Italian Wine Brands S.p.a. · MIL:IWB
Italian Wine Brands — H1 2023 Earnings Presentation
41 slides from Italian Wine Brands's earnings presentation, Sep 15, 2023
Slide 1: HY 2023 Results
HY 2023 RESULTS Milan, September 15 th, 2023
Slide 2: Our Team
OUR TEAM Presenting Today Alessandro Mutinelli Gabriella Fabotti Chairman & CEO CFO
Slide 3: 1° Half 2023 IWB
1° Half 2023 IWB Results far overperform market trends Confirmed high cash generation Positive outlook for the 2°H
Slide 4: Where are we now?
WHERE ARE WE NOW? 1 H1 2023 Achievements 4 One Company ❖ From 6 to 2 ❖ Highlights ❖ Values & Results ❖ Digital & Social media 2 Market 3 Financial Highlights ❖ Net Sales ❖ Sales by channel ❖ Economic Results ❖ Cash Generation
Slide 5: H1 2023 Financial Achievements
H 1 2 0 2 3 F i n a n c i a l A c h i e ve m e nt s 1 Higher profitability and continuos Business growth REVENUES SOUND & INCREASE INCREASED PROFITABILITY Eur 196,8 m Eur 17,3 m Revenues Ebitda Restated +11% vs 1°H 2022 +21,4% vs 1°H 2022 POSITIVE INCREASED CASH NET RESULT GENERATION* Eur 4,6 m + 7,
Slide 6: Our brand everywhere, making customers happy and us too
Our brand everywhere, Making customers happy and us too
Slide 7: IWB Mission
IWB Mission How do we translate the vision into reality 2 1 What we want to be: 3 We are solid, agile and What we have to do: flexible with clear and How we behave: Conquer the market by efficient processes, which We recognise ourselves in creating brands loved for makes us competitive and our value
Slide 8: Customers at the center
C u sto m e rs a t t h e c e nte r The customer is our employer and we work to make them happy We work together to make our customers happy, so they guarantee our growth, well-being and security NEW COUNTRIES NEW CHANNELS/NEW CUSTOMERS Turkey Tesco Brasil (3 customers) Migros Colombia Travel Retail
Slide 9: Customers at the center
C u sto m e rs at t h e c e nte r New Listings in every Country COOP CH: New listing Soffio Oro Rosé and Raphael Dal Bo 375 ml Denner CH: New listing Pop It Now Prosecco Developing Horeca: Additional distributor in Switzerland: Carlsberg And many others with main customers !!!
Slide 10: Quality, Innovation and Entrepreneurship
Q u a l i t y, I n n o vat i o n a n d E nt re p re n e u rs h i p QUALITY INNOVATION AND ENTREPRENEURSHIP Each one of us is responsible for the final quality of the product and We look ahead and innovate to keep service. up with the times. We are committed to continuous Everyone is responsible for
Slide 11: Quality, Innovation and Entrepreneurship: Awards
Q u a l i t y, I n n o vat i o n a n d E nt re p re n e u rs h i p Awards 5 Stars Wine Annuario dei migliori vini Italiani Berliner Wein Trophy Wine Enthusiast Best Producer "Still wine“ Italy - Provinco Italia, SpA
Slide 12: Quality, Innovation and Entrepreneurship
Q u a l i t y, I n n o vat i o n a n d E nt re p re n e u rs h i p VOGA Prosecco Still Elettra Sauvignon Blanc She’s Always rosé ALBERTO NANI, Prosecco Frizzante
Slide 13: Quality, Innovation and Entrepreneurship
Q u a l i t y, I n n o vat i o n a n d e nt re p re n e u rs h i p VOGA and She’s Always, Grande Alberone Special bottles for Duty Free & Travel Retail Rosé Sparkling Grande Alberone RONCO DI SASSI, Terre Siciliane, Rosso Toscana Primitivo Malbec
Slide 14: Digital & Social Media
D i g i ta l & S o c i a l M e d i a We s upport our brands with Dig ital an d Social media activities @vogaitalia @VOGAitalia @vogaitalia vogaitalia.com @albertonaniprosecco @albertonaniprosecco Albertonani.com @shesalwaysroswines shesalwaysrosewines.com @grandealberone_italianwines Grandealberone.
Slide 15: Personal Growth
Pe rs o n a l G ro w t h PERSONAL GROWTH The team wins if it is united and running towards the same goal. We listen, respect and support each other so that working is a pleasure and an opportunity for growth for all IWB ACADEMY INCENTIVE PLAN ❖ Corporate training courses, manuals ❖ New 3 years incen
Slide 16: Barbanera Integration & Development
B a r b a n e ra I nte g rat i o n & D e ve l o p m e nt IWB it is not only a Group but a platform that successfully integrates acquired companies ❖ Barbanera family part of IWB Board ❖ Barbanera integrated in IWB • Sales team • Operation • Purchasing & Finance
Slide 17: Respect for rules, people and promises
Re s p e c t fo r t h e r u l e s , p e o p l e a n d p ro m i s e s We look ahead and innovate to keep up with the times. Everyone is responsible for seizing VIVA Certification opportunities, solving ❖ Air indicator problems quickly and ❖ Water indicator making things happen. ❖ Territory indicator
Slide 18: HY 2023 – Market Overview
HY 2023 – MARKET OVERVIEW 2 Mid term outlook confirmed to be positive (total value international wine trade expected to reach 40,31 B € in 2025 from 31,59 B € in 2018), driven especially by the North American and Emerging Markets and premiumization; Short term outlook hit by inflation and reduced pu
Slide 19: Financial Highlights: Net Sales – Key Highlights
F i n a n c i a l H i g h l i g ht s 3 Net Sales – Key Highlights + 11% YoY / + 2% YoY Organic Growth despite Wholsale contingent conservative consumer behaviour ▪ Revenues about X3 since 2021 177,3 196,8 ▪ Worldwide presence 100% driver to additional 17,9 30,5 + 70% 90% Growth 80% 32,1 Distance Sel
Slide 20: Financial Highlights: Revenues by Area and Channel
F i n a n c i a l H i g h l i g ht s Revenues by Area Italy & Europe RoW Italy ▪ Strong presence in key Americas 3% 16% 10% markets (DE/CH/UK) ▪ Increasing revenues in strategic & high potential markets (Poland - Russia) Europe 71% Americas ▪ IWB’s own distributor in NA Revenues by Channel ▪ Just en
Slide 21: H1 2023 Achievements: Wholesale
H 1 2 0 2 3 A c h i e ve m e nt s W h o l e s a l e : + 8,6% ❖ Overall Revenues increase higher than market performance +28,8% +9,4% Europe remains the main Area Europe North USA Main drivers: ❖ Prosecco + 4,8% ❖ Ronco dei Sassi +10% ❖ Grande Alberone + 2% ❖ US: agreement with Southern -8,7% Glazer’
Slide 22: H1 2023 Achievements: Ho.re.ca
H 1 2 0 2 3 A c h i e ve m e nt s H o . r e . c a + 70,4% ❖ IWB is present on the main markets with a strong capacity +59,9% +59,9% to increase sales thanks to its Europe product portfolio North USA ❖ UK first on- trade market; Revenues increasing 3,6% ❖ Widespread increase in all the other countrie
Slide 23: HY 2023 Distance Selling
H Y 2 0 2 3 D i sta n c e S e l l i n g 1H2017 1H2023 8% Digital /Web 30% Digital Web 49% Direct 41% 51% Mailing Teleselling Direct Mailing 21% Teleselling ➢ The share of digital sales is constantly growing ➢ Positive Ebitda Margin in a high competitive market
Slide 24: Net Revenue – EBITDA Margin
Financial Highlights 3 Net Revenue – Ebitda Margin 250 196,7 200 177,2 150 100 7,9% 8,7% 50 14,2 17,3 0 1° Half 22 1° Half 23 Revenues EBITDA
Slide 25: Cost Structure
Financial Highlights 3 Cost Structure Raw Material Services Personnel 133,5m 34,6m 12,5m 135,0 / 67,3% 34,8 / 17,5% 13,0 / 6,3% 34,6 12,5 130,0 121,1m 34,4 12,0 125,0 / 67,1% 10,7m 34,2 33,8m 11,5 34,0 / 18,8% 11,0 / 5,9% 120,0 33,8 10,5 115,0 10,0 33,6 110,0 33,4 9,5 1° Half 22 1° Half 23 1° Half 2
Slide 26: EBITDA Increase
Financial Highlights 3 EBITDA INCREASE 7,9% 8,7% Ebitda increase due to : 20,0 ❖ price increase 18,0 17,3 ❖ better product mix 16,0 14,2 14,0 ❖ utility and operative costs efficiency 12,0 actions realized 10,0 We see: 8,0 ❖ full impact of 2022 price increase in 2° half 6,0 ❖ further commercial actio
Slide 27: EBITDA Historical Increase
Financial Highlights 3 EBITDA HYSTORICAL INCREASE 20.000 18.000 17.2 16.000 14.2 14.000 11.8 12.000 10.6 10.000 8.000 7.2 6.3 6.1 6.000 4 4.000 2.000 0 30/06/16 30/06/17 30/06/18 30/06/19 30/06/20 30/06/21 30/06/22 30/06/23 OUTSTANDING AND CONTINUOS EBITDA INCREASE FROM IPO
Slide 28: Net Result
Financial Highlights 3 Net Result 20 18 16 17,3 14 6,3 12 1° Half 10 1,0 2023 8 9,9 3,6 6 1,6 6,2 4 4,6 2 0 Ebitda 2023 Depr. Amort. & Non Recurring EBIT 2023 Net Fin. Inc / EBT 2023 Taxes Net Result 2023 Provisions (Costs) 20 18 16 14 1° Half 12 14,2 5,7 10 2022 8 0,4 8,1 2,5 6 5,6 1,7 4 2 3,9 0 Eb
Slide 29: Restated Net Result and Outlook
Financial Highlights 3 Restated Net Result(*) +17 mil +23-27 mil +40-44 mil Ebitda Ebitda Ebitda 1° Half 2° Half 2023 2023 2023 «Outlook» «Outlook» +4,6 mil +10-14 mil +15-18 mil RN RN RN +14,2 mil +23 mil +37,2 mil Ebitda Ebitda Ebitda 1° Half 2022 2° Half 2022 2022 +3,9mil +10,3mil +14,2 mil RN RN
Slide 30: Net Cash
Financial Highlights 3 Net Cash -2,9 mil 90,0 80,0 70,0 1° Half 60,0 61,0 2023 50,0 40,0 58,1 48,4 48,1 30,0 20,0 10,0 0,0 -13 mil e 90,0 80,0 70,0 60,0 67,7 50,0 59,1 40,0 49,6 1° Half 30,0 46,1 20,0 2022 10,0 0,0
Slide 31: Cash Conversion Average
Financial Highlights 3 C a s h C o n v e r s i o n “A v e r a g e ” 31.12.2017 31.12.2018 31.12.2019 31.12.2020 31.12.2021PF 31.12.2022PF 30.06.2023 Average Cash Eur/000 Generation Ebitda reported 14.158 13.422 16.304 23.604 38.809 35.871 16.224 100% capex (1.245) (3.677) (2.803) (3.754) (8.914) (6.
Slide 32: One Company
O n e C o m p a ny 4 IWB AS IS IWB TO BE 2024 Italian Wine Brands S.p.A. Italian Wine Brands S.p.A. Giordano Vini S.p.A. Pro.di.ve S.r.l. 100% 100% Giordano B2C Enoitalia S.p.A. 100% Enovation Brands Inc Raphael 85% IWB Italia Dal Bo AG Provinco Provinco Italia Deutschland GmbH Spa 100% 100% Raphael
Slide 33: Appendix
VW ITALIAN WINE BRANDS Creator de Eccellense Appendix
Slide 34: Net Sales – Wholesale
Financial Highlights 7 Net Sales – Wholesale Eur Millions 1H2016 1H2017 1H2018 1H2019 1H2020 1H2021 1H2022 1H2023 ∆ % 22/23 Cagr 16/23 Wholesale - Italy 0,0 0,0 0,7 1,5 2,6 3,2 19,5 18,6 (4,5%) N/A Wholesale - International 25,3 30,4 34,5 35,8 48,0 53,3 106,3 117,9 11,0% 24,6% UK 1,4 2,6 3,3 5,4 4,7
Slide 35: Net Sales – Distance Selling
Financial Highlights 7 Net Sales – Distance Selling Eur Millions 1H2017 1H2018 1H2019 1H2020 1H2021 1H2022 1H2023 ∆ % 22/23 Cagr 17/23 Distance selling Italy 18,0 15,1 13,9 16,8 16,4 13,0 11,2 (14,0%) (7,6%) Direct Mailing 7,3 7,0 6,5 7,6 7,6 5,8 4,4 (24,3%) (8,1%) Teleselling 9,5 6,4 5,6 4,9 5,3 4,
Slide 36: Net Sales – Ho.Re.Ca
Financial Highlights 7 Net Sales – Ho.Re.Ca Eur Millions 1H2016 1H2017 1H2018 1H2019 1H2020 1H2021 1H2022 1H2023 ∆ % 22/23 Ho.re.ca - Italy 0,0 0,0 0,0 0,0 0,0 0,0 0,2 1,5 642,1% Ho.re.ca - International 0,0 0,0 0,0 0,0 0,0 0,0 17,7 29,0 63,8% UK 0,0 0,0 0,0 0,0 0,0 0,0 12,0 12,4 3,6% Switzerland 0,
Slide 37: Extended PL 2016-2023
Financial Highlights 7 Extended PL 2016-2023 Eur/000 30.06.2016 30.06.2017 30.06.2018 30.06.2019 30.06.2020 30.06.2021 30.06.2022 30.06.2023 Net Sales 64.586 68.989 69.940 70.073 92.158 99.501 177.266 196.778 Change in inventory 1.837 1.045 (315) 3.239 4.255 8.219 7.707 2.269 Other income 532 492 72
Slide 38: Extended BS 2016-2023
Financial Highlights 7 Extended BS 2016-2023 Eur/000 30.06.2016 30.06.2017 30.06.2018 30.06.2019 30.06.2020 30.06.2021 30.06.2022 30.06.2023 Intangibles & Goodwill net of tax reserves 75.081 76.074 78.039 78.765 93.687 95.135 227.058 248.013 Tangibles 16.076 14.777 15.238 14.331 14.000 15.125 48.008
Slide 39: Extended Cash Flow 2016-2023
Financial Highlights 7 Extended Cash Flow 2016-2023 Eur/000 30.06.2016 30.06.2017 30.06.2018 30.06.2019 30.06.2020 30.06.2021 30.06.2022 30.06.2023 EBITDA reported 3.150 6.301 5.328 6.670 10.151 11.640 13.849 16.224 Taxes (155) (1.105) (813) (1.040) (1.741) (1.308) (1.681) (1.635) Net increase / (de
Slide 40: Disclaimer
Disclaimer This document has been prepared by IWB SpA (“IWB SpA” or the “Company”) solely for this presentation and does not represent any investment research, recommendation, consulting or suggestion, concerning the Company or its shares or any other securities/financial instruments issued by the C
Slide 41: Conclusion and Q&A
Conclusion and Q&A Thank you for your attention! Italian Wine Brands S.p.A. | www.italianwinebrands.it | info@italianwinebrands.it