Sphera Franchise Group Sa · BVB:SFG
Sphera Franchise Group Sa — Q3 2023 Earnings Presentation
27 slides from Sphera Franchise Group Sa's earnings presentation, Nov 15, 2023
Slide 1: Sphera Franchise Group Investor & Analyst Call Q3 2023 Results
Sphera Franchise Group Investor & Analyst Call Q3 2023 Results 15.11.2023
Slide 2: Agenda for today's call
Agenda for today’s call 1 9M 2023 Highlights 2 Business updates from Q3 2023 3 Brand Performance 4 Q&A session 5 Annex: Key 9M 2023 Financials 2
Slide 3: Disclaimer
Disclaimer This presentation is not, and nothing in it should be construed as, an offer, invitation or recommendation in respect of shares issued by Sphera Franchise Group SA ("Sphera"), or an offer, invitation or recommendation to sell, or a solicitation of an offer to buy shares in Sphera. Neither
Slide 4: Welcome to SFG's Q3 2023 Results Call
Welcome to SFG’s Q3 2023 Results Call Calin Ionescu Valentin Budes Monica Eftimie Zuzanna Kurek CEO CFO CMO IR Sphera Franchise Group’s unaudited Q3 2023 results are available for download on our website: www.spheragroup.com. The recording of this conference call will be available on our website sho
Slide 5: 9M 2023 Highlights
9M 2023 Highlights NY SPHERA z Krc @ {3
Slide 6: SFG Performance in 9M 2023
SFG Performance in 9M 2023 Data in RON’000 9M-23 9M-22 Y/Y % • Strong performance: the revenues overpassed, for the first time, the milestone of RON 1 billion in sales generated within the first three quarters of the year. This Restaurant sales 1,074,736 953,594 12.7% milestone was supported by a 12
Slide 7: SFG 9M 2023 Performance
SFG 9M 2023 Performance 3% 1,074.7 +1 953.6 379.2 1,020.5 0% 94.7 347.6 929.7 +1 9M +9% 355.3 63% + 321.7 0% 42.4 Q3 +1 360.5 58.3 % +14 327.4 342.5 285.7 322.3 0% +1 37.0 Q2 28.8 % +6 5% 278.6 335.1 322.7 3% +6 17.5 +1 23.5 Q1 0% +2 26 % +5 3.8 2022 2023 2022 2023 2022 2023 Restaurant Sales Expense
Slide 8: SFG 9M 2023 Performance breakdown
SFG 9M 2023 Performance breakdown Contribution to 9M 2023 turnover 12.6% 5.8% 1.4% 8.1% 86% 86.1% Per market Per brand 8
Slide 9: Business updates from Q3 2023
Business updates from Q3 2023 9
Slide 10: Development updates
Development updates Number of stores • 178 restaurants operated: Out of which 101 KFC restaurants in Romania, 2 in Moldova and 18 in Italy, as well as 40 Pizza Hut restaurants, 15 Taco Bell restaurants, 1 PHD subfranchise and 1 Paul restaurant as of 30.09.2023 • Network evolution in Q3’23: 1 new KFC
Slide 11: Staff & fiscal updates
Staff & fiscal updates Staff • Employees: As of 30.09.2023, the Group had 5,143 employees, of which 4,670 were in Romania, 400 in Italy and 73 in the Republic of Moldova. • Continuing the digitalization to simplify the sales process: In Q3 2023, the Group continued the process of digitalizing its ne
Slide 12: Capital markets updates
Capital markets updates SFG evolution on BVB • SFG outperforms reference indices in 9M 2023: In 9M 2023, SFG shares appreciated 47.9%, while the BET index grew 22.9%. The Total Return on SFG shares in 9M 2023, including the dividend paid on March 31st, 2023, was 51.5%, versus 29.3% increase for the
Slide 13: Marketing updates
Marketing updates KFC: Increase transactions and maximize relevance • Over the summer KFC focused on building innovation and created new occasions for our customers to visit. We successfully launched Hot Bites and reinforced our taste superiority. • With the aim of growing sales through transactions
Slide 14: Marketing updates
Marketing updates Pizza Hut: Build sales and increase distinctiveness • To stay relevant to our clients and unlock new pizza territories, over the summer Pizza Hut introduced a new pizza innovation, Crown pizza, with the aim of attracting both new and lapsed users. • With the objective of improving
Slide 15: Marketing updates
Marketing updates The digital normal • Focusing on ease of access for our consumers who expect frictionless experiences, we continued our digital journey and communicated through digital media our “click & collect” services and ecommerce platforms, with the objective of expanding our user base and g
Slide 16: Brand performance
Brand performance NY SPHERA z Krc @ {3
Slide 17: KFC Romania
All Store Performance KFC Romania 37.3% 35.0% 23.6% 20.1% 19.6% 10.7% • Q3’23 was another strong quarter of consolidation for KFC 10.5% Romania as all store performance improved 10.7% YoY due to solid same store results (+6.9%). • The sales for delivery in Q3’23 amounted to 16%, stable Q1’22 Q2’22 Q
Slide 18: KFC Italy & KFC Republic of Moldova
KFC Italy & KFC Republic of Moldova KFC Italy All Store Performance 70.3% 58.4% • All-stores recorded 9.2% sales increase in Q3’23 vs. Q3’22. • 6% of all orders in Q3’23 were for delivery, 1pp QoQ decrease. 37.5% 31.6% • USFN Italy took EBITDA from negative, as reported in 9M’22, to positive 22.1% t
Slide 19: Pizza Hut & Taco Bell
Pizza Hut & Taco Bell All Store Performance Pizza Hut 55.3% 45.5% 38.5% • The YoY all store performance registered a 9.8% decrease while the same store sales decreased 9.5%. • 35% of all orders were made for delivery in Q2’23, a 1pp increase QoQ. 15.1% 10.0% • Pizza Hut closed 9M’23 with a negative
Slide 20: Q&A Session
Q&A Session NY SPHERA z Krc @ {3
Slide 21: Annex: Key 9M 2023 Financials
Annex: Key 9M 2023 Financials 21
Slide 22: Summary of Q3 2023 Consolidated FS
Summary of Q3 2023 Consolidated FS 22 Results excl. IFRS16
Slide 23: Summary of 9M 2023 Consolidated FS
Summary of 9M 2023 Consolidated FS 23 Results excl. IFRS16
Slide 24: Summary of 9M Consolidated FS
Summary of 9M Consolidated FS (with and without IFRS 16 impact) 24
Slide 25: Breakdown of 9M 2023 results by entity
Breakdown of 9M 2023 results by entity 25 Results excl. IFRS16
Slide 26: Overview of the 9M 2023 G&A expenses
Overview of the 9M 2023 G&A expenses (with and without IFRS 16 impact) 26
Slide 27: Thank you for joining us!
Thank you for joining us! Sphera Franchise Group’s unaudited Q3 2023 are available for download our website: www.spheragroup.com. The recording of this conference call will be available on our website shortly. For any questions related to Sphera Franchise Group’s activity on the Bucharest Stock Exch
Sphera Franchise Group — Q3 2023 Earnings Presentation on 6ix