Prestal Holdings Limited · ASX:PTL
Prestal — Pental — FY2022 Earnings Presentation
45 slides from Prestal's earnings presentation, Aug 23, 2022
Slide 1: 2022 Full Year Investor Presentation
2022 FULL YEAR INVESTOR PRESENTATION
Slide 2: Agenda
Agenda • Pental Overview • FY22 Business Review • Financial Performance • Business Outlook • Recap I Pental FY22 investor presentation August 2022
Slide 3: Our Vision
“To be a leading supplier of shelf stable products to its chosen channels & markets, Our built around a reputation of delivering quality, innovation and sustainability to the Vision satisfaction of customer needs whilst enhancing shareholder value.” “We are active in developing new products to grow
Slide 4: Pental Values
WE ALWAYS ACT WITH INTEGRITY & RESPECT SAFETY CUSTOMER PENTAL VALUES: “Customers are at the centre of everything “Safety comes first” • We keep our people and visitors safe we do” • Safety first • We aim for Zero Harm – no injuries or • We build recognisable, strong and trusted • Proud & Performance
Slide 5: Hampers with Bite FY22 Highlights
Hampers with Bite FY22 Highlights I Pental FY22 investor presentation August 2022
Slide 6: Hampers with Bite
Hampers with Bite Hampers with Bite background Performance Highlights • Hampers With Bite Pty Ltd (HWB) acquisition was completed on 1 September 2021 – just 2 weeks after entering the agreement to acquire the business. • HWB are hamper and gifting specialists, providing a range of hampers and gifts.
Slide 7: Self Care and Wellness Gifting
Self Care and Wellness Gifting Developed a new Christmas & wellness range Hampers With Bite will continue to focus on building out our range to increase our wellness and self care gift product offering as this trend continues to grow across B2C and B2B sectors. 4% 6% GROWTH OF WELLNESS ANNUAL PROJEC
Slide 8: HWB Product Rebranding
HWB Product Rebranding To meet consumer demand & market trends, we have revamped our existing products in-house to offer a more premium look and feel whilst maintaining affordable pricing. This eliminates the need to outsource from external suppliers, whilst giving us better control over product off
Slide 9: Pental Retail Brands FY22 Highlights
Pental Retail Brands FY22 Highlights I Pental FY22 investor presentation August 2022
Slide 10: Sales Achievements
Sales Achievements White King Pental Brands 11% Growth Net Sales growth in Net Sales compared 5.2% compared to to previous year previous year White King is the #1 brand in Bathroom Cleaners* Strong Double-Digit Growth in Commercial, Dollar Growth up Online, Pharmacy & Retail (in Australia) 22% Disco
Slide 11: Market Share Recap
Market Share Recap White King’s Toilet Gel This has resulted in White King’s Bathroom This result led to grew at double (Dollars) Market Share gains of portfolio enjoyed White King finishing and triple (Units) that of +2.2% points* sustainable, FY22 as the #1 brand of the Segment. for FY22 7% growth
Slide 12: Market Share Wins
Market Share Wins Jiffy outpaced the category Country Life achieved outstanding dollar average growth rate in FY22 (+19%) and unit (+5.2%) growth resulting in Market Share gains of resulting in a +0.5 market share percentage +1.1% points vs prior year*. point gain for the full year*. #1 #6 sku in sk
Slide 13: FY22 NPD Launches
FY22 NPD Launches LAUNCH DATES Toilet Gel - Jun 22 Feb 22 Toilet Cleaner – Nov 21 Mould and Soap Scum 6 pack – Feb 22 May 22 May 22 July - 21 Detergent Bleach – May 22 Disinfectant – Nov 21 Premium bleach 4 pack – April 22 Bleach Spray – Feb 22 I Pental FY22 investor presentation August 2022
Slide 14: FY22 Business Review
FY 22 Business Review • Delivering the Strategy • Business Scorecard • Financial Performance • Business Outlook • Recap
Slide 15: What we said – Delivering our Strategy
What we said – Delivering our Strategy Driving Sales Develop New Expand Export Hampers Continuous through Key Brands Products and Markets With Bite Manufacturing Channels Improvement • White King • Developing • Grow New Zealand • Explore further potential • Sustainability projects • Jiffy Fire Light
Slide 16: Business Highlights
Business Highlights Successfully completed acquisition HWB synergies and cross-selling of Hampers with Bite effective opportunities with traditional brands 1 September 2021 fully replacing continue to be realised in FY23 reduced Duracell distributorship Smooth integration of the HWB Developing new H
Slide 17: FY22 Sales and Marketing
FY22 Sales and Marketing Sales Performance Brand and Product Strategy • FY22 was a year of focusing on replacing the lost Duracell distributorship with an acquisition. • The business developed and launched the new • We purchased the Hampers With Bite business Vitale personal care brand to be sold in
Slide 18: Duracell Sales Agency Performance
Duracell Sales Agency Performance • Pental is the appointed Duracell distributor for the Australian Route Trade sales channel • We achieved year on year sales growth of 12% within the Route Trade sales channel • We commenced supplying Myer Australia with display stands in 200 stores • Pental were su
Slide 19: FY22 Financial Performance
FY 22 Financial Performance • 4 Year Trend • Income Statement • Statement of Accounts • Cashflow
Slide 20: Profitability Trend
Profitability Trend 4th continuous year of profitability growth delivered in FY22, with EBIT margins significantly improving Delivering Profit Growth Profit growth over last 4 years ($' millions) 12.0 10.0 7.4 8.0 5.6 6.0 5.0 3.5 4.0 2.6 2.0 3.8 5.0 7.4 8.1 10.8 0.0 FY18 FY19 FY20 FY21 FY22 Underlyi
Slide 21: Financial Performance
Financial Performance 1. Underlying EBIT $10.783m – up 32.3% • Acquisition of Hampers with Bite has not only replaced profitability of lost Duracell distributorship 2. Underlying EBITDA $14.682m – up 22.4% channels, but it has also brought Pental an online channel customer base, improved scale, E- c
Slide 22: Financial Performance – Income Statement
Financial Performance Key Consolidated Income Statement Items • Delivered a strong bottom-line growth of 32.2% in underlying NPAT towards the high end of market guidance. $’000 FY22 FY21 Change % • Owned brands sales up on PCP by 5.2% driven by growth in White King (up 11.1%) and Country Life (up 9.
Slide 23: Financial Performance – Financial Position
Financial Performance Key Statement of Financial Position Items • Strong cash position as a result of strong operating cash flow of $9.9 million $’000 FY22 FY21 Change ASSETS • Pental remains effectively debt free as at Cash 8,132 12,702 (4,570) reporting date i.e. cash in excess of borrowings Trade
Slide 24: Financial Performance – Cash Flows
Financial Performance Key Consolidated Statement of Cash Flows Items • Changes in working capital negligible compared to June 21 $’000 FY22 FY21 Change • Operating cash flow remains strong. FY21 includes Profit after Tax 6,367 5,363 1,004 ~$8.7m in release of Duracell working capital Add noncash ite
Slide 25: FY22 Business Outlook
FY 22 Business Outlook • Hampers With Bite • Retail Brands • Business Operations
Slide 26: Hampers with Bite
Hampers with Bite I Pental FY22 investor presentation August 2022
Slide 27: New self care & wellness Hampers for FY23
New self care & wellness Hampers for FY23 UNWIND WELLNESS gift hamper $45 HEALTH & WELLNESS hamper $70 SELF CARE gift hamper $70 UNWIND INDULGENT gift hamper $165 I Pental FY22 investor presentation August 2022
Slide 28: B2B Opportunities
B2B Opportunities Thousands more 8% Expected growth B2B opportunities in Corporate Gifting annually Business partnerships STRATEGIC PARTNERSHIPS Going after national companies Securing strategic partnerships with a new and improved with high profile companies targeted range & bespoke sales approach
Slide 29: B2C Opportunities
B2C Opportunities Product value Add-on Opportunities 20% Targeted growth on Annual Events FATHER'S DAY ADD ONS/ UPSELLS One of the largest sales events Diversifying our range of outside of Christmas, the product add-ons as well as national event gives us another offering additional wine opportunity
Slide 30: Vitale Wellness
Vitale Wellness 7500+ 25% TOP 10 Vitale units Vitale saturation Consistent best seller moved since launch in existing hamper range since product launch in May 2022 I Pental FY22 investor presentation August 2022
Slide 31: Sustainability
Sustainability Our goal is to create a more sustainable packaging that still protects our amazing hampers but also protects the environment. Comprehensive trials of new paper packaging in collaboration with Ranpak (the first global producer of 100% sustainable, paper-based packaging) have been Plast
Slide 32: Pental Retail Brands
Pental Retail Brands I Pental FY22 investor presentation August 2022
Slide 33: The #1 choice for Household Cleaning and Protection products
Master Brand Strategy The #1 choice for Household Cleaning and Protection products I Pental FY22 investor presentation August 2022
Slide 34: FY23 Focus – Sustainable NPD
FY23 Focus – Sustainable NPD 100% plastic free, recyclable Vegetable Eliminates the Biodegradable 100% Ship less cardboard packaging based inks use of single use formulations recyclable pump water (tablets cleaners) plastics (no metal spring) I Pental FY22 investor presentation August 2022
Slide 35: FY23 Focus – Sustainable NPD
FY23 Focus – Sustainable NPD Label uses 40% 100% recyclable pump Vegetable 100% rPET plastic Biodegradable less plastic (no metal spring) based inks bottles and trigger wrapper I Pental FY22 investor presentation August 2022
Slide 36: Business Operations Outlook
Business Operations Outlook I Pental FY22 investor presentation August 2022
Slide 37: Driving Out Waste
Driving Out Waste • Reducing Production Waste • Working with Industry Experts • Questioning and Benchmarking all costs • Increasing Measurements to improve efficiencies • Increased Manufacturing Performance Reporting • Staff education and training programs • Ongoing focus on Continuous Improvement P
Slide 38: FY23 Investing in Sustainable Projects
FY23 Investing in Sustainable Projects Environmental benefits: Energy savings, reducing on average 30,000 kw/h per month Old sleeving tunnel plant NEW sleeving tunnel in bleach plant I Pental FY22 investor presentation August 2022
Slide 39: FY23 Investing in Sustainable Projects
FY23 Investing in Sustainable Projects Environmental benefits: Energy savings and removes the risk of Greenhouse depleting gases R22 from entering the atmosphere Redundant soap plant chiller NEW soap plant chiller I Pental FY22 investor presentation August 2022
Slide 40: FY23 Investing in Sustainable Projects
FY23 Investing in Sustainable Projects Environmental benefits: Introduction of Environmental wrap Redundant firelighters flow wrapper NEW firelighters flow wrapper I Pental FY22 investor presentation August 2022
Slide 41: FY23 Investing in Sustainable Projects
FY23 Investing in Sustainable Projects New biodegradable firelighter wrapper will replace the current substrate, removing more than 3.5million non-degradable films from the waste stream I Pental FY22 investor presentation August 2022 *Source: IRI AU Grocery Scan Firelighters, Pental Manufactured Fir
Slide 42: Increasing Production Efficiencies
Increasing Production Efficiencies Continuous Focusing on Ongoing IMPROVEMENT EMPLOYEE PACKAGING PROJECTS RETENTION REVIEWS White King INCREASED Pental Shepparton MASTER BRAND AUTOMATION producing products STRATEGY with packing of for the HAMPER Hampers BUSINESS GROWTH R&D team to focus on new Alway
Slide 43: Outlook Summary
Outlook Summary Continuing Strategic Acquisitions Sustainability Marketing Export Partners Innovation Pipelines & Partnerships • Natural products • Develop and execute Enhancing our export • Developing new • New products and Master brand footprint: hampers categories • New hampers with less packagin
Slide 44: Important Notice and Disclaimer
Important Notice and Disclaimer This presentation has been prepared by Pental Limited ACN 091 035 353 (Company). This presentation contains Forward-looking statements, including projections, guidance on future operations, earnings and estimates (if any), summary information about the Company, its su
Slide 45: Thank You
THANK YOU