Aak Ab · OMXSTO:AAK
Aak Ab — Investor Day (2017)
19 slides from Aak Ab's investor day presentation, 2017
Slide 1: South Latin America update
Gerardo Garza López de Heredia President South Latin America South Latin America update The Co-Development Company
Slide 2: Agenda
Agenda 1 Macroeconomic landscape in SoLA 2 Market landscape: Customers & Consumers 3 SoLA capabilities 4 Go–to–Market 5 Business performance 6 SoLA the coming years 2 The Co-Development Company
Slide 3: Macroeconomic landscape
Macroeconomic landscape Brazil economic environment… GDP growth Industrial Production Inflation Unemployment Private Consumption Retail Sales Brazil in a recessionary environment for the third year in a row, while political instability is still ongoing… Argentina still facing uncertainties after rec
Slide 4: Market landscape: Customers & Consumers
Market landscape Customers & Consumers SoLA population 325 million Brazil & Argentina accounting for 80% Packaged food market 2017: US$ 118 billion CAGR 2012 – 17: (3,31%) Customers have faced limited volume demand... Running manufacturing sites at low capacity rates, Increased inventory levels, Par
Slide 5: Market landscape: Customers & Consumers
Market landscape Customers & Consumers Forecast 2020 Packaged Foods $ 132 bio. Sauces, Dress. Biscuits & Dairy Baked Goods Confectionery & Condiments Snack Bars $ 41 bio. $ 31 bio. $ 12 bio. $ 15 bio. $ 16,7 bio. Ice Cream & Spreads Soups Infant Nutrition Edible Olis Frozen Desserts $ 1,1 bio. $ 1,0
Slide 6: Market landscape Brazil
Market landscape Brazil Key Product Categories 2017 Growth & Forecast Baked Goods Ice Cream Biscuits -0,1% -7,1% -0,1% 2,5% 3,5% 2,2% Confectionery Infant Nutrition Dairy -4,9% +0,2% -0,1% 2,8% 3,8% 3,7% Volume 2017 Volume CAGR 2017-2021 Source: Euromonitor - Brazil 6 The Co-Development Company
Slide 7: Customers & Consumers trends & drivers
Market landscape Customers & Consumers trends & drivers… Consumers Customers Affordability Core Volumes Share Protection Savings & Trade Down AAK Affordable Portfolio & Smaller packages Cautious Spending The Co-Development Productivity, Health & Wellness Company Efficiency & Savings Nutrition & Form
Slide 8: SoLA Packaged Food Sales
Market landscape Customers and Consumers SoLA Packaged Food Sales (US$mio) Source: Euromonitor SoLA: Brazil, Argentina, Chile, Peru, Uruguay, Bolívia and Paraguay. 8 The Co-Development Company
Slide 9: SoLA Packaged Food Sales
Market landscape Customers and Consumers SoLA Packaged Food Sales (US$mio) Source: Euromonitor SoLA: Brazil, Argentina, Chile, Peru, Uruguay, Bolívia and Paraguay. 9 The Co-Development Company
Slide 10: 2018 – 2020, promising growth ahead
Market landscape 2018 – 2020, promising growth ahead… Source: Euromonitor SoLA: Brazil, Argentina, Peru, Chile, Bolivia, Uruguay , Paraguay 10 The Co-Development Company
Slide 11: AAK SoLA Capabilities & Footprint
AAK SoLA Capabilities & Footprint All Capabilities in place... 11 The Co-Development Company
Slide 12: AAK SoLA Capabilities & Footprint
AAK SoLA Capabilities & Footprint Jundiai Site Montevideo Site Official opening: June 2016 Fractionation, Hydrogenation, Physical Started-Up: 2H 2016 Refining, Melting Unit, Deodorization, Packing & Bulk load station units in place All processes (Bleaching, Deodorization, Hydrogenation, Interestific
Slide 13: Go–to–Market
Go–to–Market Customer & market centric approach Developed & built up product portfolio for Bakery, Biscuits, Ice Cream, Dairy & other applications aligned with local markets needs & trends 21 new customers Win rate 52% (out of number of projects pipeline) 9 AAK Academies & Innovation Days performed
Slide 14: Go–to–Market: Market reach
Go–to–Market Market reach… Increasing share in new markets, while maintaining our leading position in CCF… Source: AAK 14 The Co-Development Company
Slide 15: Semi–speciality & speciality CCF market
Go–to–Market Semi–speciality & speciality CCF market Source: AAK Analysis (Share in volume) 15 The Co-Development Company
Slide 16: Speciality CCF market
Go–to–Market Speciality CCF market Source: AAK Analysis (Share in volume) 16 The Co-Development Company
Slide 17: AAK SoLA Business Performance & Highlights
AAK SoLA Business Performance & Highlights CAGR: 30,1% 17 The Co-Development Company
Slide 18: AAK SoLA Volume Ramp–Up
AAK SoLA Volume Ramp–Up 140 000 120 000 100 000 80 000 60 000 40 000 20 000 40% CAGR 0 2015 2016 2017 2018 2019 Vol in MT. AAK BR + AAK UY 18 The Co-Development Company
Slide 19: Thank you!
Thank you! www.aak.com The Co-Development Company