Mezzan Holding Company Kscc · KSE:MEZZAN
Mezzan Holding Company Kscc — Mezzan Holding Company — FY2018 Earnings Presentation
18 slides from Mezzan Holding Company Kscc's earnings presentation, Mar 21, 2019
Slide 1: FY2018 Earnings Presentation
FY2018 Earnings Presentation March 21, 2019 1
Slide 2: Disclaimer
Disclaimer This confidential document is provided for informational purposes only. THE INFORMATION SET OUT IN THIS PRESENTATION AND PROVIDED IN THE DISCUSSION SUBSEQUENT THERETO DOES NOT CONSTITUTE AN OFFER OR SOLICITATION OF AN OFFER TO BUY OR SELL SECURITIES IN ANY JURISDICTION. IT IS SOLELY FOR US
Slide 3: Agenda
Agenda By Families FY2018 Highlights For Families Headwinds & Tailwinds Results Capex Update Dividend Recommendation Financial Review 2019 Guidance 3
Slide 4: Mezzan Today: FY18 Headwinds
➜ ➜ Mezzan Today: FY18 Headwinds ➜➜ Full year impact post implementation of excise duty on energy drinks in UAE – persistence of parallel market ➜ Further delay in reaching breakeven point in KSA due to shortage of supply and delay in listings through-out the ➜ year, albeit commenced ➜ Delay in comm
Slide 5: Mezzan Today: FY18 Tailwinds
➜ ➜ Mezzan Today: FY18 Tailwinds ➜ Stable revenue base despite challenging and complex conditions ➜ Strong performance in Catering and Services within Food group as well ➜ as non-Food FMCG segment New Water Line in Kuwait growth within Food M&D ➜ ➜ Strong performance in FMCG sector ➜➜ ➜ Completed 2
Slide 6: Mezzan Today: Capex Update
Mezzan Today: Capex Update 2-year capex program completed Growth / Warehouses PET Bottles I.T. New Plants Plant Project Due Project Due Project Due Project Water KWI Q1 Umm Al Ramoul UAE Q3 PET Kuwait Q2 Warehouse Management Software KITCO JAWS 2 KWI Q4 PET Qatar Q2 KSA َQ2 upgrade. Partial Breadsti
Slide 7: FY2018 Dividend Recommendation
FY2018 Dividend Recommendation CASH The Board has DIVIDEND recommended the PAYOUT RATIO: distribution of 16 fils per share for the year. 64% 7
Slide 8: Mezzan Today: FY18 Highlights
S23 Mezzan Today: FY18 Highlights FYa18 EY AT: % ENGAZ % (Reported) (Reported) Change (Pro-forma)* Change Revenue 207.5 204.5 +1.4% 200 +3.7% Gross Profit 44.0 53.4 _ -176% 48.9 10.0% EBITDA 16.4 209 27.8% 20.8 21.1% Net Profit 7.7 12.9 -407% 12.8 -39.1% Attributable to Equity Holders of Parent Comp
Slide 9: FY18 Revenue: Contribution by Business Line
FY18 Revenue: Contribution by Business Line Growth is Vs. FY17 (Pro-Forma) FOOD REVENUE +3.6% NON-FOOD REVENUE +4.0% 74.8% Share of of total Group 25.2% Share of of total Group Revenue Revenue 2018 revenue growth rates vs. 2017 presented above have been calculated based on pro-forma 2017 assuming IF
Slide 10: FY18 Revenue Growth by Business Division (Food)
FY18 Revenue Growth by Business Division Growth is Vs. FY17 (Pro-Forma) FOOD Manufacturing &Distribution Contributed 49.0% -4.0% vs. FY17 (Pro-forma) to FY18 Revenues Catering Contributed 18.3% to FY18 Revenues +28.8%vs. FY17 (Pro-forma) Services Contributed 7.5% to FY18 Revenues +8.1% vs. FY17 (Pro
Slide 11: FY18 Revenue Growth by Business Division (Non-Food)
FY18 Revenue Growth by Business Division Vs. YTD’17 (Pro-Forma) NON-FOOD FMCG & Pharma Contributed 22.5% +5.0% vs. YTD’17 (Pro-forma) to FY18 Revenues Industrials Contributed 2.6% to FY18 Revenues -3.7% vs. YTD’17 (Pro-forma) 2018 revenue growth rates vs. 2017 presented above have been calculated ba
Slide 12: FY18 Revenue by Contribution and Growth by Country
FY18 Revenue by Contribution and Growth by Country Vs. FY17 (Pro-Forma) Kuwait UAE Qatar KSA Jordan Afghanistan Iraq 69.6% 11.7% 10.5% 1.9% 2.8% 2.7% 0.9% +7.6% -15.4% +7.2% -17.7% -0.1% +27.9% -7.9% Strong support from First full year post Strong performance of Shorting supply , The loss in sales h
Slide 13: FY18 P&L
SD FY18 P&L e@ e@ KD Millions FY’18 FY’17 % FY’17 % (Reported) (Reported) Change (Pro-forma)* Change Revenue 207.5 204.5 1.4% 200 3.7% Gross Pofit 44 53.4 -17.6% 48.9 -10.0% GM% 21.2% 26.1% 24.5% SG&A (33.5) (37.5) 10.7% (33.2) “1.0% Others (2.8) (2.4) -11.7% (2.4) -11.7% Underlying Profit 7.8 13.5.
Slide 14: FY18 Cash Flow
&3 FY18 Cash Flow Operating Cash Flow before WC Changes Working Capital Operating Cash Flow CAPEX/Other Investing Activities Cash Flow Before Financing Dividends/Financing/Other Increase in Net Debt @ FY18 (Reported) 17.3 -6.7 10.6 -7.2 3.5 -14.5 -11.0 KD Millions Diff.
Slide 15: Balance Sheet as of Dec 31st
Balance Sheet as of Dec 31st Total Assets Equity Net Debt Net Debt to Equity (%) KD Millions KD Millions KD Millions KD Millions 211.7 210.9 217.9 45.5 42.9% 106.4 110.1 106.0 180.3 97.5 35.0% 166.5 32.3% 86.5 34.5 29.9% 31.3% 31.5 31.8 30.3 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 2014 201
Slide 16: 2019 Guidance
2019 Guidance 2018 2019 Revenue 207.5mn HSD EBITDA 16.5mn HDD Net Profit 7.4mn HDD Capex c.5% c.5% 16
Slide 17: Q&A
Q&A 17
Slide 18: Key Contacts
Key Contacts Mohammad Khajah Head of Corporate Development and Investor Relations Mezzan Holding T: +965 2228 6336 M : +965 9977 0147 E : mohammed.Khajah@mezzan.com 18
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