Nomad Foods Limited · NYSE:NOMD
Nomad Foods — Q2 2017 Earnings Presentation
24 slides from Nomad Foods's earnings presentation, Aug 24, 2017
Slide 1: Second Quarter 2017 Earnings Conference Call
Second Quarter 2017 Earnings Conference Call August 24, 2017
Slide 2: Disclaimer
Disclaimer BY READING THIS PRESENTATION, YOU ARE DEEMED TO HAVE READ AND ACCEPTED THE STATEMENT BELOW. This presentation has been prepared by Nomad Foods Limited. This presentation provides information about Nomad Foods Limited and its subsidiaries. Any references to Nomad shall mean Nomad Foods Lim
Slide 3: 2Q17 Highlights
2Q17 Highlights Continued Organic Revenue Growth ● Second consecutive quarter of organic revenue growth, +3.5% ● “Must Win Battles” growth of +8.5% ● Growth led by Germany, +20% and Italy, +12% ● UK strategy showing good progress with response to price increases in line with our expectations Strong
Slide 4: "Must Win Battles" Are Driving Organic Growth
“Must Win Battles” Are Driving Organic Growth 2015 2016 2017 8.5% 5.5% 3.5% 1.2% 1.1% -0.8% -2.7% -3.8% -3.3% -5.4% -6.1% -7.0% -8.0% 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17E 4Q17E Organic Revenue Growth "Must Win Battles" Organic Revenue Growth 4
Slide 5: Organic Revenue Trends by Major Region
Organic Revenue Trends by Major Region 11.6% UK Italy 7.9% (1.1%) (3.6%) (2.5%) (5.8%) (5.6%) (3.4%) (8.1%) (7.4%) 2Q16 3Q16 4Q16 1Q17 2Q17 2Q16 3Q16 4Q16 1Q17 2Q17 Germany Other Countries 19.8% 9.8% 6.0% (1.2%) (0.6%) (0.8%) (2.5%) (4.2%) (3.9%) (2.7%) 2Q16 3Q16 4Q16 1Q17 2Q17 2Q16 3Q16 4Q16 1Q17 2
Slide 6: 2Q17 Gross Margin Bridge
2Q17 Gross Margin Bridge Gross Margin: +0.9% 6 6
Slide 7: 2Q17 Operating Performance
2Q17 Operating Performance €m, except per share data 2Q17 2Q16 YoY Growth Revenue 458.1 455.9 0.5% Organic Revenue Growth 3.5% Gross Profit 144.3 139.6 3.4% Gross Margin (%) 31.5% 30.6% Advertising & Promotions (26.5) (25.8) 2.8% Advertising & Promotions (% Revenue) 5.8% 5.6% Indirects (a) (48.0) (4
Slide 8: Key Cash Flow Metrics
Key Cash Flow Metrics YoY €m YTD 2017 YTD 2016 Movement Adjusted EBITDA 168.1 177.7 (9.6) Loss on disposal of property, plant & equipment 0.2 0.2 - Working capital movement 31.8 13.2 18.6 Pensions & other provisions movements (0.9) (2.0) 1.1 Adjusted capital expenditure (1) (16.8) (12.3) (4.5) Adjus
Slide 9: 2017 Guidance
2017 Guidance Net Revenues ● Organic revenue growth at low-single digit percentage rate ● Reported revenue expected to include a 250 bps offset related to FX translation and leap year comparison EBITDA ● Adjusted EBITDA. €320– €325 million, which implies high-single digit % growth versus 2016 when e
Slide 10: Questions?
Nomad Foods Questions? 10
Slide 11: Appendix
Nomad Foods Appendix 11
Slide 12: Contents
Contents The following tables have been included to allow users to reconcile non-IFRS financial information as well as Adjusted financial information included within this presentation to reported IFRS financial information. 1. Definitions of all key terms and P&L measures referred to in this present
Slide 13: Definitions of all key terms and P&L measures
1) Definitions of all key terms and P&L measures referred to in this presentation Non-IFRS financial measures should not be considered as substitutes for, or superior to, measures of financial performance prepared in accordance with IFRS. They are limited in value because they exclude charges that h
Slide 14: Organic Revenue Growth Reconciliation (Three Months)
2) Organic Revenue Growth Reconciliation Year on Year Growth – Three months ended June 30, 2017 compared with three months ended June 30, 2016 Yoy Growth Reported Revenue Growth 0.5% Trading Day Impact - Translational FX (a) 3.0% Organic Revenue Growth 3.5% (a) Translational FX is calculated by tran
Slide 15: Organic Revenue Growth Reconciliation (Six Months)
2) Organic Revenue Growth Reconciliation Year on Year Growth – Six months ended June 30, 2017 compared with six months ended June 30, 2016 Yoy Growth Reported Revenue Growth/(Decline) (1.4%) Trading Day Impact 0.9% Translational FX (a) 2.6% Organic Revenue Growth 2.2% (a) Translational FX is calcula
Slide 16: Reconciliation to Adjusted Financials, Three Months 2017
3) Reconciliation of reported to Adjusted financial information for the three months ended June 30, 2017 Adjusted Statement of Profit or Loss (unaudited) Three months ended June 30, 2017 As reported for As Adjusted for the three the three months ended months ended € in millions, except per share dat
Slide 17: EBITDA and Adjusted EBITDA, Three Months 2017
3) Reconciliation of reported to Adjusted financial information for the three months ended June 30, 2017 EBITDA and Adjusted EBITDA (unaudited) Three months ended June 30, 2017 Three months ended June 30, € in millions 2017 Profit for the period 19.3 Taxation 5.9 Net financing costs 32.3 Depreciatio
Slide 18: Reconciliation to Adjusted Financials, Three Months 2016
4) Reconciliation of reported to Adjusted financial information for the three months ended June 30, 2016 Adjusted Statement of Profit or Loss (unaudited) Three months ended June 30, 2016 As reported for As Adjusted for the three months the three months ended June 30, ended June 30, € in millions, ex
Slide 19: EBITDA and Adjusted EBITDA, Three Months 2016
4) Reconciliation of reported to Adjusted financial information for the three months ended June 30, 2016 EBITDA and Adjusted EBITDA (unaudited) Three months ended June 30, 2016 Three months ended € in millions June 30, 2016 Loss for the period (7.3) Taxation (0.9) Net financing costs 17.9 Depreciati
Slide 20: Reconciliation to Adjusted Financials, Six Months 2017
5) Reconciliation of reported to Adjusted financial information for the six months ended June 30, 2017 Adjusted Statement of Profit or Loss (unaudited) Six months ended June 30, 2017 As reported for As Adjusted for the six months the six months ended June 30, ended June 30, € in millions, except per
Slide 21: EBITDA and Adjusted EBITDA, Six Months 2017
5) Reconciliation of reported to Adjusted financial information for the six months ended June 30, 2017 EBITDA and Adjusted EBITDA (unaudited) Six months ended June 30, 2017 Six months ended June 30, € in millions 2017 Profit for the period 67.3 Taxation 17.1 Net financing costs 48.4 Depreciation 18.
Slide 22: Reconciliation to Adjusted Financials, Six Months 2016
6) Reconciliation of reported to Adjusted financial information for the six months ended June 30, 2016 Adjusted Statement of Profit or Loss (unaudited) Six months ended June 30, 2016 As reported for As Adjusted for the six months the six months ended June 30, ended June 30, € in millions, except per
Slide 23: EBITDA and Adjusted EBITDA, Six Months 2016
6) Reconciliation of reported to Adjusted financial information for the six months ended June 30, 2016 EBITDA and Adjusted EBITDA (unaudited) Six months ended June 30, 2016 Six months ended € in millions June 30, 2016 Profit for the period 34.9 Taxation 15.6 Net financing costs 23.6 Depreciation 21.
Slide 24: Net Cash Flows to Adjusted Operating Cash Flow
7) Reconciliation of reported net cash flows from operating activities to Adjusted Operating Cash flow (excl. tax) for the six months ended June 30, 2017 and the six months ended June 30, 2016 As reported for As reported for the six months the six months ended June 30, ended June 30, € in millions (