Coca-cola Europacific Partners Plc · NASDAQ:CCEP
Coca-cola Europacific Partners — Non-Deal Roadshow (August 2024)
25 slides from Coca-cola Europacific Partners's roadshow presentation, August 2024
Slide 1: Investor Relations NDR August 2024
Investor Relations NDR August 2024
Slide 2: Forward looking statements
Forward looking statements This document contains statements, estimates or projections that constitute “forward-looking statements” concerning the financial condition, performance, results, guidance and outlook, dividends, consequences of mergers, acquisitions, joint ventures, and divestitures, incl
Slide 3: The world's largest bottler by revenue
T H E W O R L D ’ S L AR G E S T B O T T L E R B Y R E V E N U E We make, move and sell the world’s most >42k >4m €20bn €1.7bn loved brands across Employees Customers FY23: Revenue1 FY23: Adjusted free cash flow1,2 31 markets across Western Europe & Asia Pacific >600m >1.3m €2.5bn ~50% Consumers Coo
Slide 4: Our journey
Our journey 1919 2017 CCEP announces sustainability 2024 Europe welcomes the first action plan, This is Forward, Coca-Cola bottling plants to Europe: France (1919), 2013 outlining goals on drinks, 2021 CCEP acquires Coca-Cola Beverages packaging and society. Spain (1920), Belgium Coca-Cola Iberian P
Slide 5: Proven track record
Proven track record May 2016 May 2021 Feb 2024 Merger & Formation of CCEP CCEP completed acquisition CCEP completed joint acquisition of CCA & company name change of Coca-Cola Beverages Philippines, Inc. along with Aboitiz Equity Ventures Inc. 13 countries 30 countries 31 countries ~€11bn revenue1 ~
Slide 6: Delivering on our clear strategy
€0.74 Delivering on First half interim Impressive our clear free cash flow generation dividend per share strategy Inclusive & engaged workforce Unwavering Solid commitment to €6.4bn alignment Focused with TCCC & stakeholder cash our brand portfolio simplification value creation returns partners sinc
Slide 7: Continued focus on stakeholder value creation through…
Continued focus on High growth Solid stakeholder value creation capital allocation developing markets through… framework, on track for target leverage in FY24 Investing in key data driven Balancing capabilities price/mix Investing & healthy 2.5x – 3.0x Net Debt: Comparable EBITDA1 in our people volu
Slide 8: FY23: Financial summary
FY23: Financial summary Operating Earnings Comparabl Comparabl Dividend Revenue COGS/UC Profit per share3 e FCF4 e ROIC1 per share5 €18.3bn1 up 7.5%2 €2.4bn1 €3.711 €1.7bn 10.3% €1.84 up 8.0%2 up 13.5%2 up 12.0%2 up120bps up 9.5% 1. Comparable (non-GAAP performance measure - refer to slide 2) 2. Com
Slide 9: FY23: Returned to top end of target leverage range as previously guided
FY23: Returned to top end of target leverage range as previously guided Mid-term target leverage range 2.5- API acquisition 3.0x Net Debt: Comparable EBITDA1 4.3x Deleveraging journey supported by: 3.5x 3.2x • Strong FCF generation 2.8x 3.0x ~2.5-3x 2.6x 2.7x • Aligned annual incentives • Further wo
Slide 10: Our mid-term objectives
Our mid-term objectives Comparable Comparable Revenue growth1,2 operating Free Cash Flow2,3 ~4% profit growth1,2 ~€1.7bn p.a. ~7% Net Debt: Capex Dividend Comparable ROIC2,4 Comparable EBITDA2 payout ratio2,6 up~50bps p.a. ~4-5% 2.5x – 3.0x of revenue2,5 ~50% 1. Comparable & fx-neutral 2. Non-GAAP p
Slide 11: Together with our continued journey on productivity & efficiencies
Together with our continued journey on productivity & efficiencies 2016-19 2020-23 2024-28 €330m €350-395m €350-400m synergies through of efficiency & productivity & the CCEP merger combination savings efficiencies ~90% by end of FY22 Further supply chain efficiencies & leveraging global procurement
Slide 12: H1 24: Key messages
H1 24: Key messages More diverse & sustainable Solid first half, top & business operating within bottom-line growth resilient categories Continued to create value Reaffirming FY guidance, for our category in-line with our mid-term Confident in future: continue Continued stakeholder to invest for pro
Slide 13: H1 24: Key metrics
H1 24: Key metrics Solid top-line1 NARTD Value share gains4 Winning with customers Volume2 Revenue/UC3 Revenue3 In-store In-store Online Leading Sparkling Maintaining Fantastic customer high customer execution value creator service levels +0.6% +2.9% +3.5% +30bps +10bps +10bps Solid bottom-line1,3 S
Slide 14: Philippines: great strategic move
Philippines: great strategic move Provides further geographic diversification, doubling size of API (now renamed APS1) Acquired a majority stake in an established & well-run business in a highly attractive & growing market Opportunity to leverage best practice & talent, including supporting our tran
Slide 15: Established & well-run business in a highly attractive & growing market
Established & well-run business In a highly attractive & growing market Highly attractive market Established business with strong long-term macros with a solid track record • $8bn NARTD market1, expected to grow2 • ~655m unit cases, APS now ~1/3 of ~10% CCEP • ~6% 5-year GDP CAGR3 • 1st Coca-Cola ma
Slide 16: Indonesia 2023-27
Indonesia 2023-27 Low p/caps & favourable macro imply headroom for NARTD & sparkling NARTD CAGR1 >10% APAC average NARTD per cap 3x of Indonesia Strong Indonesia macro tailwinds NARTD/capita consumption (2021, L) to propel growth 8% Rising 2x 4th GDP growth middle class GDP per cap (’21-’50) (’21-’3
Slide 17: Indonesia: Making good progress with our long-term transformation
Indonesia Making good progress with our long-term transformation despite softer consumer backdrop Successfully streamlined our portfolio to focus on sparkling & RTD Tea Completed new price pack channel strategy incorporating deeper understanding of Indonesian consumer sensitivities & affordability S
Slide 18: H2 24: Excitement ahead for FY24 & beyond
H2 24: Excitement ahead for FY24 & beyond Balancing Boosting portfolio Strong execution affordability visibility with plans driving & premiumisation calendar events visibility & space Exciting Even more Fanta-stic innovation innovation Halloween in the Coke portfolio for Monster partnerships 18
Slide 19: FY24: Re-affirming guidance in-line with our mid-term objectives
FY24: Re-affirming guidance1,2,3 in-line with our mid-term objectives Revenue: growth of ~4% Cost of sales per unit case: growth of ~3% Operating profit: growth of ~7% Finance costs: weighted average cost of net debt of ~2% Comparable effective tax rate: ~25% Dividend payout ratio: c.50%4 Comparable
Slide 20: Solid track record on sustainability
Solid track record on sustainability Nov 2017 May 2021 Nov 2023 2015 Launched ‘This is Forward’ CCEP completed acquisition of CCA Approval from SBTi Set science-based sustainability Mar 2020 Nov 2022 of long-term 2040 net emissions reduction target action plan zero & 2030 GHG Launched LTIP Reviewed
Slide 21: Upcoming events and Investor Relations contacts
Investor Relations contacts Sarah Willett Upcoming events Vice President Sarah.Willett@ccep.com 5 November 2024: Q3 2024 Trading Update Raj Sidhu Associate Director Raj.Sidhu@ccep.com Further information Website: here Charles Richardson Director Charles.Richardson@ccep.com 21
Slide 22: Appendices
Appendices 22
Slide 23: Strengthened & trusted relationship with TCCC
Strengthened & trusted relationship with TCCC STRONG ALIGNMENT Shared vision to drive value growth & leverage data analytics & insights Product bottling Trademark owners Aligned financial plans & incentives Sales & distribution Concentrate supply Joint investment mindset Customer management Brand &
Slide 24: We aim to grow ahead of the market & grow value share
We aim to grow ahead of the market & grow value share 2021 2022 category €bn share2 Carbonates 39 7 46 ~61% Hydration 24 12 36 ~5% Energy 11 2 13 ~27% ~3-4% 2023-27e 8 ~9% CAGR1 RTD Tea 5 3 RTD Coffee 2 1 3 ~4% Juices & Other 19 5 24 ~6% + Philippines Total Europe 2022 API 2022 TOTAL 2022 ~€8bn NART
Slide 25: Carbon footprint of our packs
Carbon footprint of our packs Impact if paper cup used Glass 33cl Alu Can 33cl 50% rPET 50cl 100% rPET 50cl RefGlass 50cl Carton 25cl RefPET 50cl RefGlass 33cl Freestyle 50cl Fountain 50cl 50% 100% rPET rPET 25 1. Carbon emissions by pack type | gCO2e per customer unit | EU Product Environmental Foo
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