Britvic — Investor Presentation (2022)
33 slides from Britvic's investor presentation, 2022
Slide 1: Britvic overview
Enjoying Life’s Everyday Moments Britvic overview Enjoying Life’s Everyday Moments
Slide 2: Becoming the most dynamic soft drinks company
Enjoying Life’s Everyday Moments At Britvic, we're on a journey to become the most dynamic soft drinks company, creating a better tomorrow • Headquartered in the UK • Broad Portfolio of #1 and #2 brands, both company-owned and through long-term partnership with PepsiCo • Strong multi-channel route t
Slide 3: Contents
Enjoying Contents Life’s Everyday Moments • History Slide 3 • Our strategy Slide 4-10 • Where we operate slide 11-24 • People and culture slide 25-29 • Value creation slide 30-31 • Investment case slide 32 3
Slide 4: Our history
Enjoying Our history Life’s Everyday Moments In Chelmsford a The Boiling Tap Company chemist begins The British Vitamin Britvic acquired the rebrands as Aqua Libra creating homemade Product Company soft drink’s arm of Sign up to Science Co - providing tasty, soft drinks formally changes its Tango &
Slide 5: Our strategy
Enjoying Life’s Everyday Moments Our strategy 5
Slide 6: Our Purpose and Vision
Enjoying Our Life’s Purpose and VisionEveryday Moments OUR PURPOSE OUR VISION Enjoying life’s everyday moments The most dynamic soft drinks company, creating a better tomorrow • Britvic is a purpose-driven organisation with a clear vision and a clear set of • Our vision provides a clear view of the
Slide 7: Our strategy
Enjoying Our strategy Life’s Everyday Moments STRATEGIC PRIORITIES BUILD LOCAL FLAVOUR HEALTHIER ACCESS FAVOURITES & BILLIONS PEOPLE, NEW GLOBAL PREMIUM OF WATER HEALTHIER GROWTH BRANDS OCCASIONS PLANET SPACES MARKET FOCUS GLOBALISE PREMIUM BRANDS LEAD MARKET ACCELERATE AND & IMPROVE PROFITABILITY G
Slide 8: Strategic priorities
Enjoying Strategic Life’s priorities Everyday Moments BUILD LOCAL FAVOURITES & FLAVOUR BILLIONS OF HEALTHIER PEOPLE, ACCESS NEW GLOBAL PREMIUM BRANDS WATER OCCASIONS HEALTHIER PLANET GROWTH SPACES • Drive core ranges and leverage • Consumer trend towards healthier • A positive contributor to the peo
Slide 9: Each geography has a clear role in our growth strategy
Enjoying Each Life’s geography has a Everyday Moments clear role in our growth strategy • Outpace the category with focus on family favourites, scale innovation, LEAD MARKET healthier and more premium choices GROWTH IN GB • Channel and category expansion • Enhanced long-term PepsiCo relationship • C
Slide 10: Creating value for our stakeholders
Enjoying Creating valueLife’s Everyday Moments for our stakeholders CONSUMERS SUPPLIERS CUSTOMERS Providing choice for all our An ethical and responsible We are a trusted partner for consumers approach to our supplier our customers base COMMUNITIES EMPLOYEES SHAREHOLDERS We support the communities B
Slide 11: Our 2025 ambitions
Enjoying Our Life’s 2025 ambitions Everyday Moments PEOPLE PLANET PERFORMANCE Happy, healthy people, thriving in a Minimise environmental impact by Consistent top quartile performer, dynamic, inclusive workplace eliminating waste in all its forms delivering superior, enduring returns • Calories per
Slide 12: Capital Allocation
Enjoying Capital Life’s Allocation Everyday Moments DIVIDENDS STRONG UNDERLYING FCF CONVERSION M&A Progressive dividend policy – 50% pay Value-adding M&A out ratio STRONG UNDERLYING FCF CAPEX CONVERSION DEBT Investment in organic growth & Maintain long-term debt leverage within innovation 1.5x to 2.
Slide 13: Where we operate
Enjoying Life’s Everyday Moments Where we operate 13
Slide 14: Our business model
Enjoying Our Life’s business model Everyday Moments INSIGHT SOURCING PRODUCTION CUSTOMER MARKETING 14
Slide 15: Where we operate
Enjoying Where Life’s we operate Everyday Moments BRAND CONTRIBUTION VOLUME BY REGION REVENUE BY REGION BY REGION % share by region Million litres % share by region £m % share by region £m Great Britain 72% 1,697.2 Great Britain 68% 956.1 Great Britain 75% 381.0 Brazil 12% 288.3 Brazil 8% 114.1 Braz
Slide 16: Our business units
Enjoying Where Life’s we operate Everyday Moments OUR BUSINESS UNITS: GREAT BRITAIN 1,709 employees BRAZIL 1,350 employees OTHER INTERNATIONAL (including Ireland and France) 824 employees As well as manufacturing products in four different countries we export our iconic brands to more than 100 count
Slide 17: Great Britain overview
Enjoying Life’s Everyday Moments Great Britain overview #2 soft drinks supplier | Portfolio of carbonated and still brands Available in all retail channels | 3 factories, 2 local offices and group head office 17
Slide 18: Great Britain at a glance
PRODUCTION Enjoying Britain atLife’s Everyday Moments SITES Great a glance OFFICES DISTRIBUTION 1,709 EMPLOYEES LEEDS 5 lines: 2 glass, 1 bag in box & 2 PET lines RUGBY 7 lines: 3 cans, 3 PET, 1 aseptic BECKTON 5 lines: PET DISTRIBUTION CENTRE: Lutterworth OFFICES: Hemel Hempstead, Solihull, Mica Po
Slide 19: Brazil overview
Enjoying Life’s Everyday Moments Brazil overview Acquired 2015 & 2017 | Range of concentrates and juice-based brands Mainly available in modern grocery channel | 3 factories 19
Slide 20: Brazil at a glance
Enjoying Brazil Life’s at a glance Everyday Moments 1,350 EMPLOYEES ARACATI - CEARA 10 lines: PET, cans, juice, carbs, RTD, B2B ARAGUARI – MINAS GERAIS 5 lines: PET, cans, 200ml, juice, carbs, RTD, B2B ASTOLFO DUTRA – MINAS GERAIS 5 lines: glass, PET, cans, 200ml, juice, carbs, RTD, B2B FLORES DA CU
Slide 21: France overview
Enjoying Life’s Everyday Moments France overview Acquired 2010 | Range of syrups and juice-based brands | Mainly available in grocery channel | 1 factory 21
Slide 22: France at a glance
Enjoying France Life’s at a glance Everyday Moments 350 EMPLOYEES CROLLES 5 lines: metal bottle, PET, glass, bag in box, syrup OFFICES: Crolles PRODUCTION SITES OFFICES 22
Slide 23: Ireland overview
Enjoying Life’s Everyday Moments Ireland overview Acquired 2008 | Portfolio of carbonated and still brands | Available in all retail channels | 2 factories 23
Slide 24: Ireland at a glance
Enjoying Ireland Life’s at a glance Everyday Moments 419 EMPLOYEES KYLEMORE 5 lines: glass, PET, cans, juice, carbs, RTD NEWCASTLE WEST 3 lines: glass, PET BRITVIC IRELAND OFFICES: Kylemore & Belfast PRODUCTION SITES OFFICES 24
Slide 25: Other international overview
Enjoying Life’s Everyday Moments Other international overview Premium brands through distribution agreements | Benelux, United States, Travel and Export sales to 100+ countries Supplied from other markets 25
Slide 26: People & culture
Enjoying Life’s Everyday Moments People & culture 26
Slide 27: Our Purpose and Vision
Enjoying Our Life’s Purpose and Everyday Moments Vision OUR PURPOSE OUR VISION Enjoying life’s everyday moments The most dynamic soft drinks company, creating a better tomorrow • Britvic is a purpose-driven organisation • Our vision provides a clear view of the company with a clear vision and a clea
Slide 28: Our values
Enjoying Our values Life’s Everyday Moments • Together with our purpose and vision, our values are helping us to build a culture where people come first, and we can all thrive ACT WITH PACE • Creating an environment where every single one of our people feels free to act, inspired to grow, valued for
Slide 29: Our Board members
Enjoying Life’s Everyday Moments Our Board members JOHN DALY SIMON LITHERLAND JOANNE WILSON SUE CLARK Non-Executive CEO CFO Independent Chairman Non-Executive Director WILLIAM ECCLESHARE EMER FINNAN EUAN SUTHERLAND CLARE THOMAS Independent Independent Independent Company Secretary & Non-Executive Di
Slide 30: Our Executive team
Enjoying Life’s Everyday Moments Our Executive team SIMON LITHERLAND JOANNE WILSON ELLY TOMLINS MATT BARWELL SUDEEP SHETTY CEO CFO CPO CMO CI&TO PAUL GRAHAM PEDRO MAGALHÃES HESSEL DE JONG KEVIN DONNELLY STEVE POTTS MD, Great Britain MD, Brazil MD, Britvic Teisseire MD, Ireland MD, Beyond the Bottle
Slide 31: Stakeholder highlights
Enjoying highlights Stakeholder Life’s Everyday Moments PEOPLE PLANET PERFORMANCE • Over 70% of total volume is low or no calorie • 30% of plastic bottles in GB & Ireland now • Total shareholders returns have consistently made from recycled PET out-performed the FTSE250 • Diversity, inclusivity and
Slide 32: FY21 Key financial metrics
Enjoying FY21 Life’s Key financial Everyday Moments metrics REVENUE ADJUSTED EBIT FREE CASH FLOW £1,405.1m £176.5m £132.7m DEBT LEVERAGE ADJUSTED EPS /DPS TSR 2.1x 44.3p / 24.2p 20% FY21 is the year ended 30 September 2021 * Measured as adjusted net debt divided by EBITDA 32
Slide 33: Summary
Enjoying Summary Life’s Everyday Moments A portfolio of A well-invested Long-term agreement A sustainable leading brands infrastructure with PepsiCo business Well-financed and A track record of A resilient and An engaged and cash generative growth growing category agile workforce 33