Bonduelle Sca · EURONEXT:BON
Bonduelle Sca — Bonduelle — FY2023-2024 Earnings Presentation
54 slides from Bonduelle Sca's earnings presentation, October 2024
Slide 1: Transform
TRANSFORM B GROUPE BONDUELLE La nature, notre futur
Slide 2: Presentation of FY 2023-2024 results and outlook
Presentation of FY 2023-2024 results and outlook Growing a legacy: “Transform to win”, our 3 year plan 2023-2024 Extra-financial & Financial Performances Outlook
Slide 3: Growing a legacy: Transform to win, our 3 year plan
Growing a legacy: “Transform to win”, our 3 year plan
Slide 4: Our mission: The Bonduelle Group has powerful assets
Our mission The Bonduelle Group has powerful assets “We inspire the transition toward a plant-rich diet to A committed contribute to people's family well-being and planet health” Buoyant trends Strong connections with our partners 4
Slide 5: Buoyant trends
Buoyant trends 5
Slide 6: Bonduelle is part of a dynamic of progress
Bonduelle is part of a dynamic of progress Sales growth Current operating income increase + 2.7 %* 30.5 + %* vs 22-23 vs 22-23 € 2,372 M € 75 M * At constant exchange rates and scope 6
Slide 7: Recover our freedom to grow as a high performing B Corp company
But the company has defined a more ambitious objective Recover our freedom to grow as a high performing and attractive B Corp company where financial performance is improved, operational excellence is the norm, core business is modernized and innovation accelerated 7
Slide 8: A 3 year plan
A 3 year plan 2024-2025 1 TRANSFORMATION 2025-2026 2 REBOUND 2026-2027 3 ACCELERATION 8
Slide 9: Driven by 5 strategic pillars
1 PERFORMANCE 2 BRANDS & INNOVATIONS Driven by 5 strategic 3 KEY GEOGRAPHIES pillars OPERATIONS AND 4 ORGANIZATIONS EFFICIENCY 5 POSITIVE IMPACT
Slide 10: Performance: a roadmap, the OGSM, deployed through the company
A roadmap, the OGSM, deployed through the whole company COMPANY 1 BU/Functions COUNTRIES PERFORMANCE Deliver our mission Focus energies Measure and monitor performance 10
Slide 11: Brands & Innovation
1 2 Modernize and Place consumers differentiate our at the heart 2 core range BRANDS & INNOVATION 4 3 create Innovate and Properly addressing through all “LOVE BRANDS” expand plant-rich main dish range distribution channels (OMNI) 11
Slide 12: Brand modernization: beautiful and tasty
Brand modernization is… … and experiencing well-eating: BEAUTIFUL and TASTY! … revealing the benefits Taste, colors, textures… hidden behind a …for convenient but well-being, pleasure and undifferentiated offer purpose Vitality, Energy, Immunity, Digestion, Beauty 12
Slide 13: A modernized, enhanced and accessible portfolio for all
A modernized, enhanced and accessible portfolio for all New moments Meal solutions Everywhere, for all avr 25 Cravings (“les minis”) To share New in the prepared segment! oct 24 April 25 Convenience Culinarity March 25 sept 24 Well-being Even at the Snacking Satiety restaurant
Slide 14: Key Geographies
Maintain our profitability and win through differentiation 3 Differentiate ourselves and become profitable again in the world's leading KEY food market GEOGRAPHIES Optimize our business activities in Eurasia and Mercosur 14
Slide 15: Maintain our profitability and win through differentiation
Maintain our profitability and win through differentiation Modernization Fresh Plans to sell and prepared our bagged revalorization segment salad business of canned acceleration segment Structurally loss making business (≃ €10 M per year) Recent acceleration of losses Cassegrain No recovery path “les
Slide 16: Become profitable again in the world's leading food market
Become profitable again in the world's leading food market Introduce an Innovate in the Expand the iconic brand historic bowl offer beyond segment fresh segment under the leadership of a new management Bobby Chacko TRANSFORM 16 REBOUND / ACCELERATE
Slide 17: Optimize our business activities in Eurasia and Mercosur
Optimize our business activities in Eurasia and Mercosur through our brand Continuing our Supporting growth Improving activities in Eurasia through profitability and brand activation win in Brazil (Kazakhstan, Azerbaijan, Uzbekistan, Kyrgyzstan,Tajikistan, Georgia, Belarus, Armenia…) #1 or #2 17
Slide 18: Operations and Organizations Efficiency
To finance transformation Modernizing & digitalizing our operations Supporting brands 4 Absorbing inflation OPERATIONS AND Efficiency program ORGANIZATIONS EFFICIENCY 2.5 % of sales each year 18
Slide 19: Our ambition: being a positive impact company
Our ambition: being a 5 company POSITIVE IMPACT 100% B Corp certified by 2025 19
Slide 20: 2023-2024 Extra-financial & Financial Performances
2023-2024 Extra-financial & Financial Performances
Slide 21: A major milestone in our Positive Impact roadmap
2023-2024: A major milestone in our Positive Impact roadmap
Slide 22: 80% of our operations are now B Corp certified
80% of our operations are now B Corp certified 22
Slide 23: A powerful business lever
A powerful business lever For our brands: Accelerate preference and differentiation For our consumers: Ensure transparency, responsibility For our customers: Act as a committed “best in class” supplier For our partners: Propose a profitable and sustainable model For our teams: Involve pride & commitm
Slide 24: A cross-country campaign to celebrate
A cross-country campaign to celebrate Groupe Bonduelle - Octobre 2023
Slide 25: Covered on a multitude of supports
Covered on a multitude of supports from October, 7 Our leaders A dedicated An influence and Relay on speak out media plan digital campaign packaging and in stores 25 25
Slide 26: Beautiful and tasty meals to transform our plates
Beautiful and tasty meals to transform our plates! 99 % 12.6 of our sales are product % innovations and of products are renovations Nutri-Score A&B (9.7% 22-23) (98% 22-23) Almost 10,000 chefs trained in plant-rich cuisine (1800 in 22-23) and a new partnership to raise awareness among 26 school chil
Slide 27: Our priority: decarbonizing from field to plate
Our priority: decarbonizing from field to plate Scope 1-2 CO2 emissions in absolute terms decreased by - 13.8 % 58 % of our producers are involved in vs 19-20 Target: -38% in 2035 regenerative agriculture vs 46% in 22-23 Target: 80% in 2030 The use of virgin fossil plastic decreased by - 43 vs 19-20
Slide 28: Committed to and with our ecosystem
Committed to & with our ecosystem ALL COMMITTED FOR A Our associates engagement rate reaches (+10 pts vs benchmark 70 % 95 % 71% in 22-23) Bonduelle sites are committed to local initiatives (71% in 22-23 Target: 100% in 2025) 88 of producers have % renewed their contracts 28 (iso 22-23)
Slide 29: Financial performance
Sales growth and a current operating income higher than the guidance(1) Sales growth: +2.7%(1) FINANCIAL Current operating income increase: PERFORMANCE +30.5%(1) A current operating margin of 3.5%, up and above the guidance(1) An impairment of Fresh assets in North America which reflects the recovery
Slide 30: Our sales are growing despite declining volumes
Our sales are growing despite declining volumes Change in revenue -1.4% Sales growth of +2.7% on like-for-like basis +2.7% -4.1% fueled by the 2023 prices increases Volumes declines in markets under pressure € +61.8 M Significant impact of exchange rates € 2,406.2 M € +0 M € 2,371.8 M € -100.0 M 30
Slide 31: Our brands are growing
Our brands are growing Breakdown of sales by brand 2023-2024 growth 2023-2024 At constant exchange rates and scope % 1 22-23 = 1% 60% 22-23 = 59% BRANDS +4.4% PRIVATE LABELS & +0.2% OTHERS 39% 22-23 = 40% Brands Private Labels Other (co-packing / affiliated company) Growth of group brands: ● Moderate
Slide 32: Growth driven by canned, frozen and fresh prepared
Overall growth is driven by canned, frozen and also fresh prepared technologies Breakdown of revenue by technology 2023-2024 growth 2023-2024 At constant exchange rates and scope % 5 22-23 = 5% 35% % 47% CANNED +6.1% 22-23 = 37 22-23 = 47% FROZEN +10.3% FRESH salads -4.0% FRESH prepared +2.9% Canned
Slide 33: Current operating income is up and above guidance
Current operating income is up and above the guidance(1) Change in current operating income 23-24 22-23 At current At constant At current exchange exchange Current operating income increased exchange rates rates rates by more than 30%(1) : ● Agro-industrial efficiency, Sales € 2,371.8 M € 2,471.6 M €
Slide 34: Current operating income is increasing in both zones
Current operating income is increasing in both zones Sales and current operating income by region At constant exchange rates and scope EUROPE NON-EUROPE Europe : profitability growth fueled by good 23-24 22-23 23-24 22-23 agro-industrial performance, despite a decline in volumes Sales Sales € 1,552.1
Slide 35: Significant non-recurring items from impairments
Significant non-recurring items fueled by the impairment of American and French assets in fresh segment Non-recurring items 23-24 22-23 Depreciation of goodwill of fresh business in North America: 131 million of euros, with no impact on the group's cash flow Sales € 2,371.8 M € 2,406.2 M -1.4% 100% im
Slide 36: Non-recurring items affect net income
Non-recurring items affect net income Change in net income 23-24 22-23 Sales € 2,371.8 M € 2,406.2 M -1.4% Current operating income € 75.3 M € 65.9 M +14.3% Non-recurring items € (145.0) M € (11.7) M Operating income € (69.7) M € 54.1 M N/A Net financial income € (35.1) M € (31.3) M -12.2% Corporate
Slide 37: Cash flows impacted by working capital requirements
A generation of cash flows impacted by working capital requirements Change in cash flow 23-24 22-23 Sales € 2,371.8 M € 2,406.2 M -1.4% Current operating income € 75.3 M € 65.9 M +14.3% % of sales 3.2% 2.7% +44 bps Depreciation € (82.2) M € (82.5) M -0.3% REBITDA* € 157.5 M € 148.3 M +6.2% % of sales
Slide 38: We closely monitor our financial structure
We closely monitor our financial structure Simplified balance sheet (in € M) - including IFRS 16 2023-2024 2022-2023 Fixed assets Equity Equity is down: negative net income WCR is increasing: inventories (volumes / cost price) The net debt / equity ratio (gearing) remains below 100% Working capital Ne
Slide 39: We closely monitor our financial structure: debt
We closely monitor our financial structure Breakdown of debt Debt amortization profile At June 30, 2024 Maturities in € million (1) Average cost 4.39% Average debt maturity (2) 3.1 years USPP Disintermediation rate 71% BANKING (1) Excluding RCF NEU CP (2) Average maturity of available financing instrum
Slide 40: 2024-2025 Outlook
2024-2025 OUTLOOK
Slide 41: 2024-2025 transformation year with a stability objective
Year 1 of the 2024-2025 transformation allows us to absorb structural changes Limited growth in volumes and prices with a STABILITY Stronger support for brands objective (2024-2025) Continued pressure from private labels USA (yoy) (2024-2025) of sales(1) and profitability(1) Lagged effects of € 2,375
Slide 42: ... and more than ever, serve our Mission
… and more than ever, serve our Mission “We inspire the transition toward a plant-rich diet to contribute to people's well-being and planet health” 42
Slide 43: Appendix
Appendix
Slide 44: Our Governance
Our Governance As of July 1, 2024 Other Bonduelle Free Employees and Families float treasury stocks 33.17% 37.23% 7.70% Pierre et Benoît Bonduelle SCA BONDUELLE SAS French limited partnership with shares General Partner General Partner : Pierre et Benoît Bonduelle SAS 21.90% Supervisory Board / Audit
Slide 45: Our Governance: Supervisory Board
Our Governance Supervisory Board 1 2 3 Ensures permanent control of company management on behalf of the Shareholders. The Bonduelle Group complies with the Afep-Medef governance principles. 1. Martin Ducroquet (Chairman) 4 5 66 2. Jean-Pierre Vannier (Vice-Chairman) 3. Laurent Bonduelle 4. Agathe Da
Slide 46: Our Governance: Audit Committee
Our Governance Audit Committee 1 2 By delegation of the Supervisory Board, this committee is responsible for supervising the financial matters. 1. Jean-Michel Thierry (Chairman) 2. Martin Ducroquet 3. Cécile Girerd-Jorry 3 4 4. Jean-Pierre Vannier 46
Slide 47: Our Governance: Board of Directors
Our Governance Board of Directors Made up of Bonduelle family members and independent members, this Board is responsible for defining the company's strategy and 1 2 3 4 5 investment policy. 1. Christophe Bonduelle (Chairman) 2. Ana-Maria Bonduelle 3. Benoît Bonduelle 4. Félix Bonduelle 5. Jean-Bernar
Slide 48: Our Governance: Compensation Committee
Our Governance Compensation Committee This committee is independent and recommends the 1 2 compensation granted to senior directors and officers and Bonduelle family members working at Bonduelle. The committee also gives its opinion on the compensation of top managers. 1. Marie-Ange Verdickt (Chairwo
Slide 49: Our Governance: CSR Committee
Our Governance CSR Committee 1 2 Its aim is to aid decision-making in terms of CSR strategy and business ethics, control its deployment and the achievement of the objectives set. 1. Jean-Bernard Bonduelle (Chairman) 2. Tadeusz Bechta 3. Agathe Danjou 4. Guillaume Fichet 3 4 49
Slide 50: Our Governance: Global Executive Leadership Team
Our Governance Global Executive Leadership Team The Global Executive Leadership Team (GELT) is composed of General Managers of business units, the Chief Bonduelle Prospective and Development Officer, the Chief Human Resources Officer, the Chief 1 2 3 Strategy, Brands and Impact Officer, and Chief Finan
Slide 51: Both zones of activity are growing
Both zones of activity are growing Geographical breakdown of revenue 2023-2024 growth 2023-2024 At constant exchange rates and scope Other Non-Europe 2.5% 65.7% EUROPE +2.9% Eurasia EUROPE % 8.5 France 33.6% NON-EUROPE +2.4% USA 23.3% 34.3% Germany NON-EUROPE 9.1% Other Europe Southern Europe 0.2% 1
Slide 52: Growth fueled by retail segment
Growth fueled by retail segment Breakdown of revenue by distribution channel 2023-2024 growth 2023-2024 At constant exchange rates and scope % 1 22-23 = 1% 17% 22-23 = 17% RETAIL +3.0% 82% 22-23 = 82% FOOD SERVICE - 0.0 % Retail Food service Other 52
Slide 53: Thank you!
Thank you ! En conformité avec la norme comptable IFRS 5, les éléments du compte de résultat 2021-2022 relatifs aux activités conserve et surgelé en Amérique du Nord, cédées au 30 juin 2022, dont le groupe détient désormais 35 %, ont été retraités et regroupés dans la rubrique “résultat net des acti
Slide 54: Thank you
company/bonduelle Thank you Chief Finance Officer