Anora Group Oyj · OMXHEX:ANORA
Anora Group Oyj — Q2 2024 Earnings Presentation
28 slides from Anora Group Oyj's earnings presentation, Aug 20, 2024
Slide 1: Q2 24 Results presentation
Q2 24 Results presentation with CEO Jacek Pastuszka and CFO Stein Eriksen 20 August 2024
Slide 2: Today’s agenda and speakers
Today’s agenda and speakers 1 Business review 2 Financial review 3 Summary 4 Q&A Jacek Pastuszka Stein Eriksen CEO CFO Q2 24 Results presentation | 20 August 2024 | 2
Slide 3: Business review
Business review Q2 24 Results presentation | 20 August 2024 | 3
Slide 4: Q2 results: Comparable EBITDA improved in Q2 due to higher gross margin
Business review Q2 results: Comparable EBITDA improved in Q2 due to higher gross margin Net sales Gross margin, % Comparable EBITDA Comparable EBITDA margin, % 177.1 (182.7) 42.3 (38.8) 8.6 (7.1) 15.2 (13.0) EUR million % of net sales EUR million Decline solely due to Results visible from Implemente
Slide 5: Wine
Business review Wine New wine launches & tender wins Net sales (total) Q2 highlights EUR million 0.8% 8% wines in grocery stores in Finland 81.6 82.2 • Net sales increased by 0.8% to EUR 82.2 million. • Anora launched a wide range of 8% ABV wines in June, after the legislative change in Finland’s Al
Slide 6: Spirits
Business review Spirits Successful launches Net sales (total) Q2 highlights EUR million 0.2% • Net sales amounted to EUR 58.5 million. Sweden 58.4 58.5 • Sweden and Norway delivered net sales Two new 4.5% ready-to-drink Koskenkorva growth, whereas the net sales declined Hard Seltzers –Raspberry Pome
Slide 7: Industrial
Business review Industrial Net sales (total) EUR million Q2 highlights -13.4% 70.3 60.8 Internal • External net sales decreased by 14.2%. 27.9 24.4 • The Industrial segment net sales was negatively impacted by lower contract External 42.4 36.4 manufacturing volumes combined with lower side product s
Slide 8: Changes in Anora Group’s Executive Management Team
Business review Changes in Anora Group’s Executive Management Team: The Head of Anora’s Industrial segment to change Anora Group’s Senior Vice President, Industrial, Risto Gaggl steps down from his position. He will continue in his current role with Anora until the end of 2024. Anora has appointed H
Slide 9: Financial review
Financial review Q2 24 Results presentation | 20 August 2024 | 9
Slide 10: Net sales development
Financial review Net sales development Q2 2024 net sales decreased by 3.1% Group net sales EUR million 2023: 726.5 H1/2024: 324.0 • Q2/24 net sales: 177.1 (182.7) MEUR, down by 3.1%. 211.3 • Net sales declined solely due to a decrease 182.7 173.0 177.1 159.5 146.9 in Industrial segment net sales, as
Slide 11: In Q2 2024, net sales decreased by 3.1%
Financial Review In Q2 2024, net sales decreased by 3.1% Net sales declined solely due to a decrease Industrial segment net sales Net sales (external), EUR million Net sales (external), EUR million and change per segment • The launch of Anora’s 8% ABV wines started well in Finnish grocery retailers
Slide 12: Q2 Group comparable EBITDA was up by 16.9% from last year
Financial Review Q2 Group comparable EBITDA was up by 16.9% from last year Comparable EBITDA improved in Q2 due to higher gross margin Comparable EBITDA, EURm and % of net sales Comparable EBITDA, EURm and change per segment • Results were visible from the cost cuts 23.3 23.6 and price increases mad
Slide 13: Barley sourcing
Financial review Barley sourcing Barley price development Anora used EUR/tn* 400 42.6 (38.7) 350 million kg 300 206 of grain in Q2 2024 250 e/tn* 200 150 100 50 0 Key principles for barley sourcing: 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 • Purchased
Slide 14: Cash flow development
Financial review Cash flow development Cash flow decreased from the previous year Net cash flow from operations EUR million 2023: 135.3 H1 2024: -49.0 • The net cash flow from operations totalled EUR -49.0 (49.0) million in H1 2024. 100.1 • Explained by the seasonal increase in working capital of EU
Slide 15: Net working capital
Financial Review Net working capital Net working capital was at a level of –3% of net sales at the end of June (LTM) • The Group’s net working capital improved to Net working capital, EUR million and % of net sales, (LTM) EUR -21.1 (12.1) million at the end of June. • Further progress in reducing in
Slide 16: Leverage
Financial Review Leverage Anora’s efforts to reduce leverage progressed well Net debt incl. lease liabilities, MEUR and • Net debt decreased to EUR 200.7 (253.1) million at Net Debt / Comparable EBITDA (LTM) the end of Q2, primarily due to the sale of Larsen -21% business 285.5 253.1 219.5 • Net deb
Slide 17: Our long-term financial targets for 2030
Financials | Targets Our long-term financial targets for 2030 Actual Actual Actual Long-term financial targets for 2030 Q2 2024 2023 2022 Net sales growth 3–5% -3.1% 3.4% 5.7% including M&A, majority being organic Comparable EBITDA margin Through focus on margin accretive business and scale benefits
Slide 18: Summary of Q2 2024
Summary of Q2 2024 Net sales declined by Comparable EBITDA 3.1% to EUR 177.1m, Our efforts to reduce improved in Q2 due to solely due to a our net debt leverage higher gross margin. decrease in Industrial progressed well. net sales. Q2 24 Results presentation | 20 August 2024 | 18
Slide 19: Outlook 2024
Outlook 2024 Market outlook 2024 In 2024, the volumes in our key markets are expected to be slightly lower than in 2023 due to challenging economic conditions. Guidance 2024 In 2024, Anora’s comparable EBITDA is expected to be EUR 75-85 million (2023: EUR 68.2 million). Q2 24 Results presentation |
Slide 20: Q&A
Q&A Q2 24 Results presentation | 20 August 2024 | 20
Slide 21: Our next scheduled event / Thank you!
Our next scheduled event • 7 November 2024 | Q3 report for 1-9/2024 Thank you!
Slide 22: Appendix
Appendix Q2 24 Results presentation | 20 August 2024 | 22
Slide 23: Anora's top 10 shareholders 28 June 2024
Ownership structure Anora's top 10 shareholders 28 June 2024 Shareholder Shares % of shares ILLUSTRATION OF ANORA’S OWNERSHIP Solidium Oy 13,097,481 19.4 Varma Mutual Pension Insurance Company 2,031,240 3.0 Ilmarinen Mutual Pension Insurance Company 1,290,000 1.9 Rest of the world WestStar Oy 1,199,
Slide 24: Q2/H1/FY income statement
Financial review Q2/H1/FY income statement EUR million Q2 24 Q2 23 H1 24 H1 23 2023 Net sales 177.1 182.7 324.0 342.2 726.5 Other operating income 1.8 1.9 4.1 4.0 20.3 Materials and services -104.1 -113.6 -189.7 -210.7 -441.4 Employee benefit expenses -26.7 -26.5 -53.0 -52.0 -103.8 Other operating e
Slide 25: Q2 balance sheet
Financial Review Q2 balance sheet EUR million 30 Jun 30 Jun 31 Dec EUR million 30 Jun 30 Jun 31 Dec 2024 2023 2023 2024 2023 2023 EQUITY AND LIABILITIES ASSETS Equity attributable to owners of the parent Non-current assets Share capital 61.5 61.5 61.5 Invested unrestricted equity fund 336.8 336.8 33
Slide 26: Anora’s Executive Management Team
Governance Anora’s Executive Management Team Jacek Pastuszka Stein Eriksen Janne Halttunen Kirsi Puntila CEO CFO SVP, Wine SVP, International Joined Anora in Oct. 2023 Previously, Stein was the after a long career at CFO XXL, the largest sports Carlsberg, most recently as retailer in the Nordic Inte
Slide 27: Anora’s Board of Directors
Governance Anora’s Board of Directors Michael Holm Johansen Jyrki Mäki-Kala Kirsten Ægidius Christer Kjos Chairperson Vice Chairperson Member Member Shareholdings: 80,000 Shareholdings: 13,600 Shareholdings: 6,100 Shareholdings: - Chair of the Human Chair of the Audit Committee Member of the Human M
Slide 28: www.anora.com | investor.relations@anora.com
www.anora.com | investor.relations@anora.com | Follow us: