Koninklijke Ahold Delhaize N.v. · EURONEXT:AD
Koninklijke Ahold Delhaize — Q1 2023 Earnings Presentation
26 slides from Koninklijke Ahold Delhaize's earnings presentation, May 10, 2023
Slide 1: Q1 2023 Ahold Delhaize Results
Q1 2023 Ahold Delhaize Results May 10, 2023 Ahold Delhaize – Q1 2023 Results 1
Slide 2: Cautionary notice
Cautionary notice This communication includes forward-looking statements. All statements other than statements of historical facts may be forward-looking statements. Words and expressions such as continu(e)/(ing), well positioned, taking steps, towards, will, outlook, transition or other similar wor
Slide 3: Welcome
Welcome JP O’Meara SVP Investor Relations Ahold Delhaize – Q1 2023 Results 3
Slide 4: Ahold Delhaize delivers solid Q1 2023 results
• Our brands' efforts to provide customers with the best value at competitive prices continue to deliver strong financial results. Through our Save for Our Customers cost- savings program and by continuing to invest in the expansion of low-cost, high-quality own-brand assortments and personalized be
Slide 5: Business Highlights
Q1 2023 Business Highlights Frans Muller, President & CEO Ahold Delhaize – Q1 2023 Results 5
Slide 6: Our brands continue to deliver solid results through challenging times
Our brands continue to deliver solid results through challenging times Net Sales €21.6bn vs LY constant rates +6.3% Diluted Underlying EPS €0.61 vs LY actual rates +10.5% Ahold Delhaize – Q1 2023 Results 6
Slide 7: Finding the right balance in the price / value equation
Finding the right balance in the price / value equation Expanding Price Favorites and Highly personalized harmonizing own- loyalty programs brand assortment that fit customers needs Innovative assortments focused on affordable & healthy options Ahold Delhaize – Q1 2023 Results 7
Slide 8: Albert Heijn pushing boundaries in innovation and sustainability
Albert Heijn pushing boundaries in innovation and sustainability Highlights • Price Favorites increased to 2,000 items, including more fruits and vegetables • Piloting ‘True Price’ on coffee at 3 AH to go stores to provide transparency on social & environmental costs • Taking steps towards B Corp Ce
Slide 9: PDL supports our US brands to execute their omnichannel strategies
PDL supports our US brands to execute their omnichannel strategies Highlights • ADUSA e-commerce penetration at 8.5%, up 40bps compared to Q1 2022 • Rolled out Native Mobile Apps at The GIANT Company and Giant Food, with Stop & Shop to follow in Q2 • On track to migrate Food Lion to the PRISM platfo
Slide 10: Food Lion continues store investments with Omnichannel Remodel Program
Food Lion continues store investments with Omnichannel Remodel Program Highlights • Progressing on first round of converting stores to new omnichannel with first 29 stores planned for May • 42 consecutive quarters of positive comparable sales growth • Energy Star Partner of the Year for 22nd year Ah
Slide 11: Healthy & Sustainable: Highlights
Healthy & Sustainable: Highlights Alfa Beta Won 3 ‘Green Brand Awards’ for their contribution to Ahold Delhaize Ahold Delhaize ecological education of students and green strategic Named one of the 10 planning Priced inaugural €500m most sustainable Green Bond confirming grocers by Progressive ambiti
Slide 12: Delhaize announces intention to affiliate its Belgian stores
Delhaize announces intention to affiliate its Belgian stores Highlights: • Announced intention to transform remaining 128 integrated supermarkets into independent affiliated stores • With proposed changes, all Delhaize stores will be aligned under one operating model • Intention to continue develop
Slide 13: Financial Highlights
Q1 2023 Financial Highlights Natalie Knight Ahold Delhaize – Q1 2023 Results 13
Slide 14: First Quarter results 2023 (underlying)
Comparable Net sales Sales Growth First Quarter €21.6bn excl. gas +6.2% results 2023 vs LY constant rates U.S. 6.2% EU 6.1% +6.3% Underlying Net Consumer Results Underlying Online Sales1 €2.9bn operating margin Underlying operating income 4.0% vs LY constant rates +5.9% €864m vs LY constant rates vs
Slide 15: First Quarter results 2023 (IFRS-reported)
Net sales €21.6bn First Quarter vs LY actual rates results 2023 Online Sales +9.4% €2.2bn IFRS-Reported vs LY actual rates Results +9.2% Operating margin Operating income 3.8% €822m vs LY actual rates vs LY actual rates (0.3) pts +0.4% Diluted EPS Income €0.57 from continuing vs LY actual rates oper
Slide 16: Comparable sales growth trends by region
Actuals excluding gas Ex weather/calendar/other Comparable sales growth trends by region Ex. Gas Q1 Group Comparable Sales Growth excl. gas Europe +6.2% U.S. Q1 Q1 +6.2% 9.3% 8.2% 7.8% 8.8% 8.1% +6.1% 7.4% 7.5% 7.7% 6.4% 6.2% 5.5% 5.7% 5.6% 6.1% 3.9% 3.3% 1.8% 1.1% -2.4% -3.1% Q1 2022 Q2 2022 Q3 202
Slide 17: USA: Q1 2023
USA: Q1 2023 Hannaford Comparable Gained market share sales growth ex gas for 7 straight years Giant Food Net sales 6.2% since 2016 €13.5bn vs LY Opened second e- vs LY constant rates +2.9 pts commerce distribution +5.7 % center expanding Stop & Shop Loyalty Programs delivery access for customers Re
Slide 18: Europe: Q1 2023
Europe: Q1 2023 Albert Comparable For second year, largest sales growth ex gas food donor in Czech Maxi Serbia 6.1% Republic, donating 5.6 Net sales million meals €8.1bn €X bn vs LY “My MAXI” loyalty app reached its one millionth vs LY constant rates +9.2 pts download and celebrated +7.2 +9.2 % Mega
Slide 19: bol.com returns to growth, leaning in on three-pronged business model
bol.com returns to growth, leaning in on three-pronged business model Highlights: • GMV was €1.3 billion, up 1.2% versus the prior year • Refined its strategy focusing on three business models: ecommerce, advertising and logistic services • bol.com advertising revenues up 59% versus prior year • Ann
Slide 20: Q1 Free Cash Flow Bridge
Q1 Free Cash Flow Bridge FCF Q1 2023 vs Last Year (in €m) Ahold Delhaize – Q1 2023 Results 20
Slide 21: 2023 Outlook
2023 Outlook Frans Muller, President & CEO Ahold Delhaize – Q1 2023 Results 21
Slide 22: 2023 Priorities Outlook
2023 Priorities Outlook ≥20% complementary revenue streams growth Double-digit Omnichannel loyalty sales ecosystem growth ≥€1 bn Operational Save for Our excellence Customers Monetization Accelerate Ahold Delhaize – Q1 2023 Results 22
Slide 23: 2023 Outlook
2023 Around 2022 ≥€1 levels billion Underlying ≥4% diluted EPS Save for Our Customers Underlying Operating Margin ~€2.0 €1 billion billion Share Buyback2 ~€2.5 Free Cash Flow 40-50% billion payout; YOY growth in Capital dividend per share Expenditures Dividend payout ratio 1 ,2 1. Calculated as a pe
Slide 24: Announcing our new CFO
Announcing our new CFO Natalie Knight Jolanda Poots-Bijl Ahold Delhaize – Q1 2023 Results 24
Slide 25: Ahold Delhaize
aS) Ahold Delhaize albert, Pol-com’ ide winkel van ons allemzal
Slide 26: Thank you
4) Ahold 9 Delhaize Thank you he _ \ FOOD#ALION §$sTOPasHop. =m Geer ¥Giant Qe La albert bol.com” cde winkel van ons allemaal DIX 6% Tempo (ApBemtinqutes TENA ‘OD sfreshdirect tos GalleGall = Peaped BD reissavsines apse INDO or SUPPLY CHAIN rravsconsensias Qi Ahold Delhaize
Koninklijke Ahold Delhaize — Q1 2023 Earnings Presentation on 6ix