Jeronimo Martins, Sgps S.a. · EURONEXT:JMT
Jeronimo Martins, Sgps — Jerónimo Martins — Q1 2017 Earnings Presentation
19 slides from Jeronimo Martins, Sgps's earnings presentation, Apr 21, 2017
Slide 1: 1st Quarter 2017 Results
1s* Quarter 2017 Results Lisbon, 21 April 2017
Slide 2: Index
Q1 2017 RESULTS INDEX KEY KEY MESSAGES FIGURES 5. FINAL REMARKS & OUTLOOK SALES PERFORMANCE Q JERONIMO MARTINS. EBITDA PERFORMANCE
Slide 3: Q1 2017 Key Messages: Good start to the year
Q1 2017 RESULTS 1. Q1 2017 KEY MESSAGES Positive consumer environment in Poland Intense competitive backdrop in all our markets — Poland, Portugal and Colombia Promotions continuing to play a key role in Poland and Portugal Value-orientated consumers accross the markets Q JERONIMO MARTINS. Focus on
Slide 4: Key Figures (i)
Q1 2017 RESULTS 2. KEY FIGURES (i) Q JERONIMO MARTINS. (Mn ©) Q1 16 Q117 Net Sales & Services 3376 > +9.0% > 3,679 excluding F/X +7.9% EBITDA 13 4.6% —! 192 excluding F/X +5.1% EBITDA Margin 5.4% 5.2% Net attributable Results = +0.4% — 78 excluding non-recurrent 7 — 41.0% — 78 EPS 0.12 0.12 excludin
Slide 5: Key Figures (ii) Income Statement
on 2087 Q JERGNIMO MARTINS 2. KEY FIGURES (ii) INCOME STATEMENT Q1 (Mn €) Q1 17 Ql 16 Change Net Sales and Services 3,679 3,376 9.0% Gross Profit 778 21.2% 711 21.1% 9.5% Operating Costs -586 -15.9% -527 -15.6% 11.2% EBITDA 192 5.2% 183 5.4% 4.6% Depreciation -78 -2.1% -73 -2.2% 6.4% EBIT 114 3.1% 1
Slide 6: Key Figures (iii) Cash Flow
Q1 2017 RESULTS 2. KEY FIGURES (iii) Q JERONIMO MARTINS. CASH FLOW ome Qli7— Qi 16 EBITDA 192 183 Interest Payment -2 -3 Other Financial Items ie) ie) Income Tax -60 -38 Funds From Operations 129 142 Capex Payment -123 -93 Change in Working Capital -206 -67 Others =I ie) Free Cash Flow -200 -17
Slide 7: Key Figures (iv) Balance Sheet
Q1 2017 RESULTS 2. KEY FIGURES (iv) BALANCE SHEET one) Ql 17 2016 Qi 16 Net Goodwill 643 630 641 Net Fixed Assets 3,284 3,180 3,072 Total Working Capital -2,027 -2,201 -1,926 Others 77 46 96 Invested Capital 1977 1,656 1,883 Net Debt -135 -335 211 Non Controlling Interests 256 253 255 Share Capital
Slide 8: Sales Performance | Group
Q1 2017 RESULTS 3. SALES PERFORMANCE | GROUP Contribution to Group Sales Growth (Mn €) 221 6 13 36 3,643 36 3,679 7.9% Q116 Biedronka Pingo Recheio Ara& Others Q117 excl. FX Q117 Doce Hebe FX Q JERONIMO MARTINS. Sales by banner (Bn €) 3.0 25 =Q116 mQ117 2.0 15 1.0 0.5 +81.8% +33.9% 0.0 Biedronka Pin
Slide 9: Sales Performance | Biedronka
on 2087 Q JERGNIMO MARTINS 3. SALES PERFORMANCE | Gums LFL SALES GROWTH SALES (Mn €) 11.9% 9.9% 8.5% 8.4% 844 155 2,503 24 2,527 7.6% 2282 i § at Q2 Q3 a4 ai Q116 LFL New& Q117 FX Q117 Refurb. excl. FX @ 2016 B 2017 Biedronka’s strong consumer focus boosting LFL growth = LFL growth of 8.4% in the qu
Slide 10: Sales Performance | Hebe
on 2087 Q JERGNIMO MARTINS 3. SALES PERFORMANCE | de SALES (Mn €) STORE NETWORK 153 159 135 135 141 27 at so i i ; : Q116 Sales “at a excl FX Q117 increase Qi16 H116 Q316 2016YE Q117 Refining the model = Good sales delivery in the quarter = 6 net store additions to the network, counting with 159 loc
Slide 11: Sales Performance | Pingo Doce
on 2087 Q JERGNIMO MARTINS 3. SALES PERFORMANCE | Fegrgaaatan LFL SALES GROWTH (EXCL. FUEL) SALES (Mn €) 17 823 -11 —— 3 817 2.6% 2.1% 1.3% -1.4% -1.4% ’ Q116 LFL New & Q117 2016 2017 Refurb. Strong value proposition in place = LFL (excl. fuel) growth of -1.4%, impacted by the absence of Easter and
Slide 12: Sales Performance | Recheio
Q1 2017 JERONIMO MARTINS RESULTS Q , 3. SALES PERFORMANCE | (CRECHEIO LFL SALES GROWTH SALES (Mn €) 6.8% 5.9% 4 LL a1 G2 @3 oa a1 Q116 New& Qii7 M2016 2017 Refurb. Competitiveness and well-fitted model allowing strong sales performance = LFL growth of 5.2% in the period = Favourable HoReCa environme
Slide 13: Sales Performance | Ara
Q1 2017 RESULTS Q JERONIMO MARTINS “ 3. SALES PERFORMANCE | GQ): Alegria al mejor precio SALES (Mn €) STORE NETWORK 244 221 183 150 161 ; Qi16 ; Sales Q1 17 excl FX Q117 Q116 H116 Q3 16 2016YE Q117 increase FX Three key priorities - Improving the Model, Increasing Consumer Intelligence and Accelerat
Slide 14: EBITDA Performance (i)
on 2087 Q JERGNIMO MARTINS 4. EBITDA PERFORMANCE (i) CONTRIBUTION TO CONSOLIDATED EBITDA GROWTH (Mn €) 183 a 193 192 Q116 Biedronka Distribution Ara & Hebe Others Q117 excl. FX FX Q117 Portugal " EBITDA of €192 mn in the quarter, a growth of 4.6% " Ara’s losses evolution reflecting H1 challenging co
Slide 15: EBITDA Performance (ii)
Q1 2017 RESULTS 4. EBITDA PERFORMANCE (ii) EBITDA Margin Biedronka Distribution Portugal JM mQ116 ™Q117 Q JERONIMO MARTINS. Group EBITDA margin down on previous year due to Ara’s losses evolution in this quarter Excluding start-up losses, Group EBITDA margin was 6.0% Biedronka’s LFL growth and focus
Slide 16: Final Remarks & Outlook (i)
Q1 2017 RESULTS 5. FINAL REMARKS & OUTLOOK (i) In Poland, we maintain a positive outlook on the consumption environment In Portugal, we expect a stabilized consumer backdrop with HoReCa still benefitting from tourism In Colombia, we will give priority to expansion with emphasis to Bogota region Q JE
Slide 17: Final Remarks & Outlook (ii)
on 2087 Q JERGNIMO MARTINS 5. FINAL REMARKS & OUTLOOK (ii) In our two main markets Ara EBITDA losses to we keep a cautious view increase due to investment over labour costs in the organization and on infrastructure Both markets should maintain strong The Group capex promotional activity expected to
Slide 18: Disclaimer
on 2087 Q JERGNIMO MARTINS Disclaimer Statements in this presentation that are forward-looking statements are based on current expectations of future events and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such stateme
Slide 19: 1st Quarter 2017 Results
1s* Quarter 2017 Results Lisbon, 21 April 2017