Alsea, S.a.b. De C.v. · BMV:ALSEA
Alsea, S.a.b. De C.v — Q4 2020 Earnings Presentation
28 slides from Alsea, S.a.b. De C.v's earnings presentation, 2021
Slide 1: Update 4Q20
update 4Q20
Slide 2: Our Presence
Our PRESENCE 11 17 4,193 countries brands restaurants Netherlands 88 Belgium 31 Luxembourg 4 France 188 México 2,184 Portugal 23 Spain 1,042 22% Colombia 178 +60,000 +273 FRANCHISES Uruguay 9 employees million clients CORPORATE Chile 199 served Argentina 247 78% 1,234 1,524 402 76 32 6 79 282 16 2 2
Slide 3: Alsea's History
Alsea´s History 1990 1992 1995 1999 2002 2006 2007 2008 2009 2012 2013 2014 2016 2018 2019 2020 UNITS 01 500 1,000 1,862 2,714 3,195 4,193 Launch Business Model Expansion Consolidation 4Q20 3
Slide 4: Alsea Today
ALSEA Today TOTAL Corporate 1,270 811 402 361 102 85 62 76 16 32 16 28 13 6 2 1 3,284 Franchises 254 423 - 27 128 36 17 - - - 23 - - - - 1 909 Total 1,524 1,234 402 388 230 121 79 76 16 32 39 28 13 6 2 2 4,193 Sales per geography EBITDA per geography 15% 9% 49% 33% 58% 36% Mexico Europe South Americ
Slide 5: Innovation: Consumer & Technology - Multi-brand Rewards Program
INNOVATION Consumer & Technology MULTI-BRAND REWARDS PROGRAM mobile 18% web INCREASE in average ticket +650,000 call center Active members WOW is in 5% Delivery linked to WOW rewards app of ALSEA Mexico Sales 4Q20 5
Slide 6: Innovation: Consumer & Technology - Apps and Digital Coupon
INNOVATION Consumer & Technology APPS DIGITAL COUPON • 3x more efficient than paper coupons • 38.58% redemption +2.5 MILLION • Smart targeting according to customers´ needs and preferences DOMINO’S APP +2.0 DOWNLOADS • Evolution to an ecosystem of benefits +1.4 MILLION and omni-channel STARBUCKS REWARD
Slide 7: Strategy
strategy 4Q20
Slide 8: Strategic Definitions
ALSEA Strategic Definitions Our Business Value Proposition Way to win Purpose We focus on the We are a company of people and Alsea’s Culture Brand Portfolio operation of restaurant for the people, committed to Best Talent Ignite chains, own and excellence in operation, acting franchisees and related
Slide 9: Diversified Portfolio
DIVERSIFIED ACTUAL MARKET POPULATION GDP USD CLIENTS Portfolio 4,193 UNITS +395 MILLION 8,360 BILLION +273 MILLION POPULATION SEGMENTS DAY PARTS AB C+ C C-, D+ D, E Morning Lunch Afternoon Evening Served by the Informal sector 4Q20 9
Slide 10: Growth Strategy
GROWTH Strategy ORGANIC GROWTH ACQUISITIONS + SSS New Brands Growth Storage Openings Franchises & Sub-franchises New Brands Existing Brands New Markets New Markets OPERATING BUSINESS MIX OPERATING LEVERAGE Corporate EFFICIENCES + + Franchised Margin Sub-franchised Cost of Sales Pricing Strategy Expa
Slide 11: Mexico Strategy
Mexico Strategy TOTAL UPSIDE + 1,685 STORES Market Holding Capacity with SIGNIFICANT upside 26 31 43 19 31 22 67 37 12% 1% 28% 39% Franchises 81% Corporate 69% 66% 62% 57% 46% 30% 33% 4Q20 11
Slide 12: Europe Strategy
Europe Strategy TOTAL UPSIDE + 1,300 STORES Market Holding Capacity with SIGNIFICANT upside 50 32 54 40 48 60 9% 7% 39% 14% Franchises 11% Corporate 43% 51% 29% 35% 38% 29% 11% SPAIN PORTUGAL FRANCE BELGIUM NETHERLANDS LUXEMBOURG 4Q20 12
Slide 13: South America Strategy
South America Strategy AVAILABLE MARKET + 550 OPPORTUNITY STORES Market Holding Capacity with SIGNIFICANT upside 48% 42% 69% 84% 39 35 49 28 40 67 59 67 60 61 72 Franchises 72% 9% Corporate 61% 65% 60% 51% 33% 32% 33% 40% 39% 28% ARGENTINA CHILE COLOMBIA URUGUAY 4Q20 13
Slide 14: Distribution Centers - Supply Chain Model
DISTRIBUTION Centers SUPPLY CHAIN MODEL MEXICO VARIES IN REGION 4 Hermosillo DISTRIBUTION Argentina 128 STORES CENTERS • Operation and distribution through a third party • +300 suppliers • +1,300 SKUs Monterrey Colombia 262 STORES • Hybrid model of distribution (mix between own and third party resou
Slide 15: Operation Center
ALSEA Operation Center 74,500 m2 TOTAL LAND 17,228 RACK POSITION warehouses offices 46,000 m2 10,004 COA BUILT WAREHOUSE +50 CENTRALIZED 1,761 DOCKS OPERATION IN REFRIGERATE bakery MEXICO CITY AND SURROUNDINGS commissary 5,463 FROZEN fresh dough production 4Q20 15
Slide 16: Financials
Financials 4Q20
Slide 17: Consolidated Results
Consolidated Results Sales EBITDA 4Q19 14,995 (25.6)% 4Q19 2,358 (33.3)% 4Q20 11,160 4Q20 1,573 FY19 57,444 (33.4)% FY19 7,650 (80.5)% FY20 38,229 FY20 1,489 Net Ordinary Income Net Debt/ EBITDA 4Q19 436 (150.7)% 4Q19 3.0x 4Q20 -221 4Q20 19.0x FY19 1,080 (485.0)% Excluding effect of IFRS 16, a well
Slide 18: Business Overview Mexico
Business Overview Mexico 1% 2% Adjusted EBITDA* Units 3% Sales* 3% 1% 1% 40% 4% 4% 8% 5% 33% 36% 6% 13% 8% 19% 16% 9% 16% 5% 6% 1% 2% 3% 34% 22% -1% 83% Corporate 17% Franchises Results 4Q20 FY20 Total Stores SSS (21.8%) (23.0%) 2,346 2,467 2,215 2,272 2,184 1,999 2,092 Revenues 5,520 19,067 86% Adj
Slide 19: Business Overview Europe
Business Overview Europe Other** 1% 1% Adjusted EBITDA* Units 2% Sales* 2% 4% 2% 7% 47% 8% 9% 31% 34% 9% 14% 23% 17% 18% 25% 16% 12% 9% 1% 1% 2% 5% 64% Corporate 36% Franchises Results 4Q20 FY20 Total Stores SSS (34.6)% (24.4)% 1,398 1,376 Revenues 4,002 13,861 92% 593 stores Adjusted EBITDA 854 1,1
Slide 20: Business Overview South America
Business Overview South America 1% 1% Adjusted EBITDA* Units 1% Sales* 2% 5% 3% 38% 5% 34% 16% 15% 39% 49% 19% 28% 7% 1% 2% 35% -1% 95% Corporate 5% Franchises Results 4Q20 FY20 Total Stores SSS (14.2)% (20.1)% 628 640 633 Revenues 1,638 5,302 481 543 92% 343 395 stores Adjusted EBITDA 241 302 open
Slide 21: Business Overview Alsea
Business Overview Alsea Other* 2% 2% 1% 1% 2% 2% Adjusted EBITDA* Units 2% Sales* 2% 3% 3% 3% 3% 28 28 5% 3% 28% 36% 5% 7% 11% 10% 9% 9% 9% 6% 1% 2% 2% 3% 4% 15% 25% -1% 29% 78% Corporate 22% Franchises Results 4Q20 FY20 Total Stores SSS (25.0)% (23.0)% 4,310 4,193 3,438 3,688 Revenues 11,160 38,229
Slide 22: Leverage and CAPEX
Leverage and CAPEX 9% 11% 11% 11% 9% 7% 4% - 2.9x 2.3x 2.4x 2.0x 3.4x 2.9x 19.0x - CAPEX as percentage of sales Net Debt / EBITDA 4.8 4.3 4.3 CAPEX 3.4 3.8 (excluding acquisitions) 3.2 2.1 1.7 2014 2015 2016 2017 2018 2019 2020 2021e FIGURES IN BILLION PESOS 4Q20 22
Slide 23: Debt Profile
DEBT Profile Debt Maturity Capital structure 4Q20 4Q19 Net Debt / EBITDA 19.0 x 2.9 x 15% 23% 35% 6% 6% 8% 8% EBITDA/ Interest Paid 0.7 x 3.6 x 11,271 Average cost 6.9% Peso 7.22% 7,309 Euro 1.96% 4,839 Debt structure 4Q20 Main Banks 4Q20 Bond Debt 25% Scotianbank 11% 2,685 2,071 2,043 1,993 Bank De
Slide 24: Ensure the Safety, Health and Well-Being of Our Customers, Employees and Communities
Ensure the Safety, Health and Well-Being of Our Customers, Employees and Communities OUR CUSTOMERS OUR EMPLOYEES OUR COMMUNITIES Our commitment is that we will implement the highest Full support for the health and safety of our employees and Dedicated to serving our communities constructively throug
Slide 25: Contingency: Short-term Revenue Initiatives
Contingency Continued Focus on Executing our Contingency. Plan Through Short-term Revenue Initiatives Delivery and technology at the core of Alsea's business provide flexibility to face the current situation • Open stores in all markets following each country's regulations and guidelines and 1 In-St
Slide 26: Contingency Plan Execution
Contingency Plan Execution Swift implementation and execution of action plan to enhance liquidity • Labor support initiatives supported by governments and unions (ERTE and “4x3") 1 Personnel • Governments support programs: Spain, France, Argentina, Chile, Colombia and the Netherlands • Lean and flex
Slide 27: Contingency Plan Execution
Contingency Plan Execution Swift implementation and execution of action plan to enhance liquidity 1 • Contactless experience and implementation of safety protocols in all units 2 • Alignment of employee trainings to post-Covid-19 requirements • Reinforce Brand OwnersReinforce alternative distributio
Slide 28: Investor Information
ALSEA Investor information Headquarters Alsea, S.A.B. de C.V. Av. Revolución #1267 -21st. Floor Salvador Villaseñor Corporate Tower Col. Los Alpes, Del. Alvaro Obregón ri@alsea.com.mx Zip Code 01040, Mexico City Phone: +52 (55) 7583-2000 Phone: +52 (55) 7583-2000 The slides of this presentation, con
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