Treasury Wine Estates Limited · ASX:TWE
Treasury Wine Estates — Bank of America Merrill Lynch Wine Symposium 2018
22 slides from Treasury Wine Estates's conference presentation, May 3, 2018
Slide 1: Australian wine industry growth and TWE's role within it
For personal use only Australian wine industry growth and TWE’s role within it Angus McPherson – Managing Director, ANZ Bank of America Merrill Lynch Wine Symposium Adelaide 3 May 2018 1
Slide 2: Today's agenda
Australian wine industry growth and TWE’s role within it Today’s agenda For personal use only 1 Treasury Wine Estates – A snapshot of our Company and our priorities 2 Australian wine industry growth – A turning of the tide 3 Australian wine industry & TWE – Alignment of and investment in competitive
Slide 3: A vertically integrated wine business, operating globally
TWE; a snapshot of our Company and our priorities A vertically integrated wine business, operating globally For personal use only TWE; a vertically integrated wine company Global business with regional segments Wine production 70+ brands and packaging 4 key sales regions 100+ countries Grape growing
Slide 4: Our global vision and strategy
TWE; a snapshot of our Company and our priorities Our global vision and strategy For personal use only To be the world’s most celebrated wine company To move from an order-taking agricultural business to a brand-led organisation Build a high Develop Transform our Win in priority Optimise our 1 perfo
Slide 5: TWE's key strategic and financial priorities
TWE; a snapshot of our Company and our priorities TWE’s key strategic and financial priorities Positioning TWE as global wine category manager across brands, regions and COOs1 For personal use only 1 2 Investing in supply and sales-led portfolio premiumisation 3 Building strategic wholesale and reta
Slide 6: TWE's Australian region is an important driver of Group performance
TWE; a snapshot of our Company and our priorities TWE’s Australian region is an important driver of Group performance TWE is the #1 producer by value For personal use only Australia & New Zealand segment and #2 by volume 1 22% of Group 1H18 EBITS2 TWE, 21% TWE, 21% Americas Europe Private Label, 18%
Slide 7: Today's agenda
Australian wine industry growth and TWE’s role within it Today’s agenda For personal use only 1 Treasury Wine Estates – A snapshot of our Company and our priorities 2 Australian wine industry growth – A turning of the tide 3 Australian wine industry & TWE – Alignment of and investment in competitive
Slide 8: A turning of the tide
Australian wine industry growth A turning of the tide For personal use only Total Australian wine export growth1 Australian wine exports to China1 m 9Le +4% m 9Le +47% F14 F15 F16 F17 F14 F15 F16 F17 TWE’s total Australian wine exports2 TWE’s Australian wine exports to North m 9Le m 9Le Asia2 +3% +4
Slide 9: Today's agenda
Australian wine industry growth and TWE’s role within it Today’s agenda For personal use only 1 Treasury Wine Estates – A snapshot of our Company and our priorities 2 Australian wine industry growth – A turning of the tide 3 Australian wine industry & TWE – Alignment of and investment in competitive
Slide 10: Access to some of the world's oldest and best vines
Australian wine industry and TWE – competitive advantages 1. Access to some of the world’s oldest and best vines Australia’s clonal material has a strong pedigree For personal use only Australia has remained relatively phylloxera free Australia boasts some of the oldest geology and most complex soil
Slide 11: Diversity of growing regions akin to Europe in one country
Australian wine industry and TWE – competitive advantages 2. Diversity of growing regions akin to Europe in one country For personal use only Regional and varietal diversity of major European wine industry IN AUSTRALIA 65 wine regions in Australia; each boast distinct characteristics that are expres
Slide 12: Diversity of regions de-risks portfolio through multi-region sourcing
Australian wine industry and TWE – competitive advantages 2. Diversity of growing regions akin to Europe in one country For personal use only Diversity of regions de-risks portfolio through multi-region sourcing Sourcing model for Penfolds Luxury SKU in 2016 Multi-appellation sourcing for Blend Baro
Slide 13: Leaders in viticultural science and technology
Australian wine industry and TWE – competitive advantages 3. Leaders in viticultural science and technology For personal use only Australia winemakers at the forefront of viticultural science and technology Flying Winemakers1; Australian Wine Industry The Europeans are unlikely to admit it, but know
Slide 14: Investing to strengthen TWE's leading position in Australian wine
TWE’s Australian supply region – priorities Investing to strengthen TWE’s leading position in Australian wine For personal use only TWE’s global supply mission statement: Embed optimised supply chain for the Commercial, Masstige and Luxury categories with industry leading standards in quality, servi
Slide 15: Investing for growth in Luxury and Masstige
Australia Supply region Investing for growth in Luxury and Masstige For personal use only 1 Increase access to Masstige and 2 Continuously optimise production 3 Selectively invest in infrastructure to Luxury fruit to meet demand infrastructure to drive efficiencies support growth ANZ region; Viticul
Slide 16: Freedom to invest in, market and sell wine brands
Australian wine industry and TWE – competitive advantages 4. Freedom to invest in, market and sell wine brands Old world wine marketing tends to be more New world wine marketing tends to be more For personal use only REGION-LED CONSUMER and BRAND-LED 16
Slide 17: Strengthening market share with outstanding execution and an efficient model
TWE’s Australian Demand region – priorities Strengthening market share with outstanding execution and an efficient model For personal use only TWE’s Australia & New Zealand region mission statement: Deliver 25% volume and value share in Australia underpinned by strong strategic partnerships, outstan
Slide 18: Targeting 25% volume and value share
Sales, Distribution and Marketing initiatives Targeting 25% volume and value share For personal use only 1 Build strategic & sustainable 2 Drive category growth with 3 Optimise a competitive and efficient customer partnerships outstanding portfolio & brand building RTM and operating model Category J
Slide 19: Augmented reality delivered by Living Wine Labels
Sales, Distribution and Marketing initiatives Augmented reality delivered by LIVING WINE LABELS For personal use only Award winning technology with Connecting with consumers and driving GLOBAL reach BRAND ENGAGEMENT 1.3m+ downloads 3.9m+ App sessions 15.0m+ screen views Available in over 90 countrie
Slide 20: Closing remarks
Australian wine industry growth and TWE’s role within it Closing remarks For personal use only Australian wine is in high demand…….globally Australia is rich in heritage and regional diversity Australia leads in viticultural advancement and technology Brand-led investment drives a vibrant, Australia
Slide 21: For personal use only
21 For personal use only
Slide 22: Disclaimer
Disclaimer For personal use only Summary information The material in this presentation is summary information about Treasury Wine Estates Limited (TWE) and its subsidiaries and their activities, current as at the date of this presentation unless otherwise stated. It should be read in conjunction wit
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