Alicorp Saa · BVL:ALICORC1
Alicorp Saa — Alicorp — Q3 2023 Earnings Presentation
23 slides from Alicorp Saa's earnings presentation, Nov 2, 2023
Slide 1: Earnings Call Third Quarter 2023
EARNINGS CALL THIRD QUARTER 2023 November 2nd, 2023
Slide 2: Disclaimer
DISCLAIMER This presentation may contain financial or business projections regarding recent acquisitions, their financial or business impact, management expectations and objectives regarding such acquisitions and current management expectations on the operating and financial performance of The Compa
Slide 3: Topics
TOPICS STRATEGIC PRIORITIES REVIEW 1 Q3 ‘23 CONSOLIDATED OPERATING RESULTS 2 Q3 ‘23 OPERATING RESULTS BY BUSINESS 3 LIQUIDITY AND BALANCE SHEET 4 OUR VIEW FOR 2023 5 APPENDIX 6
Slide 4: Strategic Priorities Review
STRATEGIC PRIORITIES REVIEW
Slide 5: Per capita consumption reached historic levels after the pandemic
STRATEGIC PRIORITIES REVIEW Consumer Goods Peru CORE CATEGORIES MARKET Volume in million of MT ▪ Initial decisions were focused on the AS PER CAPITA CAGR20-23 recovery of volume mainly through our value portfolio, which came with CONSUMPTION REACHED -0.6% +16% -1.0% -2.6% -5.1% -2.9% significantly l
Slide 6: As volume decreased to pre-pandemic levels, our supply lost productivity
STRATEGIC PRIORITIES REVIEW Supply Chain AS VOLUME DECREASED TO PRE-PANDEMIC LEVELS, OUR SUPPLY LOST 2019 2022 2023 var19-23 VALUE GENERATION FRONTS PRODUCTIVITY AS PER Volume (CGP + B2B) 1,369 1,321 1,2121 -3.0% Productive sites and TON EXPENSES Thousand of metric tons (CAGR) warehouse optimization
Slide 7: As of September 2023, one-off expenses amounted PEN 41MM
STRATEGIC PRIORITIES REVIEW 2023 one-off impacts driven by decisions aligned with our new strategy PORTFOLIO OPTIMIZATION ALIGNED WITH OUR One-off EBITDA impacts1 Q3 ‘23 YTD ‘23 AS OF SEPTEMBER 2023, STRATEGY HAS ACCELERATED IN THE LAST YEARS ONE-OFF EXPENSES In addition to one-off impacts reflected
Slide 8: In May we decided to reset the business
STRATEGIC PRIORITIES REVIEW Consumer Goods Peru Ex. one-offs IN MAY WE DECIDED TO 2,562 ▪ Our new strategy shows positive early RESET THE BUSINESS results as both core and traditional 2,415 2,091 2,055 channel volume are recovering faster FOCUSING ON (i) 1,634 1,742 1,816 1,851 2,217 than expected,
Slide 9: Q3 '23 Consolidated Operating Results
Q3 ’23 CONSOLIDATED OPERATING RESULTS
Slide 10: Consolidated gross profit decreased due to crushing and aquafeed units
Q3 ‘23 CONSOLIDATED OPERATING RESULTS Consolidated GROSS PROFIT – Q3 '23 vs. Q3 '22 Q3 PERFORMANCE SUMMARY – GROSS PROFIT1 PEN million CONSOLIDATED GROSS -17% PROFIT DECREASED DUE 2,101 TO OUR CRUSHING AND AQUAFEED UNITS Including one-offs: PEN 1,729MM (-18%) -19% 1,7502 EXCLUDING THE Including one-
Slide 11: YoY decrease in consolidated EBITDA mainly explained by crushing
Q3 ‘23 CONSOLIDATED OPERATING RESULTS Consolidated EBITDA – Q3 '23 vs. Q3 '22 Q3 PERFORMANCE SUMMARY – EBITDA1 PEN million YoY DECREASE IN CONSOLIDATED EBITDA -34% IS MAINLY EXPLAINED BY 1,2822 Including one-offs: PEN 810MM (-37%) THE PERFORMANCE OF 8513 OUR CRUSHING BUSINESS -35% EXCLUDING THE 4552
Slide 12: Q3 '23 Operating Results by Business
Q3 '23 OPERATING RESULTS BY BUSINESS
Slide 13: Consumer Goods Peru: Q3 Performance
Q3 ‘23 OPERATING RESULTS BY BUSINESS Consumer Goods Peru: Q3 Performance REVENUE EBITDA & EBITDA MARGIN1,2,3 One-offs PEN million PEN million -6% 5% DESPITE VOLUME AND 3,185 2,982 Including one-offs: 463 440 REVENUE DECREASES, PEN 177MM (+8%) GROSS PROFIT -10% 18% 196 OUTPERFORMED Q3 ’22 1,123 1,008
Slide 14: International Businesses: Q3 Performance
Q3 ‘23 OPERATING RESULTS BY BUSINESS International Businesses: Q3 Performance REVENUE EBITDA & EBITDA MARGIN1,2,3 One-offs PEN million PEN million Including one-offs: -0.2% PEN 10MM (+17MM) -33 855 853 +6 20 3 12 -10% 4.0% 2.4% 323 291 EBITDA INCREASED 1.7% -1.6% EXPLAINED BY THE Q3 ’22 Q3 ’23 YTD ’
Slide 15: B2B: Q3 Performance
Q3 ‘23 OPERATING RESULTS BY BUSINESS B2B: Q3 Performance REVENUE EBITDA & EBITDA MARGIN1,2,3 One-offs PEN million PEN million DESPITE MARKET -9% +13% CONTRACTIONS WE 2,032 1,841 Including one-offs: 194 219 MANAGED TO INCREASE PEN 93MM (+47%) +47% VOLUME SOLD IN 6% vs -9% 94 708 Q3’22 646 63 9.5% 11.
Slide 16: Aquafeed: Q3 Performance
Q3 ‘23 OPERATING RESULTS BY BUSINESS Aquafeed: Q3 Performance REVENUE EBITDA & EBITDA MARGIN One-offs USD million USD million REVENUE DECREASED +0.5% -10% DUE TO LOWER VOLUME 725 728 73 66 AS SHRIMP FARMERS -14% REDUCE DENSITIES 262 28 -32% RESPONDING TO A 225 10.8% 19 10.1% 9.1% RELEVANT REDUCTION
Slide 17: Crushing: Q3 Performance
Q3 ‘23 OPERATING RESULTS BY BUSINESS Crushing: Q3 Performance VOLUME SOLD REVENUE Thousand of MT USD million Internal Consumption -10% -24% Third Parties 384 291 346 105 63 -40% 82 220 42 -49% 279 283 +1% 209 178 -15% GROSS PROFIT DECREASED AS WE ARE Q3 ’22 Q3 ’23 Q3 ’22 Q3 ’23 FACING A DROP ON COMM
Slide 18: Liquidity and Balance Sheet
LIQUIDITY AND BALANCE SHEET
Slide 19: Higher leverage mainly explained by lower EBITDA
LIQUIDITY AND BALANCE SHEET Leverage INDEBTEDNESS EVOLUTION1 4.2 3.9 2.8 2.5 2.5 TOTAL CASH HIGHER LEVERAGE 5,098 4,912 3,974 4,033 4,107 PEN 589 million MAINLY EXPLAINED BY LOWER EBITDA Q3 ’22 Q4 ’22 Q1 ’23 Q2 ’23 Q3 ’23 DEBT COVERAGE3,4 GENERATION IN OUR Net Debt / EBITDA (times) Net Debt (PEN mil
Slide 20: Our View Going Forward
OUR VIEW GOING FORWARD
Slide 21: Our View for 2023: Guidance
OUR VIEW FOR 2023 Guidance REVENUE EBITDA CAPEX LEVERAGE CONSOLIDATED CONSOLIDATED APPROXIMATELY [3.0x - 3.2x] [8% - 10%] [25% - 30%] USD 125 MM NET DEBT/EBITDA DECREASE DECREASE ex. CRUSHING ex. CRUSHING [6% to 8%] FLAT DECREASE 21
Slide 22: Earnings Call Third Quarter 2023
EARNINGS CALL THIRD QUARTER 2023 November 2nd, 2023
Slide 23: Slide 23