Breville Group Limited · ASX:BRG
Breville — Shareholder Meeting (2004)
16 slides from Breville's shareholder meeting presentation, 2004
Slide 1: Annual General Meeting 2004
(hwi) ANNUAL GENERAL MEETING 2004
Slide 2: Business Model
BUSINESS MODEL i ng Australia d Innovation Fun Competitive n Procurement & Lifestyle s ig De New Zealand Homewares Hong Kong/ Marketing & Design Brand & Product China Sales, Electrical Development Procurement base USA Sales Support Marketing & Design QC & Shipping & Logistics Canada R Export Sales D
Slide 3: Our Market
OUR MARKET Electrical Kitchenware Tabletop Cleaning Agency
Slide 4: Understanding Our Group: Global Sales
UNDERSTANDING OUR GROUP GLOBAL SALES (AUD $MIL) $161.2 $296.4 HOMEWARES ELECTRICAL
Slide 5: Understanding Our Group: Geographic Sales
UNDERSTANDING OUR GROUP GEOGRAPHIC SALES (AUD $MIL) $15.4 $52.3 $38.3 $351.6 AUSTRALIA NEW ZEALAND HONG KONG USA
Slide 6: Our Global Business: Australia and USA Sales
OUR GLOBAL BUSINESS AUSTRALIA SALES (AUD $MIL) $113.0 $238.6 HOMEWARES ELECTRICAL USA SALES (AUD $MIL) $7.7 $44.6 HOMEWARES ELECTRICAL
Slide 7: Our Global Business: New Zealand and Export Sales
OUR GLOBAL BUSINESS NEW ZEALAND SALES (AUD $MIL) $3.6 $34.7 HOMEWARES ELECTRICAL INTERNATIONAL EXPORT SALES (AUD $MIL) $15.4 ELECTRICAL
Slide 8: EBITA Contribution
EBITA CONTRIBUTION EBITA CONTRIBUTION (AUD $MIL) (Year to June 04) 50 40 30 20 10 0 AUST USA NZ GROUP EXPORTS
Slide 9: Return on Capital Employed
RETURN ON CAPITAL EMPLOYED % EBITA RETURN ON CAPITAL EM PLOYED (Year to June 2004) 25.0 20.0 15.0 10.0 5.0 0.0 AUST USA NZ GROUP EXPORTS
Slide 10: Capital Employed (AUD $mil)
CAPITAL EMPLOYED (AUD $MIL) 31 DECEMBER 2003 30 JUNE 2004 $63.2 $85.0 28% 35% $155.9 $158.7 65% 72% NET DEBT SHAREHOLDER FUNDS NET DEBT SHAREHOLDER FUNDS 1) CURRENT DIVIDEND PAYOUT RATIO IS 50% PROFIT AFTER TAX WITH BALANCE RE-INVESTED AT 19% RETURN ON CAPITAL EMPLOYED TO DRIVE EARNINGS GROWTH 2) BO
Slide 11: Strategy - Electrical
STRATEGY - ELECTRICAL Our electrical offer is based on a Good, Better, Best proposition: •“Breville” designed products together with “Philips” represent our “Best” offer •“Kambrook” as our “Value offer” represents “Better” and “Ronson” represents “Good” price entry promotional offers “Breville” is c
Slide 12: Strategy - Electrical Cont.
STRATEGY – ELECTRICAL CONT. Our North American and International Sales growth is clearly dependent on the success of our Breville “Best of Class” product development. •We are pleased to advise that we are making good progress in our North American and International expansion. •Our North American sal
Slide 13: Strategy - Electrical Cont.
STRATEGY - ELECTRICAL CONT. Our Philips “DAP” business is strong and is expected to continue to grow over the next year with the introduction of additional categories. Growing the top line in Australia has been challenging due to increased competition and retailer driven direct import programs. Our
Slide 14: Strategy - Homewares
STRATEGY - HOMEWARES •Restructure was geared towards meeting market demands through the introduction of a “marketing push” business model, eliminating unprofitable product categories and delivering more focused stock management to achieve higher stock turns. •Infrastructure is being adjusted in tand
Slide 15: Strategy - Homewares Cont.
STRATEGY - HOMEWARES CONT. •Metro’s Homewares business is currently undergoing the same process with a view to deliver an improved return on sales result. • Top line sales growth has been challenging due to price deflation and retailer driven direct import programs, particularly at the lower price p
Slide 16: Strategy - Homewares Cont.
STRATEGY - HOMEWARES CONT. •Committed to a “good, better, best” strategy with innovation driving growth opportunities both locally and offshore and a flexible delivery arrangement around the “good” offering. •The Homewares team has a passionate commitment to drive development and growth into the hom