Pinar Sut Mamulleri Sanayii A.s. · BIST:PNSUT
Pinar Sut Mamulleri Sanayii A.s — Pınar Süt Mamulleri San. A.Ş. — H1 2012 Earnings Presentation
29 slides from Pinar Sut Mamulleri Sanayii A.s's earnings presentation, 2012
Slide 1: 2012 H1 Earnings Presentation
PINAR SÜT MAMULLERİ SAN. A.Ş 2012 H1 Earnings Presentation
Slide 2: Pınar Süt Highlights
Pınar Süt Highlights • Innovator and pioneer • #1 brand that comes to mind* • Hygienic and EU standard • More than 200 SKUs • Best brand in dairy ** production • R&D expertise • Most sincere milk brand *** • Technical Expertise and sectoral • Among top 4 brands Turkish know-how consumers feel closes
Slide 3: Market Dynamics - I
Market Dynamics - I World Milk Consumption (billion Lt) ► Annual raw milk production is 90 714 million tons in the world; about 15 million tons in Turkey (Tetra Pak, Turk Stat) 80 ► Turkey is 15th in world’s league, ► Growth is expected in the milk production/import of 72,5 developing and growing co
Slide 4: Market Dynamics - II
Market Dynamics - II Processed Food Products Prices Raw Milk Base Price in Turkey (TL/lt) 0,95 TL Processed milk and 2012 2011 2010 meat prices which have accelerated in the 2Q of 0,80 TL 2011, have come down in 2Q12. Manifacture of food 0,65 TL products diminished by %6,7 in June 2012 when comp
Slide 5: Ahead of Competition - I
Ahead of Competition - I National (Sütaş, Ülker etc.) and multinational (Nestle etc.) Products Market Share Position competitors Total Dairy Products (bn TL) Pınar Market Share (value) UHT Light Milk 66% Leader 3,0 17,9% 20% Total UHT Milk 31% Leader 16,3% 17,0% 2,5 17,6% Organic Milk 100% Leader
Slide 6: Ahead of Competition - II
Ahead of Competition - II 100% UHT Light Süt (Lider) 80% Toplam UHT Süt (Lider) 64% 60% 59% 66% 60% Tereyağı (İkinci) 40% 43% 41% 32% 27% 32% Homojenize Yoğurt 27% 30% 31% (Üçüncü) 20% 17% 18% 17% 17% Sürülebilir Peynir (Lider) 11% 10% 10% 11% 0% 2009 2010 2011 2012 1Y H1 Source: Nielsen, Value Shar
Slide 7: New Launches & Product Differentiations
New Launches & Product Differentiations New tastes that respond to market tastes , reinforcing our expertise. New launches for different consumer segments. Multipackages and promotions providing convenience for consumers. Pınar Süt
Slide 8: Pınar Beyaz Campaigns
Pınar Beyaz Campaigns Pınar Süt
Slide 9: Pınar Labne Campaigns
Pınar Labne Campaigns facebook.com/pinarlabne TV Pınar Süt
Slide 10: Pınar Cream Cheese Campaigns
Pınar Cream Cheese Campaigns TV Flashmob Pınar Süt
Slide 11: Breakdown of Net Sales by Product Groups & Sales Channels
Breakdown of Net Sales by Product Groups & Sales Channels Products Groups (2012 H1) Sauce; 5% Others; 8% Fruit Juice; 7% Milk; 36% Butter; 6% Yoghurt & Sales Channels (2012 H1) Ayran; 12% Direct Export Cheese; 27% 5% 10% YBP 85% 10 Pınar Süt
Slide 12: Growth in Sales
Growth in Sales Growth Rates of Product Groups 17% 140 1Y11 2011 1Y12 2012 27% 120 H1 H1 100 80 23% Million TL 22% 14% 60 15% 21% 40 20 0 Sos Sauce Meyve Fruit Juice Tereyağ Butter Diğer Yoghurt&Ayran Others Yoğurt ve Peynir Cheese Süt Milk Suyu Ayran Net Sales have grown by 20,7% in 2012 H1. 11 Pın
Slide 13: Export
Export Pınar realizes 17% of Turkey’s Dairy Products Exports bu Foreign Sales by Countries (2012 H1) itself UAE; 9% Others; 15% Export to 29 countries from Middle East to Europe, from Bahrain; 4% U.S.A. to Asia Azerbaijan; Qatar; 5% Market leader in Saudi Arabia and Kuwait with Packaged 5% Lab
Slide 14: Financial Results
FINANCIAL RESULTS
Slide 15: Sales and Profitability
Sales and Profitability Net Sales (Mn TL) Net Profit (Mn TL) 651,1 72,9 577,1 57,8 60,1 451,6 482,8 480,7 361,4 39,7 40,9 299,5 34,2 26,8 2007 2008 2009 2010 2011 11 H1 12 H1 2007 2008 2009 2010 2011 11 H1 12 H1 In the first half of 2012 sales have grown by %20,7, in both value EBITDA* (Mn TL) and
Slide 16: Income Statement
Income Statement 30.06.2012 30.06.2011 Difference % Change (Million TL) Net Sales 361,4 299,5 61,9 20,7 Cost of goods Sold (293,2) (234,8) (58,5) 24,9 Gross Profit 68,2 64,7 3,5 5,4 R&D Expenses (3,4) (2,6) (0,8) 31,3 Sales, Distribution and Marketing Expenses (27,0) (14,5) (12,5) 86,6 General Admin
Slide 17: Growth Analysis
Growth Analysis %1,4 %7,8 %11,5 %20,7 361,4 299,5 2011 1Y H1 Miktar Fiyat ve Ürün Kur 2012 1Y H1 Miksi Net Sales – Million TL 16 Pınar Süt
Slide 18: Profit Margins
Profit Margins Gross Profit Margins(%) Operating Margins* (%) 22,1% 20,5% 20,6% 20,8% 11,7% 18,0% 10,5% 10,7% 17,0% 8,4% 8,4% 4,6% 2009 2010 2011 2Q11 2Q12 1Q12 2009 2010 2011 2Q11 2Q12 1Q12 EBITDA Margins ** (%) Net Profit Margins (%) 14,7% 14,7% 13,0% 13,3% 10,5% 12,0% 11,0% 10,4% 11,2% 9,1% 6,8%
Slide 19: Quarterly Results
Quarterly Results Net Sales (Mn TL) 185 177 155 ►In the first half of 2012 sales have grown by %20,7 YoY. %19 %5 ►Price competition is continuing in the market. 2Q11 2Q12 1Q12 EBITDA* (Mn TL) ►Raw milk prices have preserved their 4Q11 levels 21 also in 1H12, above those of 1H11 though, affecting 19
Slide 20: Basic Ratios, Net Financial Debt & Net Working Capital
Basic Ratios, Net Financial Debt & Net Working Capital June 30, 2012 December 31, 2011 (Million TL) June 30, 2012 December 31, 2011 Current ratio 1,41 1,81 Cash & Cash Equivalents 1,30 4,99 Leverage ratio 0,36 0,30 S/T Bank Borrowings 19,36 20,45 S/T Fin Debt/T. Fin Debt 0,58 0,58 L/T Bank Borrowing
Slide 21: Overview of 2012 H1
Overview of 2012 H1 ►Raw milk prices have remained at 4Q11 levels in 1H12. Base raw milk prices will be determined twice a year in April and October, according to National Milk Council regulations. ► Following our strategy of increasing our market shares we have focused on marketing investments and
Slide 22: Strategies and Targets
Strategies and Targets Growing above market growth rates in the segments we operate in, with ; Effective price management Widespread distribution network Efficient utilization of social media Developments in “Away From Home” channel Increasing export sales also in countries falling outside
Slide 23: Ownership & Participation Structure, Share Performance
Ownership & Participation Structure Share Performance Ownership Share Performance 31.12.2010 = 100 Relative and Absolute Performance Pınar Süt Hissesinin Mutlak ve Göreceli Performansı Free ofPınar of PınarSüt (İMKB-TÜM Et İleShares Shares Kıyaslı) Float 160 25 140 20 120 100 15 80 60 10 40 5 20 - 0
Slide 24: Disclaimer and Contact Information
Disclaimer and Contact Information This presentation does not constitute an offer or invitation to purchase or subscription for any securities and no part of it shall form the basis of or be relied upon in connection with any contract or commitment whatsoever. This presentation contains forward-look
Slide 25: Thank You
Thank You
Slide 26: Appendix
APPENDIX
Slide 27: Company History
Company History 2010 Pioneer and Leader of Modern Turkish Dairy 2005 1975... 2003 Pınar Kido First organic milk in 2011 The first UHT milk and 1997 Agreement with with Biscuit, Türkiye, Pınar Organic Sodima SAS for the Pınar Çocuk Cream packaged dairy products Pınar SÜT new plant Milk, probiotic pla
Slide 28: Supply - Raw Milk Collection Process
Supply - Raw Milk Collection Process LOCAL PROUCERS Keen focus on milk collection processes: FARMS Route optimization; increase in truck fill rate and L/km rate (TL 1m cost savings) VILLAGES COOPS TRADERS Successful Raw milk supply constitutes an important entry barrier to potential competitors
Slide 29: Sales & Distribution
Sales & Distribution Yaşar Birleşik Pazarlama; Turkey’s biggest nationwide cold & frozen distribution chain The distribution of food & beverage products are realized in -18˚C vehicles for frozen products, +4˚C vehicles for fresh products and classic vehicles for the rest The know-how and strong t
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