Asahi Group Holdings Ltd · TSE:2502

Asahi — H1 2021 Earnings Presentation

36 slides from Asahi's earnings presentation, August 2021

Slide 2: Executive Summary
Executive Summary H1 Overview ＜Results＞・ Attained record high financial performance by the growth of Soft Drinks and Oceania Business including CUB consolidation ・ Progress with innovation and diverse high-value-added strategies that are responsive to changes in business environments of each region
Slide 3: COVID-19 Impacts (by Region)
COVID-19 Impacts (by Region) ◆ Monthly Beer Sales in the Key Businesses (January 2020 - June 2021) 【Domestic Alcohol Business】 H1 2021 Revenue: -8％ YoY 20% *Beer-type Beverages value basis ・ Rate of decline increased again from January 2021 onward 10% due to a further state of emergency declaration
Slide 4: Overview and Direction for Alcohol Beverages Business
Overview and Direction for Alcohol Beverages Business H1 Overview ◆ Promoted revitalization of core brands as well as creation of new markets (launches of Nama Jokki Can and BEERY) ◆ Challenges remain, such as strengthening response to the negative impact of the on- premise channel, including furthe
Slide 5: Initiatives for Off-Premise Beer
Initiatives for Off-Premise Beer ◆ Year-On-Year Growth in Beer Cans and New Genre Cans <Market> <Asahi Super Dry Can Results> 25% (YoY in Volume) 20% 15% 10% 5% 0% -5% Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun -10% 2020 2021 -15% -20% -25% Source: Intage SRI+ Beer Can a
Slide 6: Initiatives for Minimal Alcohol Category
Initiatives for Minimal Alcohol Category Estimated Market Value of Beer-taste ◆Initiatives for BEERY and Minimal Alcohol Beverages Beer-taste Except BEERY Total of Two BEERY Items ・Can drink it while doing housework ・Great that it doesn’t affect me the Total of Beer-taste following day (inc. Two BEE
Slide 7: Overview and Direction for Soft Drinks Business
Overview and Direction for Soft Drinks Business H1 Overview ◆ Product mix improvement especially for carbonated drinks and coffee; advanced earnings structure reforms by streamlining costs ◆ Challenges include strengthening new value proposals in the health domain and improving channel mix including
Slide 8: Soft Drinks Business
Soft Drinks Business ◆ Initiatives for Carbonated Drinks Continued to grow faster than market, driven by MITSUYA and Responded to lifestyle changes by launching new MITSUYA WILKINSON products and strengthening original recipe ideas for WILKINSON YoY (market) YoY (Asahi) Jan-Jun 2021 Volume YoY MITSU
Slide 9: Overview and Direction for Food Business
Overview and Direction for Food Business H1 Overview ◆ Fixed costs streamlined. Product marketing responsive to changes in business environment led, for example, to sharp sales growth of Ippon Manzoku Bar. ◆ Challenges include cultivating new markets, and a sales recovery for Mintia, which continues
Slide 10: Food Business
Food Business ◆ Initiatives to Create New Value Consistent with the “New Normal” <Ippon Manzoku Bar> <Dear Natura> <Amano Foods> Strengthened Protein series Enhanced basic supplements, Reinforced sales promotion of product range protein, and products Zeitaku series and assortment containing lactic a
Slide 11: Overview and Direction for Europe Business
Overview and Direction for Europe Business H1 Overview ◆ Premiumisation in the off-premise channel, development of innovative products, with strengthening of cost control. ◆ Challenge: Improving the deteriorated channel mix caused by the on-premise sales decrease under the Covid-19 restrictions main
Slide 12: (Reference) Recovery in Major Countries (Europe)
(Reference) Recovery in Major Countries (Europe) ◆ Monthly Beer Sales Volume in the Key Countries (January 2020 - June 2021) 【Czech】 H1 2021：Sales Volume -7％【Poland】 H1 2021：Sales Volume -2％ FY2019 ：On-premise Ratio approx.40％ FY2019 ：On-premise Ratio Mid-single Digit 30% 20% 20% 10% 10% 0% 0% Jan
Slide 13: Our Strategy for Global Brands
Our Strategy for Global Brands ◆ Our Five Global Brands Asahi Super Dry & Peroni Nastro Azzurro Kozel, Pilsner Urquell & Grolsch are our priority global brands and we aim to will be expanded selectively to strengthen scale them everywhere. our premium portfolio. ◆ Marketing Activities for Top Priori
Slide 14: Overview and Direction for Oceania Business
Overview and Direction for Oceania Business H1 Overview ◆ Continued competitive advantage by strengthening marketing of core brands and creating integration synergies ◆ Nurture new growing categories, such as non alcohol beer Future Direction ◆ Enhance the robust brand portfolio and promote premium
Slide 15: Oceania Business
Oceania Business ◆ Expansion of the Contemporary Beer Category (Jan-Jun 2021) <Australian Beer Market by Segment> (Jan-Jun 2021) Premium Domestic Market Share of Contemporary Beer Market Growth +3％ Premium International Our Growth +9％ Contemporary Asahi Craft 72% Source: IRI, volume basis, year-on-y
Slide 16: Sustainability Strategy (Environment): Environmental Vision 2050
Sustainability Strategy（Environment） Asahi Group Environmental Vision 2050 Pass on nature’s gifts to the next generation based on the “Neutral & Plus” concept Zero Environmental Impact（“Neutral”） Creating Environmental Value（“Plus”） Make sustainable use Respond to climate of resources Utilize microo
Slide 17: Sustainability Strategy (Community)
Sustainability Strategy （Community） Global activity slogan ”RE:CONNECTION” Connections between people, people and communities, and communities and other ones Key “Community” Issues Food Regional Environment Disaster Relief Resolve food Connect nature and society to Assist those whose daily lives rel
Slide 18: Sustainability Strategy (Responsible Drinking)
Sustainability Strategy （Responsible Drinking） Global Activity Slogan Responsible Drinking Ambassador To eliminate inappropriate drinking and create new drinking opportunities, we promote non alcohol beverage strategies across the entire Group Japan Europe Oceania Aiming for a sales volume ratio Aim
Slide 19: (Reference) ESG Awards Received and Indices Inclusion
(Reference) ESG Awards Received and Indices Inclusion Included in FTSE4 Good Index Included in FTSE Blossom Japan Index five Series 19 years running years running CDP surveys ・ On Climate Change A List three years in a row ・ Included in Supplier Engagement Included in MSCI Japan Empowering Leader Bo
Slide 20: Overview of Financial Results for H1 2021 & Full Year Forecasts
REFERENCE Overview of Financial Results for H1 2021＆ Full Year Forecasts * The effects of change from 1 to 5 below resulting from business reorganization effective January 1, 2021 were reflected in figures from the beginning of 2021 and comparable previous year’s results in 2020. 1 We transferred Na
Slide 21: Financial Results Highlights (Constant Currency Basis)
Financial Results Highlights (Constant Currency Basis) ◆ Core Operating Profit for H1 increased by 63.8%, exceeding the plan, due to overachievement in Soft Drinks, Food and Overseas, despite underachievement in Alcohol Beverages. ・Alcohol Beverages: YoY decline in revenue and profit due to the sale
Slide 22: Financial Results Highlights (Actual Currency Basis)
Financial Results Highlights (Actual Currency Basis) ＜Revenue and Core Operating Profit （Actual Currency Basis）＞ (JPY billion) 2021 H1 (6 Months Ended June 30) 2021 Forecast (Announced on August 10) Against YoY (Amount / %) Against Target YoY (Amount / %) Initial Target Alcohol Beverages Business 31
Slide 23: Alcohol Beverages Business (Revenue of Beer-type/Sales Volume by Brands)
Alcohol Beverages Business (Revenue of Beer-typed/Sales Volume by Brands) <Sales Volume by Brands> (Millions of cases) <Market Trend> (Volume basis) 2021 H1 (6 Months Ended June 30) 2021 Forecast (Announced on August 10) 2021 Against H1 YoY YoY (Amount / %) Against Target YoY (Amount / %) Est. YoY I
Slide 24: Alcohol Beverages Business (Revenue)
Alcohol Beverages Business (Revenue) <Revenue> (JPY billion) 2021 H1 (6 Months Ended June 30) 2021 Forecast (Announced on August 10) Against YoY (Amount / %) Against Target YoY (Amount / %) Initial Target Asahi Breweries Revenue 315.8 - 24.0 - 7.1% - 38.0 740.6 - 4.6 - 0.6% - 39.9 Other/elimination
Slide 25: Alcohol Beverages Business (Core OP)
Alcohol Beverages Business (Core OP) <Core Operating Profit> (JPY billion) 2021 H1 (6 Months Ended June 30) 2021 Forecast (Announced on August 10) Against YoY (Amount / %) Against Target YoY (Amount / %) Initial Target Change in sales, category and container mix - - 6.0 - 12.7 - 6.0 - 11.6 Cost redu
Slide 26: Soft Drinks Business (Sales Volume)
Soft Drinks Business (Sales Volume) <Sales Volume> (Millions of cases) <Market Trend> 2021 H1 (6 Months Ended June 30) 2021 Forecast (Announced on August 10) 2021 Against H1 YoY YoY (Amount / %) Against target YoY (Amount / %) Est. YoY Initial Target Carbonated drinks 38.53 0.97 2.6% 0.30 82.50 4.30
Slide 27: Soft Drinks Business (Core OP)
Soft Drinks Business (Core OP) <Core Operating Profit> (Millions of Cases / JPY billion) 2021 H1 (6 Months Ended June 30) 2021 Forecast (Announced on August 10) Against YoY (Amount / %) Against Target YoY (Amount / %) Initial Target Sales Volume Total 119.86 1.11 0.9% - 3.40 256.00 7.33 2.9% - 6.00
Slide 28: Food Business (Revenue/Core OP)
Food Business (Revenue/Core OP) <Revenue> (JPY billion) 2021 H1 (6 Months Ended June 30) 2021 Forecast (Announced on August 10) Against YoY (Amount / %) Against Target YoY (Amount / %) Initial Target Asahi Group Foods 60.7 0.9 1.5% - 0.9 128.4 5.2 4.2% - Other / elimination 0.2 0.1 55.9% 0.0 0.3 0.0
Slide 29: Overseas Business (Revenue, Constant Currency Basis)
Overseas Business (Revenue ※Constant Currency Basis) <Revenue (including Liqour Tax) *Constant Currency Basis (Based on Previous Year's FX Rates)> (JPY billion) 2021 H1 (6 Months Ended June 30) 2021 Forecast (Announced on August 10) Against YoY (Amount / %) Against Target YoY (Amount / %) Initial Ta
Slide 30: Overseas Business (Core OP, Constant Currency Basis)
Overseas Business (Core OP ※Constant Currency Basis) <Core Operating Profit *Constant Currency Basis (Based on Previous Year's FX Rates)> (JPY billion) 2021 H1 (6 Months Ended June 30) 2021 Forecast (Announced on August 10) Against YoY (Amount / %) Against Target YoY (Amount / %) Initial Target Euro
Slide 31: Overview of Europe Business Results
Overview of Europe Business Results ◆ Results on Local Currency Basis *Excluding the impact of currency translation of local currencies into Euro khl、million Euro H1 2021 (6 months FY2021 Against YoY*2 YoY*2 ended June 30) Revised Target Initial Taget*3 Sales Volume 19,695 2% 42,549 5% -2% Net Sales
Slide 32: Overview of Oceania Business Results
Overview of Oceania Business Results ◆ Results on Local Currency Basis million AUD H1 (6 months Full-year forecast Against YoY *3 YoY *3 ended June 30) (as of Aug 10) initial taget Alcohol Beverages *1 1,420 201% 2,954 40% 10 Non-alcohol Beverages *1 557 10% 1,178 6% - 35 Net Sales (exc liquor tax)
Slide 33: Operating Profit/Profit Attributable to Owners of Parent
Operating Profit/Profit Attributable to Owners of Parent (JPY billion) 2021 H1 (6 Months Ended June 30) 2021 Forecast (Announced on August 10) Against YoY (Amount / %) Against Target YoY (Amount / %) Initial Target Revenue 1,033.6 159.3 18.2% - 33.9 2,276.0 248.2 12.2% - 20.0 Core Operating Profit 8
Slide 34: Statement of Financial Position and Statement of Cash Flow
Statement of Financial Position and Statement of Cash Flow (JPY billion) 2021 H1 (6 Months Ended June 30) 2021 Forecast (Announced on August 10) Against YoY (Amount / %) YoY (Amount / %) Initial Target Total Assets 4,566.2 126.8 2.9% 4,474.0 34.6 0.8% 154.0 Total Equity 1,706.7 188.8 12.4% 1,676.0 1
Slide 35: Reference: FX Impact
＜Reference＞FX Impact ◆ FX Impact on P/L (Result and Forecast) ◆ FX Sensitivity for 2021 <Impact of 1 Yen Change (Full Year)> (JPY billion) H1 2021 forecast (JPY billion) (6 months (announced on Business Currrency Currency Assumption Revenue Core OP ended June 30) August 10) Results Forecast Euro 129
Slide 36: Information in this material is not intended to solicit sale or purchase of shares
Information in this material is not intended to solicit sale or purchase of shares in Asahi Group Holdings. The views, estimates and other information expressed in this document are based on the company's judgment at the time of publication, and no guarantees are provided regarding the accuracy of s

Asahi Group Holdings — H1 2021 Earnings Presentation on 6ix

Asahi — H1 2021 Earnings Presentation

Slide 1: Financial Results Presentation for H1 2021

Slide 2: Executive Summary

Slide 3: COVID-19 Impacts (by Region)

Slide 4: Overview and Direction for Alcohol Beverages Business

Slide 5: Initiatives for Off-Premise Beer

Slide 6: Initiatives for Minimal Alcohol Category

Slide 7: Overview and Direction for Soft Drinks Business

Slide 8: Soft Drinks Business

Slide 9: Overview and Direction for Food Business

Slide 10: Food Business

Slide 11: Overview and Direction for Europe Business

Slide 12: (Reference) Recovery in Major Countries (Europe)

Slide 13: Our Strategy for Global Brands

Slide 14: Overview and Direction for Oceania Business

Slide 15: Oceania Business

Slide 16: Sustainability Strategy (Environment): Environmental Vision 2050

Slide 17: Sustainability Strategy (Community)

Slide 18: Sustainability Strategy (Responsible Drinking)

Slide 19: (Reference) ESG Awards Received and Indices Inclusion

Slide 20: Overview of Financial Results for H1 2021 & Full Year Forecasts

Slide 21: Financial Results Highlights (Constant Currency Basis)

Slide 22: Financial Results Highlights (Actual Currency Basis)

Slide 23: Alcohol Beverages Business (Revenue of Beer-type/Sales Volume by Brands)

Slide 24: Alcohol Beverages Business (Revenue)

Slide 25: Alcohol Beverages Business (Core OP)

Slide 26: Soft Drinks Business (Sales Volume)

Slide 27: Soft Drinks Business (Core OP)

Slide 28: Food Business (Revenue/Core OP)

Slide 29: Overseas Business (Revenue, Constant Currency Basis)

Slide 30: Overseas Business (Core OP, Constant Currency Basis)

Slide 31: Overview of Europe Business Results

Slide 32: Overview of Oceania Business Results

Slide 33: Operating Profit/Profit Attributable to Owners of Parent

Slide 34: Statement of Financial Position and Statement of Cash Flow

Slide 35: Reference: FX Impact

Slide 36: Information in this material is not intended to solicit sale or purchase of shares