Vina Concha y Toro S.A. · BCS:CONCHATORO
Vina Concha y Toro — 9M 2014 Earnings Presentation
33 slides from Vina Concha y Toro's earnings presentation, Dec 3, 2014
Slide 1: Investor Presentation – 3Q14 & 9M14 Results
Investor Presentation – 3Q14 & 9M14 Results December 3, 2014
Slide 2: 3Q & 9M 2014 Results
3Q & 9M 2014 Results
Slide 3: Highlights: 3Q 2014 vs 3Q 2013
Highlights: 3Q 2014 vs 3Q 2013 Higher performance in sales, growth of 10.0% in value. Premiumization of exports premium sales, growth of 16.1% volume. Higher average export price, 31.57 US$ per 9 liter case (+3.6%). Leading position in Chilean bottled exports. CyT reached 1st place in Chilean cate
Slide 4: Performance 3Q & 9M 2014
Performance 3Q & 9M 2014 Income Statement 3Q14 3Q13 Change % 9M14 9M13 Change % Sales (Ch$ million) $ 148,412 $ 134,964 10.0% $ 405,613 $ 336,289 20.6% Exports * (Ch$ million) $ 103,382 $ 94,655 9.2% $ 287,234 $ 224,688 27.8% Exports * (US$ million) $ 179 $ 186 -4.2% $ 510 $ 457 11.5% % Exports 69.7
Slide 5: Performance 3Q
Performance 3Q Consolidated Sales Operating Income (million Ch$) (million Ch$) Consolidated EBITDA Consolidated Net Profit (million Ch$) (million Ch$) 5
Slide 6: Sales Variation by Origin 3Q 2014
Sales Variation by Origin 3Q 2014 (Million Ch$) (Thousand liters) 6
Slide 7: Sales Variation by Origin 3Q 2013
Sales Variation by Origin 3Q 2013 (Million Ch$) (Thousand liters) 7
Slide 8: Consolidated Sales 9M2014
Consolidated Sales 9M2014 Consolidated Sales (million Ch$) Consolidated Volume (million 9 liter cases, Wine) 8
Slide 9: Sales Variation by Origin 9M 2014
Sales Variation by Origin 9M 2014 (Million Ch$) (Thousand liters) 9
Slide 10: Sales Variation by Origin 9M 2013
Sales Variation by Origin 9M 2013 (Million Ch$) (Thousand Liters) 10
Slide 11: Export Sales 9M2014
Export Sales 9M2014 Export Sales Export Volume (million Ch$) (thousand 9 liter cases) +7.3% Average Export Price Premium Wines Export Volume (US$ / 9 liter Case) (thousand 9 liter cases) +3.6% +16.1% 11
Slide 12: Leading Position Over Chilean Exports
Leading Position Over Chilean Exports CyT Exports of Bottled Wine Chilean Destination of Bottled Exports Volume Value 2004 29.2% 25.8% 2005 32.2% 27.2% 2006 33.4% 28.3% 2007 34.9% 30.2% 2008 37.0% 31.4% 2009 38.3% 32.3% 2010 36.6% 31.5% 2011 33.7% 29.7% 2012 35.4% 31.3% 2013** 33.9% 30.5% 3M 2014**
Slide 13: Leading Position Over Chilean Exports
Leading Position Over Chilean Exports Share over chilean Rank Growth % Part of CyT in total Rank CyT over Country bottled exports 2014 2014/2013 chilean bottled exports Chilean Exports (volume) 1 USA 13.5% -3.6% 40.4% 1 2 United Kingdom 12.7% -16.8% 39.7% 1 3 Japan 9.8% 21.3% 28.0% 1 4 Brazil 7.9% 2
Slide 14: Concha y Toro Export Growth by Region
Concha y Toro Export Growth by Region Mix of Export Sales % Change Volume Region 2011 2012 2013 9M 2014 2011 2012 2013 9M 2014 U.K. 25.3% 26.8% 25.8% 28.0% -9.1% 8.5% -0.8% 23.7% Continental Europe 18.5% 18.2% 18.6% 16.8% -7.0% 1.0% 4.0% -9.8% Nordics (SWE, FIN, NOR) 4.8% 4.9% 5.1% 5.8% -5.2% 6.0% 5
Slide 15: Distribution Subsidiaries: Driving the Growth
Distribution Subsidiaries: Driving the Growth 15
Slide 16: Domestic Market - Chile
Domestic Market - Chile Domestic Market – Wine Sales Domestic Market – Wine Volume (million Ch$) (Thousand Liters) +6.1% +7.0% Premium Wine Growth % Premium/ % Premium/ (Thousand Liters) Year Total Volume Total Value 2006 3.1% 13.0% 2007 2.7% 13.2% 2008 3.1% 15.2% 2009 3.5% 16.3% 2010 4.1% 17.5% 201
Slide 17: Sales Disclosure 9M2014
Sales Disclosure 9M2014 Sales Breakdown by Origin Sales Breakdown by Currency Currency Mix 9M14 9M13 CLP 19.6% 21.2% USD 33.4% 35.9% GBP 20.0% 16.2% EUR 10.8% 10.1% CAD 3.1% 2.9% ARG 0.7% 1.4% SEK 3.1% 2.8% NOK 0.8% 0.9% BRL 6.3% 6.3% • Export Markets include exports to third parties and distributio
Slide 18: Consolidated EBITDA 9M2014
Consolidated EBITDA 9M2014 Consolidated EBITDA (million Ch$) CAGR: 6.6% Consolidated Mg. EBITDA (% of Sales) 18
Slide 19: Key Factors over EBITDA Performance
Key Factors over EBITDA Performance 1- Increase in Commercialized Volume 2- Higher Exchange Rate 3- Lower Cost of Wine 19
Slide 20: Exchange Rate Main Producers
Exchange Rate Main Producers Currencies against USD TCR (base 100: 2005) – Exchange Rate (CLP/USD) 20
Slide 21: Significant shift in Chilean bulk wine price curve
Significant shift in Chilean bulk wine price curve Chilean Bulk Wine Price (Cabernet Sauvignon, Maule Valley) Source: ODEPA 21
Slide 22: Chilean Harvest Through the Years
Chilean Harvest Through the Years Historical Harvest Volume (Million Liters) Source: SAG 22
Slide 23: Consolidated Net Profit 9M2014
Consolidated Net Profit 9M2014 Consolidated Net Profit (million Ch$) CAGR: 10.8% 23
Slide 24: Financial Position
Financial Position
Slide 25: Conservative Capital Structure (As of Sep-14)
Conservative Capital Structure (As of Sep-14) Financial Debt / Equity Total Liabilities / Equity 1,4(*) Net Financial Debt / EBITDA (1) EBITDA (1)/ Financial Expenses(1) 2,5(**) Liabilities: Current Liabilities + Non Current Liabilities Financial Debt: Other current financial liabilities + Other non
Slide 26: Financial Debt
Financial Debt Financial Debt* as of: Sep-14 Sep-13 Ch$ MM Av. Interest rate Ch$ MM Av. Interest rate USD 129,864 3.03% 130,901 3.04% EUR 0 0.00% GBP 0 0.00% CLP 18,012 4.68% 4,494 5.57% UF 130,792 3.43% 81,498 3.74% ARS 5,782 22.99% 8,056 15.72% BRL 8,658 11.63% 6,911 9.97% MXN 878 6.22% SEK 0 0.00
Slide 27: Financial Debt
Financial Debt Financial Debt by Currency As of September 30, 2014 (1) Source: The Company (1) Considers current and non current financial liabilities excluding derivatives 27
Slide 28: Financial Debt
Financial Debt Expected Maturity Date(1), as of September 30, 2014 (Million Ch$) * Source: The Company (1) Considers current and non current financial liabilities excluding derivatives * EBITDA, Last 12 Months (as of june 2014) 28
Slide 29: Investor Presentation – 3Q14 & 9M14 Results
Investor Presentation – 3Q14 & 9M14 Results December 3, 2014
Slide 30: Exhibits
Exhibits
Slide 31: Sales 3Q2014 & 9M2014
Sales 3Q2014 & 9M2014 Change Change Total Sales⁽*⁾ (in Ch$ million) 3Q14 3Q13 9M 2014 9M 2013 (%) (%) Chile Domestic Market - wine 17,711 16,314 8.6% 44,771 42,209 6.1% Chile Domestic Market - new business 10,303 8,012 28.6% 29,875 22,410 33.3% Export markets⁽¹⁾ 98,164 89,521 9.7% 271,074 210,818 28
Slide 32: Chilean Domestic Market - Wine
Chilean Domestic Market - Wine Market Share – Domestic Market (Volume) 2005 2006 2007 2008 2009 2010 2011 2012 2013 9M14 Concha y Toro 27.1 28.6 30.0 29.7 31.5 30.7 30.4 29.6 28.5 27.0 Santa Rita 24.4 25.5 27.9 28.7 28.9 29.4 29.1 28.0 29.5 30.7 San Pedro 21.7 21.9 21.8 23.0 22.5 24.4 24.6 26.7 27.3
Slide 33: Investor Presentation – 3Q14 & 9M14 Results
Investor Presentation – 3Q14 & 9M14 Results December 3, 2014