Slide 1: Company Overview May 2022
Oy Company P - Overview — a ‘ May 2022 reed es, treats Tf i yy 'y W ayy ith wy
Slide 2: FY 2022 highlights
FY 2022 highlights Excellent performance, Resilient & agile business Continued momentum in delivering for stakeholders model, delivering for acquisition activity stakeholders Another year of excellent growth and development Operating profit up in each division despite challenging c.£600m macro backd
Slide 3: Our business today
Our business today DCC is a leading international sales, marketing and support services group operating across three divisions Profit by geography Profit by division 8% 14% Locations Employees Market cap 21 15,400 c.£6.0bn 24% 42% 17% countries across 3 continents 69% 26% Continental Europe Revenue
Slide 4: Our Strategy
Our Strategy To continue to build a growing, sustainable and cash generative business which consistently provides returns on capital employed well in excess of its cost of capital. Our strategy informs how we enable people and businesses to grow and progress. We do this by developing high quality sa
Slide 5: Our strategy creates long-term sustainable value for stakeholders
Our strategy creates long-term sustainable value for stakeholders Building leading Investing Driving long-term businesses for growth sustainable value • Foster growth in all businesses through • Reinvest cashflows to enable our businesses to • Empower entrepreneurial leaders through operational exce
Slide 6: We have the platforms, opportunities and capability to deliver
We have the platforms, opportunities and capability to deliver Our Group is structured and resourced to deliver against this ambitious target Divisional growth trajectories Clear Group M&A priorities Strong balance sheet Leadership positions Market opportunities Financial discipline Operation excell
Slide 7: Our growth trajectory will meaningfully change the shape of the Group
Our growth trajectory will meaningfully change the shape of the Group By reducing the reliance on traditional ‘fossil’ profitability FY22 Group adjusted operating 2030 vision for profit pro-forma for Almo shape of Group 25-30% DCC Technology, DCC Healthcare, DCC Energy - 16% Services & renewables 36
Slide 8: Our vision for 2030 and beyond driven by our sustainable strategy
Our vision for 2030 and beyond driven by our sustainable strategy We are ambitious to grow and develop - while guided by our purpose of enabling people and businesses to grow and progress Net Zero Scope 1, 2 & 3 by 2050, or sooner 50% reduction in Scope 1 and 2 emissions by 2030 Commercial, capital
Slide 9: Proven record of growth, development and value creation
Proven record of growth, development and value creation Adj. Operating Free Cashflow Profit Growth Conversion 28 year CAGR1 28 years 14.1% 100% 2021 Dividend Total Shareholder 2018 Growth Return 2018 Healthcare 28 year CAGR 28 years 2015 13.7% 6,426% 2009 LPG Europe 2007 LPG, Hong Kong 2001 LPG Heal
Slide 10: DCC Energy
DCC Energy
Slide 11: DCC Energy
DCC Energy Operating profit by segment Operating profit mix Revenue Operating profit Volume (litres*) ROCE £12.3bn £407.1m 15.9bn 18.6% Mobility Solutions Traditional (>65 kgCO2e/GJ)* Services, Renewables and Other (≤10 kgCO2e/GJ)* Lower carbon (≤65 kgCO2e/GJ)* Biogenic content Carbon intensity Cust
Slide 12: DCC Energy
DCC Energy Energy solutions Mobility Operating profit mix Operating profit mix Traditional (>65 kgCO2e/GJ)* Traditional (>65 kgCO2e/GJ)* Services, Renewables and Other (≤10 kgCO2e/GJ)* Services, Renewables and Other (≤10 kgCO2e/GJ)* 20% Lower carbon (≤65 kgCO2e/GJ)* 46% 15% 54% 65% Net, Gas & Power
Slide 13: Our strategy
Our strategy Our strategy is to accelerate the net zero journey of our customer by leading the sales, marketing and distribution of low carbon energy solutions Customer focus Multi-energy solutions Key partnerships 13 DCC company overview – May 2022
Slide 14: Our structure
Our structure DCC ENERGY ENERGY SOLUTIONS MOBILITY UK & Ireland Continental Europe Nordics North America 14 DCC company overview – May 2022
Slide 15: Commercial & industrial transition
Commercial & industrial transition
Slide 16: Domestic transition
Domestic transition Efficiencies will be the main decarbonisation driver in the 2020s with early adopters helping to build capabilities in biofuels and heat pump systems. Greater mass adoption of new heating solutions including advanced biofuels and heat pump systems. Greater power solutions will be
Slide 17: Mobility transition
Mobility transition A focus on premium destination energy hubs with mix of blended bio and hydrocarbon pumps, alongside growing reliable EV charging and shared convenience. High-value reliable charging destinations with high percentage biofuel offerings. WASH © FOOD © PARK Increasing HGV efficiencie
Slide 18: Accelerating our transition capability
Accelerating our transition capability Acquiring new capability at strong returns Developing capability organically at strong returns Please click here to view our Leading with Energy event. 18 DCC company overview – May 2022 Leading with energy
Slide 19: DCC Healthcare
DCC Healthcare —_
Slide 20: DCC Healthcare
DCC Healthcare A leading healthcare business, providing products and services to health & beauty brand owners and healthcare providers FY2022 Revenue by geography Revenue £765.2m Revenue by sector Operating profit £100.4m 10% Britian ROCE 20.5% H&B brand 16% US 47% owners Ireland Employees 2,800 53%
Slide 21: Strategically well placed for growth
DCC Healthcare Strategically well placed for growth Market dynamics Increasing Lifestyle Trend to Government Increasing Fragmented Demographics Innovation demand factors outsourcing policies regulation markets Growth opportunities DCC Health & Beauty Solutions DCC Vital B2B contract services related
Slide 22: DCC Health & Beauty Solutions – What we do
DCC Healthcare DCC Health & Beauty Solutions – What we do DCC Health & Beauty Solutions A selection of brands we support: Our Services Builds long term partnerships with international health & beauty brand owners, providing specialist services Product development, contract including NPD, formulation
Slide 23: DCC Health & Beauty – product categories
DCC Healthcare DCC Health & Beauty – product categories Facial and Bodycare Suncare and Sport, Diet Self Tanning and Active Lifestyles Nutritional Stay Well / Haircare Enhance Healthcare Cream & Liquids Health Beauty Men’s Health Women’s & Grooming Health OTC and Medical Devices Baby and Children’s
Slide 24: DCC Vital – What we do
DCC Healthcare DCC Vital – What we do Our Suppliers DCC Vital Sales, marketing and distribution of own and third party medical and pharmaceutical products to Third party brand owners Own brand/licence products providers across all sectors of the healthcare market in Britain, Germany, Switzerland & I
Slide 25: DCC Vital – Own & third party products
DCC Healthcare DCC Vital – Own & third party products Own brands Exclusive Partners 25 DCC company overview – May 2022
Slide 26: Healthcare delivering growth
DCC Healthcare Healthcare delivering growth Driving organic Scaling presence Extending our growth in adjacencies footprint Positive market dynamics New H&B Bolt-ons in existing markets Driving product formats growth Innovation Geographic expansion Expanding own-brand medical Capacity investment in p
Slide 27: Sustainability initiatives
DCC Healthcare Sustainability initiatives DCC Health & Beauty DCC Vital Our facility in Wales is certified and approved by Friend Our UK primary care facility undertook a warehouse of the Sea® and in 2021, 79% of their fish oil purchased reconfiguration programme to reduce its carbon was Friend of t
Slide 28: DCC Technology
DCC Technology
Slide 29: Our business today
Our business today 29 DCC company overview – May 2022
Slide 30: DCC Technology: route-to-market and supply chain partner
DCC Technology A leading route-to-market and supply chain partner for global technology brands DCC Technology operates in 19 countries, across the consumer, FY2022 B2B and enterprise markets and principally under the brand. Revenue £4,644m Operating profit £81.7m ROCE 9.1%* Employees 4,900 63,000+ C
Slide 31: How we add value for our partners
DCC Technology How we add value for our partners A leading We help our vendors and customers to grow their business specialist distribution partner for We make the market through sales, marketing, and solutions global technology brands and customers By specialising, we add more value for our partner
Slide 32: Our footprint & scale
DCC Technology Our footprint & scale 1 £1.0bn £3.6bn turnover turnover 2.2m sq. feet 2.0m sq. feet 204k sq. metres 186k sq. metres 26 warehouses 39 warehouses ~1,500 ~3,400 employees employees 2,500 63,000 emerging & reseller & retailer global brands customers 32 DCC company overview – May 2022
Slide 33: We play in seven deep specialisms so far
DCC Technology We play in seven deep specialisms so far Specialisms we are currently focused on Consumer Mobile B2B Pro AV Enterprise Lifestyle Pro-Audio & MI Market growth CAGR ~2% ~5% ~5% ~5% ~2% ~4% ~4% Sources: Retail Economics, Canalys, NPD, Avixa, LEK 33 DCC company overview – May 2022
Slide 34: Growing margins with added-value & specialism
DCC Technology Growing margins with added-value & specialism Gross margin % Own Brand Deep Private & white Value Specialisms label solutions within A combination of complementary Volume Services, configuration, product specialism categories Low touch distribution, bundles, install, & exclusive chann
Slide 35: Growing our margins while scaling our platforms
DCC Technology Growing our margins while scaling our platforms £6.0b Turnover £3.1b Platform FY2018 FY2022 10% Adjacent 10.2% Margin Gross 7.6% 5% 35 DCC company overview – May 2022
Slide 36: Leading market positions and specialist focus
DCC Technology Leading market positions and specialist focus Now the leading specialist distributor of Pro AV Leading distributor of premium appliances and entry into lifestyle products Platform for acquisitions in growing, fragmented, $34b market with modest 7% current share Sustainability is embed
Slide 37: Sustainability
DCC Technology Sustainability O P E R AT I O N A L COMMERCIAL 37 DCC company overview – May 2022
Slide 38: A leader in Sustainability
A leader in Sustainability >
Slide 39: Progress across the last two years in sustainability
Progress across the last two years in sustainability DCC improved two DCC retained DCC improved 15 points Assigned highest classes, from C to B its AAA rating in in the last two years: Governance rating in December 2021 December 2021 from ‘high’ risk to ‘medium’ risk 39 DCC company overview – May 20
Slide 40: Striving for further improvements, making meaningful changes
Striving for further improvements, making meaningful changes New position at Group Strategy and capital allocation New Revolving Credit Facility is Management Team priorities continue to reduce the Sustainability/ESG-linked, with KPIs carbon intensity of the Group aligned to our sustainability pilla
Slide 41: Climate Change and Energy Transition
Climate Change and Energy Transition Our objective Our objective We will decarbonise our own operations – to net zero by 2050 We will help our energy customers reduce their carbon or sooner and by 50%, against a 2019 baseline, by 2030. emissions. We will reduce our own Scope 3 emissions to net zero
Slide 42: Safety and Environmental Protection
Safety and Environmental Protection Our objective Our objective We keep our people safe. We protect the environment in communities we serve. Key metrics Lost Time Injuries (LTIs). Key metrics Serious Safety Events. Spills requiring remediation. 42 DCC company overview – May 2022
Slide 43: People and Social
People and Social Our objective Our objective We actively support the development of our people. We actively support Inclusion and Diversity. Key metrics Key metrics Employee turnover. Gender diversity. Performance reviews done. Incidents of discrimination. Training provided. 43 DCC company overview
Slide 44: Governance and Compliance
Governance and Compliance Our objective Our objective Our objective We protect human rights. We prevent corruption. We sell safe products. Key metrics Key metrics Key metrics Human rights problems in our Incidents of bribery and corruption in Product safety failures. operations or our supply chain.