Amcor Plc · NYSE:AMCR
Amcor — Investor Presentation (June 2016)
23 slides from Amcor's investor presentation, June 2016
Slide 1: Amcor Rigid Plastics Argentina
Amcor Rigid Plastics Argentina June 2016
Slide 2: Agenda
Agenda 1 Safety Briefing 2 Introduction to ARP Argentina 1 Where we are 2 What we do 3 Strategy 3 Looking forward 4 Pilar plant 5 Wrap up 2
Slide 3: Safety
Safety Evacuation route Alert Alarm Evacuation Alarm 3
Slide 4: Agenda
Agenda 1 Safety Briefing 2 Introduction to ARP Argentina 1 Where we are 2 What we do 3 Strategy 3 Looking forward 4 Pilar plant 5 Wrap up 4
Slide 5: Amcor in Argentina
Amcor in Argentina ATP, ARP & Flexibles ATP Latin America 11% 5 sites 4 plants 800 employees AFA Revenue Rigid Plastics 22% Mix 3 manufacturing plants Tobacco Packaging 3 1 1 Argentina ARP 1 manufacturing plant 67% Flexibles Americas 1 manufacturing plant 5
Slide 6: Key messages
Key messages Outstanding safety performance aligned with Amcor culture Robust growth and financial Local management team with Organized to pursue growth in a performance despite adverse in-depth understanding of country challenging environment market conditions dynamics Disciplined investment agenda
Slide 7: Successfully implemented world-class safety culture
Successfully implemented world-class safety culture LTIFR - ARG RCFR - ARG 6.56 10.0 5.88 6 10.0 7 5.67 5.88 5 5.08 6 8.0 8.0 4.02 4.2 5 4 6.0 6.0 3.14 3.12 4 1.57 3 4.0 3 4.0 3 3 3 2.01 2 1.58 1.67 1.61 0.13 2 2 2 2 2 2 2 2.0 1 1 1 2.0 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0.0 0 0.0 0 # LTI's LTIFR #
Slide 8: ARP has three plants in Argentina with 216 employees
ARP has three plants in Argentina with 216 employees Pilar Paraguay Started 1996 Brazil Employees: 130 Products Preforms Diversified Products Heatset Argentina In House – ABI INBEV Started 2011 Heatset Blowing Chile Ushuaia Started 2003 Employees: 86 Products Preforms 8
Slide 9: Argentina Leader Profiles
Argentina Leader Profiles M. Darmandrail P. Moyano G. Suarez J. Cazes N. Sylvester A. Cappelletti N. Denegri M. Suarez Business Dvp Operations Mgr Operations Mgr General Mgr Human Resources Mgr Finance Mgr Supply Chain Mgr Commercial Mgr Mgr (Pilar) (Ushuaia) Time in 13 9 6 16 8 1 3 0.6 Amcor Work E
Slide 10: ARP Argentina Sales Volume Trend
ARP Argentina Sales Volume Trend CAGR 14% Volume (Bil units) FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 eFY16 Comments: Very seasonal market. 80% of sales volume protected under long-term agreements Country’s GDP growth in the same period was 4% 10
Slide 11: ARP Argentina Sales by Segment and Customer
ARP Argentina Sales by Segment and Customer Custom Diversified Beverage Products Customer E Customer A Customer B Customer D Segment Mix Customer Mix Preforms Customer C Others Amcor Rigid Plastics Argentina volume is approximately 2.5 billion units annually 11
Slide 12: Argentina CSDW Demand and Competitive Landscape
Argentina CSDW Demand and Competitive Landscape Argentina Market for CSDW: 4,600 Million units per year B-Brands Selfman Amcor A-Brands Competitors Opportunities exist to grow the business through self manufacturing exits and acquisition 12
Slide 13: Agenda
Agenda 1 Safety Briefing 2 Introduction to ARP Argentina 1 Where we are 2 What we do 3 Strategy 3 Looking forward 4 Pilar plant 5 Wrap up 13
Slide 14: Forward Looking
Forward Looking New government positive / significant changes in macro-economics & politics New rules driving towards a friendly business environment No price controls Free market (E/R, imports / exports) Country default status over Good market expectations Customers are beginning to analyze new gro
Slide 15: Argentina Macro-economic Indicators
Argentina Macro-economic Indicators 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016e GDP 8.4% 3.9% -3.9% 9.4% 6.5% -0.4% 3.3% -1.8% 1.3% -1.1% Inflation (Dec - Dec) 23.9% 23.5% 15.3% 26.6% 21.9% 24.5% 27.2% 37.7% 29.2% 37.8% Unemployment 8.6% 8.2% 10.6% 9.1% 9.0% 10.2% 9.6% 10.5% 11.1% 12.2 Exchan
Slide 16: Business Environment
Business Environment KIRCHNER GOVERNMENT MACRI GOVERNMENT MACRI GOVERNMENT (CONTROLLED ECONOMY) (CONTROLLED TO FREE) (FREE ECONOMY) FY ´13 to FY´16 TRANSITION (FY ´17) FUTURE (FY ´18 on) High inflation , over devaluation High devaluation, over inflation Inflation / devaluation stabilized External De
Slide 17: Growth Opportunities through 2020
Growth Opportunities through 2020 PBIT in US$ million CAGR >10% Organic growth Self manufacturing exits CAGR Material conversions >10% FY11A FY15A FY20 17
Slide 18: Innovation
Innovation The pillar of Amcor’s value proposition Description Description Description Capture current glass volume and Migration of 1L pouch to PET bottle Develop 6.25 L / 4.5 L lightweight increase preform sales throughout the Option 1: fresh yogurt preform for competitive gain. country with a pre
Slide 19: Agenda
Agenda 1 Safety Briefing 2 Introduction to ARP Argentina 1 Where we are 2 What we do 3 Strategy 3 Looking forward 4 Pilar plant 5 Wrap up 19
Slide 20: Pilar Plant Tour
Pilar Plant Tour Layout and Processes 20
Slide 21: Staying safe on the shop floor
Staying safe on the shop floor Required safety behaviors for visitors Listen to your guide and pay attention to signs. Take Action, Take Care! Obey all instructions (verbal or written) is Amcor’s safety philosophy and a No jewelery cornerstone of staying Consult your guide in case Mobile phones are
Slide 22: Agenda
Agenda 1 Safety Briefing 2 Introduction to ARP Argentina 1 Where we are 2 What we do 3 Strategy 3 Looking forward 4 Pilar plant 5 Wrap up 22
Slide 23: Key messages
Key messages Outstanding safety performance aligned with Amcor culture Robust growth and financial Local management team with Organized to pursue growth in a performance despite adverse in-depth understanding of country challenging environment market conditions dynamics Disciplined investment agenda