Pinar Sut Mamulleri Sanayii A.s. · BIST:PNSUT
Pinar Sut Mamulleri Sanayii A.s — Pınar Süt Mamulleri San. A.Ş. — Q3 2012 Earnings Presentation
29 slides from Pinar Sut Mamulleri Sanayii A.s's earnings presentation, 2012
Slide 1: Pınar Süt 2012 3Q Earnings Presentation
PINAR SÜT MAMULLERİ SAN. A.Ş 2012 3Q Earnings Presentation
Slide 2: Pınar Süt Highlights
Pınar Süt Highlights •Innovator and pioneer •#1 brand that comes to mind* •Hygienic and EU standard •More than 200 SKUs •Best brand in dairy ** production •R&D expertise •Most sincere milk brand *** •Technical Expertise and •Among top 4 brands Turkish sectoral know-how consumers feel closest to****
Slide 3: Market Dynamics - I
Market Dynamics - I World Milk Consumption (billion Lt) ► Annual raw milk production is 90 714 million tons in the world; about 15 million tons in Turkey (Tetra Pak, Turk Stat) 80 ► Turkey is 15th in world’s league, ► Growth is expected in the milk production/import of 72,5 developing and growing co
Slide 4: Market Dynamics - II
Market Dynamics - II Processed Food Products Prices Raw Milk Base Price in Turkey (TL/lt) 0,95 TL 2012 2011 2010 Processed milk 0,80 TL and meat prices which decreased in the 2Q of 0,65 TL 2012, have gone up in 2Q12. 0,50 TL Jan January Apr April Jul July Oct October Raw Milk Base Prices for Produ
Slide 5: Ahead of Competition - I
Ahead of Competition - I National (Sütaş, Ülker etc.) and multinational (Nestle etc.) Products Market Share Position competitors Total Dairy Products (Bn TL) Pınar Value Share UHT Light Milk 65% Leader 3,0 17,9% 20% Total UHT Milk 32% Leader 16,3% 17,0% 2,5 17,6% Organic Milk 100% Leader 15% 2,0 E
Slide 6: Ahead of Competition - II
Ahead of Competition - II 100% UHT Light Süt (Lider) 80% Toplam 60,3% 58,9% 64,2% 65,0% UHT Süt 60% (Lider) Sürülebilir 40,9% Peynir 39,0% 39,2% 42,3% 40% (Lider) 26,7% 32,2% Tereyağı 27,1% 30,1% 20% 17,0% (İkinci) 16,9% 18,4% 16,7% 10,9% 9,8% 10,9% 11,0% Homojenize 0% Yoğurt 2009 2010 2011 2012 201
Slide 7: New Launches & Product Differentiations
New Launches & Product Differentiations New tastes that respond to market tastes , reinforcing our expertise. New launches for different consumer segments. Multipackages and promotions providing convenience for consumers. Pınar Süt
Slide 8: Pınar Beyaz Campaigns
Pınar Beyaz Campaigns Pınar Süt
Slide 9: Pınar Labne Campaigns
Pınar Labne Campaigns facebook.com/pinarlabne TV Pınar Süt
Slide 10: Pınar Cream Cheese Campaigns
Pınar Cream Cheese Campaigns TV Flashmob Pınar Süt
Slide 11: Pınar Kido Campaigns
Pınar Kido Campaigns www.kido.com.tr Pınar Süt
Slide 12: Breakdown of Net Sales by Product Groups & Sales Channels
Breakdown of Net Sales by Product Groups & Sales Channels Products Groups (2012 9M) Sauce; 5% Others; 7% Fruit Juice; 7% Milk; 37% Butter; 7% Yoghurt & Sales Channels (2012 9M) Ayran; 12% Export Direct Cheese; 27% 10% 3% YBP 87% 11 Pınar Süt
Slide 13: Growth in Sales
Growth in Sales Growth Rates of Product Groups 16% 250 2011 9A11 2012 9A12 9M 9M 20% 200 150 22% 100 19% -6% 13% 16% 50 Milyon TL 0 Million Sos Sauce Meyve Tereyağ Others Suyu Butter Fruit Juice DiğerYoghurt&Ayran Yoğurt ve Cheese Peynir MilkSüt Ayran Net Sales have grown by 16,0% in 2012 9M, YoY. 1
Slide 14: Export
Export Pınar realizes 17% of Turkey’s Dairy Products Exports by Foreign Sales by Countries (2012 9M) itself UAE; 10% Export to 29 countries from Middle East to Europe, from Bahrain; 3% Egypt; 4% Others; U.S.A. to Asia Azerbaijan; 11% Qatar; 4% Market leader in labaneh in Saudi Arabia, Kuwait a
Slide 15: Financial Results
FINANCIAL RESULTS
Slide 16: Sales and Profitability
Sales and Profitability Net Sales (Mn TL) Net Profit (Mn TL) 651,1 72,9 577,1 549,9 57,8 60,1 451,6 482,8 480,7 474,2 54,7 39,7 39,9 34,2 2007 2008 2009 2010 2011 9M11 9M12 2007 2008 2009 2010 2011 9M11 9M12 In 2012 sales have grown by %16.0, in both value and volume EBITDA* (Mn TL) terms. Growth
Slide 17: Income Statement
Income Statement 30.09.2012 30.09.2011 Difference % Change (Million TL) Net Sales 549,9 474,2 75,7 16,0 Cost of goods Sold (449,4) (378,6) (70,8) 18,7 Gross Profit 100,5 95,6 4,9 5,2 R&D Expenses (5,2) (4,1) (1,1) 27,1 Sales, Distribution and Marketing Expenses (38,8) (24,4) (14,4) 59,0 General Admi
Slide 18: Profit Margins
Profit Margins Gross Profit Margins(%) Operating Margins* (%) 22,1% 20,5% 11,7% 18,0% 17,7% 10,5% 17,2% 17,0% 8,4% 7,9% 6,3% 4,6% 2009 2010 2011 3Q11 3Q12 2Q12 2009 2010 2011 3Q11 3Q12 2Q12 EBITDA Margins ** (%) Net Profit Margins (%) 14,7% 13,0% 12,0% 10,4% 11,2% 11,0% 10,2% 6,8% 7,9% 8,3% 6,9% 5,8
Slide 19: Quarterly Results
Quarterly Results Net Sales (Mn TL) 188 185 175 ►Net sales have grown by %16,0 in 2012, YoY. ►Price competition is continuing in the market. %8 %2 3Q11 3Q12 2Q12 EBITDA* (Mn TL) ►Despite maintaining the level of 4Q11, average raw 18 milk prices were above 9M11 levels, in 9M12. This 16 situation has
Slide 20: Basic Ratios, Net Financial Debt & Net Working Capital
Basic Ratios, Net Financial Debt & Net Working Capital September 30, 2012 December 31, 2011 (Million TL) September 30, 2012 December 31, 2011 Current ratio 1,59 1,81 Cash & Cash Equivalents 5,37 4,99 Leverage ratio 0,29 0,30 S/T Bank Borrowings 14,12 20,45 S/T Fin Debt/T. Fin Debt 0,98 0,58 L/T Bank
Slide 21: Overview of 2012 9M
Overview of 2012 9M ►Raw milk prices had remained at the level of 4Q11 in 1H12 which have increased slightly in 3Q12. Base raw milk prices will be determined twice a year in April and October, according to National Milk Council regulations. ► Following our strategy of increasing our market shares we
Slide 22: Strategies and Targets
Strategies and Targets Growing above market growth rates in the segments we operate in, with ; Effective price management Widespread distribution network Efficient utilization of social media Developments in “Away From Home” channel Increasing export sales also in countries falling outside
Slide 23: Ownership & Participation Structure, Share Performance
Ownership & Participation Structure Share Performance Ownership Share Performance 31.12.2010 = 100 Relative and Absolute Performance Pınar Süt Hissesinin Mutlak ve Göreceli Performansı Free ofPınar of PınarSüt (İMKB-TÜM Et İleShares Shares Kıyaslı) Float 160 25 140 20 120 100 15 80 60 10 40 5 20 - 0
Slide 24: Disclaimer and Contact Information
Disclaimer and Contact Information This presentation does not constitute an offer or invitation to purchase or subscription for any securities and no part of it shall form the basis of or be relied upon in connection with any contract or commitment whatsoever. This presentation contains forward-look
Slide 25: Thank You
Thank You
Slide 26: Appendix
APPENDIX
Slide 27: Company History
Company History 2010 Pioneer and Leader of Modern Turkish Dairy 2005 1975... 2003 Pınar Kido First organic milk in 2011 The first UHT milk and 1997 Agreement with with Biscuit, Türkiye, Pınar Organic Sodima SAS for the Pınar Çocuk Cream packaged dairy products Pınar SÜT new plant Milk, probiotic pla
Slide 28: Supply - Raw Milk Collection Process
Supply - Raw Milk Collection Process LOCAL PROUCERS Keen focus on milk collection processes: FARMS Route optimization; increase in truck fill rate and L/km rate (TL 1m cost savings) VILLAGES COOPS TRADERS Successful Raw milk supply constitutes an important entry barrier to potential competitors
Slide 29: Sales & Distribution
Sales & Distribution Yaşar Birleşik Pazarlama; Turkey’s biggest nationwide cold & frozen distribution chain The distribution of food & beverage products are realized in -18˚C vehicles for frozen products, +4˚C vehicles for fresh products and classic vehicles for the rest The know-how and strong t
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