Coca-Cola Icecek A.S. · BIST:CCOLA
Coca-Cola Icecek A.S — 9M14 Earnings Presentation
18 slides from Coca-Cola Icecek A.S's earnings presentation, Nov 6, 2014
Slide 1: 9M14 Results
9M14 Results November 6, 2014 Istanbul Burak Başarır CEO Orhun Köstem CFO
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation includes forward-looking statements including, but not limited to, statements regarding Coca-Cola İçecek’s (“CCI”) plans, objectives, expectations and intentions and other statements that are not historical facts. Forward-looking statements can generally
Slide 3: Operational Review
BURAK BAŞARIR CEO Operational Review 3
Slide 4: Highlights in the Nine Months
Highlights in the Nine Months ● Consolidated - strong topline growth despite significant headwinds ● Turkey – transition towards higher IC share continues ● International – double digit volume growth and margin progress in line with guidance ● Investments - continues in high growth markets ● FCF - E
Slide 5: Contribution to Volume Growth - Nine Months
Contribution to Volume Growth - Nine Months Volume Growth Volume Split by Geography* Other 10% 61 mn uc Kazakhstan 9% Iraq 9% Turkey 18 mn uc 51% 933 mn uc Pakistan 21% 854 mn uc 9M13 TR INT'L 9M14 5 Notes: (*) In unit cases
Slide 6: Category Growth and Breakdown - Nine Months
Category Growth and Breakdown - Nine Months Category Growth Volume Split by Category* 6,2% 6,5% 7,1% NRTD 7,9% Sparkling 7% Tea** 14,0% 8% 14,3% Sparkling Water Water 11% 72,7% 71,3% Tea Sparkling 71% Still 16% Still exc. Water 9M13 9M14 6 Notes: (*) In unit cases; (**) NRTD: Non-ready-to-drink
Slide 7: Turkey Overview – Nine Months
Turkey Overview – Nine Months Category Growth Pricing • Number of transactions up • Average pricing growth below both cost and • Sparkling – slight contraction consumer inflation • Still – high teens • Water – low single Packaging Mix Cost and Opex • Successful new IC package launches • FX impact on
Slide 8: International Overview – Nine Months
International Overview – Nine Months ● Pakistan – successful campaigns supported +17% +21% volume growth despite headwinds ● Kazakhstan – production records in high season to meet strong demand as the devaluation impact has faded +10% ● Iraq – volume growth continued in S.Iraq while N.Iraq contracte
Slide 9: Financial Review
ORHUN KÖSTEM CFO Financial Review 9
Slide 10: Introduction to Financial Statements
Introduction to Financial Statements Basis of Preparation Consolidated / International Turkey $/TL $/TL Year-End Average Functional TL USD Currency September September 2.2789 2.1618 30, 2014 30, 2014 Reporting TL USD December September Currency 2.1343 1.8628 31, 2013 30, 2013 Presentation ∆ 6.8% ∆ 1
Slide 11: Top Line Performance
Top Line Performance Consolidated 9M14 9M13 Change % 3Q14 3Q13 Change % Volume (m/uc) 933 854 9.2% 365 337 8.2% Net Revenue (TL million) 4,903 4,184 17.2% 1,925 1,693 13.7% Net Revenue per UC (TL) 5.26 4.90 7.3% 5.28 5.02 5.1% 9M14 9M13 Change % 3Q14 3Q13 Change % Turkey Volume (m/uc) 480 462 3.8% 1
Slide 12: Profitability
Profitability (TL million) 9M14 9M13 Change % 3Q14 3Q13 Change % Consolidated EBIT 636 570 11.7% 290 275 5.4% EBIT Margin 13.0% 13.6% 15.0% 16.2% EBITDA 891 787 13.2% 374 350 6.8% EBITDA Margin 18.2% 18.8% 19.4% 20.7% Net Income/(Loss) (excl. One-off) 352.2 296.6 18.7% 127.6 146.5 (12.9%) (TL millio
Slide 13: Financial Expenses
Financial Expenses (TL million) 9M14 9M13 Interest income 31 24 Interest expense (-) (112) (65) Foreign exchange gain / (loss) 68 33 Realized FX gain / (loss) – Borrowings (26) (0) Unrealized FX gain / (loss) – Borrowings (116) (179) Gain on Derivative Transactions 3 0 Financial Income / (Expense) N
Slide 14: Financial Debt Profile
Financial Debt Profile Financial Debt (US$ million) Maturity (US$ million) 1,446 1,042 622 5% 8% USD 1% 4% 2% 0% EUR 90% 90% TL 125 120 50 80 24 21 Others 2014 2015 2016 2017 2018 2020 2023 2013 9M14 Net Debt (US$ million) 2013 9M14 Change % Net Debt/EBITDA 1.8x 1.7x Total Financial Debt 1,446 1,042
Slide 15: Free Cash Flow
Free Cash Flow Net Operating Cash Capex (TL million) Free Cash Flow (TL million) Incl. Working Capital (TL million) 607 9M13 9M14 407 188 -400 -419 7 9M13 9M14 9M13 9M14 15
Slide 16: Outlook and Guidance 2014
Outlook and Guidance 2014 ● Consolidated – High single-digit volume o Turkey – Low single-digit volume growth o International – Mid-teen volume growth ● Net revenue growth > volume growth ● EBITDA margin lower vs. 2013 16
Slide 17: Q&A
Q&A 17
Slide 18: Cibola Seecch
Cibola Seecch