Duni Ab · OMXSTO:DUNI
Duni Ab — Q2 2015 Earnings Presentation
23 slides from Duni Ab's earnings presentation, Jul 10, 2015
Slide 1: Q2 Presentation 2015
10 July, 2015 Q2 Presentation 2015 Eng US
Slide 2: Disclaimer
Disclaimer • This presentation has been prepared by Duni AB (the “Company”) solely for use at this investor presentation and is furnished to you solely for your information and may not be reproduced or redistributed, in whole or in part, to any other person. By attending the meeting where this prese
Slide 3: 2015 Q2 Highlights
2015 Q2 Highlights • Small organic growth in line with soft • Net sales SEK 1 002 m market in general. (922) • Decision to invest 110 MSEK in additional • Operating income SEK 104 m capacity for tissue. (93) • Organic growth mainly derived from Meal • Operating margin 10.3% Service and New Markets.
Slide 4: Operating income (LTM) on highest level since IPO
Operating income (LTM) on highest level since IPO 525 500 475 450 425 400 375 350 325 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2008 2009 2009 2009 2009 2010 2010 2010 2010 2011 2011 2011 2011 2012 2012 2012 2012 2013 2013 2013 2013 2014 2014 2014 2014 2015 201
Slide 5: Market Outlook
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Slide 6: Market Outlook
Market Outlook • HoReCa market long-term growing in line or slightly above GDP. − Higher growth in take-away, catering and fast food restaurants. − Zero growth in volume from recent German HoReCa, mixed signals in Europe. Sweden strong, but weak in parts of West and South Europe. • Improved estimati
Slide 7: Business Areas
Business Areas Eng US
Slide 8: Table Top
Table Top Slightly lower growth trend noticeable in Central Europe.
Slide 9: Table Top
Q2, 2015 Table Top • Softer development compared to previous S A L E S & O P E R AT I N G M A R G I N 1) quarters, which could partly be explained by a cold spring NET SALES, SEK m and consequently low activity 2 300 in outdoor seating. 2 224 2 200 2 179 • Benelux and UK continue to 2 100 2 040 impr
Slide 10: Meal Service
Meal Service Volume increase and improved profit continues. 10
Slide 11: Meal Service
Q2, 2015 Meal Service • Meal Service continues to benefit from the S A L E S & O P E R AT I N G M A R G I N 1) growth in take-away NET SALES, SEK m segment. 600 583 555 • Boxes in various shapes 550 509 and qualities experience 500 rapid growth, particularly 450 customized closely 2013 2014 LTM 2015
Slide 12: Consumer
Consumer Last quarter with structural effects from Paper+Design acquisition.
Slide 13: Consumer
Q2, 2015 Consumer • Second quarter the seasonally least S A L E S & O P E R AT I N G M A R G I N 1) important. NET SALES, SEK m • Lower number of 1 500 1 059 campaigns compared to 1 000 603 889 2014 which benefitted 500 from occasions like FIFA 0 World Cup and a warm 2013 2014 LTM 2015 spring. OPERA
Slide 14: New Markets
New Markets Improvement albeit continuous challenging situation in Russia. 14
Slide 15: New Markets
New Markets S A L E S & O P E R AT I N G • Stabilization of Russian ruble, M A R G I N 1) implementation of price increase and cost 250 reduction plan in Russia contributed to 200 2013 satisfying development. 150 2014 100 195 206 • Duni Singapore benefits from sales of Duni 150 LTM 2015 50 assortmen
Slide 16: Materials & Services
Materials & Services • Hygiene is no longer included in M&S, instead reported as discontinued operations below net profit. • Remaining business are mainly external sales of raw materials of tissue and airlaid plus external services. 16
Slide 17: Financials
Financials Eng US
Slide 18: P&L based on continuing operations
P&L based on continuing operations SEK m Q2 2015 Q2 2014 YTD 2015 YTD 2014 LTM FY 2014 Continuing operations 2014/2015 Net sales 1 002 922 1 987 1 739 4 118 3 870 Gross profit 284 253 571 487 1 219 1 134 Gross margin 28.4% 27.4% 28.8% 28.0% 29.6% 29.3% Selling expenses -116 -112 -241 -225 -472 -456
Slide 19: Strong quarter in Meal Service
Strong quarter in Meal Service SEK m Q2 2015 Q2 2014 YTD 2015 YTD 2014 LTM FY 2014 2014/2015 Table Top Net Sales 563 552 1 075 1 030 2 224 2 179 Operating income 1) 87 87 165 150 388 373 Operating margin 15.5% 15.7% 15.3% 14.6% 17.4% 17.1% Meal Service Net Sales 163 148 299 271 583 555 Operating inc
Slide 20: Improved Cash Flow
Improved Cash Flow SEK m Q2 2015 Q2 2014 YTD 2015 YTD 2014 LTM FY 2014 Continuing operations 2014/2015 EBITDA from continuing 134 120 274 215 631 572 operations 1) Capital expenditure -33 -22 -52 -32 -107 -87 Change in; Inventory -13 18 -48 -33 -32 -17 Accounts receivable 4 -69 15 -33 37 -12 Account
Slide 21: Financial position considerably improved vs. June 2014
Financial position considerably improved vs. June 2014 SEK m June 2015 December 2014 June 2014 Goodwill 1 459 1 463 1 493 Tangible and intangible fixed 1 113 1 162 1 107 assets Net financial assets 1) -24 -1 64 Inventories 531 503 531 Accounts receivable 686 743 748 Accounts payable -325 -341 -330 O
Slide 22: Financial targets: sales growth, operating margin, dividend payout ratio
Sales growth Organic growth of 5% over a LTM business cycle > 5% Consider acquisitions to reach new markets or to strengthen 2.2% current market positions at fixed exchange rates, excluding hygiene business1) Operating margin LTM Top line growth – premium focus > 10% Improvements in 12.2% manufactur
Slide 23: Thank you!
Thank you!