Tiger Brands Limited · JSE:TBS

Tiger Brands — FY2013 Earnings Presentation

90 slides from Tiger Brands's earnings presentation, November 2013

  1. Slide 1: Tiger Brands Limited Results Presentation to Investors

    www.tigerbrands.co.za TIGER BRANDS LIMITED RESULTS PRESENTATION TO INVESTORS for the Year ended September 2013

  2. Slide 2: Agenda

    2 Group Grains Consumer Brands Nigeria Exports and International Agenda Business Strategic Review Financial Analysis Performance Grains Business Business Performance Performance Outlook Consumer Brands International

  3. Slide 3: Strategic Review

    www.tigerbrands.co.za Strategic Review Peter Matlare Chief Executive Officer

  4. Slide 4: Overview

    4 Group Grains Consumer Brands Nigeria Exports and International Overview • Trading conditions in South Africa remain challenging – On-going financial pressures on Consumers – Intensely competitive landscape with manufacturers and retailers vying for volume growth – Higher input costs and inability

  5. Slide 5: Overview

    5 Group Grains Consumer Brands Nigeria Exports and International Overview • Positive strides made in strategic journey towards building a sustainable platform – Strategic initiatives outlined in prior year aimed at regaining volume share in the domestic market starting to bear fruit, albeit with som

  6. Slide 6: Global economy slow to recover, but Sub-Sahara Africa growth encouraging

    6 Group Grains Consumer Brands Nigeria Exports and International Global economy slow to recover, but Sub-Sahara Africa growth encouraging Y-o-Y % change 2012 2013 2014 Economic growth Global 3.2 2.9 3.6 • IMF outlook for global GDP growth revised downwards in 2013, slow recovery Advanced Markets 1.5

  7. Slide 7: Context for Performance

    7 Group Grains Consumer Brands Nigeria Exports and International Context for Performance 8 Real GDP growth • Slowdown in domestic GDP growth expected in 2013 due to weak global 6 demand and adverse effect of 4 industrial unrest YoY % change 2 0 • Negative impact of unemployment, high debt levels and

  8. Slide 8: Market trends show slow recovery

    8 Group Grains Consumer Brands Nigeria Exports and International Market trends show slow recovery (categories in which Tiger participates ) Total South Africa Market recovery slow Category Volume and Value Growth Trends • Volumes show small positive recovery 10,00 over the last 12 months compared to

  9. Slide 9: Progress on business strategy - Domestic

    9 Group Grains Consumer Brands Nigeria Exports and International Progress on business strategy - Domestic Domestic performance disappointing Volume & • However, cost saving programme delivers Sales Growth good returns – Common ERP platform Operating – Shared F & A service Brand investment Leverage &

  10. Slide 10: Solid top-line organic growth boosted by contribution from acquisitions

    10 Group Grains Consumer Brands Nigeria Exports and International Solid top-line organic growth boosted by contribution from acquisitions 28,0 R'billions 27,0 26,0 10,7% R27,0bn 25,0 +8,4% Organic Growth 1,9% 0,6% 24,0 5,8% 23,0 22,0 R22,7bn 22,7 22,7 22,7 22,7 21,0 20,0 2012 Turnover Pricing inflat

  11. Slide 11: Tough trading performance in Milling, Groceries and DFM

    11 Group Grains Consumer Brands Nigeria Exports and International Tough trading performance in Milling, Groceries and DFM 3 500,0 3 400,0 -5,2% 3 300,0 +10,7% 3 200,0 -5,1% -11,2% -0,8% 3 100,0 R3,5bn 3 000,0 2 900,0 R3,1bn 2 800,0 2012 EBIT Milling Groceries Rice Rest of Group DFM 2013 EBIT (ex DFM

  12. Slide 12: International expansion gains traction but much work to do at DFM

    12 Group Grains Consumer Brands Nigeria Exports and International International expansion gains traction but much work to do at DFM • DFM adds significant scale to Tiger’s operations in core categories in which Tiger has expertise and strengthens the group’s pan- African expansion strategy – Potenti

  13. Slide 13: HEPS (Cents) Year-ended September

    13 Group Grains Consumer Brands Nigeria Exports and International HEPS (Cents) Year-ended 30 September 1 800 1 781 1 750 1 700 1 689 5,4% 1 650 (Excl DFM) 1 624 1 600 (3,8%) 1 550 (Incl DFM) 1 500 2012 2013 2 013 *2013 includes earnings from discontinued operations - Dangote Agrosacks

  14. Slide 14: Total Distributions – Cents per share

    14 Group Grains Consumer Brands Nigeria Exports and International Total Distributions – Cents per share 880 865 860 850 840 820 800 +1,8% 780 760 740 720 700 2012 2013

  15. Slide 15: Financial Analysis

    www.tigerbrands.co.za Financial Analysis Funke Ighodaro Chief Financial Officer

  16. Slide 16: Trading Results

    16 Group Grains Consumer Brands Nigeria Exports and International Trading Results Revenue EBIT Operating margin % % Rm 2013 2012 Change 2013 2012 Change 2013 2012 Domestic businesses 20 250 19 043 6.3 2 881 3 023 (4.7) 14.2 15.9 Exports and International 4 424 3 634 21.7 580 451 28.6 13.2 12.4 (excl

  17. Slide 17: Income statement for the year ended September

    17 Group Grains Consumer Brands Nigeria Exports and International Income statement for the year ended September % Rm 2013 2012 Change Turnover 27 003 22 677 19.1 Operating income 3 072 3 474 (11.6) Income from investments 17 20 (15.0) Net financing charges (379) (138) - Income from Associates 515 41

  18. Slide 18: Income statement for the year ended September

    18 Group Grains Consumer Brands Nigeria Exports and International Income statement for the year ended September % Rm 2013 2012 Change Profit after taxation before abnormal items 2 394 2 749 (12.9) Abnormal items after tax (5) (1) - Non controlling interest 119 (30) - Profit from Continuing Operation

  19. Slide 19: Turnover by operating segment

    19 Group Grains Consumer Brands Nigeria Exports and International Turnover by operating segment Rm 2013 2012 % Change TOTAL REVENUE - Continuing Operations 27 003 22 677 19.1 DOMESTIC OPERATIONS 20 250 19 043 6.3 Grains 9 735 8 853 10.0 Milling and Baking 7 243 6 682 8.4 Other Grains 2 492 2 171 14.

  20. Slide 20: Contribution to turnover

    20 Group Grains Consumer Brands Nigeria Exports and International Contribution to turnover 2013 2012 Nigeria Nigeria Exports and 2% Milling and Milling and 10% International Baking Baking Exports and 27% 14% 29% International HPCB 15% 8% OOH HPCB 2% 7% OOH VAMP 2% 6% Other Grains 8% Other Grains VAM

  21. Slide 21: Operating income before abnormal items

    21 Group Grains Consumer Brands Nigeria Exports and International Operating income before abnormal items Operating Income % % Operating margins Rm 2013 2012 Change 2013 2012 Operating Income - Continuing Operations 3 072 3 474 (11.6) 11.4 15.3 DOMESTIC OPERATIONS 3 015 3 201 (5.8) 14.9 16.8 Grains 1

  22. Slide 22: Contribution to operating income

    22 Group Grains Consumer Brands Nigeria Exports and International Contribution to operating income 2013 2012 Nigeria Other Costs Nigeria Other Costs (13%) (5%) Milling and Exports and 0% (7%) Milling and Baking International Baking 45% 13% Exports and 42% International HPCB 19% 13% OOH HPCB 2% 14% O

  23. Slide 23: Abnormal items for the year ended September

    23 Group Grains Consumer Brands Nigeria Exports and International Abnormal items for the year ended September Rm 2013 2012 Profit on disposal of Intangible Asset - 36 Acquisition costs (15) (25) Profit on disposal of property, plant and equipment 11 - Write-off of intangible assets (3) - Other 4 (6)

  24. Slide 24: Reconciliation between profit for the year and headline earnings

    24 Group Grains Consumer Brands Nigeria Exports and International Reconciliation between profit for the year and headline earnings Rm 2013 2012 Profit attributable to ordinary shareholders 2 508 2 718 Associates - Headline earnings adjustments (1) 6 Profit on sale of property, plant and equipment an

  25. Slide 25: Acquisitions

    25 Group Grains Consumer Brands Nigeria Exports and International Acquisitions Rm Purchase Acquisition Date of acquisition Nature of asset acquired consideration DFM 4 Oct 2012 63,35% shareholding 1 513 Oceana Group Limited 1 Mar 2013 4,5% shareholding 314 Mrs Ball's Trademark 1 April 2013 Trademark

  26. Slide 26: Group balance sheet as at September

    26 Group Grains Consumer Brands Nigeria Exports and International Group balance sheet as at 30 September Rm 2013 2012 Assets Property, plant & equipment 5 499 3 359 Goodwill and intangible assets 5425 4 012 Investments 3413 2655 Current Assets (excluding cash) 8 831 7 412 Assets held-for-sale 1 281

  27. Slide 27: Key statistics

    27 Group Grains Consumer Brands Nigeria Exports and International Key statistics 2013 2012 Net Debt (Rm) (4 470) (1 182) Net Debt/Equity % 32.1 10.1 Working capital per R1 turnover (cents) 23.2 22.2 Net interest cover (times) 8.2 25.3 Effective tax rate (before abnormal items and associates income %

  28. Slide 28: Cash flow statement for the year ended September

    28 Group Grains Consumer Brands Nigeria Exports and International Cash flow statement for the year ended 30 September Rm 2013 2012 Cash operating profit 4 311 4 224 Working Capital (337) (592) Cash generated from operations 3 974 3 632 Net Financing cost/Investment income (109) 58 Tax paid (986) (1

  29. Slide 29: Capital Expenditure and Commitments

    29 Group Grains Consumer Brands Nigeria Exports and International Capital Expenditure and Commitments Rm 2013 2012 Capital expenditure 727 480 - Replacement 540 303 - Expansion 187 177 Capital commitment* 780 421 - Contracted 372 105 - Approved 408 316 *Excludes proposed capital expenditure of R922

  30. Slide 30: Subsequent events

    30 Group Grains Consumer Brands Nigeria Exports and International Subsequent events • Sale of Agrosacks to reduce DFM debt • Refinancing of DFM debt will ease interest burden • Mandatory offer to DFM minorities expected to be completed by December 2013 • Acquisition, subject to regulatory approval,

  31. Slide 31: Grains

    www.tigerbrands.co.za Grains Noel Doyle Business Executive

  32. Slide 32: Grains Overview

    32 Group Grains Consumer Brands Nigeria Exports and International Grains Overview Volume growth reverses long term trends. Ongoing margin pressures reflected in EBIT performance The year under review was characterised H1 H2 FY by: ∆ % % % • Significant cost push and volatility in most Volume (tons)

  33. Slide 33: Market share recoveries in a tough trading environment

    33 Group Grains Consumer Brands Nigeria Exports and International Market share recoveries in a tough trading environment Volume Market Growth Tiger Growth Market Share Performance Bread Buns & Rolls Rice Maize Flour Consumer Premixes Breakfast - Oats (Jungle) - Maize (Ace Instant) - Sorghum

  34. Slide 34: Milling & Baking - Wheat

    34 Group Grains Consumer Brands Nigeria Exports and International Milling & Baking- Wheat Market continues to show volume declines Wheat Milling ∆ month on month vs. prior 10,00% 8,00% 6,00% 4,00% 2,00% 0,00% -2,00% -4,00% -6,00% -8,00% -10,00% -12,00% Oct-12 Nov-12 Dec-12 Jan-13 Feb-13 Mar-13 Apr-1

  35. Slide 35: Milling & Baking - Wheat

    35 Group Grains Consumer Brands Nigeria Exports and International Milling & Baking - Wheat Raw material cost push compresses margin • Pleasing volume growth in a contracting market • 26% raw material cost increase year-on-year • Non availability of procurement opportunity below import parity exacerb

  36. Slide 36: Milling & Baking - Maize

    36 Group Grains Consumer Brands Nigeria Exports and International Milling & Baking- Maize Market continues to show volume declines Maize Milling ∆ month on month vs. prior 16,00% 12,00% 8,00% 4,00% 0,00% -4,00% -8,00% -12,00% Oct-12 Nov-12 Dec-12 Jan-13 Feb-13 Mar-13 Apr-13 May-13 Jun-13 Jul-13 Aug-

  37. Slide 37: Milling and Baking - Maize

    37 Group Grains Consumer Brands Nigeria Exports and International Milling and Baking - Maize A tough year • First half impacted by an unfavourable procurement position in Q1 • Second half reflects continuing market share losses but rate of volume decline halved in H2 • Consumer search for value saw

  38. Slide 38: Milling and Baking - Bakeries

    38 Group Grains Consumer Brands Nigeria Exports and International Milling and Baking - Bakeries Good volume performance drives strong profit growth and increased market share • Albany regained market leadership • Operating income growth was very pleasing despite significant cost push • 30% growth in

  39. Slide 39: Milling and Baking – Sorghum Cereals, Beverages & Ace Instant

    39 Group Grains Consumer Brands Nigeria Exports and International Milling and Baking – Sorghum Cereals, Beverages & Ace Instant Operating Income maintained notwithstanding significant declines in beverage volumes • Long term volume decline in sorghum beverages exacerbated by the impact of legislatio

  40. Slide 40: Other Grains - Rice

    40 Group Grains Consumer Brands Nigeria Exports and International Other Grains - Rice F2013 Volume recovery objective achieved • Volumes recovered to F2011 levels. No 1 Essential food in Top Brands award Relative price premium was adjusted to sustainable levels • Tastic and Aunt Caroline retain mark

  41. Slide 41: Other Grains - Jungle

    41 Group Grains Consumer Brands Nigeria Exports and International Other Grains - Jungle Good operating results reflect successful execution of strategy • Very strong performance driven by successful innovation & precision in price point management • Innovation a key driver of strong volume growth •

  42. Slide 42: Grains Summary

    42 Group Grains Consumer Brands Nigeria Exports and International Grains Summary • A strong second half performance has improved underlying business health metrics • The business carries good momentum into F2014. Maize and Wheat categories face continued cost push • Focus remains on innovation, bran

  43. Slide 43: Consumer Brands

    www.tigerbrands.co.za Consumer Brands Grattan Kirk Business Executive

  44. Slide 44: Groceries

    44 Group Grains Consumer Brands Nigeria Exports and International Groceries Tough Trading Conditions and Supply Chain inefficiencies lead to significant decline in profitability Sales R 3 707m - 1.7% EBIT R 361m - 33.1% • Poor Q1 F13 volume performance on the back of price increase • Decision not to

  45. Slide 45: Groceries – Consumer value propositions

    45 Group Grains Consumer Brands Nigeria Exports and International Groceries – Consumer value propositions Significant step up in innovation Vegetable Mixes KOO 1KG Value Packs Pasta value pack Flavoured Beans Black Cat Tubs 2L Tomato Sauce Flavoured Mayonnaise Hot Sauces Range

  46. Slide 46: Groceries

    46 Group Grains Consumer Brands Nigeria Exports and International Groceries Back to basics approach and focus on execution • Strengthening management capability • Supply Chain optimisation projects on track • Go to market strategy with customer • Continued innovation • Investment in our brands

  47. Slide 47: Snacks & Treats

    47 Group Grains Consumer Brands Nigeria Exports and International Snacks & Treats Strong volume growth in chocolate & efficiency focus generates pleasing profit growth Sales R 1 924m + 9.2% EBIT R 304m + 13.9% • Strong Brands • Good market share growth in chocolate slabs driven by enhanced value pro

  48. Slide 48: Snacks & Treats

    48 Group Grains Consumer Brands Nigeria Exports and International Snacks & Treats Brand Innovation and renovation

  49. Slide 49: Beverages

    49 Group Grains Consumer Brands Nigeria Exports and International Beverages Volume and cost savings/efficiency projects drive growth Sales R 1 020m + 3.0% EBIT R 107m + 5.8% • Pleasing volume growth • Projects delivering real savings to help mitigate market pricing pressures – Factory consolidation

  50. Slide 50: Beverages - Innovation

    50 Group Grains Consumer Brands Nigeria Exports and International Beverages - Innovation Exciting new products recently launched

  51. Slide 51: Beverages – Point of purchase activations

    51 Group Grains Consumer Brands Nigeria Exports and International Beverages – Point of purchase activations Summer 2013 In-store Volume Drive

  52. Slide 52: Value Added Meat Products

    52 Group Grains Consumer Brands Nigeria Exports and International Value Added Meat Products Continued progress in executing strategy, results in pleasing market share gains Sales R 1 584m + 9.3% EBIT R 103m + 11.2% • Pricing pressure in the face of significant input costs increases • Market share ga

  53. Slide 53: Value Added Meat Products

    53 Group Grains Consumer Brands Nigeria Exports and International Value Added Meat Products Enterprise Chef’s Cut – driving premiumisation

  54. Slide 54: Value Added Meat Products – Innovation drives growth

    54 Group Grains Consumer Brands Nigeria Exports and International Value Added Meat Products – Innovation drives growth Innovation – Value proposition

  55. Slide 55: Value Added Meat Products – Collaboration and in-store support

    55 Group Grains Consumer Brands Nigeria Exports and International Value Added Meat Products – Collaboration and in-store support Retailer collaboration and in-store POP

  56. Slide 56: Out of Home

    56 Group Grains Consumer Brands Nigeria Exports and International Out of Home Leveraging Tiger basket into new customers and channels Sales R 403m + 14.9% EBIT R 80m + 17.9% • Strong performance with positive leverage • Excellent cost control • New customer acquisition strategy paying dividends • Go

  57. Slide 57: In summary

    57 Group Grains Consumer Brands Nigeria Exports and International In summary • We will continue to – Invest in our Brands – Invest in our People – Invest in Technology and Supply Chain Optimisation • Relentless focus on Innovation • Fixation on cost control

  58. Slide 58: Consumer Brands (HPCB)

    www.tigerbrands.co.za Consumer Brands (HPCB) Neil Brimacombe Business Executive

  59. Slide 59: Home, Personal Care and Baby

    59 Group Grains Consumer Brands Nigeria Exports and International Home, Personal Care and Baby Tough trading conditions Net Sales R 1 877m + 0.6% EBIT R 439m - 3.2% • Strong Baby performance • Headwinds in Home and Personal Care driven by: – Market contraction in most categories – Major competitive

  60. Slide 60: Home Care: Aggressive Competition

    60 Group Grains Consumer Brands Nigeria Exports and International Home, Personal Care and Baby Home Care: Aggressive Competition Net Sales R 577m - 0,7% EBIT R 92m - 20,0% • H2 business recovery in Air Care, Sanitary and Insecticides • Offset by pressure in Surface and especially Laundry Care – High

  61. Slide 61: Personal Care: Categories under pressure

    61 Group Grains Consumer Brands Nigeria Exports and International Home, Personal Care and Baby Personal Care: Categories under pressure Net Sales R 583m - 6.8% EBIT R 141m - 9.8% • Rationalisation of ranges and re-focusing of core brands • Supply issues on Body Care and Hair Care • H2 recovery in De

  62. Slide 62: Baby Category: Excellent Performance

    62 Group Grains Consumer Brands Nigeria Exports and International Home, Personal Care and Baby Baby Category: Excellent Performance Net Sales R 717m + 8.9% EBIT R 207m + 12.9% • Baby performance well balanced with good growth in both nutrition and well-being • Successful defence of Jars segment • No

  63. Slide 63: Home, Personal Care and Baby - In Summary

    63 Group Grains Consumer Brands Nigeria Exports and International Home, Personal Care and Baby In Summary • Tough trading conditions and highly competitive environment to persist • Significant c. R100m upgrade Capex of Personal Care facility • Rationalisation, simplification, and consequent focus •

  64. Slide 64: Tiger Brands International (excluding Nigeria)

    www.tigerbrands.co.za Tiger Brands International (excluding Nigeria) Neil Brimacombe Business Executive

  65. Slide 65: International Expansion

    65 Group Grains Consumer Brands Nigeria Exports and International International Expansion R'000 Exports & Davita EATBI (Ethiopia) ETB'000 400 000 35% 100 000 20% 350 000 300 000 30% 80 000 15% 24% 25% 24% 11% 12% 250 000 25% 60 000 200 000 7% 10% 150 000 20% 40 000 14% 100 000 5% 12% 15% 20 000 50 0

  66. Slide 66: Tiger Brands International (excl. Nigeria)

    66 Group Grains Consumer Brands Nigeria Exports and International Tiger Brands International (excl. Nigeria) Tiger Brands International (excl. Nigeria) Net Sales R 3 944m + 21.6% EBIT R 575m + 25.3% Mali Niger Chad • Exports Sudan Ghana Nigeria – Rest of Africa: Continued good growth Ethiopia – Davi

  67. Slide 67: Tiger Brands International: Exports (including Davita)

    67 Group Grains Consumer Brands Nigeria Exports and International Tiger Brands International: Exports (including Davita) Tiger Brands Exports: Sustained Growth Harare, Zimbabwe Net Sales R 2 704m + 19.3% EBIT R 409m + 20.3% Rest of Africa Exports : Growth drivers • Continued excellent growth in Sout

  68. Slide 68: Tiger Brands International: Exports

    68 Group Grains Consumer Brands Nigeria Exports and International Tiger Brands International: Exports Continued investment in core brands Maputo, Lusaka, Zambia Mozambique Maputo, Mozambique Harare, Zimbabwe

  69. Slide 69: Tiger Brands International: Davita

    69 Group Grains Consumer Brands Nigeria Exports and International Tiger Brands International: Davita Good Performance: On Track Davita Growth drivers • Successful leveraging of Tiger Brands distributor base with Davita products • Excellent growth in West, East and South East Africa • Continued progr

  70. Slide 70: Tiger Brands International: Davita

    70 Group Grains Consumer Brands Nigeria Exports and International Tiger Brands International: Davita Investing in core brands Mozambique and Nigeria Kinshasa, DRC

  71. Slide 71: Tiger Brands International: Langeberg & Ashton Foods

    71 Group Grains Consumer Brands Nigeria Exports and International Tiger Brands International: Langeberg & Ashton Foods Improved Performance Net Sales R 1 192m + 18.3% EBIT R 42m + 59.5% Key points • Soft demand in Key markets • Flat market pricing vs. past year • Exchange rate benefits • Cost focus

  72. Slide 72: Tiger Brands International: East Africa (Haco TB & EATBI)

    72 Group Grains Consumer Brands Nigeria Exports and International Tiger Brands International: East Africa (Haco TB & EATBI) Good Performance: On Track Net Sales R 724m + 23.5% EBIT R 92m + 33.5% Kenya growth drivers • Regional export growth continues • Good performance on core HPC and Stationery cat

  73. Slide 73: Brand development: Innovation in 2013

    73 Group Grains Consumer Brands Nigeria Exports and International Brand development: Innovation in 2013

  74. Slide 74: Investing in Market Penetration: Haco (TB)

    74 Group Grains Consumer Brands Nigeria Exports and International Investing in Market Penetration: Haco (TB)

  75. Slide 75: Tiger Brands International: EATBI, Ethiopia

    75 Group Grains Consumer Brands Nigeria Exports and International Tiger Brands International: EATBI, Ethiopia Excellent progress Ethiopia Growth drivers • Strong volume growth – New distributors – Consumer demand • Excellent growth in core categories • Progress on regional export initiatives • Conti

  76. Slide 76: Tiger Brands International: EATBI, Ethiopia

    76 Group Grains Consumer Brands Nigeria Exports and International Tiger Brands International: EATBI, Ethiopia Investments in Facilities and People

  77. Slide 77: Tiger Brands International: Central Africa

    77 Group Grains Consumer Brands Nigeria Exports and International Tiger Brands International: Central Africa Cameroon: Excellent Performance Net Sales R 516m + 32.0% EBIT R 74m + 47.7% Growth drivers • Excellent volume and share growth in core categories • Continuous improvement program expands marg

  78. Slide 78: Driving Brand Growth

    78 Group Grains Consumer Brands Nigeria Exports and International Driving Brand Growth Driving Market Penetration

  79. Slide 79: Tiger Brands International: Central Africa

    79 Group Grains Consumer Brands Nigeria Exports and International Tiger Brands International: Central Africa Engaging our Consumers

  80. Slide 80: Tiger Brands International

    80 Group Grains Consumer Brands Nigeria Exports and International Tiger Brands International Very pleasing results • International expansion remains key growth vector • Continue to drive growth on core: availability and visibility • Continued investment in Facilities, People, Brands • Acquisitions r

  81. Slide 81: Tiger Brands Nigeria

    www.tigerbrands.co.za Tiger Brands Nigeria Thabi Segoale Business Executive

  82. Slide 82: Tiger Brands in Nigeria

    82 Group Grains Consumer Brands Nigeria Exports and International Tiger Brands in Nigeria Steady Progress, more work to be done Our Plan • Stabilise the delivery platform • Leverage inter-company synergies to save costs and enable revenue growth • Leverage Tiger Brands group’s capabilities to accele

  83. Slide 83: DFM

    83 Group Grains Consumer Brands Nigeria Exports and International DFM Disappointing trading performance worsened by once-off costs Turnover R 2 329m EBIT - R 389m Key performance inhibitors • Poor sales volumes • Internal operational inefficiencies • Rising input costs • Provisions for once-off cost

  84. Slide 84: DFM

    84 Group Grains Consumer Brands Nigeria Exports and International DFM Prospects remain positive • Core categories remain in positive growth • Inter-group sales to improve wheat milling capacity utilisation • Investment in supply chain infrastructure will enable further cost savings and alternative r

  85. Slide 85: UAC Foods

    85 Group Grains Consumer Brands Nigeria Exports and International UAC Foods Consolidating for future growth Gala launches “mini” TBL Attributable Inc + 17% for kids! Salient points • Capacity upgrade projects to deliver future growth • Competition intensified • Significant focus on innovation • Inte

  86. Slide 86: Deli Foods

    86 Group Grains Consumer Brands Nigeria Exports and International Deli Foods Stable platform, steady recovery Turnover R 480m + 23,1% EBIT R 5m + 169,2% Salient points • Strong category growth • Freeing up manufacturing bottle-necks releases additional sales volumes • Benefits of collaboration with

  87. Slide 87: Tiger Brands in Nigeria

    87 Group Grains Consumer Brands Nigeria Exports and International Tiger Brands in Nigeria In summary • Nigeria investments are core to strategy • Fix, Optimise, Grow strategy is well under way • Drive organic growth through: – Re-vitalisation of current brands – Adjacent segment opportunities – Expa

  88. Slide 88: Outlook

    88 Group Grains Consumer Brands Nigeria Exports and International Outlook • Remain confident in Group strategy to deliver sustainable growth • Trading conditions in South Africa expected to remain challenging • Current trading conditions in Nigeria likely to persist • Continued good growth anticipat

  89. Slide 89: Tiger Brands Limited

    www.tigerbrands.co.za TIGER BRANDS LIMITED RESULTS PRESENTATION TO INVESTORS for the Year ended September 2013

  90. Slide 90: Disclaimer

    90 Group Grains Consumer Brands Nigeria Exports and International Disclaimer Certain statements in this presentation may be defined as forward looking within the meaning of the United States Securities legislation. Forward-looking statements involve known and unknown risks, uncertainties and other i

Tiger Brands — FY2013 Earnings Presentation on 6ix