Monde Nissin Corp. · PSE:MONDE
Monde Nissin — 9M 2024 Earnings Presentation
31 slides from Monde Nissin's earnings presentation, Nov 7, 2024
Slide 1: 9M 2024 Earnings Presentation
9M 2024 Earnings Presentation November 7, 2024
Slide 2: Nine Months 2024 Business Performance
Nine Months 2024 Business Performance APAC BFB & Meat Alternative
Slide 3: APAC BFB: Initiatives to sustain strong shares in Noodles and Others, address Biscuits
APAC BFB: Initiatives underway to sustain strong shares in Noodles and Others categories, and address share challenges in Biscuits Noodles Biscuits #1 #2 67.1% 67.3% 28.5% 28.5% 3Q23 3Q24 3Q23 3Q24 Lucky Me! Kasalo Pack as a % of Market Leader in the Bigger Pack Segment Total Philippines 78% Mindana
Slide 4: APAC BFB: Market shares in Oyster Sauce, Yogurt Drinks, Cultured Milk
APAC BFB: Initiatives underway to sustain strong shares in Noodles and Others categories, and address share challenges in Biscuits Oyster Sauce Yogurt Drinks Cultured Milk #1 #1 #2 90.4% 91.7% 59.3% 60.0% 26.9% 23.3% 3Q23 3Q24 3Q23 3Q24 3Q23 3Q24 Moving Annual Ready-to-Drink Dairy Weighted Total Gro
Slide 5: APAC BFB: Monde Nissin enters packaged coconut milk market with Goodnom Fresh Gata
APAC BFB: Monde Nissin enters the packaged coconut milk market, a high-growth and high-versatility category that meets the company’s aspiration, with Goodnom Fresh Gata Fast-growing category with Better for you, big addressable market1 better for planet • Growing household penetration of • Natural i
Slide 6: Meat Alternative: Deliver more than GBP 8 million recurring annual cash benefits by 2026
Meat Alternative: Deliver more than GBP 8 million recurring annual cash benefits by 2026 through restructuring investment and radical efficiency focus In GPB mn • Organizational changes • Streamlining commercial, R&D, and support >8 functions while preserving key innovation and customer-facing capab
Slide 7: Nine Months 2024 Financial Performance: Consolidated & APAC BFB
Nine Months 2024 Financial Performance Consolidated & APAC BFB
Slide 8: Consolidated core net income growth of +30.9% in first nine months
Consolidated core net income growth of +30.9%in the first nine months supported by improvements in core gross profit • 9M revenue growth with PHP mn Reported Comparable4 Reported Comparable4 Q3 2024 9M 2024 volume increase in Biscuits Change YoY Change YoY Change YoY Change YoY and Others categories
Slide 9: Operating cash flow improved +8.5% to PHP 8.0 billion; cash dividend declared
Operating cash flow improved +8.5% to PHP 8.0 billion for 9M 2024, enabling cash dividend of PHP 0.14 per share to shareholders as of December 2, 2024, payable on December 27, 2024 Net Operating Cash Flow Total Dividends in PHP bn & Dividends per Share in PHP In PHP mn PHP 0.38 per Share 7,948 PHP 0
Slide 10: APAC BFB: Revenue growth from volumes, core gross margin improvement
APAC BFB: Revenue growth from volumes, first nine months core gross margin improvement of +507 bps year-on-year result in record core net income • 9M revenue growth with volume increase in Biscuits and Others categories in PHP mn Q3 2024 Reported Change YoY 9M 2024 Reported Change YoY Q3; Q3 revenue
Slide 11: APAC BFB: 9M sales growth with volume growth in Biscuits and Others
APAC BFB: 9M sales growth with volume growth in Biscuits and Others categories in Q3 Revenue Growth Breakdown APAC BFB Noodles Biscuits Others2 Q3 Year-on-Year +5.1% +0.4% +6.6% +13.9% Net Price1 +0.3% +0.2% -0.1% +0.9% Volume/Mix +4.8% +0.2% +6.7% +13.0% 9M Year-on-Year +4.3% +2.7% +1.9% +12.1% Net
Slide 12: APAC BFB: Commodity price lock ins to sustain gross margin recovery
APAC BFB: Commodity price lock ins in 2024 to sustain gross margin recovery year-on-year; wheat fully secured through 4Q24 and palm oil partially secured through 2Q25 Wheat (16% of 9M APAC BFB COGS) Year-on-Year Gross Margin Percent Locked In: Q4 2024: 100% +374 bps YoY 38.0% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Slide 13: Nine Months 2024 Financial Performance: Meat Alternative
Nine Months 2024 Financial Performance Meat Alternative
Slide 14: Meat Alternative: EBITDA neutral, cost control and gross margin expansion
Meat Alternative: EBITDA neutral with top line challenges mitigated by cost control and year-on-year gross margin expansion; cash remains a key focus Reported Comparable4 Reported Comparable4 • Q3 comparable3 sales decreased by PHP mn Q3 2024 9M 2024 Change YoY Change YoY Change YoY Change YoY -9.1%
Slide 15: FY 2024 Guidance
FY 2024 Guidance
Slide 16: FY 2024 Guidance
FY 2024 Guidance APAC BFB Meat Alternative FY 2024 Mid-single-digit growth Continuing top line Top Line (mid/high single-digit growth in Q4) challenges Continued gross margin improvement year-on- FY 2024 Profitability year due to locked in key commodity costs; broadly EBITDA neutral for Meat Alterna
Slide 17: Appendix
Appendix 17
Slide 18: Key takeaways
Key takeaways 1 Consolidated revenue for the first nine months increased by 3.2% to Php 61.1 bn on a comparable1 basis, with Q3 growth at 3.4%. APAC BFB net sales for the first nine months grew by 4.3% to Php 51.1 bn, and rose by 5.1% in Q3, largely driven by volume growth in 2 biscuits and other ca
Slide 19: Consolidated P&L Summary
Consolidated P&L Summary PHP mn Reported Reported 9M 2023 9M 2024 Q3 2023 Q3 2024 Change YoY Change YoY Revenue 59,646 61,149 +2.5% 20,453 21,013 +2.7% Cost of Goods Sold 41,087 39,793 -3.2% 13,862 13,593 -1.9% Gross Profit 18,559 21,356 +15.1% 6,591 7,420 +12.6% Core Operating Expenses1 10,825 11,3
Slide 20: APAC BFB P&L Summary
APAC BFB P&L Summary PHP mn Reported Reported 9M 2023 9M 2024 Q3 2023 Q3 2024 Change YoY Change YoY Revenue 48,950 51,051 +4.3% 16,850 17,710 +5.1% Cost of Goods Sold 33,025 31,857 -3.5% 11,085 10,989 -0.9% Gross Profit 15,925 19,194 +20.5% 5,765 6,721 +16.6% Core Operating Expenses1 7,458 8,547 +14
Slide 21: Meat Alternative P&L Summary
Meat Alternative P&L Summary PHP mn Reported Reported 9M 2023 9M 2024 Q3 2023 Q3 2024 Change YoY Change YoY Revenue 10,696 10,098 -5.6% 3,603 3,303 -8.3% Cost of Goods Sold 8,062 7,936 -1.6% 2,777 2,604 -6.2% Gross Profit 2,634 2,162 -17.9% 826 699 -15.4% Core Operating Expenses1 3,367 2,777 -17.5%
Slide 22: Meat Alternative: Quorn Foods market share down -60 bps versus 3Q23
Meat Alternative: Quorn Foods market share down -60 bps versus 3Q23 due to Cauldron brand, with foodservice broadly flat in the quarter UK Retail Foodservice Total Market Share1 Sales per Day in PHP mn 32.2% 32.3% 7.3 7.4 32.0% 32.0% 31.9% 7.0 7.0 31.7% 6.8 31.6% 31.6% 31.6% 6.5 6.5 6.1 6.2 6.2 31.2
Slide 23: Cash Flow Summary
Cash Flow Summary PHP mn 9M 2023 9M 2024 Income before Income Tax 7,519 8,348 Depreciation & Amortization 2,092 1,957 Fair Value Gain (Loss) on Guaranty Asset - 723 Finance Costs 465 583 Impairment Loss (26) 542 Finance Income (284) (418) Working Capital Adjustments (979) (1,699) Others (79) (40) Ne
Slide 24: Free Cash Flow & Working Capital
Free Cash Flow & Working Capital Free Cash Flow & Conversion Cycle Days Trade Receivables & Days Sales Outstanding PHP mn PHP mn 32D 30D 29D 21D 7,105 7,008 6,757 7,300 9M23 9M24 9M23 9M24 Inventory & Days Inventory Outstanding Accounts Payable1 & Days Payables Outstanding PHP mn PHP mn 71D 62D 74D
Slide 25: Balance Sheet Summary
Balance Sheet Summary PHP mn FY 2023 9M 2024 PHP mn FY 2023 9M 2024 Cash and Cash Equivalents 16,679 14,427 Trade and Other Payables 11,684 9,845 Inventories 9,187 8,882 Loans Payable - Current 1,200 1,276 Trade and Other Receivables 6,410 7,008 Long-Term Loan 3,734 1,985 Others 3,814 2,068 Others 8
Slide 26: Ratios Summary
Ratios Summary Current Ratio Net Debt-to-Equity Ratio Core Net Margin 2.42 2.03 12.2% 9.5% 0.15 0.08 Dec 2023 Sep 2024 Dec 2023 Sep 2024 9M 2023 9M 2024 Current ratio = Current assets / Current liabilities Net debt-to-equity ratio = (Total liabilities – Cash and cash equivalents) / Equity attributab
Slide 27: 2024 CapEx plan to focus on building capacity and capability for APAC BFB
2024 CapEx plan to focus on building capacity and capability for APAC BFB In PHP mn 5,216 4,432 3,753 1,817 3,667 3,660 3,641 2,373 1,031 750 1,522 1,784 3,399 2,610 2,917 2,138 1,969 2,059 2019 2020 2021 2022 2023 2024E APAC BFB Meat Alternative 27
Slide 28: Making Better Possible
yy Making Better Possible Making Better Food | MakingEco-efficiency | Making inclusivity Making Collective Accessibility Possible Possible Possible Action Possible Monde Nissin develops — Monde Nissin cares for the Monde Nissin nurtures Monde Nissin forms STRATEGIC healthier great-tasting, planet by
Slide 29: JU GOREURATE:
JU GOREURATE: ASEIRATION
Slide 30: Legal Disclaimer
Legal Disclaimer Monde Nissin Corporation (“MONDE”) makes no warranties or representations with respect to the accuracy or completeness of the contents of this presentation, and disclaims any liability whatsoever for any loss arising from or in reliance, in full or in part, of the contents of this p
Slide 31: Investor relations contact details
investor.relations@mondenissin.com www.linkedin.com/company/monde-nissin-corporation/ +63 2 7759 7519 / +63 2 7759 7577 www.facebook.com/Monde-Nissin-Corporation https://mondenissin.com/ Santa Rosa City, Laguna, Philippines https://edge.pse.com.ph/