Quinenco S.a. · BCS:QUINENCO
Quinenco — Investor Presentation (March 2025)
47 slides from Quinenco's investor presentation, March 2025
Slide 1: Investor Presentation March 2025
Investor Presentation March 2025
Slide 2: Disclaimer
DISCLAIMER This presentation includes information on Quiñenco S.A. and related companies. Said information is summarized and does not intend to be complete, nor should it be considered as advice for potential investors. No representation or warranty, express or implied, is made as to the accuracy, o
Slide 3: Quiñenco at a Glance
• QUIÑENCO AT A GLANCE • QUIÑENCO OVERVIEW • RECENT EVENTS • CONCLUSIONS 3
Slide 4: Quiñenco at a Glance
QUIÑENCO AT A GLANCE OWNERSHIP STRUCTURE 65% 83% 17% Minority Shareholders (Chilean Stock Exchanges) Mining Listed on London Stock Exchange Holding Industrial / Financial Services 141 75,800 US$ 113 bln Countries(1) Jobs(1) Assets under management (1) US$ 9.2 bln US$ 6.2 bln AA+/AA+ Net Asset Value
Slide 5: Diversified Portfolio of Six Main Operating Companies
QUIÑENCO: INTRODUCTION DIVERSIFIED PORTFOLIO OF SIX MAIN OPERATING COMPANIES % Control as of September 2024 Mkt.Cap1 Mkt.Cap1 Mkt.Cap1 Mkt.Cap1 Mkt.Cap1 Book Value4 51.3% 65.9% 19.2%2 30.0%3 62.6% 100% US$ 13.2 bln US$ 2.6 bln US$4.5bln US$27.0 bln US$1.1 bln US$1.1 bln • Leading full services bank
Slide 6: Quiñenco Overview
• QUIÑENCO AT A GLANCE • QUIÑENCO OVERVIEW • RECENT EVENTS • CONCLUSIONS 6
Slide 7: One of Chile's Largest Business Conglomerates with Strong Fundamentals
QUIÑENCO OVERVIEW ONE OF CHILE’S LARGEST BUSINESS CONGLOMERATES WITH STRONG FUNDAMENTALS Strong Commitment to Prestigious Controlling Sustainable Progress Shareholders Sound Financial Proven Track Record in Position Value Creation Diversified Chile risk with Dominant Market increasing International
Slide 8: First Class Board and Management
QUIÑENCO OVERVIEW FIRST CLASS BOARD AND MANAGEMENT BOARD OF DIRECTORS Pablo Granifo L. Jean-Paul Luksic F. Paola Luksic F. Andrónico Luksic L. Nicolás Luksic P. Hernán Büchi B. Juan Carlos Jobet E. Ignacio Guerrero G. Chairman Vice Chairman Director Director Director Director Director Independent Di
Slide 9: Value Creation System
QUIÑENCO OVERVIEW VALUE CREATION SYSTEM Quiñenco has developed a value creation system through the professional management of its investments, which has led to various transactions throughout its history, generating US$2.0 billion in profits over the last 26 years from divestments of US$4.9 billion
Slide 10: Strong Growth in NAV
QUIÑENCO OVERVIEW STRONG GROWTH IN NAV … and an average annual compound growth rate of 9% in the net value of Quiñenco’s assets over the past 20 years (1) 9,188 Quiñenco-NAV(2) (3) 7.873 7.788 7.781 (MUS$) 7.366 6.858 6.541 6.565 5.789 5.875 6.003 5.351 5.364 5.137 4.660 3.071 3.275 2.721 1.989 2.02
Slide 11: Favorable Performance of NAV, Share Price & Dividends
QUIÑENCO OVERVIEW FAVORABLE PERFORMANCE OF NAV, SHARE PRICE & DIVIDENDS Dividends Paid NAV(1)/Share Price Trend (MCh$) as of September 30, 2024 30% 50% 56% 30% 30% 1,063,492 1.060.597 6.000 NAV: US$9.2 bln $4.960 5.000 252.590 63.015 123.624 4.000 $3.129 2020 2021 2022 2023 2024 3.000 Percentage of
Slide 12: Investment Criteria
QUIÑENCO OVERVIEW INVESTMENT CRITERIA Brand & consumer Competitive franchise development advantages and potential sufficient critical mass Controlling stakes or Prior operating significant influence or industry experience Access to strategic Growth platform or partners / commercial add-on acquisitio
Slide 13: Leading Market Positions
QUIÑENCO OVERVIEW LEADING MARKET POSITIONS The company’s investment strategy allows it to maintain a leading position in all its business areas and product segments Beverage Leading beverage company in Chile Financial #2 Beer in Argentina #2 Loans in Chile #2 Deposits in Chile Energy Transport #2 Fu
Slide 14: Controlling or Influential Interest Along with World Class Strategic & Commercial Alliances
QUIÑENCO OVERVIEW CONTROLLING OR INFLUENTIAL INTEREST ALONG WITH WORLD CLASS STRATEGIC & COMMERCIAL ALLIANCES Quiñenco partners with world class players to develop its markets and products to take advantage of combined know - how, experience and financial capacity Beverage Financial Energy Transport
Slide 15: Diversified Investments
QUIÑENCO OVERVIEW DIVERSIFIED INVESTMENTS Becoming one of the most diversified holding companies in Chile . . . Investments by Sector(1) Net Asset Value(2) (NAV) (as of September 30, 2024) (as of September 30, 2024) (Percentages calculated over gross assets) Cash Port Services Other 15% Financial 6%
Slide 16: Growing and Diversified Revenues
QUIÑENCO OVERVIEW GROWING AND DIVERSIFIED REVENUES . . . achieving diversified and growing revenues . . . Consolidated Revenues(1) Aggregate Revenues by Sector(2) (MUS$) (YTD September 2024) Port Services Financial 9.198 Services 8.921 1% 8% 5.1% Beverage 7.023 7% 6.684 6.036 5.033 Manufacturing 23%
Slide 17: Sound Results
QUIÑENCO OVERVIEW SOUND RESULTS . . . and sound bottom line results Net Income(1) (MUS$) 3.938 808 2.109 938 808 437 234 275 437 235 251 245 2019 2020 2021 2022 2023 YTD Sep- YTD Sep- 23 24 153 150 131 25 2 28 25 Financial Energy Transport Total Port Services Other(2) 319 246 129 131 Sep-23 Sep-24 (
Slide 18: Quiñenco Holding Conservative Financial Structure
QUIÑENCO OVERVIEW QUIÑENCO HOLDING CONSERVATIVE FINANCIAL STRUCTURE Long term investments are financed with equity and long term debt in Chilean pesos . . . Assets Liabilities and Equity US$11.2 billion as of September 2024 US$11.2 billion as of September 2024 ST Debt Cash LT Debt 1% 16% 13% Other O
Slide 19: Low Financial Corporate Debt
QUIÑENCO OVERVIEW LOW FINANCIAL CORPORATE DEBT . . . maintaining low levels of debt through asset disposals and strong dividend flow . . . Net Debt (MUS$) 1.200 0,4 1.000 0,35 800 0,3 600 0,25 400 0,2 200 0,15 - 0,1 2020 2021 2022 2023 YTD Sep-24 (200) 0,05 (400) 0 Net Debt Debt/Capitalization(1) MU
Slide 20: Diversified and Healthy Dividend Cashflow
QUIÑENCO OVERVIEW DIVERSIFIED AND HEALTHY DIVIDEND CASHFLOW . . . to the parent company based on good operating company performance Dividends Composition of Dividends (MUS$) (2024) 1,146 NEXANS Other 1,077 2% 0% 956 LQIF/Banco de Chile SM SAAM 15% 18% IRSA/CCU 1% 483 120 2020 2021 2022 2023 2024 SM
Slide 21: Sustainability Policy
QUIÑENCO OVERVIEW SUSTAINABILITY POLICY Quiñenco has a strong commitment to sustainable progress as a central part of its business model, based on four strategic pillars. SUSTAINABLE HUMAN DEVELOPMENT EXCELLENCE PEOPLE COMMITMENT TO THE LEADERSHIP COUNTRY We work for progress, open to the world to c
Slide 22: Recent Events
• QUIÑENCO AT A GLANCE • QUIÑENCO OVERVIEW • RECENT EVENTS • CONCLUSIONS 22
Slide 23: Quiñenco Distributes Interim Dividend of US$200 Million
RECENT EVENTS QUIÑENCO DISTRIBUTES INTERIM DIVIDEND OF US$200 MILLION • On November 28, 2024, Quiñenco announced the Board’s approval of an interim dividend of Ch$120.28198 per share, payable as of December 20, 2024, to those shareholders registered with the company as of December 14, 2024. • The to
Slide 24: Quiñenco Sells 5% Stake in Nexans
RECENT EVENTS QUIÑENCO SELLS 5% STAKE IN NEXANS • On November 22, 2024, Quiñenco successfully completed the sale of 2,200,00 shares of Nexans, through an accelerated book-building offering, at a price of €102 per share. • Thus, total net proceeds amounted to US$234 million, and Quiñenco reduced its
Slide 25: Nexans Acquires La Triveneta Cavi and Sells AmerCable
RECENT EVENTS NEXANS ACQUIRES ITALIAN COMPANY LA TRIVENETA CAVI AND SELLS AMERCABLE • On January 2, 2025, Nexans completed the sale of AmerCable, a leading manufacturer of electrical power, control and instrumentation cables for harsh environments based in the USA, to global technology company Mattr
Slide 26: CCU Signs Agreement with Vierci Group in Paraguay
RECENT EVENTS CCU SIGNS AGREEMENT WITH VIERCI GROUP IN PARAGUAY • On October 15, 2024, CCU announced binding association agreements with the Vierci Group, which holds the PepsiCo license for the distribution of beverages and snacks in Paraguay. • Through the agreements, the Vierci Group will acquire
Slide 27: SM SAAM Launches Fully Electric Zero-Emission Tug Boats in Vancouver
RECENT EVENTS SM SAAM LAUNCHES FULLY ELECTRIC AND ZERO- EMISSION TUG BOTAS IN VANCOUVER, CANADA • On April 10, 2024, SAAM Towage Canada, together with strategic partners Teck Resources and Neptune terminals, launched the first two fully electric zero-emission tug boats at the port of Vancouver, whic
Slide 28: Enex Opens New Road Ranger Travel Centers in the USA
RECENT EVENTS ENEX OPENS NEW ROAD RANGER TRAVEL CENTERS EXPANDING ITS PRESENCE IN THE USA TO OVER 50 LOCATIONS • During 2024, Road Ranger, Enex’s network of highway travel centers in the USA, inaugurated four new stations, three in Texas and one in Illinois, thus increasing its network to a total of
Slide 29: Conclusions
• QUIÑENCO AT A GLANCE • QUIÑENCO OVERVIEW • RECENT EVENTS • CONCLUSIONS 29
Slide 30: Outlook
CONCLUSIONS OUTLOOK SOUND CASH POSITION • Strong cash levels • Conservative financing policy FACTORS THAT CONTRIBUTE TO QUIÑENCO’S ABILITY TO PURSUE AND UNDERTAKE NEW INVESTMENT HEALTHY FINANCIAL STRUCTURE OPPORTUNITIES • Sound financial indicators • Well structured Balance Sheet • AA+/AA+ local rat
Slide 31: Thank You for Your Attention
THANK YOU FOR YOUR ATTENTION 31
Slide 32: Appendix: Main Operating Companies
APPENDIX MAIN OPERATING COMPANIES
Slide 33: Banco de Chile: Ownership Structure
MAIN OPERATING COMPANIES • Established in 1893, Banco de Chile has a highly recognized name in Chile. • One of the most profitable banks in terms of return on assets and equity. • Assets of US$64 billion. • Over 12,200 employees. • Nationwide network of 257 branches and 1,891 ATMs. • Traded on the N
Slide 34: Banco de Chile Results
Contribution of Financial Services Net income in 3Q 2024 increased 10.8%, based on growth in operating to Quiñenco’s Net Income (MUS$) MAIN OPERATING COMPANIES revenues, driven by higher customer-income, partly offset by greater 251 expected credit losses. 235 YTD Sep-23 YTD Sep-24 Operating Revenue
Slide 35: CCU: Ownership Structure
MAIN OPERATING COMPANIES • Founded in 1850, CCU is a multi-category branded beverage company operating in Chile, Argentina, Bolivia, Colombia, Paraguay and Uruguay, with an extensive wine export business to more than 80 countries. • Assets of US$3.9 billion. • Over 10,200 employees. • 35 beverage fa
Slide 36: CCU Results
Contribution of IRSA in Other to CCU’s quarterly results improved, mainly due to better non-operating Quiñenco´s Net Income (MUS$) MAIN OPERATING COMPANIES results, compensating lower operating performance, negatively impacted 28 20 by a contraction of the beverage industry in Argentina that more th
Slide 37: Nexans: Main Operating Companies
MAIN OPERATING COMPANIES • Nexans is a worldwide leader in the cable industry with an industrial footprint in 41 countries and commercial activities worldwide, after over a century of progress. • Headquartered in Paris, France, Nexans produces cables and cabling systems, constantly innovating its pr
Slide 38: Nexans Results
Contribution of Nexans in Other to Nexans’ contribution increased by 55.1%, based on strong operating Quiñenco´s Net Income (MUS$) MAIN OPERATING COMPANIES performance, driven by the electrification segments. 24 37 YTD Sep-23 YTD Sep-24 Sales EBITDA by Business Segment (M€) (YTD June 2024) 5.4% Non-
Slide 39: Enex: Ownership Structure
MAIN OPERATING COMPANIES • Enex S.A. has a network of 449 service stations, with 212 convenience stores in Chile, 49 travel centers in the USA and supplies 77 service stations in Paraguay. • Main business activities: ➢ Distribution of fuels through its service stations. ➢ Distribution of fuels to in
Slide 40: Enex Results
Contribution of Energy to Enex’s contribution fell to a loss in the current quarter, mainly attributable Quiñenco’s Net Income (MUS$) MAIN OPERATING COMPANIES to unfavorable inventory revaluation effects and lower sales volumes in the 25 industrial segment, partly mitigated by better non-operating r
Slide 41: CSAV: Ownership Structure
MAIN OPERATING COMPANIES • CSAV, founded in 1872, is one of the oldest shipping companies in the world. • Its activities include overseas transport of containerized cargo through its investment in Hapag-Lloyd. • Total assets as of December 2023 were US$8.3 billion. • In November 2015 Hapag-Lloyd car
Slide 42: CSAV Results
Contribution of Transport to CSAV’s 3Q 2024 results mainly reflect its share of Hapag-Lloyd’s results, Quiñenco’s Net Income (MUS$) MAIN OPERATING COMPANIES boosted mainly by higher average freight rates, given an upturn in demand 153 and tensions in the Red Sea, and a lower tax expense at CSAV. 131
Slide 43: Hapag-Lloyd: Ownership Structure
MAIN OPERATING COMPANIES • Hapag-Lloyd is a leading global liner shipping company, with a fleet of 266 modern ships, 12 million TEU transported a year and a total capacity of around 2.0 million TEU. • Founded in 1847 and headquartered in Hamburg, Germany, Hapag-Lloyd offers a global network of 110 l
Slide 44: Hapag-Lloyd Results
Hapag-Lloyd´s 3Q 2024 strong results were boosted by higher freight rates, reflecting Contribution of Transport to the security situation in the Red Sea for shipping companies and an upturn in Quiñenco’s Net Income (MUS$) MAIN OPERATING COMPANIES demand. Operating expenses increased, however, mainly
Slide 45: SM SAAM: Ownership Structure
MAIN OPERATING COMPANIES • SM SAAM is a multinational company, based in Chile, which provides services to international trade through two business areas: tug boats and air logistics. • SM SAAM has a presence in 13 countries across America, operating a fleet of 208 tug boats, being the largest tug bo
Slide 46: SM SAAM Results
SM SAAM’s results in 3Q 2024 decreased significantly due to the non- Contribution of Port Services to Quiñenco’s Net Income (MUS$) MAIN OPERATING COMPANIES recurring gain reported in 3Q 2023 on the sale of its port operations. 245 However, continued operations posted improved results, based on good
Slide 47: Quiñenco
QUINENCO