Woolworths Group Ltd · ASX:WOW
Woolworths — Shareholder Meeting (November 2010)
49 slides from Woolworths's shareholder meeting presentation, Nov 18, 2010
Slide 1: For personal use only
For personal use only
Slide 2: Chairman James Strong
For personal use only Chairman James Strong
Slide 3: For personal use only
For personal use only
Slide 4: Chairman's Address
For personal use only Chairman's Address
Slide 5: Earnings per share – up 8.8%
Earnings per share – up 8.8% For personal use only Cents 164.0 ↑8.8% 150.7 ↑11.7% Reflects 134.9 ↑24.0% strengthening of 108.8 our balance sheet 90.9 ↑19.7% during a period ↑14.8% of major acquisitions, integration and business change 09 10 07 06 08
Slide 6: Dividends per share: 2010
Dividends per share: 2010 For personal use only Cents 115 ↑10.6% 104 Final Interim ↑13.0% 92 62¢ 53¢ ↑24.3% 74 ↑25.4% Fully franked 59 ↑15.7% dividend pay-out ratio of 70.4% is slightly up on last year 09 10 07 06 08
Slide 7: For personal use only
For personal use only
Slide 8: Michael Luscombe, Managing Director & CEO
For personal use only Michael Luscombe Managing Director & Chief Executive Officer
Slide 9: Lower prices
Lower prices For personal use only Consumers continue to trust Woolworths to deliver the best value for their shopping dollar
Slide 10: Everyday Rewards
Everyday Rewards For personal use only 5.1 million registered members 2.7 million customers linked
Slide 11: Financial Results
For personal use only Financial Results
Slide 12: Sales of $51.7b – up 4.2%
Sales of $51.7b – up 4.2% - excluding Petrol – up 4.8% For personal use only Statutory Full Year $m FY09 FY10 Increase Comp Sales Australian Food and Liquor1 32,978 34,675 5.1% 3.3% New Zealand Supermarkets (NZD) 4,957 5,185 4.6% 4.0% New Zealand Supermarkets 4,034 4,131 2.4% Petrol (dollars) 5,482
Slide 13: CODB / Sales
CODB / Sales For personal use only Percentage Over 21 bps $400m reduction Our targeted reduction CODB reduction of 20 basis 20.89% points was 20.73% 20.68% achieved when the distorting 19.95% 19.98% 19.95% impact of Petrol, Hotels and other significant items are excluded 05 10 09 10 10 09 Excludes P
Slide 14: Gross Profit Margin (excluding Hotels)
Gross Profit Margin (excluding Hotels) For personal use only Percentage As expected Gross 25.91% Profit Margin has 25.66% Total GP Margin improved reflecting 25.32% 25.30% improved buying, reduced shrinkage, 25.03% the success of our 24.68% exclusive brand GP Margin 24.34% ex Hotels offering, the ch
Slide 15: EBIT – up 9.5%
EBIT – up 9.5% For personal use only $ million 3,082.4 Total 2,815.5 2,815.5 ↑9.5% ↑11.3% ↑13.4% Group EBIT 2,528.8 2,483.1 EBIT growth ↑19.8% ↑17.6% ↑ 12.9% Australian ↑15.1% ↑17.4% Food and underpinned 2,111.3 Liquor EBIT by strong ↑22.6% ↑19.8% ↑17.5% growth in 1,722.2 ↑32.3% ↑24.2% Australian ↑1
Slide 16: Profit after tax – up 10.1%
Profit after tax – up 10.1% For personal use only $ million 2,020.8 ↑ 10.1% 1,835.7 1,835.7 ↑12.8% ↑14.9% 1,626.8 1,598.0 ↑25.7% ↑23.5% 2 1,294.0 ↑27.5% 1 1,014.6 ↑24.3% Stat Stat 083 093 08 09 07 06 10 1. Includes Progressive (NZ) business and 20 Australian ex-FAL store results from 2 November 2005
Slide 17: Shareholder Payouts
Shareholder Payouts Franking credits available for distribution (after the final dividend) = $1,327m For personal use only $ million Dividend 1,749 Buy-Back 325 Profit growth, coupled with 1425 1,280 balance sheet management, 941 1,121 will have 534 894 delivered $8,166 604 693 million payout 141 53
Slide 18: Share Price Performance
Share Price Performance TSR CAGR Jun 2000 – Jun 2010 For personal use only 800 WOW 19.7% 600 400 All Ords 6.9% 200 0 Jun-00 Jun-01 Jun-02 Jun-03 Jun-04 Jun-05 Jun-06 Jun-07 Jun-08 Jun-09 Jun-10 Dec-00 Dec-01 Dec-02 Dec-03 Dec-04 Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 Source: Bloomberg Note: Woolworths T
Slide 19: First Quarter Sales of $13.9 billion
First Quarter Sales of $13.9 billion Up 4.2% excluding Petrol sales, up 4.1% including Petrol sales For personal use only FY09 FY10 Statutory Statutory $m (14 weeks) (14 weeks) Increase Comp Sales Australian Food and Liquor1 9,001 9,292 3.2% 2.0% New Zealand Supermarkets (NZD) 1,316 1,378 4.7% 4.5%
Slide 20: FY11 Guidance
FY11 Guidance For personal use only Net Profit After Tax is expected to grow in the range of 8% to 11%
Slide 21: Quantum Project
Quantum Project For personal use only • Quantum will deliver reduced costs and improve efficiencies across all Woolworths businesses over the next 5 years • This project will focus on all aspects of our business including – End to End supply chain — move to the next level – Procurement (not for resa
Slide 22: Leadership in corporate responsibility
Leadership in corporate responsibility For personal use only
Slide 23: Leadership in corporate responsibility
Leadership in corporate responsibility For personal use only Green stores up Lost time injury and running frequency rate for the full year reduced by 53 34% Invested into supporting our communities $36.3 million
Slide 24: 2015 new store format
2015 new store format For personal use only
Slide 25: For personal use only
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Slide 26: Home improvement – Coming Soon
Home improvement For personal use only COMING SOON
Slide 27: Home improvement
For personal use only Home improvement
Slide 28: For personal use only
For personal use only
Slide 29: Inserting your smartcard
Inserting your smartcard For personal use only The smartcard should have been inserted into your handset when you registered for the AGM If the smartcard is not inserted into your handset please do so now Make sure the arrows at the bottom of the smartcard are inserted and facing you
Slide 30: Inserting your smartcard
Inserting your smartcard For personal use only If the smartcard is not inserted into your handset please do so now Make sure the arrows at the bottom of the smartcard are inserted and facing you
Slide 31: Inserting your smartcard
Inserting your smartcard For personal use only Insert the smartcard up to the red line. A welcome message will appear when the card is inserted correctly
Slide 32: Casting your vote
Casting your vote For personal use only When the poll opens, the handset will display the voting options being 1 to vote FOR the resolution 2 to vote AGAINST the resolution 3 to ABSTAIN or WITHHOLD your vote Press the appropriate button on the handset to register your intentions
Slide 33: Casting your vote
Casting your vote For personal use only Your voting instruction will appear on the handset “Received” will appear on your handset to indicate your vote has counted If you wish to change your mind, simply enter your new choice
Slide 34: Casting your vote
Casting your vote For personal use only If you accidentally dislodge the smartcard a warning will appear on your screen and you may need to push the smartcard back into the handset
Slide 35: Casting your vote
Casting your vote For personal use only When the poll opens, the handset will display the voting options being 1 to vote FOR the resolution 2 to vote AGAINST the resolution 3 to ABSTAIN or WITHHOLD your vote This will vote your open votes only, directed votes will go through automatically when you s
Slide 36: Casting your vote
Casting your vote For personal use only When the poll opens, the handset will display the voting options being 1 to vote FOR the resolution 2 to vote AGAINST the resolution 3 to ABSTAIN or WITHHOLD your vote Press the appropriate button on the handset to register your intentions
Slide 37: After the AGM
After the AGM For personal use only Please leave the handset and smartcard on your seat or hand them to a member of staff as you leave the room The handset has a built in alarm that will sound if you inadvertently leave the building without returning the handset and smartcard
Slide 38: Ask for assistance
Ask for assistance For personal use only If you have any questions or issues in using the handset please raise your hand and one of the attendants in the auditorium will be able to assist you Thank you for your attention
Slide 39: For personal use only
For personal use only
Slide 40: 1. Financial Statements and Reports
For personal use only 1. Financial Statements and Reports
Slide 41: 2. Remuneration Report
For personal use only 2. Remuneration Report
Slide 42: 3. Election of Directors
For personal use only 3. Election of Directors
Slide 43: Carla (Jayne) Hrdlicka
Carla (Jayne) Hrdlicka For personal use only
Slide 44: Stephen Mayne
For personal use only Stephen Mayne
Slide 45: Ian Macfarlane AC
For personal use only Ian Macfarlane AC
Slide 46: 4. Woolworths Long-Term Incentive Plan
For personal use only 4. Woolworths Long-Term Incentive Plan
Slide 47: 5. Alterations to the Constitution
For personal use only 5. Alterations to the Constitution
Slide 48: 6. Fees Payable to Non-Executive Directors
For personal use only 6. Fees Payable to Non-Executive Directors
Slide 49: For personal use only
For personal use only