Collins Foods Limited · ASX:CKF
Collins Foods — Morgans Annual QLD Conference 2014
24 slides from Collins Foods's conference presentation, Oct 8, 2014
Slide 1: Morgans Annual QLD Conference
For personal use only COLLINS FOODS LIMITED MORGANS ANNUAL QLD CONFERENCE 8 October 2014
Slide 2: Chief Executive Officer Graham Maxwell
For personal use only Chief Executive Officer Graham Maxwell Page 1
Slide 3: Collins Foods Limited
Collins Foods Limited For personal use only 170 KFC restaurants 26 Sizzler restaurants in 6 Snag Stands across Queensland, Western Australia, predominately in across eastern seaboard Australia and Northern Queensland but also in Perth – 50 % partnership Territory and Sydney – owned and operated unde
Slide 4: Our history
Our history For personal use only 9 JAPAN 9 CHINA 43 THAILAND 4 NORTHERN TERRITORY 1 126 QUEENSLAND 18 5 38 NEW SOUTH WALES 2 2 WESTERN AUSTRALIA 3 1 ACT VICTORIA 2 Page 3
Slide 5: CKF FY14 financial overview
CKF FY14 financial overview For personal use only Change • Underlying NPAT up 9.3% to $17.9m WA Significant FY14 versus FY12 FY13 FY14 impact items (1) (2) Underlying FY13 • Underlying EPS up 9.3% to 19.2 cps $m Underlying Revenue 406.5 * 423.9 440.6 15.4 - 425.1 0.3% • Full year dividend payout o
Slide 6: KFC
For personal use only KFC
Slide 7: KFC Qld growing both top and bottom line
KFC Qld growing both top and bottom line For personal use only Significant FY14 FY12 * FY13 FY14 Change • Revenue up 3.5% with SSS up $m items Underlying Restaurants 0.8% - period end 121.0 122.0 125.0 - - 3.0 • 4 new restaurants opened and Revenue 300.8 318.2 329.3 - - 3.5% 1 closed % SSS (1.8%
Slide 8: KFC WA/NT - expanding our footprint
KFC WA/NT - expanding our footprint For personal use only • Acquired 42 KFC restaurants in Western Australia and Northern Territory • Transaction completed 7 March 2014 NORTHERN TERRITORY (4) • FY14 revenue of $107m and EBITDA of ~ $10m • Expecting a ~ 15% EPS accretive to CKF QUEENSLAND (126) earni
Slide 9: KFC Brand supported by solid pipeline/campaigns
KFC Brand supported by solid pipeline/campaigns For personal use only • Strong new product promotions – Zinger pie, Mighty Burger, Boneless chicken etc – continuing to introduce innovation and excitement to the Brand • Innovative and fun family dinner offerings at centre of Brand strategy • Value of
Slide 10: Growing and upgrading our estate
Growing and upgrading our estate For personal use only
Slide 11: KFC capex focused on growth
KFC capex focused on growth For personal use only 25 • Total KFC capex of ~ $31m for FY15: 20 • ~ $20.6m for Queensland: – 5 new builds 15 $m – 11 major remodels 10 – 5 minor remodels 5 • ~ $10.4m for WA/NT: 0 – 2 new builds FY14 FY15 FY15 KFC Qld/NSW KFC WA/NT – 5 major remodels – 2 minor remodels
Slide 12: Sizzler in transition
For personal use only Sizzler in transition
Slide 13: Sizzler performance reflects ongoing transition
Sizzler performance reflects ongoing transition For personal use only • Overall revenue down 9.3% to Significant FY14 FY12 * FY13 FY14 Change $95.8m with Sizzler Australia items (1) Underlying $m SSS down 9.3% Restaurants - period end** 27.0 27.0 26.0 - - 1.0 • Revenue decline has put pressure on
Slide 14: A fresh new look and feel for Sizzler
A fresh new look and feel for Sizzler For personal use only • Get Refreshed is a Brand wide initiative designed to contemporise Sizzler and re-engage with our guests • Key elements of Get Refreshed include: – creating a fresh/contemporary look and feel in the restaurants – elevating both the food an
Slide 15: Get Refreshed roll-out
Get Refreshed roll-out For personal use only • Two restaurants, Cleveland and Caboolture have reopened with the key Get Refreshed elements included in an overall front of house remodel and a third, Mermaid Beach to reopen at the end of October • To date sales in Cleveland and Caboolture have been ve
Slide 16: Sizzler Asia continues to grow
Sizzler Asia continues to grow For personal use only • Royalty revenue over FY14 up 9.9% Sizzler Restaurants in Asia • Opened 4 new restaurants in China and Thailand during FY14 • New restaurants in China have performed well on opening 9 • Plan to open a further 5 new 9 restaurants in China and 2 in
Slide 17: Snag Stand a new addition
For personal use only Snag Stand a new addition
Slide 18: Investment in an innovative concept
Investment in an innovative concept For personal use only • An innovative concept in the fast growing section in the food service industry • Gourmet Artisan sausages of the finest quality…. it’s fantastic tasting, international inspired dude food • Currently 6 stores (1 franchise) with a further Sta
Slide 19: Financial overview
For personal use only Financial overview
Slide 20: Strong cash flow generation
Strong cash flow generation For personal use only • Generated a net cash flow of $13.3m FY12 FY13 FY14 $m Net operating cash flows before interest • Net operating cash flow increased $7.4m reflecting strong cash 51.2 50.1 57.5 generation and change in working capital primarily due to KFC and tax WA/
Slide 21: Comfortable debt profile
Comfortable debt profile For personal use only • Increased overall debt facilities to $175m up from Net debt () v Net leverage ratio (–) $145m to support KFC WA/NT acquisition 150 2.75 • Net debt up $46.4m to $127.4m (FY13: $81m) 2.50 125 • Strong net operating cash flow generation in the 2.25 100
Slide 22: Business focus and outlook
Business focus and outlook For personal use only • Continue to expand and strengthen KFC business – 30 restaurants across Queensland, Western Australia and Northern Territory over the next four years – potentially further acquisitions • Return Sizzler Australia to positive growth through the roll-ou
Slide 23: Thank you
For personal use only Thank you
Slide 24: Disclaimer
Disclaimer For personal use only This presentation contains forward looking statements which may be subject to significant uncertainties beyond CKF’s control. No representation is made as to the accuracy or reliability of forward looking statements or the assumptions on which they are based. Circums