Novabev Group · RUS:BELU
Novabev — Synergy — H1 2014 Earnings Presentation
16 slides from Novabev's earnings presentation, Sep 1, 2014
Slide 1: Earnings Presentation for the six months ended 30 June 2014
Earnings Presentation for the six months ended 30 June 2014 Speakers: Alexander Mechetin, CEO Nikolay Belokopytov, CFO 1 September, 2014
Slide 2: • changes in political, social, legal or economic conditions in Russia generally, or in
This presentation has been prepared by Synergy, Co. (the “Company“, or “Synergy”) and together with its subsidiaries. By attending the meeting where the presentation is made, or by reading the presentation slides, you agree to the following limitations and notifications. This presentation is strictl
Slide 3: Synergy reports 1H2014 financial results
Synergy, a leading distilled spirits producer in Russia reports 1H2014 financial results • Sales slightly grew 1% and reached 17.6 bln. rubles • Net Revenue increased by 2% to 11.0 bln. Rubles • Gross Profit raised by 6% to 4.9 bln. rubles • Gross profit margin improved from 42.7% to 44.1% 1H2014 vs
Slide 4: Consolidated Revenue for 1H2014
Consolidated Revenue for 1H2014 Consolidated Revenue, million RUB Revenue breakdown by segments, million RUB (1) +2% Y-o-Y 14 000 9 000 8 296 8 455 Alcohol (1) 12 000 10 763 +2% Y-o-Y 11 032 6 000 10 000 3 000 8 000 0 6 000 1H2013 1H2014 3 000 +4% Y-o-Y 4 000 2 577 2 466 Food (1) 2 000 2 000 0 1 000
Slide 5: Consolidated Gross Profit for 1H2014
Consolidated Gross Profit for 1H2014 Consolidated Gross Profit, million RUB Gross Profit breakdown by segments, million RUB (1) Gross Profit 4 500 3 897 +10% Y-o-Y 4 305 Gross Margin Alcohol (1) 5 000 4 591 4 864 3 000 +6 % Y-o-Y 51% 1 500 47% 4 000 0 3 000 1H2013 1H2014 44.1% 705 42.7% -19% Y-o-Y 2
Slide 6: Alcohol segment breakdown
Alcohol segment breakdown(1) Alcohol segment revenue breakdown, million RUB Alcohol segment gross profit breakdown, million RUB 1H2013 4 000 +7% 3 897 9 000 -3% 3 634 1H2013 1H2014 7 425 1H2014 7 224 3 000 6 000 2 000 3 000 48.9% 53.9% +41% 1 000 +55% 1 231 408 872 263 30.2% 33.1% 0 0 Spirits Produc
Slide 7: Consolidated EBITDA and Net Profit for 1H2014
Consolidated EBITDA and Net Profit for 1H2014 EBITDA, million RUB G&A and distribution expenses , million RUB EBITDA General & Administrative expenses EBITDA Margin Distribution expenses 1 500 -6% Y-o-Y 3 903 1 383 1 301 4 000 3 348 1 000 3 000 12.9% +18% Y-o-Y 2 750 2 371 11.8% 2 000 500 +16% Y-o-Y
Slide 8: The Company continues to apply conservative debt management policy
The Company continues to apply conservative debt management policy Debt breakdown, million RUB Net debt (1) evolution, million RUB Long-term debt Short-term debt 7 731 6 626 6 161 5 567 4 907 4 963 7 308 5 307 6 212 4 324 5 919 4 849 2 824 1 243 1 663 1 370 YE2011 YE2012 1H2013 1H2014 YE2011 YE2012
Slide 9: Appendices
Ne ( SYNERGY APPENDICES
Slide 10: Company Strategy
COMPANY STRATEGY Become the dominant spirits company in Russia with a diversified portfolio of brands and products and best in class distribution platform Balanced portfolio of brands covering all price Strong distribution platform with focus on direct categories sales Focus on three key upper
Slide 11: Vodka portfolio
DIVERSIFIED PORTFOLIO OF NATIONAL BRANDS WITH FOCUS ON 3 KEY BRANDS Well-established portfolio of brands with high awareness is serious competitive advantage on “dark market” for advertisement* Low-middle Middle Sub-premium Premium Super-premium, Ultra-premium Vodka portfolio Average retail RUR 200
Slide 12: Brown spirits portfolio
DEVELOPING PORTFOLIO OF NATIONAL BROWN SPIRITS BRANDS Brandy Whisky Infusions Balsam and herbal liqueurs Brown spirits Low-middle Middle Sub-premium portfolio Average retail RUR RUR RUR RUR RUR 220- 270 RUR RUR price per 0.5 liter from Jan 2013 380 430 470 500 ~7 - 8US$ 600 540 ~12US$ ~13US$ ~15US$
Slide 13: Synergy is #1 independent spirits distributor in Russia
SYNERGY IS #1 INDEPENDENT SPIRITS DISTRIBUTOR IN RUSSIA • Synergy distributes in Russia a comprehensive portfolio of premium international brands. Dedicated team (Synergy Import) – more than 400 people • Key partners: William Grant & Sons, Camus, Distell, Great Valley, Ron Barcelo Scotch Whisky • Ma
Slide 14: Synergy launched wine distribution
SYNERGY LAUNCHED WINE DISTRIBUTION • Synergy provides the best platform for massive and qualitative wine distribution in Russia. Dedicated team (Synergy Import) – more than 400 people • Wine producers from France, Italy, Spain • Categories: red and white still wines, sparkling wines France (36 SKU):
Slide 15: Focus on quality distribution
FOCUS ON QUALITY DISTRIBUTION Domestic sales breakdown by geographical regions, % of Group’s volume, 2013 • 3 key brands: BELUGA, Myagkov and North-Western Federal Urals Federal district Siberian Federal Far Eastern Federal Belenkaya district Population: 12 million district district Focus Focus • Hi
Slide 16: Contacts
CONTACTS Address: 30/1 Obrucheva Str., bldg. 1 Moscow 117485 Russia Phone: +7 495 510 2695 +7 495 775 3050 Fax: +7 495 510 2697 +7 495 775 3052 E-mail: ir@sygroup.ru Contacts: Sergey Kuptsov, Head of Corporate finance Prokhor Malutin, PR director www.sygroup.ru 16