Stef · EURONEXT:STF
Stef — FY2020 Earnings Presentation
42 slides from Stef's earnings presentation, Mar 12, 2021
Slide 1: 2020 Financial Results
2020 FINANCIAL RESULTS 12 MARCH 2021 STANISLAS LEMOR Chairman and Chief Executive Officer MARC VETTARD Deputy Chief Executive Officer 1 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 2: Contents
CONTENTS 1 2020, an unprecedented year 2 Financial performance 3 Operational performance 4 Extra-financial performance 5 Outlook 2 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 3: 2020, an unprecedented year
2020 an unprecedented year 3 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 4: Highlights
Highlights A mission to provide essential services Ongoing construction of the European network Transformation through digitisation 4 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 5: A mission to provide essential services
A mission to provide essential services • Continuity of supply and protecting employees a priority throughout the crisis • Food-chain stability thanks to the outstanding commitment of all employees 5 Connecting Food Market Players
Slide 6: A unique partnership between complementary networks
A unique partnership between 2 complementary networks • Acquisition of businesses in Italy, Belgium and the Netherlands, and creation of a joint venture in France for €30m • Improved Group coverage in Germany and Eastern and Northern Europe through mutual distribution agreements Scope of LIA Scope o
Slide 7: Transformation and value creation through digitisation
Transformation and value creation through digitisation • Roll-out of a new client portal to meet current needs • Acceleration in digital solutions to overcome new constraints • A more agile organisation 7 29/04/2021 Connecting Food Market Players
Slide 8: Financial performance
Financial performance A resilient business model 8 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 9: 2020 hit hard by the health crisis
2020 hit hard by the health crisis Operating profit: Operating margin: Gearing: gradual recovery down 1.3 point stable, excl. Nagel H1: €28M 4.1% of turnover 111% H2: €89M excl. third-party sales 9 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 10: Turnover
Turnover -€61.3M -€37.7M Fuel -€34.3M surcharge France +€7.2M International Maritime Change -€64.8M in scope -€105M -8.6% €3,441M -3.5 % Other o/w third-party sales -€99M €3,145M 2019 2020 ORGANIC CHANGE excluding fuel surcharge 10 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 11: Operating profit
Operating profit -€13.9M -€9.7M France International -€20.2M -€2.2M -28.2% Maritime Other €162.9M €116.9M 2019 2020 11 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 12: Tax rate
Tax rate €M 2019 2020 Profit before tax 154 109 Effective tax rate 36.0% 38.6% Corporation tax (55) (42) 12 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 13: Net income
Net income -€45.9M +€3.9M -27.5% +1.2M +€13.3M Equity method and minority interests €100.3M €72.8M Financial 2019 EBIT CT result 2020 Net income Net income (Group share) (Group share) 13 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 14: Financial structure
Financial structure FREE CASH FLOW NET DEBT €106M €905M €824M 2020 -€12M 2019 2019 2020 14 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 15: Operational performance
Operational performance A mixed year 15 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 16: Acceleration in pre-COVID trends
Acceleration in pre-COVID trends Transformation and fragmentation of consumption patterns • Surge in e-commerce • Shift to local stores • Transformation in foodservice • Significant increase in frozen-food sales in retail 16 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 17: Operational performance: France
Operational performance France €1,946M €114M Turnover Operating profit -5% -11% 17 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 18: Operational performance: Chilled products
Operational performance Chilled products - 7% Turnover • Business contraction caused by the repercussions of the foodservice stoppage and various lockdowns • Significant drop in volumes leading to substantial production cost overruns and major efforts to adapt production resources 18 2020 FINANCIAL
Slide 19: Operational performance: Seafood and foodservice
Operational performance Seafood and foodservice - 14% - 18% Turnover Turnover Seafood Foodservice • Business hit hard by the health crisis and lockdowns • Gradual resumption of foodservice business through takeaway sales • Ongoing investment in seafood with the finalisation of the collection system
Slide 20: Operational performance: Frozen
Operational performance Frozen - 2% Turnover • Business buoyed by strong frozen-food momentum in retail • Solid resistance of logistics activities helped by high warehouse fill rate • Significant impact of crisis on transport business in first half 20 2020 FINANCIAL RESULTS 12/03/2021 Connecting Foo
Slide 21: Operational performance: Outsourced logistics operations
Operational performance Outsourced logistics operations + 1% Turnover • Business held up well in terms of turnover and profitability • 50% increase in storage capacity thanks to expansion of two hubs in Orléans and Lyon • Creation of a state-of-the-art automated packaging line 21 2020 FINANCIAL RESU
Slide 22: Operational performance: Retail
Operational performance Retail + 9% Turnover • Effective shift from foodservice channels • Profitability impacted by measures implemented to cope with the strong increase in volumes and e-commerce 22 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 23: Operational performance: Packaging
Operational performance Packaging - 17% Turnover over full year • The crisis hit business activities hard, especially for clients in travel retail • Focus on non-food business development 23 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 24: Operational performance: International
Operational performance International €815M €30M Turnover Operating profit -5% -25% 24 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 25: Operational performance: Italy
Operational performance Italy - 9% Turnover • Successful transfer of seafood business through joint venture to create Italy's leading player in seafood transport and logsitics • Business held up well, with introduction of measures to adapt production resources • Strong business growth in e-commerce
Slide 26: Operational performance: Spain and Portugal
Operational performance Spain and Portugal -4% - 9% Turnover Turnover • Spain: weathered well despite the closure of restaurants and the widespread contraction in domestic and international flows • Portugal: solid business momentum despite the loss of a major foodservice client 26 2020 FINANCIAL RES
Slide 27: Operational performance: Belgium, Netherlands and Switzerland
Operational performance Belgium, Netherlands and Switzerland - 8% - 6% + 18% Turnover Turnover Turnover • Belgium: responded well despite substantial impact of positioning in international flows • Netherlands: business greatly affected by the health crisis in a highly competitive market, with introd
Slide 28: Operational performance: Maritime
Operational performance Maritime €57M -€26M 4 NEW 2021-2022 Turnover Operating profit ships LINE public-service Marseille-Tangier delegation awarded 28 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 29: Extra-financial performance
Extra-financial performance 29 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 30: Environmental responsibility
Environmental responsibility • Reduction in energies consumption • Energy alternative trials for trailer refrigeration units • The Group stepped up its long term climate commitments 30 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 31: CSR
CSR • Solidarity initiatives: o Donations to Covid-19 research o Contribution to hospital donations by our clients o Ongoing initiatives to support youth employment • Initiatives to support employees: o Solidarity bonus o €30m in profit sharing • Renewed faith in company savings plan, which represen
Slide 32: Outlook
Outlook Increased focus on the financial health of our ecosystem Integration of new acquisitions in Italy, Belgium and Netherlands Creation of a specific organization to adapt to Brexit repercussions Successful geographic diversification in maritime business 32 2020 FINANCIAL RESULTS 12/03/2021 Conn
Slide 33: Financial calendar
Financial calendar Key dates 2021 Q1 turnover Thursday 29 April 2021 end of trading 2021 Q2 turnover Thursday 22 July 2021 end of trading 2021 first-half results Thursday 2 September 2021 end of trading Presentation: Friday 3 September 2021 2021 Q3 turnover Thursday 21 October 2021 end of trading 33
Slide 34: Appendices
Appendices 34 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 35: Trend in food consumption
Trend in food consumption Food consumption(1) Agri-food production Eurozone +3.6% -2.5% France +2.9% -1.8% Italy +1.6% -2.4% Spain +0.8% -4.8% Portugal +1.8% -3.6% Belgium +5.4% -0.6% Netherlands +4.3% -1.3% Switzerland +8.5% - Source: Eurostat – Annual variation 2020/2019 (1) Including beverages an
Slide 36: Simplified income statement
Simplified income statement Change Change €M 2019 2020 in €M as % Turnover 3,441.0 3,145.0 (296.0) -8.6% Turnover excl. 3,034.5 2,837.6 (196.9) -6.5% third-party sales EBIT 162.9 116.9 (46.0) -28.2% Financial result (8.7) (7.5) 1.2 +13.6% Profit before tax 154.1 109.4 (44.7) -29.0% Net income (Group
Slide 37: EBIT
EBIT Change Change €M 2019 2020 in €M as % Turnover 3,441.0 3,145.0 (296.0) -8.6% Purchases from third parties (2,147.7) (1,873.5) 274.2 -12.8% Taxes (67.0) (65.1) 1.9 -2.9% Payroll expenses (902.8) (903.9) (1.1) 0.1% Depreciations and amortisations (168.7) (174.3) (5.6) 3.3% Net reversals of provis
Slide 38: Other income and expenses
Other income and expenses €M 2019 2020 Gains on real estate asset sales 0.9 0.7 Gains on vehicle sales 1.8 2.2 Other income and (expenses) 3.5 (9.6) Other operating income and expenses 6.2 6.7 38 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 39: Financial result
Financial result €M 2019 2020 Change Euribor 3M average (0.36)% (0.42)% (0.06) Net debt end of period 824.4 904.8 80.4 Net financial expenses (8.7) (7.5) 1.2 39 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 40: Cash flow
Cash flow €M 2019 2020 Self-financing 254.5 255.7 Change in working capital 10.7 (34.3) Net investment programme (159.4) (233.1) Free cash flow 105.7 (11.7) Capital increase (and share buyback) 0.4 (0.2) Dividends (30.9) (18.6) Other cash flows (227.9) (49.9) Debt change (152.7) (80.4) Net debt at c
Slide 41: Net investment programme
Net investment programme €M 2019 2020 Investments in tangible and intangible assets (154.4) (208.1) Net financial investments (19.4) (38.8) Sale of assets 13.0 12.6 Other 1.4 1.2 Total (159.4) (233.1) 41 2020 FINANCIAL RESULTS 12/03/2021 Connecting Food Market Players
Slide 42: Balance sheet
Balance sheet €M 31/12/2019 31/12/2020 Goodwill 203.8 206.2 Property, plant and equipment 1,447.8 1,526.5 Other non-current assets and fixed assets 84.0 110.7 Total non-current and financial assets 1,735.6 1,843.4 Net working capital requirement (70.5) (35.9) Total assets (net) 1,665.1 1,807.5 Equit