Elopak Asa · OSL:ELO
Elopak Asa — Elopak A S — Q1 2024 Earnings Presentation
23 slides from Elopak Asa's earnings presentation, May 8, 2024
Slide 1: Quarterly presentation Q1 2024
Quarterly presentation Q1 2024
Slide 2: Disclaimer
Disclaimer Certain statements included in this announcement contain forward -looking information, including, without limitation, information relating to (a) forecasts, projections and estimates, (b) statements of Elopak management concerning plans, objectives and strategies, such as planned expansio
Slide 3: Elopak at a glance
Elopak at a glance Russia Historical revenue development 1 1,132 1,141 Group 1,024 940 910 909 906 909 856 872 85 The world’s largest player in fresh liquid carton 778 780 781 769 776 packaging 855 14 billion cartons produced in 2023 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2
Slide 4: We're in the business of sustainable packaging
We’re in the business of Protecting essential commodities Enabling world nutrition sustainable Reducing plastics packaging 4
Slide 5: Business performance
Q1 2024 Business performance CEO Thomas Körmendi
Slide 6: Strong performance in Q1 creates momentum for 2024
Strong performance in Q1 creates momentum for 2024 Q1 2024 Business highlights Revenue at 292 EURm Adjusted EBITDA of 46 EURm EMEA: grew market share in Europe 3% YoY growth 5 EURm YoY growth and MENA 3% organic 15.8% margin Americas: commenced Strong earnings and cash Q1 performance creates strong
Slide 7: Financial highlights: Q1 2024
Financial highlights: Q1 2024 Group revenues, adjusted EBITDA (EURm) Key comments ▹ Q1 2024 organic* revenue growth of 9 EURm, 3% YoY 14.5% 15.8% ▹ Q1 2024 adjusted EBITDA of EUR 46 million (EUR 41 million) +3% +13% with margin of 15.8% (14.5%) 292 46 283 ▹ Strong EBITDA growth in Q1 mainly from Pur
Slide 8: Business update: Europe, Middle East and Africa (EMEA)
Business update: Europe, Middle East and Africa (EMEA) Revenues (EURm) - EMEA Key comments ▹ Strong Pure-Pak® fresh volume growth in Europe from new business and gain of market share +8% ▹ Very strong Pure-Pak® fresh volume growth in MENA 231 supported by economic recovery and positive consumption e
Slide 9: Business update: Americas
Business update: Americas Revenues (EURm) - Americas Key comments ▹ Pure-Pak® volumes stable despite macro-headwinds currently impacting consumption and product mix +1% ▹ Increase in supply of school milk to the US market - school milk supply remains a pressing concern for our customers 74 73 ▹ Reve
Slide 10: Sustainable value creation
Sustainable value creation Fresh opportunity in Aseptic growth Broaden geographic Plastic to carton Commercial North America roadmap footprint conversion excellence Expand our end-to-end, Leverage our historical Broaden our geographical Grow accessible Drive business sustainable Pure-Pak® know-how a
Slide 11: A look at Middle East and North Africa
A look at Middle East and North Africa MENA is viewed as a significant growth opportunity due to the region’s growing population and consumer demands Key highlights for Elopak: ‒ Presence in 16 countries in the region ‒ Broadened footprint through acquisition of Naturepak in 2022 ‒ Production plants
Slide 12: As a market leader in the fresh market, we seek to expand our footprint
As a market leader in the fresh market, we seek to expand our footprint in aseptic even further Market demand Solid demand for our fresh and aseptic portfolio. Elopak filling technology with improved hygiene standards and extended shelf life is received well 3 billion carton production capacity supp
Slide 13: Milk & More switches from glass bottles to cartons
Milk & More switches from glass bottles to cartons Milk & More is UK’s largest and oldest doorstep milk delivery firm bringing fresh British milk, juice, bread, eggs, and other breakfast staples direct to customers’ homes, all via a free and convenient delivery service They have added cartons to the
Slide 14: Orkla expands range of personal care brands in cartons
Orkla expands range of personal care brands in cartons Orkla Sweden has invested in new production line from Elopak to increase their offer in hygiene products such as shower gel refill packages Logistics advantages of cartons vs plastics achieved: 23,000 flat cartons on a pallet versus 1,500 bottle
Slide 15: Financial performance
Q1 2024 Financial performance CFO Bent Kilsund Axelsen
Slide 16: Adjusted EBITDA, Q1 2024
Adjusted EBITDA, Q1 2024 Margin growth in Q1 driven by Pure-Pak volume growth in Europe and MENA, and continued growth from JV’s Adjusted EBITDA (EURm) and Adjusted EBITDA margin (%) Key comments EMEA EMEA Americas ▹ Pure-Pak® volume growth in Europe and MENA contribute positively 14.8% 16.0% 22.6%
Slide 17: Adjusted EBITDA, Q1 2024
Adjusted EBITDA, Q1 2024 EBITDA development supported mainly by growth in EMEA and JV’s Adjusted EBITDA and EBITDA margin % quarterly (EURm) +5 EURm +13% 3.0 0.2 4.4 1.2 2.8 46.1 15.8% 41.0 14.5% Q1 2023 Net revenue mix Raw materials* Operations Other Currency effect** Q1 2024 *Raw materials are onl
Slide 18: Cash flow YTD 2024
Cash flow YTD 2024 Strong cash from operations and dividends from JV’s supporting down-payment of long-term loans Cash flow from operations Cash flow to investments Cash flow from financing -2 0 -10 -11 4 46 -14 -8 20 0 13 Cash at YE 23 Adj. Net income JV Change in Other Purchase of Other Net repaym
Slide 19: Cash flow YTD 2024
Cash flow YTD 2024 Strong cash from operations and dividends from JV’s supporting down-payment of long-term loans Leverage ratio Key comments Net Debt Leverage (mEUR) ratio ▹ Leverage ratio improved to 1.8x in Q1 400 391 386 5.0 ▹ Net debt of 313 EURm 363 367 350 340 347 348 4.5 – Net bank debt 208
Slide 20: Summary
Summary We continue to see strong development in the Group, especially in the MENA region Construction commenced at the ground of our US plant in Little Rock, Arkansas (US): a high priority project moving according to plan Looking ahead, our strong performance in the quarter gives confidence for the
Slide 21: Save the date: Capital markets day September 4, 2024
Save the date Capital markets day September 4, 2024 21
Slide 22: Financial calendar
Financial calendar Event 2024 dates Annual General Meeting May 13 Ex-dividend May 14 Dividend payment ~ May 28 Q2 2024 August 15 Capital markets day September 4 Q3 2024 October 30
Slide 23: Thank you!
Thank you! Visit us at Elopak.com