General Mills, Inc. · NYSE:GIS
General Mills — Investor Day (July 2016)
26 slides from General Mills's investor day presentation, Jul 13, 2016
Slide 1: Chris O’Leary, EVP, Chief Operating Officer – International
Chris O’Leary EVP, Chief Operating Officer – International
Slide 2: History of Growth
History of Growth International Segment International Segment Net Sales Operating Profit ($ in Billions) ($ in Millions) CGR = +10% CGR = +14% $4.6 $442 $2.7 $206 F10 F16 F10 F16 Profit Margin: 7.7% 9.5% 61
Slide 3: International Segment Overview
International Segment Overview Emerging Markets Developed 37% Latin America Markets $0.7 Billion 63% Europe $2.0 Billion Asia/Pacific $1.0 Billion Canada $0.9 Billion F16 Net Sales = $4.6 Billion F16 Segment Operating Profit = $442 Million 62
Slide 4: International Business Concentrated on Our Five Global Platforms
International Business Concentrated on Our Five Global Platforms F16 Net Sales = $5.6 Billion* Baking Products, RTE Cereal Dough, Vegetables, 19% $1.1 Billion Other Snacks 9% $0.5 Billion Super-premium 16% Ice Cream $0.9 Billion 23% Convenient 17% Yogurt $1.3 Billion Meals $1.0 Billion *Non-GAAP mea
Slide 5: Fiscal 2017 Priorities
Fiscal 2017 Priorities • Maintain Momentum in Canada, Europe, Latin America, and AMEA • Improve Performance in China • Expand Yoplait in China • Execute Cost-savings Initiatives to Grow Margins 64
Slide 6: Europe Region
Europe Region • F16 Net Sales = $2.0 Billion F16 Net Sales • Operating in 25 Countries Other • 4,300+ Employees France, UK, Australia • 4 of 5 Global Platforms Super-premium Ice Cream Convenient Meals Yogurt Snacks 65
Slide 7: Large Opportunity in Ice Cream
Large Opportunity in Ice Cream Europe Region Ice Cream Category Retail Sales Europe Ice Cream Consumption ($ in Billions) (2015 $ Spent per Household) CGR = +4% $23.0 $184 $113 $101 $81 $42 $35 $16 $14 Aus/NZ USA Canada W. Eur. LATAM E. Eur. Asia/Pac MENA 2010 2015 Source: Euromonitor 66
Slide 8: Häagen-Dazs in Europe 2017 Plans
Häagen-Dazs in Europe 2017 Plans Europe Häagen-Dazs Retail Sales ($ in Millions) +DD New Flavors United Kingdom Spain Belgium Italy F15 F16 New Geographies Source: Nielsen FYTD through April 67
Slide 9: Wholesome Snacks in Europe
Wholesome Snacks in Europe • Wholesome Snacks Business Growing Mid Single Digits • Innovate and Renovate in 2017 • Draft off U.S. Successes 68
Slide 10: Europe Is Old El Paso’s Largest Region
Europe Is Old El Paso’s Largest Region Old El Paso Net Sales by Region (F16, $ in Millions) Europe USA Canada Asia/Pac LATAM 69
Slide 11: Old El Paso in Europe 2017 Plans
Old El Paso in Europe 2017 Plans Innovation Geographic Expansion Russia Poland Austria Netherlands 70
Slide 12: Latin America Region
Latin America Region F16 Net Sales • F16 Net Sales = $700 Million • 4 of 5 Global Platforms Other Brazil • 7,000+ Employees Convenient Meals Snacks Super-premium Ice Cream Yogurt 71
Slide 13: Yoki Popcorn in Brazil 2017 Plans
Yoki Popcorn in Brazil 2017 Plans New Flavors Value Offerings 1st National TV Campaign 72
Slide 14: Developing Wholesome Snacks Category in Mexico
Developing Wholesome Snacks Category in Mexico General Mills Mexico General Mills Mexico Wholesome Snacks Wholesome Snacks Market Share Retail Sales ($ in Millions) +31% 60 49 F15 F16 F15 F16 Source: Nielsen FYTD April 2016 73
Slide 15: Yogurt in Brazil
Yogurt in Brazil Brazil Yogurt Category ($ in Billions) CGR = +14% $4.6 2010 2015 Source: Euromonitor 74
Slide 16: Asia/Pacific Region
Asia/Pacific Region F16 Net Sales = $1.0 Billion China AMEA Super-premium Ice Cream Super-premium Ice Cream Snacks Convenient Meals Yogurt Convenient Meals 75
Slide 17: Grow and Expand Yoplait in China
Grow and Expand Yoplait in China • Extend Strong Performance in Shanghai • Enter Beijing Beijing Shanghai 76
Slide 18: Häagen-Dazs in China 2017 Plans
Häagen-Dazs in China 2017 Plans • New Marketing Campaign • Mooncake Innovation • Improve Shop Experience 77
Slide 19: Pillsbury in India 2017 Plans
Pillsbury in India 2017 Plans • Expand Presence in Snacks and Meals • Leverage Pillsbury Mega-brand Across All Touchpoints • Drive Distribution 78
Slide 20: Canada Region
Canada Region • F16 Net Sales = $900 Million Snacks Yogurt • 4 of 5 Global Platforms • 300+ Employees Convenient Meals Cereal 79
Slide 21: Yogurt in Canada 2017 Plans
Yogurt in Canada 2017 Plans • Reposition Yoplait Source • Renovate Liberté Greek Plain • Test New Segments 80
Slide 22: Cereal in Canada 2017 Plans
Cereal in Canada 2017 Plans • Cinnamon Toast Crunch Renovation • Continue to Support No Artificial Colors and Flavors Renovation • Launch Gluten Free Cheerios 81
Slide 23: Joint Ventures
Joint Ventures Cereal Partners Worldwide Häagen-Dazs Japan • 130 markets • F16 Net Sales = $0.2 Billion • F16 Net Sales = $0.8 Billion GMI proportionate share of F16 JV Net Sales 82
Slide 24: CPW 2017 Plans
CPW 2017 Plans • Expand Gluten Free in Europe • Extend Recent Innovation to New Markets 83
Slide 25: Margin Expansion
Margin Expansion • Expand HMM Pipeline and Deliver Increased Savings • Transition to Global Sourcing Organization • Advance Zero Loss Culture 84
Slide 26: Summary
Summary • Maintain Momentum in Canada, Europe, Latin America, and AMEA • Improve Performance in China • Expand Yoplait in China • Execute Cost Savings Initiatives to Grow Margins • F17 Goals • Organic Net Sales Growth: Flat to +2% • Segment Operating Profit Margin: +50 bps vs LY 85