Amcor Plc · NYSE:AMCR
Amcor — Investor Day (September 2020)
131 slides from Amcor's investor day presentation, Sep 30, 2020
Slide 1: ASX announcement cover note
30 September 2020 For personal use only For announcement to the ASX Amcor plc (NYSE: AMCR; ASX: AMC) filed the attached Form 8-K with the SEC on 29 September 2020. A copy of the filing is attached. Authorised for release by: Damien Clayton Company Secretary ENDS For further information please contac
Slide 2: Form 8-K cover page
UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K For personal use only CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported): September 29, 2020 AMCOR PLC (Exact name of registrant as spe
Slide 3: Item 7.01 Regulation FD Disclosure
Item 7.01. Regulation FD Disclosure. Representatives of Amcor plc expect to hold an investor briefing on September 29, 2020. A copy of the presentation materials that will be used during this briefing is furnished as Exhibit 99.1 to this Current Report on Form 8-K. The information contained in Exhib
Slide 4: Signatures
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. AMCOR PLC Date September 29, 2020 /s/ Damien Clayton For personal use only Name: Damien Clayt
Slide 5: For personal use only
For personal use only INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 6: Disclaimers
Disclaimers Cautionary Statement Regarding Forward-Looking Statements This document contains certain statements that are “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements are generall
Slide 7: Today's presenters
For personal use only Today’s presenters INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 8: Today's Presenters
Today’s Presenters For personal use only Tracey Whitehead Ron Delia David Clark Senior Vice President, Investor Relations Chief Executive Officer Vice President, Sustainability • Joined Amcor in 2009 • Joined Amcor in 2005 • Joined Amcor in 2004 • Appointed to current position in 2016 • Appointed to
Slide 9: Today's Presenters
Today’s Presenters For personal use only Eric Roegner Carmen Becker Peter Konieczny President, Amcor Rigid Packaging VP & GM, NA Specialty Containers Chief Commercial Officer • Joined Amcor in 2018 • Joined Amcor in 2020 • Joined Amcor in 2010 • Appointed to current position in 2018 • Appointed to c
Slide 10: Today's Presenters
Today’s Presenters For personal use only Bill Jackson Fred Stephan Michael Zacka Chief Technology Officer, Global Flexibles President, Flexibles North America President, Flexibles EMEA • Joined Amcor in 2019 • Joined Amcor in 2019 • Joined Amcor in 2017 • Appointed to current position in 2019 • Appo
Slide 11: Today's Presenters
Today’s Presenters For personal use only Xin She Ruben Melara VP & GM, Flexibles China VP & GM, Flexibles Brazil • Joined Amcor in 2018 • Joined Amcor in 2009 • Appointed to current position in 2018 • Appointed to current position in 2019 • Prior experiences include 16 years experience at Tetra Pak
Slide 12: Welcome
For personal use only Welcome Tracey Whitehead SVP & Head of Investor Relations INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 13: Objectives for today
Objectives for today For personal use only • Provide an overview of Amcor • Clearly outline our investment case • Introduce some of our management team 9 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 14: Agenda
1 Why Invest in Amcor? Ron Delia, Chief Executive Officer For personal use only 2 Sustainability David Clark, VP Sustainability 3 Amcor Rigid Packaging Eric Roegner, President Rigid Packaging Carmen Becker, VP & GM, NA Specialty Containers Q&A Session #1 Agenda 4 Amcor Flexibles Peter Konieczny, Chi
Slide 15: Why Invest in Amcor?
For personal use only Why Invest in Amcor? Ron Delia Chief Executive Officer INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 16: Safety
Safety For personal use only Amcor Values Recordable-case frequency rate (per million hours worked) 11.2 Includes impact of acquired businesses 4.1 2.8 2.0 Committed to our goal of 0.6 No Injuries 2005 2010 2015 2020 2020 OSHA 12 INVESTOR BRIEFING Notes: Recordable cases per 1,000,000 hours worked.
Slide 17: Why invest in Amcor?
Why invest in Amcor? For personal use only Global industry leader with proven track record and clear strategy Consistent growth from consumer and healthcare end markets Attractive and growing dividend with current yield >4% Strong balance sheet, substantial capacity to invest and many growth opportu
Slide 18: Global leader in consumer packaging
Global leader in consumer packaging For personal use only • Founded in Australia in 1860 • NYSE (AMCR) and ASX (AMC) listed • $17.3 bn market cap, $12.5 bn sales, $1.9 bn EBITDA • ~230 locations, ~47,000 employees, >40 countries Global Industry Consistent Attractive Financial Strength Momentum Leade
Slide 19: Strong track record of financial performance
Strong track record of financial performance For personal use only 2010 - 2020 >20 +6% +8% +15% YEARS +4.6% Investment Adjusted Adjusted Average TSR grade credit EBITDA EPS CAGR Dividend Yield CAGR rating CAGR (6% DPS CAGR) 15 INVESTOR BRIEFING Notes: 10 year CAGR based on 2010 IFRS results as repor
Slide 20: Consumer packaging for food, beverage and healthcare
Consumer packaging for food, beverage and healthcare >95% of sales to consumer For personal use only end markets Consistent growth Other Other 4% consumer 9% HPC 5% Food Healthcare 44% 14% $12.5 bn FY20 sales Beverage 24% 16 INVESTOR BRIEFING Notes: HPC is Home & Personal Care SEPTEMBER 29, 2020
Slide 21: Four primary packaging product segments
Four primary packaging product segments For personal use only Flexible Packaging Rigid Packaging Rigid packaging 21% Specialty cartons 9% $12.5 bn Closures FY20 sales 2% Closures Specialty Cartons Flexible packaging 68% 17 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 22: Global reach, balanced geographically and scale in EMs
Global reach, balanced geographically and scale in EMs >$3 bn Emerging Markets business For personal use only across 27 countries Western Europe 24% $12.5 bn Emerging FY20 sales markets 26% North America 47% ANZ Sales ($B) Plants Countries 3% Latin America 1.5 48 10 Asia 1.1 32 8 43 Eastern Europe 0
Slide 23: Amcor Strategy
Amcor Strategy For personal use only Our businesses FOCUSED & COMPLEMENTARY FLEXIBLE RIGID SPECIALTY CLOSURES PACKAGING PACKAGING CARTONS PORTFOLIO: Our differentiated capabilities THE AMCOR WAY: Our winning aspiration Significant growth opportunities WINNING FOR INVESTORS, CUSTOMERS, THE leading gl
Slide 24: Portfolio evolution – Active management and optimization
Portfolio evolution – Active management and optimization Focus on maximising shareholder value and meeting evolving consumer needs For personal use only 2002 2016 Rigid Packaging 2010 Rigid Schmalbach- Rigid Packaging 2019 2001 Lubeca Packaging Sonoco Global 2010 Ball Plastics 2016 Flexible Europe F
Slide 25: Portfolio today - Focused with leadership and scale
Portfolio today - Focused with leadership and scale For personal use only Market leadership and scale positions #1 Global Flexible Healthcare Packaging #1 Flexible Packaging North America FLEXIBLE RIGID SPECIALTY CLOSURES PACKAGING PACKAGING CARTONS #1 Rigid Packaging North America Common Characteri
Slide 26: Portfolio today – Complementary and generating synergies
Portfolio today – Complementary and generating synergies For personal use only Innovation Sourcing Manufacturing Marketing Sales Flexibles Rigids Speciality Cartons Closures Talent, capability, cost and growth synergies 22 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 27: Amcor Strategy – Differentiated capabilities
Amcor Strategy – Differentiated capabilities For personal use only Our businesses FOCUSED & COMPLEMENTARY FLEXIBLE RIGID SPECIALTY CLOSURES PACKAGING PACKAGING CARTONS PORTFOLIO: Our differentiated capabilities THE AMCOR WAY: Capabilities deployed consistently across Amcor creating competitive advan
Slide 28: The Amcor Way: Commercial Excellence
The Amcor Way: Commercial Excellence For personal use only ValuePlus launched in 2006 Measuring profitability at product Vision and segment level… Grow Sales & Margin Marketing Capabilities Sales Force Effectiveness …to make informed choices about mix management Key Account Management Pricing Trend
Slide 29: The Amcor Way: Driving competitive advantage and financial impact
The Amcor Way: Driving competitive advantage and financial impact For personal use only 12.0% 12.0% 11.6% 11.4% 11.2% 11.1% 10.9% 11.0% 9.1% 8.7% 8.1% Adjusted EBIT Margins 7.7% Amcor 6.8% Combined Amcor and Bemis FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 25 INVESTOR BRIEFING Notes
Slide 30: Amcor Strategy
Amcor Strategy For personal use only Our businesses FOCUSED & COMPLEMENTARY FLEXIBLE RIGID SPECIALTY CLOSURES PACKAGING PACKAGING CARTONS PORTFOLIO: Our differentiated capabilities THE AMCOR WAY: Our winning aspiration Significant growth opportunities WINNING FOR INVESTORS, CUSTOMERS, THE leading gl
Slide 31: Amcor Shareholder Value Creation Model
Amcor Shareholder Value Creation Model Strong cash flow funds multiple drivers of value for shareholders For personal use only Capital Organic profit expenditure growth (~ $500m) ~ 3-4% STRONG, TOTAL DEFENSIVE Dividend Historical yield SHAREHOLDER VALUE CASH FLOW (~ $750m) ~ 4-5% (EPS growth + yield
Slide 32: Strong operating performance and shareholder returns
Strong operating performance and shareholder returns For personal use only Operating Performance1 Total Shareholder Returns2 12% 11% 8% 5% 2% Sales EBIT EPS EPS + dividend yield Amcor Average annual constant currency growth (FY14-FY20) Annualised TSR (FY14-FY20) 28 INVESTOR BRIEFING Notes: Orora dem
Slide 33: Multiple levers drive organic profit growth
Multiple levers drive organic profit growth For personal use only Markets 1 Growing consumer end markets Proactive mix management 2 End segments, Products, Customers Innovation 3 Differentiated products Cost productivity 4 Scale and capabilities 29 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 34: Multiple levers drive organic profit growth
Multiple levers drive organic profit growth For personal use only Markets 1 Growing consumer end markets Proactive mix management 2 End segments, Products, Customers Innovation 3 Differentiated products Cost productivity 4 Scale and capabilities 30 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 35: Consistent growth from consumer and healthcare segments
Consistent growth from consumer and healthcare segments For personal use only Premiumization Food Health & Wellness Beverage • Developed markets growth - LSD Convenience / On-the-Go • Emerging markets growth - MSD Healthcare e-Commerce Home & Personal Care Sustainability 31 INVESTOR BRIEFING Notes L
Slide 36: Long history of profitable growth in emerging markets
Long history of profitable growth in emerging markets For personal use only Emerging market packaging growth drivers Amcor emerging market key success factors Lower income Inflection point • Young and growing population • Urbanisation and rising incomes • Wet market consumption of Czech France Exper
Slide 37: Proactive mix management
Proactive mix management Ongoing migration toward more advantaged segments For personal use only Product mix eg, Higher Barrier Resealable Product mix Retortable • Multiple mix drivers Stand-Up • Informed choices on topline Segment mix Customer mix • Blended outcome contributes eg, Medical Large and
Slide 38: Global leader in healthcare – Medical and Pharma packaging
Global leader in healthcare – Medical and Pharma packaging Approaching $2bn sales across Flexibles and Rigid Packaging For personal use only Medical Pharma ~50% ~50% 34 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 39: Global healthcare footprint with scale in every region
Global healthcare footprint with scale in every region For personal use only 2 - UK DENMARK - 1 1 - IRELAND GERMANY - 2 1 - BELGIUM SWITZERLAND - 2 Security of supply 4 - FRANCE ITALY - 2 1 - PORTUGAL 20 - USA SPAIN - 1 1- MOROCCO Certified & qualified CHINA – 3 production facilities 1- PUERTO RICO
Slide 40: Highly regarded innovation capabilities
Highly regarded innovation capabilities Innovation agenda driven by consumer needs For personal use only Differentiation Product safety >500 Active patent families and Cost reduction Sustainability Functionality growing Shelf Life Convenience ~$100 Recognition Million Annual R&D spend 36 INVESTOR BR
Slide 41: Compelling dividend
Compelling dividend Attractive yield and history of dividend growth For personal use only Attractive dividend yield +6% 10 year DPS CAGR Member of the S&P500 Dividend Aristocrats 4.7% 1.9% Amcor S&P 500 37 INVESTOR BRIEFING Notes: Dividend yield as at July 1, 2020 SEPTEMBER 29, 2020
Slide 42: Balanced capital allocation
Balanced capital allocation For personal use only Buy-backs >30 acquisitions >$3 billion acquisitions since 2010 and buy-backs since 2010 Acquisitions Significant M&A pipeline across all Amcor business 38 INVESTOR BRIEFING Notes: Investment in acquisitions excludes the all-stock acquisition of Bemis
Slide 43: Bemis acquisition – delivering financial and strategic benefits
Bemis acquisition – delivering financial and strategic benefits Enhancing financial performance Delivering strategic benefits For personal use only Cost synergies: FY20 $80m delivered; FY21 $50-$70m expected; High quality, well invested business $180m total expected by FY22 First year integration an
Slide 44: Amcor Shareholder Value Creation Model
Amcor Shareholder Value Creation Model Strong cash flow funds multiple drivers of value for shareholders For personal use only Capital Organic profit expenditure growth (~ $500m) ~ 3-4% STRONG, TOTAL DEFENSIVE Dividend Historical yield SHAREHOLDER VALUE CASH FLOW (~ $750m) ~ 4-5% (EPS growth + yield
Slide 45: Amcor Shareholder Value Creation Model
Amcor Shareholder Value Creation Model Strong cash flow funds multiple drivers of value for shareholders For personal use only Capital expenditure (~ $500m) EPS growth ~5-10% STRONG, Total DEFENSIVE Acquisitions / (Organic ~ 3-4%) Shareholder Value buy-backs CASH FLOW (~ $300-400m) (EPS growth + yie
Slide 46: Why invest in Amcor?
Why invest in Amcor? For personal use only Global industry leader with proven track record and clear strategy Consistent growth from consumer and healthcare end markets Attractive and growing dividend with current yield >4% Strong balance sheet, substantial capacity to invest and many growth opportu
Slide 47: Sustainability
For personal use only Sustainability David Clark Vice President, Sustainability INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 48: Sustainability at Amcor
Sustainability at Amcor For personal use only Our Pledge for 2025 Part of our winning aspiration Develop all our packaging to be recyclable or reusable by 2025 and our best opportunity for Significantly increase our use differentiation and growth of recycled materials in our packaging Work with othe
Slide 49: Amcor's comprehensive sustainability strategy
Amcor’s comprehensive sustainability strategy For personal use only EnviroAction – sustainable operations Recognized externally Progress since 2006 83% 33% Waste Greenhouse to disposal gas emissions intensity 100% Of sites have water management plans Strictly Confidential – for internal use only 45
Slide 50: Amcor's Points of View on packaging sustainability
Amcor’s “Points of View” on packaging sustainability For personal use only There will always be a Requirements of packaging are Responsible packaging is Amcor is uniquely role for packaging increasing: end of life solutions / the answer positioned and taking waste reduction are critical action to le
Slide 51: Amcor offers a full range of more sustainable packaging options
Amcor offers a full range of more sustainable packaging options For personal use only 100% PCR Lighter weight Recycle ready Reusable Aluminium Paper Bio based materials Compostable 47 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 52: Responsible packaging is the answer
Responsible packaging is the answer Achieving less waste takes: For personal use only Waste management Consumer Packaging design infrastructure participation Amcor is uniquely positioned as industry leader with Scale, Resources and Capabilities 48 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 53: Packaging design that considers the full product lifecycle
Packaging design that considers the full product lifecycle Substrate choice and product design greatly affect environmental impact For personal use only Greenhouse gas emissions Current Ability to use Packaging made (Kg-CO2 equivalent) recycling rate recycled content with 100% recycled ‘000 in packa
Slide 54: Defining what makes packaging recyclable
Defining what makes packaging recyclable For personal use only Monolayer Designed for Recycling Developing packaging Recyclable (Recycling-Ready) to be recyclable is NOT about multilayer vs monolayer Multilayer Not Recyclable 50 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 55: Smart packaging design aligns materials and recycling streams
Smart packaging design aligns materials and recycling streams For personal use only Developing packaging to be Recycled recyclable IS about compatibility with Designed for Recycling existing (Recycling-Ready) and future recycling streams Recyclable Current Major Recycling Streams Designed to be recy
Slide 56: Collaborating to develop global and regional standards for package recycling
Collaborating to develop global and regional standards for package recycling For personal use only 52 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 57: Amcor on track for fully recyclable or reusable portfolio by 2025
Amcor on track for fully recyclable or reusable portfolio by 2025 For personal use only % Amcor product portfolio designed to be recycled today Rigid Packaging 95% Amcor innovation agenda will get our portfolio to 100% Specialty Cartons 100% Flexible Packaging 61% 53 INVESTOR BRIEFING SEPTEMBER 29,
Slide 58: Recycling systems for flexible packaging are rapidly developing
PRIVATE & CONFIDENTIAL Recycling systems for flexible packaging are rapidly developing Multiple examples exist in practice and progress continues For personal use only For all existing and future recycling streams No separate collection Partial collection Full collection Full collection No recycling
Slide 59: Actively partnering to accelerate change in waste management
Actively partnering to accelerate change in waste management For personal use only Amcor’s goals • Support recycling infrastructure • Educate policy and funding models • Demonstrate practical solutions • Increase demand for PCR 55 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 60: A partnership example in practice: MRFF
A partnership example in practice: MRFF For personal use only • Amcor is a founding member of The Materials Recovery for the Future (MRFF) - A research collaborative committed to creating recycling solutions. • MRFF led a pilot project to collect flexible packaging in a single-stream curbside recycl
Slide 61: Actively informing and educating the public
Actively informing and educating the public For personal use only 57 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 62: Sustainability at Amcor
Sustainability at Amcor For personal use only Our Pledge for 2025 Part of our winning aspiration Develop all our packaging to be recyclable or reusable by 2025 and our best opportunity for Significantly increase our use differentiation and growth of recycled materials in our packaging Work with othe
Slide 63: Rigid Packaging
For personal use only Rigid Packaging Eric Roegner President, Amcor Rigid Packaging Carmen Becker Vice President & General Manager, North America Specialty Containers INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 64: Amcor Rigid Packaging segment overview
Amcor Rigid Packaging segment overview Comprehensive footprint in strategic locations across the Americas region For personal use only Bericap, 5% Latin America, 18% $2.7bn 3 Canada FY20 sales 24 Unites States North America, 4 1 Dominican Republic Mexico 77% 1 Trinidad & Tobago El Salvador 1 5 Venez
Slide 65: Strong value proposition and diversified customer base
Strong value proposition and diversified customer base For personal use only Amcor value proposition Select customers Scale player Diversified technologies Innovation leader Advantaged plant network 61 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 66: Amcor Rigid Packaging – Multiple levers drive organic profit growth
Amcor Rigid Packaging – Multiple levers drive organic profit growth For personal use only Markets Growing formats in beverage and non-beverage end markets Growing consumer end markets Breadth and leadership in Latin America Proactive mix management Regional customers Organic EPS growth End segments,
Slide 67: North America - Advantaged manufacturing network
North America - Advantaged manufacturing network Plants in close proximity to key markets and customers For personal use only Leverage footprint and cost base for diversification of product and segment mix Industry leading asset productivity and unit cost position 63 INVESTOR BRIEFING SEPTEMBER 29,
Slide 68: North America – Significant diversification over the last 10 years
64 North America – Significant diversification over the last 10 years Balanced business mix enabled by expanded technology offering For personal use only North America Gross Margin Expansion of key technologies and materials 2010 2x sales Technologies Materials mix • Injection molding • PET • Inject
Slide 69: North America – Positioned for growth in all segments
North America – Positioned for growth in all segments For personal use only Food, Healthcare, HPC, Wine & Spirits Closures Beverage 65 INVESTOR BRIEFING Notes: HPC is Home & Personal Care SEPTEMBER 29, 2020
Slide 70: North America – Beverage market growing in PET format
North America – Beverage market growing in PET format PET continues to grow overall.... ....with continual new product launches For personal use only North America beverage units by pack format Recent new products or package conversions LRB: +1.9% PET: +2.3% Powerade Monster Hydro Creative CY15-19 4
Slide 71: Most Sustainable Package
Most Sustainable Package Key attributes of PET PCR1 Usage For personal use only +60% • 100% recyclable – essentially infinite • 100% PCR1 possible and happening today +50% • Unbreakable, transparent, re-closable, hygienic • Lighter weight - lower GHG FY18 FY20 FY21 est % of total resin 8% 13% conver
Slide 72: North America - Strong growth with regional customers
North America - Strong growth with regional customers A focused approach to servicing growing regional customer base For personal use only Amcor’s unique value proposition Dedicated commercial resources Speed to market Access to world class innovation Sales Focused on growth segments CAGR of 13% Sma
Slide 73: Focus segment: North America pharma
Focus segment: North America pharma Growing segments with significant opportunities to differentiate through innovation For personal use only Amcor’s differentiated Focus on growing value proposition segments • Ophthalmic Regulatory expertise • Nutraceuticals Speed to market • Diagnostics • Animal H
Slide 74: Focus segment: Dairy, Dairy Alternatives & Meal Replacement
Focus segment: Dairy, Dairy Alternatives & Meal Replacement Well positioned in the growing single serve, innovative, value add segment For personal use only Strong product portfolio Strong top-line growth • Brands repositioning products to expanded usage Sales CAGR occasions and alternative benefits
Slide 75: Industry leading innovation & technology
Industry leading innovation & technology For personal use only What we have What we do 2 >200 • Package design and engineering Innovation Centers Product launches in FY20 • Barrier capability 170 13 • Lightweighting Patent Families Industry awards in the • Increased use of PCR past three years • Sca
Slide 76: World class R&D and innovation capabilities
World class R&D and innovation capabilities For personal use only VIDEO 72 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 77: Innovation leader - Hot fill
Innovation leader - Hot fill Well positioned as technology leader in growing hot fill segments For personal use only Hot fill products Complex technologies to achieve both vacuum absorption and weight reduction • Filled at >185 degrees Fahrenheit and capped • > 60 patent families - vacuum absorption
Slide 78: Innovation Leader – Hot fill
Innovation Leader – Hot fill Commercialized Examples Key competitive advantage For personal use only delivering cost savings and design freedom 44.9g to 40.7g 35.8g to 30.1g 31.0g to 24.7g 34g to 26g 34g to 24g 38g to 34.5g 30.4g to 22g 21g to 18g Next generation technology Panel PowerFlex™ PowerStr
Slide 79: Amcor Rigid Packaging – Key messages
Amcor Rigid Packaging – Key messages For personal use only 1. Market leader in the Americas region 2. Diversified business aligned with the most attractive growth segments 3. World class R&D infrastructure and capabilities 4. Comprehensive and strategically advantaged footprint 5. Well positioned to
Slide 80: Q&A
Ron Delia For personal use only Chief Executive Officer David Clark Vice President, Sustainability Q&A Eric Roegner President, Amcor Rigid Packaging Carmen Becker Vice President & General Manager, North America Specialty Containers INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 81: Minute break
For personal use only 5 minute break INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 82: Amcor Flexibles
For personal use only Amcor Flexibles Peter Konieczny Chief Commercial Officer INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 83: Amcor Flexibles – Key messages
Amcor Flexibles – Key messages For personal use only 1. The only player with a truly global footprint 2. Leadership and scale in every region 3. Leading in differentiated and growing segments 4. World class R&D infrastructure and capabilities 5. Multiple sources of organic and acquisition growth 79
Slide 84: Amcor Flexibles – Segment overview
Amcor Flexibles – Segment overview Global leader with well balanced geographic footprint For personal use only ANZ, 4% North Emerging America Markets $9.8bn 37% 28% sales by geography Western Europe 31% Plants Countries Employees ~180 39 ~40,000 HEAD OFFICE CORPORATE FLEXIBLES FLEXIBLES FLEXIBLES CA
Slide 85: Global Leader in Specialty Cartons
Global Leader in Specialty Cartons For personal use only Net Sales $1.1 billion Plants 20 Countries 17 FY20 sales • Global leader by region • Customer relationships People ~4,300 • Innovation capability • Operational excellence North America Western Europe Emerging Markets 81 INVESTOR BRIEFING Note:
Slide 86: Amcor Flexibles – Global footprint with scale in every region
Amcor Flexibles – Global footprint with scale in every region Leadership in every region with room to grow For personal use only Flexibles Europe ($B) 3.3 Flexibles North America ($B) 3.4 Market Market size Amcor Competitor size ~$20bn ~$16bn Flexibles Asia ($B) Market size 1.3 ~$30bn Amcor Competit
Slide 87: Amcor Flexibles – Multiple levers drive organic profit growth
Amcor Flexibles – Multiple levers drive organic profit growth For personal use only Markets Growing consumer staple end markets Growing consumer end markets Scale, breadth and leadership in emerging markets Proactive mix management Broad base of global and local customers Organic EPS growth End segm
Slide 88: Amcor Global Flexibles R&D
For personal use only Amcor Global Flexibles R&D Bill Jackson Chief Technology Officer, Global Flexibles INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 89: Global Flexibles Research & Development Overview
Global Flexibles Research & Development Overview What We Have What We Do For personal use only 4 >350 ~50 • Global technology platforms Innovation centers Patent families Industry awards across key regions growing in last 3 years EMEA NA • Application Business development and Development and commerc
Slide 90: Developing packaging for market success
Developing packaging for market success Working with customers to develop differentiated package designs For personal use only VIDEO 86 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 91: Expanding our global innovation center network
Expanding our global innovation center network Global scale enables us to extend our network into Europe and Asia For personal use only USA (WI) Innovation Center China Coming Soon Belgium Coming Soon Brazil Innovation Center 87 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 92: Innovating to deliver responsible packaging
Innovating to deliver responsible packaging Full range of responsible flexible packaging Global technology platforms will enable us to For personal use only options available today achieve our goal of 100% Recycle ready Aluminum Paper Designed to be recycled Rigid Packaging 95% Compostable Bio based
Slide 93: The challenges of design for recycling
The challenges of design for recycling For personal use only Function: Heat resistance and dimensional stability crucial for Exterior layer sealing and printing Challenge: Current materials (OPET) inhibit mechanical recycling Function: Product protection against moisture, oxygen, and light Barrier l
Slide 94: Global technology platforms are delivering solutions
Global technology platforms are delivering solutions Differentiated, high performing AND designed to be recycled solutions For personal use only Exterior layer Barrier layer Sealant layer Amcor solution: proprietary Amcor solution: novel Amcor solution: high speed oriented films based on polyolefins
Slide 95: Amcor Flexibles North America
For personal use only Amcor Flexibles North America Fred Stephan President INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 96: Amcor Flexibles North America overview
Amcor Flexibles North America overview Market leader with broad plant network For personal use only 15 Net Sales $3.4 billion 3 3 Plants 38 Amcor Comp 1 People Flexible Packaging Comp 2 ~8,500 market: Comp 3 ~$20B Others 92 INVESTOR BRIEFING Note: all figures reflect FY20 Source: FPA, company filing
Slide 97: Leading in differentiated and growing segments
Leading in differentiated and growing segments For personal use only Broad Product Offering Meat Cheese Medical Condiments $3.4bn FY20 sales Pharma by segment Coffee, Tea, Culinary Ready Meals Select Customers Pet Care Other 93 INVESTOR BRIEFING Other primarily includes snacks & confectionary, Home
Slide 98: Success with large and small customers
Success with large and small customers Capabilities to service a broad customer base For personal use only Flexibles North America customers Large accounts >850 • Broad penetration * • Enabled by portfolio depth, scale • Unique global supply capabilities Small to medium customer accounts • Growing s
Slide 99: Leader in high barrier meat packaging
Leader in high barrier meat packaging Amcor’s leading position in North America leverageable globally For personal use only Drivers of growth in protein segment Amcor’s differentiated value proposition • Protein diet • Premiumization Innovation addressing Best-in-class R&D • Retail case-ready format
Slide 100: Automating fresh meat packaging
Automating fresh meat packaging For personal use only New risks require forward thinking solutions Shrink rollstock helps deliver automated packaging solutions for fresh food manufacturers 96 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 101: Leader in high barrier cheese packaging
Leader in high barrier cheese packaging For personal use only Amcor’s differentiated value proposition Packaging design to enable diverse consumer usage occasions Partnerships with small and large customers Best-in-class expertise and R&D capabilities Opportunity Driving Dynamics Consumer Trends Ret
Slide 102: Leader in medical packaging
Leader in medical packaging Well established position in North America and strong offering for customers For personal use only Attractive, growing segments Amcor’s differentiated value proposition • Injection systems • Cardiovascular Highest quality Global footprint, standards local mindset • Diagno
Slide 103: Innovation leader in North America
Innovation leader in North America For personal use only 99 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 104: Amcor Flexibles Europe, Middle East & Africa
For personal use only Amcor Flexibles Europe, Middle East & Africa Michael Zacka President, Amcor Flexibles Europe, Middle East & Africa INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 105: Amcor Flexibles Europe, Middle East & Africa overview
Amcor Flexibles Europe, Middle East & Africa overview Market leader with an extensive regional footprint For personal use only 12 France 7 UK 2 Poland Net Sales 4 Germany 1 Russia $3.3 billion 4 Spain 1 Finland 4 Italy 1 Turkey Plants 4 South Africa 1 Czech Republic 58 3 Switzerland 1 Romania 3 Port
Slide 106: Leading in differentiated and growing segments
Leading in differentiated and growing segments Broad Product Offering For personal use only Pharma Snacks Pet Care Coffee $3.3bn FY20 Cheese sales by Medical segment Beverage Dairy Select Customers Ready Meals Meat Other 102 INVESTOR BRIEFING Other primarily includes snacks & confectionary, Home & P
Slide 107: Success with large and small customers
Success with large and small customers Capabilities to service a broad customer base For personal use only Flexibles Europe, Middle East & Africa customers >6,000 Large customers * • Enabled by portfolio breadth and extensive footprint • Ability to leverage unique global supply capabilities Small cu
Slide 108: Leader in pharmaceutical packaging
Leader in pharmaceutical packaging Strong position in a high value segment with attractive growth rates For personal use only Attractive, growing segment Amcor’s differentiated value proposition • Ageing population • Brand protection Strong partnerships Regulatory expertise • Compliance complexity •
Slide 109: Leader in pet food packaging
Leader in pet food packaging Attractive segment and opportunities to leverage portfolio globally For personal use only Attractive, growing segment Amcor’s differentiated value proposition • Premiumization • E-commerce growth Strong partnerships Broad product range • Resealability • Easy opening and
Slide 110: Leader in coffee systems and premium coffee packaging
Leader in coffee systems and premium coffee packaging Strong customer relationships and strategically located footprint For personal use only Attractive, growing segment Amcor’s differentiated value proposition • Premiumization • Convenience Strong partnerships Actively investing • At home consumpti
Slide 111: Innovation leader in Europe
Innovation leader in Europe Healthcare For personal use only Pet Care Snacks & Confectionery Protein Dairy Coffee 107 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 112: Amcor Flexibles Asia Pacific
For personal use only Amcor Flexibles Asia Pacific Michael Zacka President, Amcor Flexibles Europe, Middle East & Africa Xin She Vice President & General Manager, China INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 113: Amcor Flexibles Asia Pacific overview
Amcor Flexibles Asia Pacific overview The leading flexible packaging producer with the broadest regional coverage For personal use only Net Sales India $1.3 billion SEA China Plants FY20 Sales 40 ANZ Countries 9 Country participation People ~8,000 9 4 2 2 Amcor Comp 1 Comp 2 Comp 3 Note: all figures
Slide 114: Leading in differentiated and growing segments
Leading in differentiated and growing segments Broad Product Offering For personal use only Healthcare Snacks & confectionary Protein $1.3bn FY20 sales by Home & personal care segment Beverage Select Customers Specialty laminates & films Global Other Sales Local value by customer type Regional 110 I
Slide 115: Customer partnerships in high growth markets
Customer partnerships in high growth markets Amcor Value Proposition – dedicated investments and shared innovation agenda For personal use only Amcor Flexibles Philippines Amcor Flexibles India Amcor Flexibles Singapore Commissioned October 2016 Commissioned December 2018 Commissioned March 2020 111
Slide 116: Focus: China
Focus: China Largest player and with national footprint For personal use only Net Sales Plants People Select customers $600 million 13 ~3,500 Beijing Office Jiangyin Propack (JY) F H T Shijia Zhuang Qite (QT) F Jiangyin Shenlong (SL) F $600m Jiangyin Shenheng (SH) T sales by segment Suzhou Chengdu Q
Slide 117: Focus: China
Focus: China Well positioned in a large market with exciting growth opportunities For personal use only • Largest scale player in the market • Trusted global brand • Strong customer relationships • Footprint to supply locally across China • Access to world class innovation • Field technical service
Slide 118: Focus: China
Focus: China Significant focus on local customers and supporting multinationals For personal use only Global Sales value by customer type Local & National 114 INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 119: Amcor Flexibles Latin America
For personal use only Amcor Flexibles Latin America Peter Konieczny Chief Commercial Officer Ruben Melara Vice President & General Manager, Brazil INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 120: Amcor Flexibles Latin America
Amcor Flexibles Latin America The leading flexible packaging producer in Latin America with the broadest coverage For personal use only Net Sales Chile Colombia $0.8 billion Brazil Mexico Plants FY20 20 Sales Argentina Countries Peru 6 Country participation People ~6,500 6 1 4 1 Amcor Comp 1 Comp 2
Slide 121: Leading in differentiated and growing segments
Leading in differentiated and growing segments For personal use only Broad Product Offering Home & Personal Care Healthcare $0.8bn FY20 Liquid Foods sales by segment Proteins Shelf Stable Select Customers Global Other Sales value by customer Local type Regional 117 INVESTOR BRIEFING Other primarily
Slide 122: Focus: Brazil
Focus: Brazil Leading supplier of flexibles and thermoforming with national footprint For personal use only Leading customers Net Sales Plants People Other Home & Personal $0.4 billion 12 ~3,100 care Margarine FY20 Shelf Segment Stable Sales Liquid Healthcare Foods Proteins & Dairy Others Tubes Ther
Slide 123: Focus: Brazil
Focus: Brazil Gaining momentum in a large scale market and well positioned for further growth For personal use only • Profitable business and gaining momentum • Significantly improved cost structure • Simplified portfolio • Solid base to grow in healthcare, protein and pet care • Investments in stre
Slide 124: Focus: Brazil
Focus: Brazil Unique customer value proposition driving growth For personal use only Innovation Technologies Multinationals P&G laundry IML technology for margarine tubs Resealable printed lid for Proteins Ready-meals flowpack Predilecta Sacciali “mason jar” shape: Award Material conversion glass to
Slide 125: Q&A
Ron Delia Chief Executive Officer For personal use only David Clark Vice President, Sustainability Peter Konieczny Chief Commercial Officer Bill Jackson Q&A Chief Technology Officer Fred Stephan President, Amcor Flexibles North America Michael Zacka President, Amcor Flexibles Europe, Middle East & A
Slide 126: Closing Remarks
For personal use only Closing Remarks Ron Delia Chief Executive Officer INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 127: Why invest in Amcor?
Why invest in Amcor? For personal use only Global industry leader with proven track record and clear strategy Consistent growth from consumer and healthcare end markets Attractive and growing dividend with current yield >4% Strong balance sheet, substantial capacity to invest and many growth opportu
Slide 128: Appendix slides
For personal use only Appendix slides INVESTOR BRIEFING SEPTEMBER 29, 2020
Slide 129: Reconciliations of non-GAAP financial measures
Reconciliations of non-GAAP financial measures For personal use only (1) Includes costs associated with the Bemis acquisition. The twelve months ended June 30, 2020 and 2019 includes $58 million and $16 million respectively of acquisition INVESTOR BRIEFING related inventory fair value step-up costs.
Slide 130: Reconciliations of non-GAAP financial measures
Reconciliations of non-GAAP financial measures For personal use only (1) Other includes equity in income (loss) of affiliated companies, net of tax and general corporate expenses. INVESTOR BRIEFING (2) Includes costs associated with the Bemis acquisition. The twelve months ended June 30, 2020 and 20
Slide 131: For personal use only
For personal use only INVESTOR BRIEFING SEPTEMBER 29, 2020