Breville Group Limited · ASX:BRG
Breville — Shareholder Meeting (November 2010)
15 slides from Breville's shareholder meeting presentation, Nov 10, 2010
Slide 1: Breville Group Limited Annual General Meeting
For personal use only Breville Group Limited Annual General Meeting 10 November 2010 Sydney
Slide 2: Chairman's Address
For personal use only Chairman’s Address Mr John Schmoll
Slide 3: A Refocused and Strengthened Company
A Refocused and Strengthened Company For personal use only “Good progress achieved on the transformation into a truly international electrical business….benefits becoming apparent” More profitable sales mix Improved return on capital Nil gearing All conducted in a challenging and volatile macroecono
Slide 4: A Clear and Consistent Strategy
A Clear and Consistent Strategy For personal use only • Focus on the global electrical business • Quality brands • Quality and innovative products • Quality execution • Product innovation and consumer focus is fundamental • Australian operations • Grow market share profitably in a mature market • In
Slide 5: Foreign Exchange Impacts
Foreign Exchange Impacts For personal use only An appreciating but fluctuating AUD:USD in FY10 1.00 Transactional exposure Purchases/sourcing in USD Australasian/Canadian product cost effect Current deflationary impact 0.90 Translational exposure AUD:USD exchange rate FX translation exposure is USD,
Slide 6: Outlook
Outlook For personal use only Economic & Retail Outlook: − Economic conditions remain uncertain − Consumer demand - no clear patterns − Impact of further potential interest rate increases in Australia − Emerging product cost pressures from China − Ongoing foreign exchange volatility Group well posit
Slide 7: CEO's Review of Operations
For personal use only CEO’s Review of Operations Mr Stephen Audsley
Slide 8: Financial Results Summary
Financial Results Summary For personal use only REPORTED UNDERLYING* A$ Million 2010 2009 % Chng 2010 2009 % Chng Sales Revenue 420.9 431.9 (2.6%) 420.9 431.9 (2.6%) EBITDA 40.9 30.0 36.3% 50.1 35.6 40.6% EBIT 34.1 23.4 45.5% 43.3 29.1 48.9% PAT 22.6 11.8 92.1% 28.5 17.2 65.0% Basic EPS (cents) 17.4
Slide 9: 2010 - Fluctuating Consumer Sentiment
2010 - Fluctuating Consumer Sentiment For personal use only Australia/NZ North America 20.5 130 400 70 Aust. Consumer Sentiment Index US Consumer Confidence Index Australian Retail Sales (A$bn) 120 US Retail Sales (US$bn) 60 380 20.0 110 50 100 360 40 19.5 90 340 30 80 19.0 70 320 20 Jun 09 Sep 09 D
Slide 10: Geographic Diversity
Geographic Diversity For personal use only Group strategy re-affirmed and underpins trading result: focus on developing innovative products and leveraging those products across multiple geographies Australia: solid performance − Lower sales than pcp (cycling against growth supported by government st
Slide 11: Australia
Australia For personal use only REPORTED UNDERLYING* A$ Million 2010 2009 % Chng 2010 2009 % Chng Sales Revenue 208.7 211.9 (1.5%) 208.7 211.9 (1.5%) EBITDA 24.0 16.1 48.6% 24.1 18.3 31.7% EBITDA % 11.5% 7.6% 11.5% 8.6% Strong growth in EBITDA despite decrease in sales revenue Growth driven by favou
Slide 12: International
International For personal use only REPORTED UNDERLYING* A$ Million 2010 2009 % Chng 2010 2009 % Chng Sales Revenue 212.2 220.0 (3.5%) 212.2 220.0 (3.5%) EBITDA 25.4 11.1 128.7% 26.4 12.3 114.2% EBITDA % 12.0% 5.0% 12.5% 5.6% North America: − Substantial EBITDA improvement flowing from: − Strong con
Slide 13: Balance Sheet at June
Balance Sheet at 30 June For personal use only A$ Million 2010 2009 Inventory 63.8 68.2 Receivables 68.0 68.1 Trade and other payables (64.3) (42.7) Working Capital 67.5 93.6 Fixed assets 7.7 8.2 Intangibles 68.5 67.7 Other (liabilities)/assets (net) (2.7) (5.2) NET ASSETS EMPLOYED 141.0 164.3 (Cash
Slide 14: Strategy
Strategy For personal use only Good progress on the achievement of stated objectives: − Strengthening the Breville brand internationally − Reduced operating cost base − Tight working capital management − Expanded distribution footprint and product range in North America − Strong financial position -
Slide 15: "Food Thinkers"
“Food Thinkers” For personal use only Over 90% of the Breville brand’s revenue is derived from Food and Beverage categories Strong interest in home cooking and food preparation Increasing focus on good eating, health and nutrition Interest in home cooking, supported by a number of TV cooking shows B