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Heineken Nv — Heineken Financial Markets Conference 2013

21 slides from Heineken Nv's conference presentation, Dec 5, 2013

  1. Slide 1: HEINEKEN Americas: Positioned for Growth

    HEINEKEN FINANCIAL MARKETS CONFERENCE 2013 MEXICO CITY HEINEKEN Americas: Positioned for Growth STEFAN ORLOWSKI PRESIDENT, HEINEKEN AMERICAS Mexico City | December 5-6, 2013 | Heineken NV

  2. Slide 2: Agenda

    AGENDA HEINEKEN  ATTRACTIVE BEER MARKET Americas: Positioned for Growth  HEINEKEN: A TRANSFORMED PRESENCE IN THE REGION  WINNING WHERE WE COMPETE 2

  3. Slide 3: A Region with Very Attractive Characteristics

    A REGION WITH VERY ATTRACTIVE CHARACTERISTICS Robust population FAVORABLE DEMOGRAPHICS AMERICAS BEER and economic  35 countries; 937 million people CONSUMPTION environment for  Forecast annual population growth of 1% (mhl) beer, in both US & Canada LatAm & Caribbean mainstream and  Forecast annua

  4. Slide 4: Latin America & Caribbean

    LATIN AMERICA & CARIBBEAN Significant volume LATIN AMERICA & CARIBBEAN LATIN AMERICA and value growth PER CAPITA BEER CONSUMPTION IPS % OF BEER MARKET opportunities (2012) (2012) 90 Per Capita Consumption, Liters 80 U.S.A PCC 70 Western Europe PCC 60 12% 11% 50 9% 40 8% 6% 7% 7% 30 5% 20 3% 2% 3% 3%

  5. Slide 5: IPS: An Attractive and Growing Segment

    IPS: AN ATTRACTIVE AND GROWING SEGMENT IPS growth IPS AS A % OF significantly TOTAL BEER MARKET outpacing beer market growth (2012) 13.2% 11.3% 9.7% 5.7% 3.7% 3.0% U.S. + Canada Western Europe Central & Eastern Africa Middle East Asia Pacific LatAm & Caribbean IPS growth Europe CAGR % (2012-17F) 2.6

  6. Slide 6: Agenda

    AGENDA HEINEKEN  ATTRACTIVE BEER MARKET Americas: Positioned for Growth  HEINEKEN: A TRANSFORMED PRESENCE IN THE REGION  WINNING WHERE WE COMPETE 6

  7. Slide 7: Heineken Americas Footprint

    HEINEKEN AMERICAS FOOTPRINT A range of business HEINEKEN IPS LEADERSHIP BAHAMAS models provides & BROAD MARKET LEADERSHIP  BML: #1 IPS: #1 operational flexibility JAMAICA (JV) to access regional  BML: #1 IPS: #1 growth opportunities CANADA HAITI  IPS: #1  BML: #1 IPS: #1 USA PUERTO RICO  IPS: #

  8. Slide 8: Regional Strategic Priorities

    REGIONAL STRATEGIC PRIORITIES Global strategy to exploit region specific opportunities 1 GROW 2 CONSUMER- 3 CAPTURE THE 4 LEVERAGE 5 DRIVE 6 EMBED & Heineken® INSPIRED, OPPORTUNITIES THE BENEFITS PERSONAL INTEGRATE BRAND CUSTOMER- IN EMERGING OF HEINEKEN’S LEADERSHIP SUSTAINABILITY ORIENTED, MARKETS

  9. Slide 9: A Transformed Presence in the Americas

    A TRANSFORMED PRESENCE IN THE AMERICAS Positive market share BEER VOLUME (MHL) AMERICAS AS % momentum as a result Beer volume Americas region market share OF HEINEKEN of both inorganic and organic growth GROUP (2012) 10.5% 10.8% 70 Beer volume Revenue 60 8.4% (FEMSA CERVEZA ACQUISITION) 28% 25% 50 2

  10. Slide 10: Driving Cost Efficiencies

    DRIVING COST EFFICIENCIES €250 million AMERICAS PRODUCTIVITY COST SAVINGS of savings from DEVELOPMENT (€M) 2009-12 through  Product and non-product related FEMSA Cerveza cost synergies leveraging scale procurement synergies Other cost savings 120 and capabilities  Supply Chain excellence initiativ

  11. Slide 11: FEMSA Cerveza Acquisition Has Accelerated Organic Growth

    FEMSA CERVEZA ACQUISITION HAS ACCELERATED ORGANIC GROWTH BEER VOLUME REVENUE (€M) EBIT (BEIA) (MHL) ORGANIC CAGR% (€M) ORGANIC CAGR% +5.2% ORGANIC CAGR% +0.7% +18.1% 62.8 4,523 60.2 748 4,029 655 47.2 600 3,296 19.4 18.8 1,566 1,541 273 210 2008 2009 2010 2011 2012 2008 2009 2010* 2011 2012 2008 200

  12. Slide 12: Agenda

    AGENDA HEINEKEN  ATTRACTIVE BEER MARKET Americas: Positioned for Growth  HEINEKEN: A TRANSFORMED PRESENCE IN THE REGION  WINNING WHERE WE COMPETE 12

  13. Slide 13: Americas: Growing the Heineken Brand

    AMERICAS: GROWING THE Heineken BRAND ® Heineken® to grow in IPS GROWTH OPPORTUNITY Heineken® the Americas as IPS FOR THE Heineken® BRAND BRAND SHARE category expands 14 OF IPS (2012) CAGR +6.8% LATIN AMERICA 12 CAGR +3.5% + CARIBBEAN 10 LATIN AMERICA 28% 8 & CARIBBEAN 6 4 2 U.S. + Canada U.S. + CANA

  14. Slide 14: USA

    14 USA share despite a challenging market Our business is gaining Source: Beer Institute Depletions 4,20% 4,25% 4,30% 4,35% 4,40% 4,50% 4,45% 2011/Jan 2011/Feb 2011/Mar 2011/Apr All Premise BI 2011/May 2011/Jun 2011/Jul 2011/Aug 2011 2011/Sep 2011/Oct 2011/Nov 2011/Dec 2012/Jan 2012/Feb 2012/Mar 201

  15. Slide 15: Brazil

    BRAZIL Growing Heineken® PREMIUM SEGMENT and winning VOLUME GROWTH SHARE OF TOTAL BEER MARKET with Heineken®  Heineken® share of premium  Brazil premium segment to outpace category growth 4.5% in 2005 to 12.8% in 2012 Premium CAGR 2010–17F CAGR +16% CAGR 180 11% 11% 2010-12: 9% +66% 160 7% 8% 5% 5

  16. Slide 16: Compania de Cervecerias Unidas (CCU)

    COMPANIA DE CERVECERIAS UNIDAS (CCU) Chile-based 2012 VS. 2002 CCU BEER MARKET SHARE CCU JV REVENUE €M EBIT €M CHILE ARGENTINA has seen robust growth 23% 1.703 287 79% CAGR: CAGR: +13% +18% Heineken® SHARE OF IPS CHILE ARGENTINA 491 53 49% 40% 2002 2012 2002 2012 16 Source: Canadean 2012

  17. Slide 17: The Caribbean

    THE CARIBBEAN In the Caribbean, Heineken® Heineken® Heineken® is the #1 MARKET SHARE SHARE OF IPS IN IPS brand and has historically strong BREWERIES EXPORT THE CARIBBEAN  Bahamas  Puerto Rico positions in small,  Suriname  French West Indies 33.4% very profitable 32.1%  Martinique  20+ markets

  18. Slide 18: Haiti

    HAITI A promising start  In January 2012, HEINEKEN increased its shareholding with great potential in Brasserie Nationale d’Haiti, Haiti’s leading brewer, for future growth from 22.5% to 95%  Beer market 0.6mhl; 1.7 l per capita, poised to grow further  HEINEKEN has a c. 95% share of the beer mar

  19. Slide 19: Video

    VIDEO VIDEO 19

  20. Slide 20: Winning Where We Choose to Compete

    WINNING WHERE WE CHOOSE TO COMPETE COUNTRY BRAND VOLUME SHARE OF VOLUME SHARE DEVELOPMENT OCT YTD (BPS) VS LY Mexico Total Portfolio Total Beer +20 USA Total Portfolio Total Beer +7 Brazil Heineken® Premium +90 Chile Heineken® Total Beer +20 Argentina Heineken® Total Beer +10 Canada Heineken® Total

  21. Slide 21: Summary

    SUMMARY Key Takeaways  The Americas is poised for further beer market growth  IPS will outpace growth of the beer category  HEINEKEN Americas is well positioned to capture this growth:  Transformed footprint and delivering on acquisitions  Flexible business models for accessing available opport

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