Slide 1: Everyday cleaning products, expertly made
Everyday cleaning products, expertly made McBride plc FY24 Half Year Results 27 February 2024
Slide 2: Agenda
2 McBride plc FY24 Half Year Results: 27 February 2024 Agenda Our speakers today 1. Headlines 2. Overview 3. Financial Review 4. Outlook & Summary 5. Q&A Chris Smith Mark Strickland Chief Executive Officer Chief Financial Officer
Slide 3: 1. Headlines
3 McBride plc FY24 Half Year Results: 27 February 2024 1. Headlines
Slide 4: FY24 First Half Headlines
4 McBride plc FY24 Half Year Results: 27 February 2024 FY24 First Half Headlines Strong performance underpinned by inflation recovery and volume growth. Revenue Adjusted OP Adjusted PBT Net Debt Liquidity £468.0m £30.5m £22.4m £(145.7)m £85.0m +9.8% +£31.8m +£30.3m +£20.8m +£25.7m McBride gaining sh
Slide 5: 2. Overview
5 McBride plc FY24 Half Year Results: 27 February 2024 2. Overview
Slide 6: Household Market Overview
6 McBride plc FY24 Half Year Results: 27 February 2024 Household Market Overview McBride gaining share in growing private label market. Total market volumes: vs 2022: Private label volumes: Total PL vs 2022: McBride vs 2022: Household (2)% Household 7% 11% Laundry (2)% Laundry 8% 14% Cleaners (4)% C
Slide 7: Divisions – Liquids
7 McBride plc FY24 Half Year Results: 27 February 2024 Divisions – Liquids 56.9% of Group revenue (£266.4m) Strong private label demand driving Cost Cash significantly improved profitability and leadership generation volume growth. Adjusted operating profit/(loss) £m • Continued private label demand
Slide 8: Divisions – Unit Dosing
8 McBride plc FY24 Half Year Results: 27 February 2024 Divisions – Unit Dosing 24.9% of Group revenue (£116.5m) Strength in private label through Product Strategic improved product offerings and leadership growth new business wins. Adjusted operating profit/(loss) £m • Doses volume up 8.8%, driven by
Slide 9: Divisions – Powders
9 McBride plc FY24 Half Year Results: 27 February 2024 Divisions – Powders Powders 10.1% of Group revenue (£47.2m) Strategic pricing increases, combined Cost Cash with renewed volume pull in key markets. leadership generation Adjusted operating profit/(loss) £m • Return to profit after several years
Slide 10: Divisions – Aerosols & Asia Pacific
10 McBride plc FY24 Half Year Results: 27 February 2024 Divisions – Aerosols & Asia Pacific 5.4% | 2.7% of Group revenue (£25.4m | £12.5m) Key wins in Germany and Iberia, Continuing to consolidate position, and market-wide shift to private label. supported by contract manufacturing wins. Adjusted op
Slide 11: Transformation Programme
11 McBride plc FY24 Half Year Results: 27 February 2024 Transformation Programme Programmes running to plan; priority programmes focus to support delivery of £50 million net benefits over five years. Priority programmes Commercial excellence • Specialist sales and marketing training • Improved, cust
Slide 12: Environmental, Social and Governance
12 McBride plc FY24 Half Year Results: 27 February 2024 Environmental, Social and Governance Environmental • Scope 1, 2 and 3 near-term targets set with formal commitment to Science Based Target initiative (SBTi) Area of focus H1 FY24 FY23 • Further investment in detailed electricity FSC® sourced 92
Slide 13: 3. Financial Review
13 McBride plc FY24 Half Year Results: 27 February 2024 3. Financial Review
Slide 14: Group Revenue Bridge
14 McBride plc FY24 Half Year Results: 27 February 2024 Group Revenue Bridge £m 12.9 468.0 29.3 (0.5) 426.3 H1 FY23 Volume/mix Pricing FX H1 FY24 revenue revenue • Revenue increased by 9.8% • Pricing: • Volume/mix growth contributed £29.3 million – £12.9 million impact from pricing actions agreed in
Slide 15: Group Adjusted Operating Profit Bridge
15 McBride plc FY24 Half Year Results: 27 February 2024 Group Adjusted Operating Profit Bridge Impacting gross profit Impacting distribution costs and administrative expenses £m 50.1 (6.9) (2.7) (3.3) (1.8) (2.4) 30.5 (6.5) 5.5 (1.3) (0.2) (1.5) H1 FY23 FX H1 FY23 Volume/mix Gross Inflationary Volum
Slide 16: Divisional Performance Bridges
16 McBride plc FY24 Half Year Results: 27 February 2024 Divisional Performance Bridges Revenue £m Adjusted operating profit/(loss) £m 4.4 30.5 4.1 5.7 0.5 (0.1) (1.3) 4.5 468.0 5.1 (0.7) 28.7 22.6 426.3 H1 FY23 Liquids Unit Powders Aerosols Asia H1 FY24 (1.3) Dosing Pacific H1 FY23 Liquids Unit Powd
Slide 17: Costs
17 McBride plc FY24 Half Year Results: 27 February 2024 Costs Group input costs Distribution costs as Administrative (overhead) costs as % of revenue % of revenue 1.0% 1.0% 0.8% 3.6% 3.9% 2.9% 9.0% 8.5% 8.7% 14.6% 15.5% 15.7% Q4 FY21 Q1 FY22 Q2 FY22 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1
Slide 18: Other Financials
18 McBride plc FY24 Half Year Results: 27 February 2024 Other Financials Exceptional items £m Finance costs (underlying)1 £m Capex and depreciation £m Pensions £m 32.6 1.9 1.2 1.9 1.8 26.6 24.7 0.6 11.4 10.8 8.9 8.2 8.6 8.6 8.6 7.4 0.5 0.78 0.8 6.1 5.6 0.76 4.6 0.73 4.0 3.0 2.3 1.4 H1 FY23 H2 FY23 H
Slide 19: Net Debt Bridge
19 McBride plc FY24 Half Year Results: 27 February 2024 Net Debt Bridge £m 8.6 40.9 (8.4) (6.2) (2.0) (2.6) (3.4) (139.6) (6.1) (145.7) (166.5) Net debt at Adjusted Working Capital Interest paid Pensions Tax paid Non-cash Net debt Exceptional Net debt at 30 Jun 23 EBITDA capital expenditure movement
Slide 20: Liquidity
20 McBride plc FY24 Half Year Results: 27 February 2024 Liquidity £m 100 90 H2 FY23 H1 FY24 80 70 60 50 40 30 20 10 0 Dec Jan Feb Mar Apr May June July Aug Sep Oct Nov Dec 2022 2023 2023 2023 2023 2023 2023 2023 2023 2023 2023 2023 2023 Actual liquidity Covenant headroom • 31 December 2023: liquidit
Slide 21: 4. Outlook & Summary
21 McBride plc FY24 Half Year Results: 27 February 2024 4. Outlook & Summary
Slide 22: Outlook
22 McBride plc FY24 Half Year Results: 27 February 2024 Outlook Momentum maintained into the second half; full year profit expectations raised. Focus on customer offer Volume leverage Consumer shift to and supply reliability, supporting improved private label continuing supporting McBride growth mar
Slide 23: Summary
23 McBride plc FY24 Half Year Results: 27 February 2024 Summary McBride gaining share in growing private label market Strong operational delivery driving higher margins All divisions profitable Full year adjusted operating profit now expected to be 10-15% ahead of previous internal expectations Capi
Slide 24: 5. Q&A
24 McBride plc FY24 Half Year Results: 27 February 2024 5. Q&A
Slide 25: Appendices
25 McBride plc FY24 Half Year Results: 27 February 2024 Appendices 1. Income Statement 2. Segmental Reporting 3. Balance Sheet 4. Cash Flow 5. Funding & Liquidity
Slide 26: Appendix 1: Income Statement
26 McBride plc FY24 Half Year Results: 27 February 2024 Appendix 1: Income Statement Constant currency H1 FY24 H1 FY23 H1 FY23 £m £m y/y £m y/y Revenue 468.0 426.3 41.7 425.8 42.2 Gross profit 170.9 115.1 55.8 115.3 55.6 Gross margin 36.5% 27.0% 9.5ppts 27.1% 9.4ppts Distribution costs (40.8) (38.5)
Slide 27: Appendix 2: Segmental Reporting
27 McBride plc FY24 Half Year Results: 27 February 2024 Appendix 2: Segmental Reporting Constant currency H1 FY24 H1 FY23 H1 FY23 Revenue £m £m y/y £m y/y Liquids 266.4 237.7 12.1% 238.3 11.8% Unit Dosing 116.5 111.4 4.6% 111.5 4.5% Powders 47.2 42.7 10.5% 42.7 10.5% Aerosols 25.4 21.3 19.2% 21.3 19
Slide 28: Appendix 3: Balance Sheet
28 McBride plc FY24 Half Year Results: 27 February 2024 Appendix 3: Balance Sheet 31 Dec 30 Jun 31 Dec 2023 2023 2022 £m £m Change £m y/y Goodwill and other intangible assets 25.9 26.2 (0.3) 26.3 (0.4) Property, plant and equipment 115.8 117.8 (2.0) 121.1 (5.3) Right-of-use assets 8.7 8.5 0.2 9.9 (1
Slide 29: Appendix 4: Cash Flow
29 McBride plc FY24 Half Year Results: 27 February 2024 Appendix 4: Cash Flow H1 FY24 H1 FY23 £m £m y/y Adjusted operating profit/(loss) 30.5 (1.3) 31.8 Depreciation property, plant and equipment 8.6 8.2 0.4 Depreciation right-of-use assets 1.8 1.9 (0.1) Share-based payments 0.6 0.5 0.1 Additional c
Slide 30: Appendix 5: Funding & Liquidity
30 McBride plc FY24 Half Year Results: 27 February 2024 Appendix 5: Funding & Liquidity Facility Drawn Liquidity At 31 December 2023 £m £m £m Committed facilities: – Revolving Credit Facility 152.1 (87.9) 64.2 – Invoice discounting facilities 52.3 (52.3) — – Overdraft facilities 17.5 (11.0) 6.5 – L