Distribuidora Internacional De Alimentacion Sa · BME:DIA
Distribuidora Internacional De Alimentacion Sa — Investor Day (March 2025)
67 slides from Distribuidora Internacional De Alimentacion Sa's investor day presentation, Mar 20, 2025
Slide 1: Capital Markets Day 2025
CAPITAL MARKETS DAY 2025 Madrid, March 20th, 2025
Slide 2: Disclaimer
DISCLAIMER This presentation is purely informative and should not be considered as a service, recommendation or offer of any financial product, service or advice, nor should it be interpreted as, an offer to sell or exchange or acquire, or an invitation for offers to buy securities issued by Distrib
Slide 3: Welcome
WELCOME
Slide 4: Agenda
AGENDA 10:00 Strategic Plan Presentation • Our Transformation Journey • Dia Today: Positioned for Growth • Our Strategic Plan 2025-29 • An Undervalued Story • Commitment to Create Long-term Value 11:30 Coffee Break 12:00 Q&A Session 13:00 Lunch 4
Slide 5: Dia's Leadership and Today's Speakers
DIA’S LEADERSHIP AND TODAY’S SPEAKERS Benjamin Martín Tolcachir Pilar Hermida Guillaume Gras Joana Neto Babcock Group CEO CCO & CSO Group CFO Chief People Officer Chairman of the Board Ricardo Álvarez Agustín Ibero Patricio Morenés Máximo Ventas Antonio Serrano CEO Dia Spain CEO Dia Argentina Genera
Slide 6: Dia Group: Driving Long Term Value Creation
DIA GROUP DRIVING LONG TERM VALUE CREATION Martín Tolcachir Dia Group CEO 6
Slide 7: Dia: Driving Long-Term Value Creation
DIA: DRIVING LONG-TERM VALUE CREATION SUCESSFUL BUSINESS COMPETITIVE STRATEGIC TO ACHIEVE TRANSFORMATION ADVANTAGE AMBITION OUR GOAL ✓Proximity champion in ✓Enhance customer attractive food retail value proposition markets ✓Portfolio simplification ✓Increase awareness to ✓Balanced assortment of driv
Slide 8: Our Transformation Journey
01 Our Transformation Journey 8
Slide 9: Successful Business Transformation
Our Transformation Journey SUCCESSFUL BUSINESS TRANSFORMATION … Leaving a Robust Successful Strategic Turnaround Led to a Visible Financial Enhancement … Platform Poised for Growth 1 Portfolio Simplification 2019 2024 Stores(1) 6,626 3,343 2 Business Turnaround GSUB €8.7bn €6.9bn Spain Sales density
Slide 10: Portfolio Simplification: Exit of Non-Core Regions and Businesses
Our Transformation Journey 1 PORTFOLIO SIMPLIFICATION: EXIT OF NON-CORE REGIONS AND BUSINESSES From 2019 … … To Today Discontinued Geographies and Formats SPAIN ARGENTINA Geography Focus on core and profitable PORTUGAL BRAZIL geographies … Proximity Leader 485 H1-24 590 H1-24 # Stores Exit Date # St
Slide 11: Business Turnaround: Redefined Value Proposition (I/IV)
Our Transformation Journey 2 BUSINESS TURNAROUND: REDEFINED VALUE PROPOSITION (I/IV) From 2019 … … To Today Successful Business Multi-Banner Store Network Transformation Fully-Refurbished Proximity Network Transformation of store network though a standardized format with focus on proximity Non-Optim
Slide 12: Business Turnaround: Redefined Value Proposition (II/IV)
Our Transformation Journey 2 BUSINESS TURNAROUND: REDEFINED VALUE PROPOSITION (II/IV) Today: Win-win Franchise Model for our Partners #1 Franchisor in Spain Highly Scalable & Profitable Franchise Model Leading Brand With +1,500 franchised Differentiated win-win and margin-accretive model with +96 p.
Slide 13: Business Turnaround: Redefined Value Proposition (III/IV)
Our Transformation Journey 2 BUSINESS TURNAROUND: REDEFINED VALUE PROPOSITION (III/IV) Today: Balanced and High-Quality Assortment Renewed & Balanced Assortment ~50:50 Balanced product assortment of high-quality own and leading manufacturer brands with focus on daily freshness High-Quality Own Brand
Slide 14: Business Turnaround: Redefined Value Proposition (IV/IV)
Our Transformation Journey 2 BUSINESS TURNAROUND: REDEFINED VALUE PROPOSITION (IV/IV) From 2019 … … To Today Successful Business Low-Price Focused Own Brand Transformation High-Quality & Affordable Own Brand Offering with 100% renewed own brand products since 2021 Legacy Loyalty Club Enhanced Omnich
Slide 15: Organization Rationalization: Adjusted to New Perimeter
Our Transformation Journey 3 ORGANIZATION RATIONALIZATION: ADJUSTED TO NEW PERIMETER Successful ✓ Reduction of central and headquarter teams streamline adapted to new Dia’s reality and simplified execution portfolio resulting in: Streamlined Structure tailored to Dia’s ~5% New Reality ✓ Agile decisi
Slide 16: Result-Driven Culture
Our Transformation Journey 4 RESULT-DRIVEN CULTURE Renewed Meritocratic Sustainable Long-Term Leadership Culture Corporate Ethos ✓ Fully renewed Management ✓ Accountability and recognition ✓ Clear vision and full team and Board of Directors as core pillars organizational alignment since 2019 ✓ Ambit
Slide 17: Refinancing: Re-establish a Strong Base
Our Transformation Journey 5 REFINANCING: RE-ESTABLISH A STRONG BASE ✓ Successful refinancing completed, increasing flexibility, extending maturities and setting the basis of our next growth phase (2025-29 Strategic Plan) ✓ Strong support from existing lenders and new international funds, evidencing
Slide 18: Refinancing: Provides a Stable Capital Structure
Our Transformation Journey 5 REFINANCING: PROVIDES A STABLE CAPITAL STRUCTURE … The New Financing Agreement Extends Debt Maturities … … and Enhances Liquidity Levels to Develop Operations Sustainable ✓ Extension of 2025 Increase in financing limit by €92m leverage levels maturities unlock a favourab
Slide 19: Refinancing: Improves Financial Flexibility
Our Transformation Journey REFINANCING: … AND IMPROVES FINANCIAL FLEXIBILITY TO 5 ACCELERATE FUTURE GROWTH Former Financing New Financing ✓ Leverage ratio(1) and liquidity covenant • Annual capex limited COVENANTS ✓ Capex and restructuring costs • More restrictive net leverage covenant covenants rem
Slide 20: Dia Today: Positioned for Growth
02 Dia Today: Positioned for Growth 20
Slide 21: Spain: Proximity Champion
SPAIN PROXIMITY CHAMPION Ricardo Álvarez Dia Spain CEO 21
Slide 22: Dia Spain: Proximity Champion with Unique Competitive Advantages
Dia Today DIA SPAIN: THE PROXIMITY CHAMPION WITH UNIQUE COMPETITIVE ADVANTAGES AND DISTINCTIVE VALUE PROPOSITION 1 2 3 4 PROXIMITY AND OMNICHANNEL BALANCED ASSORTMENT FRANCHISE MODEL CONVENIENCE OFFERING #1 Player in the Spanish Balanced High-quality #1 Franchise Operator In Differentiated Digital P
Slide 23: Dia Spain: Proximity and Convenience
Dia Today 1 DIA SPAIN: PROXIMITY AND CONVENIENCE The Leader in the Spanish Proximity Retail Market Leader in the Proximity Retail Market Proximity Stores in Spain by Player (2024)(1) #1 Proximity Stores as % of Total Stores 2,302 Proximity Player Stores (2024) in Spain 100% ~100% ~70% ~45%(2) ~65% ~
Slide 24: Dia Spain: Balanced Assortment
Dia Today 2 DIA SPAIN: BALANCED ASSORTMENT Renewed and Balanced High-Quality Assortment ~27% ~50:50 Share of Fresh Own and Leading Products Manufacturer Brands(1) Customer-first Assortment: Offering Adapted to Today’s Market Trends HIGH-QUALITY OWN STRONG PARTNER FOR COMPREHENSIVE INNOVATIVE PRODUCT
Slide 25: Dia Spain: Franchise Model
Dia Today 3 DIA SPAIN: FRANCHISE MODEL Highly Scalable Franchise Model Driving Growth Highly Scalable Win-Win Franchise Model Franchise Stores in Spain by Player (2024) #1 +96 p.p. ~65% Franchise Stores as % of Total Stores Franchise Franchisee NPS Franchise Operator growth ’21-’24 Stores ~65% ~60%
Slide 26: Dia Spain: Omnichannel Offering
Dia Today 4 DIA SPAIN: OMNICHANNEL OFFERING Seamless Omnichannel Experience Sustained on Service Excellence 5.6m 50% Members Digital Customers(1) INDUSTRY-LEADING DIGITAL PLATFORM HYPER-PERSONALIZED CUSTOMER EXPERIENCE Highly-valued Online Shopping Service The Premier Loyalty Subscription Club In Sp
Slide 27: Renewed Value Proposition Has Driven Growth and Profitability (I/III)
Dia Today DIA SPAIN: RENEWED VALUE PROPOSITION HAS DRIVEN GROWTH AND PROFITABILITY (I/III) Turnaround Fuelling Top-line Growth … … Consistently Above Markets Dia Spain GSUB(1) (€m) Dia Spain LfL(2) Sales Growth vs Total Market Growth(3) (%) CAGR +7.4% 10.7% 10.4% 5,123 8.3% 4,856 4,438 5.6% 3.5% 2.2
Slide 28: Renewed Value Proposition Has Driven Growth and Profitability (II/III)
Dia Today DIA SPAIN: RENEWED VALUE PROPOSITION HAS DRIVEN GROWTH AND PROFITABILITY (II/III) Delivering Profitability Expansion … … and Achieving Industry-Leading Margins Adj. EBITDA Margin(1) (€m) Dia Spain EBITDA Excluding Rent (EBITDAR) Margin vs Peers (%)(3) ~11% Adj. EBITDA(1)(2) (€m) 123 194 26
Slide 29: Renewed Value Proposition Has Driven Growth and Profitability (III/III)
Dia Today DIA SPAIN: RENEWED VALUE PROPOSITION HAS DRIVEN GROWTH AND PROFITABILITY (III/III) Driving Cash Generation … … and Deleveraging Dia Spain Cash Flow Generation(1)(2) (€m) Dia Spain Net Leverage(3) Capex(1)(2) 5.0x (€m) (207) (137) (99) Relevant investment in store openings and remodellings
Slide 30: Dia Spain: Market Opportunity and Competitive Dynamics
Dia Today DIA SPAIN: MARKET OPPORTUNITY AND COMPETITIVE DYNAMICS The Spanish Grocery Market Represents an Attractive Opportunity with Positive Tailwinds 1 2 3 Customer Trends That Will Spain is a Sizeable European The Spanish Grocery Market Drive Future Growth are Market Demonstrating Solid has Exhi
Slide 31: Spain Is a Sizeable European Market Demonstrating Solid Growth
Dia Today Governance 1 DIA SPAIN: SPAIN IS A SIZEABLE EUROPEAN MARKET DEMONSTRATING SOLID GROWTH Fastest Growing Grocery Market in Europe Top 6 European Grocery Markets 2019A-2023A CAGR Growth (%)(1) Market size 23A (€bn) 123 271 231 159 240 57 5.1% 4.7% ✓ Spain is the fastest- growing grocery retai
Slide 32: Spanish Grocery Market Has Exhibited Resiliency Across the Economic Cycle
Dia Today Governance 2 DIA SPAIN: THE SPANISH GROCERY MARKET HAS EXHIBITED RESILIENCY ACROSS THE ECONOMIC CYCLE Average Annual Growth During the Period Economic Downturn Covid Post-Covid 2008-13 2020-21 2022-24 A 3.8% GDP Growth (1.3%) (2.4%) ✓ Despite economic downturns, the grocery industry has sh
Slide 33: Well-Rooted Customer Trends Underpinning Future Market Growth
Dia Today Governance 3 DIA SPAIN: WELL-ROOTED CUSTOMER TRENDS UNDERPINNING FUTURE MARKET GROWTH WITH PROXIMITY AS THE WINNING FORMAT … With Key Growth Trends Anticipated to Primarily Benefit the Spanish Market Expected to Continue Growing … Proximity Segment… Convenience-based Selection ICON Distanc
Slide 34: Leveraging Our Competitive Advantages to Boost Growth
Dia Today Governance DIA SPAIN: LEVERAGING OUR COMPETITIVE ADVANTAGES TO BOOST GROWTH 1 2 3 4 PROXIMITY AND OMNICHANNEL BALANCED ASSORTMENT FRANCHISE MODEL CONVENIENCE OFFERING Consumers demand Fast-growing Proximity segment increasingly a Fast, scalable, capex e-commerce channel expected to outgrow
Slide 35: Argentina: An Untapped Pocket of Value
ARGENTINA AN UNTAPPED POCKET OF VALUE Agustín Ibero Dia Argentina CEO 35
Slide 36: Dia Argentina: Leader in Proximity
Dia Today DIA ARGENTINA: LEADER IN PROXIMITY … #1 Proximity Food Retailer in Argentina … … with a Unique Customer Value Proposition Leading Market Position Thanks to a Compelling Value Proposition and Strategic Levers ARGENTINA’S TOP BRAND CHOICE ✓ Top-of-mind brand sustained on price, product quali
Slide 37: Dia Argentina: With Proven Expansion Capabilities
Dia Today DIA ARGENTINA: … WITH PROVEN EXPANSION CAPABILITIES Successful Store Network Expansion … … Primarily Led by Franchise Openings Dia Store Evolution(1) Dia Franchise Store Openings(2) Franchise openings(3)(%) Net openings Expansion pause 100% 94% 99% 100% +136 1,048 1,041 101 994 76 912 27 4
Slide 38: Dia Argentina: Renewed Omnichannel and Balanced Quality Offering
Dia Today DIA ARGENTINA: RENEWED OMNICHANNEL AND BALANCED QUALITY OFFERING … Successful Omnichannel Platform … … and Renewed High-Quality Product Offering … ✓ Only one-stop omnichannel platform combining ✓ Highest share of own brand in Argentina with +32% share of basket(2) shopping, loyalty program
Slide 39: Dia Argentina: Strong Customer Satisfaction and Market Recognition
Dia Today DIA ARGENTINA: … LEADING TO STRONG CUSTOMER SATISFACTION AND MARKET RECOGNITION … … Resulting in Strong Customer Satisfaction … … and Strong Market Recognition Clients NPS Evolution Kantar Market Survey CAGR +10% 71(1) 53 Always Good Offers and Prices Promotions 2021 2024 Overall Good Priv
Slide 40: Dia Argentina: Market Outperformance and Robust Cash Generation
Dia Today DIA ARGENTINA: … MARKET OUTPERFORMANCE AND ROBUST CASH GENERATION … Consistent Above-Market Growth … … and Strong Cash Generation Spread Volume Growth Dia vs Argentinian Market (%) Cash Generation(1) (€m) +2.8% 45 34 +2.1% +0.7% 2022 2023 2024 Strong cash generation despite consumption dec
Slide 41: Dia Argentina: Prepared to Independently Deliver Value
Dia Today DIA ARGENTINA: … PREPARED TO INDEPENDENTLY DELIVER VALUE Resilient Performance in 2024 … … with Positive Outlook for Growth Our View For the Future Growth recovery and consumption Strong results delivered in a Macro tailwinds, unlock normalization will enhance and protect challenging macro
Slide 42: Our Strategic Plan 2025-29
03 Our Strategic Plan 2025-29 42
Slide 43: Dia Strategic Plan – Creciendo Cada Dia
Our Strategic Plan 2025-29 Governance DIA STRATEGIC PLAN – “CRECIENDO CADA DIA” I II III IV SHARE DIA’S STORY EXCITE OUR LEAD THE MARKET IN STRENGTHEN OUR BROADLY AND CUSTOMERS PROFITABLE GROWTH WINNING FOUNDATION FREQUENTLY ✓ Expand store ✓ Enhance customer- network ✓ Reinforce the Dia centric valu
Slide 44: Enhanced Customer-Centric Proposition to Outgrow Market
Our Strategic Plan 2025-29 Governance I ENHANCED CUSTOMER-CENTRIC PROPOSITION TO OUTGROW MARKET Customer Relationship Management Improved Assortment Assortment reinforcement to drive customer traffic ✓ Hyper-personalization +1m New Club Dia users ✓ Enhanced Fresh Assortment ✓ Innovative Products ✓ D
Slide 45: Sales Density Growth with Further Potential
Our Strategic Plan 2025-29 Governance I SALES DENSITY GROWTH WITH FURTHER POTENTIAL Headroom to Grow Sales Density through Strategic Levers Sales Density (GSUB €k/sqm)(1) ✓ Brand Awareness: Dia will increase 8.6 the visibility of the “new Brand”, in order to attract more traffic and drive loyalty 6.
Slide 46: Network Expansion – Building for Sustained Growth
Our Strategic Plan 2025-29 Governance II NETWORK EXPANSION – BUILDING FOR SUSTAINED GROWTH Number of Stores +1,500 IDENTIFIED MARKET POTENTIAL Store Expansion Plan to new stores by Identified openings until 2029 based on estimated population growth and store density +300 Outpace Market Growth … 2029
Slide 47: Logistics Optimization Plan
Our Strategic Plan 2025-29 Governance II LOGISTICS OPTIMIZATION PLAN Infrastructure Improvement Enhanced Store and Warehouse Operations ✓ Supply-chain tailored to current & future store ✓ Sustainable efficiency → Capex €125m network investments to improve our Capex investment to improve Refrigeratio
Slide 48: Additional Value Creation Levers
Our Strategic Plan 2025-29 Governance II ADDITIONAL VALUE CREATION LEVERS BEYOND TRADE INORGANIC GROWTH Exploring New Opportunities for Value Creation Actively Reviewing Opportunities in Spain’s on a Recurring Basis in Adjacent Sectors Fragmented Food Retail Market ACQUISITION PRIORITIES ✓ Aligns wi
Slide 49: Technology Plan, a Transversal Value Creation Pillar
Our Strategic Plan 2025-29 Governance III TECHNOLOGY PLAN, A TRANSVERSAL VALUE CREATION PILLAR 1) Fuelling growth by elevating Customer Value Proposition KEY 2) Enhancing internal controls to drive operational excellence OBJECTIVES 3) Upgrading platforms (App + Web) GROWTH INITIATIVES OPERATIONAL IM
Slide 50: Our Sustainability Plan: ESG Embedded in Strategy
Our Strategic Plan 2025-29 Governance 03. III OUR SUSTAINABILITY PLAN: ESG EMBEDDED IN STRATEGY PRIORITIES • Boosting “Eat Better Everyday • HR Process Review to get Program” and affordable access to 50% women in senior positions quality food by 2025 • Partnership signing to create social • Extend t
Slide 51: Our Commitment to Communicate Dia's Story
Our Strategic Plan 2025-29 IV OUR COMMITMENT TO COMMUNICATE DIA’S STORY A Reinforced Plan to Enhance Our Engagement with the Financial Community EXPANDED ANALYST PROACTIVE STRONGER MARKET COVERAGE ROADSHOW STRATEGY PRESENCE Dia’s Coverage Grew from H1-25 Roadshow Participation in Small/Mid- 2 to 5 a
Slide 52: Key Growth Levers to Achieve a Well-Defined Financial Ambition
Our Strategic Plan 2025-29 Governance DIA’S STRATEGIC PLAN: KEY GROWTH LEVERS TO ACHIEVE A WELL-DEFINED FINANCIAL AMBITION … Outgrowing market and capturing GSUB [4-6% CAGR] market share Medium Term Vision Adj. EBITDA Margin(1) [7.5%-8.0%] Best-in-class profitability by 2029 25-29E Front-loaded cape
Slide 53: Delivering Sustainable Long-Term Cash Generation
Our Strategic Plan 2025-29 Governance … DELIVERING SUSTAINABLE LONG-TERM CASH GENERATION Strategic Plan Will Deliver Strong Cash Generation … … to Drive Key Objectives Dia Spain Cash Generation (€m)(1) Uses of Cash: I ✓ Funding organic store network growth ✓ Improve logistics infrastructure 247 256
Slide 54: An Undervalued Story
04 An Undervalued Story 54
Slide 55: Dia's Fundamental Value Is Not Recognised by Public Markets
An Undervalued Story DIA’S FUNDAMENTAL VALUE IS NOT RECOGNISED BY PUBLIC MARKETS Dia’s Solid Growth Fundamentals … … and Above-Market Profitability … … Still not Recognized by Public Markets ‘22-’24 Dia Spain(1) GSUB CAGR vs Total Market CAGR (%) Dia Spain EBITDAR 2024 Margin vs Peers (%) Dia EV / E
Slide 56: Recent Corporate Actions Are Having a Positive Result
An Undervalued Story RECENT CORPORATE ACTIONS ARE HAVING A POSITIVE RESULT Strengthened Financial Structure Completed refinancing in Dec-2024 Recent Corporate Actions ✓ Extension of debt maturity Positively Reflected in Dia ✓ Improved liquidity levels Share Price Performance ✓ Significant enhancemen
Slide 57: Analysts Recognize Dia's Long Term Value Potential
An Undervalued Story ANALYSTS RECOGNIZE DIA’S LONG TERM VALUE POTENTIAL CONVERGED RECOMMENDATION: 80% OF THE ANALYSTS RECOMMEND BUY Recent Analyst Notes on Dia Analyst Target Price (€) Potential upside Recommendation (vs. 05-Mar-25) 33.4 “Growth phase around the corner. We expect the +85% BUY compan
Slide 58: Commitment to Create Long-term Value
05 Commitment to Create Long-term Value 58
Slide 59: Strong Management Team with Deep Industry Expertise
Committed To Value Creation STRONG MANAGEMENT TEAM WITH DEEP INDUSTRY EXPERTISE … Our Leadership and Expertise Brings a Clear Vision for the Next Growth Phase of Dia Martín Guillaume Ricardo Agustín Tolcachir Gras Álvarez Ibero Group CEO Group CFO CEO Dia Spain CEO Dia Argentina 28 28 24 21 24 24 32
Slide 60: Supported by an Independent and Experienced Board of Directors
Committed To Value Creation … SUPPORTED BY AN INDEPENDENT AND EXPERIENCED BOARD OF DIRECTORS Our Board of Directors is Qualified with the Right Expertise and Capabilities to Catalyze Dia’s Value Creation Story 2 3 3 Benjamin Babcock Chairman – External Luisa Delgado Independent Gloria Hernández 8 In
Slide 61: Dia Has Robust and Transparent Governance
Committed To Value Creation DIA HAS ROBUST AND TRANSPARENT GOVERNANCE I Independent Oversight Qualified & Diverse Composition Independence ✓ +50% Independent Board Directors ✓ Long-standing experience across C-Suite & Separate Committee Competences positions in the consumer retail sector Representat
Slide 62: Continuous Board Re-alignment
Committed To Value Creation CONTINOUS BOARD RE-ALIGNMENT TODAY LOOKING FORWARD Re-alignment to ensure the right skills to drive long term ambitions ✓ Increase diversity of experience, skills and representation aligned with Dia’s ambitions The Right Board of Directors to Oversee Dia’s ✓ Operational e
Slide 63: Solid Foundation to Continue Creating Long-Term Value
Committed To Value Creation SOLID FOUNDATION TO CONTINUE CREATING LONG-TERM VALUE Robust Competitive Advantages … … and a Well-Rounded Plan ... … to Achieve Our Main Goal The Proximity Champion I ✓ Leader in the Winning EXCITE OUR CUSTOMERS Proximity Retail Market Sustainable Long- ✓ Distinctive Cus
Slide 64: Q&A
Q&A
Slide 65: Thank You
THANK YOU investor.relations@diagroup.com
Slide 66: Appendix
Appendix 66
Slide 67: Glossary
GLOSSARY 3PL Third-Party Logistics Dec- December Adj. Adjusted Dia DISTRIBUIDORA INTERNACIONAL DE ALIMENTACIÓN, S.A. Avg. Average EBITDA Earnings Before Interest Taxes Depreciation and Amortisation bn Billion F&V Fruit and Vegetables bps Basis points FCF Free Cash Flow c. Circa GDP Gross Domestic Pr
Distribuidora Internacional de Alimentación, S.A. (Dia) — Investor Day (March 2025) on 6ix