Total EBITDA Wine Business EBITDA 3,000 4,500 -27% +219% 2,500 +59% 4,000 2,000 3,500 1,500 3,000 +229% 2,398 1,000 2,110 2,500 Thousands GEL Thousands GEL 1,510 1,531 ,500 2,000 4,089 - 1,500 2,857 3Q 16 2Q 17 3Q 17 9M 16 9M 17 1,000 (,500) (916) ,500 1,284 (1,000) 686 646 - (
Slide 18: Disclaimer – Forward Looking Statements
Disclaimer – Forward Disclaimer – Looking Looking Statements Forward Statements This presentation contains forward-looking statements, including, but not limited to, statements concerning expectations, projections, objectives, targets, goals, strategies, future events, future revenues or performance
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