Masan Consumer Corporation · HOSE:MCH
Masan Consumer — Q3 2024 Earnings Presentation
31 slides from Masan Consumer's earnings presentation, Oct 30, 2024
Slide 1: Masan Consumer Analyst Meeting 3Q2024
Masan Consumer (Ticker: MCH) Analyst Meeting 3Q2024 30/10/2024 0
Slide 2: Table of Contents
01 Masan Consumer at a glance Table of Contents 02 Macro & consumer sentiment 03 3Q & 9M24 business performance 1
Slide 3: Masan Consumer At a Glance
Masan Consumer At a Glance 2
Slide 4: For the past years, Masan Consumer KEPT GOING with our BIG PASSION
For the past 20 years, Masan Consumer KEPT GOING with our BIG PASSION: “Uplift the material and spiritual lives of 100 Vietnamese consumers each and every day”
Slide 5: Masan Consumer - highly profitable growing Vietnamese FMCG platform
Masan Consumer (“MCH”) - highly profitable growing Vietnamese FMCG platform 5 28 Power Brands, each c.15-20% generating $100+ million Historical top-line & Years of heritage in annual revenue, with bottom-line further expansion 2017-2023 CAGR1 prospects USD 1.3b Revenue 2024F 38% 191% New SKU contri
Slide 6: Macro & Consumer Sentiment
Macro & Consumer Sentiment 5
Slide 7: Vietnam has shown resilience with continued economic recovery despite Typhoon Yagi
Vietnam has shown resilience with continued economic recovery despite setback from Typhoon Yagi in 3Q2024 GDP growth in 3Q2024 & 9M2024 reached …driven by robust recovering signals in …will further stimulate consumption, second-highest level in five years… export and manufacturing… coupled with favo
Slide 8: 3Q2024 & 9M2024 business performance
3Q2024 & 9M2024 business performance 7
Slide 9: Topline and bottom line demonstrated consistent double-digit growth
Topline and bottom line demonstrated consistent double-digit growth Revenue (VND bn) EBITDA (VNDbn) NPAT-MI (VNDbn) 21,955 19,748 5,474 5,739 4,811 5,078 7,987 7,233 2,072 2,184 1,810 1,907 3Q Revenue 9M Revenue 3Q EBITDA 9M EBITDA 3Q NPAT-MI 9M NPAT-MI 2023 2024 2023 2024 2023 2024 8 years track re
Slide 10: Premiumization continues to drive growth of categories with leading market share
Premiumization continues to drive the growth of categories with leading market share while innovation is the key catalyst for new categories 3Q Revenue Breakdown 9M Revenue Breakdown +19% YoY, 4% +11.7% YoY, 4% +3.2% YoY, 6% +12.4% YoY, 6% +6.8% YoY, 5% +5.4% YoY, 5% +7.2% YoY, 35% +6.7% YoY, 36% +1
Slide 11: Innovation is the main driver of growth with newly launched SKUs
Innovation is the main driver of growth with 125 newly launched SKUs in the last 12 months, capturing new consumption trends and big unmet needs… (1) While Beverages and HPC are accelerating product launches Innovation Revenue (VNDbn) to capture new consumption & lifestyle trends… 1,518 HPC: Chanté
Slide 12: Premiumization continues to drive growth of segments with leading market shares
…and Premiumization continues to drive the growth of segments with leading market shares (1) (2) Premium as % Fish Sauces Premium as % Convenience Foods +23.8% 52.4% 47.0% +11.4% 15.8% 14.8% 3Q2023 3Q2024 3Q2023 3Q2024 Fish sauces >>> +4.4% Convenience Foods >>> +11.0% segment growth segment growth
Slide 13: Bottom line improved slightly as MCH optimized sales expenses
Bottom line improved slightly as MCH optimized sales expenses 3Q Margins 46.6% 46.8% 26.4% 27.3% 25.9% 23.9% 25.0% 25.0% Gross margin EBITDA margin EBIT margin NPAT-MI margin 3Q2023 3Q2024 9M Margins 45.4% 46.6% 25.7% 26.1% 24.4% 24.9% 23.0% 23.6% Gross margin EBITDA margin EBIT margin NPAT-MI margi
Slide 14: Channel development: Strategic shift from GT trade promotion to new channels
Channel development: Strategic shift from GT trade promotion to new channel development and marketing, sacrificing short-term revenue for long-term growth 2.1% In margin thanks to reduction in sales expenses 1.4% In margin to invest in new channels and marketing Rural: Expand coverage of small retai
Slide 15: Seasonings: Premiumization and expansion of scope drove growth
Seasonings: Premiumization and expansion of scope drove growth, partially offset by reduction in trade promotion and price action Revenue (VND bn) Gross Margin (%) 7,667 7,154 55.4% 53.8% 53.7% 2,670 2,849 52.6% 3Q Revenue 9M Revenue 3Q Gross Margin 9M Gross Margin 2023 2024 2023 2024 ▪ Seasonings’
Slide 16: Seasonings – Highlighted Campaigns: Nam Ngư premiumization
Seasonings – Highlighted Campaigns: Nam Ngư Tỏi Ớt Lý Sơn and Nam Ngư Cá Cơm Tươi Cao Cấp drove the premiumization of Fish Sauces Event sponsoring and record-breaking 1 achievements to build brands 2 TVC, Food Expo Booth, and POSM 15
Slide 17: Chin-su expands Vietnamese chili consumption and goes global
CHIN-SU EXPANDS VIETNAMESE CHILI CONSUMPTION AND “GO GLOBAL” LOVE BRAND CHIN-SU WITH CHIN-SU IN KOREA FOOD EVENT SOCIAL CAMPAIGN ICONIC “ỚT BÔNG” MYEONGDONG SEOUL TVC “ỚT BÔNG” in 3600 WIN STORE
Slide 18: Seasonings – Highlighted Campaigns: marinating and oyster sauces
Seasonings – Highlighted Campaigns: Scope expansion with marinating sauces and oyster sauces Online review, in-store visibility & SKU enrichment of Chin-su Dầu hào Sò Điệp: Expansion into double-digit 1 marinating sauces boosted 3Q2024 revenue 83% YoY 1 growth segment of Vietnamese sauce consumption
Slide 19: Convenience Foods: Double-digit growth and improved margins from premiumization
Convenience Foods: Double-digit growth and improved margins are mainly driven by premiumization Gross Margin (%) Revenue (VND bn) Omachi Instant Noodles Revenue (VND bn) 42.1% 6,919 41.6% 6,103 3,251 40.2% 2,766 37.9% 2,603 2,346 1,268 1,022 3Q Revenue 9M Revenue 3Q Revenue 9M Revenue 3Q Gross Margi
Slide 20: Omachi's "Trứng, Bò, Rau" relaunch campaign
Convenience Foods – Highlighted Campaigns: Omachi’s “Trứng, Bò, Rau” relaunch campaign leveraging multi-channels to strengthen brand equity TVC launch and Billboard: Omachi as a meal with egg, beef, Relaunch campaign sustained Omachi’s double-digit growth 1 and vegetables despite lower trade promoti
Slide 21: Omachi's self-cooking and self-heating products
Convenience Foods – Highlighted Campaigns: Omachi’s Self-cooking and self-heating products leveraged e-commerce, social commerce, and MT to become viral Innovative products created the halo effects for the umbrella 1 Omachi self-cooking rice was soft-launched on Lazada in July premium brand of Omach
Slide 22: Kokomi – launch of Kokomi Pro
Convenience Foods – Highlighted Campaigns: Kokomi – “Dai ngon vàng sáng” to launch Kokomi Pro to further penetrate mainstream segment 1. TVC for Kokomi Pro 2. Ward’s speakers 3. KOL review 4. Big C/Co.op island 5. POSM 6. GT Activation 21
Slide 23: Beverages: Innovation is the key driver of growth
Beverages: Innovation is the key driver of growth Revenue (VND bn) Gross Margin (%) 3,869 51.3% 50.6% 3,268 48.2% 47.6% 1,274 1,073 3Q Revenue 9M Revenue 3Q Gross Margin 9M Gross Margin 2023 2024 2023 2024 ▪ Revenue of Wake Up 247 increased by 12.8% YoY in 3Q, mainly driven ▪ Gross margin declined b
Slide 24: BupNon Tea365 targets health-conscious Gen Z consumers
Highlighted campaigns: BupNon Tea365 targets health-conscious Gen Z consumers Hibiscus tea supports a healthy digestive system ▪ Consumers between the age of 18 and 40 are particularly concerned about digestion after meals. ▪ As hibiscus-based tea, BupNon Tea365 targets health- conscious Gen Z consu
Slide 25: HPC: Chanté is the main driver of growth
HPC: Chanté is the main driver of growth for HPC, giving management the confidence in 4Q launch in GT Revenue (VND bn) Gross Margin (%) 1,315 1,274 38.3% 34.9% 36.1% 34.3% 468 417 3Q Revenue 9M Revenue 3Q Gross Margin 9M Gross Margin 2023 2024 2023 2024 ▪ Chanté achieved VND147 billion in revenue in
Slide 26: Chanté nationwide launch on Oct 1st through GT network
Highlighted campaigns: Chanté nationwide launch on Oct 1st through MCH’s GT network after the pilot launch in MT Online-to-offline presence to Case Study: Chante leverages WinCommerce as a pilot launch pad before going to other MT and eventually GT go nationwide Product roll-out timeline and quarter
Slide 27: Coffee: Margin is negatively impacted by higher materials prices
Coffee: Margin is negatively impacted by higher materials prices Revenue (VND bn) Gross Margin (%) 1,131 1,059 30.2% 29.7% 27.0% 26.8% 384 405 3Q Revenue 9M Revenue 3Q Gross Margin 9M Gross Margin 2023 2024 2023 2024 ▪ Coffee’s revenue increased by 5.4% YoY in 3Q2024 and 6.8% YoY in ▪ Gross margin d
Slide 28: Go Global – Bringing Vietnamese cuisine flavors to consumers worldwide
Go Global – Bringing the flavors of Vietnamese cuisine from 100 million to 8 billion consumers worldwide Global palates embracing VN cuisine MSC has entered key markets and has seen strong initial traction FY23 market size for key export markets Among top 3 global trends for 2023 by The National Re
Slide 29: ESG – strategic roadmap from 2025 to 2030
ESG – A forward-looking ESG strategic roadmap from 2025 to 2030 through 8 chosen focus under ESG pillars Driving Innovation for Caring for the Environment Winning Hearts and Minds Sustainable Growth and Communities of Our People & Customers Pillars UN Sustainable 3. Good health and well-being 6. Cle
Slide 30: Disclaimer
Disclaimer This Presentation has been prepared by Masan Consumer Corporation and/or its affiliated companies (collectively, “MCH”; together with any officer, director, employee, advisor or agent of MCH, collectively, the “Preparers”) for the purpose of setting out certain information in respect of M
Slide 31: Thank You!
Thank You ! 30