Caseys General Stores, Inc. · NASDAQ:CASY
Caseys General Stores — Shareholder Meeting (September 2019)
25 slides from Caseys General Stores's shareholder meeting presentation, Sep 4, 2019
Slide 1: Annual Shareholders' Meeting Fiscal Year Ended April 30, 2019
Annual Shareholders’ Meeting Fiscal Year Ended April 30, 2019 September 4, 2019
Slide 2: Safe Harbor Statements
Safe Harbor Statements This presentation is dated as of August, 30 2019 and speaks as of that date. Forward-Looking Statements This presentation contains statements that may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forwar
Slide 3: Board of Directors
Board of Directors » H. Lynn Horak » David Lenhardt – Chair of Casey’s General Stores, Inc. – Former President and Chief Executive Officer of » Darren Rebelez PetSmart, Inc. – President and CEO of Casey’s General Stores, Inc. » Larree Renda » Diane Bridgewater – Retired Executive Vice President of S
Slide 4: Special Guests
Special Guests » Sean Vicente – Partner, KPMG LLP » Tim Dohlman – Inspector of Election, American Election Services 4
Slide 5: Slide 5
Slide 6: 4th Largest C-Store Business in North America
4th Largest C-Store Business in North America1 $7.0 billion 2,100+ 650 million+ 37,000+ Total Enterprise Value Locations in 16 States Guests/Year Total Employees Stock Information2 NASDAQ: CASY Common Shares: 37.0 million Market Cap: $6.2 billion Avg Daily Volume: 349,775 shares LTM Growth Positive
Slide 7: Fuel Category
Fuel Category » Same-Store Gallons Sold Gallons Sold (in Millions) – Fiscal 2019 Actual: (1.7%) 7% CAGR 2,296 2,199 – Fiscal 2020 Guidance: (0.5%) – 1.0% 2,062 » Average Margin 1,952 1,817 – Fiscal 2019 Actual: 20.3 cpg – Fiscal 2020 Guidance: 20.5 – 22.5 cpg FY 2015 FY 2016 FY 2017 FY 2018 FY 2019
Slide 8: Grocery & Other Merchandise Category
Grocery & Other Merchandise Category » Same-Store Sales Revenue (in Millions) – Fiscal 2019 Actual: 3.6% 8% CAGR $2,370 – Fiscal 2020 Guidance: 2.5% – 4.0% $2,184 $2,087 $1,974 » Average Margin $1,795 – Fiscal 2019 Actual: 32.1% – Fiscal 2020 Guidance: 32.0% – 33.0% FY 2015 FY 2016 FY 2017 FY 2018 F
Slide 9: Prepared Food & Fountain Category
Prepared Food & Fountain Category » Same-Store Sales Revenue (in Millions) – Fiscal 2019 Actual: 1.9% 10% CAGR $1,074 $1,006 – Fiscal 2020 Guidance: 3.0% – 6.0% $953 » Average Margin $881 $781 – Fiscal 2019 Actual: 62.2% – Fiscal 2020 Guidance: 61.0% – 63.0% FY 2015 FY 2016 FY 2017 FY 2018 FY 2019 G
Slide 10: Fiscal 2020 Guidance as provided on June 10, 2019
Fiscal 2020 Guidance as provided on June 10, 2019 Same-Store Sales Average Margin Fuel (Gallons and CPG) (0.5%) – 1.0% 20.5 – 22.5 Grocery and Other Merchandise 2.5% – 4.0% 32.0% – 33.0% Prepared Food and Fountain 3.0% – 6.0% 61.0% – 63.0% Operating Expenses 7.0% – 9.0% (Including Value Creation Pla
Slide 11: Continuing Our Value Creation Plan
Continuing Our Value Creation Plan Digital Engagement Fleet Card Price Optimization Focus on Operating Expenses Capital Allocation Dividends and Share Repurchase 11
Slide 12: Digital Engagement
Digital Engagement Identify and Provide Digital Journey Understand Seamless Guests Convenience Design Website enhancement design phase FY 2018 for Guests Objectives Enterprise and services integration Build In-store technology design, build, & FY 2019 pilot Integrated commerce platform Imple
Slide 13: Fleet Card
Fleet Card Customer Data » As of FYE 2019, +1,300 new accounts and 7,200 new cards issued » Casey’s locations and prepared food offerings are ideally aligned with third party study of fleet driver preferences Customer Increased Loyalty Fuel Sales » Assumptions for incremental fuel volumes and in- Fl
Slide 14: Price Optimization
Price Optimization Transforming Marketing Process Price Optimization Roadmap Through New Technology Models developed for key categories » Rules Based Pricing Fuel optimization staffing complete and 80% of Q4 sites live on PriceAdvantage FY2019 » Promotion Optimization All sites live on PriceAd
Slide 15: Continued Focus on Operating Expenses
Continued Focus on Operating Expenses Operating Expenses at Unchanged Stores Cost Reduction Measures » Completed pizza delivery Q3 FY 2018 6.6% actions and enhancements 5.7% » 24-hour store hours refined Q4 FY 2018 4.2% » New fleet management 3.7% Q3/Q4 FY 2018 system (Fuel & Grocery) 2.2% » Enhance
Slide 16: Disciplined Approach to Capital Allocation
Disciplined Approach to Capital Allocation Disciplined Approach to Capital Capital Allocation Priorities » Store base has been significantly upgraded » Invest in high-return growth & profitability initiatives » Limited future capital requirements for store upgrades – Digital Engagement 71% – Price O
Slide 17: Disciplined Approach to Capital Allocation (cont'd)
Disciplined Approach to Capital Allocation (cont’d) Dividends Store Growth 3% » 19 consecutive 2,146 years of dividend 10% CAGR CAGR 2,073 increases $1.16 1,978 » Board approved a $1.04 1,931 $0.96 1,878 quarterly dividend $0.88 increase to $0.32 $0.80 per share at June 2019 meeting FY 2015 FY 2016
Slide 18: Cash Flows and Balance Sheet
Cash Flows and Balance Sheet April 30, 2019 Operating cash flows $531 million Capital expenditures $453 million Cash and cash equivalents $63 million Long-term debt (net of current maturities) $1.3 billion Total shareholders’ equity $1.4 billion Debt : EBITDA 2.4x Financial covenants (Debt : EBITDA)
Slide 19: EBITDA & Diluted Earnings Per Share (EPS)
EBITDA & Diluted Earnings Per Share (EPS) EBITDA (in Millions) Diluted EPS 9% 11% CAGR CAGR $560 $563 $5.73 $5.51 $509 $479 $486 $4.62 $4.48 $3.81 FY 2015 FY 2016 FY 2017 FY 2018 FY 2019 FY 2015 FY 2016 FY 2017 FY 2018 FY 2019 19 Note: FY 2018 figures exclude one-time benefit from Tax Cuts and Jobs
Slide 20: Casey's Share Price
Casey’s Share Price Share Price For the Fiscal Year Ended April 30, closing price, $ 200 167.84 150 132.35 112.00 112.07 96.60 100 82.18 68.66 Share $ Price, Share 50 0 2014 2015 2016 2017 2018 2019 Current* 20 Note: Current as of market close August 30, 2019
Slide 21: Casey's Total Shareholder Return
Casey’s Total Shareholder Return Total Shareholder Return For the Fiscal Year Ended April 30, $ 250 202 200 166 168 146 150 121 100 Investment, $ Investment, 50 0 2014 2015 2016 2017 2018 2019 The graph assumes a $100 Investment in the Company’s Common Stock on April 30, 2014 and reinvestment of all
Slide 22: Slide 22
Slide 23: Leadership Team
Leadership Team » Darren Rebelez » Darryl Bacon » James Pistillo – President and Chief Executive – VP, Food Services – VP, Accounting & Treasurer Officer » Chris Boling » Rich Schappert » Bill Walljasper – VP, Store Operations – VP, Information Technology – Senior VP, Chief Financial Officer » Hal B
Slide 24: Annual Shareholders' Meeting Fiscal Year Ended April 30, 2019
Annual Shareholders’ Meeting Fiscal Year Ended April 30, 2019 One Se Convenience Blvd. Ankeny, IA 50021 515-965-6100 24
Slide 25: Thank you for your investment
Thank you for your investment
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