Axfood Ab · OMXSTO:AXFO
Axfood Ab — Investor Day (2023)
102 slides from Axfood Ab's investor day presentation, 2023
Slide 1: A strong position in a changing market
A strong position in a changing market Capital Markets Day 2023
Slide 2: Welcome!
Axfood Capital Markets Day 2023 2 Welcome! Alexander Bergendorf Head of Investor Relations Axfood
Slide 3: Presenters
Axfood Capital Markets Day 2023 3 Presenters Eva Pettersson Thomas Evertsson Anders Lexmon Klas Balkow Simone Margulies Nicholas Pettersson Åsa Domeij Managing Director, Managing Director, CFO, President and CEO, Managing Director, Managing Director, Head of Sustainability, Snabbgross Willys Axfood
Slide 4: Agenda
Axfood Capital Markets Day 2023 4 Agenda 9:00 a.m. Klas Balkow, President and CEO, Axfood Anders Lexmon, CFO, Axfood Åsa Domeij, Head of Sustainability, Axfood Nicholas Pettersson, Managing Director Dagab 10:30 a.m. Break 11:00 a.m. Thomas Evertsson, Managing Director Willys Simone Margulies, Managi
Slide 5: A strong position in a changing market
Axfood Capital Markets Day 2023 A strong position in a changing market 5 A strong position in a changing market Klas Balkow President and CEO Axfood
Slide 6: Axfood has a solid foundation
Axfood Capital Markets Day 2023 A strong position in a changing market 6 Axfood has a solid foundation Strong market positions Focus on operational A winning culture and and consistency in efficiency, digitalisation sustainability embedded outperformance and automation in the business model
Slide 7: …..a clear strategic framework
Axfood Capital Markets Day 2023 A strong position in a changing market 7 …..a clear strategic framework Purpose Better quality of life for everyone Vision A leader in affordable, good and sustainable food Business concept A family of different concepts in collaboration
Slide 8: …..and a proven track record of growth
Axfood Capital Markets Day 2023 A strong position in a changing market 8 …..and a proven track record of growth Axfood group net sales Axfood earnings per share* SEK bn SEK 100 15 90 80.1 80 73.5 11.36 11.63 70 CAGR +8% CAGR +9% 10.14 10 9.12 60 57.9 53.7 7.87 50.7 50 46.0 48.1 7.02 6.98 7.41 41.2 4
Slide 9: A volatile and uncertain environment in recent years
Axfood Capital Markets Day 2023 A strong position in a changing market 9 A volatile and uncertain environment in recent years Climate change Covid-19 Ukraine war High inflation – Drought in 2018 – High uncertainty, focus – Commodity and energy – Energy costs rapidly with many negative on health and
Slide 10: …..has led to challenging market dynamics
Axfood Capital Markets Day 2023 A strong position in a changing market 10 …..has led to challenging market dynamics Lower volumes and negative mix effects from consumer trading down Margin pressure from supplier price hikes and higher operational expenses Halved operating margin for the food retail
Slide 11: A stable market over the longer term, Axfood has gained market share
Axfood Capital Markets Day 2023 A strong position in a changing market 11 A stable market over the longer term, Axfood has gained market share Swedish food retail market value (ex. VAT) Axfood market share of the Swedish food retail market, % SEK bn 300 CAGR 4% 285 Average 269 Average increase +1.0p
Slide 12: Key trends in food retail
Axfood Capital Markets Day 2023 A strong position in a changing market 12 Key trends in food retail Price value and low prices have become increasingly Price value important for consumers, and the discount trend is strong. and discount Digitalisation and automation is accelerating to increase Digita
Slide 13: Increased interest among consumers for price value and discount
Axfood Capital Markets Day 2023 A strong position in a changing market 13 Increased interest among consumers for price value and discount
Slide 14: Discount is here to stay
Axfood Capital Markets Day 2023 A strong position in a changing market 14 Discount is here to stay Price value has overtaken location as Discount has been increasing its share However, the discount segment the most important factor for consumers of market (SoM) almost every year is still relatively
Slide 15: Investments in IT, digital acceleration and automation enables continued growth
Axfood Capital Markets Day 2023 A strong position in a changing market 15 Investments in IT, digital acceleration and automation enables continued growth
Slide 16: Axfood's digital transformation
Axfood Capital Markets Day 2023 A strong position in a changing market 16 Axfood’s digital transformation 2004 2009 2014 2018 2020 2022 2024-2025 New solution Introduction Implementation Automation in new Mobile self-scanning Bergendahls Food Rollout of for IT support of self-service concluded of ne
Slide 17: Significant progress in sustainability over the years
Axfood Capital Markets Day 2023 A strong position in a changing market 17 Scope 1 and 2 emissions Electricity consumption reduction from 2009* reduction from 2020 ~80% -7% Share of sustainability- Share of food waste, compared labelled products to 2015 level of 1.7% 27% 1.2% Share of women in Share
Slide 18: A family of different concepts in collaboration
Axfood Capital Markets Day 2023 A strong position in a changing market 18 A family of different concepts in collaboration Food retail Restaurants and cafés E-commerce Soft discount Traditional grocery Hypermarkets Foodservice Restaurants Food Pharmacy Axfood IT
Slide 19: Investments to drive value creation
Axfood Capital Markets Day 2023 Investments to drive value creation 19 Investments to drive value creation Anders Lexmon CFO Axfood
Slide 20: High pace of investments to drive growth and efficiencies
Axfood Capital Markets Day 2023 Investments to drive value creation 20 High pace of investments to drive growth and efficiencies In 2021, Axfood acquired the Bergendahls Food wholesale business Bergendahls Food, and a minority share in the and City Gross food retail chain City Gross. In order to str
Slide 21: Investments trending down from high levels
Axfood Capital Markets Day 2023 Investments to drive value creation 21 Investments trending down from high levels Group capital expenditures excl. IFRS 16 Average breakdown capex excl. acquisitions 2015-2022 SEK m Acquisition Wholesale automation All other 4,000 3,547 3,500 23% 3,000 2,593 2,500 Ret
Slide 22: Automation investments in line with plan
Axfood Capital Markets Day 2023 Investments to drive value creation 22 Automation investments in line with plan Capital expenditures related to logistics automation solutions* SEK m Remaining automation investments Acc. automation investments Incurred automation investments 3,000 2,500 2,000 1,500 1
Slide 23: Investments to result in cost savings and efficiencies
Axfood Capital Markets Day 2023 Investments to drive value creation 23 Investments to result in cost savings and efficiencies Logistics platform Bergendahls Food acquisition SEK 200-300 m SEK 300-400 m SEK 200 m Estimated efficiency improvements Estimated efficiency improvements Estimated synergies
Slide 24: Strong balance sheet supports strategy execution
Axfood Capital Markets Day 2023 Investments to drive value creation 24 Strong balance sheet supports strategy execution SEK m Net debt, SEK m Net debt/EBITDA multiple Net debt ex. IFRS 16, SEK m Net debt/EBITDA multiple ex. IFRS 16 12,000 10,247 10,000 8,982 8,000 7,640 1.7x 0.3x 6,000 5,131 4,577 4
Slide 25: Focus on capital efficiency and cash flow
Axfood Capital Markets Day 2023 Investments to drive value creation 25 Focus on capital efficiency and cash flow Cash flow from Net working capital (NWC) Return on capital employed (ROCE) operating activities, SEK m NWC, SEK m Capital employed, SEK m NWC % of Group sales ROCE, % Operating profit gro
Slide 26: Reiterating financial targets
Axfood Capital Markets Day 2023 Investments to drive value creation 26 Reiterating financial targets Grow more Long term operating Equity ratio of at least than the market margin of at least 4.5% 20% percent at year-end Growth in retail sales Operating margin Equity ratio Adjusted operating margin**
Slide 27: Financial key focus areas to create value
Axfood Capital Markets Day 2023 Investments to drive value creation 27 Financial key focus areas to create value Like-for-like Improving profitability Focus on cash flow, Strong financial sales growth through growth, cost capital efficiency position and and expansion savings and profitable and ROCE
Slide 28: Taking the lead in sustainability
Axfood Capital Markets Day 2023 Taking the lead in sustainability 28 Taking the lead in sustainability Åsa Domeij Head of Sustainability Axfood
Slide 29: Taking the lead in promoting sustainable food in Sweden
Axfood Capital Markets Day 2023 Taking the lead in sustainability 29 Taking the lead in promoting sustainable food in Sweden By 2030, Axfood is to be Sweden’s most inclusive food company and the strongest driving force for sustainable food. Axfood will have created a healthier country and will lead
Slide 30: An ongoing journey…..
Axfood Capital Markets Day 2023 Taking the lead in sustainability 30 An ongoing journey….. 2008 Axfood stops to sell red-listed fish and shellfish in all stores. 2011 2013 2015 A new system One of Sweden’s largest Axfood’s sustainability Launch of Garant Eko, a private implemented for rooftop solar
Slide 31: …..to drive sustainable development
Axfood Capital Markets Day 2023 Taking the lead in sustainability 31 …..to drive sustainable development 2016 2018 The report Food 2030, First truck with liquefied 2023 Axfood’s proposal for biogas in operations. 2019 2021 Sweden’s largest a sustainable food strategy Axfood sets ambitious targets to
Slide 32: A positive force in society
Axfood Capital Markets Day 2023 Taking the lead in sustainability 32 A positive force in society Axfood wants to be a force for positive change that takes the lead in promoting sustainable food in Sweden. Influencing decision-makers Industry collaboration – Continuous dialogue with – Participation i
Slide 33: "Food 2030" – together for a sustainable food industry
Axfood Capital Markets Day 2023 Taking the lead in sustainability 33 “Food 2030” – together for a sustainable food industry The food industry is facing great challenges, and ensuring sustainability across the entire value chain requires joint efforts. Axfood's "Food 2030" report contains 125 proposa
Slide 34: Axfood's sustainability model
Axfood Capital Markets Day 2023 Taking the lead in sustainability 34 Axfood’s sustainability model By seeing the whole picture and striving for improvements that contribute to containing Food Environment the environmental footprint Sustainable choices Smart use of resources from food within the Food
Slide 35: Food
Axfood Capital Markets Day 2023 Taking the lead in sustainability 35 Food Sustainable choices Food waste Good proteins By offering a varied assortment of sustainability- Food waste occurs throughout the entire By offering sustainably produced plant-based labelled products, consumers can choose food
Slide 36: Environment
Axfood Capital Markets Day 2023 Taking the lead in sustainability 36 Environment Smart use of resources Sustainable materials Green transports Sustainable farming Axfood is contributing to a reduced Being better at using the resources Axfood is engaged in a comprehensive Axfood’s environmental respo
Slide 37: People
Axfood Capital Markets Day 2023 Taking the lead in sustainability 37 People Sustainable suppliers Diversity enriches Healthy habits Food must be produced sustainably. A sound Axfood is a values-governed and inclusive company ll-health is a major issue. Axfood is to offer selection process benefits s
Slide 38: Key takeaways
Axfood Capital Markets Day 2023 Taking the lead in sustainability 38 Key takeaways Taking the lead in promoting Driving change through own Ambitious continued sustainability sustainable food in Sweden initiatives and industry issues agenda with clear targets
Slide 39: Transforming the supply chain
Axfood Capital Markets Day 2023 Transforming the supply chain 39 Transforming the supply chain Nicholas Pettersson Managing Director Dagab
Slide 40: Dagab in brief
Axfood Capital Markets Day 2023 Transforming the supply chain 40 Net sales, SEK m Dagab in brief 73,387 Operating profit, SEK m** 1,247 Sustainable product supply and more – Dagab handles the assortment, purchasing and logistics for all of Axfood as well as for external B2B customers – Handling of p
Slide 41: A significant transformation
Axfood Capital Markets Day 2023 Transforming the supply chain 41 A significant transformation Leveraging data, analytics and artificial intelligence Logistics Products and assortment –Store and e-com automation –Efficient and attractive assortment –Inventory and forecasting –Leading portfolio of pri
Slide 42: A data-driven full-scale supplier
Axfood Capital Markets Day 2023 Transforming the supply chain 42 A data-driven full-scale supplier 42
Slide 43: Customer centric analysis, business intelligence and robotisation
Axfood Capital Markets Day 2023 Transforming the supply chain 43 Customer centric analysis, business intelligence and robotisation 43
Slide 44: Business intelligence and advanced analytics
Axfood Capital Markets Day 2023 Transforming the supply chain 44 Business intelligence and advanced analytics Customer knowledge Product substitution Negotiation
Slide 45: Data driven processes in back-end operations
Axfood Capital Markets Day 2023 Transforming the supply chain 45 Data driven processes in back-end operations 45
Slide 46: Welcome to Bålsta logistics centre!
Axfood Capital Markets Day 2023 Transforming the supply chain 46 Welcome to Bålsta logistics centre! 104k Total size in square metres 80% 60% Degree of automation Share of Dagab’s volumes that will be handled in Bålsta 3mn The Bålsta logistics centre will deliver to all stores north of Linköping, as
Slide 47: Bålsta in numbers
Axfood Capital Markets Day 2023 Transforming the supply chain 47 Total # of SKUs # of pallet locations in to be handled high-bay warehouse 30k 100k Bålsta in numbers # of automated pallet cranes in high-bay warehouse # of packing machines for automated picking 24 29 Capacity # of daily pallet # of i
Slide 48: Bålsta automation
Axfood Capital Markets Day 2023 Transforming the supply chain 48 Bålsta automation Inbound goods Common storage in Semi-automatic Semi-automatic Fully automatic Ready packed pallets are loaded off the high-bay warehouse picking area (order picking area (dynamic picking and packing are stored in ship
Slide 49: Ramping up Bålsta in 2023-2024
Axfood Capital Markets Day 2023 Transforming the supply chain 49 Ramping up Bålsta in 2023-2024 February 2023 Mid-October 2023 Spring 2024 First outbound First outbound Automation for frozen deliveries deliveries of goods to be operational, of dry goods refrigerated goods gradual ramp up Spring 2023
Slide 50: Video virtual tour of the Bålsta facility
Axfood Capital Markets Day 2023 Transforming the supply chain 50 VIDEO VIRTUAL TOUR OF THE BÅLSTA FACILITY
Slide 51: Establishing a new logistics platform
Axfood Capital Markets Day 2023 Transforming the supply chain 51 Establishing a new logistics platform To create an even more sustainable, efficient Central and regional warehouses and competitive product supply, Axfood is taking significant steps in the coming years E-commerce warehouses in the dev
Slide 52: Progress with Landskrona and Backa sites
Axfood Capital Markets Day 2023 Transforming the supply chain 52 Progress with Landskrona and Backa sites Automation installed in Landskrona fruit and vegetable Continued planning of automated aisles warehouse, testing of IT solutions and control systems in Backa, Gothenburg high-bay warehouse Bild
Slide 53: A diversified and green delivery fleet
Axfood Capital Markets Day 2023 Transforming the supply chain 53 A diversified and green delivery fleet Dagab has a modern and diversified vehicle fleet, that is being gradually changed over to being entirely fossil-free. Approximately two Breakdown of heavy-duty thirds of its trucks are built to be
Slide 54: Electrifying heavy transports
Axfood Capital Markets Day 2023 Transforming the supply chain 54 Electrifying heavy transports Dagab has three fully-electric heavy-duty trucks in its vehicle fleet, including a 64-tonne electric truck and trailer, the first of its kind in operations in Sweden for refrigerated deliveries.
Slide 55: Bergendahls Food integration recap
Axfood Capital Markets Day 2023 Transforming the supply chain 55 Bergendahls Food integration recap In late 2022, the integration of the acquired Bergendahls Food was completed, including the system conversion of City Gross. – Conversion of IT systems, processes and work approaches at the Bergendahl
Slide 56: An attractive portfolio of private label products
Axfood Capital Markets Day 2023 Transforming the supply chain 56 An attractive portfolio of private label products The Garant and Eldorado brands Share of sales from private labels Strengthening the brands are the most strongly positioned has increased over the years, which through creative marketin
Slide 57: Key takeaways
Axfood Capital Markets Day 2023 Transforming the supply chain 57 Key takeaways Strong full-scale supplier handling Leveraging data and analytics Structural changes to increase assortment, purchasing and logistics to value and optimise operations efficiency and competitiveness
Slide 58: Break
Axfood Capital Markets Day 2023 58 Break
Slide 59: Agenda
Axfood Capital Markets Day 2023 59 Agenda 9:00 a.m. Klas Balkow, President and CEO, Axfood Anders Lexmon, CFO, Axfood Åsa Domeij, Head of Sustainability, Axfood Nicholas Pettersson, Managing Director Dagab 10:30 a.m. Break 11:00 a.m. Thomas Evertsson, Managing Director Willys Simone Margulies, Manag
Slide 60: Willys
Axfood Capital Markets Day 2023 Willys 60 Willys Thomas Evertsson Managing Director
Slide 61: Willys in brief
Axfood Capital Markets Day 2023 Willys 61 Net sales (SEK m) Willys in brief 42,813 Operating profit (SEK m) 2,033 Sweden’s leading discount grocery chain – Willys is Sweden’s leading discount grocery chain, offering a broad range of products in both Group-owned stores and online. With Sweden’s cheap
Slide 62: Willys' soft discount concept in essence
Axfood Capital Markets Day 2023 Willys 62 Willys’ soft discount concept in essence Willys is a unique concept that offers much more than just low prices. Modern and attractive stores Wide and varied assortment Low prices – Attractive locations – Well known brands – Sweden’s cheapest bag of groceries
Slide 63: A history of market share gains…..
Axfood Capital Markets Day 2023 Willys 63 A history of market share gains….. Retail sales development, total including e-commerce % Willys (ex. Eurocash) Food retail trade index 25 20 15 10 5 0 2018 2019 2020 2021 2022 2023* Source: Axfood/HUI Research * On a rolling twelve-month basis to 30 Septemb
Slide 64: …..increased customer satisfaction
Axfood Capital Markets Day 2023 Willys 64 …..increased customer satisfaction Customer willingness to recommend (net promoter score, NPS) Customer satisfaction index (NKI) Willys Competitor 2 Competitor 4 Willys Competitor 2 Competitor 4 Competitor 1 Competitor 3 Competitor 1 Competitor 3 30 80 25 Cl
Slide 65: …..higher preference among consumers
Axfood Capital Markets Day 2023 Willys 65 …..higher preference among consumers Consumer openness to Willys % 2020 2021 2022 Jan-Oct 2023 70 61 60 56 53 51 25 22 21 20 16 16 17 18 18 Willys market share of Swedish food retail in 2023*, 14% 10 0 Consideration Preference Willingness to recommend “I am
Slide 66: …..and strengthened brand equity
Axfood Capital Markets Day 2023 Willys 66 …..and strengthened brand equity Sweden’s strongest retail brands* Willys’ yearly ranking in Sustainable Brand Index Sweden** Brand index score 2021 Brand index score 2022 50 45 40 21 Willys 26 35 30 40 25 20 15 10 81 5 0 ICA IKEA System- Apoteket Coop Neton
Slide 67: Acceleration of inflow of new customers
Axfood Capital Markets Day 2023 Willys 67 Acceleration of inflow of new customers New members in Willys Plus by month, rolling 12-month basis Total members in Willys Plus at year-end Thousand Million 45 4 CAGR 8% Average YTD 2023* 3.5 40 CAGR 5% 3.3 Average 3.0 35 2022 2.9 3 2.7 30 Average 25 2021 2
Slide 68: The new Willys customers
Axfood Capital Markets Day 2023 Willys 68 The new Willys customers New Willys Plus members in 2022 and The median income The monthly food spend The share of wallet for 2023 have a higher median income is on average 9% higher is on average 3% higher the new Willys Plus members among the new Willys Pl
Slide 69: Developing the store presence
Axfood Capital Markets Day 2023 Willys 69 Developing the store presence Willys has a competitive store network and constantly develops its footprint. Key areas New store establishments in attractive locations, re-establishments of existing stores High pace in store refurbishments, 20-25 per year Con
Slide 70: Highly competitive e-commerce offering
Axfood Capital Markets Day 2023 Willys 70 Highly competitive e-commerce offering Willys has a strong e-commerce offering with a distinctive and clear market position. Key attributes Same low prices online as in physical stores, transparent fee model Flexible delivery options, focus on Click and Coll
Slide 71: A strong e-commerce offering driving share gains
Axfood Capital Markets Day 2023 Willys 71 A strong e-commerce offering driving share gains E-com market shares in 2022 Willys’ e-com market share, % 25% 24% Other 18% 20% ICA 18% 38% Mathem 21% 13% Willys 23% Q3’19 Q4’19 Q1’20 Q2’20 Q3’20 Q4’20 Q1’21 Q2’21 Q3’21 Q4’21 Q1’22 Q2’22 Q3’22 Q4’22 Q1’23 Q
Slide 72: Increasing awareness and improving brand equity
Axfood Capital Markets Day 2023 Willys 72 Increasing awareness and improving brand equity Consistent and clear messaging Successful marketing campaigns Activation through collabs with brand ambassadors
Slide 73: Strong performance for Eurocash after the pandemic
Axfood Capital Markets Day 2023 Willys 73 Strong performance for Eurocash after the pandemic – The cross-border grocery chain Eurocash suffered during the pandemic, but has since then recovered and like-for-like sales are now higher than before the pandemic. – The price gap between Sweden and Norway
Slide 74: Key takeaways
Axfood Capital Markets Day 2023 Willys 74 Key takeaways Strong market position and A history of growth Stronger brand and satisfied the leading player in discount and market share gains customers key to continued success
Slide 75: Hemköp and Tempo
Axfood Capital Markets Day 2023 Hemköp and Tempo 75 Hemköp and Tempo Simone Margulies Managing Director
Slide 76: Hemköp and Tempo in brief
Axfood Capital Markets Day 2023 Hemköp and Tempo 76 Net sales (SEK m) Retail sales (SEK m) Hemköp and Tempo in brief 7,248 19,557 Operating profit (SEK m) 298 Passion for food and inspiration – Hemköp offers a broad, attractively priced assortment with a rich offering of fresh products. Group-owned
Slide 77: Hemköp and Tempo
Axfood Capital Markets Day 2023 Hemköp and Tempo 77 Hemköp and Tempo
Slide 78: Growing Tempo
Axfood Capital Markets Day 2023 Hemköp and Tempo 78 Growing Tempo At Tempo, store customers are greeted by a familiar environment offering good food and personal service. Key development areas New store concept in 2022 Launch of hybrid concept in 2023 with unstaffed opening hours Concept development
Slide 79: Hemköp is outperforming peers
Axfood Capital Markets Day 2023 Hemköp and Tempo 79 Hemköp is outperforming peers Retail sales development, total including e-commerce % Hemköp (ex. Tempo) Food retail trade index Main competitor 10 9 8 7 6 5 4 3 2 1 0 2018 2019 2020 2021 2022 2023* Source: Axfood/HUI Research * On a rolling twelve-
Slide 80: Developing the store presence
Axfood Capital Markets Day 2023 Hemköp and Tempo 80 Developing the store presence Hemköp maintains a high pace in modernising, developing and expanding its store base. Key development areas A total of 201 Hemköp stores in attractive locations, ambition to expand store network with both group-owned a
Slide 81: Focus on the assortment
Axfood Capital Markets Day 2023 Hemköp and Tempo 81 Focus on the assortment A clear focus on widening the assortment and developing the fresh food offering strengthens the market position of Hemköp and creates loyalty. Meal solutions and buffets with Focus on strengthening fruit Enhancing value prop
Slide 82: Leading in sustainability
Axfood Capital Markets Day 2023 Hemköp and Tempo 82 Leading in sustainability Hemköp has a clear and ambitious sustainability profile that distinguishes the concept from its competition. Sustainable assortment Driving sustainable consumption – Sustainability-labelled products – Guiding communication
Slide 83: …..by driving sustainable consumption
Axfood Capital Markets Day 2023 Hemköp and Tempo 83 …..by driving sustainable consumption Hemköp drives sustainable consumption through industry-leading share of sales from organic products and the lowest climate impact per kilo food sold.* Organic products, Kg CO2e per kg sold food share of sales,
Slide 84: Personalising the digital customer meeting
Axfood Capital Markets Day 2023 Hemköp and Tempo 84 Personalising the digital customer meeting – Strengthening loyalty with customer programme Klubb Hemköp, now almost 2 million members – Increasing personalisation and relevance, with customised offers and recipe recommendations – Launch of new app
Slide 85: Strengthening the e-com offering
Axfood Capital Markets Day 2023 Hemköp and Tempo 85 Strengthening the e-com offering Hemköp has expanded its e-commerce offering significantly in recent years, from 19 stores offering e-commerce (store pick-up and home delivery) at year-end 2019 to 68 stores Focus areas going forward Focus to optimi
Slide 86: Key takeaways
Axfood Capital Markets Day 2023 Hemköp and Tempo 86 Key takeaways Strong market position and Developing presence across Focus on developing the assortment outperforming main peers channels and modernising stores and enhancing price value position
Slide 87: Snabbgross
Axfood Capital Markets Day 2023 Snabbgross 87 Snabbgross Eva Pettersson Managing Director
Slide 88: Snabbgross in brief
Axfood Capital Markets Day 2023 Snabbgross 88 Net sales, SEK m Snabbgross in brief 5,242 Operating profit, SEK m 259 Restaurant wholesaler with unique and strong position – Snabbgross is one of Sweden’s leading restaurant wholesalers with a customer base of restaurants, fast food operators and cafés
Slide 89: An unpredictable operating environment in recent years
Axfood Capital Markets Day 2023 Snabbgross 89 An unpredictable operating environment in recent years Value growth in the Swedish foodservice market (B2B)* Value and volume growth in the Swedish restaurant market (B2C)** % % Value Volume 40 40 34 30 28 30 28 20 20 18 19 17 16 11 9 10 10 8 7 4 5 4 0 0
Slide 90: Track record of growth and increased market share in good times and bad
Axfood Capital Markets Day 2023 Snabbgross 90 Track record of growth and increased market share in good times and bad Snabbgross net sales Snabbgross share of the Swedish foodservice market*** SEK m % 20 5,500 5,242 +3.2pp. 5,000 CAGR +10% 4,727 15.5% 4,500 15 3,825 13.2% 4,000 12.3% 3,443 3,417 3,5
Slide 91: The only true cash-and-carry foodservice wholesaler in Sweden
Axfood Capital Markets Day 2023 Snabbgross 91 The only true cash-and-carry foodservice wholesaler in Sweden Luleå Number of Snabbgross stores* Umeå 29 30 26 27 24 24 24 Sundsvall Snabbgross (B2B) 30 Snabbgross Club (B2B and B2C) Gävle Borlänge Uppsala Västerås Number of stores across Karlstad Stockh
Slide 92: A diverse and wide customer base
Axfood Capital Markets Day 2023 Snabbgross 92 A diverse and wide customer base Snabbgross has a diverse and wide customer base. Roughly 70 percent of sales is derived from prioritised customers which includes restaurants, fast food operators and cafés. Number of B2B Share of sales from B2B customers
Slide 93: Focus on prioritised customer groups to drive growth
Axfood Capital Markets Day 2023 Snabbgross 93 Focus on prioritised customer groups to drive growth Prioritised customers are those that Snabbgross can serve as a full range wholesalers, including pizzerias and other fast food operators, lunch restaurants and cafés. Key focus areas to serve prioritis
Slide 94: Targeting consumers with Snabbgross Club
Axfood Capital Markets Day 2023 Snabbgross 94 Targeting consumers with Snabbgross Club – Membership-based concept targeting consumers, launched in late 2020 – Unique and attractively priced assortment and relevant campaigns, large and bulk packaging – Modern customer programme with personalised offe
Slide 95: Strong interest and membership growth in Snabbgross Club
Axfood Capital Markets Day 2023 Snabbgross 95 Strong interest and membership growth in Snabbgross Club The consumer interest in Snabbgross Club has Total number of registered members been strong since the launch in late 2020, and the (consumers) in Snabbgross Club number of registered members has ri
Slide 96: Strengthening the offering with private label brand Gastrino
Axfood Capital Markets Day 2023 Snabbgross 96 Strengthening the offering with private label brand Gastrino Snabbgross’ private label brand, Gastrino, has since its launch in late 2020 strengthened the assortment and contributed to profitable growth. Snabbgross private label share of sales % 15 +3.5p
Slide 97: Key takeaways
Axfood Capital Markets Day 2023 Snabbgross 97 Key takeaways Strong and unique position with solid Relevant and affordable assortment with Significant growth opportunity track record of growth and resilience increasing private label share, adapting with new store establishments and in good times and
Slide 98: Agenda
Axfood Capital Markets Day 2023 98 Agenda 9:00 a.m. Klas Balkow, President and CEO, Axfood Anders Lexmon, CFO, Axfood Åsa Domeij, Head of Sustainability, Axfood Nicholas Pettersson, Managing Director Dagab 10:30 a.m. Break 11:00 a.m. Thomas Evertsson, Managing Director Willys Simone Margulies, Manag
Slide 99: Closing remarks
Axfood Capital Markets Day 2023 A strong position in a changing market 99 Closing remarks Klas Balkow President and CEO Axfood
Slide 100: CMD summary
Axfood Capital Markets Day 2023 A strong position in a changing market 100 CMD summary A strong position in a changing market –Strong market positions and consistency in outperformance –Focus on operational efficiency, digitalisation and automation –A winning culture and sustainability embedded in b
Slide 101: Forward-looking statements
Axfood Capital Markets Day 2023 101 Forward-looking statements Certain information contained in this presentation, including any information on the Group’s plans or future financial or operating performance and other statements that express the Group’s management’s expectations or estimates of futur
Slide 102: A strong position in a changing market
A strong position in a changing market Capital Markets Day 2023