Shepherd Neame Limited Class A · AQUIS:SHEP

Shepherd Neame Limited Class A — H1 2013 Earnings Presentation

14 slides from Shepherd Neame Limited Class A's earnings presentation, Apr 16, 2013

  1. Slide 1: Charles Stanley Securities Lunch: Results for the 26 weeks ended 29 December 2012

    Shepherd Neame Limited Charles Stanley Securities Lunch 16 April 2013 Results for the 26 weeks ended 29 December 2012 1

  2. Slide 2: Results: 26 weeks to 29 December 2012

    Results : 26 weeks to 29 December 2012 +2.6% Level +2.0% -2.2% -6.2% Turnover Operating Profit before Basic EPS Dividend Profit tax before per share Exceptionals 2012 £69.2m £6.7m £4.5m 26.2p 5.00p 2011 £67.4m £6.7m £4.8m 26.8p 4.90p 2

  3. Slide 3: One off, non recurring costs of £0.4m

    One off, non recurring costs of £0.4m • 10x increase in glass recycling • Waverley TBS collapse 3

  4. Slide 4: Cash invested in capital expenditure £8.3m

    Cash invested in capital expenditure £8.3m (2011 : £11.7m) with £1.9m (2011 : £1.5m) realised on disposal of assets 4

  5. Slide 5: Tenanted and retail performance

    SN operate 353 (2011 : 355) pubs of which 307 (2011 : 310) are tenanted or leased and 46 (2011 : 45) managed • Tenanted Performance : – Lfl +0.4% (2011 : -0.5%) – Average EBITDAR/pub +3.9% (2011 : +2.4%) • Retail Performance : – Lfl total +2.9% (2011 : +10.2%) – Lfl food +3.5% (2011 : +14.6%) accomm

  6. Slide 6: Refurbishment of rooms at Sun Inn, Royal and Marine

    We have carried out refurbishment of rooms at the Sun Inn, Faversham; Royal, Deal and Marine, Tankerton 6

  7. Slide 7: Investing in the food offer in our pubs

    We continue to invest in developing the food offer in our pubs 7

  8. Slide 8: Investment in tenanted estate developments

    We have invested £1.2m (2011 : £0.8m) in tenanted estate developments, in particular Crayford Arms, Nailbox, Zetland Arms and Orange Tree 8

  9. Slide 9: Total beer volume down 4.0%

    Total beer volume was down 4.0% (2011 : +6.8%) • Excellent growth from Spitfire and Asahi • Improved trend in Bishops Finger • Strong performances from smaller brands : Whitstable Bay and 1698 • Launch of Classic Collection Industry On Trade beer sales -4.7% in 2012 and Off Trade -7.5% in Q4 • Wet w

  10. Slide 10: Spitfire Pilot characters as brand ambassadors

    We have engaged famous comedy duo Armstrong and Miller’s ‘Spitfire Pilot’ characters to be ambassadors for Spitfire 10

  11. Slide 11: Export Sales and Kingfisher

    Export Sales • We are working with new partners in key beer territories that will result in expansion of export sales of Spitfire, Bishops Finger and other ales Kingfisher • We have agreed a phased exit from brewing Kingfisher Beer over three financial years • The brand represents 18.8% of own beer

  12. Slide 12: Industry Matters

    Industry Matters • A statutory Code of Practice for letting of tied pubs • Beer Duty Escalator 12

  13. Slide 13: Board

    Board Randall Nicol Bill Brett Retires - September 2013 Starts - September 2013 13

  14. Slide 14: Strategy

    Strategy • Invest in pubs • Invest in own brands • Improve offer to the customer • Invest to improve efficiency and reduce cost inflation 14

Shepherd Neame — H1 2013 Earnings Presentation on 6ix