Emperador Inc. · PSE:EMI
Emperador — Investor Presentation (June 2022)
25 slides from Emperador's investor presentation, June 2022
Slide 1: Investor Update
7 EMPERADOR INC. Investor Update
Slide 2: Agenda
AGENDA Recap of Emperador Financials Update Appendix
Slide 3: Emperador Recap
Emperador FETTERCAIRN HIGHLAND SINGLE MALT EMPERADOR INC.
Slide 4: We are Emperador Inc.
CONFIDENTIAL We are Emperador Inc. A leading, high growth whisky and brandy company with a truly globally recognized portfolio of brands distributed to 100+ countries and world leading market positions A leading global spirits company HERITAGE Hundreds of years of brandy and whisky history with stor
Slide 5: Portfolio of World Renowned Brands across Scotch Whisky and Brandy
CONFIDENTIAL Portfolio of World Renowned Brands across Scotch Whisky and Brandy, Ranging from Luxury to Mainstream Scotch whisky Brandy Luxury Super Premium Premium Standard Accessible Source: Company filings and information 5
Slide 6: Our Key Investment Highlights
CONFIDENTIAL Our Key Investment Highlights 1 A leading global spirits player with proven track record, solid momentum and established footprint in over 100 countries 2 Portfolio of heritage and well-recognized global brands coupled with remarkable innovation capabilities and insights 3 Entrenched ma
Slide 7: Consistent Quarter-on-Quarter Growth With Profitability, Despite COVID-19
CONFIDENTIAL Consistent Quarter-on-Quarter Growth With Profitability, Despite COVID-19 17,736 18,367 17,579 12,372 12,927 13,255 13,026 12,333 11,026 12,077 10,431 10,658 10,882 Revenue (PHPm) 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 1Q22 EBITDA 23% 21% 25% 18% 21% 24% 27% 18% 25%
Slide 8: Our Strategy — Contemporize, Premiumize, Internationalize
CONFIDENTIAL Our Strategy — Contemporize, Premiumize, Internationalize C CONTEMPORIZE Excite customers with Rebrand and reposition Improve brand visibility innovative new product key brands amongst millennials and our offering launches Gen Z P 2x Branded Single Malt Sales by 2025 PREMIUMIZE Leverage
Slide 9: Our 2025 Vision
Our 2025 Vision We aspire to double our Single Malt sales by 2025 and achieve a high single digits CAGR for our brandy revenue1 FY21 Revenue Mix Performance 2025 Objectives Single Malts grew at +22% CAGR Scotch from 2015 to 20212 Whisky Revenue (PHPbn) +11.3% CAGR 2x Whisky 33% 19.5 Double Branded 1
Slide 10: Whisky – Strong Growth Profile Delivered on the Back of Fast-Growing International Business
Whisky – Strong Growth Profile Delivered on the Back of Fast-Growing International Business Since Emperador acquired W&M in 2014, we have rapidly grown the business by expanding from a UK- centric strategy to distribute more internationally and develop a truly globally recognized portfolio of brands
Slide 11: 3 Brands in Top 25 Single Malts
3 Brands in Top 25 Single Malts Whyte & Mackay has successfully placed three of its iconic brands in the coveted top 25 single malt whiskies in the world Volume (2021) Position Retail Value (2021) Position Brand A 1 Brand A 1 Brand B 2 Brand B 2 Brand C 3 Brand C 3 2 Brand D 4 Brand D 4 Brand E 5 Br
Slide 12: The #7 Single Malt Whisky Producer Globally
The #7 Single Malt Whisky Producer Globally Whyte & Mackay has solidified its market-leading position in the global single malt market as one of the global top 10 single malt whisky producers Volume (2021) Position Retail Value (2021) Position Company A 1 Company A 2 1 Company B 2 Company B 2 Compan
Slide 13: Financial Update
FETTERCAIRN HIGHLAND SINGLE MALT EMPERADOR INC.
Slide 14: Financial Snapshot of Emperador Inc.
CONFIDENTIAL Financial Snapshot of Emperador Inc. Financials snapshot ~PHP55.9bn ~PHP15.2bn ~27% ~14% ~PHP10.6bn ~19% ~17% FY21 FY21 FY21 2018-21 FY21 FY21 2018-21 Revenue EBITDA EBITDA Margin EBITDA CAGR NPAT NPAT Margin NPAT CAGR +6% YoY +32% YoY +34% YoY Revenue EBITDA & margin (PHPm) (PHPm) xx%
Slide 15: Recent Quarterly Financial Performance Update
CONFIDENTIAL Recent Quarterly Financial Performance Update (All figures in PHPm except margins) Revenue & growth Commentary (4Q) (1Q) 17,736 18,367 17,579 12,333 ün In 4Q21, the Group’s revenue increased 12,077 24% 27% 10,658 by 35% QoQ buoyed by strong growth 30% 32% 38% in whisky sales and continu
Slide 16: Brandy Segment – Growth with Profitability
CONFIDENTIAL Brandy Segment – Growth with Profitability Revenue¹ EBITDA & margin² (PHPm) EBITDA (PHPm) EBITDA margin 37,627 36,891 37,232 28.2% 33,681 24.1% 24.3% 22.8% 22.5% 21.9% 10,713 7,870 8,4143 8,473 8,163 7,635 2,001 1,914 2018 2019 2020 2021 1Q21 1Q22 2018 2019 2020 2021 1Q21 1Q22 Commentar
Slide 17: Whisky Segment – Growth Profile
CONFIDENTIAL Whisky Segment – Growth Profile Revenue¹ Branded business net net sales2 – geographical split (PHPm) Branded Private label Bulk 2015 2021 Other 18,704 Other APAC 5% 1% 6% APAC 6% EMEA EMEA 30% 15,943 20% 17% 20% Branded 13,938 10% 13,369 business up 7% by 2.7x 8% 21% Americas 23% 15% Am
Slide 18: Whisky Segment – Expanding Profitability
CONFIDENTIAL Whisky Segment – Expanding Profitability Revenue mix evolution Gross profit margin1 evolution Private label 39.7% 39.8% 39.9% 40.6% 40.3% 17% 36.1% 32.7% 30.1% 2014 Branded 53% Bulk 30% 2016 2017 2018 2019 2020 2021 1Q21 1Q22 EBITDA margin2 evolution Private label 20% 25.3% 24.0% 24.8%
Slide 19: Key Drivers for our Sustainable Profitability
CONFIDENTIAL Key Drivers for our Sustainable Profitability Our drivers to deliver sustainable and expanding profitability going forward ü n Continued growth in mix of branded business Increased focus on brands n Historically, branded mix of total whisky segment has increased from 53% between 2011-14
Slide 20: Appendix
Appendix EMPERADOR INC.
Slide 21: Whyte & Mackay: A Global Scotch Whisky Gem
Whyte & Mackay A Global Scotch Whisky Gem
Slide 22: Solid Growth Momentum in Greater China Single Malt Market
Solid Growth Momentum in Greater China Single Malt Market Perceived as dynamic, international and sophisticated drink by urbanized and high-income consumers, Emperador’s Single Malt whisky business has grown rapidly during the last 6 years W&M has significantly outperformed the rest of market in Gre
Slide 23: Whisky – Strong International Growth And Premiumisation
Whisky – Strong International Growth And Premiumisation § Rapid growth in international markets – focus on key strategic markets globally § Focus on Single Malt brands – high value and high margin § Single Malt sales now comprise c.76% of branded business 1 and are even more important in margins ter
Slide 24: A Clear Vision
For further information, please refer to the Investor Update deck (Sep 21) A CLEAR VISION Link: https://www.emperadorbrandy.com/images/investor/Emperador%20-%20Investor%20Update%20vUpload%20(Sep%202021).pdf PAGE 24 24
Slide 25: Disclaimer
Disclaimer IMPORTANT: The following applies to the following confidential information, the oral presentation of such information and other materials distributed at, or in connection with, this presentation (together, this “Presentation”) by Emperador Inc. (the “Company”) to equity research analysts