John B. Sanfilippo & Son, Inc. · NASDAQ:JBSS
John B. Sanfilippo & Son — Sanfilippo John B & SON — Shareholder Meeting (October 2015)
73 slides from John B. Sanfilippo & Son's shareholder meeting presentation, Oct 27, 2015
Slide 1: FY 2015 Annual Stockholder Meeting
FY 2015 Annual Stockholder Meeting October 28, 2015 Exhibit 99.1
Slide 2: Forward-Looking Statements
Some of the statements in this presentation and any statements by management constitute “forward-looking statements” about John B. Sanfilippo & Son, Inc. Such statements include, in particular, statements about our plans, strategies, business prospects, changes and trends in our business and the mar
Slide 3: Agenda
• JBSS Overview and Strategic Goals - Jeffrey Sanfilippo Chairman & CEO • FY 2015 Financial Milestones - Mike Valentine CFO & Group President • Brand Marketing Overview- Howard Brandeisky Sr. VP Global Marketing & Customer Solutions • Capital Expenditures Overview - Jasper Sanfilippo Jr. COO & Presi
Slide 4: Consistent success over past fiscal years
Consistent success over past 4 fiscal years Diluted EPS improvement of 65% 0.5 1.5 2.5 FY12 FY13 FY14 FY15 Diluted EPS FY 12-FY 15 Net Sales increased by 27% to a record $887.2 million $ $
Slide 5: Continuing to Create Shareholder Value
Continuing to Create Shareholder Value Stock Price $32.00 10/24/2014 Stock Price $52.94 10/26/2015 Outperformed the Russell 2000 Index by over 45%! JBSS Russell 2000
Slide 6: Vision and Core Values
Vision To be the global source for nuts, committed to quality, expertise and innovation that delivers an unmatched experience to our customer and consumer Core Values Integrity People Investment Customer Driven Quality Innovation Execution Continuous Improvement Safety Resource Conservation
Slide 7: John B. Sanfilippo & Son, Inc. - The Global Source for Nuts
JOHN B. SANFILIPPO & SON, INC. The Global Source for Nuts®
Slide 8: Building Our Future
JOHN B. SANFILIFPO < SON, INC. Cees BUILDING OUR FUTURE JOHN B. SANFILIPPO & SON, INC. aE ‘Build Fisher and Orchard Valley Harvest into leading rut brands, Utlize consumer insights to develop products and integrated marketing programs that build brand equty, ‘meet consumer needs, and grow the catego
Slide 9: Fisher FY 2015 Accomplishments
Fisher recipe nuts grew market share +2.2 points* Fisher snack nuts market share growth in high franchise Midwest. Orchard Valley Harvest expanded distribution and increased velocity resulting in double- digit revenue growth over FY 2014. FY 2015 Accomplishments *Source: IRI: Total Nut Category – Mu
Slide 10: FY 2015 Accomplishments: Fisher Flagship Store on Tmall
Launched Fisher Flagship Store on Tmall in China. Developed a Fisher stand-up bag product line for China. FY 2015 Accomplishments
Slide 11: FY 2015 Accomplishments: Contract Manufacturing and Ingredients
Leveraged our innovation capabilities to launch 15 new items for our key contract manufacturing customers. Optimized Food Service and Industrial Ingredient customer and product portfolios. Expanded Fisher brand awareness in the Commercial Ingredients channel. FY 2015 Accomplishments
Slide 12: 2014 Award of Excellence
ee opco. 2014 AWARD OF EXCELLENCE John B. Sanfilippo & Son, Ine. ae June 23,2015 Global Midwest Alliance $170,000.00
Slide 13: John B. Sanfilippo & Son, Inc. - The Global Source for Nuts
JOHN B. SANFILIPPO & SON, INC. The Global Source for Nuts®
Slide 14: Steady Increase in Retail Prices
Steady Increase in Retail Prices Over the Last 5 Years Source: IRI: Total Nut Category – Multi Outlet Geography Time Periods: to FY 11 Year Ending 7/3/11 to FY 15 Year Ending 6/28/15 +26% Since FY 2011
Slide 15: Retail Prices Up Across Most Major Nut Types
Retail Prices Up Across Most Major Nut Types over the Last 4 Years Source: IRI: Total Nut Category – Multi Outlet Geography – From FY 15 Year Ending 6/28/15 versus FY 11 Ending 7/3/11
Slide 16: Steady Category Growth
Steady Category Growth Source: IRI: Total Nut Category – Multi Outlet Geography Time Periods: to FY 11 Year Ending 7/3/11 to FY 15 Year Ending 6/28/15
Slide 17: John B. Sanfilippo & Son, Inc. - The Global Source for Nuts
JOHN B. SANFILIPPO & SON, INC. The Global Source for Nuts®
Slide 18: Fiscal 2015 Net Sales $887 Million
$529 Fiscal 2015 Net Sales $887 Million Business Channel Diversification (Millions of $) $36 $207 $115
Slide 19: Fiscal 2015 Consumer Channel Net Sales
Fiscal 2015 Net Sales $529 Million Consumer 60% vs. FY ‘14 FY 2015 Consumer Channel 16.7%
Slide 20: Fiscal 2015 Commercial Ingredients Channel
Fiscal 2015 Net Sales $207 Million FY 2015 Commercial Ingredients Channel vs. FY ‘14
Slide 21: Contract Packaging Channel
FY 2015 Contract Packaging Channel Fiscal 2015 Net Sales $115 Million
Slide 22: Export Channel
FY 2015 Export Channel Fiscal 2015 Net Sales $36 Million
Slide 23: FY 2015 Financial Milestones
FY 2015 Financial Milestones
Slide 24: Stockholders' Equity
JBSS Stockholders’ Equity FYs 1991- In millions of $
Slide 25: Net Sales FYs 1991-2015
JBSS Net Sales FYs 1991- Increased pound volume and prices SKU Rat., De- emphasized Industrial Sales, Lower Prices Low Carb Diet Run Up $887 In millions of $
Slide 26: Total Outstanding Debt
JBSS Total Outstanding Debt FYs 1991- In millions of $
Slide 27: Total Outstanding Debt As % of Net Sales
JBSS Total Outstanding Debt As % of Net Sales FYs 1991 –
Slide 28: EBITDA
EBITDA EBITDA consists of earnings before interest, taxes, depreciation, amortization and noncontrolling interest. EBITDA is not a measurement of financial performance under accounting principles generally accepted in the United States of America ("GAAP"), and does not represent cash flow from opera
Slide 29: Reconciliation of Net Income (Loss) to EBITDA
Reconciliation of Net Income (Loss) to EBITDA (In $,000's) FY2005 FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 NET INCOME (LOSS) 14,499 (16,721) (13,577) (5,957) 6,917 14,425 2,835 17,122 21,760 26,287 29,305 INTEREST EXPENSE 3,998 6,516 9,347 10,502 7,646 5,653 6,444 5,364
Slide 30: EBITDA
EBITDA* * EBITDA is a non-GAAP measure. See slide entitled “Reconciliation of Net (Loss) Income to EBITDA” for reconciliation to GAAP measure
Slide 31: EBITDA Margin (% of Net Sales)
EBITDA* Margin (% of Net Sales) * EBITDA is a non-GAAP measure. See slide entitled “Reconciliation of Net (Loss) Income to EBITDA” for reconciliation to GAAP measure
Slide 32: Peanut and Tree Nut Spot Market Prices vs. JBSS
PEANUT AND TREE NUT SPOT MARKET PRICES VS. JBSS ROLLING 4 QTR. GROSS MARGIN %
Slide 33: Highlights: Q1 2016 vs. Q1 2015
Highlights: Q1 2016 vs. Q1 2015 (in 000’s except EPS) $ Change % Change Net Sales $ 20,740 10.1% Sales Volume (lbs. sold ) Flat Flat Gross Profit $ 2,521 8.2% Net Income $ 2,075 35.1% Earnings Per Share $ 0.18 34.0% Operating Cash Flows $13,103 47.0% Total Debt $ 4,821 8.3%
Slide 34: Brand Marketing Overview
FY 2015 Brand Marketing Overview
Slide 35: Grow Brands
Grow Brands Recipe Nuts Snack Nuts
Slide 36: Total Fisher Brand Growth FY15 vs. FY14
Total Fisher Brand Growth FY15 vs. FY14 +8% +14% Strong Growth on the Fisher brand in FY15 Recipe Nuts Snack Nuts POUND SALES DOLLAR SALES Source: JBSS shipment data
Slide 37: Fisher Brand has Grown Share of Market
Fisher Brand has Grown Share of Market Source: IRI: Total Nut Category – Multi Outlet Geography – Year Ending 6/28/15
Slide 38: Recipe Nuts
Recipe Nuts
Slide 39: Strong and Sustained Growth on Fisher Recipe Nuts
0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% 40.0% Quarter Ending 04-01-Ending 07-01-Ending 09-30-Ending 12-30-Ending 03-31-Ending 06-30-Ending 09-29-Ending 12-29-Ending 03-30-Ending 06-29-Ending 09-28-Ending 12-28-Ending 03-29-Ending 06-28- Quarter Quarter Quarter Quarter Quarter Quarter Quarter Q
Slide 40: "No Preservatives" Message Key Driver for Share Growth
“ No Preservatives” Message Key Driver for Share Growth
Slide 41: Food Network Sponsorship
Continue to Build Fisher Brand Equity with Food Network Sponsorship
Slide 42: Integrated Marketing Key to Building Brand Equity
Website Social Media Public Relations Food Network Email Integrated Marketing Key to Building Brand Equity
Slide 43: Merchandised Foodservice Location
Merchandised Foodservice Location Building Brand Presence and Equity “Away From Home ”
Slide 44: Snack Nuts
Snack Nuts
Slide 45: Snack Nut Strategy Focuses on Midwest High Franchise Markets
Fisher Snack Nut Strategy Focuses on Midwest High Franchise Markets Snack Nuts
Slide 46: Growing Pound Share in High Franchise Markets
Source: IRI: Ttl Snack Nut Category – Fisher High Franchise Geography – Years Ending 6/28/15 We Are Growing our Pound Share in High Franchise Markets Snack Nuts
Slide 47: Driving Results on Core Dry Roast Peanut Business
Driving Results on our Core Dry Roast Peanut Business +45% Since FY13 Source: IRI: Ttl Snack Nut Category – Fisher High Franchise Geography –Years Ending 6/28/15
Slide 48: New Look for Fisher Snack Nuts
New Look for Fisher Snack Nuts
Slide 49: A Snack Bite Combining Consumer Favorites
A Snack Bite combining Consumer favorites
Slide 50: Introducing Fisher Nut Exactly Great Popcorn Varieties
Introducing Fisher Nut Exactly 4 Great Popcorn Varieties for Grocery Channel Unique Varieties for the Club Channel
Slide 51: Meeting Needs of the Snack Consumer
Snacking Yogurt/Veggies Popcorn Nuts Chips Candy Bars Indulgent Healthier Meeting needs of the Snack Consumer New Segment: Lighter than nuts, more substantial than popcorn
Slide 52: Retailers Like our New Snacking Concept Too
Retailers Like our New Snacking Concept Too
Slide 53: Marketing Support to Build Consumer Awareness and Drive Trial
Marketing Support is Designed to Build Consumer Awareness and Drive Trial
Slide 54: Launching Fisher International Line Globally
Launching Fisher International Line Globally Stand-up Bag - Premium Graphics Improved Value Perception “Authentic American” Consumer Communication Portfolio Focused on Honey Roasted International China
Slide 55: Fisher Flagship Store on Tmall in China
Fisher Flagship Store on Tmall in China Supported with digital marketing via and
Slide 56: New Premium Chinese New Year Gift Pack
New Premium Chinese New Year Gift Pack Third-generation offering for key Holiday season Building Fisher image and equity with consumers
Slide 57: Pure and Simple Goodness
Pure and Simple Goodness
Slide 58: Orchard Valley Harvest On-Trend with Today's Consumer
Pure & Simple Goodness Supports a healthy lifestyle Close to the earth Our Orchard Valley Harvest Brand is On-Trend with Today’s Consumer
Slide 59: The Brand Consumers Trust for Pure & Simple Goodness
The Brand Consumers Trust for Pure & Simple Goodness
Slide 60: Orchard Valley Harvest Growth FY15 vs. FY14
Orchard Valley Harvest Growth FY15 vs. FY14 +34% +48% Strong Growth on Orchard Valley Harvest POUND SALES DOLLAR SALES Source: JBSS shipment data
Slide 61: Strong Distribution Gains
Source: IRI: Ttl Produce Nut Category – Total US Food Geography–Year Ending 6/28/15 *Note: % ACV refers to % “All Commodity Volume” as measured by IRI Strong Distribution Gains FY 2013 FY 2014 FY 2015
Slide 62: Grab 'n Go Mini's Multi-Packs
Grab ‘n Go Mini’s Multi-Packs Source: The Hartman Group : Eating Occasions, Compass 2012 The Hartman Group: Reimagining Health and Wellness, 2013 Snacking accounts for over 53% of all eating occasions in the U.S. 38% of consumers snack several times per day We continue to expand our portfolio to add
Slide 63: Expanding to Front of House Foodservice Locations
University Setting Sodexho B&I Location Michigan Ski Resort Expanding to Front of House Foodservice Locations
Slide 64: Digital Initiatives: Impactful Marketing Support
Digital Initiatives Website / Ibotta Impactful Marketing Support
Slide 65: Capital Expenditures History
Capital Expenditures History
Slide 66: Capital Expenditures FY 2009-FY 2015
16,000 14,000 12,000 10,000 8,000 6,000 FY 2009 Fy 2010 Fy 2011 Fy 2012 FY 2013 Fy 2014 Fy 2015 a Siba iae s
Slide 67: JBSS Cap Ex History
JBSS CAP EX HISTORY Category FY FY 2010 FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Non-Manufacturing and Other 1,512 1,581 1,647 1,836 1,888 1,115 2,094 OPERATIONS: - ELGIN 1,854 3,522 1,536 2,621 2,373 5,365 5,033 GUSTINE 1,086 1,140 SELMA 1,136 1,605 1,697 3,321 BAINBRIDGE 1,362 1,255 1,137 2,778 GAR
Slide 68: John B. Sanfilippo & Son, Inc. - The Global Source for Nuts
JOHN B. SANFILIPPO & SON, INC. The Global Source for Nuts®
Slide 69: Importance of Culture
IMPORTANCE OF CULTURE Your culture produces your results. The word change means, “to make or become different”. The single most important change in actions that needs to occur during a time of cultural transition is the shift to greater accountability.
Slide 70: Principles of Successful Strategy
Principles of Successful Strategy • Differentiation – create distinction from competition • Focus – tradeoffs to allocate resources • System – building interrelated network of activities
Slide 71: FY 2016 Doing What Matters Most
FY 2016 Doing What Matters Most * Grow Brands & Key Customers *Maximize Return on Capital * Optimize Business Practices * Deliver the Employment Promise
Slide 72: JBSS Mission
JBSS Mission To be the global leader of quality driven, innovative nut solutions that enhance the customer and consumer experience and achieve consistent, profitable growth for our shareholders. We will accomplish this through our commitment to a dynamic infrastructure that maximizes the potential o
Slide 73: John B. Sanfilippo & Son, Inc. - The Global Source for Nuts
JOHN B. SANFILIPPO & SON, INC. The Global Source for Nuts®
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