Dino Polska Sa · GPW:DNP
Dino Polska Sa — FY2018 Earnings Presentation
19 slides from Dino Polska Sa's earnings presentation, Mar 14, 2019
Slide 1: Full Year 2018 Financial results
Full Year 2018 Financial results 14th March 2019
Slide 2: Disclaimer
Disclaimer Neither this presentation (the “Presentation”) nor any copy of it nor the information contained herein being issued, and nor may this Presentation nor any copy of it nor the information contained herein be distributed directly or indirectly to or into, the United States, Canada, Australia
Slide 3: Our achievements in 2018
Our achievements in 2018 +202 stores +27.3% net sales area y-o-y (+147 in 2017) (+23.8% at end of 2017 y-o-y) +30.8% sales y-o-y +11.6% LFL y-o-y (+34.4% in 2017 y-o-y) (+16.2 in 2017 y-o-y) +34.8% EBITDA1 y-o-y +0.3pp EBITDA1 margin y-o-y (+39.2% in 2017 y-o-y) (+0.3pp in 2017 y-o-y) (1) Adjusted f
Slide 4: Proven roll-out capabilities based on store ownership
Proven roll-out capabilities based on store ownership 2011: 154 stores, 1 distribution center 2014: 410 stores, 2 distribution centers 2018: 977 stores, 4 distribution centers Distribution centers Opened stores Still plenty of room to increase density in existing areas as well as expand to new regio
Slide 5: Network expansion – higher number of stores and geographic composition
Network expansion – higher number of stores and geographic composition Network expansion Regional coverage Net sales area (’000 m2) Stores per 100k inhabitants as of December 31, 2018 (in brackets as of December 31, 2017) 32 50 81 119 151 192 238 295 376 0.7 (0.4) 0.1 No. of stores 2.8 (0.0) 977 (1.
Slide 6: Significant growth of LFL sales
Significant growth of LFL sales Annual Sales mix Inflation 2.6 4.3 3.7 0.9 0.0 (0.9) (0.6) 2.0 1.6 (deflation) % Product split by revenue in 2018 Non-food 18.0% 15.5% 16.6% 16.2% 12% Fresh food 14.1% 38% 14.0% 11.6% 11.3% 10.0% 7.5% 5.4% 5.1% 6.0% 4.3% 4.2% 4.2% 2.7% 2.6% Dry food, 2.0% 0.8% beverag
Slide 7: High revenue growth
High revenue growth1 Revenues (PLNm) +27.7% r/r 1,613 5,839 1,544 1,410 +30.8% r/r 1,264 1,271 4,463 1,206 1,095 3,321 898 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 2016 2017 2018 2017 2017 2017 2017 2018 2018 2018 2018 Source: Company financial statements (1) In 2018, the Company changed the method of recognizing tr
Slide 8: Consistent growth in results and the EBITDA margin
Consistent growth in results and the EBITDA margin1 EBITDA margin 10.0% 10.6% 8.9% 9.0% 8.8% 9.2% 9.0% 9.3% 7.6% 8.2% 8.7% +35.2% r/r (EBITDA PLNm) 170.6 541.1 141.5 31.6 112.1 126.2 124.6 401.4 +34.8% r/r 108.9 28.4 104.4 97.8 23.8 26.9 85.9 288.3 22.5 25.1 68.5 20.4 65.2 139.0 429.0 19.2 113.0 102
Slide 9: 2018 EBITDA bridge
2018 EBITDA bridge (PLNm) 9.0% 85.7% 45.0% -40.3% 8.7% 1.0% 9.3% + PLN 139.7 million +34.8% 9.8 1.1 112.1 51.1 -45.8 85.9 97.3 541.1 401.4 427.9 429.0 429.0 315.5 (1) 2017 2017 2017 Δ Sales at Δ Cost of Δ Sales & Δ G&A Δ Other operating 2018 2018 2018 EBITDA D&A EBIT a constant sales marketing incom
Slide 10: Effective working capital management and strong operating cash flow
Effective working capital management and strong operating cash flow NWC split (1) OCF Structures OCF covering significant share of CapEx(6) needs (days) (PLNm) (PLNm, %) 634 Total NWC: (34) (37) (45) 113% 497 22 95% 93% 3 3 2 116 14 35 34 34 324 131 112 634 497 25 86 324 (57) 47 (60) (63) 65 384 266
Slide 11: Strong balance sheet
Strong balance sheet Net debt structure Net debt/EBITDA(1) Improving debt service (PLNm) (mPLN) 1.7x 9.5x 496 485 549 8.0x 7.3x 1.2x 1.0x 100 100 149 110 117 585 452 471 -66 -202 2016 2017 2018 2016 2017 2018 -285 (2) Interest coverage ratio 2016 2017 2018 Cash and cash equivalents Bonds Current por
Slide 12: Strategy update
Strategy update 1 Organic store roll-out Over 1,200 stores by the end of 2020 977 775 stores 628 stores (+202) stores (+147) 2016 2017 2018 2019f 2020f 2020f 2021f 2022f 2023f 2024f 2 LFL growth 3 Improving profitability 11.6% + 0.3 pp LFL growth in 2018 EBITDA margin improvement (vs 2.6% food infla
Slide 13: Appendix
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Slide 14: Company financial statements (1/5)
Company financial statements (1/5) 1 Profit and loss statement2 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q (PLNm) 2014 2015 2016 2017 2018 2017 2017 2017 2017 2018 2018 2018 2018 Sales 2,108.0 2,589.6 3,320.6 4,462.8 5,838.5 897.8 1,095.1 1,206.4 1,263.5 1,271.3 1,409.8 1,543.9 1,613.5 Cost of sales (1,644.1) (2,004.7
Slide 15: Company financial statements (2/5)
Company financial statements (2/5) 1 Balance sheet 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q (PLNm) 2014 2015 2016 2017 2018 2017 2017 2017 2017 2018 2018 2018 2018 Assets Property, plant and equipment 798.9 1,024.2 1,337.2 1,697.6 2,347.0 1,386.4 1,497.0 1,593.2 1,697.6 1,787.7 1,931.4 2,090.4 2,347.0 Intangible ass
Slide 16: Company financial statements (3/5)
Company financial statements (3/5) 1 Balance sheet 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q (PLNm) 2014 2015 2016 2017 2018 2017 2017 2017 2017 2018 2018 2018 2018 Interest-bearing loans, borrowings and finance lease 286.0 361.8 452.4 470.6 585.3 487.2 508.5 490.6 470.6 502.7 537.3 521.5 585.3 liabilities Liabilitie
Slide 17: Company financial statements (4/5)
Company financial statements (4/5) 1 Cash flow 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q (PLNm) 2014 2015 2016 2017 2018 2017 2017 2017 2017 2018 2018 2018 2018 Cash flows from operating activities Profit before tax 79.3 135.2 186.5 266.0 384.0 38.0 58.7 77.0 92.3 69.3 87.2 101.5 126.0 Adjustments for 109.2 110.2 137
Slide 18: Company financial statements (5/5)
Company financial statements (5/5)1 Cash flow 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q (PLNm) 2014 2015 2016 2017 2018 2017 2017 2017 2017 2018 2018 2018 2018 Cash flows from investing activities Proceeds from sale of property, plant and equipment and intangibles 0.4 0.9 1.1 8.0 1.6 0.1 1.1 6.4 0.4 0.7 0.2 (0.3) 1.0
Slide 19: Contact information
Contact information Grzegorz Uraziński Head of Investor Relations grzegorz.urazinski@marketdino.pl +48 695 234 561 ul. Ostrowska 122 63-700 Krotoszyn Poland http://grupadino.pl 19