Alsea, S.a.b. De C.v. · BMV:ALSEA
Alsea, S.a.b. De C.v — Investor Presentation (February 2017)
22 slides from Alsea, S.a.b. De C.v's investor presentation, Feb 15, 2017
Slide 1: Aramis gO, Archi’ LAVACA
Aramis gO, Archi’ LAVACA ———— —— i ad
Slide 2: Our presence
Our presence 14 79% Brands 3,291 72 ,000 employees Corporate units +423 21% Franchises millions clients served 2,257 Mexico 519 Spain 222 Argentina 139 Colombia 150 Chile 4 Brazil 2Q17 | Alsea 2
Slide 3: Alsea Mexico - Today
Alsea Mexico - Today Stores Corporate Franchises Alsea Mexico Employees 422 249 2 21 3% 2 Vips Starbucks Domino's 610 57% 6% Burger King 31% Italianni's 205 243 5% El Portón 57% Chili's Sales 7% DIA 58 2 21 2Share Vips P.F. CHANG'S 3% California Pizza Kitchen 8% Starbucks 15% Alsea 20 2 Domino's The
Slide 4: Alsea International - Today
Alsea International - Today Stores Corporate Franchises Alsea International Employees 246 40 21 4% 3% 43% 237 24% Burger King 21 4% 3% 12% Domino's 217 Sales 35% Starbucks 19% Foster's Hollywood Share Archie's 9 15% P.F. CHANG’S Burger King Alsea 2 1 Spain12% Domino's Other 92 134 4% 3% South Americ
Slide 5: Alsea - Today
Alsea - Today Stores Corporate Franchises Sales per geography Employees 668 289 2 2 11 1 Domino's 847 2% Vips Burger King 422 243 4% Starbucks 19% 21% Italianni's 258 5 4% Foster's Hollywood 4% Chili's 92 134 2 2 11 1 5% Domino's 57% El Portón 58 2% Vips 21% P.F. CHANG'S Alsea 77 13 24% Burger King
Slide 6: Grupo Zena Performance
Grupo Zena Performance Estimates at acquisition vs. Real Sales EBITDA 381 55 289 264 32 35 Before 1st Year Jun-17 Before 1st Year Jun-17 Acquisition Target LTM Acquisition Target LTM Acquisition Multiple 8.1x Jun-17 LTM 4.8x Free Cash Flow Jun-17 LTM €24m Jun-17 Net Debt/EBITDA 1.6x Figures in milli
Slide 7: Innovation – Consumer - Technology: Multi-brand Rewards program
Innovation – Consumer - Tecnology Multi-brand Rewards program Aproximately 35% increase in average ticket • Description / Objective: know Almost 1,300 your customer • Reach: 1st stage - Mexico • How does it work: Gaining and Restaurants on board Redeeming points Wow is in 750,000 6% of Alsea registe
Slide 8: 2Q17 Strategy
2Q17 Strategy 2Q17 | Alsea 8
Slide 9: Strategic Definitions
Strategic Definitions Purpose Ignite people’s spirit We are a determined community committed to excellence and integrity, we maximize synergies Value to deliver a surprising offer to our Guests and to make sure that our Restaurants generate Proposition extraordinary results, contributing with happin
Slide 10: Markets Diversified Portfolio
Markets Diversified Portfolio ,149 +423 Popular Segments A/B C+ C C-/D+ D/E Actual Market Population GDP USD 3,units 291 492 million 5billion million Clients served as of Jun 17 LTM Per-Capita Expense | Food Service Industry Served by the informal sector (Figures in usd) 1,980 1,580 750 515 500 328
Slide 11: Mexico Strategy
Mexico Strategy Franchises Market Holding Capacity Corporate 85-95 Openings 2017e 5-10 - 50-55 5 1 2 8-10 - 2 8-10 2Q17 | Alsea 11
Slide 12: International Strategy
International Strategy Market Holding Capacity Col. Arg. Chl. Col. Arg. Chl. Col. Arg. Chl. Col. Bra. Col. Spain 85-95 Openings Argentina Chile Colombia Brazil Spain 2017e 20-25 15-20 15-20 1-2 25-30 2Q17 | Alsea 12
Slide 13: Growth Strategy
Growth Strategy Growth Margin expansions Operating Business Operating Organic Growth + Acquisitions Leverage + Mix + Efficiencies • SSS • New Brands • SSS • Corporate • Cost of Sales • Store Openings • Franchises & • Units • Franchised • Pricing • New Brands Sub-franchises • Sub-franchised Strategy
Slide 14: 2Q17 Financials
2Q17 Financials 2Q17 | Alsea 14
Slide 15: Consolidated Results
Consolidated Results Sales EBITDA CAGR 29% (12-16) CAGR 34% (12-16) 14% 10,344 17% 37,702 15% 1,406 20% 5,155 9,066 32,288 4,302 1,223 2Q16 2Q17 FY15 FY16 2Q16 2Q17 FY15 FY16 Net Ordinary Income CAGR 29% (12-16) Net Debt / EBITDA 9% 1,126 1,032 2.5x 2.5x 231 -59% 94 2Q16 2Q17 FY15 FY16 2Q16 2Q17 Sal
Slide 16: Business Overview - Mexico
% 4% 5% 3% 5% 6% Starbucks Vips 27%Business 6% Overview - Mexico 27% 14% 27% Domino's Burger King 5% 4%4% 7% 3% 2% 3% 5% Chili's 5% 5% 6% 3% 6% 4% 7%3% Starbucks Vips Starbucks Italianni's DIA 27%27% 6% 27% Vips 12% 19% 6% 8% 14% 27% 14% 27% Domino's Domino's El Portón 7% 22% 8% 20% Burger King Burg
Slide 17: Business Overview - International
4% 2% 1 1 2 11 21%Business 2% 1 1 2 Overview - International 11 Burger King 21% 25% 29% Starbucks 1 1 1 4% 2% 1 1 2 38% 1 1 Foster’s Hollywood Domino’s Burger King P.F. Chang’s 21% 25% Burger King 21% 23% 21% 38% 25% 29%29% Starbucks Starbucks La Vaca 16%38% Foster’s Hollywood 27% Foster’s Hollywood
Slide 18: Business Overview - Alsea
% 3% 3% 10% Starbucks 4% 26% 4% 23% 4% 26% Burger King Domino’s 5% Vips Business 2% 2 3% 7%Overview - Alsea 2% 2 1 Foster’s Hollywood Chilli’s 3% 2 1 2 8% 4% 2% 3% 10% 2% 2 2% 2 1 3% Starbucks 12% Italianni’s 4%20% 13% 23% 4%3% 4% 21% 10% 26% Burger King Starbucks DIA 9% 7% 23% Domino’s El Portón Bu
Slide 19: Debt Profile
Debt Profile Debt maturity Capital structure 2Q17 2Q16 Avarage cost 7% 10% 19% 33% 20% 2% 1% 2% 6% Net Debt / EBITDA 2.5x 2.5x Peso: 8.25% 5,162 EBITDA / 5.0x 6.2x Euro: 2.0% Interest Paid 2,946 3,070 Debt structure 2Q17 Main banks 1,101 1,485 Bond Debt 26% Bank of America 19% 1,000 Bank Debt 74% Sc
Slide 20: Guidance 2017
Guidance 2017 Top line EBITDA Growth Growth Between 220-250 Total openings Flat EBITDA margin EBITDA Low to Mid Double Digit vs. 2016 170-190 50-60 Growth + corporate sub-franchisees 4-4.5 BN CAPEX* SSS Revenues Mid Single Digit Low to Mid Double Digit 2.2x-2.4x Net debt/EBITDA Growth *Excluding acq
Slide 21: Future Targets
Future Targets 2017e 2021e Low to mid Sales CAGR** > 15% double digit Low to mid EBITDA CAGR** = Mid-teens double digit EBITDA margin Flat vs. 2016 >15% expansion Acum >$ 5.50 pesos Dividends >$0.70 pesos per share per share Adjusted EPS* $1.70 CAGR** >25% ROIC 11% >20% ROE* 14% Low 20’s *Without co
Slide 22: Investor Information
Headquarters mation I n vestor I nfor Alsea, S.A.B. de C.V. señor / IR Av. Revolución #1267 – 21st. Floor Salvador Villa .mx ri@alsea.com Corporate Tower (5 5) 75 83-2000 Phone: +52 Col. Los Alpes, Del. Alvaro Obregón Zip Code 01040, Mexico City Phone: +52 (55) 7583-2000 The slides of this presentat
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