Slide 1: Company Overview
Company Overview May 2021
Slide 2: Contents
Contents 1 Introduction to DCC 02 2 Purpose, stakeholders and sustainability 13 3 Our business 18 4 Division-by-division 22 5 Enabling energy transition 53 6 Disclaimer 59 1 DCC overview – May 2021
Slide 3: Introduction to DCC plc
Introduction to DCC plc
Slide 4: FY 2021 highlights
FY 2021 highlights Very strong performance across key metrics Operating profit growth + Adj. operating profit up 7.3% to €530.2m across each division + Very strong return on capital employed of 17.1% + Excellent free cash flow performance, FCF% of 130% Continued development across all divisions + Ac
Slide 5: Our business today
Our business today DCC is a leading international sales, marketing and support services group operating across four divisions Revenue Operating profit Locations Market cap £13.4bn £530.2m Employees 20 13,700 c.£6.0bn ROCE Adjusted EPS countries across 3 continents 17.1% 386.6p Profit by geography Pr
Slide 6: Proven record of growth, development and value creation
Proven record of growth, Operating Profit Growth 27 year CAGR1 development and value creation 14.2% Dividend Growth 27 year CAGR 13.9% Free cashflow conversion 27 years 2021 104% 2018 2018 Healthcare 2015 2009 LPG Europe 2007 LPG, Hong Kong Total Shareholder Return 2001 LPG Healthcare 27 years 1994
Slide 7: A consistent strategy since flotation, deploying a proven business model
A consistent strategy since flotation, deploying a proven business model Our strategic objective To continue to build a growing, Creating and sustaining sustainable and cash Financial discipline market-leading positions generative business which consistently provides returns on capital employed well
Slide 8: Why diversity works for DCC
Why diversity works for DCC Significant operating profit growth across all divisions since 2008 Operating profit FY08 – FY21 (£’m) CAGR: 14.0% ‘08 – ‘21 CAGR ROCE ‘21 500.0 DCC Technology +7.5% 12.3% 400.0 DCC Healthcare +13.1% 18.7% 300.0 DCC Retail & Oil +12.6% 19.2% 200.0 100.0 DCC LPG +20.2% 17.
Slide 9: Our framework for capital allocation
Our framework for capital allocation Organic Acquisitions Growing development at ROCE well returns to and investment ahead of WACC shareholders • Investment in capex and • Remains a core • Progressive dividend working capital as we grow competence approach core to investment case • Supports organic
Slide 10: Consolidating and compounding
Consolidating and compounding The DCC way 2021 Extending our Driving organic geographic footprint growth Europe, North America and Asia Operating profit1: £530m 530 494 461 383 2001 345 Scaling presence Executing bolt- 285 in adjacencies ons in market UK & Ireland 189 208 176 170 Operating profit1:
Slide 11: Extending our geographic footprint: M&A
Extending our geographic footprint: M&A Record of integrating >300 acquisitions over 27 years 3yr avg: Acquisitions £m (1994 – 2021): total of £3.5bn £305m 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 10 D
Slide 12: Highly cash generative business model
Highly cash generative business model 2021 27 Years Excellent Cash Flow £m £m FCF conversion Operating profit 530.2 4,728.8 Decrease in working capital 177.7 586.3 Depreciation and other 134.4 1,204.9 Free cash Operating cash flow 842.3 6,520.0 conversion of 130% Net capex (146.9) (1,585.6) in 2021,
Slide 13: Record of consistent growth
Record of consistent growth 27 year CAGR1 27 year CAGR Operating profit (£m)1 EPS (pence) 14.2% 11.9% 530 387 494 358 363 461 317 383 287 345 243 285 202 183 164 165 208 151 176 189 129 133 155 170 131 139 104 86 46 49 54 61 62 68 78 97 69 73 34 37 46 52 59 67 15 16 191920 26 32 37 17 19 22 27 28 19
Slide 14: Purpose, stakeholders & sustainability
Purpose, stakeholders & sustainability
Slide 15: Our purpose - Enabling people and businesses to grow and progress
Our purpose - Enabling people and businesses to grow and progress Customers Employees Investors Communities Government & Suppliers & Environment & Regulators • Essential energy • Ensured safety and • Adj. operating • Committed to net • Engaged with products to >8m wellbeing of our profit +7.3% zero
Slide 16: DCC is committed to sustainability
DCC is committed to sustainability We have a net zero emissions target by 2050 or sooner for our own operations; 20% reduction by 2025 15 DCC overview – May 2021
Slide 17: We are guided by a consistent set of core values
We are guided by a consistent set of core values Core Values 16 DCC overview – May 2021
Slide 18: DCC is committed to excellence in sustainability
DCC is committed to excellence in sustainability Ranked AAA and a DCC improved 15 Assigned highest leader among its points in the last Governance rating category (industrial year: from “high” conglomerates) risk to “medium” risk Disclaimer Disclaimer 17 DCC overview – May 2021
Slide 19: Our business
Our business
Slide 20: Our markets
Our markets Energy Healthcare Technology Our energy businesses are We provide specialist services to Our technology businesses lead leading providers of energy international health & beauty by providing a broad range of products to a broad range of brand owners, principally in the products and servi
Slide 21: Essential products and services, keeping economies moving
Essential products and services, keeping economies moving 20 DCC overview – May 2021
Slide 22: Divisional introduction
Divisional introduction DCC LPG DCC Retail & Oil DCC Healthcare DCC Technology 44% of operating profit; ROCE: 17.4% 27% of operating profit; ROCE: 19.2% 15% of operating profit; ROCE: 18.7% 14% of operating profit; ROCE: 12.3% Volume (tonnes) Operating profit Volume (litres) Operating profit Revenue
Slide 23: Division-by-division
Division-by-division —
Slide 24: DCC LPG
DCC LPG ~e saa
Slide 25: DCC LPG
DCC LPG FY2021 A leading liquid petroleum gas Volumes (tonnes) 2.3mT* (“LPG”) sales and marketing business, with a developing Operating profit £231.3m business in the retailing of ROCE 17.4% natural gas and electricity Employees 3,600 FY21 volumes by geography FY21 volumes by customer segment 2% 4%
Slide 26: Recurring revenue, cash generative & high ROCE business
DCC LPG Recurring revenue, cash generative & high ROCE business LPG is used by a Global business with significant varied customer market presence in 10 countries in base for: Europe, Asia and the US • Heating Over 40 years industry experience • Cooking Partner of choice for oil majors in asset dives
Slide 27: Operating model
DCC LPG Operating model DCC LPG Value Chain Our major brands 26 DCC overview – May 2021
Slide 28: Business of scale with global presence
DCC LPG Business of scale with global presence Large Market Positions: #2 France, Britain and Ireland; #1 Norway, Sweden, Netherlands Volumes Customers Trucks Employees Facilities Business Statistics FY 2021: 2.3m 940k* 2,000 3,600 302 Tonnes *excludes consumers who purchase our cylinders from retai
Slide 29: Up to ~6th in US LPG
8 WASHINGTON 2 OREGON MICHIGAN CONNECTICUT WYOMING 5 2 14 2 23 INDIANA UTAH 6 4 ILLINOIS WEST COLORADO VIRGINIA KANSAS 8 3 MISSOURI KENTUCKY 12 NORTH CAROLINA 23 TENNESSEE 11 3 10 5 SOUTH CAROLINA ALABAMA MISSISSIPPI GEORGIA 2 1 DCC Propane location 2 2-9 DCC Propane locations FLORIDA 10 or more DCC
Slide 30: LPG delivering growth
DCC LPG LPG delivering growth Driving organic Scaling Extending our growth in adjacencies footprint Growing Natural gas & electricity Bolt-on acquisitions market share in existing markets Medical gas & Driving refrigerants Oil2LPG conversions Entering new growth geographies Innovation & Renewables –
Slide 31: DCC Retail & Oil
DCC Retail"& Oil SS
Slide 32: DCC Retail & Oil
DCC Retail & Oil FY2021 Evolving to be a leader Volumes (litres) 10.2bn in low emission liquid fuels Operating profit £144.8m and energies; and related ROCE 19.2% products and services Employees 3,400 FY21 volumes by geography FY21 volumes by customer segment 6% 13% Commercial & Industrial 3% Retail
Slide 33: Recurring revenue, cash generative & high ROCE business
DCC Retail & Oil Recurring revenue, cash generative & high ROCE business Retail stations and fuel cards Established market for consumers and commercial position in eight countries customers with a platform to grow Liquid fuel distribution for: the business across • Transport Europe • Heating • Indus
Slide 34: Operating model
DCC Retail & Oil Operating model DCC Retail & Oil Value Chain Our brands 33 DCC overview – May 2021
Slide 35: A business of scale
DCC Retail & Oil A business of scale Business Statistics FY 2021 Volumes Customers Trucks Employees Facilities 10.2bn 0.9m* 1,000 3,400 280 Litres Retail petrol sites operated (1,143) / supplied (2,609†) Britain France Sweden Norway 865 456 363 249 Austria Ireland Denmark 280 159 237 EV chargers on
Slide 36: Retail & Oil driving growth
DCC Retail & Oil Retail & Oil driving growth Driving organic Scaling Extending our growth in adjacencies footprint Differentiated fuels Lubricants Development of retail strategy network Driving Adblue Penetration of premium Development of HGV & growth fuels EV Charging & road side bulk fuels offer s
Slide 37: DCC Healthcare
DCC Healthéare eS —_—
Slide 38: DCC Healthcare
DCC Healthcare FY2021 A leading healthcare Revenue £655.4m business, providing products Operating profit £81.7m and services to health & ROCE 18.7% beauty brand owners and Employees 2,700 healthcare providers Revenue by sector Revenue by geography 16% Britian H&B brand 43% owners US Healthcare 57% I
Slide 39: Strategically well placed for growth
DCC Healthcare Strategically well placed for growth Market dynamics Increasing Lifestyle Trend to Government Increasing Fragmented Demographics Innovation demand factors outsourcing policies regulation markets Growth opportunities DCC Health & Beauty Solutions DCC Vital B2B contract services related
Slide 40: DCC Health & Beauty Solutions – What we do
DCC Healthcare DCC Health & Beauty Solutions – What we do Our Services DCC Health & Beauty Solutions Builds long term partnerships with international health & beauty brand owners, providing specialist services including NPD, formulation, manufacturing and packaging in Europe and the US Product devel
Slide 41: DCC Health & Beauty – product categories
DCC Healthcare DCC Health & Beauty – product categories Facial and Bodycare Suncare and Sport, Diet Self Tanning and Active Lifestyles Nutritional Stay Well / Haircare Enhance Healthcare Cream & Liquids Health Beauty Men’s Health Women’s & Grooming Health OTC and Medical Devices Baby and Children’s
Slide 42: DCC Vital – What we do
DCC Healthcare DCC Vital – What we do Our Suppliers DCC Vital Sales, marketing and distribution of own and third party medical and pharmaceutical products to Third party brand owners Own brand/licence products providers across all sectors of the healthcare market in Britain, Germany, Switzerland & I
Slide 43: DCC Vital – Own & third party products
DCC Healthcare DCC Vital – Own & third party products Own brands Exclusive Partners 42 DCC overview – May 2021
Slide 44: Healthcare delivering growth
DCC Healthcare Healthcare delivering growth Driving organic Scaling presence Extending our growth in adjacencies footprint Positive market New H&B Bolt-ons in existing dynamics product formats markets Driving growth Innovation Expanding own-brand Geographic expansion medical products Capacity invest
Slide 45: European platform in medical products
FY21 case study: DCC Vital acquires Wörner European platform in medical products • Wörner - focused on the primary care sectors in Germany and DCC Healthcare (H&B and Vital) has an Switzerland – is DCC Vital’s first acquisition in continental Europe. excellent record of organic growth. • The acquisi
Slide 46: Sustainability initiatives
DCC Healthcare Sustainability initiatives DCC Health & Beauty: Our facility in Wales has installed 2 wind turbines and almost 900 solar panels Our UK businesses have all switched to 100% renewable sources of electricity Our UK beauty business recycle 30,000 pallets a year, saving 7,500 trees being f
Slide 47: DCC Technology
DCC Technology
Slide 48: DCC Technology
DCC Technology FY2021 A leading route-to-market and Revenue £4,483m supply chain partner for global Operating profit £72.4m technology brands ROCE 12.3% Employees 4,000 DCC Technology operates in 19 countries, across the consumer, B2B and enterprise markets and principally under the brand. 50,000+ C
Slide 49: At a glance
DCC Technology Our Business At a glance Product focus & breadth Market insight The obvious partner for datacentre, security, IT, and alignment, a new supplier to access mobile, AV home, music public sector, business, smart home, cloud Retail and B2B markets Logistics, supply chain, Channel specialis
Slide 50: An integral part of the Tech supply chain
DCC Technology An integral part of the Tech supply chain Creating value for customers and suppliers 2,400+ Proactive sales & Category product & technical Product sourcing, website & category Product lifecycle solutions Retail Etailers global marketing expertise management technology brands and manuf
Slide 51: Footprint across Europe, North America & Asia
DCC Technology Footprint across Europe, North America & Asia 50 DCC overview – May 2021
Slide 52: Technology delivering growth
DCC Technology Technology delivering growth Driving organic Scaling presence Extending our growth in adjacencies footprint Differentiating through Strong specialist capabilities Enhanced capabilities in customer value in Retail, B2B, Pro AV, existing geographies Mobile, Enterprise Driving Providing
Slide 53: Sustainability initiatives
DCC Technology Sustainability initiatives UK UK Nordics • Installing solar system to • Provides a second-life to used • Investing in new box folding provide approximately 40% of and unwanted phones, and sealing machines, lowering our electricity requirement for reducing the number of units the amoun
Slide 54: Enabling energy transition
Enabling energy transition
Slide 55: Leading in energy transition
Leading in energy transition DCC overview – May 2021 54
Slide 56: DCC invests in fast-growing EV charging
EV fast chargers: up 50% Case study 1: EV charging in Norway across our European network DCC invests in fast- growing EV charging Investing in Norway in fast-growing electric charging in partnership with a leading utility provider in the Nordics • Seven new locations recently added, generating stron
Slide 57: HVO: DCC's customers reduce emissions by 80%
Case study 2: HVO Biofuel: now 11% of road HVO: DCC’s transport fuel supplied by DCC, up from <7% in 2018 customers reduce emissions by 80% We are accelerating the growth of HVO in Sweden: primarily to bulk customers, but now developing in retail too • HVO is produced mainly from food industry waste
Slide 58: Oil-to-LPG: customers reduce CO2 emissions by around 20%
Case study 3: Oil-to-LPG Oil-to-LPG: DCC’s customers reduce their CO2 emissions by around 20% 57 DCC overview – May 2021
Slide 59: DCC is leading energy customers on the transition: Other key initiatives
DCC is leading energy customers on the transition: Other key initiatives 01 02 Oil-to-LPG: DCC’s Our renewable electricity customers lowered their customers number over CO2 emissions by 4,200t 100,000 in Ireland 03 04 Entered solar installation First to bring sustainable business in France aviation
Slide 60: Disclaimer
Disclaimer This presentation does not constitute an invitation to underwrite, subscribe for or otherwise acquire or dispose of any shares or other securities of DCC plc (“DCC”). This presentation contains some forward-looking statements that represent DCC’s expectations for its business, based on cu