Frigoglass S.a.i.c. · ATHEX:FRIGO
Frigoglass S.a.i.c — Frigoglass — Q2 2017 Earnings Presentation
15 slides from Frigoglass S.a.i.c's earnings presentation, Aug 25, 2017
Slide 1: Results Presentation
Results Presentation Second quarter 2017 results Nikos Mamoulis │Chief Executive Officer Manolis Fafalios │Chief Financial Officer 25 August 2017
Slide 2: Second quarter highlights
Second quarter highlights EBITDA margin improvement – Better sales mix – Pricing in Nigeria – Operating expenses reduction Lower y-o-y ICM sales – Sustained growth in Europe – Service business – China’s plant closure impact Glass sales down y-o-y – Naira devaluation – Lower glass demand Second
Slide 3: Strong sales growth in Europe
Strong sales growth in Europe 2Q ICM sales by region (in €m) Increased sales in Russia and Romania, as well as higher +19% Service business sales in East 46 Europe 38 Sustained growth in Western +26% Europe -46% 27 Lower sales in Nigeria and 23 -57% 21 21 East Africa Asia impacted by China’s 13 plan
Slide 4: Lower sales to breweries and Coca-Cola bottlers
Lower sales to breweries and Coca-Cola bottlers 2Q ICM sales by customer group (in €m) Lower demand from Coca- Cola in Africa and Asia -5% 71 67 Sales to brewery customers down y-o-y, driven by lower customer investments in Poland and East Africa -8% -28% 20 14 15 14 2Q16 2Q17 2Q16 2Q17 2Q16 2Q17 Co
Slide 5: Naira’s devaluation & weak FJA sales impacted Glass sales
Naira’s devaluation & weak FJA sales impacted Glass sales 2Q Glass Sales (in €m) -17% 25 21 -27% 8 6 2Q16 2Q17 2Q16 2Q17 Nigeria Frigoglass Operations Jebel Ali Second quarter 2017 results 5 25 August 2017
Slide 6: Financial review
Financial review Second quarter 2017 results 6 25 August 2017
Slide 7: Financial performance overview
Financial performance overview Group (in €m) 2Q17 2Q16 Change, % Sales 121.1 137.8 -12.1% EBITDA 15.7 17.3 -9.4% EBITDA margin 13.0% 12.6% 0.4pp Net Profit -24.6 -16.8 n.m. Adj. Net Profit -2.8 -0.5 n.m. Group (in €m) 1H17 1H16 Change, % Sales 215.4 239.7 -10.1% EBITDA 25.2 28.0 -10.3% EBITDA margin
Slide 8: 2Q segmental performance overview
2Q segmental performance overview ICM Operations ICM Operations (in €m) 2Q17 2Q16 Change, % Lower sales in Asia and Africa Sales 94.7 105.0 -9.8% EBITDA margin: EBITDA 11.5 12.4 -7.6% - Better geographical mix EBITDA margin 12.1% 11.8% 0.3pp - Opex reduction Net Profit -24.7 -23.2 n.m. - Cost under-
Slide 9: 1H segmental performance overview
1H segmental performance overview ICM Operations ICM Operations (in €m) 1H17 1H16 Change, % Lower sales in Asia and Africa Sales 164.8 181.3 -9.1% EBITDA margin: EBITDA 16.3 18.5 -11.8% - Increased raw material EBITDA margin 9.9% 10.2% -0.3pp costs Net Profit -36.3 -30.1 n.m. - Under-absorption Adj.
Slide 10: Operating expenses reduction
Operating expenses reduction Gross Profit (in €m) Operating Expenses (in €m) 29 23 12 10 2Q16 2Q17 2Q16 2Q17 21.0% 19.0% Gross margin, % 9.0% 7.9% Opex/Sales, % 51 24 41 20 1H16 1H17 1H16 1H17 21.2% 19.0% Gross margin, % 10.0% 9.3% Opex/Sales, % Gross profit and Operating Expenses excludes depreciat
Slide 11: Working capital improvement
Working capital improvement Trade Working Capital (in €m) Capex (in €m) 128 106 6 5 1H16 1H17 1H16 1H17 Second quarter 2017 results 11 25 August 2017
Slide 12: Business Outlook
Business Outlook Second quarter 2017 results 12 25 August 2017
Slide 13: Business Outlook
Business Outlook ICM business – Leverage ICOOL success with Coca-Cola in Europe – New cost competitive products – Service business expansion Glass business – Naira devaluation – Price initiatives in Nigeria – Increased demand from Crowns Second quarter 2017 results 13 25 August 2017
Slide 14: Q&A
Q&A 14
Slide 15: Forward-looking statements
For further information on Frigoglass, please visit our website at: www.frigoglass.com or contact: John Stamatakos Investor Relations Manager jstamatakos@frigoglass.com +30 210 61 65 767 Forward-looking statements This presentation may contain forward-looking statements which are based on current ex