Embotelladora Andina SA · BCS:ANDINA_A
Embotelladora Andina SA — FY2017 Earnings Presentation
25 slides from Embotelladora Andina SA's earnings presentation, 2018
Slide 1: Corporate Presentation FY2017
Agenda Page Corporate Presentation FY2017 [CLIENT NAME]
Slide 2: 1. Company Description
1. Company Description Agenda Page [CLIENT NAME]
Slide 3: History
History Merger with KO Polar (incorporation of new territories in Argentina, Coca-Cola System Chile & Paraguay). Andina Andina listed on joint venture (50/50) Andina buys 40% stake becomes the the NYSE. for the water and in Sorocaba Refrescos. Coca-Cola Franchise TCCC acquires juice business in bott
Slide 4: A regional and diversified platform (FY17)
A regional and diversified platform (FY17) Volume Revenues EBITDA 9% 8% 11% 30% 30% 34% 28% 30% 23% 32% 32% 33% 756 MM UCs US$2,848 MM US$520 MM Chile Brazil Territories: Antofagasta, Atacama, Coquimbo, Territories: Rio de Janeiro, Espíritu Santo, part of Metropolitan Region, San Antonio, Cachap
Slide 5: Ownership (As of December 31, 2017)
Ownership (As of December 31, 2017) Controlling Group 49.8% 55.7% 43.8% Series A Series B Others 26.7% Coca-Cola 14.7% ADRs 4.2% Chilean Pension Funds 4.6% The Controlling Group is composed of 5 Chilean families with equal parts, that have a shareholders’ agreement which includes TCCC. Series A elec
Slide 6: Superior manufacturing and logistics capabilities
Superior manufacturing and logistics capabilities Argentina Brazil 3 SSD production facilities with a 2 production facilities with a total total of 16 lines of 25 lines Additional 2 production facilities ◦ Average utilization range from for tetra juices and 1 for mineral 59% to 72% water with
Slide 7: 2. Market Description
Agenda 2. Market Description Page [CLIENT NAME]
Slide 8: Market Structure (FY2017)
Market Structure (FY2017) ARGENTINA BRAZIL Product Mix Product Mix Sof Drinks 83% Waters 12% Juices & Others 5% Sof Drinks 81% Waters 2% Juices & Others 9% Beer 8% Format Mix Format Mix Non Returnables 51% Returnables 48% Post Mix 1% Non Returnables 78% Returnables 20% Post Mix 2% Channel Mix Channe
Slide 9: Diversified brand portfolio across segments and geographies
Diversified brand portfolio across segments and geographies (As of December 31, 2017) Argentina Brazil Chile Paraguay SSDs1 Juices and other NCBs1 Water Beer Source: Company filings and public releases 1 SSDs: sparkling soft drinks; NCBs: non-carbonated soft drinks 2 Total includes 0.1mmUC distribut
Slide 10: 3. Financial Highlights
3. Financial Highlights Agenda Page [CLIENT NAME]
Slide 11: Track record of profitability, revenue and EBITDA growth
Track record of profitability, revenue and EBITDA growth, diversification and strong cash generation Sales volume (million UCs) Revenues (CLP$ mm) Argentina Brazil Chile Paraguay Argentina Brazil Chile Paraguay CAGR -0.2% 830.6 819.9 1,797,200 1,877,394 1,777,459 1,848,878 763.0 778.9 756.2 1,521,68
Slide 12: Solid Financial Position
Solid Financial Position Increase in Net Financial Debt is mainly explained by: - US$575MM Bond Issue for the Acquistion of Ipiranga (2013)1 - UF5 million Chilean Bond Issued on Sept 2013, UF3 million Chilean Bond Issued on Apr 2014 - Embotelladoras Coca-Cola Polar Merger (2012) Financial Debt (CLP$
Slide 13: Solid Financial Position
Solid Financial Position Financial Ratios (I) Financial Ratios (II) Financial Debt/Equity Ratio (1) Net Financial Debt (2)/Equity Ratio Net Financial Debt / EBITDA Net Financial Debt / EBITDA (w/o MtM CCS) (3) / EBITDA Debt Coverage Ratio (4) 1.0 2.2 0.9 0.9 0.9 1.9 1.9 0.8 1.8 2.3 24.6 2.0 0.3 0.7
Slide 14: Consolidated Financial Highlights (Billion Ch$)
Consolidated Financial Highlights (Billion Ch$) 2012 2012P 2013 2013P 2014 2015 2016 2017 Total Volume (MUCs) 596 749 763 826 831 820 779 756 Net Sales 1,172 1,477 1,522 1,640 1,797 1,877 1,777 1,849 Operating Income 154 173 171 179 187 216 214 239 Operating Margin 13.2% 11.7% 11.3% 10.9% 10.4% 11.5
Slide 15: Consolidated Financial Highlights (Million US$)
Consolidated Financial Highlights (Million US$) 2012 2012P 2013 2013P 2014 2015 2016 2017 Total Volume (MUCs) 596 749 763 826 831 820 779 756 Net Sales 2,411 3,038 3,071 3,311 3,151 2,868 2,627 2,848 Operating Income 317 355 346 361 328 329 316 368 Operating Margin 13.2% 11.7% 11.3% 10.9% 10.4% 11.5
Slide 16: Consolidated Balance Sheet (as of December 31, 2017)
Consolidated Balance Sheet (as of December 31, 2017, in million USD and million Ch$) Million USD: Assets Liabilities and Equity Cash and Cash Equivalents 245 Current Financial Liabilities 88 Current Assets 543 Other Current Liabilities 609 Non current Assets + Others 2,503 Non-Current Financial Liab
Slide 17: Dividends and Market Cap (as of December 31, 2017)
Dividends and Market Cap (as of December 31, 2017) Dividend Distribution* Market Cap (million Ch$) (billion USD) 4.6 - 4.2 3.4 2.7 42,738 2.5 76,205 67,586 52,081 53,671 19,831 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 Dividend Yield** 2013 2014 2015 2016 2017 Series A 2.9% 2.8% 3.7% 3.5% 3.
Slide 18: 4. Strategy
4. Strategy Agenda Page [CLIENT NAME]
Slide 19: Expansion potential through organic and inorganic growth avenues
Expansion potential through organic and inorganic growth avenues Organic growth Inorganic growth Superior organic growth within the Key role in the consolidation process of the Coca-Cola system Coca-Cola system in Latin America Fuel growth in SSD business Inorganic expansion in line with TCCC go
Slide 20: Appendix
Appendix CoG elg »NDINA
Slide 21: Argentina: Main Financial Highlights
Argentina: Main Financial Highlights (Local Currency (millions)) 2012 2012P 2013 2014 2015 2016 2017 Sales Volume (MUC) 167 200 224 229 234 219 211 Net Sales 2,985 3,690 4,898 6,541 8,903 11,343 14,203 Operating Income 308 311 398 428 829 1,198 1,588 Operating Margin 10.2% 8.2% 8.0% 6.6% 9.3% 10.6%
Slide 22: Brazil: Main Financial Highlights
Brazil: Main Financial Highlights (Local Currency (millions)) 2012 2012P 2013 2013P 2014 2015 2016 2017 Sales Volume (MUC) 225 253 243 305 306 291 266 249 Net Sales 1,814 2,030 2,142 2,657 2,959 3,059 3,037 2,976 Operating Income 260 276 257 290 354 378 369 414 Operating Margin 14.3% 13.7% 12.0% 10.
Slide 23: Chile: Main Financial Highlights
Chile: Main Financial Highlights (Local Currency (millions)) 2012 2012P 2013 2014 2015 2016 2017 Sales Volume (MUC) 185 233 235 232 234 232 231 Net Sales 374,873 475,824 477,918 492,072 514,733 540,427 551,873 Operating Income 57,685 65,941 66,620 56,460 63,059 68,879 72,890 Operating Margin 15.4% 1
Slide 24: Paraguay: Main Financial Highlights
Paraguay: Main Financial Highlights (Local Currency (millions)) 2012 2013 2014 2015 2016 2017 Sales Volume (MUC) 63 61 63 61 62 65 Net Sales 968,454 968,523 1,010,735 1,033,215 1,107,678 1,227,001 Operating Income 99,174 129,747 157,306 176,418 199,617 221,018 Operating Margin 10.2% 13.4% 15.6% 17.0
Slide 25: Corporate Presentation
Agenda Page Corporate Presentation [CLIENT NAME]