21 slides from Ccl Industries Inc. Class A's earnings presentation, Aug 2, 2012
Slide 1: 2nd Quarter 2012 Review
CCL Industries Inc. Investor Update 2nd Quarter 2012 Review August 2, 2012 1
Slide 2: Disclaimer
Disclaimer Disclaimer This presentation contains forward-looking information and forward-looking statements (hereinafter collectively referred to as “forward-looking statements”), as defined under applicable securities laws, that involve a number of risks and uncertainties. Forward-looking statement
Slide 3: Statement of Earnings - Second Quarter
Statement of Earnings Second Quarter Ended June 30th (Millions of Cdn$) Excluding Currency 2012 2011 Change Translation Sales $ 337.1 $ 318.9 +6% +8% Operating income * 47.9 43.1 +11% +13% Corporate expense 6.5 7.2 (10%) 41.4 35.9 Finance cost, net 5.2 5.3 (2%) 36.2 30.6 Restructuring & other items
Slide 4: Statement of Earnings - Six Months
Statement of Earnings Six Months Ended June 30th (Millions of Cdn$) Excluding Currency 2012 2011 Change Translation Sales $ 678.5 $ 634.5 +7% +8% Operating income * 100.5 91.8 +9% +11% Corporate expense 13.0 13.4 (3%) 87.5 78.4 Finance cost, net 10.5 11.0 (5%) 77.0 67.4 Restructuring & other items -
Slide 5: Earnings per Class B Share
Earnings per Class B Share Periods Ended June 30th Three Months Six Months Per Class B Share 2012 2011 Change 2012 2011 Change Net earnings - basic $ 0.77 $ 0.66 +17% $ 1.68 $ 1.47 +14% Diluted earnings $ 0.76 $ 0.64 +19% $ 1.65 $ 1.44 +15% Restructuring & other items - loss $ - $ - $ - $ (0.01) Adj
Slide 6: Cash Flow Highlights
Cash Flow Highlights Periods Ended June 30th (Millions of Cdn$) Free Cash Flow* 112.4 Statement of Cash Flows Six Months Ended June 30th 2012 2011 78.7 Net earnings $ 56.3 $ 48.7 Adjustments for: Depreciation & amortization 50.6 48.9 Net finance cost 10.5 11.0 Current income tax expense 25.9 17.4 30
Slide 7: Cash & Debt Summary
Cash & Debt Summary As At June 30th (Millions of Cdn$) Increase 2012 2011 (Decrease) Long-term debt - senior notes (2012 - US$ 328.4 MM, 2011 - US$ 337.7 MM) $ 334.3 $ 325.7 $ 8.6 Debt - all other 16.7 26.5 (9.8) Total debt 351.0 352.2 (1.2) Less: Cash and cash equivalents (162.3) (102.9) (59.4) Net
Slide 8: Capital Spending Highlights
Capital Spending Highlights Six Months Ended June 30th, 2012 (Millions of Cdn$) Capital Divisions Spending Depreciation(1) Difference Label $ 40.3 $ 36.6 $ 3.7 Container 2.1 6.9 $ (4.8) Tube 0.6 3.9 $ (3.3) Corporate - 0.2 $ (0.2) $ 43.0 $ 47.6 $ (4.6) (1) excludes amortization of intangibles and ot
Slide 9: Label - Second Quarter
Label Second Quarter Ended June 30th (Millions of Cdn$) Excluding Currency 2012 2011 Change Translation Sales $ 267.3 $ 255.9 +4% +7% Operating income* $ 39.1 $ 37.3 +5% +8% Return on sales 14.6% 14.6% EBITDA* $ 59.0 $ 56.7 +4% +7% % of Sales 22.1% 22.2% The following commentary is based on constant
Slide 10: Label - North America
Label Second Quarter Ended June 30th (Millions of Cdn$) North America (38% of sales) • Healthcare sales and profitability showed strong gains, Specialty business was flat but with stable margins. • Home and Personal Care (HPC) sales up markedly but orders slowed up as the quarter progressed. • Stron
Slide 11: Label - Europe
Label Second Quarter Ended June 30th (Millions of Cdn$) Europe (40% of sales) (inc Eastern Europe) • Solid HPC sales increase and focus on cost drove a significant turnaround in profit performance. • Flat sales at Healthcare and Specialty; profitability impacted by soft market conditions in Scandina
Slide 12: Label - Emerging Markets
Label Second Quarter Ended June 30th (Millions of Cdn$) Emerging Markets (22% of sales) (Asia, Latin America, Australia & South Africa) • Double digit sales and profit growth in Latin America, as FX issues subside in Mexico and particularly strong sales gains in Brazil. • Double digit sales gains in
Slide 13: Label - Six Months
Label Six Months Ended June 30th (Millions of Cdn$) Excluding Currency 2012 2011 Change Translation Sales $ 541.1 $ 503.6 +7% +9% Operating income* $ 85.3 $ 79.2 +8% +9% Return on sales 15.8% 15.7% EBITDA* $ 124.7 $ 117.2 +6% +8% % of Sales 23.0% 23.3% The following commentary is based on constant C
Slide 14: Label Joint Ventures
Label Joint Ventures Periods Ended June 30th (Millions of Cdn$) Three Months Six Months Results at 100% 2012 2011 2012 2011 Sales $ 14.5 $ 7.6 $ 28.0 $ 12.5 Net Income $ - $ - $ 1.7 $ (0.2) EBITDA $ 1.7 $ 0.4 $ 3.8 $ 0.5 % of Sales 11.7% 5.3% 13.6% 4.0% CCL Equity Share* $ - $ - $0.9 $ (0.1) *share
Slide 15: Container - Second Quarter
Container Second Quarter Ended June 30th (Millions of Cdn$) Excluding Currency 2012 2011 Change Translation Sales $ 48.1 $ 42.6 +13% +13% Operating income* $ 4.3 $ 2.1 +105% +102% Return on sales 8.9% 4.9% EBITDA* $ 7.7 $ 5.7 +35% +35% % of Sales 16.0% 13.4% The following commentary is based on cons
Slide 16: Container - Six Months
Container Six Months Ended June 30th (Millions of Cdn$) Excluding Currency 2012 2011 Change Translation Sales $ 94.3 $ 90.2 +5% +5% Operating income* $ 6.7 $ 5.8 +16% +14% Return on sales 7.1% 6.4% EBITDA* $ 13.6 $ 12.8 +6% +7% % of Sales 14.4% 14.2% The following commentary is based on constant Can
Slide 17: Tube - Second Quarter
Tube Second Quarter Ended June 30th (Millions of Cdn$) Excluding Currency 2012 2011 Change Translation Sales $ 21.7 $ 20.4 +6% +2% Operating income* $ 4.5 $ 3.7 +22% +18% Return on sales 20.7% 18.1% EBITDA* $ 6.5 $ 5.4 +20% +14% % of Sales 30.0% 26.5% The following commentary is based on constant Ca
Slide 18: Tube - Six Months
Tube Six Months Ended June 30th (Millions of Cdn$) Excluding Currency 2012 2011 Change Translation Sales $ 43.1 $ 40.7 +6% +3% Operating income* $ 8.5 $ 6.8 +25% +22% Return on sales 19.7% 16.7% EBITDA* $ 12.4 $ 10.3 +20% +17% % of Sales 28.8% 25.3% The following commentary is based on constant Cana
Slide 19: Operating Income - Second Quarter
Operating Income* Second Quarter Ended June 30th (Millions of Cdn$) Excluding Currency 2012 2011 Change Translation Label $ 39.1 $ 37.3 +5% +8% Container 4.3 2.1 +105% +102% Tube 4.5 3.7 +22% +18% Operating income* $ 47.9 $ 43.1 +11% +13% Sales $ 337.1 $ 318.9 +6% +8% Return on sales 14% 14% EBITDA*
Slide 20: Operating Income - Six Months
Operating Income* Six Months Ended June 30th (Millions of Cdn$) Excluding Currency 2012 2011 Change Translation Label $ 85.3 $ 79.2 +8% +9% Container 6.7 5.8 +16% +14% Tube 8.5 6.8 +25% +22% Operating income* $ 100.5 $ 91.8 +9% +11% Sales $ 678.5 $ 634.5 +7% +8% Return on sales 15% 14% EBITDA* $ 138
Slide 21: Summary & Outlook
Summary & Outlook • After three consecutive quarters of solid growth, U.S. orders in consumer related businesses faltered in Q2, watching closely for the second half. • Difficult news in Europe out there for some time; limited downside? • Emerging Markets still growing double digit despite clearly w