Vitasoy International Holdings Limited · HKEX:345
Vitasoy International — H1 FY2022/23 Earnings Presentation
34 slides from Vitasoy International's earnings presentation, Nov 18, 2022
Slide 1: Planting Goodness Everyday
Planting Goodness Everyday Interim Results FY 2022/23 18 November 2022
Slide 2: Financial Review
FINANCIAL REVIEW Ian Ng Group CFO 2
Slide 3: Disclaimer
Disclaimer In addition to historical information, this presentation contains forward-looking statements with respect to the results of the operations and business of Vitasoy. These forward-looking statements represent Vitasoy’s expectations or beliefs concerning future events and involve known and u
Slide 4: Positive Profit Alert (issued on 26 October 2022)
POSITIVE PROFIT ALERT (ISSUED ON 26 OCTOBER 2022) • Profit attributable to shareholders expected to range between HK$140m and HK$150m compared to profit of HK$33m in the Prior Period • Mainly due to significant increase in net profit from the Group’s Mainland China business. • Received HK$59m COVID-
Slide 5: Financial Performance
FINANCIAL PERFORMANCE Net of FX HKD’ million 1H 2022/23 YoY impact Revenue 3,642 +1% +4% Gross profit 1,738 +1% +4% GP% 47.7% -0.2ppt -0.3ppt EBITDA 473 +48% +50% Profit to shareholders 142 +332% +291% 5
Slide 6: Financial Performance Excluding Government Subsidies
FINANCIAL PERFORMANCE EXCLUDING GOVERNMENT SUBSIDIES COVID-19 related Gov’t HKD’M Subsidies 1H Ex Gov’t HKD’ million 2022/23 YoY subsidies YoY Gross profit 1,738 +0.6% 1,729 +0.2% 59 Operating Profit 212 +399% 153 +297% Profit to 4 142 +332% 83 +187% shareholders 1H 21/22 1H 22/23 6
Slide 7: Basic Earnings Per Share
BASIC EARNINGS PER SHARE HKD cent 14 HKD 13.3 cents 12 10 8 6 HKD 3.1 cents 4 2 0 1H 21/22 1H 22/23 7
Slide 8: Dividend
DIVIDEND HK1.3 cents per share 8
Slide 9: Capital Expenditure
CAPITAL EXPENDITURE HKD million 100 HKD 95M 90 -19% 80 HKD 77M 70 60 50 40 30 20 10 0 1H 21/22 1H 22/23 9
Slide 10: Financial Position
FINANCIAL POSITION Cash Bank Borrowings HKD million HKD million 1,000 500 HKD 898M HKD 490M 800 480 HKD 622M HKD 438M 600 460 400 440 200 420 0 400 Mar 2022 Sep 2022 Mar 2022 Sep 2022 10
Slide 11: Gearing Ratio
GEARING RATIO 26% 26% March, 2022 September, 2022 11
Slide 12: ROCE
ROCE 8% 13% September, 2021 September, 2022 12
Slide 13: Business Review & Outlook
BUSINESS REVIEW & OUTLOOK Roberto Guidetti Group CEO 13
Slide 14: Growth & Profitability in 1st Half 2022/23
GROWTH & PROFITABILITY IN 1ST HALF 2022/23 • Group revenues +1% in HKD and + 4% on constant currency basis • Operating Profit at 6% of Revenue. Profit Attributable to Shareholders growth at +332% • Broad based growth • Mainland China revenues -1% (+4% in RMB), with profits at HK$139M • All other mar
Slide 15: Outlook for the Balance FY 2022/23
OUTLOOK FOR THE BALANCE FY 2022/23 • Sustain revenue growth in second half • Secure profitability on yearly basis • Mainland China now growing steadily and profitably vs. same period last year • In-store execution and geographical expansion gradually improving • On – trend innovation adding extra sc
Slide 16: Growth by Geography – FY2022/23 1st Half
GROWTH BY GEOGRAPHY – FY2022/23 1st HALF China China China Australia Singapore Total Mainland HK SAR & NZ Revenue HKD +1% -1% +6% Stable -18% Local Currency +4% +8% -16% Operating Profit HKD +211% n/a +17% -53% -216% Local Currency n/a -50% -225% 16
Slide 17: Revenue by Geography – FY2022/23 Half Year
st REVENUE BY GEOGRAPHY – FY2022/23 1 HALF YEAR Singapore Australia & NZ 2% -> 1% 8% -> 8% China China HKSAR Mainland 28% -> 30% 62% -> 61% 17
Slide 18: Operating Profit by Geography – 1H FY22/23
OPERATING PROFIT BY GEOGRAPHY – 1H FY22/23 HKD Million China Total China China Australia & Singapore Mainland HKSAR New Zealand 350 300 285 250 200 139 145 150 124 91 100 50 35 16 0 -3 -11 -50 -33 1H 21/22 1H 22/23 -100 18
Slide 19: China
CHINA 19
Slide 20: China Total
CHINA TOTAL REVENUE: HK$ 3,289M h1% OP : HK$ 285M h211% CHINA CHINA MAINLAND HK SAR REVENUE: HK$ 2,216M i1% (RMB REVENUE: HK$1,073M h 6% h4%) OP: HK$145M h17% OP : HK$ 139M n/a 20
Slide 21: China – Mainland
CHINA - MAINLAND REVENUE: HK$ 2,216M i1% (RMBh4%) OP: HK$139M n/a • Profitable growth across both brands Vitasoy and Vita • Continuous focus on executing and tracking our new picture of success for continuous productivity improvement • Multiple co-promotion with food across key occasions 21
Slide 22: Innovation
INNOVATION Exciting new products contributing to growth VITAOAT VITA SPARKLING TEA 22
Slide 23: Going Forward
GOING FORWARD • Sustain focus on execution • Drive core portfolio, complemented by successful innovations on Oat Milk and Sparkling Tea • Accelerate geographical availability of both core and trending new items 23
Slide 24: China, HK SAR
CHINA, HK SAR REVENUE: HK$1,073M h6% OP: HK$145M h17% (i25% ex. Subsidies) • Driven growth via equity campaigns and activations • Accelerated Vitasoy leading position in plant milk via new Vitasoy Fresh Plant+ and expansion of Vitasoy Calci-Plus line via Protein + variant launch • Additional growth
Slide 25: Australia & New Zealand
AUSTRALIA & NEW ZEALAND "soy ors oy You Man A508 i cites parca | as
Slide 26: Australia & New Zealand
AUSTRALIA & NEW ZEALAND REVENUE: HK$302M (AU$h8%) OP: HK$16M i53% (AU$ i50%) • A strong first half with broad based growth across all segments • Oat milk providing extra growth, sustaining segment leadership • Continued positive feedback on the “Let’s grow a better world” campaign 26
Slide 27: Innovation – Vitasoy Yogurt
INNOVATION – VITASOY YOGURT • Launches Greek Style Soy Yogurt PICTURES for Yogurt • Plain & Fruit varieties • Encouraging shoppers’ feedback. Strong Nutritionist & Dietitian endorsement. 27
Slide 28: Singapore
SINGAPORE 28
Slide 29: Singapore
SINGAPORE REVENUE: HK$51M i18% (S$i16%) O(L): HK$(11M) i216% (S$i225%) • Tofu category commoditizing behind ever lower pricing • Reset of business model, to strip down costs on tofu operation and accelerate scale up of local beverages • Vitasoy Plant + growing in chilled segment 29
Slide 30: Philippines
PHILIPPINES 30
Slide 31: Vitasoy Scaling Up in the Philippines
VITASOY SCALING UP IN THE PHILIPPINES • Vitasoy sales accelerating, driven by the single-serve business / improved mobility • Sustained in-home consumption drive, improving associations to key drinking moments • Expanded the plant milk business thru the launches of ALMOND and OAT milk formats 31
Slide 32: Purpose Driven Growth
PURPOSE DRIVEN GROWTH NEW CORPORATE WEBSITE COMING SOON ON DEC 1 32
Slide 33: In Summary Our Outlook
IN SUMMARY OUR OUTLOOK • Sustain revenue growth in second half • Secure profitability on yearly basis • Mainland China now growing steadily and profitably vs. same period last year • In-store execution and geographical expansion gradually improving • On – trend innovation adding extra scale on both
Slide 34: Questions & Answers
Vitasoy International Holdings Ltd. CH DERRBARAD Questions & Answers
Vitasoy International Holdings — H1 FY2022/23 Earnings Presentation on 6ix