Grupo Pochteca Sab De Cv Class B · BMV:POCHTEC/B

Grupo Pochteca Sab De Cv Class B — Q4 2015 Earnings Presentation

32 slides from Grupo Pochteca Sab De Cv Class B's earnings presentation, Mar 28, 2016

  1. Slide 1: Investor Presentation Fourth Quarter 2015

    Investor Presentation Fourth Quarter 2015

  2. Slide 2: Disclaimer

    Disclaimer This material has been elaborated by Grupo Pochteca, S.A.B. de C.V. (“Pochteca” or the “Company”) solely for use in this presentation. This material is presented for informational purposes only and should not be copied, reproduced or redistributed (in whole or in part) to any person, with

  3. Slide 3: Sales and EBITDA performance

    Sales and EBITDA performance 3

  4. Slide 4: What we are and what we are NOT

    What we are… and what we are NOT YES NO 1) Distributor of raw materials Not a manufacturer or producer Not a trader or broker 2) Blends of some products = No combustion and complex minor “production” transformation processes in our sites 3) Comparable with chemicals Not comparable with Alpek, distri

  5. Slide 5: Performance of comparable shares

    Performance of comparable shares Source : SIBOLSA 5

  6. Slide 6: Pochteca in a nutshell: One Stop Shop

    Pochteca in a nutshell: “One Stop Shop” – More than 5,500 products – More than 40 industrial sectors: • Automotive industry • Oil exploration and perforation • Metal mechanic industry • Mining • Food – More than 19,000 active customers – More than 319,000 deliveries and 361,000 tons per year – More

  7. Slide 7: Competitive advantages

    Competitive advantages WORLD CLASS SECURE CHAIN OF CUSTODY  The only Latin American company with RDP certification from NACD in recognition of our excellence in responsible distribution  World class logistics  FSC and ISO 9001 certified  SARI / ANIQ certified  Best practices continuously audite

  8. Slide 8: Competitive advantages: Diversification

    Competitive advantages DIVERSIFICATION  Products, customers, industries, regions, channels and suppliers  No product or customer > 2.4% 5 main customers = 7.5%, 5 main products = 7.3%. 8

  9. Slide 9: Main customers and products

    Main customers and products % of sales 2015 % of sales 2014 Customer 1 2.39% 2.55% • More than 19,000 active Customer 2 1.36% 1.69% customers Customer 3 1.35% 1.26% • More than 319,000 Customer 4 1.31% 1.16% deliveries per year Customer 5 1.10% .23% Total 7.51% 6.88% % of sales 2015 % of sales 2014

  10. Slide 10: Diversification = lower risk, higher margins

    Diversification = lower risk, higher margins Each segment serves dozens of industries 10

  11. Slide 11: Pochteca's locations in Latin America

    Pochteca’s locations in Latin America 11

  12. Slide 12: Solvents & blends

    Solvents & blends SEGMENTS Lacquers Paints Resins Adhesives Automotive Oil well Electronics stimulation MAIN CUSTOMERS MAIN SUPPLIERS 12

  13. Slide 13: Chemicals

    Chemicals SEGMENTS Water Personal Mining Oil and Agrochemicals Textiles treatment care industry gas MAIN CUSTOMERS MAIN SUPPLIERS 13

  14. Slide 14: Food & specialties

    Food & specialties SEGMENTS Processed Beverages Milk and dairy Confectionery Sauces and Soups and pastas products Bakery dressings meats MAIN CUSTOMERS MAIN SUPPLIERS 14

  15. Slide 15: Lubricants

    Lubricants SEGMENTS Buses and Mining, quarrying General Agriculture Construction Autocomponents trucks and cement engineering Power generation Oil & gas Aviation Marine MAIN CUSTOMERS

  16. Slide 16: Paper

    Paper SEGMENTS Printing Advertising Publishing Folding Digital printing Design houses agencies houses packaging centers agencies MAIN CUSTOMERS MAIN SUPPLIERS Central National-Gottesman 16

  17. Slide 17: Growth drivers

    Growth drivers Energy reform Manufacturing Convergence with developed Fragmented industry growth countries in direct sales / distributor sales 17

  18. Slide 18: Growth strategy

    Growth strategy CONSOLIDATION DRIVERS  Portfolio diversification by introducing new and value-added products  Regulatory convergence, which raises the degree of operational difficulty for family businesses  Customers and world class suppliers are increasingly demanding toward distributors  Conso

  19. Slide 19: Electricity price for industrial customers in Mexico and the US

    Electricity – Price for industrial customers in Mexico and the US (USD cents per KWh) 12 10 8 US cts / Kwh 6 4 2 - Promedio de plantas de Mexichem en México Mexichem Especialidades Resinas (Illinois) 19 Source: Mexichem

  20. Slide 20: World prices of liquefied natural gas (LNG)

    World prices of liquefied natural gas (LNG) January 2016 (USD/MMBTU) 20 Source: Federal Energy Regulatory Commission Market Oversight

  21. Slide 21: US natural gas pipeline system

    US natural gas pipeline system 21

  22. Slide 22: Mexico: Manufacturing exports

    Mexico: Manufacturing exports 2007 = 100 Manufacturing exports continue to be the chief drivers of Mexico’s economic growth Source: INEGI 22

  23. Slide 23: Financial Indicators

    © pochteca~ Financial Indicators

  24. Slide 24: Financial indicators

    Financial indicators Sales (Millions of Pesos) EBITDA (Millions of Pesos) 6,450 6,032 6,079 390 341 4,473 303 3,729 194 216 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016 ESTIMATED ESTIMATED 24

  25. Slide 25: Financial indicators

    Financial indicators Net Debt / EBITDA EBITDA / Interest 3.30 2.20 2.70 2.60 2.70 2.00 1.50 0.36 2012 2013 2014 2015 2012 2013 2014 2015 Inventory Days Accounts Payable Days Accounts Receivable Days 71 71 92 92 94 70 81 54 53 62 51 47 2012 2013 2014 2015 2012 2013 2014 2015 2012 2013 2014 2015 25

  26. Slide 26: Financial indicators 2015

    Financial indicators 2015 Financial information (millions of pesos) (%) YTD 15 YTD 15 YTD 14 vs YTD 14 Sales 6,079 6,032 1% Gross Profit 1,106 1,051 5% Gross Margin (%) 18.2% 17.4% 80pb Operating Profit 232 195 19% Operating Margin (%) 3.8% 3.2% 60pb Depreciation 109 108 1% EBITDA 341 303 13% EBITDA

  27. Slide 27: Financial indicators 4Q 2015

    Financial indicators 4Q 2015 Financial information (millions of pesos) (%) 4Q15 (%) YTD 15 4Q15 4Q14 YTD 15 YTD 14 vs 4Q14 vs YTD 14 Sales 1,535 1,499 2% 6,079 6,032 1% Gross Profit 280 277 1% 1,106 1,051 5% Gross Margin (%) 18.3% 18.5% -20pb 18.2% 17.4% 80pb Operating Profit 50 56 -11% 232 195 19%

  28. Slide 28: Guidance for 2016

    Guidance for 2016 pochteca™ In our 4Q15 results release we provided the following guidance for 2016: Sales: Ps 6.45 billion, +6% yoy EBITDA: Ps 390 million +14% yoy EBITDA margin: 6.0%, +40 bp yoy 28

  29. Slide 29: Statement of Comprehensive Income

    GRUPO POCHTECA, S.A.B. DE C.V. STATEMENT OF COMPREHENSIVE INCOME Information in thousands of Mexican Pesos (%) 4Q15 vs (%) YTD 15 4Q15 3Q15 4Q14 3Q15 4Q14 YTD 15 YTD 14 vs. YTD 14 Sales 1,534,852 1,578,085 1,498,947 (2.7) 2.4 6,078,819 6,031,940 0.8 Cost of Sales (1,254,730) (1,287,360) (1,221,635)

  30. Slide 30: Balance Sheet

    GRUPO POCHTECA, S.A.B. DE C.V. BALANCE SHEET Information in thousands of Mexican Pesos (%) Dec-15 vs. Dec-15 Sep-15 Dec-14 Sep-15 Dec-14 ASSETS CASH AND CASH EQUIVALENTS 385,672 250,048 324,458 54.2 18.9 TRADE ACCOUNTS RECEIVABLE 883,703 995,483 921,937 (11.2) (4.1) OTHER ACCOUNTS RECEIVABLE 105,032

  31. Slide 31: Information for Investors

    INFORMATION FOR INVESTORS Juan Carlos Mateos Chief Financial Officer + (52-55) 5278-5970 jcmateos@pochteca.com.mx Armando Santacruz Chief Executive Officer + (52-55) 5278-8000 ext. 5880 asantacruz@pochteca.com.mx www.pochteca.com.mx 31

  32. Slide 32: Pochteca

    © pochteca~

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