Grupo Bimbo Sab De Cv Class A · BMV:BIMBO/A
Grupo Bimbo Sab De Cv Class A — Q3 2020 Earnings Presentation
25 slides from Grupo Bimbo Sab De Cv Class A's earnings presentation, 2020
Slide 1: Investor Presentation Third Quarter 2020
Investor Presentation Third Quarter 2020
Slide 2: Grupo Bimbo Today
Control Group: 76% Grupo Bimbo Today Float: 24% Argentina US $8.7 Bn 33 Brazil Canada MARKET CAP 1 COUNTRIES Chile China 197 Colombia US $15.2 Bn PLANTS Costa Rica Ecuador NET SALES 2 El Salvador +53,000 France Guatemala ROUTES Honduras US $2.0 Bn India ADJ. EBITDA3 +2.8 M Italy Kazakhstan POINTS OF
Slide 3: Leading Brands Across our Markets
Leading Brands Across our Markets NORTH AMERICA MEXICO LATIN AMERICA EAA U.S. CANADA 3
Slide 4: Global Leader in the Baking Industry
Global Leader in the Baking Industry Top 3 market share Market share North America(1) EAA(3) within 7 categories in leader within 25.9K Associates 12.5K Associates most countries(4) 8 categories 49 plants 78 plants Canada USA Sliced bread Sliced bread Bagels Breakfast Snack cakes Premium bread Torti
Slide 5: Global Undisputed Baking Industry Leader
Global Undisputed Baking Industry Leader represents 4.2% of the US $473 Bn Global Baking Industry1 Over 1.2x second player, Mondelez & 3.5x third player, Campbells’ Soup1 Artisanal and Private labels representing 46% of industry sales1 Industry Fundamentals2 Industry Performance - Highly fragmented
Slide 6: Our Strong Presence and Diversification
Our Strong Presence and Diversification By Geography By Categories & Products By Channel Sales by Geographic Region 10+ Different Categories Retail North Supermarkets, convenience stores, America among others 53% Sliced Buns & English Salty Bagels Bread Rolls Snacks Muffin Traditional “Mom & pops” C
Slide 7: Our Top Brands
Our Top Brands +US $1 billion +US $500 million +US $250 +US $100 million million ____________ 7 Source: Internal information on estimated retail sales by brand considering the last twelve months as of September 30 th, 2020
Slide 8: Extensive Markets Knowledge Drives Global Expansion
Extensive Markets Knowledge Drives Global Expansion Success Drivers Scale and global diversification From Mexico From Mexico From U.S. to 19 countries to 16 countries to 6 countries Distribution efficiencies Strong brand equity From Mexico From Mexico From U.S. Innovation capabilities to 11 countrie
Slide 9: Our Recipe for Growth and Transformation
Our Recipe for Growth and Transformation Scale-up our Go-to- Market Strategy Serve our consumers with Great Products Streamline our Supply Expand our Brand Chain Costs Penetration Capture Large and SG&A Reduction Nourish a Better Actionable Growth World Opportunities 9
Slide 10: Successfully Navigating New Challenges
Successfully Navigating New Challenges COVID-19 INITIATIVES Update of personal protective equipment ASSOCIATES Flexibility to do remote work until 2021 Close communication with our main suppliers of raw materials SUPPLY CHAIN Prioritizing high volume, fast moving SKUs Reopened Hazelton Bakery, US Co
Slide 11: Continuously Adapting to New Consumption Trends
Continuously Adapting to New Consumption Trends Shift to “at-home” consumption Gained market share in our breakfast and buns & rolls categories in North America E-commerce as a new purchasing habit Recipes of our products available in different food delivery platforms Developing an e-commerce organi
Slide 12: Innovation: Our Key to Success
Innovation: Our Key to Success A brand of ancient Continued expansion of clean Snacks expansion ingredients label & compostable packaging Salmas chipotle and 5 grains Little Bites Cookies and Pumpkin Natural and simple ABO Clean Label Launch ingredients No preservatives and Organic artificial colora
Slide 13: Our Innovation Platform
Our Innovation Platform Investment in promising start ups o Streamline and digitize our Mexico & LATAM USA supply chain o Transforming our distribution models o Engaging in disruptive product innovation o Identifying and leveraging new technologies for business improvement Europe & ROW 13
Slide 14: Our Environmental & Sustainability Approach
Our Environmental & Sustainability Approach Environmental Strategy Sustainability 2025 Goals Renewable Energy 100% o 85% in Mexico, 100% in U.S RENEWABLE ELECTRIC POWER o In Chile, we have the largest solar roof in South America o Piedra Larga Windfarm, supplies 70% +4,000 Carbon Water of the electr
Slide 15: Work for a Better Tomorrow with Actions Today
Work for a Better Tomorrow with Actions Today 15
Slide 16: Leading Company in Corporate Responsibility & Governance
Leading Company in Corporate Responsibility & Governance COMMITTEES BOARD OF DIRECTORS Steering Committee Audit and Corporate 38% are independent Finance and Planning Name Role Daniel Servitje CEO Evaluation and Results Diego Gaxiola CFO Javier González Executive VP, GB For the fourth consecutive ye
Slide 17: 3Q20 Results
3Q20 Results Highlights • Posted record Net Sales of Ps. 85,800 million, a 14.6% increase, due to outstanding volume growth in North America and FX rate benefit • Adjusted EBITDA1 reached record levels for a third quarter, a 17.9% growth and a 40 basis point margin expansion • Net Majority Income in
Slide 18: Well Positioned to Succeed in the New Normal
Well Positioned to Succeed in the New Normal Cash flow Grow with moderate 1 generation and preservation “Cash is King” 2 leverage Net Debt / Adj. EBITDA Ratio: 2.2x Strategy Cumulative Gross Cash Flow was 2.7x higher when compared to the same period of the last year Improve 4 debt profile Maintain a
Slide 19: Sustained Growth in Sales and Profitability
Sustained Growth in Sales and Profitability Includes effect 1 of IFRS16 NET SALES Bn. Mexican pesos ADJ. EBITDA 43.2 CAGR: 8.4% 322.0 37.9 289.3 291.9 252.1 268.5 31.7 29.3 27.3 219.2 23.4 2015 2016 2017 2018 2019 LTM 3Q20 2015 2016 2017 2018 2019 3Q20 LTM 85.8 QUARTER GB 2015 10.7% 2016 11.6% 2017
Slide 20: Proven Ability to Grow with Prudent Leverage
Proven Ability to Grow with Prudent Leverage (1) Net Debt / Adj. EBITDA (3) 3.1 (4) 3.0 2.9 (2) 2.7 2.7 2.7 2.6 2.6 2.4 2.2 2.2 2.0 1.9 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 3Q20 US$ 2.4 Bn US$ 709 mm CAD$ 1.8 Bn US$ 650 mm ____________ (1) Adj. EBITDA w/o IFRS16: Earnings befo
Slide 21: Debt Profile
Debt Profile Total Debt: US $4,305 mm (1) Debt Split by Currency (2) 2% Avg. Tenor: 13.3 yrs. 6% Avg. Cost: 5.7% USD Fixed: 97%, Variable: 3% MXN 34% Ratings: BBB/Baa2/BBB 58% CAD S&P/Moody’s/Fitch US$1.9 Bn EUR in undrawn Committed Revolver Facility 1.9 Bn 798 800 650 596 429 500 343 118 2020 2021
Slide 22: Looking Forward
Looking Forward 2020 Guidance Top line growth Low double-digit Adj. EBITDA growth Mid-to-high teens Tax Rate Mid-to-high 30’s Capex US $550 – 600 mm 22
Slide 23: In the Face of New Challenges, We Are Stronger
In the Face of New Challenges, We Are Stronger Benefited from being a global and diversifed company in terms of channels, categories and geographies in a resilent industry Well-established portfolio of brands and responsiveness of our entire value chain Out frontline associates continued to perform
Slide 24: Thank you!
Thank you! 24
Slide 25: Disclaimer
Disclaimer The information contained here in 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 securit