Slide 1: Cover letter to ASX for analyst briefing slides
Brambles Limited ABN 89 118 896 021 Level 40 Gateway 1 Macquarie Place Sydney NSW 2000 Australia GPO Box 4173 Sydney NSW 2001 Tel +61 2 9256 5222 Fax +61 2 9256 5299 www.brambles.com For personal use only 20 August 2008 The Manager - Listings Australian Stock Exchange Limited Exchange Centre 20 Brid
Slide 2: 2008 Final Results
For personal use only 2008 Final Results 20 August 2008 2008 Final Results Mike Ihlein Chief Executive Officer
Slide 3: Solid year with success on growth initiatives
Solid year with success on growth initiatives Solid growth in sales and comparable operating profit CHEP – growth in all regions For personal use only Recall - all regions doing well except North America Increasingly challenging economic environment Good progress on growth initiatives Ne
Slide 4: Americas – Solid result, significant wins
Americas – Solid result, significant wins Pallet Volume Sales Operating profit Profit margin 4% 10% 7% 29% (USA 2%) (8% constant) (5% constant) Unchanged For personal use only Solid growth in Americas +4% USA reported volume +2% - slowing economy, weaker second half • +4% pre loss of low margin
Slide 5: EMEA – Improved operating performance
EMEA – Improved operating performance Pallet Volume Sales Operating profit Profit margin 4% 13% 18% 24% (Europe 3%) (4% constant) (9% constant) (+1pp) For personal use only 4% pallet volume growth – across all platforms Pallets ↑, Auto ↑, RPC recovering Strong sales pipeline for customer wins
Slide 6: Recall – Good organic growth, work to do on costs
Good organic growth - work to do on costs Sales Operating profit Profit margin Carton Volume 15% 8% 17% 8% (7% constant) (-2% constant) (-1pp) For personal use only Good growth in all regions, mainly Document Management Solutions and new customer wins • Europe and Asia double-digit sales growth •
Slide 7: Investment for Growth – Americas and EMEA
Investment for Growth - Americas Beverages (USA) • Non-carbonated beverage producer and alcohol producer converted from ‘white wood’ to CHEP For personal use only • Value chain analysis for existing and potential customers • Discussions with other producers (alcohol and non-alcohol) Food service
Slide 8: Investment for growth – Asia-Pacific
Investment for growth – Asia-Pacific China and India – customer wins increasing China wins include: For personal use only • Pearl River Breweries • Nongfu Mineral Waters • ChangAn Ford Mazda Team of 100 in place in China and India to drive and support growth Long term growth prospects confirme
Slide 9: Supply Chain Solutions
Supply Chain Solutions LeanLogistics • Transport Management Services (TMS) offer in place For personal use only • Freight Optimisation Service under development RFID as a CHEP service • High interest in “Track & Trace” solution • CHEP uniquely place • CHEP expanding capabilities 15 2008 Final Re
Slide 10: 2008 Final Results – Financials
2008 Final Results For personal use only Liz Doherty Chief Financial Officer 2008 Final Results Actual Constant FY08 FY08 FY07 Growth AIFRS US$m US$m US$m % Continuing operations Sales revenue 4,358.6 4,089.7 3,868.8 6 Comparable operating profit 1,078.4 1,017.7 932.8 9 before quality and Walmart Co
Slide 11: Solid sales growth
Solid sales growth Actual Constant FY08 FY08 FY07 AIFRS Growth % US$m US$m US$m For personal use only CHEP Americas 1,581.3 1,547.5 1,438.2 8 CHEP EMEA 1,642.1 1,509.4 1,457.4 4 CHEP Asia-Pacific 386.9 339.8 322.8 5 CHEP 3,610.3 3,396.7 3,218.4 6 Recall 748.3 693.0 650.4 7 Continuing operations 4,35
Slide 12: Americas and EMEA operating profit bridges
Americas –Volume / mix improvement US$m 77 6 21 For personal use only 21 11 2 441 421 FY07 Volume, Transportation Plant costs Quality Walmart Other FY08 Comparable Price & Mix Comparable operating profit operating profit All numbers are calculated at constant currency 21 EMEA – Continuing improvemen
Slide 13: Asia Pacific – Investment for growth
Asia Pacific – Investment for growth US$m For personal use only 15 0 4 15 87 83 FY07 Comparable Volume, Price Transportation Plant costs Other FY08 Comparable operating profit & Mix operating profit All numbers are calculated at constant currency 23 Good sales growth in all regions Actual Constant F
Slide 14: Strong cash flow generation
Strong cash flow generation Actual FY08 FY07 Change AIFRS US$m US$m US$m Comparable operating profit 1,046.9 932.8 114.1 For personal use only Depreciation and amortisation 452.1 398.3 53.8 EBITDA 1,499.0 1,331.1 167.9 Capital expenditure (869.4) (648.5) (220.9) Proceeds from disposals 133.8 128.3 5
Slide 15: Capital expenditure to support growth
Capital expenditure to support growth 24% 24% US$m $869m $869m 25% For personal use only ROCI (%) 22% $649m $586m FY06 FY07 FY08 FY08 CHEP Americas CHEP EMEA CHEP Asia-Pacific Recall Pallets Con tainers Other P&E 27 Brambles Value Added FY08 FY07 Growth AIFRS, June 07 rates US$m US$m US$m CHEP Ameri
Slide 16: Effective tax rate and financial ratios
Effective tax rate Actual Actual FY08 FY07 AIFRS US$m US$m For personal use only PBT 897.4 872.9 Tax 270.9 287.2 Effective tax rate % of PBT 30.2% 32.9% Adjustment for non-recurring items 2.9% 1.2% Underlying effective tax rate 33.1% 34.1% 29 Financial ratios AIFRS, Actual rates June 08 June 07 Cove
Slide 17: Credit facilities and liquidity; Outlook
Credit facilities and liquidity Gross debt at 30 June 2008 - $2.5bn Total committed facilities - $4.1bn For personal use only • Includes $0.2bn 3 year facility signed since 30 June 2008 $3.0bn of bank facilities due for renewal in over 2 years (November 2010) • to be addressed as part of ongoi
Slide 18: Disclaimer statement
Disclaimer statement The release, publication or distribution of this presentation in certain jurisdictions may be restricted by law and therefore persons in such jurisdictions into which this presentation is released, published or distributed should inform themselves about and observe such restrict
Slide 19: Contact details
Contact details Michael Roberts Michael Sharp Vice President Investor Relations Vice President Corporate Affairs For personal use only michael.roberts@brambles.com michael.sharp@brambles.com +61 (2) 9256 5216 +61 (2) 9256 5255 +61 (0) 418 263 199 (mobile) +61 (0) 439 470 145 (mobile) 35 Appendix 1a
Slide 20: Glossary of terms & measures
Appendix 1b Glossary of terms & measures Except where noted, common terms and measures used in this document are based upon the following definitions: Actual rates Based upon conversion of local currency into US dollars using the average of the difference between buy and sell rates applicable at eac
Slide 21: CHEP USA - Plant operations and asset productivity trends
Appendix 2a CHEP USA - Plant operations & transportation trends Plant cost ratio Transportation cost ratio (Plant costs / Sales) (Transportation costs / Sales) For personal use only 35% 35% 30% 30% 25% 25% 20% 20% FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY02 FY03 FY04 FY05 FY06 FY07 FY08 39 Appendix 2b C
Slide 22: CHEP Europe - Plant operations and asset productivity trends
Appendix 2c CHEP Europe - Plant operations & transportation trends Plant cost ratio Transportation cost ratio (Plant costs / Sales) (Transportation costs / Sales) 35% For personal use only 28% 30% 24% 25% 20% 20% 16% FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY02 FY03 FY04 FY05 FY06 FY07 FY08 Major pallet
Slide 23: FY08 Currency mix; Credit facilities and debt profile
Appendix 2e FY08 Currency mix FY08 Currency mix at Actual FX rates For personal use only US$m, AIFRS Total USD EUR GBP AUD Other Continuing operations 4,358.6 1,417.0 1,160.3 494.6 510.8 775.9 sales revenue Continuing operations comparable operating 1,046.9 331.4 249.1 125.7 115.4 225.3 profit Net D