Celsius Holdings, Inc. · NASDAQ:CELH
Celsius — Investor Presentation (March 2020)
35 slides from Celsius's investor presentation, Mar 2, 2020
Slide 1: Investor Presentation
« INVESTOR cerswus PRESENTATION
Slide 2: Safe Harbor Statement
SAFE HARBOR STATEMENT This presentation may contain statements that are not historical facts and are considered forward looking within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on our man- agement's current beliefs, expectations and assumptions a
Slide 3: Mission
» CELSIUS. LIVE FIT MISSION Celsius Holdings, Inc. (Nasdaq: CELH)], founded in April, 2004, is a global company, with a proprietary, clinically proven formula for flagship brand CELSIUS? Our mission - to become the global leader of a branded portfolio which is proprietary, clinically proven or innov
Slide 4: Fastest Growing Category in Food & Beverage
a8 d=4h thse Fastest Growing Category in Food & Beverage” ENERGY BEVERAGE LANDSCAPE [U.S.) ENERGY DRINK MARKET - GLOBAL DOLLAR VOLUME CHANGE (MM) USDbn $1,000 $800 84.8 79: $600 cop tat 604 647 - 49g 528 © 965 : $400 45.9 “ $- Lee! rd 2016 2017 2018 + 2019 2020 2021 + 2022 © 2028 «2024 «= 2025 $200
Slide 5: Functional Energy
Slide 6: Energy drinks heading into the future riding a healthy buzz
()\| OF ENERGY (UN DRINKS ENERGY DRINKS ARE HEADING INTO THE FUTURE RIDING A HEALTHY BUZZ. Energy drink sales will between 2016-2025 for a total of USD with Healthy Functional Energy Drinks over indexing in growth Consumers demanding products with less sugar, and functional benefits. Strong traction
Slide 7: Investment Considerations
INVESTMENT CONSIDERATIONS KEY INVESTMENT HIGHLIGHTS DISRUPTIVE, 2 CAPITALIZING ON i} PROVEN, & HEALTH & WELLNESS PROPRIETARY THROUGH INNOVATIVE & FUNCTIONAL EXPANDING PORTFOLIO BEVERAGE Celsius - backed by multiple clinical / university studies - is the only functional drink that burns calories, red
Slide 8: Celsius Financial Positioning
CELSIUS FINANCIAL POSITIONING $60 $50 $40 $30 $20 $10 — FY2015 FY2016 FY2017 PAM O|MONTHS)YTD:2019) BB revenue [[] crossprorit [Jj % Marcin $0 (1) ACV represents the total annual sales volume of retailers that can be aggregated from individual store-level up to larger geographical sets
Slide 9: Celsius Brand Performance vs. Category
CELSIUS BRAND PERFORMANCE VS. CATEGORY CELSIUS BRAND TOP BRAND WITH ONLY 12.2% ACV CHANNEL COMMENTARY CS » The Company is outpacing the category CELSIUS. growth in the convenience channel 0 : by a measure of 5.2x ofa 44 a 5 Yo GROWTH OUTPACING GROWTH <@ » Per the latest SPIN 52-week ending December
Slide 10: Route to Market - Strong Customer Base
Route to Market — Strong Customer Base Increasing Penetration Across Major Distribution Channels to <65k TW» CELSIUS. LIVE FIT NATURAL CHANNEL THE FRESH MARKET Tedeschi = GROCERY Publix il SAFEWAY @ |< MARIANO’S EE O LA|FITNESS T— z ceviss Xepont ~canyzwe . Y's EJIN-SHAPE BOOTCAMP Walmart Save money
Slide 11: Placement
PLACEMENT: ENERGY, FUNCTIONAL EACH CHANNEL HAS A DEFINED PLACEMENT STRATEGY. CELSIUS. Cc NOURISH | | REFRESH REPLENISH
Slide 12: Route to Market - Distribution / Wholesale Network Foundation
ROUTE TO MARKET - DISTRIBUTION / WHOLESALE NETWORK FOUNDATION DSD - Benefits * Improved Store Execution * Increased SKU Placements * Improved Velocity Rates * Increased Distribution * Cost Savings Seenicts py. HARALAMBOS BEVERAGE COMPANY John Lenore & C0. BEVERAGE DISTREUTOR ISZ< Fy LEA WAV . L/ | \
Slide 13: Products, Position, Placement, Promotion
Cc’ PRODUCTS *POSITION cos »PLACEMENT ° PROMOTION \ arketing mix ( Product, Price, Place and Pro tion hub’s ¢ Bunt Tape marketer and a
Slide 14: Slide 14
Slide 15: Real Meaningful Emotional & Functional Connections
REAL MEANINGFUL EMOTIONAL & FUNCTIONAL CONNECTIONS CAMPUS PROTEIN Connecting with health conscious CELSIUS. consumers. Where they live, work and play, forging meaningful and = es emotional online and offline bonds m, with consumers.
Slide 16: Innovative Portfolio
a, a Ye) ; Ve Onn a PROTEIN Px. ROX } 2 ois JADE =: US f im °! 0/ PROTEIN “Ee ROK" OSS eee | | . m 200788 1e/ PROTEIN IZ ‘S INNOVATIVE PORTFOLIO (2st net ee eens
Slide 17: Celsius Fitness Drink
CELSIUS FITNESS DRINK ORAPEFRUITMELON RASPBERRY.ACAI PEACH PARKLING SPARKLING SPARKLING SPARKLING SPARKLING SPARKLING SPARKLING iN a COLA WILD BERRY ‘ORANGE KIWI GUAVA WATERMELON GRAPERUSH —_FUJIAPPLE PEAR a ooo OS “OSs ODT oem CELSIUS. CELSIUS CELSIUS CELSIUS CELSIUS CELSIUS CELSIUS CELSIUS CELSIUS
Slide 18: Proven: Accelerates Metabolism
PROVEN : ACCELERATES HETABOLISR FUNCTIONAL © tursscacones ENERGY = PROPRIETARY METAPLUS® BLEND BRAND ADDING CATEGORY VALUE ATTRACTING MILLENNIAL AND HEALTH CONSCIOUS CONSUMERS GP SUGAR Wj HIGH FRUCTOSE CORN SYRUP ARTIFICIAL COLORS / FLAVORS J} ASPARTAME SD PRESERVATIVES
Slide 19: How Does It Work?
['WORK? = CELSIUS” proprietary MetaPlus® formula, p including green tea with EGCG, ginger and guarana seed, turns on thermogenesis, a CE LSIUS. process that boosts your body's metabolic rate.” ! Drinking CELSIUS® prior to fitness activities ay is proven to energize, accelerate metabolism, . 3 burn b
Slide 20: Trends Pioneering Position: The Big Picture
TRENDS PIONEERING POSITION: THE BIG PICTURE CELSIUS PIONEERS NEW GROUND Masses are OVERVIEW leaving artificial HES = Functional beverages have emerged orsugary ceELsIus. —— as the fastest-g wing category in the carbonated peered 2 now firmly drink and other CELSIUS IS A PROVEN FITNESS DRINK s on hea
Slide 21: Heat & BCAA
HEAT & BCAA PERFORMANCE ENERGY ERGY” y Yad ce] 4 » Celsius Heat is a great-tasting CELSIUS. CELSIUS. carbonated pre-workout that HEAT HEAT. HEAT HEAT. HEAT HEAT. contains 2,000mg of L-Citrulline and 300mg of caffeine. Celsius Heat oi PROVEN PERFORMANCE VEN PERFORMANC PROVEN PERFORMANCE has been desi
Slide 22: FAST Sports Nutrition
FAST Sports Nutrition “ FAST Ready To Drink Beverages aa EAiil; FAST Special Product Lines 136 or 7 Ten CuhehfEbconst YZAST- es apomnives 50" FAST Sports Nutrition focuses on sports nutrition development, manufacture, and marketing. FAST has been a market leader since 2001. The FAST Sports Nutrition
Slide 23: Global Expansion
GROWING FRC aent GLO BAL = = Finland expansion launched in 2016 EXPANS | 0) N . accelerates growth N launch Feb! f 2018 Globally defined territories ASIA DISTRIBUTION _ , . Since product launch in Norway, the business which currently provide PAI is still in an emerging phase and the Company marketin
Slide 24: Growth Strategy | Short-Term Innovation Pipeline
GROWTH | SHORT-TERM STRATEGY | !NNOVATION PIPELINE — BUILD THE CORE Build upon the current product lines with new flavor launches. EXPANSION Expansion of products into adjacent categories. DISRUPT THE MARKET _ !ntroduce new products to the marketplace. Build Brand Equity - Increase Portfolio Breath
Slide 25: Strategic Road Map
STRATEGIC ROAD MAP Engage and inspire consumers to live an active healthy lifestyle and to partner with our brands for all facets of life! Build brands consumers love in emerging on-trend categories to drive growth and shareholder value. LIVE FIT ~~ Ri» CELSIUS INCREASE SHAREHOLDER VALUE
Slide 26: Celsius Financials
CELSIU FINANCIA CELSIUS. > CELSIUS. CELSIUS. HEAT. r OMe fr) <_ CELSIUS. LIVE FIT
Slide 27: Celsius Financial Performance
Celsius Financial Performance Despite some seasonality & International orders, business reflects an overall continued growth Financial Profile YoY Growth Trends in Revenue By Quarter (Unaudited) 20.0 $60 $53 $18.0 $50 a cas $16.1 gaa $16.0 $14.6 $14.5 BA 39) __ $40 $ $36 $14.0 ; ae < $12.0 8 = $30 $
Slide 28: Celsius Financial Performance (cont'd)
Celsius Financial Performance (cont’d) “ CELSIUS. wp Strong gross margin profile and highly scalable business model Growth Margin Profile Gross Profit “Normalization” by Year At current size, generating operating losses 51.8% 50.4% Gross profit profile allows for meaningful operations margins at sca
Slide 29: Q3 2019 Financial Snapshot
Q3 2019 Financial Snapshot C CELSIUS. LIVE FIT Revenue $20.4m, up 23% - North America Revenue $16.8m, up Gross Profit $8.6m - Gross Margin , excluding Outbound Freight 51% Net Income $1.0m Non-GAAP Adjusted EBITDA $2.6m Cash $20.5m Total Inventory $8.8m Total Shares Outstanding 68.9 M
Slide 30: Key Investors
Key Investors ° \» CELSIUS LIVE FIT Former Founder and Chairman of ReXall Sundown Inc. which he built into the world’s leading nutritional supplement supplier, sold for $1.8 billion in 2000 Horizons Ventures: investment arm of Mr. Li Ka-Shing. Asia’s wealthiest individual. Assets include over 15,000
Slide 31: Executive Management
Executive Management JOHN FIELDLY — PRESIDENT & CEO Key soe cane + Over 20 years of broad financial and operational experience with extensive consumer goods background Management a * Held leadership roles at Lebhar-Friedman, a B28 Media Company that served the retail industry . + Began his career in
Slide 32: Board of Directors
CELSIUS. ®W» i BOARD OF DIRECTOR LIVE FIT William H. Milmoe CO-CHAIRMAN Kevin Harrington John Fieldly DIRECTOR DIRECTOR Finance and accountin = . @ € © New product development Gg President CDS International - Holdings gG TV show “Shark Tank” alumni g Launched over 500 products “As seen on TV” infome
Slide 33: Key Take Aways
KEY TAKE AWAYS m RESOUNDING CONSUMER DEMAND - TREND FORWARD m RAPIDLY GROWING REVENUES AND GROSS PROFITS m EXPANDED PRODUCT OFFERING m@ INNOVATIVE PORTFOLIO CAPITALIZING ON HEALTH & WELLNESS TRENDS m™ TRANSFORMING OPERATIONS FOR SCALE m= DISCIPLINED DATA DRIVEN TEAM
Slide 34: Company Contacts
Oo CELSIUS. ® @ LIVE FIT ©) CELSIUS HOLDINGS, INC. COMPANY CONTACTS @ John Fieldly, CEO Celsius Holdings, Inc Q 561.276.2239 &G p=) jfieldly@celsius.com Edwin Negron, CFO Celsius Holdings, Inc 561.900.2351 enegron@ celsius.com ac On'>) INVESTOR RELATIONS Cameron Donahue, Partner Hayden IR 651.653.18
Slide 35: China Business Model - Cashflow Recap
China Business Model - Cashflow Recap - APPENDIX “Ccetsius China Business Model Recap X-Rate 6.72 Cash Summary Royalty Interest Principal USD Payments Payments Payments Total % 2020 360,000 391,144 1,223,170 1,974,314 10% 2021 790,705 372,784 1,834,755 2,998,245 14% 2022 1,517,486 336,992 2,446,340
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