Grupo Bimbo Sab De Cv Class A · BMV:BIMBO/A
Grupo Bimbo Sab De Cv Class A — Investor Presentation (August 2015)
30 slides from Grupo Bimbo Sab De Cv Class A's investor presentation, Aug 31, 2015
Slide 1: Investor Presentation 1Q'14
Investor Presentation 1Q’14
Slide 2: Grupo Bimbo
Grupo Bimbo • Global leader in baking and one of the largest packaged food players • LTM 1Q’14 Sales: USD $13.7 Bn1 LTM 1Q’14 EBITDA: USD $1.3 Bn1 • Presence in 19 countries • +10,000 products and +100 brands • Categories: packaged bread, salted snacks, confectionary, tortillas and packaged food • M
Slide 3: Broad Asset Base
Broad Asset Base ≈ 123,000 Control Group Float associates 76% 24% 144 plants ≈ 2.2 MM Central & POS Mexico USA Iberia Asia1 South America ≈ 52,000 routes 3 1. Asia’s results are included in Mexico
Slide 4: Globally Present, Locally Committed
Globally Present, Locally Committed 2 LTM 1Q’14 Revenue Breakdown (US$13.7 Bn) Iberia Portugal & Spain LatAm 3% United States 13% #1 in packaged baked Leader nationwide goods #1 in premium brands Mexico Leading brands in sweet #1 in English muffins 39% baked goods and snack #1 portfolio
Slide 5: Accelerated International Expansion
Successful Growth Case Strong track record of integration Strict 2011 Leadership position in high growth markets Reinvestment Accelerated International Expansion Sustainable Growth 2009 Strict Reinvestment 00s Strategic Focus 90s … 80s 70s 60s Successful growth story through a combination
Slide 6: Key Success Drivers
Key Success Drivers Long Run Player Innovation Dedication in a Very & to Bakery Attractive and Brand Equity Deep Consumer Industry Non-Cyclical Understanding Industry Over the last decade GB shifted from a strong local player to a leader in the Americas Experienced Socially & Responsible Management
Slide 7: Leading Player in an Attractive Non-Cyclical Industry
Leading Player in an Attractive Non- Cyclical Industry 1 LTM Revenues in US$MM Attractive High Non- 13,675 industry Resilient consumption discretionary 11,672 Industry frequency products Fundamentals 7,278 3,751 1,812 2 Key success Innovation & Strong Distribution, Packaged Bread Penetration product
Slide 8: Strong Brand Equity and Deep Consumer Understanding
Strong Brand Equity and Deep Consumer Understanding Taking innovative products Broad portfolio around the world Every meal, every occasion, every Extraordinary Deep Brand consumer group consumer Awareness understanding BIMBO: one of the most valuable 4 R&D brands in Latin 1 Products that America Lea
Slide 9: Exceptional Distribution Network and Manufacturing Facilities
Exceptional Distribution Network and Manufacturing Facilities +52,000 Unique routes expertise in moving high volume products On of the largest fleets Attuned in the distribution Access to Americas model for Low cost unmatched each channel increase technological manufacturing equipment CAPEX 9 9
Slide 10: Seasoned Management Team, Sound Governance & Strong Corporate Identity
Seasoned Management Team, Sound Governance & Strong Corporate Identity Daniel Servitje Positioned the company as the market leader Chairman of the Board Seasoned Proven track record of stability and growth Management Successfully integrated more than 45 Audit Committee and Compensation & Finance & P
Slide 11: Strong Financial Performance
Strong Financial Performance Revenue Growth1 EBITDA Growth1 (US$ in millions) (US$ in millions) EBITDA Margin 13,786 13,675 13,164 1,357 1,322 10,733 1,173 1,224 1,183 1,070 8,619 9,273 2009 2010 2011* 2012* 2013* LTM 1Q'14* 2009 2010 2011* 2012* 2013* LTM 1Q'14* Iberia Latin America U.S. Mexico GB
Slide 12: Financial Stability
Financial Stability EBIT % EBITDA % Gross % Commodities Commodities/ Integration 56.2 56.7 54.8 53.3 53.1 53.7 53.3 53.0 54.0 53.4 52.8 52.8 52.8 52.3 52.7 51.2 51.1 51.0 50.7 48.6 47.9 13 13.5 13.8 13.7 14.1 13.6 12.8 12.2 12.0 13.6 13.2 12.3 11.9 10.7 10.3 11.1 11.0 9.8 9.5 9.7 8.1 9.7 9.7 9.9 10.
Slide 13: Responsible Financial Policies
Responsible Financial Policies Flexible Capital Structure Leverage Total Debt/EBITDA 3.1 Net Debt/ EBITDA #REF! 3.3 1 3.0 2.4 2.3 Rapid deleveraging: target <2x 2.2 2.9 2.2 2.7 1.1 2.0 2.2 2.0 1.2 1.9 0.9 0.6 0.7 0.4 0.4 0.2 Investment grade ratings: Baa2/BBB/BBB 2005 2006 2007 2008 2009 2010 2011*
Slide 14: Responsible Financial Management
Responsible Financial Management Amortization Schedule1 Average Life: 5.0 years Current undrawn Total Debt: US$2,746 mm Av. Financing Cost: 4.7% committed facilities for US$2.0 Bn maturing in 800 800 2019 382 382 382 2014 2015 2016 2017 2018 2019 2020 2021 2022 Local Bonds International Bonds Jan 20
Slide 15: Building a Sustainable Future
Building a Sustainable Future We understand there is no conflict in doing good and doing well +300K credits to Our wind farm in WHO and SSA family owned Mexico represents +123K associates in guidelines business 23% of total energy 19 countries Trans fats removed consumption 68K students from 99.5% o
Slide 16: Looking Ahead
Looking Ahead 16
Slide 17: Time to Improve Profitability
Time to Improve Profitability Synergistic Transaction Long Term Vision- Do It Right One time costs are necessary to IT Efficient operation with value capture synergies (US$200mm) Leadership Manufacturing creation to consumers Growth 1. Cost Distribution Strong CF generation S&A EFICIENCY Industry Tr
Slide 18: Time to Invest
Time to Invest Our Strong Cash Flow Generation Backs our Investment Plan Investments are clearly focused on productivity US synergies- reconfigure manufacturing print Streamline manufacturing capabilities Low- Cost LatAm- Build scale and market penetration Producer Next couple of years…CAPEX around
Slide 19: Time to Deleverage
Time to Deleverage Total Debt/ EBITDA 3.3x1 3.1x 3.0x 2.5x 2.3x 1.9x 2.3x 2.2x 2.2x 1.5x 1.1x 1.2x 1.1x 0.9x 0.7x 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011* 2012* 2013* LTM 1Q'14* Weston West Weston East Sara Lee 1.Pro forma figures with Weston Foods acquisition 19 * 2011, 2012, 20
Slide 20: Why Grupo Bimbo?
5 year return in USD1 Why Grupo Bimbo? 10% +97% +152% 1 Long-term value creation +119% 2 Strongly positioned in local & International indexes 3 Focused on our core business 4 Cash flow stability 5 Successful deleveraging and solid investment grade ratings 6 Strong & continuous reinvestment 7 Respons
Slide 21: Annex: Financial Results by Region & Recent Acquisitions
Annex: Financial Results by Region & Recent Acquisitions 21
Slide 22: Grupo Bimbo - Quarterly Results
Grupo Bimbo - Quarterly Results Revenue Growth EBITDA (MXN$ in millions) (MXN$ in millions) 1.7% 7.8% 9.7% 176,566 173,560 8.3% 17,076 7.1% 14,393 1.3% 3,225 2,972 41,979 41,454 1Q 12M 1Q 12M Sales '13 Sales '14 EBITDA '13 EBITDA '14 EBITDA margin '13 EBITDA margin '14 Lower inputs cost in every r
Slide 23: Mexico - Quarterly Results
Mexico- Quarterly Results Revenue Growth EBITDA (MXN$ in millions) (MXN$ in millions) 3.3% 9,0 00 8,0 00 15.8% 73,148 7,0 00 -0.2% 70,796 6,0 00 11.7% 14.0% 11,560 5,0 00 9,910 11.7% 17,740 17,709 4,0 00 3,0 00 2,071 2,071 2,0 00 1,0 00 0 1Q 12M 1Q 12M Sales '13 Sales '14 EBITDA '13 EBITDA '14 EBITD
Slide 24: United States - Quarterly Results
United States- Quarterly Results Revenue Growth EBITDA (MXN$ in millions) (MXN$ in millions) 0.9% 6,0 00 79,966 6.9% 79,282 5,0 00 7.0% 6.6% 5,313 1.1% 4,0 00 5,467 4.4% 3,0 00 18,415 18,216 2,0 00 1,278 1,0 00 801 0 1Q 12M 1Q 12M EBITDA '13 EBITDA '14 EBITDA margin '13 EBITDA margin '14 Sales '13 S
Slide 25: Latin America - Quarterly Results
Latin America- Quarterly Results Revenue Growth EBITDA (MXN$ in millions) (MXN$ in millions) -1.2% 2.7% 1.6% 735 22,386 -1.2% 5.5% 22,109 535 -2.5% 356 335 147 5,208 5,494 135 -65 -60 -265 -556 -465 1Q 12M 1Q 12M Sales '13 Sales '14 EBITDA '13 EBITDA '14 EBITDA margin '13 EBITDA margin '14 Positiv
Slide 26: Iberia - Quarterly Results
Iberia - Quarterly Results Revenue Growth EBITDA (MXN$ in millions) (MXN$ in millions) 8.1% 735 -3.3% -3.2% 5,555 -6.2% 535 5,137 19.0% 335 -8.2% 135 1,219 1,451 -65 -75 -47 -176 -265 -465 1Q 12M -423 1Q 12M Sales '13 Sales '14 EBITDA '13 EBITDA '14 EBITDA margin '13 EBITDA margin '14 Good volume
Slide 27: Recent Acquisitions
Recent Acquisitions Sara Lee North American Fresh Bakery - Earthgrains Acquired for an all-cash purchase price of US$709 million, which includes US$34 million in assumed liabilities Attractive acquisition, which will add scale, diversify the brand portfolio and complement the geographic footprin
Slide 28: Upcoming Acquisition – Canada Bread
Upcoming Acquisition – Canada Bread Purchase price: CAD$1,830 million Implied transaction multiples Canada – 16 Bakeries Annual Revenues: CAD$1,439 million1 FV2/LTM Revenues1: 1.2x FV2/LTM EBITDA1: 9.3x Annual EBITDA: CAD$185 million1 (12.9% margin) Canada Bread is one of the leading man
Slide 29: Thank you
Thank you 29
Slide 30: Disclaimer
The information contained herein has been prepared by Grupo Bimbo, S.A.B. de C.V. (the “Company") solely for use at investors´ presentations. The information herein is only a summary and does not purport to be complete. This material has been prepared solely for informational purposes and should not