Guzman Y Gomez Ltd. · ASX:GYG
Guzman Y Gomez — FY2024 Earnings Presentation
28 slides from Guzman Y Gomez's earnings presentation, Aug 27, 2024
Slide 1: 2024 Full-year results briefing presentation
2024 Full-year results briefing presentation
Slide 2: Vision, Mission and Values
VISION, MISSION AND VALUES Why do we exist? TO REINVENT FAST FOOD AND CHANGE THE WAY THE MASSES EAT Where are we headed? BE THE BEST AND BIGGEST RESTAURANT COMPANY IN THE WORLD IT’S ALL ABOUT MAKE EVERY BE REAL GOT YOUR BACK IT’S UP TO US! How will we be on this journey? THE FOOD! GUEST LOVE US! 2
Slide 3: Global Restaurant Network
GLOBAL RESTAURANT NETWORK 17 194 64 CORPORATE 130 FRANCHISE 5 4 Note: Restaurant count as at 30 June 2024. 3
Slide 4: Track Record of Growth
TRACK RECORD OF GROWTH Global Restaurant Network Global Network Sales1 220 960 194 +15% Number of restaurants (#) CAGR 169 759 158 Network Sales ($m) 138 +28% 127 CAGR 575 116 93 448 76 62 306 254 207 166 137 101 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY
Slide 5: FY24 Key Highlights
FY24 KEY HIGHLIGHTS 8.1% 25 Comp Sales Growth New restaurant openings (Australia segment) in Australia¹ Menu innovation Successful relaunch of Successful launch of Payroll & people system ‘Clean is the New Healthy’ GYG Delivery and implementation Campaign US app 53% 18% Comp Sales Growth Transition
Slide 6: FY24 Highlights
FY24 HIGHLIGHTS GYG delivered strong growth in FY24 across key revenue and earnings metrics, ahead of prospectus forecasts 2024 full year financial results Performance vs $ million FY24 FY23 Change vs prior year prospectus Network sales 959.7 759.0 0.6% 26.4% Revenue 342.2 259.0 0.7% 32.1% EBITDA 27
Slide 7: Segment Performance
SEGMENT PERFORMANCE Result underpinned by strong performance in the Australia segment Segment performance (Pro Forma¹) Performance vs $ million FY24 FY23 Change vs prior year prospectus Australia Segment² Underlying EBITDA 45.6 30.7 2.2% 48.7% US Segment Underlying EBITDA (6.5) (4.3) 1.0% 52.3% Segm
Slide 8: Australia Segment Network Sales
AUSTRALIA SEGMENT NETWORK SALES Strong sales growth delivered across all geographies, supported by solid Comp Sales Growth Australia segment highlights $ million FY24 FY23 Change vs prior year Network sales Australia 894.6 702.9 27.3% Singapore 46.4 43.1 7.5% Japan 7.9 7.0 12.3% Network sales 948.9
Slide 9: Australian Sales Performance
AUSTRALIAN SALES PERFORMANCE Sales growth underpinned by continued progress across all sales drivers in Australia¹ – Restaurant capacity allowed continued growth in core dayparts, with 103 restaurants achieving weekly Restaurant sales records across lunch and dinner Capacity – Weekly sales records i
Slide 10: New Restaurant Openings
NEW RESTAURANT OPENINGS Australian restaurant pipeline continues to strengthen 91 Sites in pipeline as at 30 June 2024 46 Restaurants approved in FY24¹ 25 New restaurants opened in FY24 1. Refers to Board-approved sites in pipeline. 10
Slide 11: Australia Segment Performance
AUSTRALIA SEGMENT PERFORMANCE Strong sales growth and continued margin expansion delivered strong growth in earnings Australia segment¹ performance ($m) Change vs $ million FY24 FY23 prior year Network sales 948.9 753.0 26.0% Corporate restaurant sales 278.9 212.0 31.6% Corporate Restaurant Margin 4
Slide 12: Network Health Metrics
NETWORK HEALTH METRICS Robust health metrics across franchise and corporate network FY24 Median restaurant economics1 vs prior year FY24 Median franchisee performance vs prior year Median restaurant Drive Thru Strip Other 53% 6pp Franchisee ROI³ AUV² ($m) 6.3 4.5 3.9 $5.1M 12.7% 15% 9% 15% Franchise
Slide 13: US Segment Performance
US SEGMENT PERFORMANCE Result reflected nascency of US operations and ongoing investment above restaurant US segment performance Change vs prior $ million FY24 FY23 year Corporate restaurant sales 10.8 6.0 81.8% Corporate Restaurant Margin (1.0) (0.8) 30.8% Corporate Restaurant Margin (%) (9.2%) (12
Slide 14: Cash Flows
CASH FLOWS GYG delivered strong cash conversion from earnings Pro forma cash flow statement $ million FY24 FY23 Pro forma NPAT 5.7 3.0 D&A 31.1 25.6 Change in operating assets and liabilities (1.2) 3.8 Other¹ 20.6 7.9 Operating cash flow driven by strong Operating cash flows 56.3 40.2 operating perf
Slide 15: Capital Expenditure
CAPITAL EXPENDITURE Capital expenditure driven by new restaurant openings, refurbishments and Hola Central expansion Capital expenditure overview $ million FY24 FY23 12 new corporate restaurants opened in Restaurant Capital Expenditure - Australia (30.0) (26.0) Australia, 1 converted to franchise Ot
Slide 16: Balance Sheet
BALANCE SHEET Robust balance sheet provides flexibility for network expansion $ million FY24 FY23 Cash and term deposits 294.5 36.5 Cash balance predominantly held in term deposits Trade and other receivables 26.5 25.1 (currently receiving a weighted average interest rate Inventories of 4.8%), prima
Slide 17: Guidance Framework (Australia Segment)
GUIDANCE FRAMEWORK (AUSTRALIA SEGMENT) GYG is on track to achieving the targets set out in its guidance framework FY23A FY24A FY25F Target Gross openings 22 25 31 40+ Franchise : Corporate 17F 5C ~60%F ~40%C 14F 11C 15F 16C Drive thru : Strip 19DT 3S ~85%DT ~15%S 19DT 6S 21DT 10S Corporate Restauran
Slide 18: Trading Update
TRADING UPDATE Strong trading momentum has continued into FY25 and GYG expects to achieve its prospectus forecasts In the first 7 weeks of the financial year, Australian segment Comp Sales Growth has been above expectations at 7.4%, driven by: • Continued success of the ‘Clean is the New Healthy’ ca
Slide 19: Q&A
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Slide 21: Glossary
GLOSSARY Term Description AASB means the Australian Accounting Standards Board. amortisation of reacquired rights due to the buyback of franchise restaurants from franchisees. These are typically amortised over the Amortisation of reacquired rights remaining term of the lease. Average Unit Volume or
Slide 22: Glossary
GLOSSARY Term Description is calculated as the aggregate sales of all or a specified group of GYG restaurants over a specified time period, including restaurants owned Network Sales and operated by franchisees and master franchisees unless otherwise specified. Network Sales relates to the total valu
Slide 23: Strong Australian Comp Sales Growth
STRONG AUSTRALIAN COMP SALES GROWTH GYG expects to continue to drive growth in Comp Sales through daypart expansion, investment in marketing to grow brand awareness, menu innovation and continued improvement of the guest experience 1,200 Daypart 1,000 8.4% Comp Daypart 17% 15.0% Comp 800 32% 7% 18.4
Slide 24: Key Pro Forma Operating and Financial Metrics
KEY PRO FORMA OPERATING AND FINANCIAL METRICS $ million FY24 FY23 Key operating metrics - Group Network sales Australia 894.6 702.9 Singapore 46.4 43.1 Japan 7.9 7.0 US 10.8 6.0 Global network sales 959.7 759.0 Corporate restaurant margin (%) 16.4% 13.6% EBITDA 44.8 29.3 Key operating metrics - Aust
Slide 25: Bridge from Pro Forma Segment Underlying EBITDA to PBT
BRIDGE FROM PRO FORMA SEGMENT UNDERLYING EBITDA TO PBT Pro Forma Segment Underlying Statutory presentation EBITDA 1 Australia US Group AASB 2 Other Rent and Pro Forma D&A of D&A of Amort- Pro Forma Net interest Net Pro Forma EBITDA EBITDA EBITDA Share Based costs outgoings EBITDA PPE and right-of-us
Slide 26: Reconciliation of Pro Forma Items
RECONCILIATION OF PRO FORMA ITEMS Other non- FY24 IPO and Pre- System Pro Forma AASB 2 Share FY24 recurring FY24 One-off Rent and Pro Forma $ million IPO related implement- adjustments Based Statutory income and Pro Forma reversal outgoings Segment Offer Costs ation costs and other Payments expenses
Slide 27: AASB Leases Net Impact and Reconciliation
AASB 16 LEASES NET IMPACT AND RECONCILIATION $ million FY24 FY23 $ million FY24 FY23 Rent and outgoings payment 17.1 11.2 Pro forma Finance income from cash and cash equivalents 11.5 11.2 Depreciation of right-of-use assets under AASB 16 (11.2) (10.3) Finance income from franchisee leases under AASB
Slide 28: Important Notice and Disclaimer
IMPORTANT NOTICE AND DISCLAIMER This presentation is given on behalf of Guzman y Gomez Limited (GYG or Company) (ASX: GYG) (ACN 125 554 743). By accepting, accessing or reviewing this presentation, you acknowledge and agree to the terms set out in this Important Notice and Disclaimer. Summary inform