Bidvest Group Limited · JSE:BVT
Bidvest — The Bidvest Group — FY2013 Earnings Presentation
30 slides from Bidvest's earnings presentation, September 2013
Slide 1: Audited Financial Results Year ended 30 June 2013
The Bidvest Group Limited www.bidvest.com Audited Financial Results Year ended 30 June 2013 105 000 people defining the Bidvest DNA www.bidvest.com
Slide 2: Agenda
Agenda The Bidvest Group Limited Overview 01 Brian Joffe – Group CE Bidvest Financials 02 David Cleasby – Group FD Bidvest Namibia 03 David Cleasby – Group FD Bidvest South Africa 04 Lindsay Ralphs – Bidvest South Africa CE Bidvest Foodservice 05 Bernard Berson – Bidvest Foodservice CE Looking forwa
Slide 3: CEO's overview of F2013
CEO’s overview of F2013 Brian Joffe – Group CE www.bidvest.com
Slide 4: CEO's Overview of F2013
CEO’s Overview of F2013 The Bidvest Group Limited Revenue R153.4 billion($17.3 billion) • New structure in place for two years – has proven to be EBITDA R9.8 billion ($1.1 billion) well-timed, foresight for hardships ahead Growth of 9% in trading profits • Autonomous smaller focused divisions workin
Slide 5: Financials
Financials David Cleasby – Group FD www.bidvest.com
Slide 6: Financial highlights
Financial highlights The Bidvest Group Limited Year ended Year ended Change • Financial disciplines remain a South African Rand key priority 30 June 2013 30 June 2012 % Revenue 153,4bn 133,5bn +14.9 • South Africa revenue up 10.5%, Foodservice revenue up 17.7% Gross profit % 19.8% 20.4% • GP margin
Slide 7: Income statement analysis
Income statement analysis The Bidvest Group Limited • Expenses within own control very tightly managed – e.g. SA operating expenses down 0.7%, overall constant currency 6.2% • Economising on resources such as fuel, water, electricity, paper etc and on recycling has both environmental and bottom line
Slide 8: Financial position and cash flow analysis
Financial position and cash flow analysis The Bidvest Group Limited • Cash flow cycle is typically one of absorption in H1 and release in H2 • Net working capital at 12 days vs. 8 days –stock stable at 35 days • strategic stocking in automotive inventory, food ingredients and wholesale stationery pr
Slide 9: Funding our growth
Funding our growth The Bidvest Group Limited • Currency risk: transactions covered forward, foreign assets matched to liabilities for natural hedge • All operations managed in their home territories and domestic currency • Premium credit rating affirmed in 2013 (AA- Fitch & A1.za Moody’s) • Funding
Slide 10: Namibia
Bidvest Namibia David Cleasby – Group FD www.bidvest.com
Slide 11: Bidvest Namibia
Bidvest Namibia The Bidvest Group Limited Year ended Year ended Change R’000s 30 June 2013 30 June 2012 % Revenue 3 597 158 2 971 322 21.1% Trading profit 592 223 637 694 (7.1)% Trading margin 16.5% 21.5% Trading highlights of F2013 • Headline earnings decreased by 6.8% to NAD 274,4m • Fishing at 84
Slide 12: Bidvest South Africa
Bidvest South Africa Lindsay Ralphs – Bidvest South Africa CE www.bidvest.com
Slide 13: Bidvest South Africa Overview
Bidvest South Africa Overview The Bidvest Group Limited Year ended Year ended Change R’000s 30 June 2013 30 June 2012 % Revenue 69 266 131 62 672 667 10.5% Trading profit 4 223 653 3 822 564 10.5% Trading margin 6.1% 6.1% • Good expense control and management of gross profit margin (labour wages in
Slide 14: Bidvest South Africa Automotive
Bidvest South Africa Automotive The Bidvest Group Limited Year ended Year ended Change R’000s 30 June 2013 30 June 2012 % Revenue 20 704 970 19 130 896 8.2% Trading profit 640 956 502 365 27.6% Trading margin 3.1% 2.6% Trading highlights of F2013 • 12.4% like for like revenue growth (excl. dealershi
Slide 15: Bidvest South Africa Electrical
Bidvest South Africa Electrical The Bidvest Group Limited Year ended Year ended Change R’000s 30 June 2013 30 June 2012 % Revenue 4 527 394 4 286 092 5.6% Trading profit 224 614 207 554 8.2% Trading margin 5.0% 4.8% Trading highlights of F2013 • Pro-active and timely operational decisions affecting
Slide 16: Bidvest South Africa Financial Services
Bidvest South Africa Financial Services The Bidvest Group Limited Year ended Year ended Change R’000s 30 June 2013 30 June 2012 % Revenue 1 458 683 1 715 660 (15.0)% Trading profit 594 883 586 743 1.4% Trading margin 40.8% 34.2% Trading highlights of F2013 • A mixed result but successes are in turn
Slide 17: Bidvest South Africa Freight
Bidvest South Africa Freight The Bidvest Group Limited Year ended Year ended Change R’000s 30 June 2013 30 June 2012 % Revenue 25 114 347 20 833 921 20.5% Trading profit 979 402 922 216 6.2% Trading margin 3.9% 4.4% Trading highlights of F2013 • Mix of revenue favoured higher value automotive cleari
Slide 18: Bidvest South Africa Industrial
Bidvest South Africa Industrial The Bidvest Group Limited Year ended Year ended Change R’000s 30 June 2013 30 June 2012 % Revenue 1 528 760 1 473 920 3.7% Trading profit 86 030 81 803 5.2% Trading margin 5.6% 5.5% Trading highlights of F2013 • Decline in segment profitability since 2010 has been suc
Slide 19: Bidvest South Africa Office
Bidvest South Africa Office The Bidvest Group Limited Year ended Year ended Change R’000s 30 June 2013 30 June 2012 % Revenue 4 245 566 4 183 978 1.5% Trading profit 324 259 275 149 17.8% Trading margin 7.6% 6.6% Trading highlights of F2013 • Benefits of the turnaround in Waltons and remedial measur
Slide 20: Bidvest South Africa Paper Plus
Bidvest South Africa Paper Plus The Bidvest Group Limited Year ended Year ended Change R’000s 30 June 2013 30 June 2012 % Revenue 4 031 330 3 858 146 4.5% Trading profit 281 292 328 140 (14.3)% Trading margin 7.0% 8.5% Trading highlights of F2013 • Vigorous diversification initiatives continue as tr
Slide 21: Bidvest South Africa Rental and Products
Bidvest South Africa Rental and Products The Bidvest Group Limited Year ended Year ended Change R’000s 30 June 2013 30 June 2012 % Revenue 2 208 649 2 057 282 7.4% Trading profit 435 825 383 806 13.6% Trading margin 19.7% 18.7% Trading highlights of F2013 • All nine operational entities contributed
Slide 22: Bidvest South Africa Services
Bidvest South Africa Services The Bidvest Group Limited Year ended Year ended Change R’000s 30 June 2013 30 June 2012 % Revenue 3 239 334 3 086 476 5.0% Trading profit 276 465 215 414 28.3% Trading margin 8.5% 7.0% Trading highlights of F2013 • Effective margin management helped drive the result in
Slide 23: Bidvest South Africa Travel and Aviation
Bidvest South Africa Travel and Aviation The Bidvest Group Limited Year ended Year ended Change R’000s 30 June 2013 30 June 2012 % Revenue 2 207 098 2 046 296 7.9% Trading profit 379 927 319 374 19.0% Trading margin 17.2% 15.6% Trading highlights of F2013 • Result driven by high level of customer se
Slide 24: Foodservice
Bidvest Foodservice Bernard Berson – Bidvest Foodservice CE www.bidvest.com
Slide 25: Bidvest Foodservice Overview
Bidvest Foodservice Overview The Bidvest Group Limited Year ended Year ended Change R’000s 30 June 2013 30 June 2012 % Revenue 82 716 213 70 756 633 16.9% Trading profit 2 488 149 2 222 094 12.0% Trading margin 3.0% 3.1% • South Africa is showing a better sense of purpose under the guidance of new l
Slide 26: Bidvest Foodservice Asia Pacific
Bidvest Foodservice Asia Pacific The Bidvest Group Limited Year ended Year ended Change R’000s 30 June 2013 30 June 2012 % Revenue 28 626 542 23 493 350 21.8% Trading profit 1 211 408 1 000 042 21.1% Trading margin 4.2% 4.3% Trading highlights of F2013 • Australia: a record result in spite of intens
Slide 27: Bidvest Foodservice Europe
Bidvest Foodservice Europe The Bidvest Group Limited Year ended Year ended Change R’000s 30 June 2013 30 June 2012 % Revenue 48 156 247 41 114 785 17.1% Trading profit 936 242 912 729 2.6% Trading margin 1.9% 2.2% Trading highlights of F2013 • UK: growth in wholesale, logistics and fresh with improv
Slide 28: Bidvest Foodservice Southern Africa
Bidvest Foodservice Southern Africa The Bidvest Group Limited Year ended Year ended Change R’000s 30 June 2013 30 June 2012 % Revenue 5 933 424 6 148 498 (3.5)% Trading profit 340 499 309 323 10.1% Trading margin 5.7% 5.0% Trading highlights of F2013 • Foodservice shift in mix, transition to Multi-t
Slide 29: Looking forward
Looking forward Brian Joffe – Group CE www.bidvest.com
Slide 30: Looking forward
Looking forward The Bidvest Group Limited Bidvest has substantial capacity to accommodate organic and acquisitive growth and we shall continue to seek opportunities in existing and complementary activities. We remain opportunistically Bidvest Outside Africa Within Africa Introducing our South Africa