Purcari Wineries Public Co., Ltd. · BVB:WINE
Purcari Wineries Public — Q4 2024 Earnings Presentation
37 slides from Purcari Wineries Public's earnings presentation, Feb 27, 2025
Slide 1: Corporate presentation: 4th quarter 2024 financial results
Purcari Wineries Group (PWG) Public Company Limited BVB: WINE Corporate presentation: 4 quarter 2024 th Financial results February 27, 2025 Page 1 BVB: WINE
Slide 2: Disclaimer
Disclaimer THIS PRESENTATION IS MADE AVAILABLE ON THIS WEBSITE BY PURCARI WINERIES PUBLIC COMPANY LIMITED (the Company) AND IS FOR INFORMATION PURPOSES ONLY. This presentation and its contents do not, and are not intended to, constitute or form part of, and should not be construed as, constituting o
Slide 3: Today's presenters
Today’s presenters Victor Bostan Vasile Tofan Advisor to the CEO, Founder Chairman of the Board of Directors ▪ Founder of the Group, since 2002. ▪ Over 15 years' experience in FMCG ▪ Over 35 years of experience in the wine industry. ▪ Senior Partner at Horizon Capital, with focus on ▪ Built one of t
Slide 4: Our purpose
Stefan Format Our purpose Build a global wine-making champion dedicated to preserving and promoting globally the rich wine-making heritage and indigenous grape varieties of New Europe Wines. We aim to inspire our people to thrive and excel through hard work, determination, and collaboration. Page 4
Slide 5: Selected highlights for 2024
Selected highlights for 2024 ▪ New products and markets: Successfully launched new products in multiple markets (e.g., MENA, Commercial Americas), expanding our footprint. updates ▪ Events: Mircea Lucescu, head coach of Romania’s National Football Team, became Purcari ambassador. ▪ EBITDA reached RO
Slide 6: Agenda
Agenda Nocturne Rară Neagră A wine of a vibrant ruby-red hue, revealing scents of ripe plums, vanilla, strawberries, 1 currants, and cherries. The 2024 Non-financial updates flavor is deep and layered, with a touch of spice. Soft, velvety tannins enhance its smooth texture. 2 100% Rară Neagră Prelim
Slide 7: Key commercial updates (1/2)
1 Key commercial updates (1/2) Events Marketing campaigns Medals Moldovan Wine Festival Mircea Lucescu – Purcari ambassador Best winery in Moldova Attended the fourth edition of the Announced our collaboration with the Awarded by Moldova’s National Vine wine festival held in Bucharest head coach of
Slide 8: Key commercial updates (2/2)
1 Key commercial updates (2/2) New product launch New markets Achievements and partnerships Israel – Nocturne Nigeria US tasting activity Launch of the Nocturne collection for First orders and deliveries of 69 tastings, 8 states, 2 736 participants, HoReCa and online. Drevnii Monah and Nuit des with
Slide 9: Agenda
Agenda Angel’s Estate Stallion It’s intense fruity flavor is 1 complemented by sweet aromas of blueberry, 2024 Non-financial updates cherry, black truffle, and bitter chocolate with a touch of toasted cinnamon. The body is well-balanced, juicy, and full, offering a 2 complex and Preliminary 2024 fin
Slide 10: Strong performance across all markets
2 Strong performance across all markets Market Share of sales, 2024 ∆ ’24/’23 YoY Comments ▪ RO: Strong Q4, contributing 32% of 2024 sales. Purcari and RO 60% +15% Bardar led growth, up +17% and +29% YoY. Overall sales rose +15% YoY, driven by higher volumes and selective price increases. MD 17% +8%
Slide 11: Sustainable growth demonstrating brand resilience in a challenging environment
2 Sustainable growth demonstrating brand resilience in a challenging environment Brand Share of sales, 2024 ∆ ’24/’23 YoY Comments ▪ PURCARI: Surpassed 8 million bottles in yearly sales. Q4 contributed 33% of 2024 sales, with Moldova and Romania 58% +17% posting mid-double-digit YoY growth. All sub-
Slide 12: Strong performance driven by resilient operations, enhanced profitability
2 Strong performance driven by resilient operations, enhanced profitability Purcari Group Ecosmart WINE Business Comments RON m 2024 2023 ∆ 12M 2024 2023 2024 2023 ∆ 12M ▪ Revenues increased by 3% YoY in 2024, reflecting Ecosmart's discontinuation as of April 2024. The core wine business Revenue 382
Slide 13: Continuous operational improvement performance
2 Continuous operational improvement performance Gross profit quarterly evolution, RON m Comments 60% ▪ Significant improvement in operational activity. 80 51% Gross profitability exceeding 50% mark in two out 46% 51% 50% of four quarters in 2024. 70 45% 43% ▪ Group revenues grew YoY in all quarters
Slide 14: Resilient profitability when accounting for extraordinary / MIP costs
2 Resilient profitability when accounting for extraordinary / MIP costs Changes to operational expenses, RON m Comments Revenue ▪ Net Profit RON 57.4 million, -7% YoY 8.8 Cost ▪ Gross margin up 19%, reflecting operational efficiency. (19.2) One-off cost ▪ Other Income including subsidies, volumes re
Slide 15: Enabling growth with a strong balance sheet
2 Enabling growth with a strong balance sheet Cash Position Net Debt Comments RON m RON m Strong Cash position on prudent 50.8 186 Cash and cash management while navigating 32.1 128 Receivables 23.5 76 98 109 operational and investment priorities. 21.8 18.6 21.3 66 12.6 46 Net Debt reflecting higher
Slide 16: Agenda
Agenda Cervus Magnus Monte Chardonnay 1 This dry wine has a pale 2024 Non-financial updates golden color with bright greenish reflections. It delights with rich aromas of ripe yellow apples, white peaches, and subtle hints 2 of perfectly ripened Preliminary 2024 financial results grapes. The vibrant
Slide 17: Performance vs. 2024 guidance: delivering on margins; revenue slightly below target
3 Performance vs. 2024 guidance: delivering on margins; revenue slightly below target Target 2024 guidance 2024 actuals Status Comments ▪ Ecosmart line of business discontinued; declared insolvent as of January 28, 2025 (NB: Ecosmart Revenue growth +5-10% +3% < accounted for ~ 8% of Group revenues i
Slide 18: Guidance 2025
3 Guidance 2025 Target 2025 guidance Comments ▪ Expecting ongoing solid growth, with potential volatility from current geopolitical uncertainties. Revenue ▪ Planned portfolio expansion through innovation and premiumization, +12-17% growth enhancing premium offering ▪ Continuous focus on developing n
Slide 19: Agenda
Agenda Cuvée de Purcari Adamant Edition The refined and 1 intricate aroma reveals 2024 Non-financial updates a balance of citrus notes like lemon and grapefruit, alongside gentle floral scents such as white flowers 2 and lemon blossoms. Preliminary 2024 financial results Subtle notes of green apples
Slide 20: Our strategy in a nutshell: Reach RON 200+ mn EBITDA by 2027
4 Our strategy in a nutshell: Reach RON 200+ mn EBITDA by 2027 MID-TERM AMBITION: 2X by 200 CORE ELEMENTS Operate market-leading wineries across five New Profitable growth enabled by Europe Wines markets and achieve EBITDA RON 200+ mn; grow 2x on key operating metrics by the Wine-making excellence T
Slide 21: Agenda
Agenda Vinohora Fetească Neagră & Pinot Grigio 1 The rich taste reveals a lush, 2024 Non-financial updates fruit-forward profile, enhanced by subtle notes of vanilla. The ripe sweetness of peach, the tartness of cherry, and the 2 freshness of raspberry Preliminary 2024 Financial Results blend beauti
Slide 22: Purcari Wineries Group at a glance
5 Purcari Wineries Group at a glance Leading wine player in Central and Eastern Europe... ... with a strong & expanding regional footprint Founded in 1827, Purcari Wineries Group is now... Geographical breakdown of sales for 12M 2024, % MD In the Top 3 most awarded wineries in the World for 2023. Th
Slide 23: Strong track record of growth year to year
5 Strong track record of growth year to year Sustainable profitability accompanying strong growth Comments 2017 2018 2019 2020 2021 2022 2023 2024 ▪ IPO on Bucharest Stock Exchange in February 2018 Revenue 142.3 168.1 199.1 203.7 248.1 302.5 369.6 382.5 ▪ Increased sales 2.6x since pre-IPO CoS -74.5
Slide 24: Long history of growth, high profitability
5 Long history of growth, high profitability Revenues EBITDA Net Income RON m RON m RON m 382 107 107 69 369 101 64 59 57 303 281 281 51 248 75 63 79 262 65 40 46 38 199 204 60 41 54 169 29 142 42 33 2017 2018 2019 2020 2021 2022 2023 2024 2017 2018 2019 2020 2021 2022 2023 2024 2017 2018 2019 2020
Slide 25: Our business model: Affordable luxury
5 Our business model: Affordable luxury Modern cost-competitive winemaking Purcari is positioned at the intersections of three themes: ▪ Modern winemaking: the company is a brand, as opposed to appellation- centric and runs a cost-efficient business. ▪ Affordable luxury: as an aspirational brand, Pu
Slide 26: Topping competition at engagement and quality
5 Topping competition at engagement and quality Aspirational brand which consumers like sharing about Highest number of ratings and highest scores on Vivino No. of #brand uses on Instagram (k), by key Romanian brands X axis – number of Vivino ratings; Y axis – average Vivino score 18.2 4.2 4.1 4.0 3
Slide 27: Growth in Vivino usage – key for consumer engagement, ecommerce
5 Growth in Vivino usage – key for consumer engagement, ecommerce 4.1 Top 1% 76 Average score out of Global ranking based on # countries where 5.0 YoY avg. score received Purcari was scanned Page 27
Slide 28: Agenda
Agenda Rosé de Purcari This wine captures the 1 essence of a perfect spring day in an apricot 2024 Non-financial updates blossom orchard. Its soft pink shade is enhanced by a subtle bouquet of violets, rose petals, and watermelon. The vibrant 2 flavor is smooth and well- Preliminary 2024 Financial R
Slide 29: Purcari Wineries PCL (BVB:WINE)
6 Purcari Wineries PCL (BVB:WINE) Consensus forecasts Backed by Reputable shareholders Rating Target Price Date Wood & Company Buy 17.80 Oct-23 Raiffeisen Buy 18.00 Feb-24 BT Capital Outperform 12.262 Aug-23 Ipopema Buy 11.50 Aug-23 BRK Buy 18.80 Mar-24 Intercapital Buy 20.35 Jan-25 ▪ Included in :
Slide 30: Stock performance, WINE +59% since the end of 2022, ahead of BET
6 Stock performance, WINE +59% since the end of 2022 (as of Feb-17), ahead of BET WINE (Purcari Wineries) SFG (Sphera Franchise Group) DIGI (Digi Communications) M (Med Life) AQ (Aquila Part) BET (index) 250 200 “Consumer” peers = relevant companies outside of financials, 187 | SFG utility, and ener
Slide 31: Purcari shares liquidity
6 Purcari shares liquidity Rapid rise of stock’s liquidity after starting working with Market Makers Relative to Market Cap, our stock is top-ranked among BET for Purcari shares components Daily volume Ratio of daily trade value to Market Capitalization, 2021-2025 YTD average, bps BRK 1 Purcari Wine
Slide 32: EBITDA profitability relative to WINE listed peers
6 EBITDA profitability relative to WINE listed peers Purcari vs selected Wine public companies LTM EBITDA Margin, % 28.1% 26.7% 15.9% 15.3% 12.8% Average margin: 12.4% 9.3% 9.2% 6.1% 5.1% 5.1% 3.4% 1 Source: Capital IQ, Company Data as per Capital IQ as of Feb 17, 2025. Note: (1) Italian Wine Brands
Slide 33: Valuation relative to wine peers
6 Valuation relative to wine peers Purcari vs Selected wine public companies P/E LTM Multiples 117.9 58.4 Average P/E: 25.0x 21.0 15.7 15.0 12.5 12.0 11.8 10.3 10.1 8.3 7.8 1 Source: Capital IQ, Company Data as per Capital IQ as of Feb 17, 2025. Note: Diluted EPS excluding extra items used for P/E m
Slide 34: Valuation relative to Romanian listed peers
6 Valuation relative to Romanian listed peers Purcari vs selected Romanian public companies P/E LTM Multiples 143.4 Average P/E: 21.9x 18.2 14.5 13.1 11.3 10.1 Average P/E w/o Medlife: 9.8x 8.5 7.8 6.2 5.9 3.1 1 Source: Capital IQ, Company Data as per Capital IQ as of Feb 17, 2025. Note: Diluted EPS
Slide 35: High growth not reflected in valuation yet
6 High growth not reflected in valuation yet Purcari vs selected wine public companies Purcari vs selected Romanian public companies 35 35 30 30 1 25 25 Revenue CAGR’18-24 in USD Revenue CAGR’18-24 in USD 20 20 15 15 10 10 5 5 0 0 -5 -5 -10 -10 0 10 20 30 40 50 60 70 80 90 100 0 1 2 3 4 5 6 7 8 9 10
Slide 36: Learn more about Purcari Wineries Group
Learn more about Purcari Wineries Group On March 5 2024, Purcari Wineries PCL launched a new website: purcariwineries.com. The new website features a friendly, easy-to-navigate design that allows visitors to learn about the latest events and ongoing initiatives, explore our vast wine portfolio and d
Slide 37: Thank you for your attention
Thank you for your attention Page 37
Purcari Wineries Public Company — Q4 2024 Earnings Presentation on 6ix