Anadolu Efes Biracilik ve Malt Sanayii A.S. · BIST:AEFES
Anadolu Efes Biracilik ve Malt Sanayii A.S — Anadolu Efes — Q1 2023 Earnings Presentation
18 slides from Anadolu Efes Biracilik ve Malt Sanayii A.S's earnings presentation, May 4, 2023
Slide 1: First Quarter 1Q2023 Conference Call Presentation
FIRST QUARTER 1Q2023 CONFERENCE CALL PRESENTATION 4 MAY 2023
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation may contain certain forward-looking statements concerning our future performance and should be considered as good faith estimates made by the Company. These forward-looking statements reflect management expectations and are based upon currently available
Slide 3: General Overview & Operating Environment
GENERAL OVERVIEW & OPERATING ENVIRONMENT CAN ÇAKA CEO & Beer Group President
Slide 4: Strong results beyond expectations…
Strong results beyond expectations… Successful results beyond initial expectations for 1Q Strong topline growth significantly above volume increase Robust NR/hl growth leading to exceptional performance in gross profitability EBITDA BNRI margin expansion with cautious expense management Consolidated
Slide 5: Volume Breakdown
With remarkable beer volume performance in Türkiye & Georgia… • Consolidated beer volume down by 6% in 1Q with y-y higher pricing • Cycling a strong growth a year ago • Excluding Ukraine; volume down 5% • Türkiye beer volume up 10% • Despite the impacts of earthquake and Ramadan • International beer
Slide 6: Russia
Russia • Russian beer market down mid-to-high single digit; • Volatile trend in demand • Relatively more saving behavior in consumer base • Our own volume down by high-single digit; • Better momentum versus 4Q2022 • Higher prices compared to last year • Relatively lower promotion activities • Gold M
Slide 7: Georgia, CIS and Türkiye
Georgia CIS • CIS volume up mid-single digit on average • Kazakhstan volume down with high pricing • Moldova volume impacted high inflation in the country • Close to 40% volume growth in Georgia; both in beer & CSD Türkiye • Turkish beer market was strong in 1Q with increased number of foreign resid
Slide 8: Volume Breakdown: Soft Drinks
Soft Drinks Soft Drinks • Consolidated volume growth of 6% in 1Q2023; • Double-digit volume growth in Central Asia and Pakistan • Softer volumes in Türkiye and the Middle East • Türkiye volume down 8% mainly impacted by the earthquake • Sparkling & Still category down 9% • Energy drinks up more than
Slide 9: Strong topline growth with solid margin expansion…
Strong topline growth with solid margin expansion… Anadolu Efes Beer Group 1Q 1Q • Higher prices y-y to reflect cost inflation REVENUE +78.4% +76.6% • Successful RGM initiatives NET CCR*:+48.6% CCR*:+28.1% • Favorable channel mix in soft drink operation • Higher FX translation impact • Outstanding p
Slide 10: Financial Overview
FINANCIAL GÖKÇE YANAŞMAYAN OVERVIEW Chief Financial Officer
Slide 11: Financials
Financials Anadolu Efes Beer Group mTL mTL 1Q2022 1Q2023 Change 1Q2022 1Q2023 Change Sales Revenue 13,767 24,566 +78.4% Sales Revenue 5,102 9,011 +76.6% Gross Profit 4,785 9,078 +89.7% Gross Profit 1,943 3,919 +101.7% EBITDA (BNRI) 2,251 4,211 +87.1% EBITDA (BNRI) 453 1,303 +188.0% Free Cash Flow -7
Slide 12: EBITDA (BNRI) & FCF Generation
Beer Group EBITDA (BNRI) & FCF Generation EBITDA (BNRI) Bridge Free Cash Flow Bridge mTL mTL +188% -157 +28%* +19%* -558 +31%* 1,303 -462 1,433 851 -552 527 453 -444 -96 -96 -253 -102 1Q2022 Net COGS Selling, Other 1Q2023 -253 Revenue Marketing 1Q2022 EBITDA Changes CAPEX, Taxes & 1Q2023 and in WC n
Slide 13: Cash & Debt Management
Cash & Debt Management Anadolu Efes Gross Debt Cash USD 2.1 bn USD 1.3 bn Average maturity 72% 63% 3.2 yrs held in Hard Currency held in Hard Currency Net Debt/EBITDA 46% 0.8x held in Eurozone Beer Group Gross Debt Cash USD 0.9 bn USD 0.5 bn Average maturity 57% 58% 3.2 yrs held in Hard Currency hel
Slide 14: Risk Management
Risk Management Beer Group COGS Split for 2022: Beer Group Hedges for 2023*: 9% 17% Commodity : 18% 16% Aluminum: 88% for TR & CIS* 5% Barley: 100% for TR 17% 18% *For 2024: 10% for TR & CIS FX Exposure : Barley-Malt & Auxiliary Overhead (Labour Cost) Glass Bottle Amortization & Other Overhead Can I
Slide 15: FY2023 Expectations
FY2023 EXPECTATIONS
Slide 16: FY2023 Expectations
FY2023 Expectations We re-iterate our expectations for FY2023 despite stronger than expected results in 1Q ANADOLU EFES BEER GROUP SOFT DRINKS GROUP VOLUME Low-to-mid-single digit growth Low-single digit decline Mid to high-single digit growth SALES REVENUE Low-thirties growth High-teens growth High
Slide 17: Q&A Session
Q&A SESSION 17
Slide 18: FX Rates
FX Rates 1Q2022 1Q2023 Δ% AVG 13.94 18.85 35.3% USD/TL PE 14.64 19.15 30.9% AVG 15.64 20.23 29.4% EUR/TL PE 16.29 20.84 28.0% AVG 6.17 3.86 -37.5% TL/RUB PE 5.74 4.02 -29.9% AVG 32.79 24.13 -26.4% TL/KZT PE 31.30 23.39 -25.3% AVG 2.05 1.94 -5.3% TL/UAH PE 2.00 1.91 -4.5% AVG 1.30 1.00 -23.0% TL/MDL