Societe Bic Sa · EURONEXT:BB
Societe Bic Sa — BIC — FY2022 Earnings Presentation
42 slides from Societe Bic Sa's earnings presentation, Feb 14, 2023
Slide 1: BIC Q4 & FY 2022 Results Presentation
FEBRUARY 14, 2023 BIC Q4 & FY 2022 RESULTS PRESENTATION 1
Slide 2: 2022 Horizon Plan in Full Motion
2022 HORIZON PLAN IN FULL MOTION GONZALVE BICH CHIEF EXECUTIVE OFFICER 2
Slide 3: Strong Momentum as We Deliver Horizon Plan
STRONG MOMENTUM AS WE DELIVER Net Sales +15.9% 2,234 HORIZON PLAN in M€ 2,041 1,950 1,949 1,832 +13.8% GOALS 1,628 Net Sales % +0.9% NET SALES GROWTH change at cc* 0.0% -1.4% +13.8% at cc* in 2022, surpassing Horizon mid- -11.8% single digit growth 2017 2018 2019 2020 2021 2022 trajectory 275 Free C
Slide 4: Another Year of Outstanding Top Line Performance
ANOTHER YEAR OF OUTSTANDING TOP LINE PERFORMANCE BLADE FLAME EXCELLENCE FOR LIFE HUMAN EXPRESSION +16.9% * +11.2% * +14.6% * * Net Sales growth at constant currency 4
Slide 5: FY 2022 Key Financial Figures
FY 2022 KEY FINANCIAL FIGURES NET SALES ADJUSTED EBIT ADJUSTED EPS FREE CASH FLOW* €2,233.9m €311.7m €5.12 €203.7m Change at Constant Change as reported Change as reported Net Cash Position Currencies +11.4% +19.3% €359.9m +13.8% Change on a aEBIT Margin Comparative basis 14.0% +11.0% * Free Cash Fl
Slide 6: 2022 Key Non-Financial Figures
2022 KEY NON-FINANCIAL FIGURES On track to achieve Writing The Future 2025 Commitments ACTING AGAINST CLIMATE FY FY SAFE WORK FY FY CHANGE 2021 2022 ENVIRONMENT 2021 2022 GHG Emissions (Scope 1 & 2 –tCO2eq) 35 310 40,244 - Market-based GHG Emissions (Scope 3 –tCO2eq) 805,000 800,075 % of Renewable E
Slide 7: Sustained Shareholder Remuneration
SUSTAINED SHAREHOLDER REMUNERATION Consistent with Horizon plan use of cash policy 211 In million euros Ordinary Dividend* 2.56€ for 2022 fiscal year 134 100 120 39 39 95 111 Up to share buyback 81 program to be 100M€ executed in 2023 2021 2022 2023e Ordinary dividend paid (fiscal year N-1) Share bu
Slide 8: Horizon Strategic Plan in Full Swing
HORIZON STRATEGIC PLAN IN FULL SWING Progress in all Horizon’s Growth Drivers CONSUMER- REVENUE GROWTH NEW BUSINESSES & CENTRICITY AND OMNICHANNEL SUSTAINABILITY MANAGEMENT EXTERNAL GROWTH INNOVATION BIC Ecolutions Lighter BIC Blade Tech ~5.5% +10.2% +28% designed with +15% market share* for EZ Reac
Slide 9: 2022 Operational and Consolidated Results
2022 OPERATIONAL AND CONSOLIDATED RESULTS CHAD SPOONER CHIEF FINANCIAL OFFICER 9 9
Slide 10: Full Year 2022 Category Snapshot
FULL YEAR 2022 CATEGORY SNAPSHOT HUMAN EXPRESSION FLAME FOR LIFE BLADE EXCELLENCE 838.8 M€ Net Sales 871.6 M€ Net Sales 497.0 M€ Net Sales +16.9% * +11.2% * +14.6% * 25.4 M€ aEBIT 305.5 M€ aEBIT 66.6 M€ aEBIT 3.0% margin 35.0% margin 13.4% margin High single to double Developing markets Distribution
Slide 11: Q4 2022 Net Sales Evolution
Q4 2022 NET SALES EVOLUTION IN MILLION EUROS +8.9 pts +1.5 pts +1.1 pts 526.7 +9.1 pts 38.4 6.1 6.5 436.8 38.9 +20.6% as reported Q4 2021 Net Sales Change on a FX impact Perimeter impact Argentina Q4 2022 Net Sales as reported comparative basis as reported 11
Slide 12: FY 2022 Net Sales Evolution
FY 2022 NET SALES EVOLUTION IN MILLION EUROS +8.8 pts +1.4 pts +0.7 pts 2,233.9 +11.0 pts 162.8 19.9 20.4 1,831.9 198.9 +21.9% as reported FY 2021 Net Sales Change on a FX impact Perimeter impact Argentina FY 2022 Net Sales as reported comparative basis as reported 12
Slide 13: Q4 2022 - Key Components of Change in Adjusted EBIT
Q4 2022 - KEY COMPONENTS OF CHANGE IN ADJUSTED EBIT (including the impact of Net Sales Operating leverage) 4.7% 0.3% 8.2% 0.2% 0.5% 7.1% 0.3% 2.9% Of which: Price: +3.1 pts Input cost inflation: -6.1 pts Absorption: -0.4 pts FX: +0.4 pts Q4 2021 Adjusted Change in GP Operating leverage Increase in B
Slide 14: FY 2022 - Key Components of Change in Adjusted EBIT
FY 2022 - KEY COMPONENTS OF CHANGE IN ADJUSTED EBIT (including the impact of Net Sales Operating leverage) 4.3% 15.3% 0.8% 0.0% 14.0% 1.3% 0.7% 2.8% 15.7% Of which: Price: +2.1 pts Input cost inflation: -5.7 pts Absorption: +1.5 pts FX: -0.8 pts FY 2021 Adjusted EBIT Change in GP Operating leverage
Slide 15: Input Cost Inflation
INPUT COST INFLATION* Impact on Gross Profit in FY 2022 FY 21 / FY 20 H1 22 / H1 21 Q3 22 / Q3 21 Q4 22 / Q4 21 FY 22 / FY 21 Raw Materials - 8 M€ - 24 M€ - 21 M€ - 20 M€ -65 M€ Sea & Air Freight Import Costs - 14 M€ - 18 M€ - 5 M€ - 1 M€ - 24 M€ Electricity Costs - 6 M€ - 5 M€ - 5 M€ - 16 M€ Total
Slide 16: From Adjusted EBIT to Net Income
FY 2022 From Adjusted EBIT to Net Income in million euros Q4 2021 Q4 2022 FY 2021 FY 2022 FY 2022 NON-RECURRING ITEMS included: Adjusted EBIT* 31.2 43.2 279.8 311.7 (5.2)M€ of acquisition costs, Djeep price adjustment and Rocketbook earnout Non- recurring items (5.7) 1.6 (172.2) 8.2 (3.0)M€ million
Slide 17: Working Capital
WORKING CAPITAL IN MILLION EUROS 15.1 562.6 RECEIVABLES IN DAYS* 27.5 72 71 72 61 8.5 Dec-19 Dec-20 Dec-21 Dec-22 2.9 36.6 Of which 45 million euros related to input cost inflation 488.3 INVENTORIES IN DAYS** Operating activities: -29.2 M€ 74.7 199 186 171 164 Dec-21 Net Inventory Trade & other Trad
Slide 18: Capex – Depreciation & Amortization
CAPEX – DEPRECIATION & AMORTIZATION 1.30x Other Human IN MILLION EUROS 0.97x (Corporate Expression 0.84x and IT) 18% 124 0.77x 22% 93 99 98 96 99 83 75 FY 2022 CAPEX: 96 M€ FY 2019 FY 2020 FY 2021 FY 2022 Blade Flame For CAPEX Depreciation & Amortization CAPEX to D&A Ratio Excellence Life 33% 27% 18
Slide 19: FY 2022 Net Cash Position
FY 2022 NET CASH POSITION IN MILLION EUROS 128.0 428.0 96.3 1.1 73.8 94.7 400.1 22.7 359.9 53.8 Net Cash From Operating activities +300.0M€ December 2021 Operating cash Change in CAPEX Proceeds from Acquisitions Dividend Share buyback Others December 2022 Net Cash Position flow working capital Pimac
Slide 20: 2023 Building on 2022's Momentum
2023 BUILDING ON 2022’S MOMENTUM GONZALVE BICH CHIEF EXECUTIVE OFFICER 20
Slide 21: 2023 Growth Expected in All Divisions and Regions
2023 GROWTH EXPECTED IN ALL DIVISIONS AND REGIONS Innovation and Commercial Excellence HUMAN EXPRESSION FLAME FOR LIFE BLADE EXCELLENCE Solid top-line growth in Middle East Continued portfolio Momentum from market share and Africa, Latin America, and premiumization in Europe and gains on added-value
Slide 22: Focus on 2023 New Products
FOCUS ON 2023 NEW PRODUCTS Innovative New Products and Line Extensions BIC® ECOLUTIONS BIC® BREAK BIC® SOLEIL GEL RESISTANT ESCAPE 22
Slide 23: BIC Easyrinse, a Breakthrough Innovation
BIC® EASYRINSE, A BREAKTHROUGH INNOVATION First-of-its-kind reverse blade design and patented anti-clog technology For Men & Women 23
Slide 24: 2023 Market Assumptions
2023 MARKET ASSUMPTIONS* STATIONERY LIGHTERS SHAVERS (pocket) (disposable) Flat to low-single digit Low to mid-single-digit Low to mid-single-digit EUROPE decrease decrease decrease NORTH AMERICA Low to mid-single-digit decrease Low to mid-single-digit Low to mid-single-digit Flat to low-single digi
Slide 25: 2023 Main Net Sales, Adjusted EBIT and Free Cash Flow Drivers
2023 MAIN NET SALES, ADJUSTED EBIT AND FREE CASH FLOW DRIVERS Organic Growth RGM Line Extensions & (Price, Mix and Market Share Gains Volumes New Products Promotions) Net Sales Gross Profit Adjusted EBIT Price and Mix Increase in volume increases Increase in Brand Support to support 2023 Net Sales g
Slide 26: 2023 Outlook
2023 OUTLOOK Full Year 2023 Net Free Cash Flow is Sales are expected expected to be to grow between above 200 million +5% and +7% at euros in 2023, for constant currencies We expect to the fifth year in a driven by price, mix improve adjusted row. and volumes. EBIT and adjusted EBIT margin in Full Y
Slide 27: Thank You
°Big) THANK YOU
Slide 28: Appendix
APPENDIX 28
Slide 29: FY 2022 Net Sales Breakdown
FY 2022 NET SALES BREAKDOWN BY CATEGORY BY GEOGRAPHY Other products Blade 1% North America Excellence Human 43% Europe 22% Expression 29% 38% Asia & Oceania (Including Middle East Latin America Flame for Life 17% India) & Africa 39% 5% 6% 29
Slide 30: Sensitivity to Net Sales and IBT of USD-EUR Fluctuation
SENSITIVITY TO NET SALES AND IBT* OF USD-EUR FLUCTUATION Sensitivity to Net Sales and Income FY 2021 FY 2022 Before Tax (IBT) of USD-EUR fluctuation +/- 5% change in USD impact on Net 2.1% 2.1% Sales +/- 5% change in USD impact on IBT 0.8% 1.2% * IBT Income before tax 30
Slide 31: FY 2022 Foreign Currencies Impact on Net Sales
FY 2022 FOREIGN CURRENCIES IMPACT ON NET SALES 5.7 Total impact: +8.8 pts 1.3 0.7 0.6 0.3 0.2 BRL USD MXN RUB/UAH CAD OTHERS 31
Slide 32: Main Exchange Rate Evolution vs. Euro
FY 2022 NET SALES MAIN EXCHANGE RATE EVOLUTION VS. EURO Average rates % of sales FY 2021 FY 2022 % of change US Dollar 42% 1.18 1.05 +12.3% Brazilian Real 7% 6.38 5.44 +17.2% Mexican Peso 5% 23.99 21.19 +13.2% Argentina Peso 2% 112.66 137.42 -18.0% Canadian dollar 3% 1.48 1.37 +8.1% Australian dolla
Slide 33: Group Quarterly Figures
GROUP QUARTERLY FIGURES In million euros Q1 20 Q2 20 Q3 20 Q4 20 FY 20 Q1 21 Q2 21 Q3 21 Q4 21 FY 21 Q1 22 Q2 22 Q3 22 Q4 22 FY 22 Net Sales 357.0 418.9 441.9 410.1 1,627.9 411.0 505.7 478.4 436.8 1,831.9 515.7 611.4 580.1 526.7 2,233.9 YoY actual changes -14.1% -23.1% -9.4% -18.2% -16.5% +15.1% +20
Slide 34: Group Quarterly Figures by Geography
GROUP QUARTERLY FIGURES BY GEOGRAPHY In million euros Q1 20 Q2 20 Q3 20 Q4 20 FY 20 Q1 21 Q2 21 Q3 21 Q4 21 FY 21 Q1 22 Q2 22 Q3 22 Q4 22 FY 22 Europe Net Sales 119.1 138.6 147.2 112.3 517.3 125.2 166.8 155.4 123.1 570.6 142.8 185.1 169.6 139.1 636.7 YoY actual changes -3.0% -17.4% +2.6% -9.9% -7.5%
Slide 35: Human Expression
HUMAN EXPRESSION In million euros Q1 20 Q2 20 Q3 20 Q4 20 FY 20 Q1 21 Q2 21 Q3 21 Q4 21 FY 21 Q1 22 Q2 22 Q3 22 Q4 22 FY 22 Net Sales 126.9 166.9 161.3 120.5 575.6 131.1 202.2 197.5 153.1 683.8 168.3 269.7 225.2 175.6 838.8 YoY actual changes -14.4% -33.9% -21.1% -28.8% -25.7% +3.3% +21.2% +22.4% +2
Slide 36: Flame for Life
FLAME FOR LIFE In million euros Q1 20 Q2 20 Q3 20 Q4 20 FY 20 Q1 21 Q2 21 Q3 21 Q4 21 FY 21 Q1 22 Q2 22 Q3 22 Q4 22 FY 22 Net Sales 121.0 147.3 171.1 178.7 618.1 174.5 192.9 170.7 180.4 718.5 226.4 209.7 216.0 219.6 871.6 YoY actual changes -19.2% -13.3% +5.7% -9.5% -9.0% +44.2% +31.0% -0.2% +0.9% +
Slide 37: Blade Excellence
BLADE EXCELLENCE In million euros Q1 20 Q2 20 Q3 20 Q4 20 FY 20 Q1 21 Q2 21 Q3 21 Q4 21 FY 21 Q1 22 Q2 22 Q3 22 Q4 22 FY 22 Net Sales 102.0 98.6 102.9 100.6 404.2 96.4 104.0 104.6 96.2 401.2 113.5 126.8 132.6 124.0 497.0 YoY actual changes -6.4% -14.6% -10.4% -18.5% -12.7% -5.5% +5.4% +1.6% -4.4% -0
Slide 38: Other Products
OTHER PRODUCTS In million euros Q1 20 Q2 20 Q3 20 Q4 20 FY 20 Q1 21 Q2 21 Q3 21 Q4 21 FY 21 Q1 22 Q2 22 Q3 22 Q4 22 FY 22 Net Sales 7.0 6.1 6.6 10.3 30.0 9.0 6.6 5.7 7.1 28.4 7.6 5.2 6.3 7.5 26.6 YoY actual changes -15.7% -12.3% -3.8% -6.3% -9.4% +29.4% +8.7% -14.9% -31.1% -5.3% -16.5% -21.1% +11.5%
Slide 39: Unallocated Costs
UNALLOCATED COSTS In million euros Q1 20 Q2 20 Q3 20 Q4 20 FY 20 Q1 21 Q2 21 Q3 21 Q4 21 FY 21 Q1 22 Q2 22 Q3 22 Q4 22 FY 22 EBIT -18.8 -20.1 -14.5 -30.5 -84.0 146.8 -16.5 -16.3 -22.4 91.6 -20.3 -18.8 -21.1 -22.8 -83.0 Adjusted EBIT -17.0 -17.2 -13.2 -21.0 -68.4 -20.0 -16.5 -16.3 -26.2 -79.1 -20.3 -
Slide 40: Capital and Voting Rights
CAPITAL AND VOTING RIGHTS As of 31 December 2022, the total number of issued shares of SOCIÉTÉ BIC is 43,952,226 shares, representing: • 64,927,313 voting rights • 64,510,708 voting rights excluding shares without voting rights Total number of treasury shares held at the end of December 2022: 416 60
Slide 41: Glossary
GLOSSARY • Constant currency basis: constant currency figures are calculated by translating the current year figures at prior year monthly average exchange rates. • Organic change or Comparative basis: at constant currencies and constant perimeter. Figures at constant perimeter exclude the impact of
Slide 42: Disclaimer
DISCLAIMER This document contains forward-looking statements. Although BIC believes its estimates are based on reasonable assumptions, these statements are subject to numerous risks and uncertainties. A description of the risks borne by BIC appears in section Risks Management of BIC’s 2021 Universal