Grupo Bimbo Sab De Cv Class A · BMV:BIMBO/A
Grupo Bimbo Sab De Cv Class A — Q1 2016 Earnings Presentation
26 slides from Grupo Bimbo Sab De Cv Class A's earnings presentation, April 2016
Slide 1: Investor Presentation First Quarter 2016
Investor Presentation First Quarter 2016
Slide 2: Control Group 77%, Float 23%, Market Cap US$14.2 bn
Control Group: 77% Market Cap: US$14.2 bn(1) Float: 23% LTM 1Q’16 Revenues(2) Countries Plants Routes Sales Centers POS Associates Brands Products US$13.6 Bn 22 162 ≈53,000 ≈1,600 ≈2.5 million ≈127,000 ≈100 ≈10,000 5 YR CAGR: 4.9% North America Mexico Latin America Europe Asia U.S. Canada __________
Slide 3: Key Capabilities
KEY CAPABILITIES DELICIOUS AND NUTRITIOUS BAKED GOODS AND SNACKS IN THE HANDS OF ALL. OUR ASSOCIATES’ ENGAGEMENT AND COMMITMENT TO OUR VISION ENDURING MEANINGFUL BRANDS UNIVERSAL PRESENCE WITH SUPERIOR EXECUTION WINNING INNOVATION IN PRODUCTS AND PROCESSES OUR CULTURE OF CONTINUOUS | "IMPROVEMENT
Slide 4: Where do we stand?
Where do we stand? • A Global Consumer Products Company and the leader in the baking industry space • Remarkable growth story with financial stability • Investments on manufacturing and logistics capabilities targeted to foster productivity • Unyielding discipline on a conservative financial policy
Slide 5: Successful growth story
Successful growth story Long term view and a strict reinvestment policy Innovation and execution continue to drive organic growth 2015 Acquisitions have been a key component to gain global reach 2014 Leadership position in both, mature and high growth markets 2011 Accelerated international
Slide 6: Our Vision
In2020.— we transform =" | the baking industry and. expand.our — global leadership to better serve more consumers.
Slide 7: Seasoned management team and sound governance
Seasoned management team and sound governance Management • Positioned the Company as market leader in the products and Daniel Servitje countries where present Chairman of the Board • Proven track record of stability and sustainable growth • Successfully completed and integrated 48 acquisitions over
Slide 8: We have a broad and growing portfolio of brands
We have a broad and growing portfolio of brands 4 Billion Dollar Brands 3 >$500 million dollar brands and more on the way… 8
Slide 9: Developing Products and Categories that Lead New Megatrends
We are Developing Products and Categories that Lead New Megatrends • Achieved leadership in core product categories in key markets • Top-of-mind awareness that upholds consumer loyalty • Introduction of umbrella brands adapted to local markets • Deep consumer understanding • Unique insight within th
Slide 10: A Well Balanced Business
A Well Balanced Business… Revenue and EBITDA Breakdown(1) North America • Sales: 53% • EBITDA: 43% China(2) Europe Mexico • Sales: 3% • Sales: 34% • EBITDA: -1% • EBITDA: 57% Latin America • Sales: 10% • EBITDA: 2% _______________ 1. March 31, LTM Revenues and EBITDA converted to US$ with the averag
Slide 11: Strong leadership position in each market
…with a strong leadership position in each market North America U.S. Canada • Leader nationwide • #1 in buns & rolls • #1 in premium brands • #1 in breakfast China(1) • #1 in English muffins • #2 in bread • Pioneer in developing • Strong regional brands packaged baked goods in Beijing and Tianjing M
Slide 12: Exceptional manufacturing capabilities
Exceptional manufacturing capabilities More than 60 million 162 Plants pieces are produced daily Focus in low-cost manufacturing and efficiency State-of-the-art facilities in all of our markets 12
Slide 13: World class distribution
World class distribution Extensive DSD distribution with one of the largest fleets in the Americas Commitment to local execution Efficient supply chain with sustainable value generation +2.5mm P.O.S. 13
Slide 14: Strong financial performance
Strong financial performance Revenue Growth(1) Adj. EBITDA Growth(1) US$ millions US$ millions 1,467 1,501 13,786 14,064 13,818 13,608 1,351 1,370 13,164 1,183 10,732 1,070 2011 2012 2013 2014 2015 LTM1Q'16 2011 2012 2013 2014 2015 LTM1Q'16 Stock Performance(2) GB 11.0% 8.1% 9.8% 9.8% 10.2% 11.0% YT
Slide 15: Cash flow stability across time allows long term planning
Cash flow stability across time allows long term planning Margins Evolution, % EBIT Margin Adj. EBITDA Margin Gross Margin 56.2 56.7 53.3 54.8 53.7 53.3 54.0 53.4 53.3 53.5 53.1 53.0 52.8 52.8 52.8 52.3 53.0 51.2 51.1 51.0 50.7 48.6 47.9 Integration/transformation efforts & IFRS 13.0 13.5 13.8 13.7
Slide 16: Responsible financial policies
Responsible financial policies • Commitment to a strong Balance Dividend History Sheet MXN millions • Ongoing financial flexibility through a Ordinary Dividends US$2 billion multi-currency revolving Extraordinary Dividends credit facility, maturing on March 1,646(2) 2019 • Reinvestment as the pillar
Slide 17: Conservative approach towards leverage
Conservative approach towards leverage Debt Amortization Profile(1) Track Record of Deleveraging US$ millions Total Debt/ Adj. EBITDA BBB Rating Total Debt: US$3,781 mm Avg. Tenor: 8.1 yrs. Avg. Cost: 4.4% 800 800 800 3.3x(2) 3.2x(3) 3.1x 3.0x 2.9x 2.8x 2.5x 500 2.3x 1.9x 2.3x 2.2x 287 287 1.5x 1.1x
Slide 18: Upcoming acquisition - Panrico
Upcoming acquisition - Panrico Rationale • Producer of sweet baked goods • Revenue growth of ≈70% in the region and buns & rolls in Spain and • Synergies of €(40 – 50) million(1) Portugal • High single digit pro-forma EBITDA • Strengthens Grupo Bimbo’s profile margin(1) in the region • Complements c
Slide 19: Annex: Financial Results by Region
Annex: Financial Results by Region
Slide 20: Grupo Bimbo
Grupo Bimbo Revenue Growth(1) MXN millions Higher sales in all regions Net Sales 1Q16 1Q15 % Change Solid organic growth in Mexico and Latin Grupo Bimbo 56,638 50,048 13.2 America FX effect Adj. EBITDA MXN millions Adj. EBITDA 1Q16 1Q15 % Change Lower raw material costs in most regions Grupo
Slide 21: Mexico
Mexico Revenue Growth(1) MXN millions Healthy performance across all channels Net Sales 1Q16 1Q15 % Change and almost all categories Mexico 19,944 18,824 5.9 Outperformance in buns ,cookies, bread, cakes, salty snacks and confectionary Solid consumption environment Adj. EBITDA MXN millions Adj
Slide 22: North America
North America Revenue Growth(1) MXN millions Net Sales 1Q16 1Q15 % Change Effect of a stronger US dollar North America 30,181 24,935 21.0 Growth in strategic brands Continued growth in the sweet baked goods, snacks, buns, flatbreads and frozen categories Pressure in premium bread and private l
Slide 23: Latin America
Latin America Revenue Growth(1) MXN millions Net Sales 1Q16 1Q15 % Change Notable performance in Brazil, Peru and Latin Centro Division Latin America 6,052 5,774 4.8 Healthy performance in the tortillas category New product launches Challenging economic conditions and Adj. EBITDA currency vola
Slide 24: Europe
Europe Revenue Growth(1) MXN millions Net Sales 1Q16 1Q15 % Change FX rate benefit Europe 2,023 1,785 13.3 Pressure in the bread category A more competitive environment Adj. EBITDA MXN millions Adj. EBITDA 1Q16 1Q15 % Change Europe -29 7 NA Lower raw material costs Integration related cost and o
Slide 25: Gracias
Queremos decir 70 veces GRACIAS,
Slide 26: www.grupobimbo.com/ri ir@grupobimbo.com
The information contained herein has been prepared by Grupo Bimbo, S.A.B. de C.V. (the “Company") solely for use at this presentation. This presentation does not purport to contain all of the information that may be required to evaluate any investment in the Company or any of its securities and shou