Elopak Asa · OSL:ELO
Elopak Asa — Q4 2023 Earnings Presentation
27 slides from Elopak Asa's earnings presentation, Feb 15, 2024
Slide 1: Q4 2023 Quarterly presentation
Q4 2023 Quarterly presentation FEBRUARY 15, 2024
Slide 2: Disclaimer
Disclaimer Certain statements included in this announcement contain forward -looking information, including, without limitation, information relating to (a) forecasts, projections and estimates, (b) statements of Elopak management concerning plans, objectives and strategies, such as planned expansio
Slide 3: Elopak at a glance
Elopak at a glance Group Historical revenue development1 1,132 Russia 1,024 940 910 909 906 909 The world’s largest player in fresh liquid carton packaging 856 872 85 778 780 781 769 776 14 billion cartons produced in 2023 855 Sales to 70+ markets 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 20
Slide 4: We're in the business of sustainable packaging
I We’re in the business of sustainable packaging
Slide 5: We're in the business of protecting essential commodities
I We’re in the business of protecting essential commodities
Slide 6: We're in the business of enabling world nutrition
I We’re in the business of enabling world nutrition
Slide 7: We're in the business of replacing plastics
I We’re in the business of replacing plastics
Slide 8: Business performance
2023 Business performance CEO Thomas Körmendi
Slide 9: 2023 - a year of significant achievements
2023 - a year of significant achievements Despite challenges in global markets; ▹ Strong growth across strategic priorities and significant interest in our offering ▹ A new production plant in the US will be built to meet increased market demand ▹ 2023 marks the achievement of all 3-5 year targets s
Slide 10: Last quarter of 2023 was yet another one of strong performance
Last quarter of 2023 was yet another one of strong performance Business highlights Americas: Signed major Revenue at 287 EURm Adjusted EBITDA of 40 EURm contracts, and decided Little 7% YoY growth 4 EURm YoY growth Rock, Arkansas (US) as new 8% organic 13.9% margin production plant location EMEA: So
Slide 11: Financial highlights
Financial highlights Q4 2023 strong revenue growth from filling machine sales Group revenues (EURm) Group adjusted EBITDA (EURm) 2022 2023 13.5% 13.9% 11.7% 15.1% +43% +11% 1,132 171 1,024 119 +11% +7% 267 287 36 40 Q4 FY Q4 FY ▹ Q4 2023 organic* revenue growth of 22 EURm, 8% YoY ▹ Strong EBITDA gro
Slide 12: Business update: EMEA
Business update: EMEA Solid Q4 23 performance – growth mainly driven by increased sale of filling machines Revenues (EURm) - EMEA Key commentary 2022 ▹ Strong increase in sale of filling machines – a leading 2023 indicator of future growth +11% ▹ Stable Pure-Pak® carton volumes in the quarter, despi
Slide 13: Business update: Americas
Business update: Americas Continued growth from increased filling machine sales and fresh dairy segment Revenues (EURm) - Americas Key commentary 2022 ▹ Revenue growth from increase in filling machine placements 2023 and Pure-Pak® fresh dairy volumes +12% ▹ Increase in supply of school milk to the U
Slide 14: Five profitable growth drivers steer Elopak's future direction
Five profitable growth drivers steer Elopak’s future direction Today Mid to long term goal Fresh opportunity Aseptic growth Broaden Plastic to carton Commercial in North America roadmap geographic footprint conversion excellence Global fresh Execute Americas Growth on the MENA: profitable Non-food g
Slide 15: Taking a look at the growing global market for yoghurt products
Taking a look at the growing global market for yoghurt products
Slide 16: World's largest franchise brand of yogurt chooses Elopak cartons
World’s largest franchise brand of yogurt chooses Elopak cartons ▹ Yoplait yoghurt is now offered in 750 ml Pure-Pak® Sense cartons in France ▹ One carton replaces 6 plastic pots of yoghurt and reduces packaging material with 50% ▹ 85% of consumers asked preferred cartons over plastic pots for their
Slide 17: Introducing the next generation filling equipment for the European market
Introducing the next generation filling equipment for the European market ▹ The new filling machine has exceptional hygiene characteristics and is developed to fill a wide range of chilled products ▹ Possible to extend shelf life up to 60 days; contributing to reduced food waste ▹ Built with high pr
Slide 18: Q4 2023 Financial performance
Q4 2023 Financial performance CFO Bent Kilsund Axelsen
Slide 19: Adjusted EBITDA, Q4 2023
Adjusted EBITDA, Q4 2023 Margin growth in Q4 driven by solid profitability in Americas, as EMEA is affected by negative IFRS15 impact Adjusted EBITDA (EURm) and Adjusted EBITDA margin (%) Key commentary EMEA EMEA Americas ▹ Volume and pricing contribute positively ▹ Raw material prices and input cos
Slide 20: Adjusted EBITDA, Q4 2023
Adjusted EBITDA, Q4 2023 EBITDA development supported mainly by growth in Americas Adjusted EBITDA and EBITDA Margin % Quarterly (EURm) +4 EURm +11% 1.8 0.4 6.0 4.6 4.8 40.0 35.9 13.9% 13.5% Q4 2022 Net revenue mix Raw materials* Operations Other Currency effect** Q4 2023 *Raw materials are only rel
Slide 21: Cash flow FY 2023
Cash flow FY 2023 Strong cash from operations funding dividends and plant investments, as well as down-payment of debt Cash flow from operations Cash flow to investments Cash flow from financing 17 -22 0 61 -41 9 -20 -31 101 -87 26 0 13 Cash at Profit before Depreciation, Change Other Acquisitions P
Slide 22: Financial position
Financial position Leverage ratio ahead of mid-term target of 2.0x Leverage ratio Key commentary Net Debt Leverage (mEUR) Ratio Net debt of 333 EURm 400 391 386 5.0 ▹ Bank debt 231 EURm 363 367 348 4.5 ▹ Lease liabilities 102 EURm 340 347 350 91 333 96 318 81 91 4.0 74 Leverage ratio improved from 3
Slide 23: Dividend Proposal of NOK 1.46 Per Share
Dividend Proposal of NOK 1.46 Per Share Historical Dividend Payments Key commentary 1.46 ▹Attractive and predictable shareholder distribution for 2023 0.86 ▹Annual dividend pay-out ratio of 50% of the 0.75 Group’s Adjusted net profit 0.52 0.50 0.50 2021 2022 2023 2021 2022 2023 Dividend NOK per shar
Slide 24: Outlook 2024
I Outlook 2024 ▹ Geopolitical conditions can potentially influence the volatility of raw material prices ▹ Macroeconomic conditions directly influence consumer behavior and consumption patterns ▹ We remain confident in the long term fundamentals of our business and expect to continue to deliver on o
Slide 25: Summary
I IMAGES TO BE UPDATED Summary ▹ 2023 was a year of significant progress and achievements for Elopak; delivering on all original IPO targets ▹ In Q4, we continued to improve our business further and delivered strong growth and solid profitability ▹ Realizing our new production plant in the US will b
Slide 26: Financial calendar
I Financial calendar Event Dates Annual Report 2023 April 10 Q1 2024 May 8 Annual General Meeting May 13 Ex Dividend May 14 Q2 2024 August 15 Q3 2024 October 30 Want to learn more about what we do? Visit us at the Economist Sustainability Week (London, March 4-6!
Slide 27: Thank you!
Thank you!