Ardagh Metal Packaging S.A. · NYSE:AMBP
Ardagh Metal Packaging — Q1 2024 Earnings Presentation
29 slides from Ardagh Metal Packaging's earnings presentation, Apr 25, 2024
Slide 1: Ardagh Metal Packaging S.A. First Quarter 2024 Update
Ardagh Metal Packaging S.A. First Quarter 2024 Update Oliver Graham CEO David Bourne CFO 25th April 2024 1
Slide 2: Disclaimer
Disclaimer Forward-Looking Statements This presentation contains "forward-looking statements" within the meaning of Section 27A of the U.S. Securities Act of 1933, as amended and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. Forward-looking statements are not historical facts
Slide 3: Introduction
Introduction nm
Slide 4: Ardagh Metal Packaging at a glance
Ardagh Metal Packaging at a glance Revenue by destination Specialty mix as % of total shipments • Ardagh Metal Packaging (AMP) Q1 2024 (NYSE: AMBP) is a leading global 63% metal beverage can manufacturer 42% ~$4.8bn North America Q1-2024 48% Rest of World • Geographically diversified - #2 player LTM
Slide 5: Key messages
Key messages Encouraging start to the year across all markets Can Global shipment growth of 7% in Q1 ❑ Americas shipments growth of 11% - a third consecutive quarter of double-digit growth ❑ Above-market growth in NA shipments - demonstrating contracted new volume and attractive portfolio mix ❑ Braz
Slide 6: Volume snapshot
Volume snapshot Shipment growth of 7% in Q1 Market AMP performance Recent market trends +3% growth in Q1 • Rebound post customer destocking Europe • Broad-based market recovery +11% growth in Q1 North America: Americas • Stronger demand in non-alcoholic vs. alcohol • +13% growth in NA in Q1 • Uptick
Slide 7: Drivers of secular growth remain intact
Drivers of secular growth remain intact North America Europe Brazil Traditional categories Category growth New categories (e.g., health & wellness) TCO(a) / convenience Pack advantages Imagery, quality, ‘coolness’ Plastics substitution Sustainability / Environmental / ecological benefit regulation R
Slide 8: Recent highlights
Recent highlights 8
Slide 9: North America market
North America market Contracted new volume maintains above-market growth • Contracted future growth arising from the growth investment program and supported by beer shelf space resets. • Consumer price inflation decelerating, with some increased promotional intensity in carbonated soft drinks. AMP N
Slide 10: Brazil market
Brazil market Improving macro environment drives further growth • Industry beverage can volumes have grown for three consecutive quarters and with increasing momentum. This upturn is also matched by improved beverage volumes and supported by an improving macro-economic environment. Brazil: manufactu
Slide 11: Europe market
Europe market Recovery post customer destocking • Beverage can shipments show a recovery in Q1 post customer destocking. Consumer sentiment and the macro- economic outlook are both improving, resulting in greater optimism for summer selling activity. AMP Europe quarterly shipments growth – Euro Area
Slide 12: Standalone capital structure
Standalone capital structure Structurally separate to Ardagh Group • Ardagh Group retains a 76% shareholding in AMP • AMP has a structurally separate capital structure, with both its assets and liabilities sitting outside the restricted group of Ardagh Group (“ARGID”) • AMP has no bonds maturing bef
Slide 13: Q1 Financial review
Q1 Financial review 13
Slide 14: Key financial metrics
Key financial metrics First quarter 2024 $m except per share data Three months ended Three months ended Change Change March 31, 2024 March 31, 2023 reported constant currency Revenue 1,141 1,131 1% (1%) Loss for the period (12) (1) Adjusted EBITDA 134 130 3% 2% Loss per share (0.03) (0.01) Adjusted
Slide 15: Financial bridge
Financial bridge Three months ended March 31, 2024 Revenue $m Europe Americas Group Revenue 2023 486 645 1,131 ➢ Group revenue increase of 1% (-1% constant currency [CCY]) and Adjusted Organic (22) 15 (7) EBITDA increase of 3% FX translation 17 - 17 (+2% CCY) Revenue 2024 481 660 1,141 ➢ Americas re
Slide 16: Net debt and liquidity
Net debt and liquidity Strong liquidity and maturity profile March 31, 2024 Drawn amount Available liquidity $m $m ➢ No bonds maturing before 2027 Senior Secured Green and Senior Green Notes 3,277 - and a weighted average maturity of 4.7 years, with all green bond Global Asset Based Loan Facility 21
Slide 17: Fiscal 2024 guidance
Fiscal 2024 guidance Reaffirming guidance following an encouraging start to the year En i ronmental Global shipments growth approaching a mid-single digit % ❑ Growth above mid-single digits % in the Americas, supported by a contracted pipeline of volume ❑ Increased confidence in the growth outlook f
Slide 18: Investment highlights
Investment highlights 18
Slide 19: Business strengths
Business strengths Leading pure play global beverage can company focused on sustainable products • Scale network player operating in a long-term growth industry with defensive qualities • Geographically diversified - #2 player in Europe and #3 player in North America and Brazil • Experienced managem
Slide 20: Summary historic financials
Summary historic financials Adj. EBITDA less maintenance Revenue ($ billion) Adjusted EBITDA ($ million) capex & cash conversion ratio 5.0 700 662 700 90% 625 600 604 600 545 600 4.5 519 503 86.7% 85% 500 500 83.4% 4.0 400 400 82.6% 81.7% 81.3% 80% 300 300 3.5 200 200 75% 3.0 100 100 2.5 0 0 70% 201
Slide 21: Supplemental information
Supplemental information 21
Slide 22: Reconciliation of loss for the period to Adjusted profit
Reconciliation of loss for the period to Adjusted profit Three months ended March 31, 2024 2023 $m $m Loss for the period as presented in the income statement (12) (1) Less: Dividend on preferred shares (6) (6) Loss for the period used in calculating earnings per share (18) (7) Exceptional items, ne
Slide 23: Reconciliation of loss for the period to Adjusted EBITDA
Reconciliation of loss for the period to Adjusted EBITDA Three months ended March 31, 2024 2023 $m $m Loss for the period (12) (1) Income tax credit (9) (9) Net finance expense 35 23 Depreciation and amortization 109 98 Exceptional operating items 11 19 Adjusted EBITDA 134 130 23
Slide 24: Reconciliation of Adjusted EBITDA to Adjusted operating cash flow and Adjusted free cash flow
Reconciliation of Adjusted EBITDA to Adjusted operating cash flow and Adjusted free cash flow Three months ended March 31, 2024 2023 $m $m Adjusted EBITDA 134 130 Movement in working capital (423) (346) Maintenance capital expenditure (24) (36) Lease payments (21) (16) Exceptional restructuring cost
Slide 25: Sustainability strategy
Sustainability strategy Built on three key pillars 25
Slide 26: Sustainability leadership recognition
Sustainability leadership recognition Leadership ratings of A for Supplier Engagement and A- rating for Climate Change from global not-for-profit CDP Awarded the highest platinum rating by and a B rating for Water Management EcoVadis for Sustainability* *Ardagh Group rating 26
Slide 27: Core Values
Valuing contribution Development Empowerment + Mutual respect Integrity Transparency Collaboration Safety and responsibility Communication es t a | Cc Continuous improvement Innovation Sustainability
Slide 28: Purpose
ArdaghMetalPackaging hy) We make packaging for good | We work We are proud of Our sustainable, infinitely We are shaping a sustainable future together as our manufacturing recyclable, quality as part of the circular economy while one team. heritage and packaging protects our actively supporting and
Slide 29: Ardagh Metal Packaging
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