Baladna Q.p.s.c · QSE:BLDN

Baladna Q.p.s.c — Q3 2024 Earnings Presentation

34 slides from Baladna Q.p.s.c's earnings presentation, Oct 29, 2024

  1. Slide 1: Q3 2024 Financial Results Presentation

    BALADNA Q.P.S.C. Q3 2024 Financial Results Presentation 29 October 2024

  2. Slide 2: Disclaimer

    Disclaimer This presentation is made only to, and is directed only at, persons to whom such a presentation may lawfully be communicated (“relevant persons”). Any person who is not a relevant person should not act or rely on this presentation or any of its contents Information contained in this prese

  3. Slide 3: Table of contents

    Table of contents Key Messages 4-6 Shareholder Information 21-22 Financial performance 7-14 Management outlook 23-24 Operations and commercial update 15-20 Appendix 25-32

  4. Slide 4: Key Messages

    Key Messages

  5. Slide 5: Strengthening our market leadership through exceptional financial performance and strategic expansion

    Strengthening our market leadership through exceptional financial 5 performance and strategic expansion Financial Highlights Strategic Highlights Continued expansion of the dairy and juice portfolio, YTD Revenue YTD Net Profit strengthening Baladna’s position as Qatar’s leading nutritional brand QAR

  6. Slide 6: Building long-term value through innovation, operational excellence and strategic partnerships

    Building long-term value through innovation, operational excellence 6 and strategic partnerships Excellent product innovation Continuous identification of Market leader in the Dairy and Strong financial performance track record and access to growth enablers Beverages sector in Qatar and Cash flow ma

  7. Slide 7: Financial Performance

    Financial Performance

  8. Slide 8: Financial Performance for YTD September 2024

    Financial Performance for YTD September 2024 8 Key Financial Highlights YTD Sep 2024 YTD Sep 2023 YOY growth Key Insights o Sales volumes increased across HORECA and Revenue 859m 773m 11% Retail channels, capitalizing on favorable market (QAR) conditions and increased market share in key product cat

  9. Slide 9: Financial Performance for Q3 2024

    Financial Performance for Q3 2024 9 Key Financial Highlights Q3 2024 Q3 2023 YOY growth Key Insights o Increase in sales volumes across both HORECA and Revenue 264m 256m 3% Retail channels and gain in market share across key (QAR) product categories resulted in growth in revenue by 3% o Increase in

  10. Slide 10: Financial Performance Quarter-on-Quarter and Year-on-Year

    Financial Performance Quarter-on-Quarter and Year-on-Year 10 Revenue (QAR m) Key Insights -15% +18% -6% +3% o Quarter-on-Quarter performance 264 impacted due to seasonality 313 256 282 264 225 o Year-on-year revenue growth driven by increased sales volumes and market share gains across key Q1 2024 Q

  11. Slide 11: Baladna outperforms its peers in terms of profitability margins

    Baladna outperforms its peers’ in term of profitability margins 11 EBITDA margins (%) Key Insights Median: 20.0% o Baladna achieved an EBITDA margin 33.3% 25.7% of 33.3% for the YTD Sep 2024, which 20.0% 21.7% 19.9% remains industry leading among 15.5% 10.4% regional peers KSA Peer 1 KSA Peer 2 KSA

  12. Slide 12: Sustained revenue growth driven by strong performance across all key channels

    Sustained revenue growth driven by strong performance across all key 12 12 channels Channel wise revenue contribution Growth by Channel YTD Sep 2024 YTD Sep 2024 vs YTD Sep 2023 Growth (in percentage) Growth (QAR) 21% HORECA 9.5% 24.0m Total revenue Retail-KA 8.0% 27.0m QAR 859m 34% 45% Retail-TT 8.

  13. Slide 13: Outstanding revenue growth in all product categories

    Outstanding revenue growth in all product categories 13 Revenue composition and growth (QARm) +12% +11% +6% 859 +5% 216 773 193 184 196 +13% +60% +7% +8% 127 +11% 121 +9% +5% +100% 85 75 64 60 56 53 52 35 39 34 14 15 5 3 5 0 % of total 25% 25% 24% 23% 16% 15% 7% 7% 6% 6% 5% 5% 10% 10% 2% 2% 1% 1% 0%

  14. Slide 14: Effective cash flow management supporting dividend payout and growth

    Effective cash flow management supporting dividend payout and 14 14 growth 16.3 6 1 20.2 1 (2.5) 1 pening alance pera ng cash ow or ing capital inance cost ape investments e t movements ividend thers losing alance e ore wor ing capital Cumulative balance 214 230 138 32 52 (82) (84) (84) Key Insights

  15. Slide 15: Operations and Commercial Update

    Operations and Commercial Update

  16. Slide 16: Operational and Commercial Update

    Operational and Commercial Update 16 Key Operational Highlights Sept 2024 Sept 2023 YoY growth Key Insights o Increase in dairy market share driven by a Overall Market Share 54.4% 52.7% 1.7% growth in sale volumes across the majority of dairy segments Source: Nielsen Market share reflects MAT 12 mon

  17. Slide 17: Market Segmentation (1/3)

    Operational and Commercial Update 17 Market Segmentation (1/3) Q3 2023 Q3 2024 Key Insights Fresh milk o Market share growth: +0.3% 95.9% 95.60% 95.90% o Retained strong #1 position Market Share UHT milk o Market share growth: +5.4% 92.0% 86.60% 92.00% o Retained strong #1 position Market Share Laba

  18. Slide 18: Market Segmentation (2/3)

    Operational and Commercial Update 18 Market Segmentation (2/3) Q3 2023 Q3 2024 Key Insights Yoghurt 48.1% 47.10% 48.10% o Market share growth: +1.0% o Retained strong #1 position Market Share Labneh o Market share growth: -1.7% 40.3% 42.00% 40.30% o Retained the market leadership Market Share Cheese

  19. Slide 19: Market Segmentation (3/3)

    Operational and Commercial Update 19 Market Segmentation (3/3) Q3 2023 Q3 2024 Key Insights Creams o Market share growth: +4.0% 63.4% 59.40% 63.40% o Retained strong #1 position Market share Juice o Market share growth: -1.3% 19.40% o Remains a significant growth opportunity 18.10% 18.1% Market shar

  20. Slide 20: Introduction of new SKUs over YTD September 2024

    Operational and Commercial Update 20 Introduction of 40 new SKUs over YTD September 2024 Key Insights o Baladna is constantly looking to enhance its product mix by introducing new products and augmenting its portfolio Juice re-launch o Over the course of YTD Sep 2024, Baladna has introduced 40 new p

  21. Slide 21: Shareholder Information

    Shareholder Information (7

  22. Slide 22: Shareholder information

    Shareholder information 22 As of September 30, 2024 General information YTD Share price performance versus QSE – Baladna performed better than market Company name Baladna Q.P.S.C. 1.500 Ticker (QE) BLDN 1.450 1.400 Market cap QAR 2.6b 1.350 11.5% Common shares 1.360 1.300 outstanding 1.9b 1.250 1.22

  23. Slide 23: Management Outlook Q4 2024

    Management Outlook Q4 2024

  24. Slide 24: Management Outlook for Q4 2024

    Management Outlook for Q4 2024 24 Product Development • Focus on product innovation and introducing new products to capture greater market share • Commitment to delivering product quality and adapting to consumer preferences • Prioritizing national food security and business diversification Market E

  25. Slide 25: Appendix

    Appendix

  26. Slide 26: Profit and loss statement – YTD September 2024

    Appendix 26 Profit and loss statement – YTD September 2024 QAR m YTD Sep 2024 YTD Sep 2023 Change Revenue 859.0 100% 772.6 100% 11% Cost of revenue (657.3) -77% (623.5) -81% 5% Gross profit 201.7 23% 149.1 19% 35% Other income 83.5 10% 87.8 11% -5% Gain from Investment Securities 18.4 2% 2.3 0% 686%

  27. Slide 27: Profit and loss statement – Q3 2024

    Appendix 27 Profit and loss statement – Q3 2024 QAR m Q3 2024 Q3 2023 Change Revenue 264.4 100% 255.9 100% 3% Cost of revenue (205.1) -78% (208.9) -82% -2% Gross profit 59.3 22% 47.1 18% 26% Other income 27.7 10% 28.9 11% -4% Gain from Investment Securities 8.6 3% 0.2 0% 4995% Dividend income - 0% -

  28. Slide 28: Financial position as at September 30, 2024

    Appendix 28 Financial position as at September 30, 2024 Total assets Total shareholders’ equity (QAR million) and liabilities (QAR million) Sep-24 Dec-23 Growth Sep-24 Dec-23 Growth Fixed Assets 3,175 3,189 0% Islamic financing 1,745 1,721 1% Biological Assets 178 196 -10% Other Non-Current Liabilit

  29. Slide 29: Company Profile

    Appendix 29 Company Profile Our purpose Product range To ensure healthy, natural food and beverages that delight our customers and contribute to the food security of Qatar. Who we are Esta lished in 2014, Baladna is Qatar’s leading dairy and everage company, with a diversified product offering, worl

  30. Slide 30: BoD Members

    Appendix BoD Members 30 Moutaz Al-Khayyat Ali Hilal Al-Kuwari Ramez Al-Khayyat Abdulaziz Mahmoud Al-Zeyara Group Chairman Vice Chairman Board Member/ Managing Director Board Member Hamad Bin Abdullah Bin Mazen Alsbeti Aidan Tynan Khalid Al-Attiya Board Member Independent Board Member Board Member

  31. Slide 31: Senior Management Team

    Appendix Senior Management Team 31 Ramez Al-Khayyat Malcolm Jordan Saifullah Khan Board Member / Managing Director Chief Executive Officer Chief Financial Officer Paul Kenny Nasser Al Maslamani Julian Marcolini Chief Commercial Officer Chief Corporate Services Officer Chief Operations Officer

  32. Slide 32: Glossary

    Appendix 32 Glossary EBITDA Earnings Before Interest, Tax, Depreciation and Amortization EPS Earnings Per Share HORECA Hotels, Restaurants and Catering NP Net Profit NPD New Product Development SKU Stock Keeping Unit UHT Ultra-High Temperature

  33. Slide 33: Q&A

    Q&A

  34. Slide 34: Thank You

    THANK YOU “& BALADNA®

Baladna Q.P.S.C. — Q3 2024 Earnings Presentation on 6ix