Slide 1: FY2021 Results and Rights Issue
FY2021 Results and Rights Issue 26 May 2021
Slide 2: Disclaimer
FY2021 Results & Rights Issue | 2 Disclaimer This presentation has been prepared in connection with the financial results of C&C Group plc (the “Company”, “C&C” or the “Group”) for the year ended 28 February 2021 and should be read in conjunction with the announcement of the financial results of the
Slide 3: Disclaimer
FY2021 Results & Rights Issue | 3 Disclaimer In addition, the Materials contain projections and forward-looking statements. The words “believe”, “expect”, “anticipate”, “intend” and “plan” and similar expressions identify forward-looking statements. All statements other than statements of historical
Slide 4: Disclaimer
FY2021 Results & Rights Issue | 4 Disclaimer Past performance of the Company cannot be relied on as a guide to future performance. A variety of factors may cause the Company's or the Group's actual results to differ materially from the forward-looking statements contained in the Materials. The conte
Slide 5: C&C today
FY2021 Results & Rights Issue | 5 C&C today Strong portfolio of brands Market leading distribution and infrastructure A business model positioned for the future Passionate, resourceful and agile colleagues
Slide 6: FY2021, a remarkably difficult COVID-19 year with some successes
FY2021 Results & Rights Issue | 6 FY2021, a remarkably difficult COVID-19 year with some successes ✔ We created a SAFE environment for our colleagues and customers ✔ We won SHARE in the off-trade in our core markets ✔ We SUPPORTED customers and suppliers through numerous re- openings ✔ We became PRO
Slide 7: FY2021 Summary
FY2021 Results & Rights Issue | 7 FY2021 SUMMARY
Slide 8: Summary of FY2021 Results – effective liquidity management and cost base streamlining
FY2021 Results & Rights Issue | 8 Summary of FY2021 Results – effective liquidity management and cost base streamlining €m (except per share items) FY2021 FY2020 Variance % Net revenue 736.9 1,678.4 -56.1% Financial Summary constant curre ncy Adjusted EBITDA (1) (28.8) 150.7 NM • Net revenue of €736
Slide 9: Group free cash flow – working capital controlled, supported by tax deferrals
FY2021 Results & Rights Issue | 9 Group free cash flow – working capital controlled, supported by tax deferrals Underlying Adjusted working Net capital Net finance FCF before Exceptional Free cash EBITDA capital Tax deferrals Debtor expenditure costs (excluding Tax Other exceptional items flow Secur
Slide 10: Effective liquidity management during FY2021 and YTD FY2022
FY2021 Results & Rights Issue | 1 0 Effective liquidity management during FY2021 and YTD FY2022 – diversified our capital structure Liquidity(iii) • USPP proceeds in March 2020 USPP of 415 400 c.€140m issued in March 2020 • Term loan repayment profile extended 350 335 315 300 • Continued support fro
Slide 11: Rights Issue
FY2021 Results & Rights Issue | 1 1 RIGHTS ISSUE
Slide 12: Capital raise to reduce leverage and place C&C in a position of strength
FY2021 Results & Rights Issue | 12 Capital raise to reduce leverage and place C&C in a position of strength • A holistic solution to strengthen our balance sheet • Approximately £151m fully underwritten rights issue (“Rights Issue”) Expected Timeline What’s • Covenant waivers and amendments from RCF
Slide 13: Financial Scenarios – considerable uncertainty remains in the near term
FY2021 Results & Rights Issue | 13 Financial Scenarios – considerable uncertainty remains in the near term Indicative Trading Scenarios • Timing and pace of recovery in the on- Base Case Reasonable Worst Case trade is uncertain Scenario Net Revenue (as % of FY20) • Rights Issue provides protection a
Slide 14: Current trading and near term priorities
FY2021 Results & Rights Issue | 14 With the gradual reopening of the UK on-trade, the business is focused on its near term priorities CURRENT TRADING NEAR TERM PRIORITIES • Encouraging demand in May despite • Return to cash generation and profitability restrictions remaining, modestly above Base Cas
Slide 15: Building a Better Business
FY2021 Results & Rights Issue | 15 BUILDING A BETTER BUSINESS
Slide 16: COVID-19 has accelerated structural trends in the market
FY2021 Results & Rights Issue | 16 COVID-19 has accelerated structural trends in the market TREND IMPACT Continued premiumisation, fragmentation and Brand/category decision making cross category consumption increasingly at outlet level Increasing regulation of alcohol Importance of “Push” rather tha
Slide 17: C&C, building a better business into the future
FY2021 Results & Rights Issue | 17 C&C, building a better business into the future BRAND STRENGTH SYSTEM STRENGTH An attractive portfolio of OWNED Strategy to position the Group and AGENCY brands leveraging as the most efficient, C&C’s existing strengths and technology & sustainability market opport
Slide 18: Building a more attractive brand portfolio
FY2021 Results & Rights Issue | 18 Building a more attractive brand portfolio BRAND STRENGTH Win in Cider Strengthen Premium Beer Attract & Develop Agency Brands • Replicate Innis & Gunn “equity for growth” • Why? – an attractive value pool • Limited C&C presence to date in segment model • Leverage
Slide 19: Position as the UK & Ireland's most efficient drinks distribution system
FY2021 Results & Rights Issue | 19 Position as the UK & Ireland’s most efficient and effective drinks distribution system SYSTEM STRENGTH Simplify Business Model Build a Lean Distribution Machine Invest in Key Capability • Eliminate unnecessary duplication across business units (Matthew Clark, Biben
Slide 20: Delivering to a better world
FY2021 Results & Rights Issue | 20 Delivering to a better world Environmental Social Governance Reduce our carbon Sustainably source Ensure alcohol Enhance health, Build a more Collaborate with footprint our products & is consumed wellbeing & capability inclusive, diverse Government & NGO’s services
Slide 21: Building a better business to create long term value
FY2021 Results & Rights Issue | 21 Building a better business to create long term value ✔ FY2021, effective and decisive actions to protect value for all stakeholders BRAND STRENGTH ✔ Rights Issue positions C&C to realise its medium to longer- term growth potential ✔ Building a balanced business int
Slide 22: Q&A
FY2021 Results & Rights Issue | 22 Q&A
Slide 23: Appendix
FY2021 Results & Rights Issue | 23 APPENDIX
Slide 24: Net revenue – significantly impacted by trading restrictions
FY2021 Results & Rights Issue | 24 Net revenue – significantly impacted by trading restrictions €’m FY2020 FY2021 FY2020 1,719.3 €’m Currency (40.9) On-trade FY2020 CC* 1,678.4 Core 3 (96.2) Off-trade Craft & super- (14.3) premium 0 200 400 600 800 1,000 1,200 1,400 Other Owned (6.5) US brands 0.3 •
Slide 25: Operating (loss)/profit – distribution business materially impacted in FY2021
FY2021 Results & Rights Issue | 25 Operating (loss)/profit – distribution business materially impacted in FY2021 €’m Delivered margins* FY2020 120.8 Currency (2.2) FY2020 CC* 118.6 Branded business Distribution business Ireland (45.1) FY2020 FY2021 GB (52.2) • Profitable when restrictions eased • Of
Slide 26: Bulmers House, Keeper Road, Crumlin, Dublin 12, D12 K702. www.candcgroupplc.com
Bulmers House, Keeper Road, Crumlin, Dublin 12, D12 K702. www.candcgroupplc.com