Restaurant Brands Asia Limited · NSE:RBA
Restaurant Brands Asia — Q1 FY24 Earnings Presentation
27 slides from Restaurant Brands Asia's earnings presentation, Aug 7, 2023
Slide 1: Exchange filing cover letter
August 7, 2023 BSE Limited National Stock Exchange of India Limited Corporate Relations Department Listing Department Phiroze Jeejeeboy Towers Exchange Plaza, 5th Floor, Plot no. C/1, Dalal Street, Fort, G Block, Bandra Kurla Complex, Bandra (E) Mumbai- 400 001 Mumbai- 400 051 Scrip Code: 543248 SYM
Slide 2: Restaurant Brands Asia Limited Investor Presentation
Restaurant Brands Asia Limited Investor Presentation August 7, 2023
Slide 3: Disclaimer
Disclaimer Certain statements made in this presentation relating to the Company’s objectives, projections, outlook, expectations, estimates, among others may constitute ‘forward-looking statements’ within the meaning of applicable laws and regulations. Actual results may differ from such expectation
Slide 4: Consolidated Business Summary - Q1 FY24
Consolidated Business Summary - Q1 FY24 575 Restaurants ₹483 Mn 65% yoy ₹ 6,108 Mn 25% yoy 7.9% Company EBITDA* Consolidated Revenue ₹ 844 Mn 43% yoy 13.8% Restaurant EBITDA* *post IndAS 116 Restaurant Brands Asia Limited| 7th August 2023| Q1 FY24 3
Slide 5: Q1 FY24 – India Business Update
Q1 FY24 – India Business Update
Slide 6: India Business Summary- Q1 FY24
India Business Summary- Q1 FY24 Portfolio ADS (₹ ‘000) Revenue (₹ Million) Store Count SSSG% 66.0% 8.3% 3.6% 25% 391 396 4,221 120 120 3,649 328 108 3,369 11% 16% 86 275 286 Q1 FY23 Q4 FY23 Q1 FY24 Q1 FY23 Q4 FY23 Q1 FY24 Q1 FY23 Q4 FY23 Q1 FY24 Gross Profit % Store EBITDA % (Pre IND AS-116) Co. EBI
Slide 7: India Operating Performance
India Operating Performance Particulars (INR Million) Q1 FY24 % Q1 FY23 % Q4 FY23 % Revenue from operations 4,221 100.0% 3,369 100.0% 3,649 100.0% Cost of materials consumed 1,415 33.5% 1,133 33.6% 1,227 33.6% Gross Profit 2,806 66.5% 2,236 66.4% 2,422 66.4% Employee Related Expenses 425 10.1% 372 1
Slide 8: Q1 FY24 – Indonesia Business Update
Q1 FY24 – Indonesia Business Update
Slide 9: Indonesia Business Summary- Q1 FY24
Indonesia Business Summary- Q1 FY24 Burger King Popeyes ADS (IDR mn) ADS (IDR mn) Driven by SSSG 50.8 19.4 of 5.5 % 17.6 Stabilizing after Market 15.9 39.4 Launch 22% Q1 FY23 Q4 FY23 Q1 FY24 Q4 FY23 Q1 FY24 Store Count Store Count 176 10 10 175 5 stores under construction Rationalization of stores 1
Slide 10: Indonesia Operating Performance
Indonesia Operating Performance Particulars (INR Million) Q1 FY24 % Q1 FY23 % Q4 FY23 % Revenue from operations 1,887 100.0% 1,523 100.0% 1,490 100.0% Cost of materials consumed 781 41.4% 611 40.1% 615 40.4% Gross Profit 1,106 58.6% 912 59.9% 876 57.5% Employee Related Expenses 298 15.8% 218 14.3% 2
Slide 11: Consolidated Operating Performance
Consolidated Operating Performance Particulars (INR Million) Q1 FY24 % Q1 FY23 % Q4 FY23 % Revenue from operations 6,108 100.0% 4,892 100.0% 5,140 100.0% Cost of materials consumed 2,196 36.0% 1,744 35.7% 1,842 35.8% Gross Profit 3,912 64.0% 3,148 64.3% 3,297 64.2% Employee Related Expenses 722 11.8
Slide 12: Q1 FY24 India Marketing Update
Q1 FY24 India Marketing Update
Slide 13: Key Priorities for FY24
Key Priorities for FY24 Value Proposition to Innovation Digital First Brand Strength drive traffic • Meal strategy to drive • Best burger in the • King’s Journey • Engaging brand traffic category - Led by - Self ordering kiosks Whopper - Table ordering - Brand for me - 99 Meals Strategy - Cool Brand
Slide 14: Strengthen VFM with launch of Tasty Meals starting at Rs. 99
Strengthen VFM with launch of Tasty Meals starting at Rs. 99 Offer N Burger King Meals Price 1 Crispy Veg Meal 99 2 Makhani Veg Meal 109 3 Veg Taco Meal 119 4 Crispy Chicken Meal 149 5 Makhani Chicken Meal 159 6 Chicken Taco Meal 169 • Affordable meal combos with veg and chicken options • Why 99 Mea
Slide 15: Innovations led by Premium Wraps & Whopper LTO
Innovations led by Premium Wraps & Whopper LTO • Launched new Premium Wraps in Q1 FY24 • Launched limited time Twisted Whopper • Plugged portfolio gap of big loaded wraps • Taste innovation of sweet and spicy flavours • Paneer Royale Wrap with a fresh and soft paneer • Increases guest visit frequenc
Slide 16: Expanded BK Café footprint
Expanded BK Café footprint 275 286 252 180 86 35 18 Q3FY22 Q4FY22 Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q1FY24 Total Café • 286 BK Café in restaurant portfolio • +8K Incremental ADS in BK Café Restaurants • BK Café helps increase guest consumption frequency • BK Café helps burger + beverage pairing; higher up
Slide 17: Building Digital First Brand
Building Digital First Brand Omni Channel App Self Ordering Kiosk Table Ordering Restaurant Brands Asia Limited| 7th August 2023| Q1 FY24 16
Slide 18: Building Brand Love with Gen Z and Millennials
Building Brand Love with Gen Z and Millennials Cricket Indian International Moment UGCs & Country Festivals Occasions Marketing Giveaways Restaurant Brands Asia Limited| 7th August 2023| Q1 FY24 17
Slide 19: Shortlist: Innovative Use of Influencers
International & Domestic recognition Shortlist: Innovative Use of Influencers Restaurant Brands Asia Limited| 7th August 2023| Q1 FY24 18
Slide 20: Q1 FY24 Indonesia Marketing Update
Q1 FY24 Indonesia Marketing Update
Slide 21: Burger King Indonesia: Build back a Profitable Company
Burger King Indonesia: Build back a Profitable Company Strategic Growth Pillars Build Relevance Establish Dessert & Credibility of Leadership in Innovation to Chicken Menu Burgers Gain Share Back to Basics - strengthened foundation Value equity: continue strong value proposition across menu layers R
Slide 22: Build Relevance & Credibility of Chicken Menu
Build Relevance & Credibility of Chicken Menu Burger King’s New Chicken campaign - Tasty to the Last Bite! Consumer Social Media, Crew Engagement Product Reviews Engagement Delivery TikToks Partnerships 360° campaign: PR, TV, Digital, OOH, In-store POSM, Crew Engagement, KOLs Product Reviews BIC Cam
Slide 23: Establish Leadership in Burgers: Robust Menu Architecture
Establish Leadership in Burgers: Robust Menu Architecture Value offering across layers to drive transactions and build APC Branded Classics Core Core Premium Sides Value Layer Value+ Whopper Jr Whopper Burgers Meal: 29K Meal: 39K Meal: 49K Meal: 69K Meal: 79K Ala carte: 8-17K BIC Meal 36K Drive Traf
Slide 24: Dessert innovation to gain share: King Fusion
Dessert innovation to gain share: King Fusion Branded desserts: KitKat Fusion: 1st Branded Dessert LTO 3X AUVs, Incidence growth 10% WIP pipeline Building dessert layer: Indulgent desserts at entry prices to drive incidence via add-ons & incremental occasions Restaurant Brands Asia Limited| 7th Augu
Slide 25: Popeyes Marketing Priorities
Popeyes Marketing Priorities Blockbuster New Store Openings Build Iconic Status Digital-first experience Magnetic Brand Love Culinary Brand, Chicken Destination Digital Touchpoints Pipeline: Total 25 stores by Q424 Drive Trial: Month Special, Snacking Drive Kiosk Sales Kiosk contribution% in Q1: 37%
Slide 26: Outlook
Outlook Restaurant Count - India FY 24: 450 FY 27: 700 SSSG Growth- India FY 24: ~ 10% FY 25 onwards: ~8% Gross Profit- India FY 24: 67% FY 25-27: Improvement of ~2% Indonesia FY 24: Cash breakeven FY 27: ~325 restaurant 25
Slide 27: For additional Information
For additional Information: Mr. Prashant Desai, Head of Strategy and Investor Relations Email: prashant.desai@rbrandsasia.com
Restaurant Brands Asia — Q1 FY24 Earnings Presentation on 6ix