Coca-cola Icecek A.s. · BIST:CCOLA
Coca-cola Icecek A.s — Investor Presentation (March 2025)
52 slides from Coca-cola Icecek A.s's investor presentation, Mar 16, 2025
Slide 1: Investor Presentation
Investor Presentation INVESTOR PRESENTATION 1 PUBLIC
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation includes forward-looking statements including, but not limited to, statements regarding Coca-Cola İçecek’s (“CCI”) plans, objectives, expectations and intentions and other statements that are not historical facts. Forward-looking statements can generally
Slide 3: Important Disclaimer
Important Disclaimer Based on the CMB's decision dated 28 December 2023 and numbered 81/1820 and the "Implementation Guide on Financial Reporting in High Inflation Economies" published by the POA with the announcement made on 23 November 2023, issuers and capital market institutions subject to finan
Slide 4: Who We Are
WHO WE ARE INVESTOR PRESENTATION 4 PUBLIC
Slide 5: We are a Multinational Beverage Company
1.5BN We are a Multinational UC Sales $4.2BN $773MN Revenue EBITDA Beverage Company Volume Kazakhstan 12 ~600Million 10,000+ Countries People Employee Uzbekistan Kyrgyzstan Azerbaijan Turkmenistan Türkiye Tajikistan 2.20BN 33 3 Fruit UC Annual Syria Production Processing Production Iraq Plants Plant
Slide 6: With a Successful Track Record to Become One of the Leading Bottlers
With a Successful Track Record to Become One of the Leading Bottlers 2005 2006-2007 2008 2012 2021 2023 2024 Single Country Central Asia & Pakistan JV South Iraq Uzbekistan Pakistan fully owned Bangladesh North Iraq 2006 - 2024 Evolution* EBITDA Net Sales Revenue Transactions Volume CAPEX/NSR 97X 78
Slide 7: Diversified Country Portfolio Creates Natural Hedge
Diversified Country Portfolio Creates Natural Hedge Oil Importers and Exporters Real GDP Growth < EM avg and > EM avg GDP Per Cap Growth < EM avg and > EM avg Kazakhstan Kazakhstan Kazakhstan Azerbaijan Uzbekistan Azerbaijan Uzbekistan Uzbekistan Kyrgyzstan Kyrgyzstan Kyrgyzstan Azerbaijan Türkiye T
Slide 8: Benefiting from a Strong and Stable Shareholder Structure
AG Anadolu Grubu Holding A.Ş. 43.0% Benefiting from a Strong and Stable The Coca-Cola Anadolu Efes Biracılık ve Free Float and Export Shareholder Corporation Malt Sanayi A.Ş. Other Structure 20.1% 50.3% 29.6% Composition • 12 of whom are non-executive of BoD 12 Members • 4 of whom are independent IN
Slide 9: Our Successful Track Record is Built on Solid Foundations
Our Successful Track Record is Built on Solid Foundations Winning Brand Strong Alignment Proven Track Strategy, Portfolio With the Coca- Record Execution, Cola Company People Innovate to connect Critical for our long- Organic & Inorganic Accelerate with consumers term success growth in emerging & qu
Slide 10: Our Purpose is to Create Value and Integrate Sustainability in Everything We Do
Our Purpose is to Create Value and Integrate Sustainability in Everything We Do INVESTOR PRESENTATION 10 PUBLIC
Slide 11: Sustainability 2030 Roadmap
Sustainability 2030 Roadmap Packaging Human Rights Commitment #1: Continue to make 100% of our packaging recyclable and Committment #7: Establish mechanisms to ensure that CCI’s distributors use at least 50% recycled material by 2030 and priority suppliers are %100 compliant with CCI Human Rights Po
Slide 12: What We Do
WHAT WE DO INVESTOR PRESENTATION 12 PUBLIC
Slide 13: CCI's Two-Pillar Growth Strategy
CCI’s Two-Pillar Growth Strategy Balanced Organic Inorganic Growth Growth Grow Core New Categories & Countries Sharpen Expand Quality Growth Is Our North Star: EBIT > Revenue > Transaction > Volume INVESTOR PRESENTATION 13 PUBLIC
Slide 14: NARTD Value Growth Opportunity
NARTD Value Growth Opportunity Total NARTD Industry Industry Value Growth In CCI Countries +$12BN 8% CAGR $27.8BN (2024) 2024 - 2029E NARTD 28% SPARKLING 50% STILLS 14% WATER 7% Source: GlobalData (Industry Estimates); Internal Assumption for Bangladesh, 2024 Forecast * All figures as of 2024 * NART
Slide 15: Strong Addressable Per Cap Consumption Opportunity
Strong Addressable Per Cap Consumption Opportunity Turkiye Pakistan Kazakhstan Iraq CCI Industry Non-NARTD CCI Industry Non-NARTD CCI Industry Non-NARTD CCI Industry Non-NARTD per cap per cap per cap per cap per cap per cap per cap per cap per cap per cap per cap per cap 153 549 2,730 30 102 2,468 2
Slide 16: Our Markets Have a Low Penetration of Beverage Industry
United States 1.578 Italy 1.293 Germany 1.216 Mexico 1.163 Bulgaria 1.131 Spain 1.130 NARTD per cap* Belgium 1.113 Saudi Arabia 1.023 Poland 1.018 Romania 962 Canada 939 France 898 Argentina 815 Japan 778 Thailand 766 Chile 748 United Kingdom 744 Kazakhstan 211 723 Australia 681 Bolivia 617 Source:
Slide 17: More Room for Growth
More Room for Growth IC Packages ~2X HIGHER NSR PER CASE1 ~1.5X GROSS MARGIN VS. FC1 Young Population in CCI Countries ~58% Share of Immediate Consumption (IC) Packages in Sparkling* (2024) Teen Recruitment Opportunity 54% 48% 39% 34% 26% 24% Asia North World Europe, Latin CCI** Pacific America Aver
Slide 18: More Room to Diversify Product Portfolio
More Room to Diversify Product Portfolio Category Breakdown Share of Low/No Calorie in 2006 Sparkling Volume (2024) Sparkling 30% Other 23% 10% 80% 12% 10% 9% 7% 7% 2024 15% 3% 3% 3% 3% Sparkling 1% Türkiye Azerbaijan Asia Pacific Bangladesh Tajikistan America America EMEA Latin Jordan Iraq North Ka
Slide 19: More Room to Create Growth and Value with Our Customers
More Room to Create Growth and Value with Our Customers Traditional 52% Volume Breakdown (2023) On-premise 20% Modern Retail 14% Discounter 5% Other: Vending Machines, 9% wholesalers etc. INVESTOR PRESENTATION 19 PUBLIC
Slide 20: Our Uniqueness is to Develop our Markets and Create Value
Our Uniqueness is to Develop our Markets and Create Value +7% +96% -21 bps 549 14.9% 513 14.7% TÜRKİYE 2.9 1.5 Consistent per cap growth 2018 2024 2018 2024* 2018 2024* Industry NARTD per cap $ NSR/uc EBITDA margin** Robust $ NSR/uc **Excluding others improvement PK: -18% KZ: +50% UZ: +38% +28% +183
Slide 21: How We Do It
HOW WE DO IT INVESTOR PRESENTATION 21 PUBLIC
Slide 22: CCI Playbook is Our Winning Formula
CCI Playbook is Our Winning Formula Invest Ahead • Production facilities • Coolers of Demand Develop & Deploy RTM Improvement & Talent Distributor Development • U30 program to recruit, train • Independent & loyal and develop future talents • Build capability & train • Women empowerment Digital distr
Slide 23: CCI's Unique RTM Model
CCI’s Unique RTM Model RTM Systems in the World: 1. Direct Distribution by the 2. Wholesalers as a fulfillment 3. Hybrid approach – unique to Bottler intermediary CCI Distributor ~80% of volume • Independent & loyal • Local expertise and reach • CCI builds capability & train • Offers CCI’s best-in-c
Slide 24: Disciplined Revenue Growth Management
Disciplined Revenue Growth Management Net Sales = Volume x Price x Mix - Discounts Revenue Balance Opportunity Value-driven Terms & OBPPC Promo Spend Mapping Pricing Conditions Identify & prioritize •Consumers’ Well defined pack Increase Optimize growth willingness to pay roles, optimal conditionali
Slide 25: The Highest EBIT Margin
Effective RGM + Proactive Procurement + Prudent OpEx Management Leading to Robust EBIT margin Right pricing & Effective Mix Management Prudent Opex Governance Record-high per uc efficiency IC Mix 2,64 Opex/NSR 2,43 2,50 26.3% 29.2% 2,15 25.3% 25.9% 26.1% 27.3% 1,97 1,89 2,05 25.9% 23.8% 24.1% NSR/uc
Slide 26: In-store Execution Excellence
In-store Execution Excellence Capturing Opportunities for Growth and Innovation ONE NUMBER EXECUTION SCORE BE AVAILABLE BE VISIBLE BE EFFECTIVE BE TRAINED Consumer Engagement Platform Suggested Order Digital Customer Experience AI-based order Commercial Online Order & Payment Consumer Recruitment pr
Slide 27: Capital Allocation Policy
CAPITAL ALLOCATION POLICY INVESTOR PRESENTATION 27 PUBLIC
Slide 28: Disciplined Capital Allocation
Disciplined Capital Allocation 1 3 Optimum CapEx • Capacity Expansion Debt Repayment • Solid balance Allocation • Cooler placements sheet Organic CapEx/Sales • Maintenance Optimum debt • Improving Growth ~6.1% (2023) Deleveraging repayment leverage metrics 2 4 Selective M&A • Strategic fit Dividends
Slide 29: Smart Capex Management Fueling Organic Growth
Smart Capex Management Fueling Organic Growth Türkiye International 26% 74% By Category* By Year 9.1% 6.7% 11% 8.1% on average 9% 7.3% 6.3% 5.9% 6.0% 6.2% 6.1% 4.6% 18% Coolers Infrastructure Maintenance Digital 61% 2016 2017 2018 2019 2020 2021 2022 2023 2024 * Without TAS 29 INVESTOR PRESENTATION
Slide 30: Prudent Approach to Geographical Expansion
Prudent Approach to Geographical Expansion Guiding principles for Management control Reasonable Complementary market Geographical & full consolidation ROIC > WACC proximity dynamics expansion rights 19% Volume Breakdown 2006 Kazakhstan 81% Uzbekistan Kyrgyzstan Azerbaijan Türkiye Turkmenistan Tajiki
Slide 31: First Year Anniversary Of CCI Bangladesh
First Year Anniversary Of CCI Bangladesh Great momentum and future opportunities About Bangladesh 8th largest 25.7 median Rapidly urbanizing NARTD per cap country by age; 56% < 30 (2019: 37% vs. 2023: among lowest population in years of age 41%) globally the world Integration Update Building fundame
Slide 32: Consistent Dividend Pay Out
Consistent Dividend Pay Out CCI Dividend Distribution Policy Is Based On Dividend per Share (TL per 100 shares) Net Distributable Income 1.5% Dividend Yield* 7.86 Free Cash Flow Generation 1.4% Capex And Other Funding 2.1% 2.7% Needs For Growth 3.2% 2.95 4.3% 2.36 1.8% 2.1% 1.97 0.3% 1.77 0.5% 1.18
Slide 33: Working Capital Efficiency Improvement
One of the Pillars of Strong FCF: Working Capital Efficiency Improvement NWC/NSR Inventory optimization 5.7% 4.5% 4.3% 4.2% Strict Receivable Management 3.6% 2.7% 1.7% Leveraging Payables 0.1% 2017 2018 2019 2020 2021 2022* 2023* 2024* 2016 2017 2018 2019 2020 2021 2022* 2023* 2024* Cash Conversion
Slide 34: Track Record of Improving Free Cash Flow Generation
Track Record of Improving Free Cash Flow Generation Free Cash Flow and FCF Yield* 13.0% 17.0% 7.7% 8.7% 10.4% 6.6% EBITDA 3,3% 1.0% Growth 7.1% 0.1% 0.4% FCF Yield (%) 2,379 2,505 Working 2,153 1,967 Capital Efficiency 1,630 1,079 727 FCF (TLmn) 729 642 10 46 Prudent CapEX 2014 2015 2016 2017 2018 2
Slide 35: Financial Review
FINANCIAL REVIEW INVESTOR PRESENTATION 37 PUBLIC
Slide 36: Summary Financials
Summary Financials Profitability impacted by softer volumes and limited scale advantages Net Sales EBIT Net Revenue (TL) (TL) Income (TL) 2024 2024 2024 137.7 BILLION -5.6% y/y 18.9 BILLION -9.6% y/y 14.8 BILLION -50.1% y/y 13.7% MARGIN -61 bps 10.8% MARGIN -961 bps 4Q24 4Q24 4Q24 22.1 BILLION -8.4%
Slide 37: Per UC Metrics
Nov 1, 2023 Per UC Metrics Without TAS 29, NSR/uc grew by 45.8% in 2024 Consolidated (TL) - TL, with TAS 29 Net Sales Revenue COGS EBIT per UC per UC per UC 95.8 95.0 91.7 13.6 67.1 12.6 81.8 63.9 59.3 3.4 56.7 0.1 4Q23 4Q24 2023 2024 4Q23 4Q24 2023 2024 4Q23 4Q24 2023 2024 -14.7% y/y -3.5% y/y -15.
Slide 38: Net Income Development
Net Income Development 50.1% decline in Net Income y/y -50.1% y/y (mTL) -14.9 billion 20.4% 10.8% 2,901 8,201 9,088 2,686 12,817 29,713 2,617 14,813 2023 2024 NSR COGS OpEx Financial Inc/Exp. Monetary Gain/Loss Other* Net Income Net Income (*) Other includes Taxation, Investing Activities, Gain/Loss
Slide 39: Balance Sheet and Risk Management
BALANCE SHEET AND RISK MANAGEMENT INVESTOR PRESENTATION 41 PUBLIC
Slide 40: Dynamic Hedging
Nov 1, 2023 Dynamic Hedging Securing long term visibility & controlled cost base COGS Breakdown Proactive Risk Management Policy Hedging & Pre-buy Rates Cost of Sales Sugar Aluminium Resin 20% OVERHEAD 2025 20% 61%* 51% 72% SUGAR 30% PACKAGING 30% CONCENTRATE *69%, in markets where financial hedge i
Slide 41: Disciplined Financial Management
Disciplined Financial Management Low leverage and strong liquidity maintained Debt & Cash Gross Debt Cash Net Debt Composition / EBITDA Other 1.1x 1.0x 14% Other 32% 0.8x USD $1.39B USD 50% $662M 0.6x 51% TRY 29% TRY EUR 18% 6% 21 22 23 24 FX Position Debt $546m $555m 162 Maturity 43% 218 42% -778 3
Slide 42: 2025 FY Guidance
2025 FY GUIDANCE INVESTOR PRESENTATION 44 PUBLIC
Slide 43: Guidance
2025 With TAS29 Without TAS29 Guidance Mid-single-digit volume growth on a consolidated Sales Mid-single-digit volume growth on a consolidated basis: basis: Volume • Low-to-Mid-single digit growth in Türkiye • Low-to-Mid-single digit growth in Türkiye ₺ • Mid to high-single-digit growth in internati
Slide 44: Credit Ratings
CREDIT RATINGS INVESTOR PRESENTATION 46 PUBLIC
Slide 45: Solid Credit Ratings
Solid Credit Ratings S&P Global Fitch Issuer Rating BB+ BBB Outlook Negative Stable Last revision 03.09.2024 14.06.2024 Strengths • Leading market shares in growing markets • Successful execution of its expansion plan • Well-known brands • Leading positions in its core markets • Track record of prof
Slide 46: ESG Journey
ESG JOURNEY INVESTOR PRESENTATION 48 PUBLIC
Slide 47: Sustainability 2030 Roadmap
Sustainability 2030 Roadmap Packaging Human Rights Commitment #1 Commitment #2 Commitment #7 rPET (%) Collection (%) SGP Supplier (%) SGP Training Distributor (%) 100 100 100 100 100 50 81 84.5 46 50.5 6 29 2024 2030 2024 2030 2024 2030 2024 2030 2024 2030 2024 2030 Türkiye Pakistan Kazakhstan Water
Slide 48: Appendix
APPENDIX INVESTOR PRESENTATION 50 PUBLIC
Slide 49: Country Data 2024
Country Data 2024 GDP per cap, Per capita NARTD CCI’s Market Capacity Population CCI’s Market Share Capacity PPP consumption Position Utilization (mn)(1) in Sparkling (%)(4) (mn UC)(6) (USD 000)(2) (8 ounce servings)(3) in Sparkling(5) Rate(6) Türkiye 87.5 35.7 549 53.7 1 775 73% Pakistan 251.3 5.4
Slide 50: Subsidiaries
Subsidiaries Coca-Cola İçecek A.Ş. %100.00 %100.00 %100.00 %99.97 CCI International Waha Beverages Holland B.V., Holland B.V., Holland Coca-Cola Satış ve Dağıtım A.Ş., Coca-Cola Almaty Bottlers Turkey %51.23 %48.77 %100.00 LLP, Kazakhstan Anadolu Etap Penkon Gıda ve Azerbaijan Coca-Cola İçecek Ürünl
Slide 51: Utilizing our Integrated Digital Model for Value Creation
Utilizing our Integrated Digital Model for Value Creation Customer and Asset People Consumer Optimization Experience Experience Balancing between digital Optimized and Resilient Productivity Through and human touch. Supply Chain Digitization, Commercial transformation Upskill/Reskill with Digital RT
Slide 52: For more information, please contact cci-ir@cci.com.tr
For more information, please contact cci-ir@cci.com.tr INVESTOR PRESENTATION 55 PUBLIC
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