Koninklijke Ahold Delhaize N.v. · EURONEXT:AD
Koninklijke Ahold Delhaize — Q3 2024 Earnings Presentation
27 slides from Koninklijke Ahold Delhaize's earnings presentation, Nov 6, 2024
Slide 1: Third quarter 2024 quarterly results
third quarter 2024 quarterly results November 6, 2024
Slide 2: Cautionary notice
cautionary notice This communication includes forward-looking statements. All statements other than increases in costs associated with the Company’s defined benefit pension plans; statements of historical facts may be forward-looking statements. Forward-looking ransomware and other cybersecurity iss
Slide 3: Welcome
Q3 2024 welcome 3 Ahold Delhaize – Q3 2024
Slide 4: Speakers
speakers Frans Jolanda JP Muller d Poots-Bijl O’Meara a President & Chief Executive Officer Chief Financial Officer SVP Investor Relations 4 Ahold Delhaize – Q3 2024
Slide 5: Ahold Delhaize delivers solid Q3 performance, reiterates 2024 outlook
Ahold Delhaize • In Q3, Ahold Delhaize and its brands continued to put needs of customers first. Gearing up for the holiday season, the brands further expanded their own brand assortments and implemented price investments to offer great value. delivers solid Q3 Additional store remodeling enabled th
Slide 6: Quarterly performance
Q3 2024 quarterly performance Frans Muller 6 Ahold Delhaize – Q3 2024
Slide 7: Our brands support local customers & communities following natural disasters
our brands support local customers & communities following natural disasters • Food Lion donated over $3.8 million to support disaster relief after Hurricane Helene • Albert sent six truckloads of humanitarian aid to areas affected by flooding • Alfa Beta donated products to local authorities and (v
Slide 8: Our growth model
our growth model 8 Ahold Delhaize – Q3 2024
Slide 9: Double-digit growth in online sales across both regions
double-digit growth in online sales across both regions • In the US conversion rate in our mobile apps improving close to 10% due to transition to native apps • Orders through DoorDash growing nearly 40% quarter-over-quarter • Increased capacity at 2nd automated HSC in Zwolle, supporting acceleratin
Slide 10: Vibrant store network at the core of our growth
vibrant store network at the core of our growth • Food Lion launched the next wave of its omnichannel remodel program in the Raleigh-Durham market with 167 stores • Our European brands have year-to-date invested in 261 new stores and remodels • Albert Heijn celebrated the one-year anniversary from t
Slide 11: Delhaize Belgium completes Future Plan
Delhaize Belgium completes Future Plan • All store conversions to new affiliates completed • Converted stores performing better than expected due to strong local presence and entrepreneurial mindset of affiliates • Achieved a market share above 22%, which is above pre-announcement levels 11 Ahold De
Slide 12: Stop & Shop closes first stores and builds on price investments
Stop & Shop closes first stores and builds on price investments • All 32 underperforming stores are now closed • The expected net impact is: • ~$100-$125m to 2024 sales • ~$550-$575m to 2025 sales • Non-recurring pre-tax charges of $136m incurred during Q3 • Introduced lower everyday prices on thous
Slide 13: Advancing our initiatives around innovation
advancing our initiatives around innovation • Introduced new in-store audio solutions at Ahold Delhaize USA for multi-sensory in- store experiences • Expanded our technology studio, AD/01, in Romania with the opening of additional offices • Bol built an in-house tool for advertisers on their platfor
Slide 14: Our ambitions are realized by our people
our ambitions are realized by our people thriving people 14 Ahold Delhaize – Q3 2024
Slide 15: Financial highlights
Q3 2024 financial highlights Jolanda Poots-Bijl 15 Ahold Delhaize – Q3 2024
Slide 16: Providing value at the center of our CVP
providing value at the center of our CVP increasing price investments effective, well-timed promotions transforming and leveraging updates to our own brand our loyalty programs offerings 16 Ahold Delhaize – Q3 2024
Slide 17: Third quarter results 2024 (underlying)
comparable sales growth excl. gas net sales +1.4% U.S. +1.2%, EU +1.6% €22.0bn online sales2 vs LY constant rates third underlying +1.0% €2.2bn vs LY constant rates quarter operating income1 +5.1% results 2024 €855m vs LY constant rates underlying underlying results +2.8% operating margin1 3.9% vs L
Slide 18: Third quarter results 2024 (IFRS)
diluted EPS €0.40 vs LY actual rates net sales (2.4%) €22.0bn online sales1 vs LY actual rates €2.2bn third operating +0.2% vs LY actual rates quarter income +4.6% results 2024 €583m vs LY actual rates €272m lower than underlying IFRS-reported results (6.7)% results, largely due to costs operating m
Slide 19: Comparable sales growth trends by region
comparable sales growth trends by region Actuals excluding gas Ex weather/calendar/other Ex. Gas Q3 Group Comparable Sales Growth excl. gas U.S. Q3 Europe Q3 +1.4% +1.2% +1.6% 7.0% 7.2% 6.5% 6.5% 4.7% 4.9% 3.9% * 2.8% 2.4% 1.6% 1.2% 0.9% 1.0% 0.8% 0.8% 0.8% -0.5% -0.5% -0.4% -1.0% Q3 2023 Q4 2023 Q1
Slide 20: US Q3 2024 solid and consistent performance in US
US solid and consistent performance in US Q3 2024 net sales Food Lion €13.5bn Helping customers earn $20 coupon to save money for vs LY constant rates (0.1%) the holiday season online ADUSA Hannaford Giant Food sales growth1 Partnering with the Stable shrink levels following Offering customers loyal
Slide 21: Europe Q3 2024 continued positive momentum in EU
Europe continued positive momentum in EU Q3 2024 net sales Delhaize €8.5bn Transition to our modular e-commerce platform vs LY constant rates following successful debut of +2.6% app at Albert and Serbia online Albert Heijn Serbia Alfa Beta sales growth Implemented MAZE application Launched promotion
Slide 22: Q3 Free Cash Flow Bridge
109 Q3 Free Cash 512 104 15 -4 18 535 Flow Bridge -219 FCF Q3 2024 vs Last Year (in €m) FCF Q3 2023 Operating Changes in Net Lease Net Income Tax Other FCF Q3 2024 Cash Flow Working Capital Repayments Investment Paid due to the collection of the €377m Belgian Tax Receivable in the prior year Q3 YTD
Slide 23: On track towards our 2024 healthier communities & planet ambitions
on track towards our 2024 healthier communities & planet ambitions ADUSA announced Our brands Albert Heijn ADUSA’s ‘Family a collaboration continued and strengthens leading Meals Movement’ with General Mills enhanced their position in organic awarded by FMI for to decrease value food donation and ra
Slide 24: Outlook
around €2.2 billion net capital expenditures around €2.3 billion free cash flow ≥€1 billion save for our customers outlook around 2023 levels 2024 underlying diluted EPS underlying operating margin ≥4.0% 1. Calculated as a percentage of underlying income from continuing operations 2. Management rema
Slide 25: Q&A
Q&A 25 Ahold Delhaize – Q3 2024
Slide 26: Corporate calendar
Q3 2024 corporate calendar 26 Ahold Delhaize – Q3 2024
Slide 27: Corporate calendar
corporate calendar rolling 12 months Q4 Q1 Q2 Q3 2024 2025 2025 2025 November 6 February 12 May 7 August 6 Q3 2024 results Q4 2024 results Q1 2025 results Q2 2025 results February 26 April Annual Report publication 2024 Annual General Meeting 27 Ahold Delhaize – Q3 2024
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