Slide 1: Dufry Presentation – 9M 2011 Results
Board of Directors Zurich, 24 March, 2009 Dufry Presentation – 9M 2011 Results November 2011 1
Slide 2: Legal Disclaimer
Board of Directors Zurich, 24 March, 2009 Legal Disclaimer Information in this presentation may involve guidance, expectations, beliefs, plans, intentions or strategies regarding the future. These forward-looking statements involve risks and uncertainties. All forward-looking statements included in
Slide 3: Agenda
Board of Directors Zurich, 24 March, 2009 Agenda 1. Update 9M 2011 Performance 2. Update Recent Acquisitions 3. Dufry Strategy 4. Financials 5. Conclusion 3
Slide 4: 1. Update 9M 2011 Performance
Board of Directors Zurich, 24 March, 2009 1. Update 9M 2011 Performance 4
Slide 5: Key Figures 9M 2011
Board of Directors Zurich, 24 March, 2009 Key Figures 9M 2011 9M 2011 Turnover Evolution Growth components at Constant FX 13.8% • Turnover at constant FX rates 13.8% to CHF 2,500 40 68 2,238 million 2,000 164 -359 (CHF million) 1,500 • Double digit organic (like-for-like) growth 2,238 1,000 1,966 1,
Slide 6: Highlights
Board of Directors Zurich, 24 March, 2009 Highlights a) Performance on first nine months of 2011 Growth components − Growth acceleration during the third quarter − Dynamic growth in international passengers, despite disruptions in North Africa Q3 ’11 9M ‘11 • Confirms our risk diversification strate
Slide 7: Passenger Development
Board of Directors Zurich, 24 March, 2009 Passenger Development International PAX Growth Sep 2011 YTD Expected International PAX Growth for FY 2011 10% 15% 7.4% 7.7% 7.1% 6.4% 6.4% 10% 8.9% 4.9% 5.8% 6.2% 6.4% 5% 4.7% 5% 3.6% 0% 0% -5% -10% -5% -15% -15.6% -10% -8.9% -20% Source: Air4casts (26/10/20
Slide 8: New Projects and Expansions (1/3)
Board of Directors Zurich, 24 March, 2009 New Projects and Expansions (1/3) Changes in the Retail Space (sqm) in 9M 2011 Signed Contracts for Additional Retail Space Region Opened Closed Net Effect 5,000 Europe 1,041 273 768 4,000 Africa 126 54 72 3,000 2,803 (sqm) Eurasia 722 53 669 3,522 2,000 Cen
Slide 9: New Projects and Expansions (2/3)
Board of Directors Zurich, 24 March, 2009 New Projects and Expansions (2/3) Main New Concessions and Contract Extensions 2011 USA Canada − Chicago: combined duty − Edmonton: Combined free / duty paid duty free / duty paid − Los Angeles: Hudson News and specialty Retail − Myrtle Beach (South Carolina
Slide 10: New Projects and Expansions (3/3)
Board of Directors Zurich, 24 March, 2009 New Projects and Expansions (3/3) Opening the Indian Market • On November 10th Dufry and InterGlobe announced an exclusive association to establish and operate 48 retail outlets under Hudson News brand at Delhi Metro stations • InterGlobe is a leading provid
Slide 11: 2. Update Recent Acquisitions
Board of Directors Zurich, 24 March, 2009 2. Update Recent Acquisitions 11
Slide 12: Update Recent Acquisitions (1/2)
Board of Directors Zurich, 24 March, 2009 Update Recent Acquisitions (1/2) Acquisitions Overview Rationale for the Acquisitions • On 4 August, 2011, Dufry signed four • Emerging Market locations with high agreements to acquire operations in five growth potential countries – Complementary to operatio
Slide 13: Update Recent Acquisitions (2/2)
Board of Directors Zurich, 24 March, 2009 Update Recent Acquisitions (2/2) Integration Plan Immediate • Selection of a experienced Integration Team Actions • Takeover of key control in all functions D+0 • New business unit created and organization defined (new management appointed) • Detailed analys
Slide 14: 3. Dufry Strategy
Board of Directors Zurich, 24 March, 2009 3. Dufry Strategy 14
Slide 15: Expanding Leading Position Globally
Board of Directors Zurich, 24 March, 2009 Expanding Leading Position Globally North America Europe Turnover: CHF 756 million Turnover(1),(3): CHF 323 million Retail Space: 51,300 sqm Retail Space(3): 20,800 sqm Eurasia Turnover(1),(3): CHF 247 million Retail Space(3): 13,300 sqm Central America Afri
Slide 16: Travel Retail Market
Board of Directors Zurich, 24 March, 2009 Travel Retail Market Long-term Passenger Forecast Historic & forecast GDP and Passengers Growth 12.0 160 CAGR = 5.3% 10.0 (03-10) CAGR = 4.2% (Billion Passengers) 140 4.6 8.0 CAGR = 2.7% (03-10) 6.0 3.1 120 2.4 2.5 2.2 2.3 4.0 2.0 2.1 6.2 100 2.0 4.3 3.1 3.2
Slide 17: Dufry's Segmentation
Board of Directors Zurich, 24 March, 2009 Dufry’s Segmentation Dufry by Region 2003 Dufry by Region 9M 2011 Developed Europe Markets 12% North America Africa Europe Africa 28% 5% 38% 14% Eurasia 8% Eurasia CAGR 03-10: 24%(1) 16% Central America & Americas Caribbean & 14% Caribbean South America 32%
Slide 18: Dufry's Segmentation
Board of Directors Zurich, 24 March, 2009 Dufry’s Segmentation Dufry by Product 9M 2011 Dufry by Product Evolution 2003 - 2010 Electronics Other Tobacco 3% 4% Other 8% CAGR 03-10: 24% goods Perfumes and cosmetics Electronics 11% 7% Fashion, 25% Tobacco goods 15% Leather and Fashion, Leather and Bagg
Slide 19: Shop Concepts
Board of Directors Zurich, 24 March, 2009 Shop Concepts General Travel Retail Shops Brand Boutiques Duty free shop – Puerto Rico Victoria’s Secret shop - US News and Convenience Stores Specialized Shops Hudson News shop - US Wine Shop- Tunisia 19
Slide 20: Dufry Growth Drivers
Board of Directors Zurich, 24 March, 2009 Dufry Growth Drivers TOP-LINE GROWTH (‘03 - ’10): 24% p.a. (1) Organic growth Passengers 20% 17% • Significant historic and 14% 15% projected growth in all areas 10% 10% 10% 8% 8% Productivity 5% 5% • Penetration – Improved retail concept 0% Spend per 2004 2
Slide 21: Update on Dufry Plus One and One Dufry
Board of Directors Zurich, 24 March, 2009 Update on Dufry Plus One and One Dufry - Increased customer research - New ERP integrated with Dufry - Improving in-store merchandise Sales / Productivity Global applications - Global Promotions Plan - Optimized reporting and global Gross Margin dash board -
Slide 22: 4. Financials
Board of Directors Zurich, 24 March, 2009 4. Financials 22
Slide 23: Turnover Growth
Board of Directors Zurich, 24 March, 2009 Turnover Growth Turnover Growth Details Growth Components 9M 2011 16% Q3 '11 9M '11 -3.0% 3.4% 12% 5.0% Organic Growth 9.2% 8.4% -2.3% 8% New Concessions 3.8% 5.0% 13.8% 10.7% -18.2% Discontinued Operations -2.4% -3.0% 8.4% 4% New / Discontinued Operations 1
Slide 24: FX Impact
Board of Directors Zurich, 24 March, 2009 FX Impact USD/CHF Development(1) EUR/CHF Development(1) 1.200 1.600 1.150 1.514 1.520 1.113 1.497 1.509 1.109 1.500 1.463 1.100 1.058 1.063 1.032 1.409 1.021 USD/CHF 1.400 EUR/CHF 1.000 0.973 1.333 1.323 0.946 1.287 1.300 1.253 0.896 1.229 0.900 0.870 1.200
Slide 25: Key Business Drivers
Board of Directors Zurich, 24 March, 2009 Key Business Drivers Key Figures at Constant FX Q3'11 PF 9M'11 PF (CHF million) Q3'11 PF % Q3'10 % / Q3'10 9M'11 PF % 9M'10 % / 9M'10 TURNOVER 840.2 100% 698.2 100% 20.3% 2,237.7 100% 1,966.2 100% 13.8% GROSS PROFIT 488.4 58.1% 401.2 57.5% 1,298.5 58.0% 1,12
Slide 26: Acquisitions Effect on P&L
Board of Directors Zurich, 24 March, 2009 Acquisitions Effect on P&L Income Statement: Acquisitions Effects - Reported FX Acquisition A'11 Adj'11 / (m CHF) A'11 % effects Adjusted A'10 % A'10 TURNOVER 1,879.0 100.0% 67.9 100.0% 1,811.1 100.0% 1,966.2 100.0% GROSS PROFIT 1,090.3 58.0% 38.0 56.0% 1,05
Slide 27: Income Statement
Board of Directors Zurich, 24 March, 2009 Income Statement (CHF million) Dec '03 % Dec '08 % Dec '09 % Dec '10 % Sep '10 % Sep '11 % Turnover 685.7 100.0% 2,113.5 100.0% 2,378.7 100.0% 2,610.2 100.0% 1,966.2 100.0% 1,879.0 100.0% Gross profit 318.1 46.4% 1,151.9 54.5% 1,329.4 55.9% 1,501.9 57.5% 1,1
Slide 28: Net Earnings / Earnings Per Share
Board of Directors Zurich, 24 March, 2009 Net Earnings / Earnings Per Share Core Earnings Per Share Net Earnings CHF million 9M '11 9M '10 Change 10.00 NET EARNINGS 95.7 107.9 -11.3% Minority Interest 16.6 24.4 -32.0% 8.00 4.5% Equity Holders of the Parent 79.1 83.5 -5.3% 5.98 6.54 6.00 5.29 4.68 4.
Slide 29: Summary Balance Sheet September 2011
Board of Directors Zurich, 24 March, 2009 Summary Balance Sheet 30 September 2011 (CHF million) 3,263 3,263 PP&E (9%) 232 885 Equity (33%) Intangible assets (77%) 2,080 1,400 Net Debt (52%) Other non current assets (1%) Non current liabilities (2%) 37 48 Net Working Capital (8%) 211 73 Deferred tax
Slide 30: Cash Flow
Board of Directors Zurich, 24 March, 2009 Cash Flow Summary Cash Flow In millions of CHF 9M '11 9M '10 Net debt - Dec 31 (637.9) (609.8) Cash flow before w orking changes 276.2 259.2 Change in net w orking capital (20.1) (8.2) Income taxes paid (25.7) (23.7) Net cash flow s from operating activities
Slide 31: Financing and Covenants (1/2)
Board of Directors Zurich, 24 March, 2009 Financing and Covenants (1/2) Debt by Currency - 30 September 2011 Expiry of Debt 1000 900 800 USD 700 374 (CHFmillion) 79% 600 500 400 CHF 300 15% 495 200 362 271 271 100 89 EUR 0 44 6% 2011 2012 2013 2014 2015 2016 Existing facility used Existing facility
Slide 32: Financing and Covenants (2/2)
Board of Directors Zurich, 24 March, 2009 Financing and Covenants (2/2) Net Debt Evolution Covenants Evolution 1,000 943 Acquisition Acquisition Hudson Latest 900 5.00 824 808 Brazil Acquisition 800 723 717 4.00 3.61 3.67 (Net Debt/Adj. EBITDA) (CHF million) 643 650 3.10 700 638 635 2.90 610 613 2.9
Slide 33: Investor Relations Update
Board of Directors Zurich, 24 March, 2009 Investor Relations Update Dufry Share Price Daily Average Volume in CHF 140 14.0 130 Market Cap: 12.0 12.0 120 CHF 2,500 million 10.0 9.3 110 (CHF millions) 100 8.0 (CHF) 90 6.0 80 70 4.0 3.1 2.7 60 1.9 1.7 2.0 50 40 0.0 Jan/10 Apr/10 Jul/10 Oct/10 Jan/11 Ap
Slide 34: 5. Conclusion
Board of Directors Zurich, 24 March, 2009 5. Conclusion 34
Slide 35: Conclusion/Outlook
Board of Directors Zurich, 24 March, 2009 Conclusion/Outlook • Dufry’s business model continues delivering good results – Accelerated organic growth, new concessions and first contribution from the recent acquisitions • One-off situations mitigated – Improved conditions in Mexico and in part of Nort
Slide 36: Thank You
Board of Directors Zurich, 24 March, 2009 Thank You 36