Embotelladora Andina SA · BCS:ANDINA_A
Embotelladora Andina SA — Q3 2022 Earnings Presentation
35 slides from Embotelladora Andina SA's earnings presentation, 2022
Slide 1: Coca-Cola Andina Corporate Presentation 3Q22
Coca-Cola Andina Corporate Presentation 3Q22 CORPORATE PRESENTATION
Slide 2: Agenda
AGENDA Our Company Market Description Our Strategy What Makes Us Unique? Financial Highlights
Slide 3: Coca-Cola Andina at a Glance (FY 2021)
Our Company Coca-Cola Andina at a Glance (FY 2021) The Company Key Financials ESG Metrics OPERATIONS in 4 countries 828 MILLION UNIT CASES sold, 54.37 KILOCALORIES equivalent to ~4,700 million litres sold every 200 ml. 1.77 LITERS OF WATER Coca-Cola Andina Corporate Presentation 14 PRODUCTION plants
Slide 4: Andina's History
Our Company Andina’s History Agreement Merger with KO Polar to commercialize Andina listed Coca-Cola System (incorporation of new During April we began Agreement and distribute Andina on the NYSE. joint venture (50/50) territories in Argentina, distributing AdeS for Viña Santa Rita becomes the Franc
Slide 5: Ownership Structure (As of September 30, 2022)
Our Company Ownership Structure (As of September 30, 2022) 5.8% 0.7% 14.7% 55.3% Coca-Cola Andina Corporate Presentation A series Controlling Group 38.0% 23.6% Others 44.8% Coca-Cola 7.3% ADRs 3.2% 7.6% Chilean Pension Funds 6.7% 5.6% 20.7% 5 B series Series A elects 12 of 14 Board members. Series B
Slide 6: Regional & Diversified Platform (FY 2021)
Our Company Regional & Diversified Platform (FY 2021) Volume Revenues Adjusted EBITDA 8% 8% 14% 37% 22% 22% 44% 45% 19% 828 USD$2,848 USD$512 Coca-Cola Andina Corporate Presentation 32% MM UCs 25% MM 24% MM Argentina Brazil • Territories: San Juan, Mendoza, San Luis, Córdoba, most of Santa Fé, Entre
Slide 7: Superior Manufacturing & Logistics Capabilities
Our Company Superior Manufacturing & Logistics Capabilities • 14 Plants • 92 distribution centers • 93 lines • 2,789 own & third party trucks Argentina Brazil Coca-Cola Andina Corporate Presentation • 3 Plants with a total of 22 lines • 3 Plants with a total of 26 lines • Average utilization ranged
Slide 8: Committed to sustainable development
Our Company Committed to sustainable development • Kilocalories sold every 200 ml. • Percentage of sales of reduced or sugar free categories. • Water ratio (WUR): Liters of wáter consumed per liter of beverage produced. Community Talent Involvement and diversity • Sales volumen returnable packaging
Slide 9: Achievements on sustainable development
Our Company Achievements on sustainable development Water ratio (WUR) Returnable packaging (on NARTD) Energy ratio (EUR) 3.0 50.0% 0.600 40.0% 0.500 0.400 30.0% 2.0 -16.2% 20.0% 31.6% 0.300 -6.9% Coca-Cola Andina Corporate Presentation 0.200 10.0% 0.100 1.0 0.0% 0.000 2017 2018 2019 2020 2021 2017 2
Slide 10: Main Indicators and Future Commitments
Our Company Main Indicators and Future Commitments 1.86 35.1% 0.309 13.9% 57.52 2020 Results 1.77 31.6% 0.301 15.1% 54.37 2021 Results Coca-Cola Andina Corporate Presentation 1.27 42.8% 0.255 Contribute towards the 2x Remain close, promote 40.75 Contribute to the progress of the 10 consolidation of
Slide 11: Market Description
Coca-Cola Andina Corporate Presentation Our Company Market Description Our Strategy What Makes Us Unique? Financial Highlights
Slide 12: Our Market Structure at a glance (As of December 31, 2021)
Market Description Our Market Structure at a glance (As of December 31, 2021) Market Share Channel Mix Per capita Consumption 10% (8 oz. bottles) 63% 40% 252 46% 39% 23% Coca-Cola Andina Corporate Presentation 37 28 26 27% Soft drinks Waters Juices and Others On premise Wholesalers Soft Drinks Water
Slide 13: Our Strategy
Coca-Cola Andina Corporate Presentation Our Company Market Description Our Strategy What Makes Us Unique? Financial Highlights
Slide 14: Strategic Objectives Coca-Cola Andina 2025
Our Strategy Strategic Objectives Coca-Cola Andina 2025 Growth through: • NARTD & ARTD (KO) Portfolio 1 • Entering New Catergories leveraging our Assets and Logistics Capacity. • New geographic Inorganic Growth opportunities Coca-Cola Andina Corporate Presentation Eficiency and Productivity leadersh
Slide 15: What Makes Us Unique?
Coca-Cola Andina Corporate Presentation Our Company Market Description Our Strategy What Makes Us Unique? Financial Highlights
Slide 16: What makes us unique? Complete Beverage Portfolio
What makes us unique? 1 Complete Beverage Portfolio 2 As a Total Beverage Company we boost TCCC NARTD Portfolio Coca-Cola Andina Corporate Presentation 3 Refillable Bottles Strategy Towards a World Without Waste 4 Strong Sugar Reduction and Stills & Low-Cal Strategy 16 5 Digital Capabilities for tod
Slide 17: Complete Beverage Portfolio (3Q22)
What makes us unique? 1 Complete Beverage Portfolio (3Q22) Argentina Brazil Chile Paraguay SSDs1 Coca-Cola Andina Corporate Presentation Juices and other NCBs1 Water Beer 17 Spirit Beverages2 Source: Company filings and public releases. 1 SSDs: Sparkling Soft Drinks; NCBs: Non-Carbonated Beverages 2
Slide 18: As a Total Beverage Company we boost TCCC NARTD Portfolio
As a Total Beverage Company What makes us unique? 2 we boost TCCC NARTD Portfolio % NARTD Growth 43.0% 50.0% 40.0% Coca-Cola Andina Corporate Presentation 30.0% 8.7% 14.6% 20.0% 10.8% 10.2% 9.4% 10.2% 5.8% 8.2% 7.9% 6.2% 10.0% 2.3% 3.3% 0.0% Sep Oct Nov Dec Jan-2022 Feb Mar Apr May Jun Jul Aug Sep -
Slide 19: Refillable Bottles Strategy Towards a World Without Waste
Refillable Bottles Strategy What makes us unique? 3 Towards a World Without Waste % Refillables as of Total SSD Volume FY2019 FY2020 FY2021 Coca-Cola Andina Corporate Presentation Argentina 48.1% 54.7% 50.8% Brazil 25.2% 28.3% 25.5% Universal Bottle Chile 45.0% 46.9% 40.3% 19 Paraguay 46.3% 48.3% 46
Slide 20: Strong Sugar Reduction and Stills & Low-Cal Strategy
Strong Sugar Reduction and What makes us unique? 4 Stills & Low-Cal Strategy % of NARTD Total Volume (*) No Sugar & LowCal Stills Mix Coca-Cola Andina Corporate Presentation 9% 28% 11% 23% 4% 15% 4% 17% 2010 2021 2010 2021 2010 2021 2010 2021 Argentina Brazil Argentina Brazil 20 21% 65% 11% 25% 13%
Slide 21: Digital Capabilities for today's business
Digital Capabilities What makes us unique? 5 for today’s business B2B Expand our B2B solution B2C Direct satisfaction to consumers • Robust platform on our SAP • Direct to Consumers platform in Brazil Front Office • MiCoca-Cola.cl Full Potential 2022 Coca-Cola Andina Corporate Presentation • Omnicha
Slide 22: Digital Capabilities for today's business
Digital Capabilities What makes us unique? 5 for today’s business 01. Customers • +39% registered customers and 9% buyers • Focus 2022 implementation and grow B2B coverage • Expanding KOBoss (Whatsapp) in Brazil, Chile and Paraguay Digital Portfolio Coca-Cola Andina Corporate Presentation 02. Consum
Slide 23: High Performance, strongly committed Team
High Performance, What makes us unique? 6 strongly committed Team Experienced Senior Management Organizational Climate 72% Industry Company Industry Company 64% 69% Experience Experience Experience Experience 58% (Years) (Years) (Years) (Years) Miguel Ángel Peirano Andrés Wainer 27 11 25 25 Coca-Col
Slide 24: Learning and Sharing for Continued Improvement
Learning and Sharing for What makes us unique? 7 Continued Improvement High level instance to share strategy, best practices, new ways of Top 2 Top working and projects to ensure short and long term results Coca-Cola Andina Corporate Presentation Growth Alignment and Project Portfolio (SSD, Stills,
Slide 25: Financial Highlights
Coca-Cola Andina Corporate Presentation Our Company Market Description Our Strategy What Makes Us Unique? Financial Highlights
Slide 26: Strong Ebitda Generation (Consolidated)
Financial Highlights Strong Ebitda Generation (Consolidated) Adjusted EBITDA and Adjusted EBITDA Margin (CLP$ mm) Argentina Brazil Chile Paraguay EBITDA Margin Coca-Cola Andina Corporate Presentation 17% 18% 19% 20% 21% 18%1 16% 15% CAGR +5.0% 397,213 337,892 348,869 350,532 311,004 324,964 17.2% 26
Slide 27: Strong Ebitda Generation by country
Financial Highlights Strong Ebitda Generation Argentina1 Brazil (Million AR$) 900 (Million R$) 12,000 800 10,117 700 659 10,000 600 8,000 501 500 Coca-Cola Andina Corporate Presentation 6,000 400 4,140 3,665 4,000 300 1,557 200 134 141 2,000 13.8% 15.5% 14.6% 15.1% 100 16.5% 17.2% 13.9% 15.3% - - 20
Slide 28: Solid Financial Position (1)
Financial Highlights Solid Financial Position (1) Financial Debt1 (USD$ mm) Banks Bonds Total Risk Ratings Short Term Financial Debt Long Term Financial Debt USD$mm 39 971 1,010 Local rating agencies Rating % 4% 96% 100% 1,217 ICR AA+ 1,027 1,086 939 1,010 Note: Banks includes Bank, Leasing & Others
Slide 29: Solid Financial Position (2)
Financial Highlights Solid Financial Position (2) Financial Ratios (I) 30.0 Financial Ratios (II) Net Financial Debt (2) / Adj. EBITDA (3) Debt Coverage Ratio (4) Financial Debt / Equity Ratio (1) Net Financial Debt (2) / Equity Ratio 25.0 1.0 1.0 19.7 0.8 0.8 20.0 0.8 0.7 0.7 15.0 9.6 8.9 8.4 8.5 8
Slide 30: Dividends (as of September 30, 2022)
Financial Highlights Dividends (as of September 30, 2022) Dividend Distribution1 (million CLP$) 28,823 245,493 Coca-Cola Andina Corporate Presentation 85,475 85,475 99,986 99,986 106,347 85,475 85,475 2018 2019 2020 2021 2022 Dividend Yield2 2017 2018 2019 2020 2021 Series A 3.3% 3.0% 3.8% 5.4% 6.8%
Slide 31: Contact in Santiago, Chile
Coca-Cola Andina Corporate Presentation Contact in Santiago, Chile Andrés Wainer, Chief Financial Officer Paula Vicuña, Investor Relations Officer (56-2) 2338-0520 / andina.ir@koandina.com
Slide 32: Appendix
Coca-Cola Andina Corporate Presentation Appendix
Slide 33: Our Market Structure by operation (As of December 31, 2021)
Market Description Our Market Structure by operation (As of December 31, 2021) Market Share Per capita Consumption Product Mix Channel Mix Format Mix SSD Sugary Mix NARTD (8 oz. bottles) 7% 6% 8% 28% 60% 271 34% 48% 16% 33% 51% 24 23 72% 85% 27% Soft Drinks Waters Juice and On premise Wholesalers So
Slide 34: Main Financial Highlights (Million USD$)
Main Financial Highlights (Million USD$) 2016 2017 2018 20191 2020 20212 3Q213 3Q22 Total Volume (million UCs) 779 756 751 746 735 828 197 202 Net Sales 2,627 2,848 2,569 2,495 2,190 2,848 689 698 Operating Income 316 368 348 335 306 378 76 74 Operating Margin 12.0% 12.9% 13.5% 13.4% 14.1% 13.3% 11.
Slide 35: Main Financial Highlights (Local Currency)
Main Financial Highlights (Local Currency (million)) 2016 2017 20181 20191 20201 20211 3Q211 3Q22 2016 2017 2018 2019 2020 2021 3Q21 3Q22 Sales Volume (million UCs) 219 211 202 178 167 185 43 46 Sales Volume (million UCs) 266 249 249 259 265 266 64 67 Net Sales 11,343 14,203 22,441 31,566 37,737 65,