John B. Sanfilippo & Son, Inc. · NASDAQ:JBSS
John B. Sanfilippo & Son — Sanfilippo John B & SON — FY2018 Earnings Presentation
64 slides from John B. Sanfilippo & Son's earnings presentation, Sep 27, 2018
Slide 1: September 27, 2018
September 27, 2018 NASDAQ: JBSS Exhibit 99.1
Slide 2: Forward-Looking Statements
Some of the statements in this presentation and any statements by management constitute “forward-looking statements” about John B. Sanfilippo & Son, Inc. Such statements include, in particular, statements about our plans, strategies, business prospects, changes and trends in our business and the mar
Slide 3: JBSS Corporate Overview
One of the largest nut processors in the world with fiscal year 2018 net sales of approximately $889 million State-of-the-art nut processing capabilities, including what we believe is the single largest nut processing facility in the world A North American market leader in every major selling channe
Slide 4: We Are Experts In Every Nut Type
We Are Experts In Every Nut Type % of total gross sales Full assortment of nut types Full variety of value-added products Wide variety of dried fruit and other snack products Customized, unique product formulas Fiscal Year 2018
Slide 5: Consistent Success Over Past Fiscal Years
Consistent Success Over Past 6 Fiscal Years Diluted EPS Increased by 43% from FY 13 to FY 18 Net Sales increased by approximately 21% from FY 13 to FY 18
Slide 6: We Return Cash to Our Shareholders
Yield based on average yearly stock price. 2018 through 9/04/18 We Return Cash to Our Shareholders
Slide 7: FY 2018 Results
JOHN B. SANFILIPPO & SON, INC. FY 2018 RESULTS A g: Z ihe Orchard Vlloy sa
Slide 8: Building Our Future: What Matters Most FY 2019
JOHN B. SANFILIPPO & SON, INC. BUILDING OUR FUTURE WHAT MATTERS MOST FY 2019 EXPAND CREATE VALUE CONSUMER REACH CUSTOMERS Win new customers by entering new channels, launc! ‘Strorited products ood esting in new businesses. food anit, exit, ACCOUNTABILITY CONSUMER INSIGHTS. ENGAGEMI Be the trusted pa
Slide 9: FY 2018 Accomplishments: Fisher Recipe and OVH
Fisher recipe nuts maintained branded market share leadership and expanded retail distribution OVH revenue grew 65% due to new product introduction and new customers in the Consumer Distribution Channel Fisher snack launched “Oven Roasted, Never Fried” to support healthier consumption trends FY 2018
Slide 10: FY 2018 Accomplishments: Customer Wins
Won Trail Mix Business Award at key Mass Merch customer Introduced new items at key Contract Manufacturing customers Grew Cashew Butter Business FY 2018 Accomplishments 10
Slide 11: FY 2018 Accomplishments: Squirrel Brand Acquisition and Distribution
Acquisition of Squirrel Brand and Southern Style Nuts expanded our presence in Club, Airlines and foodservice venues Expanded branded Club presence with OVH Glazed Pecan Salad Toppers Launched branded portfolio on Amazon and created brand stores for consumers Expanded distribution in health care and
Slide 12: Sales Channel Updates
JOHN B. Sec & SON, INC. SALES CHANNEL UPDATES SEP> A g: Z ihe Orchard Vlloy sa
Slide 13: Business Channel Diversification
Fiscal 2018 Net Sales $889 Million Business Channel Diversification (Millions of $)
Slide 14: Consumer Channel Net Sales
Fiscal 2018 Net Sales $590 Million FY 2018 Consumer Channel 11.2% vs. FY 17
Slide 15: Commercial Ingredients Channel
Fiscal 2018 Net Sales $154 Million FY 2018 Commercial Ingredients Channel vs. FY 17 -6.4% Commercial Ingredients 17%
Slide 16: Contract Packaging Channel
FY 2018 Contract Packaging Channel Fiscal 2018 Net Sales $145 Million vs. FY 17 -4.6% Contract Packaging 16%
Slide 17: Nut Category Review
JOHN B. SANFILIPPO & SON, INC. NUT CATEGORY REVIEW A g: Z ihe Orchard Vlloy sa
Slide 18: Nut Commodity Prices Up Slightly in FY
Nut Commodity Prices Up Slightly in FY 18 Source: IRI: Nut Category – Multi Outlet Geography Time Periods: Total FY 11 Year Ending 7/3/11 to FY 2018 data ending 6/24/18 1% increase in FY 18, with a +4% average increase since FY 11
Slide 19: Retail Prices Up Across Cashews, Macs and Walnuts
Retail Prices Up Across Cashews, Macs and Walnuts Source: IRI: Total Nut Category – Multi Outlet Geography Time Periods: FY 2018 data ending 6/24/18
Slide 20: Steady Category Revenue Growth
Steady Category Revenue Growth Source: IRI: Total Nut Category – Multi Outlet Geography Time Periods: FY 11 Year Ending 7/3/11 to FY 2018 data ending 6/24/18
Slide 21: FY 2018 Financial Milestones
Fy 2018 financial milestones
Slide 22: JBSS Stockholders' Equity FY 1991-2018
In millions of $ 9.0% CAGR over 26.5 Years JBSS Stockholders’ Equity FY 1991-2018
Slide 23: JBSS Net Sales FYs 1991-2018
Increased Pound Volume and Prices De-emphasized Industrial Sales, Lower Prices Low Carb Diet Run Up $889 million In millions of $ Decreased prices and volume 6.6% CAGR over 26.5 Years JBSS Net Sales FYs 1991-2018
Slide 24: JBSS Total Outstanding Debt FYs 1991-2018
In millions of $ Facility Consolidation Project 55% decline in total debt since 2007 JBSS Total Outstanding Debt FYs 1991-2018 Acquisition of Squirrel Brand
Slide 25: Total Outstanding Debt as % of Net Sales
JBSS Total Outstanding Debt as % of Net Sales FYs 1991-2018
Slide 26: EBITDA
EBITDA EBITDA consists of earnings before interest, taxes, depreciation, amortization and noncontrolling interest. EBITDA is not a measurement of financial performance under accounting principles generally accepted in the United States of America ("GAAP"), and does not represent cash flow from opera
Slide 27: Reconciliation of Net Income to EBITDA
Reconciliation of Net Income to EBITDA
Slide 28: EBITDA Trends
* EBITDA is a non-GAAP measure. See slide entitled “Reconciliation of Net Income (Loss) to EBITDA” for reconciliation to GAAP measure (in $ thousands) EBITDA Trends*
Slide 29: Peanut and Tree Nut Spot Market Prices vs. JBSS Gross Margin
PEANUT AND TREE NUT SPOT MARKET PRICES VS. JBSS ROLLING 4 QTR. GROSS MARGIN %
Slide 30: FY 2018 Brand Marketing Overview
Fy 2018 brand marketing overview
Slide 31: Snack Nuts, Grow Brands, Recipe Nuts
Snack Nuts Grow Brands Recipe Nuts
Slide 32: Recipe Nuts
iS Recipe Nuts ge Walnut Halves & Pieces oMeor?, Oe. siiemn eaten gem Pecan Halves The Global vs? | hed
Slide 33: Fisher Recipe Slight Decline in Dollars and Flat in Pounds
Fisher Recipe Slight Decline in Dollars and Flat in Pounds for FY 2018 Total Fisher Recipe Brand Growth FY 18 vs. FY 17 DOLLAR NET SALES POUND SALES Source: JBSS shipment data 52 week versus 52 week comparison Fisher Recipe Category only. Recipe Nuts (2)% FLAT
Slide 34: Fisher Recipe Market Share Almost Flat in FY 2018
Fisher Recipe Market Share Almost Flat in FY 2018, but Up +11 Pts since FY 2013 Source: IRI: Total Recipe Nut Category – Multi Outlet Geography – FY 2013 - 2018 Data Ending 6/24/18
Slide 35: Fisher Recipe Continued to Expand Distribution
Fisher Recipe Continued to Expand Distribution in FY 2018 New distribution at Meijer Stores New distribution at Publix Stores Recipe Nuts Source: IRI: Total Recipe Nut Category – Multi Outlet Geography – FY 2013 - 2018 Data Ending 6/24/18
Slide 36: Fisher Recipe has Strong Distribution Nationally
National Distribution Hawaii Updated 8.18.18 Recipe Distribution Fisher Recipe has Strong Distribution Nationally 36
Slide 37: Continue to Build Fisher Brand Equity with Food Network Sponsorship
Continue to Build Fisher Brand Equity with Food Network Sponsorship
Slide 38: Strong Social and Digital Support to Engage Consumers
Strong Social and Digital Support to Engage Consumers Influencer Marketing Social Media and Web Original PR photo content created and photographed by the Fisher Fresh Thinkers Influencer Network
Slide 39: In-store Support to Drive Purchases
In-store Support to Drive Purchases Displays Aisle Blades
Slide 40: Snack Nuts
Snack Nuts OVEN ROASTED NEVER FRIEL ~) PEANUTS gister OVEN OVEN ROASTED BN: OVEN ROASTED 4
Slide 41: Fisher Snack Increase in Both Dollars and Pounds
Fisher Snack Increase in Both Dollars and Pounds in FY 18 Total Fisher Snack Growth FY 18 vs. FY 17 Snack Nuts Source: JBSS shipment data 52 week versus 52 week comparison Fisher Snack Category only. DOLLAR NET SALES 4% POUND SALES
Slide 42: Fisher Snack Market Share has been Flat
Fisher Snack Market Share has been Flat Since FY 13 Source: IRI: Total Snack Nut Category – Multi Outlet Geography –Periods: FY 13 to FY 18 data ending 6/24/18.
Slide 43: Exciting, Differentiated New Product Launch in FY
Exciting, Differentiated New Product Launch in FY 18
Slide 44: Opportunity to Solidify Core Midwest Markets and Expand Beyond
Opportunity to Solidify Core Midwest Markets and Expand Beyond the Midwest Core . 44
Slide 45: Reposition Fisher Snack and Expand Distribution Nationally
Updated 8.18.18 Snack Distribution Reposition Fisher Snack and Expand Distribution Nationally 45
Slide 46: Strong Marketing Support to Communicate Key Point of Difference
Strong Marketing Support to Communicate the Key Point of Difference Digital / Social & Print In Store Radio Sampling
Slide 47: Continued In-Stadium Marketing Support
Continued In-Stadium Marketing Support 47
Slide 48: Pure and Simple Goodness
Pure and Simple Goodness
Slide 49: Continued Strong Growth for Orchard Valley Harvest in FY 18
Continued Strong Dollars and Pound Growth for Orchard Valley Harvest in FY 18 Orchard Valley Harvest Growth FY 18 vs. FY 17 +64% +65% DOLLAR NET SALES POUND SALES Source: JBSS shipment data 52 week versus 52 week comparison. Includes Orchard Valley Harvest brand
Slide 50: Increasing Share Growth for Orchard Valley Harvest
Increasing Share Growth for Orchard Valley Harvest Over the Last 2 Fiscal Years Source: IRI: Total Produce Nut Category – Multi Outlet Geography Time Periods: to FY 13 Year Ending 6/30/13 to FY 2018 data ending 6/24/18
Slide 51: Orchard Valley Harvest Fastest Growing Brand in Nuts
Resulting in Orchard Valley Harvest being the Fastest Growing Brand in Nuts! % Change Total Dollars 63% Source: IRI – MULO Latest 52 weeks 6/24/18 versus prior year 51
Slide 52: OVH Continues to Enjoy Steady Distribution Growth
Source: IRI: Total Produce Nut Category – Multi Outlet Geography Time Periods: to FY 13 Year Ending 6/30/13 to FY 2018 data ending 6/24/18 OVH Continues to Enjoy Steady Distribution Growth
Slide 53: Orchard Valley Harvest Establishing a National Distribution Presence
BREAUX Markets 1 1 Distribution 2 2 National Distribution Updated 8.18.18 Orchard Valley Harvest Establishing a National Distribution Presence 53
Slide 54: Orchard Valley Harvest Multi-Packs Capitalize on Key Platforms
Orchard Valley Harvest Multi - Packs Capitalize on 4 Key Platforms Wellness Indulgent Core Snack Salad Toppers 54
Slide 55: Salads are the #1 Usage Occasion for Nuts
Salads are the #1 Usage Occasion for Nuts! Source: The NPD Group/NET In-Home Database, Indices for Seasonality of Total Nuts, Data for 10 Years Ending Nov 2011 We Have Expanded our Portfolio to Address Growing Usage of Nuts in Salads NO Artificial INGREDIENTS 8 Individual ServingsMulti Pack!
Slide 56: Taking Orchard Valley Harvest On the Go
We’re Taking Orchard Valley Harvest “On the Go” 56
Slide 57: Social Media and Digital Support to Engage Consumers
Social Media and Digital Support to Engage Consumers 57
Slide 58: In-Store Support to Drive Purchases
In-Store Support to Drive Purchases 58
Slide 59: We Welcome the Newest Members of the JBSS Family
We Welcome the Newest Members of the JBSS Family 59
Slide 60: Squirrel Acquisition is a Strong Fit with Expand Consumer Reach Pillar
Squirrel Acquisition is a Strong Fit with Our “Expand Consumer Reach” Strategic Pillar 60
Slide 61: Expanding eCommerce Presence
Expanding eCommerce Presence 61
Slide 62: Social Media Marketing Engages Consumers and Drives Awareness
Social Media Marketing Engages Consumers and Drives Awareness 62
Slide 63: Southern Style Nuts has Strong Equity in Hunter Mix Items
Southern Style Nuts has Strong Equity in Hunter Mix Items 63
Slide 64: Thank You
Thank You ; FX. we 4 We eee sone! Sei
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