Bonduelle Sca · EURONEXT:BON
Bonduelle Sca — Bonduelle — FY2022-2023 Earnings Presentation
50 slides from Bonduelle Sca's earnings presentation, 2023
Slide 1: Annual results 2022-2023 Financial year
Annual results 2022-2023 Financial year
Slide 2: Agenda
1 Introduction 2 Financial performance 3 Extra-financial performance 4 Outlook 5 Appendix
Slide 3: Introduction
1 INTRODUCTION
Slide 4: Xavier Unkovic
Xavier Unkovic ● Parcours Xavier + Photo Chief Executive Officer of the ● Organigramme Comex Bonduelle Group since June 1, 2023 4
Slide 5: A company that is developing while remaining true to its roots
A company that is developing while remaining true to its roots A family-owned A mission of Strong links with Iconic and group, pioneers in remarkable agricultural innovative brands plant-based food, modernity production and solid that is celebrating its and high impact agro-industrial 170th annivers
Slide 6: Bonduelle posts a real growth momentum
Bonduelle posts a real growth momentum Significant Increase in current revenue growth operating income + 9.2 %* 24.8 + %* vs 21/22 vs 21/22 + 5.0% at constant exchange rates *as reported 6
Slide 7: The inflationary context is affecting consumption; activities in Russia under pressure
The inflationary context is Our activities in Russia affecting consumption are under pressure Risk of business continuity and administrative and operational difficulties Compliance with local and international regulations Empowerment of operations under the group’s monitoring 7
Slide 8: But the financial performance remains insufficient
But the financial performance remains insufficient Our challenges Our responses Recovery in the commercial and industrial performance of the fresh activity and in North America Growth in activity driven by price rises Very limited profitability Return on capital employed significantly below the cost of
Slide 9: Bonduelle is operating in growing markets
Bonduelle is operating in growing markets Flexitarianism is an underlying trend that is becoming widespread + 68 % declare reducing their In Europe, the volume of pulses has grown by + 7 % meat consumption Nielsen 2023 vs precovid 1 5 people 30 % restaurants prefer in that offer a vegetarian declare
Slide 10: Financial performance
2 FINANCIAL PERFORMANCE
Slide 11: The group is organized by region and category
The group is organized by region and category At July 1, 2023* Europe Zone Non-Europe Zone Bonduelle Bonduelle Bonduelle Bonduelle Europe Fresh Fresh Eurasia Long Life Europe Americas Mercosur (BELL) (BFE) (BFA) (BEAM) Canned and frozen Fresh processed Fresh processed Canned and frozen • 4,990 FTE(1
Slide 12: 2022-2023 results
2022-2023 results Significant growth in revenue, declining volumes Current operating income up, above the annual target but insufficient A solid financial position despite the impact of inflation on inventories 12
Slide 13: Canned and frozen activities are holding up
Canned and Fresh processed frozen activities activities are are holding up under pressure well Europe : ● Fresh cut salads segments down more sharply ● Growth in fresh prepared activity is Retail market shares preserved and driven by the success of innovations limited decline in volumes ● Staggered
Slide 14: Revenue growth boosted by foreign exchange movements
Revenue growth boosted by foreign exchange movements Change in revenue +9.2% Growth on a comparable basis driven by +5.0% +4.2% price rises € +94.4 M € +0 M € 2,406.2 M A notable slowdown in the second half of the year: € +109.2 M st ● 1 half-year: +6.1% € 2,202.6 M ● 2nd half-year: +3.8% Declining
Slide 15: An extremely volatile foreign exchange environment
An extremely volatile foreign exchange environment Impact of currencies on revenue Currency movements Change in currency impact over 5 years In millions of euros Average rate 2022-2023 in € Change 2022-2023 USD 1.04 RUB 66.12 BRL 5.41 HUF 394.67 PLN 4.69 Significant strengthening of the dollar and th
Slide 16: Europe continues to drive growth
Europe continues to drive growth Change in the business portfolio Geographical breakdown of revenue Growth 2022-2023 2022-2023 A constant exchange rates and scope Other non Europe EUROPE 2.4% Eurasia 62.7% EUROPE +11.6% % 9.8 France 31.7% NON-EUROPE -5.8% Growth driven by long life activities in bot
Slide 17: Brand strengthening and dynamism
Brand strengthening and dynamism Change in the business portfolio Breakdown of revenue by brand Growth 2022-2023 2022-2023 2021-2022 At constant exchange rates and scope 1% 1% BRANDS +6.1% Europe +9.7% Non-Europe -1.7% Brands PRIVATE LABEL & +3.3% OTHER Private Label Europe Other (co-packing / affili
Slide 18: A diversified and growing portfolio
A diversified and growing portfolio Growth of all distribution channels Breakdown of revenue by distribution channel Growth 2022-2023 2022-2023 2021-2022 At constant exchange rates and scope 1% 1% RETAIL +3.2% FOOD SERVICE +13.6% Retail OTHER +13.6% Food service Other Limited growth in the retail act
Slide 19: Overall growth driven by canned and frozen activities
Overall growth driven by canned and frozen activities Growth marked by the consumption context Breakdown of revenue by technology Growth 2022-2023 2022-2023 2021-2022 A taux de change et périmètre constants CANNED +12.9% FROZEN +16.8% FRESH -5.4% Canned Frozen Fresh Europe +3.1% Fresh Non-Europe -10
Slide 20: Current operating income
Current operating income Increase in operating margin Change in current operating income ▲ at constant ▲ Like for like 2022-2023 2021-2022 exchange rates basis In € million Revenue 2,406.2 2,202.6 +9.2% +5.0% Current operating income 65.9 52.8 +24.8% +26.9% % of revenue 2.7% 2.4% 34 bps 50 bps Incre
Slide 21: Current operating income
Current operating income Europe zone, the main contributor to the group’s profitability Revenue and recurring operating income by region At constant exchange rates and scope 2022-2023 2021-2022 In € million Europe Non-Europe Europe Non-Europe Revenue 1,515.5 796.4 1,357.3 845.3 Current operating inco
Slide 22: Operational income
Operational income Non-recurring items In € million 2022-2023 2021-2022 ▲ Revenue 2,406.2 2,202.6 +9.2% Current operating income 65.9 52.8 +24.8% Non recurring items (11.7) (118.0) Operating result 54.1 (65.2) +183.1% Non-recurring items mainly related to the industrial reorganization in North Ameri
Slide 23: Financial income
Financial income Financial income In € million 2022-2023 2021-2022 Debt (23.7) (13.3) Foreign exchange result (4.6) 1.1 Other items (2.9)* (2.3)* Total (31.3) (14.5) * o/w IFRS 16 (- 2,2) * o/w IFRS 16 (- 2,2) Increase in the debt expense ● Increase in the level of debt related to the value of inven
Slide 24: Taxes
Taxes Taxes In € million 2022-2023 2021-2022 Income tax (18.5) (40.0) Effective tax rate 80.9% -50.2% Distortion of the effective tax rate due to the non-capitalization of BFA losses in 22-23 Y-1: impairment of deferred tax assets 24 Financial performance
Slide 25: Equity method
Equity method Equity method In € million 2022-2023 2021-2022 Equity method 4.4 (5.2) Income from associates (share of net income), mainly Nortera Foods (formerly BALL - 35% holding) Nortera Foods fiscal year 2022-2023: ● Revenue up 12.4%, due to price rises ● Strong increase in operating income benefi
Slide 26: Net income
Net income Change in net income In € million 2022-2023 2021-2022 ▲ Résultat Revenue net 2,406.2 2,202.6 +9.2% Current operating income 65.9 52.8 +24.8% Non recurring items (11.7) (118.0) Operating result 54.1 (65.2) +183.1% Financial income (31.3) (14.5) -115.1% Corporate tax (18.5) (40.0) +53.8% Eq
Slide 27: Net income
Net income Change in net income In € million Résultat net 2022-2023 2021-2022 ▲ Revenue 2,406.2 2,202.6 +9.2% Current operating income 65.9 52.8 +24.8% Operating result 54.1 (65.2) +183.1% Net income from continuing operations 8.8 (125.0) +107.0% % of revenue 0.4% -5.7% +604 bps Net income from disc
Slide 28: A solid financial structure
A solid financial structure Simplified balance sheet (in € million) 2022-2023 excluding IFRS 16 2021-2022 excluding IFRS 16 ASSETS LIABILITIES ASSETS LIABILITIES Fixed assets 805.2 Equity 788.9 Fixed assets 815.0 Equity 855.3 Working capital Working capital & other 340.4 Net debt 356.7 & other 308.2 N
Slide 29: A solid financial structure
A solid financial structure A largely disintermediated debt and an adapted amortization profile Breakdown of debt Debt amortization profile At June 30, 2023 Maturities in € million (1) USPP BANKING Average cost 4.01% Average debt maturity (2) 3 years Disintermediation rate 94% (1) excluding RCF (2) Ave
Slide 30: A solid financial structure
A solid financial structure Sustainable leverage despite an increase in debt Net financial debt (in € million) Net debt / REBITDA Acquisition of Del Acquisition of Del Monte (Canada), Monte (Canada), Acquisition of Ready Lebanon (USA) and Partial sale Acquisition of Ready Lebanon (USA) and Partial sal
Slide 31: Extra-financial performance
3 EXTRA-FINANCIAL PERFORMANCE
Slide 32: One third of our revenue is B Corp certified
One third of our revenue is B CorpTM certified United States Italy Many other regions already on the way: 32
Slide 33: We are making progress on the three pillars of our B! Pact
We are making progress on the three pillars of our B! Pact Our positive impact roadmap redefined in 2022 33
Slide 34: Our stakeholders' expectations are in line with our priorities
Our stakeholders' expectations are in line with our priorities Materiality analysis - May 2023 Regenerative agriculture Bonduelle’s impact on society and the Climate change environment/seen from the outside attenuation/adaptation Healthy and high quality plant-based offering accessible to all Fair s
Slide 35: Bonduelle transforms plates to better support flexitarians
Bonduelle transforms plates to better support the expectations of flexitarians 19,3 % ofbyrevenue is generated 98 Target % of products are Target 20% by 2030 main meal offers 100% by 2025 Nutri-Score A & B 82 % of products without controversial 1800 chefs have been trained Target in plant-based cooki
Slide 36: Iconic brands that reinvent themselves to gain relevance
Iconic brands that reinvent themselves to gain relevance A new identity throughout A core range that is Innovations in Europe in 2024 being modernized complete meals “fresh” pulses Lunch bowls Meal kits Snacking Salads Recyclability 36
Slide 37: Regenerative agriculture is a reality
Regenerative agriculture is a reality Our carbon trajectory is in line with our SBTI commitments in absolute terms % ofengaged 46 Target our producers are in regenerative agriculture Soil health, Water resources, Input management Training 80% in 2030 - The use of virgin fossil % - 37 12,7 % plastics
Slide 38: Our business is driven by a loyal and committed ecosystem
Our business is driven by a loyal and committed ecosystem despite a complex context % The employee engagement rate increased 1 pt. vs. 21/22 to 71 +12pts vs OpenSquare Benchmark % 88 Target >90 of producers have renewed their contracts % 71 Target: 100% in of Bonduelle sites are involved in local in
Slide 39: Outlook
4 OUTLOOK
Slide 40: The Company is embarking on a real progress trajectory
The Company is embarking on a real progress trajectory ● Recovery of North A gradual improvement in revenue American activities and profit ● Commercial activation revenue current operating in points of sale income 5 15 Relevant innovations ~+ %* ~+ %* ● ● Industrial competitivity vs 22/23 vs 22/23 ●
Slide 41: Appendix
5 Appendix 41
Slide 42: Our Governance
Our Governance As of August 31, 2023 Other Bonduelle Free Employees and Families float treasury stocks 23.20% 37.17% 7.33% Pierre et Benoît Bonduelle SCA BONDUELLE SAS French limited partnership with shares General Partner General Partner : Pierre et Benoît Bonduelle SAS 32.30% Supervisory Board / Au
Slide 43: Our Governance: Supervisory Board
Our Governance Supervisory Board Ensures permanent control 1 2 3 of company management on behalf of the Shareholders. The Bonduelle Group complies with the Afep-Medef governance principles. 1. Martin Ducroquet (Chairman) 4 5 66 2. Jean-Pierre Vannier (Vice-Chairman) 3. Laurent Bonduelle 4. Agathe Da
Slide 44: Our Governance: Audit Committee
Our Governance Audit Committee 1 2 By delegation of the Supervisory Board, this committee is responsible for supervising the financial matters. 1. Jean-Michel Thierry (Chairman) 2. Martin Ducroquet 3. Cécile Girerd-Jorry 3 4 4. Jean-Pierre Vannier 44 Appendix
Slide 45: Our Governance: Board of Directors
Our Governance Board of Directors Made up of Bonduelle family members and independent members, this Board is responsible for defining the company's strategy and investment policy. 1 2 3 4 5 1. Christophe Bonduelle (Chairman) 2. Ana-Maria Bonduelle 3. Benoît Bonduelle 4. François Bonduelle 5. Jean-Ber
Slide 46: Our Governance: Compensation Committee
Our Governance Compensation Committee This committee is independent and recommends the 1 2 compensation granted to Bonduelle family members working at Bonduelle. The committee also gives its opinion on the compensation of top managers. 1. Marie-Ange Verdickt (Chairwoman) 2. Pierre Deloffre 3. Floren
Slide 47: Our Governance: Ethics Committee
Our Governance Ethics Committee 1 2 Its aim is to support the ethical principles implemented by Bonduelle. It also provides advice on ethical issues; its role is purely advisory. 1. Philippe Vasseur (Chairman) 2. Tadeusz Bechta 3. Jean-Bernard Bonduelle 4. Cécile Girerd-Jorry 3 4 47 Annexe
Slide 48: Our Governance: Executive Committee
Our Governance Executive Committee The Executive Committee (Comex) is composed of General Managers of business units, the Director of Bonduelle Prospective and Development, the Director of Human Resources, the Director of Corporate Communications and Corporate Social Responsibility, and the Director
Slide 49: Thank you !
Thank you ! En conformité avec la norme comptable IFRS 5, les éléments du compte de résultat 2021-2022 relatifs aux activités conserve et surgelé en Amérique du Nord, cédées au 30 juin 2022, dont le groupe détient désormais 35 %, ont été retraités et regroupés dans la rubrique “résultat net des acti
Slide 50: Thank you
company/bonduelle Thank you