Glanbia Plc · EURONEXT:GL9
Glanbia — H1 2024 Earnings Presentation
20 slides from Glanbia's earnings presentation, Aug 14, 2024
Slide 1: Half Year 2024 Results
Half Year 2024 Results 14 August 2024 Hugh McGuire Mark Garvey Chief Executive Officer Chief Financial Officer
Slide 2: Important Notice
Important Notice This presentation contains forward-looking statements. These statements have been made by the Directors in good faith based on the information available to them up to the time of their approval of this presentation. Due to the inherent uncertainties, including both economic and busi
Slide 3: Agenda
Agenda Business Review 01 Finance Review 02 Q&A 03 3 || Glanbia plc HY 2024 Results
Slide 4: HY 2024 - Highlights
HY 2024 - Highlights • Strong performance with adjusted EPS of 68.20$c - growth of 12.4%* • Optimum Nutrition & Healthy Lifestyle performance continued with strong volume growth in the first half • NS continue to progress strategic agenda with the Flavor Producers acquisition and good volume growth
Slide 5: Business Review
Business 01 Review Hugh McGuire Chief Executive Officer 5 || Glanbia plc HY 2024 Results
Slide 6: GPN – HY 2024 performance
GPN – HY 2024 performance $m HY 2024 Growth* HY 2024 GPN Revenue Mix % Revenue 882.1 -0.8% EBITDA 156.4 +30.3% EBITDA Margin % 17.7% +420bps 18% • LFL** -0.8%: volume +3.1%, pricing -3.9% 65% LFL Growth** LFL Growth** +0.7% o LFL ** Americas -3.0%, International +3.3% +7.7% • Strong volume growth in
Slide 7: World’s #1 Sports Nutrition Brand
World’s #1 Sports Nutrition Brand with more growth potential New Pack Design Increased campaign reach LFL US growth* consumption** +7.7% +0.2% • Volume +11.8% and pricing -4.1% • Strong volume growth across Americas and International Innovation Retail distribution & visibility • New design starts ro
Slide 8: Healthy lifestyle brands increasing distribution and marketing investment
Healthy lifestyle brands increasing distribution and marketing investment LFL US growth* consumption** +0.7% +3.0% • Continued roll out of Isopure “Add Less. Do More" with good growth in household penetration • Expanded retail distribution of Isopure and think! • Launch of innovation including Isopu
Slide 9: NS – HY 2024 performance
NS – HY 2024 performance $m HY 2024 Growth* Revenue 469.4 +3.5% EBITDA 82.9 -0.5% EBITDA Margin % 17.7% -60bps • LFL** -0.8%: volume +3.1%, pricing -3.9% • Volume growth driven by premix solutions business • Negative pricing driven by lower market pricing • Flavor Producers acquisition completed in
Slide 10: NS platforms Strong trends in end use markets
NS platforms Strong trends in end use markets • #2 global leader Vitamins, minerals & • Strong volume growth Premix solutions supplements (VMS) • #1 US supplier of whey Active lifestyle / protein isolate sports nutrition Protein solutions • Strong consumer demand • Scaling and broadening capabilitie
Slide 11: Finance Review
Finance 02 Review Mark Garvey Chief Financial Officer 11 || Glanbia plc HY 2024 Results
Slide 12: HY 2024 Financial Summary
HY 2024 Financial Summary $1.8bn Revenue -1.1% constant currency $262m EBITDA +12.8% constant currency growth +180 bps vs. HY 2023 14.4% EBITDA margin Margin increase of 420 bps in GPN vs. HY 2023 68.20$c Adjusted EPS +12.4% constant currency growth 96.3% OCF Conversion%* Operating cash flow*: $503m
Slide 13: Strong balance sheet
Strong balance sheet $ $ $ Portfolio Cash & Investment Shareholder Debt returns Flavor Producers acquisition Strong cash conversion HY 2024 Interim dividend increased completed in April 2024 strategic capex by 10% Net debt $645m $30m €50m returned in share Net debt to adjusted FY 2024 total capex bu
Slide 14: Other Financial Matters
Other Financial Matters Joint Decrease driven by higher input costs Ventures Net Finance Higher finance costs mainly driven by the Flavor Producers acquisition Costs Income Expected rate for FY 2024 of 15% to 17% Tax Exceptional Charge largely driven by portfolio related reorganisation costs and acq
Slide 15: 2024 Guidance
2024 Guidance Revenue Earnings Capital growth growth allocation GPN revenue growth*: GPN EBITDA margin: OCF conversion %: 2.0% - 5.0% 16.0% - 16.5% 80%+ GN NS volume growth: GN NS EBITDA margin: 3.0% - 5.0% 18.0% - 19.0% Adjusted EPS growth* 5% - 8% 15 || Glanbia plc HY 2024 Results *Growth on a con
Slide 16: Delivering Better Nutrition
Delivering Better Nutrition Strong performance in the first half; expect to see sequential volume improvement in second half Category trends remain positive for Better Nutrition brands and ingredients Continue focus on the strategic priorities and execution 16 || Glanbia plc HY 2024 Results
Slide 17: Q&A
Q&A A performance driven purpose led global nutrition company 17 || Glanbia plc HY 2024 Results
Slide 18: Appendices
A Appendices 18 || Glanbia plc HY 2024 Results
Slide 19: GPN HY 2024 Revenue Overview
GPN HY 2024 Revenue Overview By Region By Channel By Format 4% 8% 12% 30% 10% 36% 22% 64% 36% 78% LFL growth: LFL growth: LFL growth: Americas -3% Online -3% Powders +4% International +3% FDMC -1% RTE -11% Distributor +11% RTD -20% Specialty -12% Other -19% 19 || Glanbia plc HY 2024 Results
Slide 20: HY 2023 - Change in JV Commercial Arrangements and EBITDA
HY 2023 - Change in JV Commercial Arrangements and EBITDA HY 2023 Pro-forma HY 2023 $m HY 2023 Revenue Reported Adjustment Pro-forma Nutritional Solutions 525.5 (70.4) 455.1 +420 bps 12.6% US Cheese 1,357.0 (864.2) 492.8 Glanbia Nutritionals 1,882.5 (934.6) 947.9 Glanbia Performance Nutrition 888.9