Jeronimo Martins, SGPS S.A. · EURONEXT:JMT
Jeronimo Martins, SGPS — Jerónimo Martins — Investor Day (December 2012)
25 slides from Jeronimo Martins, SGPS's investor day presentation, December 2012
Slide 1: December 2012
December 2012 So JERONIMO MARTINS
Slide 2: Financial Review
: QZ JERONIMO MARTINS FINANCIAL REVIEW December 2012 INVESTOR mee DAY.
Slide 3: Disclaimer
DISCLAIMER Disclaimer Statements in this presentation that are forward-looking statements are based on current expectations of future events and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. The risks a
Slide 4: Index
INDEX 1. 2012 REVIEW 2. MACROECONOMIC OVERVIEW 3. OUTLOOK 2013 4. OUTLOOK 2013-2015
Slide 5: 1. 2012 Review
Q JERONIMO MARTINS 1.2012 REVIEW December 2012 INVESTOR Lisbon } Portugal DAY
Slide 6: 2012 - A Challenging Year
1. 2012 REVIEW 2012 - A CHALLENGING YEAR EXTERNAL CHALLENGES ENVIRONMENT IN POLAND Slowdown in GDP growth since Q2 2012 Lower level of food inflation in the year ENVIRONMENT IN PORTUGAL Severe decline in consumer confidence and consumption in Portugal Food retail sales down 1.3%(1), with out-of-home
Slide 7: External Challenges - Environment Poland
1. 2012 REVIEW 2012 - A CHALLENGING YEAR EXTERNAL CHALLENGES - ENVIRONMENT POLAND 10% 8% 6% GDP 4% Food Retail 2% 0% Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Q3 12 Source: Central Statistical Office of Poland (GUS) 7
Slide 8: External Challenges - Environment Portugal
1. 2012 REVIEW 2012 - A CHALLENGING YEAR EXTERNAL CHALLENGES - ENVIRONMENT PORTUGAL 2% 0% -2% -4% Total Retail Food Retail -6% -8% -10% Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Q3 12 Source: Index of turnover in retail trade, published by INE (Portuguese Statistic Institute) 8
Slide 9: Ambitious Investment Programme in Biedronka
1. 2012 REVIEW 2012 - A CHALLENGING YEAR OPERATIONS – AMBITIOUS INVESTMENT PROGRAMME IN BIEDRONKA LFL Basket Inflation Conversions Net Openings 20 761 >2,100 15 65 486 33 406 35 10 1,873 5 0 Q1 12 Q2 12 Q3 12 2011 Q1 12 Q2 12 Q3 12 Q4 12 E 2012 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Q3 12 2012 STRONG P
Slide 10: Improved Price Competitiveness in Pingo Doce
1. 2012 REVIEW 2012 - A CHALLENGING YEAR INTERNAL CHALLENGES - IMPROVED PRICE COMPETITIVENESS IN PINGO DOCE 4% 2% Market share LFL (w/o fuel) 0% increase Basket inflation -2% -4% Q1 12 Q2 12 Q3 12 2012 PERFORMANCE Good volume reaction Outperforming the sector As expected, EBITDA impacted by price in
Slide 11: Building the Basis for Success in Colombia
1. 2012 REVIEW 2012 - A CHALLENGING YEAR OPERATIONS – BUILDING THE BASIS FOR SUCCESS IN COLOMBIA Company team, processes, systems and corporate offices established Brand and communication ready Negotiations with suppliers completed First distribution centre almost ready Developing sourcing and marke
Slide 12: Guidance for the Group Confirmed
1. 2012 REVIEW 2012 - A CHALLENGING YEAR GUIDANCE FOR THE GROUP CONFIRMED For the Group we expect double-digit sales growth (constant exchange rate) and EBITDA margin to be just below previous year Capex of c.€600 mn, c.80% to be invested in Poland Outperforming the market in all business areas Prop
Slide 13: 2. Macroeconomic Overview
QZ JERONIMO MARTINS 2. MACROECONOMIC OVERVIEW December 2012 INVESTOR wee DAY
Slide 14: Macroeconomic Overview
2. MACROECONOMIC OVERVIEW 2012 2013 2014 2015 PORTUGAL GDP growth -3.1% -1.8% 0.8% 1.8% Inflation 2.8% 1.0% 1.3% 1.3% Unemployment 15.5% 16.8% 16.1% 15.3% Private Consumption -5.9% -3.3% 0.2% 0.9% POLAND GDP growth 2.3% 1.5% 2.7% 3.3% Inflation 3.8% 2.5% 2.7% 2.5% Unemployment 13.2% 14.0% 13.1% 13.1
Slide 15: 3. Outlook 2013
Q JERONIMO MARTINS 3. OUTLOOK 2013 December 2012 INVESTOR sel DAY
Slide 16: Key Priorities for 2013 - Group
3. OUTLOOK 2013 GROUP KEY PRIORITIES FOR 2013 Continue rapid expansion of Biedronka Protect market positions in Portugal and begin to improve profitability Start retail operations in Colombia 16
Slide 17: Continue Biedronka's Rapid Expansion
3. OUTLOOK 2013 BIEDRONKA KEY PRIORITIES FOR 2013 Continue Biedronka’s Rapid Expansion Biedronka will continue leading the Group’s growth • c. 270 more stores (+ c.14% new selling area) • Continue to be the clear winner in food retail in Poland • Two additional Distribution Centres to be opened 17
Slide 18: Protecting Businesses in Portugal & Improving Profitability
3. OUTLOOK 2013 BUSINESSES IN PORTUGAL KEY PRIORITIES FOR 2013 Protecting businesses in Portugal & improving profitability progressively Improve price competitiveness and grow ahead of the market Fundamental review of retail business model in the light of changed environment Recheio to use its uniqu
Slide 19: New Growth Avenues - Start of Retail Operations in Colombia
3. OUTLOOK 2013 NEW GROWTH AVENUES KEY PRIORITIES FOR 2013 START OF RETAIL OPERATIONS IN COLOMBIA • We will open the initial group of stores (30-40 locations) to test the defined format • Fine tune along the year • Capex c. €100 mn Impact of investment in Colombia expected to be below 5% of Group’s
Slide 20: 4. Outlook 2013-2015
QZ JERONIMO MARTINS 4. OUTLOOK 2013-2015 December 2012 INVESTOR Lisbon | Portugal DAY
Slide 21: Outlook 2013-2015 - Biedronka
4. OUTLOOK 2013-2015 BIEDRONKA We maintain a positive view on Poland despite the recent slowdown in the growth of the economy Biedronka will be focused on executing its accelerated investment programme and reap fully the benefits of the new store layout 3,000 stores by 2015 (a minimum of 900 net add
Slide 22: Outlook 2013-2015 - Businesses in Portugal
4. OUTLOOK 2013-2015 BUSINESSES IN PORTUGAL GDP expected to continue to decline in 2013 following additional austerity measures being implemented. We remain cautious in a period of significant uncertainty Pingo Doce expected to outperform the market and gain further market share • Changes to the ope
Slide 23: Outlook 2013-2015 - Colombia
4. OUTLOOK 2013-2015 NEW GROWTH AVENUES COLOMBIA Minimum of 150 stores by the end of 2015 First three years will determine how we accelerate expansion Capex c.€400 mn in 3 years Losses in initial 3 years expected below 5% Group’s EBITDA 23
Slide 24: 2013-2015 Three More Years of Profitable Growth
4. OUTLOOK 2013-2015 GROUP 2013-2015 THREE MORE YEARS OF PROFITABLE GROWTH Double digit sales growth for the Group in the 3 year period, at constant exchange rates EBITDA growing at least in line with sales Solid Net Earnings growth despite the investment in Colombia Capex c.€2.5 bn (c.70% invested
Slide 25: December 2012
December 2012 So JERONIMO MARTINS