Maple Leaf Foods Inc. · TSX:MFI
Maple Leaf Foods — Investor Presentation (January 2017)
13 slides from Maple Leaf Foods's investor presentation, Jan 24, 2017
Slide 1: Maple Leaf Foods
MAPLE LEAF FOODS Michael McCain – President & CEO January 24, 2017 2
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains “forward-looking information” within the meaning of applicable securities law. These statements are based on current expectations, estimates, forecasts, and projections about the industries in which the Company operates, as well as beliefs and as
Slide 3: Maple Leaf Foods Today
Maple Leaf Foods Today Canada’s largest Brand and meat protein market share company leader Leader in Vertically integrated ‘Raised Without Antibiotics’ $3.3B in sales; 78% of sales ~$4.0B market in Canada; cap 7% in US 3 3
Slide 4: Iconic brands
Iconic brands natural
Slide 5: Brand and category leadership
Brand and category leadership Wieners Deli Meats Frozen Sausages Bacon Canned Meats #1 Brand #1 Brand #1 Brand #1 Brand #1 Brand Meats Snacks Lunch Kits Fresh & Halal Poultry #2 Brand #1 Brand #1 Brand *Source: Nielsen MarketTrack, National GB+DR+MM incl Nfld, Latest Period Ending October 15, 2016 5
Slide 6: Completed five-year transformation
Completed five-year transformation: lowered costs, increased profitability Eliminated or reformulated over ~$1 billion in capital invested 1800 products to run on faster from 2010-2015 lines with new technologies 11 prepared meats Invested in enhancing scale and manufacturing sites consolidated tech
Slide 7: Record earnings
Record earnings Adjusted Earnings per Share Adjusted Operating Earnings S$ per share 0.32 0.32 0.25 0-28 0.13 2-16 <a $ millions ag 54 30 22 10 | aff 61 62 0.08 | | = | a -0.120.12° -12 -14 -0.19 28 -20 -20 -0.24.9.25 -0.24 -32 -30 -0.41 -56 2013 2014 2015 2016 2013 2014 2015, 2016
Slide 8: Accomplished strategic target set in 2010
Accomplished strategic target set in 2010 3.5% 2005-2012 Average 8
Slide 9: Balance sheet optionality
Balance sheet optionality: Significant capacity and flexibility • Debt free – cash on hand of $444 million at the end of Q3 2016 • Over the last 2 years we have invested $255 million to buy back ~11 million Maple Leaf shares via two NCIBs • Increased dividend by 125% over the last two years • Optimi
Slide 10: The path forward in four of our strategic pillars
Today’s discussion: The path forward in four of our strategic pillars Maple Leaf Strategic Pillars Lead in Drive growth in Eliminate Broaden our Invest in people Build a sustainability three platforms waste reach and brands digital future 10
Slide 11: Growth platforms intersect with emerging consumer needs
Growth platforms intersect with emerging consumer needs Innovation Lead in Sustainable Meat Grow in Healthy Snacking Expand Alternative Proteins 11
Slide 12: Sustainable Meat is becoming a unique differentiator
Sustainable Meat is becoming a unique differentiator Demand for Fast growing antibiotic market Premium Investing in Advancing Strong free and segment margins in sustainable leadership platform for crate free driven by sustainable production in animal market pork consumer meat techniques care expansi
Slide 13: Summary: Maple Leaf Today
Summary: Maple Leaf Today • Canada’s largest consumer packaged meats company • #1 brands, #1 market shares, and low-cost supply chain • Track record of delivering margin expansion • Exciting growth platforms intersecting with consumer needs • Accelerating profitable growth 13
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