Breville Group Limited · ASX:BRG
Breville — Shareholder Meeting (November 2012)
32 slides from Breville's shareholder meeting presentation, Nov 14, 2012
Slide 1: Annual General Meeting Presentations cover letter
14 November 2012 Manager, Company Announcements For personal use only ASX Limited Level 4, 20 Bridge Street Sydney NSW 2000 Dear Sir Breville Group Limited – Annual General Meeting Presentations Please find attached the Chairman’s Address to shareholders and CEO’s Review of Operations to be delivere
Slide 2: Chairman's Address
14 November 2012 Chairman’s Address Slide 1&2 For personal use only Good morning ladies and gentlemen and welcome to Breville Group Limited’s 2012 AGM. As we head into Breville’s 80th year I’d like to reflect briefly on its heritage as we today in 2012, hold our AGM as a publicly listed company that
Slide 3: Chairman's Address: FY12 performance review
Turn to Slide 7 Now, I would like to review the performance of your company for the last financial year, FY12. The Breville Group’s strategy of leveraging its product innovation and design, brand management and distribution capabilities across an international platform underpinned For personal use o
Slide 4: Chairman's Address: looking to the future
Turn to Slide 10 Now turning to the future. As I said earlier, over recent years your Board and management have pursued an unchanged, clear and consistent strategy which has delivered strong results for shareholders. For personal use only We intend to continue this. We remain focused on the further
Slide 5: Chairman's Address: acknowledging our people
Turn to Slide 13 I would now like to acknowledge the important and fundamental contribution of our people. Innovation and creativity is at the heart of what we do. We also value diversity and professionalism and understand that these drivers enable us to differentiate our offering For personal use o
Slide 6: CEO's Review of Operations
14 November 2012 CEO’s Review of Operations Turn to Slide 14 For personal use only Thank you, John and good morning ladies and gentlemen. Turn to Slide 15 The Group’s strong result has been based on its ability to design and develop innovative world class products and to market these products effect
Slide 7: Australia review
Turn to Slide 16 Australia Revenues of $201.7m were marginally up on the prior year, with 2H12 revenues growing 9.9% on the previous corresponding period. EBITDA for the year was in line with the prior year. For personal use only The Australian business’ multi-brand strategy contributed to its resil
Slide 8: North America and International Distributors
The Keurig “single serve” coffee distribution business in Canada also performed very well with commission income (gross income before operating costs) growing from $9.9m to $19.5m. North America delivered a significant increase in EBITDA of 76.1% to $34.7m (FY11: $19.7m). For personal use only This
Slide 9: Marketing and continuing innovation
In the online world of consumer reviews, consumer blogs and online sales, the quality and performance of our products together with credible endorsements, will be key to our future success. Turn to Slide 21 Continuing Innovation For personal use only As John mentioned in his opening, innovation has
Slide 10: Breville Group Limited Annual General Meeting November 2012
Breville Group Limited Annual General Meeting For personal use only 14 November 2012 Sydney
Slide 11: Chairman's Address
For personal use only Chairman’s Address Mr John Schmoll 2 2
Slide 12: Our Heritage 1932-2012
Our Heritage 1932-2012 On Melbourne Cup day in 1932, just seven months after the opening of the Sydney Harbour Bridge, Bill O’Brien and Harry Norville scraped together 500 pounds in the midst of the Depression to found “Breville Radio”.
Slide 13: Years of Innovation
80 Years of Innovation 1950's Radios. Made in The 5 Minute vicing Australia. Washing Machine 1977 The first Aussie food processor, the original Kitchen Wizz.
Slide 14: Years of Innovation
80 Years of Innovation Breville
Slide 15: Now sold in over 50 countries
For personal use only Now sold in over 50 countries 6
Slide 16: Group FY12 Results Summary
For personal use only Group FY12 Results Summary % change to FY11 Revenue $427.9m +8.7% – excluding exited North American homewares FY11 +13.3% EBITDA $72.5m +39.3% – excluding FY11 onerous lease expense +26.3% NPAT $46.0m +44.9% EPS 35.4 cents (FY11: 24.5 cents) +44.5% DPS: 24.0 cps [fully franked]
Slide 17: Strong EBITDA and ROE Growth
Strong EBITDA and ROE* Growth For personal use only EBITDA Compound annual growth of 18.2% since FY08 * Return on equity (ROE) increased from 15.9% in FY08 to 25.9% in FY12 8
Slide 18: Good EPS and Dividend Growth
Good EPS and Dividend Growth For personal use only Compound annual growth since FY08 • EPS of 21.0% • DPS of 23.0% 9
Slide 19: A Clear and Consistent Strategy
A Clear and Consistent Strategy For personal use only “To deliver sustainable growth through product innovation, brand management and distribution capabilities across an international platform” Further development of our core small appliance business – Innovative high quality products that consumers
Slide 20: Well Positioned in an Uncertain Economic Environment
Well Positioned in an Uncertain Economic Environment For personal use only Product development and brand management strength Growing North American presence Large number of untapped international markets Strong balance sheet 11
Slide 21: Outlook FY13
For personal use only Outlook FY13 Retail conditions remain uncertain Continuing demand for high quality premium products Sales YTD October strong – Australia & New Zealand continued their 2H12 growth – North America still performing well – International Distributors seeing a slow down in European o
Slide 22: Thank you
Thank you For personal use only Our people — Innovation and creativity — Diversity and professionalism — Performance based culture My board colleagues and management team Our customers, suppliers and shareholders 13
Slide 23: CEO's Review of Operations
For personal use only CEO’s Review of Operations Mr Jack Lord 14
Slide 24: Operating Results Summary
Operating Results Summary For personal use only REVENUE EBITDA Strong international growth AUDm FY12 FY11 % Chng FY12 FY11 % Chng Encouraging performance in Australia Australia 201.7 201.3 0.2% 21.3 21.5 (1.0%) Positive response to higher value Breville designed products in all markets International
Slide 25: Australia
Australia For personal use only Multi-brand strategy contributed to resilient AUDm FY12 FY11 % Chng performance Breville strengthening its premium positioning Revenue 201.7 201.3 0.2% Kambrook performed solidly against increased house brand activity EBITDA 21.3 21.5 (1.0%) Philips strengthened its p
Slide 26: North America
North America For personal use only Very pleasing revenue and EBIT growth AUDm FY12 FY11 % Chng Breville brand revenue grew 34.5% Revenue 152.2 124.4 22.4% Strong response to higher value new products launched during the year EBITDA 34.7 19.7 76.1% Strong juicer sales Strong growth in Keurig distrib
Slide 27: International Distributors
International Distributors For personal use only AUDm FY12 FY11 % Chng Continued global uncertainty New distributor sales in South East Asia Revenue 47.3 44.2 7.0% Increased investment in distributor support EBITDA 13.7 13.5 1.7% EBIT 13.7 13.5 1.7% EBIT % 29.1% 30.6% Minor differences may arise due
Slide 28: New Zealand
New Zealand For personal use only AUDm FY12 FY11 % Chng Strong response to high quality new Breville products launched during the year Revenue 26.8 23.7 12.8% Breville brand extended market leadership position in kitchen appliances Tight cost controls EBITDA 3.6 2.7 33.3% Improved operating margins
Slide 29: 2013 Strategic Focus
2013 Strategic Focus Innovation – Develop the world’s best kitchen products For personal use only – “Food Thinking” global ambassador Globalisation – Expand distribution across multiple geographies Marketing – Communicate “best in class” features & benefits through traditional, social and digital me
Slide 30: Continuing Innovation
For personal use only Continuing Innovation 2011 2012 2012 2012 For precision extraction and Ice cream maker with automatic Full power. Reduced The coffee maker with simultaneous steam hardness settings suction. Smarter blending adjustable flavour and strength that brews directly into a cup, travel
Slide 31: YouBrew TVC
22 For personal use only YouBrew TVC
Slide 32: Breville Thought for food
Breville Thought for food