Slide 1: Financial Results Full Year Ended 30 June 2024
Financial Results Full Year Ended 30 June 2024 14 August 2024
Slide 2: Important information
Important information Forward Looking Statements This presentation contains forward looking statements that involve subjective judgment and analysis and are subject to significant uncertainties, risks and contingencies, many of which are outside the control of, and are unknown to Orora. Forward look
Slide 3: FY24 Highlights and Group Strategy
FY24 Highlights and Group Strategy Brian Lowe Managing Director & Chief Executive Officer
Slide 4: FY24 financial highlights
FY24 financial highlights Includes seven months of Saverglass1 • Underlying EBIT of $404.0m increased 26.0% due to seven months contribution from Saverglass Revenue Underlying Earnings Before Underlying Net Profit After • Group results slightly ahead of trading update from Interest and Tax (EBIT) Ta
Slide 5: FY24 operating highlights
FY24 operating highlights Resilient earnings performance across OPS and Australasia, with seven months of Saverglass earnings Orora Packaging Solutions Global Beverage – Australasia Global Beverage - Saverglass Revenue EBIT (USD) (USD) Revenue Revenue EBIT EBIT down down down of of up 2.0% €48.8m 10
Slide 6: Orora safety performance update
Orora safety performance update Lost time injury frequency rate (LTIFR)* Update on our approach to improving safety • No Serious Injuries or Fatalities. • Significant reductions in both Lost Time Injuries (38%) and Recordable Case Injuries (43%), which is a result of our focus 2.6 1.6 on heightened
Slide 7: Compelling investment proposition
Compelling investment proposition Orora provides investors with a robust and defensive earnings profile core in Australasia, and attractive growth profile in North America and Europe Leadership positions Robust and Well invested assets Long-term customer in attractive diversified business and defens
Slide 8: Saverglass investment thesis
Saverglass investment thesis Saverglass enhances Orora’s business model and presents compelling growth opportunities in the long term Leadership Robust and Well invested Long-term Disciplined Strong Experienced Favourably positions in diversified assets and customer approach to financial track and s
Slide 9: Global glass production network
Global glass production network Saverglass acquisition enables the creation of a global glass business with the integration of Gawler Global Glass Business New Operating Structure Reporting Capacity to be managed across seven Regional businesses with P&L accountability External reporting under a Glo
Slide 10: Near-term growth priorities
Near-term growth priorities Orora’s businesses offer investors exposure to multiple attractive growth pathways Global Beverage OPS Glass Cans Value Leading manufacturer and decorator of Leading manufacturer and Leading provider of custom and Proposition value-added glass containers to the decorator
Slide 11: Potential strategic re-shaping of portfolio
Potential strategic re-shaping of portfolio Global specialised beverage container strategy materially accelerated with acquisition of Saverglass Portfolio has been steadily Focused beverage container Potential future state transformed over time building blocks in place Strategic review undertaken to
Slide 12: Financial Results
Financial Results Shaun Hughes Chief Financial Officer
Slide 13: FY24 Group financial performance
FY24 Group financial performance FY24 FY24 Underlying excluding Saverglass Underlying ($m) excl. FY23 Var$3 Var%3 CC%3 incl. SVG1 SVG2 • Revenue down 7.0%, driven by an 8.4% decrease in OPS (10.8% Revenue 4,697.6 3,992.2 4,291.3 (299.1) (7.0%) (8.8%) decrease on a constant currency basis) and a 2.5%
Slide 14: FY24 Orora Packaging Solutions (OPS) financial highlights
FY24 Orora Packaging Solutions (OPS) financial highlights Revenue (USD) EBIT (USD) OPS business performance $1,954.5m $109.5m • 10.8% decrease in revenue to $1.95bn reflects continued softness in the broader North American manufacturing industry and the flow-through impact of price deflation 10.8% d
Slide 15: FY24 Global Beverage financial highlights
FY24 Global Beverage financial highlights Revenue Underlying EBIT Global Beverage business performance $1,716.3m $237.0m • • Significant growth for Global Beverage earnings from acquisition of Saverglass with seven months of earnings included Excluding Saverglass: 65.5% increase 54.6% increase • Rev
Slide 16: FY24 Saverglass financial highlights
FY24 Saverglass financial highlights Revenue EBIT incl. AASB 16 Saverglass business performance • Financial performance for the first seven months of ownership was consistent €427.6m €48.8m • with the revised trading update in April 2024 Volume softness continued in 2H with production down 11% vs pc
Slide 17: Saverglass purchase price accounting
Saverglass purchase price accounting Accounting values Updated net assets acquired • Independent experts used for asset valuations • Property, plant Difference between net asset value and purchase price is goodwill €524.1m & equipment • Review resulted in an increase to Saverglass assets, principall
Slide 18: Operating cash flow
Operating cash flow • Underlying operating cash flow of $397.0m was 47.1% higher than FY23, driven by higher cash EBITDA (inclusion of seven months of $m FY241 FY23 Var$ Var% Saverglass cash flows) and improved working capital more than Underlying EBITDA 616.4 443.5 172.9 39.0% offsetting an increas
Slide 19: Group capex spend
Group capex spend Total spend managed in FY24. Value accretive growth continues in FY25 Capex ($m) Key Projects Project Spend to FY25 spend Total 256 240-260 date ($m) ($m) ($m) 34 53 194 G3 (rebuild - base) 47 ~53 ~100 13 G3 (oxy-fuel conversion - growth) 46 ~24 ~70 153 90-100 145 Total G3 93 ~77 ~
Slide 20: Balance sheet and net debt
Balance sheet and net debt Balance sheet provides operating and strategic flexibility to support Orora’s growth strategy Balance sheet Net debt and leverage ratio $m FY24 FY23 2.6x 2.8x 2,000 3.0x Average funds employed (ex. Saverglass) 1,562.3 1,471.9 2.5x 1.9x 2.0x 1,500 1.8x Average funds employe
Slide 21: Liquidity and debt maturity profile
Liquidity and debt maturity profile Balance sheet with appropriate liquidity and debt facilities to support growth investments Debt Maturity and Liquidity Profile ($m) As at 30 June 2024 • Global Syndicated Facility Agreement (Global SFA) was amended and To be re-financed through existing extend in
Slide 22: Final dividend
Final dividend Dividend payout ratio remains at low end of range given elevated leverage Cents per share 5.0 cps Final dividend of 5.0 cents per share (unfranked), consistent with interim dividend, represents a $67.2m gross dividend Total dividend declared for FY24 of 10.0 cents FY24 underlying divi
Slide 23: Sustainability Update
Sustainability Update Brian Lowe Managing Director & Chief Executive Officer
Slide 24: Our progress on sustainability
Our progress on sustainability We are making good progress with our sustainability goals and commitments Circular Economy Climate Change Community • We achieved 50% recycled content in our • Engineering, civil earthmoving and • Significant improvement of safety glass products, up from 38% last year,
Slide 25: FY25 Perspectives and Outlook
FY25 Perspectives and Outlook Brian Lowe Managing Director & Chief Executive Officer
Slide 26: Perspectives for FY25 and beyond
Perspectives for FY25 and beyond Disciplined execution of our strategy to continue to drive through the cycle sustainable earnings growth Orora Packaging Solutions Orora Beverage Saverglass in North America in Australasia • Resilient business performance despite challenging • Cans – utilising increa
Slide 27: Saverglass market conditions
Saverglass market conditions Inventory continues to reduce, industry commentary indicates 2025 recovery Industry commentary Saverglass inventory 2024-25 will be a year of transition, with highlights including finalization of destocking in the Americas, and 2025-26 will mark a resumption of the traje
Slide 28: FY25 outlook
FY25 outlook OPS Global Beverage (Saverglass) • EBIT to be broadly in line with 2HFY24 exit run- • Higher full-year EBIT with twelve rate with benefits from transformation and cost months of earnings compared to management continuing seven in FY24 • Well positioned for any recovery in US economy • C
Slide 29: Supporting Information
Supporting Information
Slide 30: Our identity
Our identity Harnessing One Orora to be a leading sustainable packaging solutions provider 30
Slide 31: FY24 Global Beverage (Aus) financial highlights
FY24 Global Beverage (Aus) Global Beverage (Australasia) business performance financial highlights • Revenue declined 2.5% with Glass lower from reduced volumes reflecting ongoing soft demand for Australian wine and beer • Cans revenue was flat with aluminium price pass-through revenue declining, of
Slide 32: Statutory to underlying reconciliations
Statutory to underlying reconciliations Statutory to underlying results FY24 FY23 ($m) EBIT PBT NPAT EBIT PBT NPAT Statutory result 363.6 260.5 185.2 294.5 247.0 184.8 Add significant items: - Acquisition transaction costs 40.4 40.4 38.5 26.0 26.0 18.2 Underlying result1 404.0 300.9 223.7 320.5 273.
Slide 33: Thank you
Thank you ororagroup.com/investors