Dino Polska Sa · GPW:DNP
Dino Polska Sa — H1 2017 Earnings Presentation
23 slides from Dino Polska Sa's earnings presentation, Aug 30, 2017
Slide 1: 1H 2017 Financial results
1H 2017 Financial results 30th August 2017
Slide 2: Disclaimer
Disclaimer Neither this presentation (the “Presentation”) nor any copy of it nor the information contained herein being issued, and nor may this Presentation nor any copy of it nor the information contained herein be distributed directly or indirectly to or into, the United States, Canada, Australia
Slide 3: Our achievements in 1H 2017
Our achievements in 1H 2017 +49 stores +27.7% store pipeline y-o-y (+38 in 2Q 2017) +14.7% LFL y-o-y +31.6% sales y-o-y (+16.5 in 2Q 2017 y-o-y) (+34.1% in 2Q 2017 y-o-y) +0.2pp gross margin y-o-y +37.3% EBITDA1 y-o-y (+0.02pp in 2Q 2017 y-o-y) (+43.8% in 2Q 2017 y-o-y) 1. Adjusted for the IPO-relat
Slide 4: Supportive market conditions
Supportive market conditions Recovering inflation Growth of GDP and improvement in consumer sentiment Inflation in Poland 105 105 103 104 103.7 103 104 102 101.5 102 101 103 100 99 102 98 101 97 101 96 95 Jun-14 Mar-15 Dec-15 Sep-16 Jun-17 100 100 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 2014 2014
Slide 5: Operational & financial highlights
Operational & financial highlights Number of stores and sales area (’000 sqr m) Sales dynamics (PLNm) and gross margin EBITDA (PLNm) and margin 151.5 191.6 238.4 209.5 257.1 22.0% 22.6% 22.9% 22.5% 22.7% 7.0% 8.1% 8.6% 7.9% 8.2% Number of stores Revenues EBITDA 2881 677 3,370 628 557 511 2,590 210 4
Slide 6: Delivering leading LFL growth
Delivering leading LFL growth Annual 2.6 4.3 3.7 0.9 0.0 (0.9) (0.9) 2.0 1.8 Inflation (deflation) % 18.0% 15.5% 16.6% 16.5% 14.1% 14.0% 12.6% 11.3% 10.0% 7.5% 5.1% 6.0% 4.2% 5.4% 2.0% 4.3% 3.4% 3.4% 2.7% 2.0% 0.8% (2.0%) (0.9%) (1.7%) 2010 2011 2012 2013 2014 2015 2016 1Q 2017 2Q 2017 Dino Food inf
Slide 7: Revenues
Revenues Dynamic revenues growth Sales mix Product split by revenue (2Q 2017) LFL growth (%) 8.4 12.0 10.8 13.5 12.6 16.5 Non-food 12.6% Fresh food Revenues (PLNm) +34.1% y-o-y 36.7% 1,108 917 919 910 826 Dry food, 707 beverages, alcohol and tobacco 50.7% 1Q 2016 2Q 2016 3Q 2016 4Q 2016 1Q 2017 2Q 2
Slide 8: Gross margin
Gross margin Steady increase in gross margin Gross margin +0.2 pp FY: 22.9% 1H: 22.5% 2H: 23.1% 1H: 22.7% Revenues (PLNm) 1,108 917 919 910 826 707 1Q 2016 2Q 2016 3Q 2016 4Q 2016 1Q 2017 2Q 2017 Source: Company financial statements 8
Slide 9: EBITDA
EBITDA1 EBITDA growth EBITDA margins (PLNm) +29.0% +43.8% (%) +0.02pp +0.6pp 1H:+37.3% 1H:+0.3pp 288.3 8.6% 121.0 167.2 166.2 7.9% 9.1% 8.2% 97.8 9.6% 87.9 8.7% 8.8% 79.3 8.2% 20.4 7.5% 2.0% 7.5% 68.0 18.5 68.5 1.9% 1.8% 17.2 1.8% 53.1 2.0% 2.1% 14.9 19.2 14.5 77.4 7.5% 7.0% 62.1 69.4 6.4% 6.8% 53.1
Slide 10: Q2 2017 EBITDA bridge
Q2 2017 EBITDA bridge (PLNm) 8.23% 74.5 1.1 17.7 6.2 0.5 8.82% + PLN 29.8 million 1.5 0.1 20.4 0.3 4.3 14.9 18.1 97.8 77.2 77.4 77.4 68.0 53.1 (1) 2Q 2016 EBITDA 2Q 2016 D&A 2Q 2016 EBIT Δ Sales at a Δ Cost of sales Δ Sales & Δ G&A Δ Other operating 2Q 2017 EBIT 2Q 2017 D&A 2Q 2017 EBITDA constant m
Slide 11: Operating cash flow
Operating cash flow Capex OCF structure (PLNm) (PLNm) 134% 132% 133% 109% 91% 324 382 25 245 47 278 16 188 44 65 125 199 28 151 50 49 9 382 132 39 8 278 40 2Q 52 42 186 29 199 84 135 1Q 79 97 80 67 75 2014 2015 2016 1H 2016 1H 2017 (20) (64) Capex Capex as % of EBITDA 2014 2015 2016 1H 2016 1H 2017
Slide 12: Balance sheet
Balance sheet Net debt / EBITDA(1) Interest coverage ratio(2) 2.6x 7.3x 7.4x 6.4x 2.0x 1.7x 1.8x 4.0x 2014 2015 2016 1H 2017 2014 2015 2016 1H 2017 Source: Company financial statements (1) Net debt to EBITDA defined as net debt divided by EBITDA (adj.) for the last twelve months (2) Interest coverag
Slide 13: Store roll-out
Store roll-out +27.7% r/r +49 No. of newly opened stores Expanding pipeline 429 1H 2017 338 336 280 313 197 237 248 198 +27.7% Store pipeline 138 1H 2017 y-o-y 116 82 90 99 59 Dec-14 Jan-00 Dec-15 Jan-00 Dec-16 Jan-00 Jun-16 Jan-00 Jun-17 Jan-00 Plots purchased Preliminary agreements Source: Company
Slide 14: Store roll-out
Store roll-out Network expansion to date Regional coverage Net sales area (’000 m2) Stores per 100k inhabitants as of June 30, 2017 (in brackets as of June 30, 2016) 20 25 32 50 81 119 151 192 238 257 0.3 (0.1) No. of stores 1.3 677 628 (0.8) 2.5 (1.8) 511 0.3 ENTIRE 4.9 6.1 (0.1) 410 (4.2) (5.3) PO
Slide 15: Strategy update
Strategy update 1 Organic store roll-out Over 1,200 stores by the end of 2020 628 Stores 1H: +49 stores end of 2016 2017F 2018F 2019F 2020F end of 2020F 2 LFL growth 3 Improving profitability + 0.2 pp + 0.3 pp 14.7% Gross margin EBITDA margin LFL growth in 1H 2017 improvement improvement (vs 3.4% fo
Slide 16: aajblizej Cieble
aajblizej Cieble 16
Slide 17: Company financial statements (1/5)
Company financial statements (1/5) Profit and loss statement2 (PLN '000) 2014 2015 2016 1Q 2016(1) 2Q 2016(1) 3Q 2016(1) 4Q 2016(1) 1Q 2017(1) 2Q 2017(1 2Q’17 y-o-y +/(-),% Sales 2,107,984 2,589,576 3,369,517 707,363 826,106 916,645 919,403 910,335 1,108,063 31.6% Cost of sales (1,644,080) (2,004,71
Slide 18: Company financial statements (2/5)
Company financial statements (2/5) Balance sheet (PLN '000) 2014 2015 2016 1Q 2016(1) 2Q 2016(1) 3Q 2016(1) 4Q 2016(1) 1Q 2017(1) 2Q 2017(1) Assets Property, plant and equipment 798,948 1,024,199 1,337,207 1,090,826 1,180,504 1,260,513 1,337,207 1,386,389 1,496,962 Intangible assets 90,700 92,253 93
Slide 19: Company financial statements (3/5)
Company financial statements (3/5) Balance sheet (PLN '000) 2014 2015 2016 1Q 2016(1) 2Q 2016(1) 3Q 2016(1) 4Q 2016(1) 1Q 2017(1) 2Q 2017(1 Interest-bearing loans, borrowings and finance lease liabilities 285,962 361,774 452,378 370,010 399,163 436,725 452,378 487,167 508,545 Other liabilities – – 3
Slide 20: Company financial statements (4/5)
Company financial statements (4/5) Cash flow (PLN '000) 2014 2015 2016 1Q 2016(1) 2Q 2016(1) 3Q 2016(1) 4Q 2016(1) 1Q 2017(1) 2Q 2017(1 Cash flows from operating activities Profit before tax 79,293 135,231 186,455 30,843 44,592 51,534 59,486 38,005 58,654 Adjustments for 109,185 110,163 137,868 (36,
Slide 21: Company financial statements (5/5)
Company financial statements (5/5) Cash flow (PLN '000) 2014 2015 2016 1Q 2016(1) 2Q 2016(1) 3Q 2016(1) 4Q 2016(1) 1Q 2017(1) 2Q 2017(1 Cash flows from investing activities Proceeds from sale of property, plant and equipment and intangibles 374 925 1,112 648 (1,453) (3,085) 5,002 79 1,057 Purchase o
Slide 22: Contact information
Contact information Grzegorz Uraziński Head of Investor Relations grzegorz.urazinski@marketdino.pl +48 695 234 561 Ul. Ostrowska 122 63-700 Krotoszyn Poland http://grupadino.pl 22
Slide 23: dino
dino aajblizej Cieble 23