Tate & Lyle Plc · LSE:TATE
Tate & Lyle — Investor Day (January 2016)
84 slides from Tate & Lyle's investor day presentation, Jan 14, 2016
Slide 1: Welcome
WELCOME CAPITAL MARKETS EVENT, 14 JANUARY 2016
Slide 2: Cautionary Statement
CAUTIONARY STATEMENT This presentation for the Capital Markets event on 14 January 2016 has been prepared solely to provide information to assess the Group’s strategy and should not be relied upon for any other purpose. It contains certain forward-looking statements with respect to the financial con
Slide 3: Your Speakers Today
YOUR SPEAKERS TODAY Javed Ahmed Nick Hampton Joan Braca Gabriella Parisse Chief Executive Chief Financial Officer President, President, Speciality Food Ingredients Innovation and Commercial Development Vince Pinneri Dr. Andy Hoffman Abigail Storms Senior Vice President, Director, Wellness Product Vi
Slide 4: Agenda
Subject Presenter(s) AGENDA Welcome and Agenda Javed Ahmed Strategic Progress Javed Ahmed Speciality Food Ingredients Joan Braca, Vince Pinneri Q&A Javed Ahmed, Joan Braca Product Tasting and Break Gabriella Parisse, Dr. Andy Hoffman, Innovation and New Products Abigail Storms Performance Overview N
Slide 5: Strategic Progress
STRATEGIC PROGRESS Javed Ahmed, Chief Executive 5
Slide 6: Long-term Evolution of Tate & Lyle
LONG-TERM EVOLUTION OF TATE & LYLE Mix of adjusted operating profit1 6% 22% 32% 30% 47% 47% 70% 46% 1970s – 2000s FY 2010 FY 2015 2020 Ambition Predominantly Growing Materially commodity business SFI business SFI-focused business Sugars and other bulk commodities Sucralose Speciality Food Ingredient
Slide 7: Significant Reshaping Over Last 5 Years
SIGNIFICANT RESHAPING OVER LAST 5 YEARS 2010 New capabilities, skills and a common culture 2015 Global Operating Model SFI Growth Capabilities Portfolio Re-alignment • Separate BI and SFI divisions • Global Commercial and Food • Exit regulated markets Innovation Centre (EU Sugars and re-alignment •
Slide 8: Overview of Group Today
OVERVIEW OF GROUP TODAY Group Speciality Food Ingredients Bulk Ingredients £2.4bn Sales1 £184m Adjusted operating • Leading positions in attractive markets • Focused on more stable, large US market profit1 • Greater product/geographical diversification • Strong market positions • Strong innovation f
Slide 9: Strengthened Management Team
STRENGTHENED Javed Ahmed MANAGEMENT TEAM Chief Executive Nick Hampton Joan Braca Jim Stutelberg Gabriella Parisse Chief Financial President, Speciality President, President, Innovation and Officer Food Ingredients Bulk Ingredients Commercial Development Pierre Schoumacher Rowan Adams Rob Luijten Rob
Slide 10: Strategy Underpinned by Clear Executional Priorities
STRATEGY UNDERPINNED BY CLEAR EXECUTIONAL PRIORITIES Speciality Food Ingredients Growth engine • Drive growth in North America • Build on growth in Asia Pacific and Latin America • Restructure Europe to enhance margins Strategy • Top line growth in Food Systems • Continue to drive growth in New Prod
Slide 11: Clear Ambition to Strengthen Business Mix by 2020
CLEAR AMBITION TO STRENGTHEN BUSINESS MIX BY 2020 Mix of Group profits Geographic spread of SFI Sales Contribution from New Products Adjusted operating profit1 SFI Sales2 New Products Sales4 $200m 30% 30% 50% 70% 20% $69m 3 Speciality Food Ingredients North America 2015 2020 Bulk Ingredients Europe,
Slide 12: Topics for Today
TOPICS FOR TODAY Speciality Food Ingredients Innovation and New Products Performance Overview • Positioning for growth • Approach and process • Financial overview • Approach to the market • Progress • 2020 Ambition • Case studies • Soluble Fibres • Cash management • Rare Sugars TOPICS FOR ANOTHER TI
Slide 13: Speciality Food Ingredients
SPECIALITY FOOD INGREDIENTS Joan Braca, President, Speciality Food Ingredients 13
Slide 14: Speciality Food Ingredients
SPECIALITY FOOD INGREDIENTS • Sales: £868 million1 • Profit: £136 million2 • Countries directly operate in: >30 • Applications/Technical Service labs:16 Growth ex-SPLENDA® Sucralose, CAGR FY10-15 Volume3 Profit3 +4% +7% FY10 FY15 FY10 FY15 1 On an equity accounting basis for continuing operations fo
Slide 15: What We Will Talk About Today
WHAT WE WILL TALK ABOUT TODAY 1 SFI well-positioned for growth 2 Capabilities we are building to win in the market 3 How we approach the market and the customer 4 Two case studies demonstrating our approach 15
Slide 16: Global SFI Market Is Large and Attractive
GLOBAL SFI MARKET IS LARGE AND ATTRACTIVE ~US$42bn Size1 ~4-5% Annual growth1 Tate & Lyle addresses three market segments • Sweeteners • Texturants • Health & Wellness 1 Leatherhead; LMC International; Company Analysis; Data as at 2013 16
Slide 17: Global Trends Leading to Changing Consumer Demands
GLOBAL TRENDS LEADING TO CHANGING CONSUMER DEMANDS Changing Changing Global trends consumer behaviour1 consumer demands • Healthier Health & Wellness 65% ‒ Low-sugar look for information on calories on the package label1 ‒ Low-fat ‘Clean label’ ‒ Low-salt 56% ‒ Added nutrition look for foods • Lower
Slide 18: Our Portfolio Is Well-placed for Healthier Foods
OUR PORTFOLIO IS WELL-PLACED TO BENEFIT FROM GLOBAL MOVE TOWARDS HEALTHIER FOODS Sweeteners Texturants Health & Wellness Natural Speciality Speciality HIS1 sweeteners2 starches e.g. Health & Wellness ‘Clean label’ ‘Free-from’ ‘On the go’ Leader in
Slide 19: Significant Investment Over the Last 5 Years
SIGNIFICANT INVESTMENT OVER THE LAST 5 YEARS New Markets New Products New Capabilities • Infrastructure • New product pipeline • Category and consumer insight • Applications expertise • Bolt-on acquisitions of new technologies • Applications and Technical • Customer-facing resources and products Ser
Slide 20: Investment in New Markets Delivering Strong Growth
INVESTMENT IN NEW MARKETS DELIVERING STRONG GROWTH Significant increase in presence and business in Asia Pacific and Latin America FY11-15 +7 New Applications labs and sales offices +20% Increase in sales CAGR1 +3 New blending and manufacturing facilities +74% x2 Increase in operating profit CAGR1 N
Slide 21: Key Success Factors and Go-to-market Model
KEY SUCCESS FACTORS AND GO-TO-MARKET MODEL Deep consumer and Consumer insight category understanding Go-to-market Category Sweeteners Deep customer understanding model expertise and relationships Sub-category Solutions capabilities focus Texturants Customer Relevant product portfolio segmentation He
Slide 22: Refined Go-to-market Model
REFINED GO-TO-MARKET MODEL Consumer Category Sub-category Customer Resource insight expertise focus segmentation allocation Global Strong Focus on higher growth consumer trends category expertise sub-categories Convenience Dairy Convenience Dairy 1 1 2 2 3 3 Beverage Bakery Beverage Bakery 1 1 2 2 3
Slide 23: Clear Focus on Higher Growth Sub-categories
CLEAR FOCUS ON HIGHER GROWTH SUB-CATEGORIES Consumer Category Sub-category Customer Resource insight expertise focus segmentation allocation Strong Focus on higher growth Broad range category expertise sub-categories of customers Convenience Dairy Estimated dairy category growth in Asia Pacific 2016
Slide 24: Sub-category Expertise and Customer Segmentation Drive Resource Allocation
COMBINATION OF SUB-CATEGORY EXPERTISE AND CUSTOMER SEGMENTATION DRIVES RESOURCE ALLOCATION Consumer Category Sub-category Customer Resource insight expertise focus segmentation allocation Sub-category Customer Allocation of multi-disciplined expertise segmentation commercial teams Convenience Dairy
Slide 25: Summary
SUMMARY • Strong structural growth drivers ‒ Operate in attractive markets ‒ Strong consumer understanding and category expertise ‒ Highly relevant portfolio of products • Invested for growth • Refined go-to-market model driving success in emerging markets • Replicating model globally 25
Slide 26: Growth in Asia Pacific
GROWTH IN ASIA PACIFIC 26
Slide 27: Strong Growth Opportunities in Asia Pacific
STRONG GROWTH OPPORTUNITIES IN ASIA PACIFIC Estimated Asia Pacific Food & Beverage Market category growth CAGR 2016-191 Asia Pacific1 Rest Category Size2 Growth 23% China Dairy $164bn 6.4% 42% Thailand 2% Beverage $183bn 6.6% Indonesia 4% Convenience $207bn 4.5% Bakery $127bn 4.5% Japan 29% 1 Euromo
Slide 28: Yoghurt in China
YOGHURT IN CHINA Sub-category case study 28
Slide 29: Yoghurt Sub-category in China Is Large and Growing Strongly
YOGHURT SUB-CATEGORY IN CHINA IS LARGE AND GROWING STRONGLY China Dairy Market1 $85bn 8% End-market size Estimated growth China Yoghurt Category1 $16bn 12% End-market size Estimated growth 1 Euromonitor International (January 2016) estimated CAGR growth 2016-19; market sizes in US dollars 29
Slide 30: Chinese Consumers Increasingly Buy on Health Benefits
CHINESE CONSUMERS ARE INCREASINGLY MAKING PURCHASING DECISIONS BASED ON HEALTH BENEFITS Weight Management Digestive Health ‘Clean Label’ Consumers who buy products Consumers who buy products Consumers who say ‘clean label’ based on a low / reduced based on a digestive is one of the top three factors
Slide 31: China Yoghurt: Customer Solution
CHINA YOGHURT: CUSTOMER SOLUTION Key capabilities Customer challenge Deep consumer and category understanding Deep customer understanding and relationships Solutions capabilities End-Product Relevant product portfolio Cost effective global supply chain 31
Slide 32: Building Strong Growth in China Yoghurt
BUILDING STRONG GROWTH IN CHINA YOGHURT What we did…… Results so far…… • Built strong local technical expertise Sales growth CAGR1 in dairy applications • Established go-to-market team focused on selectively targeting +68% dairy customers • SFI and ICD worked closely FY11 FY15 together to engage cus
Slide 33: North America
NORTH AMERICA Vince Pinneri, SVP and General Manager North America, SFI 33
Slide 34: North America Speciality Food Ingredients
NORTH AMERICA Speciality Food Ingredients Sales: £313 million1 Broad customer base Leading market positions: • Speciality food starches • Crystalline fructose • Soluble corn fibre Strong heritage in food ingredients 1 Excluding SPLENDA® Sucralose and Food Systems, equity accounting for the year ende
Slide 35: Driving Growth in North America
DRIVING GROWTH IN NORTH AMERICA Key Actions Volume Opportunity SFI volume growth1 CAGR FY11‒15 • Strengthened leadership team ‒ New General Manager, Finance Director and Head of Sales since 2014 4% • Strengthened and re-focused go-to-market team ‒ From product to category selling 0.4% • Starting to
Slide 36: Nutrition Bars in North America
NUTRITION BARS IN NORTH AMERICA Sub-category case study 36
Slide 37: Nutrition Bars Are a Key Driver of Growth in Bars
NUTRITION BARS ARE A KEY DRIVER OF GROWTH IN THE BARS SUB-CATEGORY Factors Influencing US Consumers Market size1 $118 $7.1 $2.7 Bars Purchasing Decision3 billion billion billion 6.2% 33% Weight Management 1.9% 30% Better for me 0.6% 16% Overall Bakery 2 Bars category 2 Energy and Give me what I need
Slide 38: Our Portfolio Is Well-placed to Meet Customer Needs
OUR PORTFOLIO IS WELL-PLACED TO MEET CUSTOMER NEEDS Fibre and Protein Enrichment Healthier snacking General snacking Energy and Snack Breakfast Fruit Granola Nutrition Bars Bars Bars Bars Bars Sugar and Calorie Reduction KRYSTAR® 38
Slide 39: North American Nutrition Bars: Customer Solution
NORTH AMERICAN NUTRITION BARS: CUSTOMER SOLUTION Key capabilities Customer challenge Deep consumer and category understanding • • Fibre degradation Bar pliability Deep customer understanding and relationships • Consumer complaints Solutions capabilities End-Product Relevant product portfolio
Slide 40: Building Strong Growth in Bars Category
BUILDING STRONG GROWTH IN BARS CATEGORY What we did…… Results so far…… • Built strong local technical 14% expertise in applications for bars Increase in fibre sales in bars category CAGR FY13-15 • Established go-to-market team focused on selectively targeting 36% bars customers Increase in fibre cus
Slide 41: Summary
SUMMARY • Strong structural growth drivers ‒ Operate in attractive markets ‒ Strong consumer understanding and category expertise ‒ Highly relevant portfolio of products • Invested for growth • Refined go-to-market model driving success in emerging markets • Replicating model globally 41
Slide 42: Q&A Session
Q&A SESSION Javed Ahmed Joan Braca 42
Slide 43: Innovation & New Products
INNOVATION & NEW PRODUCTS Gabriella Parisse, President, Innovation and Commercial Development 43
Slide 44: Innovation and Commercial Development (ICD) Remit
INNOVATION AND COMMERCIAL DEVELOPMENT (ICD) REMIT Connect consumer needs with superior science Consumer Science Customer Solutions Deliver New Products sales of $200m by 2020 44
Slide 45: ICD Combines R&D and Commercial Functions in One Team
ICD COMBINES R&D AND COMMERCIAL FUNCTIONS IN ONE TEAM Global Platform Research & Open Marketing Strategy Development Innovation Fully integrated with SFI Consumer and Global and the broader business customer-driven focus 45
Slide 46: Key Learnings
KEY LEARNINGS Consumer understanding and insights • Category dynamics • Global view Early customer collaboration • Co-creation • Validation Time to market • Customer adoption cycle • Regulatory approval • Balance of pipeline Engagement of multiple stakeholders • Health care professionals • Regulator
Slide 47: Built a Strong Foundation to Deliver Innovation
BUILT A STRONG FOUNDATION TO DELIVER INNOVATION 1 Established world-class global innovation and customer-facing facility 2 Developed platform strategies addressing large consumer opportunities 3 Built superior scientific capabilities to execute strategies 4 Established broad external innovation netw
Slide 48: World-class Innovation Centre Drives Customer Collaboration
WORLD-CLASS INNOVATION CENTRE DRIVES CUSTOMER COLLABORATION • Consumer insights support • Full scale sensory capabilities • Culinary development • Category applications and technical service expertise • Advanced analytical services • Ingredient and technology development • Human nutrition and regula
Slide 49: Consumer and Category Insights
CONSUMER AND CATEGORY INSIGHTS Primary consumer research undertaken in core areas of focus 90% % of consumers trying to eat “more” or “much more” fibre1 80% Average 70% 53% 60% 50% 40% 30% 20% UK USA Germany China Brazil Russia Mexico Japan France Male Female Why don’t you consume fibre daily? What
Slide 50: Platform Strategies Aligned to Large Consumer Opportunities
PLATFORM STRATEGIES ALIGNED TO LARGE CONSUMER OPPORTUNITIES Sweeteners Texturants Health & Wellness Drive Deliver high-performing and Deliver wellness through sugar substitution ‘clean label’ texturants fibre enrichment Sugar has ~80% share of 1 in 4 new products launched globally in Global consumer
Slide 51: Superior Scientific Capabilities to Execute Strategies
SUPERIOR SCIENTIFIC CAPABILITIES TO EXECUTE STRATEGIES Focus on five scientific competencies Organic Bio- Separations Formulations Particle Chemistry Chemistry Science Science Design Sweeteners Texturants Health & Wellness Drive Deliver high-performing and Deliver wellness through sugar substitution
Slide 52: Superior Scientific Capabilities to Execute Strategies
SUPERIOR SCIENTIFIC CAPABILITIES TO EXECUTE STRATEGIES Focus on five scientific competencies Organic Bio- Separations Formulations Particle Chemistry Chemistry Science Science Design 52
Slide 53: Actively Protecting Innovation
ACTIVELY PROTECTING INNOVATION Patents Issued Patents Pending 289 268 Health & Wellness Health & Wellness Sweeteners Sweeteners 1471 Texturants Texturants Other (Including Other (Including Product Applications) Product Applications) 2012 20152 2015 2 1 December 2012 data reflecting active patents; e
Slide 54: External Network Complements In-house Innovation
EXTERNAL NETWORK COMPLEMENTS IN-HOUSE INNOVATION In-house Open Tate & Lyle innovation Innovation Ventures • New products or technologies • Leverages global network • Leverages global network of generated by in-house of 2,000+ research research institutions, venture scientists institutions, start-ups
Slide 55: Disciplined Innovation Process
DISCIPLINED INNOVATION PROCESS SFI New Products Pipeline at September 2015 22 projects 8 5 5 3 1 Stage 1 Stage 2 Stage 3 Stage 4 Stage 5 Texturants Health & Wellness Sweeteners 0 1 2 3 4 5 Stage Business Idea Definition Feasibility Capability Launch Gates Case Compelling Attractive preliminary Preli
Slide 56: Strong Pipeline Quality
STRONG PIPELINE QUALITY SFI New Products Project Bridge March 2014 to September 2015 • ~20% of pipeline at March 2014 commercialised 5 • 40% of March 2014 pipeline killed or placed on hold 12 11 28 22 • Risk adjusted revenue substantially increased • Regular and deep involvement of Moved to Killed o
Slide 57: Manage Pipeline Balance and Product Development
MANAGE PIPELINE BALANCE AND PRODUCT DEVELOPMENT Breakthrough Next Generation Incremental 35% 35% 30% More complex projects Take existing technology or Projects typically with less typically ‘new to the world’ products to next level complexity e.g. line extensions Promitor® Product Family 2004 2007 2
Slide 58: Early Customer Engagement
EARLY CUSTOMER ENGAGEMENT DOLCIA PRIMA® Allulose Development • First discussed allulose concept with customers First customers three years prior to launch Ongoing customer engagement engaged • Large, regional and smaller customers engaged in Business development phase Idea Definition Case Feasibilit
Slide 59: Strengthening Talent and Capabilities
STRENGTHENING TALENT AND CAPABILITIES Deep consumer Deep scientific understanding expertise Consumer Science 88% 54% 70% % of Global Marketing % of scientists % of scientists resources with with PhDs with >5 years FMCG experience post-graduate experience 59
Slide 60: Key Strengths
KEY STRENGTHS 1 2 3 4 5 Focused Deep Pipeline Consumer Leading-edge platform customer discipline insights science strategies engagement and quality Talent and Capabilities 60
Slide 61: Translating Innovation into a Strong Commercial Portfolio
TRANSLATING INNOVATION INTO A STRONG COMMERCIAL PORTFOLIO Unique low Natural, Great-tasting Fibre Natural, heart Sodium A high-performing calorie sugar no calorie natural, zero enrichment healthy soluble reduction ‘clean label’ starch that offers a sweetener from calorie stevia solution with fibre t
Slide 62: Growth from New Products Is Progressing Well
GROWTH FROM NEW PRODUCTS IS PROGRESSING WELL Sales ($m) FY12 FY13 FY14 FY15 FY16 FY17 2020 $200m H1 only =>10% SFI sales 56% CAGR 69 48 43 37 18 1 ‘New Products’ are products launched within the last 7 years 62
Slide 63: Summary
SUMMARY • Clear model connecting consumer and science to create competitive customer solutions • Robust innovation process maximising the value and return on investment of the pipeline • High calibre talent and expertise • Launched a strong portfolio of commercial new products over the last few year
Slide 64: Fibre/Promitor
FIBRE/PROMITOR® Dr. Andy Hoffman, Director, Wellness Product Development, ICD 64
Slide 65: Soluble Fibres Address Two Key Global Consumer Trends
SOLUBLE FIBRES ADDRESS TWO KEY GLOBAL CONSUMER TRENDS Remove Sugar Obesity crisis Calories Add Fibre gap Fibre Soluble fibres can be used across nearly all food and beverage categories 65
Slide 66: A Fibre Is a Carbohydrate Resistant to Digestion
A FIBRE IS A CARBOHYDRATE RESISTANT TO DIGESTION Fibres are: Links at positions 2 and 3 • Complex carbohydrate polymers are indigestible in the small intestine • Resistant to absorption and human enzymes in the small intestine • With beneficial physiological effects Which means fibres: • Have low su
Slide 67: A Leading Portfolio of Soluble Fibres
A LEADING PORTFOLIO OF SOLUBLE FIBRES • Soluble corn fibres with multiple product grades • Can increase fibre content and reduce fat, sugar and calories • Have EFSA claims for fibre content1, glycaemic response2 and tooth mineralisation2 • EFSA health claim for lowering cholesterol (heart disease ri
Slide 68: Promitor Is a Unique, Easy-to-use Soluble Fibre
PROMITOR® IS A UNIQUE, EASY-TO-USE SOLUBLE FIBRE • Easy-to-use soluble fibre Customer offering: • Maintains great taste and texture • Applications expertise, • Excellent digestive tolerance particularly in combining with sweeteners range • Consumer-friendly labelling options • Scientific and nutriti
Slide 69: Examples of Customers Using Promitor
EXAMPLES OF CUSTOMERS USING PROMITOR® Nutrition Ice Bars Cream Customer chose Promitor® To enable a “High in Fibre” claim To replace sugar and reduce calories Opportunity: increasing dosage levels in a growing market Opportunity: use in mainstream products 69
Slide 70: Summary
SUMMARY • Soluble fibres address two key consumer needs ‒ Lack of fibre in diets ‒ Sugar and calorie reduction • Fibre health benefits from resistance to digestion • Unique and leading portfolio of fibres • PROMITOR® is an ingredient developed in-house and continuously innovated • Two main growth op
Slide 71: Rare Sugars
RARE SUGARS Abigail Storms, Vice President, Sweetener Platform, ICD 71
Slide 72: Rare Sugars
RARE SUGARS Rare sugars Allulose • Occur in very small quantities in nature • Allulose is a rare sugar, and occurs in very small quantities in certain foods and fruits • Molecular structure is that of a sugar such as figs, raisins and jackfruit • Many have potential characteristics • Until now, allu
Slide 73: Dolcia Prima Allulose
DOLCIA PRIMA® ALLULOSE Provides all the taste and texture of sugar without all the calories 10% 30% 70% 90% 70% of the Less than 10% of the • Bulk and texture of a sugar sweetness of sucrose calories of sucrose • Browns and caramelises like sugar • Same temporal profile as sugar • Works in synergy w
Slide 74: First Scale Commercialisation of Allulose
FIRST SCALE COMMERCIALISATION OF ALLULOSE First scale commercialisation of allulose Validation • Identified and industrialised the enzyme through a proprietary process • Designed process to leverage our existing Customer manufacturing assets • Used separations and purification expertise Clinical and
Slide 75: Dolcia Prima Allulose: The Opportunity
DOLCIA PRIMA® ALLULOSE: THE OPPORTUNITY Consumers/customers continue to look for healthier options that still taste great Making low/no calorie Reducing calories products taste even better in full sugar options Diet CSDs Baked goods Iced tea Frostings Yoghurt Fillings Ice cream Mid calorie CSDs Juic
Slide 76: Dolcia Prima Summary
DOLCIA PRIMA® SUMMARY • Unique set of benefits to meet today’s consumer demand to reduce calories • First products with allulose launched • Customers formulating across categories in US • Consumer testing ongoing with major brands • Regulatory approval gained in first Latin American countries • Port
Slide 77: Performance Overview
PERFORMANCE OVERVIEW Nick Hampton, Chief Financial Officer 77
Slide 78: First Half Performance Headlines
FIRST HALF PERFORMANCE HEADLINES • Encouraging first half of the year • Speciality Food Ingredients performing well with good mix management • Volume from New Products continues to grow strongly • Bulk Ingredients performance impacted by challenging commodities markets • Executional discipline and s
Slide 79: Executional Priorities on Track
EXECUTIONAL PRIORITIES ON TRACK Eaststarch transaction completed Re-focus Supply chain and SFI capacity SPLENDA® Sucralose performance management expansion • Singapore facility set to close • Improved global supply and • Coming on line gradually in Spring 2016 demand planning processes during H2 •
Slide 80: Tate & Lyle 2020 Ambitions
TATE & LYLE 2020 AMBITIONS Businesses Speciality Food Ingredients • Grow on average modestly ahead of the market • Margin expansion over time Group Shareholders • Broaden geographic sales mix Growing earnings Attractive dividend with • $200m sales from New Products growing cash cover Bulk Ingredient
Slide 81: Disciplined Use of Cash; Rebuilding Cash Dividend Cover
DISCIPLINED USE OF CASH; REBUILDING CASH DIVIDEND COVER Increasing expansion and cost reduction capital expenditure Capital and operating cash flow discipline Target Capital discipline IRR Payback • Transformation infrastructure now in place 23% Transformation capex 45% • Mix of spend moving to SFI
Slide 82: Summary
SUMMARY Javed Ahmed Chief Executive 82
Slide 83: Summary
SUMMARY • SFI well-positioned for growth • Refined go-to-market model driving success in emerging markets • Replicating go-to-market model globally • Strong innovation engine • Strengthened management team • Confident in medium term ambitions 83
Slide 84: Q&A Session
Q&A SESSION Javed Ahmed Nick Hampton Joan Braca Gabriella Parisse 84