Aak Ab · OMXSTO:AAK
Aak Ab — Investor Day (November 2014)
26 slides from Aak Ab's investor day presentation, Nov 12, 2014
Slide 1: Capital Market Day November 12, 2014
Arne Frank CEO Capital Market Day November 12, 2014
Slide 2: Forward-looking statements
Forward-looking statements This presentation includes forward-looking statements that are subject to risks and uncertainties, including those pertaining to the anticipated benefits to be realized from the proposals described herein. This presentation contains a number of forward-looking statements i
Slide 3: Agenda
Agenda 10.00 – 10.40 AAKtion Arne Frank, CEO 10.40 – 11.00 Financial update Fredrik Nilsson, CFO 11.00 – 11.25 Infant Nutrition Karel Stoschek, Director Infant Nutrition 11.25 – 11.40 Short break with samples 11.40 – 12.10 Dairy Lena Ingvarsson, Marketing Director Dairy 12.10 – 12.35 Chocolate & Con
Slide 4: AAK participants
AAK participants Arne Frank Fredrik Nilsson Karel Stoschek Lena Ingvarsson Anne Mette Olesen Anders Byström President and CEO CFO Director Infant Marketing Director CMO Director IR Nutrition Dairy 4
Slide 5: January – September
January – September Volume +4% ’000 MT 1,241 (1,196) Organic –2% Sales SEK million 12,958 (12,251) +6% EBIT* SEK million 899 (799) +13% EBIT per kilo* 0.72 (0.67) +7% SEK EPS 14.03 (12.39) SEK +13% 5 * Excluding acquisition costs and non-recurring items
Slide 6: FI – January to September
FI – January to September Operating profit (SEK million) Volumes ('000 MT) 600 +5% 850 +4%* 583 550 800 553 807 500 750 776 450 700 400 650 Last year Actual Last year Actual Operating profit per kilo (SEK) 0.73 +1% 0.71 0.72 0.71 0.69 0.67 0.65 Last year Actual 6 * For comparable units, volumes decr
Slide 7: FI – January to September
FI – January to September Volume 325 300 EBIT/kg 275 2,50 250 225 2,25 200 175 2010 2,00 MT 2011 150 125 2012 1,75 2013 100 2014 75 1,50 2010 SEK/kg 50 25 1,25 2011 0 2012 Bakery Food Service Infant Dairy Fat Frying & 1,00 Nutrition Alternative Other 2013 commodity EBIT 0,75 2014 275 0,50 250 225 0,
Slide 8: CCF – January to September
CCF – January to September Operating profit (SEK million) Volumes ('000 MT) 350 +31% 250 +5%* 332 230 300 200 219 250 150 254 200 100 150 50 Last year Actual Last year Actual Operating profit per kilo (SEK) 1.60 +24% 1.40 1.44 1.20 1.16 1.00 0.80 Last year Actual 8 * For comparable units, volumes de
Slide 9: Current market growth estimates
Current market growth estimates 0% 0-2% 0% +6-10% -12-18% +3-6% +3-5% 9
Slide 10: AAK ytd vs market growth
AAK y t d vs market growth 0% 0-2% 0% +6-10% -12-18% +3-6% +3-5% 10
Slide 11: Mid/long term expectations
Mid/long term expectations +3-5% 0-2% 0-2% +6-10% +2-5% +3-6% +3-5% 11
Slide 12: Since last Capital Market Day
Since last Capital Market Day AAKtion Acquisitions • CSM Oils & Fats Benelux NV, Belgium • Fanagra, Colombia • Additional brand from Unilever, Turkey Divestment • Binol Greenfields • Brazil • China Product development 12
Slide 13: AAK Acceleration
AAK Acceleration Focus on speciality and We a i es i ow semi-speciality products gest és ouses Segment approach Zi Increased our Gl resources Customer co-development sO 3 13
Slide 14: Sales Innovation Service
Sales Innovation Service Customer co-development Quality Productivity 14
Slide 15: Raw material prices
Raw material prices 1,800 Rapeseed oil Palm oil 1,600 1,400 1,200 1,000 USD/ton 800 600 400 200 0 15
Slide 16: Cocoa butter price
Cocoa butter price 10,000 9,000 8,000 7,000 6,000 USD/ton 5,000 4,000 3,000 2,000 1,000 0 16
Slide 17: Medium and fast growing markets
Medium and fast growing markets* 100% 13% 90% 20% 22% 25% 26% 80% 18% 70% 18% 31% 70% 60% 35% 34% 50% 40% 69% 30% 62% 47% 20% 40% 40% 30% 10% 0% 2006 2009 2012 2013 2014 2015-2016* Slow growing markets Medium growing markets Fast growing markets Nordics USA Asia West Europe CEE Latin Ame
Slide 18: AAK investing in Brazil
AAK investing in Brazil A new speciality and semi-speciality edible oils factory in Jundiaí, São Paulo, Brazil This investment is expected to amount to approx. SEK 400 million over a two-year period The main start-up of the new factory is planned for the latter part of 2015 The factory will strength
Slide 19: AAK investing in China
AAK investing in China A new speciality and semi-speciality edible oils factory in Zhangjiagang • The region has the highest GDP per capita in mainland China • Chinese center for inbound and outbound logistics for efficient national coverage The investment is expected to amount to approx. SEK 400 mi
Slide 20: Fabrica Nacional de Grasas S.A. (FANAGRA)
Fabrica Nacional de Grasas S.A. (FANAGRA) Located in Colombia • Headquartered in Bogotá • Factory in Villavicencio Specializes in vegetable oils and fats for the bakery segment Revenues of approximately SEK 270 million in 2013 Annual volume of 30,000 MT Employs 155 people Limited impact on 2014 oper
Slide 21: AAK has acquired bakery fats specialist in Belgium
AAK has acquired bakery fats specialist in Belgium CSM, a leading bakery fats supplier to the bakery markets in Belgium, the Netherlands, France and Germany The acquired business had revenues of approx. SEK 970 million and volumes of approx. 100,000 MT in 2013 The transaction includes: • Production
Slide 22: Product development – FI
Product development – FI Akopastry – Low fat • Going from typical 82% fat to 60% fat • No loss in functionality, appearance or taste Akomix LS 25 • Developed for ice cream products • Reduces the SAFA with more than 70% • Nominated for FIE award, Dairy Innovation of the year 22
Slide 23: Product development – CCF
Product development – CCF Illexao™ MT 20 • Improved milk fat tolerance resulting in improved processing Chocofill™ NH 110 • For steep melting non-hydrogenated fillings without tempering • Nominated for Confectionery Innovation of the year at FIE 23
Slide 24: Product development – PC
Product development – PC Lipex SheaLightTM • New sustainable light emollient ester derived from natural resources • An ideal emollient for skin, hair care and sun care • Very first shea product that maintains the skin nourishing properties of shea, while leaving the skin with a dry and powdery fee
Slide 25: Management growth ambition
Management growth ambition* Acquisitions Organic growth Productivity Operating profit 2010 400 400 800 800 2010 In appr 5-6 years *As expressed at the Capital Market Day November 10, 2010 and at fixed exchange rates. 25
Slide 26: 2015 – Organic growth
2015 – Organic growth 26