Ccl Industries Inc. Class A · TSX:CCL.A
Ccl Industries Inc. Class A — Q4 2010 Earnings Presentation
23 slides from Ccl Industries Inc. Class A's earnings presentation, Feb 24, 2011
Slide 1: Investor Update Fourth Quarter Review
CCL Industries Inc. Investor Update Fourth Quarter Review February 24, 2011 1
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking information and forward-looking statements, as defined under applicable securities laws (hereinafter collectively referred to as “forward-looking statements”), that involve a number of risks and uncertainties. Forward-looking statements include a
Slide 3: Statement of Earnings - Fourth Quarter
Statement of Earnings Fourth Quarter Ended December 31st (Millions of Cdn$) Excluding Currency 2010 2009 Change Translation Sales $ 281.3 $ 289.3 (3%) +3% Operating income * 30.5 27.2 +12% +20% Corporate expense 6.6 4.1 +61% 23.9 23.1 Interest expense, net 6.0 6.5 (8%) 17.9 16.6 Restructuring & othe
Slide 4: Statement of Earnings - Twelve Months
Statement of Earnings Twelve Months Ended December 31st (Millions of Cdn$) Excluding Currency 2010 2009 Change Translation Sales $ 1,192.3 $ 1,199.0 (1%) +9% Operating income * 148.1 124.4 +19% +31% Corporate expense 23.4 16.5 +42% 124.7 107.9 Interest expense, net 25.1 29.3 (14%) 99.6 78.6 Restruct
Slide 5: Earnings per Class B Share
Earnings per Class B Share Periods Ended December 31st Fourth Quarter Year-to-date Per Class B Share 2010 2009 Change 2010 2009 Change Net earnings - basic $ 0.44 $ - n.m $ 2.17 $ 1.31 +66% Diluted earnings $ 0.43 $ - n.m. $ 2.13 $ 1.29 +65% Restructuring & other items $ - $ (0.41) $ - $ (0.46) Adju
Slide 6: Impact of Changes in Exchange Rates
Impact of Changes in Exchange Rates Estimated impact reflects: • Foreign currency translation of all foreign operations • Foreign currency transactions at our Canadian Container operations where virtually all sales are U.S. dollar-denominated YTD YTD Q4 10 Act 2010 Act 2009 Act Impact of Currency vs
Slide 7: Cash Flow Highlights
Cash Flow Highlights Twelve Months Ended December 31st (Millions of Cdn$) Free Cash Flow* Statement of Cash Flows $87.0 Twelve Months Ended December 31st 2010 2009 Net earnings $ 71.1 $ 42.2 $55.9 $50.9 Depreciation & amortization 94.0 100.0 Chg. in non-cash working capital (0.1) (1.3) Other 3.4 9.4
Slide 8: Cash & Debt Summary
Cash & Debt Summary As At December 31st (Millions of Cdn$) Increase 2010 2009 (Decrease) Long-term debt - senior notes (2010 - US$ 397.7 MM, 2009 - US$ 438.1 MM) $ 395.6 $ 460.4 $ (64.8) Debt - all other 39.8 37.7 2.1 Total debt 435.4 498.1 (62.7) Cash and cash equivalents (173.2) (150.6) (22.6) Net
Slide 9: Capital Spending Highlights
Capital Spending Highlights Twelve Months Ended December 31st, 2010 (Millions of Cdn$) Capital Divisions Spending *Depreciation Difference Label $ 72.1 $ 66.7 $ 5.4 Container 12.3 13.7 $ (1.4) Tube 1.2 7.5 $ (6.3) Corporate 0.2 0.3 $ (0.1) $ 85.8 $ 88.2 $ (2.4) * excludes amortization of intangibles
Slide 10: Sales Analysis
Sales Analysis Fourth Quarter Ended December 31st Acquisitions Organic FX & Disposals Total Label +1% (6%) - (5%) Container +12% (2%) - +10% Tube +11% (4%) - +7% CCL Consolidated +3% (6%) - (3%) - 10
Slide 11: Sales Analysis - Twelve Months
Sales Analysis Twelve Months Ended December 31st Acquisitions Organic FX & Disposals Total Label +7% (10%) - (3%) Container +22% (6%) - +16% Tube +19% (12%) - +7% CCL Consolidated +9% (10%) - (1%) - 11
Slide 12: Income from Operations - Fourth Quarter
Income from Operations Fourth Quarter Ended December 31st (Millions of Cdn$) 2010 2009 Change Label $ 28.6 $ 30.2 (5%) Container 0.3 (3.8) n.m. Tube 1.6 0.8 +100% Operating income 30.5 27.2 +12% Corporate expense (6.6) (4.1) +61% 23.9 23.1 Interest expense (net) (6.0) (6.5) (8%) Earnings before rest
Slide 13: Income from Operations - Twelve Months
Income from Operations Twelve Months Ended December 31st (Millions of Cdn$) 2010 2009 Change Label $ 143.5 $ 128.4 +12% Container (4.2) (7.0) n.m. Tube 8.8 3.0 +193% Operating income 148.1 124.4 +19% Corporate expense (23.4) (16.5) +42% 124.7 107.9 Interest expense (net) (25.1) (29.3) (14%) Earnings
Slide 14: Label - Fourth Quarter
Label Fourth Quarter Ended December 31st (Millions of Cdn$) Excluding Currency 2010 2009 Change Translation Sales $ 225.7 $ 238.2 (5.2%) #DIV/0! ### +1% Operating income $ 28.6 $ 30.2 (5.3%) Return on sales 12.7% 12.7% EBITDA $ 47.3 $ 50.4 (6.2%) % of Sales 21.0% 21.2% The following commentary is ba
Slide 15: Label - North America
Label Fourth Quarter Ended December 31st (Millions of Cdn$) North America (36% of sales) • Home & Personal Care (HPC) sales were flat • Sleeve sales increased mid single digits partly offsetting continuing decline in the small Battery business • Healthcare was down in the mid teens due to H1N1 compa
Slide 16: Label - Europe
Label Fourth Quarter Ended December 31st (Millions of Cdn$) Europe (42% of sales) • HPC sales increased high single digits on new business wins • Sleeve business declined mid single digits as the peak beverage season ended earlier than 09 • Healthcare & Specialty business declined low single digits
Slide 17: Label - Emerging Markets
Label Fourth Quarter Ended December 31st (Millions of Cdn$) Emerging Markets (22% of sales) including Australia • Excellent quarter in Latin America; sales up low double digits on a very strong HPC market. Particularly good results in Brazil; Mexico also strong • Outstanding quarter in Asia; sales u
Slide 18: Label - Twelve Months
Label Twelve Months Ended December 31st (Millions of Cdn$) Excluding Currency 2010 2009 Change Translation Sales $ 955.1 $ 989.4 (3.5%) #DIV/0! ### +7% Operating income $ 143.5 $ 128.4 +11.8% Return on sales 15.0% 13.0% EBITDA $ 216.0 $ 204.3 +5.7% % of Sales 22.6% 20.6% The following commentary is
Slide 19: Container - Fourth Quarter
Container Fourth Quarter Ended December 31st (Millions of Cdn$) Excluding Currency Translation 2010 2009 Change Sales $ 38.4 $ 34.9 +10.0% +12% Operating income $ 0.3 $ (3.8) n.m. Return on sales 0.8% (10.9%) EBITDA $ 3.7 $ (0.2) n.m. % of Sales 9.6% (0.6%) The following commentary is based on const
Slide 20: Container - Twelve Months
Container Twelve Months Ended December 31st (Millions of Cdn$) Excluding Currency Translation 2010 2009 Change Sales $ 162.4 $ 139.9 +16.1% +22% Operating income $ (4.2) $ (7.0) n.m. Return on sales (2.6%) (5.0%) EBITDA $ 9.5 $ 7.8 21.8% % of Sales 5.8% 5.6% The following commentary is based on cons
Slide 21: Tube - Fourth Quarter
Tube Fourth Quarter Ended December 31st (Millions of Cdn$) Excluding Currency 2010 2009 Change Translation Sales $ 17.2 $ 16.2 +6.2% +11% Operating income $ 1.6 $ 0.8 +100.0% Return on sales 9.3% 4.9% EBITDA $ 3.4 $ 2.8 +21.4% % of Sales 19.8% 17.3% The following commentary is based on constant Cana
Slide 22: Tube - Twelve Months
Tube Twelve Months Ended December 31st (Millions of Cdn$) Excluding Currency 2010 2009 Change Translation Sales $ 74.8 $ 69.7 +7.3% +19% Operating income $ 8.8 $ 3.0 +193.3% Return on sales 11.8% 4.3% EBITDA $ 16.3 $ 11.9 +37.0% % of Sales 21.8% 17.1% The following commentary is based on constant Ca
Slide 23: CCL – 2011: early dynamics
CCL – 2011: early dynamics • Immediate outlook for Container looks particularly encouraging; firm plant loading for Q1 with new pricing; easy comps for first half of 2011 • Consumer side of Label (and Tube) also off to a solid start compounded by strong growth rates in Emerging Markets • North Ameri