Grupo Bimbo Sab De Cv Class A · BMV:BIMBO/A
Grupo Bimbo Sab De Cv Class A — Q3 2017 Earnings Presentation
28 slides from Grupo Bimbo Sab De Cv Class A's earnings presentation, 2017
Slide 1: Investor Presentation Third Quarter 2017
Investor Presentation Third Quarter 2017
Slide 2: A Global Consumer Food Company, Leader in the Baking Industry
A Global Consumer Food Company, Leader in the Baking Industry and a Relevant Participant in Snacks 2 22
Slide 3: Control Group and Key Company Figures
Control Group: 75% Market Cap: US$11.4 bn(1) Float: 25% LTM 3Q17 Revenues(2) Countries Plants Routes Sales Centers POS Associates Brands Products US$13.9 Bn 32 195 ≈57,000 ≈1,700 ≈3.0 million ≈137,000 ≈100 ≈13,000 North America Mexico LATAM EAA U.S. Canada (1) As of September 28th , 2017. Expressed
Slide 4: Successful Growth Story: 40+ acquisitions
Successful Growth Story 2017 40+ acquisitions Frozen Argentina 2016 2015 in the last 10 years 2014 2011 2009 00s 90s 80s 50s 60s 70s 1945 4 4
Slide 5: A Well Balanced Business Mix
A Well Balanced Business Mix… North America Grupo Bimbo Sales & EBITDA Split EAA 11% Net Sales 52% US $13.9 Bn(2) 6% North America(1) 31% Mexico Mexico Latin America EAA(3) 45% 1% Adj. EBITDA US $1.5 Bn (2) -3% Latin America Developed Markets Emerging Markets(1) 57% (58% of sales) (42% of sales) Sou
Slide 6: Strong Leadership Position Across Markets
…with Strong Leadership Position Across Markets Sliced Buns & English Salty Bagels Cookies Cakes Pastries Tortillas Confectionery Bread Rolls Muffins Snacks U.S. #1 #1 #1 #1 ∙ #2 #2 ∙ ∙ ∙ Canada #2 #1 #1 #2 ∙ #1 ∙ #1 ∙ Mexico #1 #1 ∙ ∙ #2 #1 #1 #1 #2 #3 Latin America(3) #1 #1 #2 #1(1) #2(2) ∙ #2 ∙ E
Slide 7: Our Mission
OUR MISSION 7
Slide 8: Opportunity to Grow in a Fragmented Market
Opportunity to Grow in a Fragmented Market… Global Baking Industry • Defensive, fragmented industry with low penetration Grupo Bimbo 3.2% and opportunity of scale US $415 Player 2 2.3% billion Player 3 • Products for different times of 1.3% Others consumption 93.2% • Migrating consumer preferences t
Slide 9: Penetrating Households Globally
…by Penetrating Households Globally 40 11th place in global Penetration (%) ranking among food Household brands 20 0 0 2 4 6 8 10 12 14 Frequency (times per year) Source: KantarWorld Panel Brand Footprint 2017 - Food Category Note: Indomie is not included in the graph(4.7% household penetration and
Slide 10: Our Vision
In2020 = > ‘we transform =| the baking industryand expand.our — global leadership to better serve more consumers.
Slide 11: Key Capabilities
ENDURING MEANINGFUL BRANDS UNIVERSAL PRESENCE 3 WITH SUPERIOR EXECUTION WINNING INNOVATION a IN PRODUCTS AND PROCESSES OUR CULTURE OF CONTINUOUS |. IMPROVEMENT q OUR ASSOCIATES’ ENGAGEMENT AND COMMITMENT TO OUR VISION
Slide 12: The Management Team has Positioned Grupo Bimbo as a Global Market Leader
The Management Team has Positioned Grupo Bimbo as a Global Market Leader Top Management Daniel Servitje Chairman of the Board • Track record of stability and sustainable growth • Successfully completed and integrated over 40 acquisitions over the Audit Committee Results and Finance & last 10 years a
Slide 13: Global Brands with Top of Mind Awareness
Global Brands with Top of Mind Awarness 2 5 +US $500 million +US $1 billion 4 88 +US $100 +US $100 +US $250 million million million Source: Internal information on estimated retail sales by brand considering the last twelve months as of September 30, 2017 13 13
Slide 14: Key Categories
Key Categories Packaged bread Solutions tortillas, pitas, wraps, pizza base, sliced bread, premium, buns & tostadas and totopos rolls, breakfast and frozen bread Sweet baked goods Prepackaged foods cakes and pastries Cookies Confectionery sweet cookies and crackers Salty snacks Others 14 14
Slide 15: 15
15 15
Slide 16: World Class Distribution with Superior Execution at the Point of Sale
World Class Distribution with Superior Execution at the Point of Sale 90 Quality and More than 3.0 Global Trips around presence with freshness million points the World guaranteed of sale served local daily execution Benefit from Scale and Efficient Production Capabilities 49 million 195 facilities F
Slide 17: Continue to Invest in Innovation
Continue to Invest in Innovation Donuts Bread Snacks We are developing products Entenmann’s on the path and Bread expertise to for market leadership in reinvent “snackification” categories that follow new megatrends the US Expansion Portion Control Opportunities Little Bites is the #1 brand Breakthr
Slide 18: Snacks Category: Creating Memorable Experiences
Snacks Category: Creating Memorable Experiences for Every Consumption Occasion • US$ 429 bn industry globally, grew at an annual rate of 4.8% since 2012 and forecasted to reach US$ 550 bn by 2022 Snacks • With urbanization and longer working hours, consumers eat snacks for convenience, increasingly
Slide 19: Capabilities Grounded on our Commitment with Sustainability
Our Capabilities are Grounded on our Commitment with Sustainability Not a department or Focusing on four pillars function, but rather a integral to our strategy and way of doing business overseen by the Sustainability Central Committee This is how we reach our Vision, fulfill our Mission and meet ou
Slide 20: Sustained Growth with Focus on Profitability
Sustained Growth with Focus on Profitability Net sales(1) Adj. EBITDA(1) & margins by region (2) CAGR : 9.2% CAGR(2): 15.6% 11.6 265,446 10.7 10.7 252,141 9.8 9.8 219,186 29,298 28,398 176,041 187,053 8.1 173,139 23,369 17,326 18,420 14,076 2012 2013 2014 2015 2016 LTM 3Q17 2012 2013 2014 2015 2016
Slide 21: Responsible Financial Policies
Responsible Financial Policies • Commitment to a strong Balance Sheet Dividend History MXN millions • Efficient working capital management Ordinary Dividends Extraordinary Dividends • Focused on reinvestment • Conservative dividend payout • Conservative risk management, aligned with 1,646(2) the Com
Slide 22: Long-term View to Strengthen our Financial Flexibility
Long-term View to Strengthen our Financial Flexibility Debt Amortization Profile(1) Currency Mix(3) US$ millions % Total Debt: US$3,965 mm Avg. Tenor: 7.5 yrs. Avg. Cost: 4.8% CAD 24% USD 53% 160(2) MXN 19% 800 800 800 440 500 275 EUR 190 3% 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2044 Loc
Slide 23: The Leading Supplier to the Global QSR Industry
The Leading Supplier to the Global QSR Industry Leading foodservice-focused company that supplies baked goods to Quick Service Restaurants (“QSR”) across the world Operates 21 bakeries in 11 countries Excellence in food safety and quality assurance Produces and ships 13 mm baked goods to 10k+ stores
Slide 24: Positions Grupo Bimbo as a Leading Player in the QSR Industry
Positions Grupo Bimbo as a Leading Player in the QSR Industry 1 2 3 4 Traditional Modern Channel Foodservice Others Supermarkets, QSR, schools, Vending machines, Channel convenience stores, hospitals, restaurants, wholesale, among “Mom & pops” others among others among others A leading player in the
Slide 25: Strengthens our Geographic and Channel Diversification
Strengthens our Geographic and Channel Diversification Eastern Europe - Ukraine - Russia 2 Western Europe(1) - France - Italy - Switzerland 5 Asia - China United States - South Korea Sales Breakdown by Region 3 7 United Rest of the States World 32% Middle East & Africa(1) 43% - Turkey - Morocco - So
Slide 26: Enhancing our Presence through Bolt-On Acquisitions
Enhancing our Presence through Bolt-On Acquisitions • Marroquin Company • Producer of slow • The baking leader in • U.S. based company specialized in baked crafted baked bread New Delhi and its • Refrigerated goods in Toronto, Canada surrounding areas breakfast bakery • Estimated annual • Estimated
Slide 27: #ConElCariñoDeSiempre
#ConElCariñoDeSiempre www.grupobimbo.com/ir ir@grupobimbo.com 27
Slide 28: Disclaimer
The information contained herein has been prepared by Grupo Bimbo, S.A.B. de C.V. (the “Company") solely for use at this presentation. This presentation does not purport to contain all of the information that may be required to evaluate any investment in the Company or any of its securities and shou