Remy Cointreau SA · EURONEXT:RCO
Remy Cointreau SA — 9M FY2015/16 Earnings Presentation
17 slides from Remy Cointreau SA's earnings presentation, Jan 21, 2016
Slide 1: Fiscal Year 2015/16 9 months ended 31 December 2015
Fiscal Year 2015/16 9 months ended 31 December 2015 21 January 2016
Slide 2: Key Messages
Key Messages Return to growth in Q3 We are on track: 9M sales performance in-line with our expectations Technical factors: a 4.0pp/EUR29.3m hit on 9M organic sales growth Gradually improving consumer trends in 9M Improving trends in the US and in the EMEA zone Clear improvement in Greate
Slide 3: 9M 2015/16 Sales Analysis
9M 2015/16 Sales Analysis €m 9M 14/15 Organic Currency 9M 15/16 Reported growth: +7.9% 799.2 740.9 -2.6% +10.5% 3
Slide 4: Currency Impact on 9M 2015/16 Sales
Currency Impact on 9M 2015/16 Sales Positive currency impact : EUR77.4m Other currencies 10% CNY 13% HKD USD 15% 62% 4
Slide 5: Quarterly Organic Sales Growth
Quarterly Organic Sales Growth Q1 14/15 Q2 14/15 Q3 14/15 Q4 14/15 Q1 15/16 Q2 15/16 Q3 15/16 +23.4%** +3.2% (1.0%)** (3.2%) (5.7%)** (5.5%)** (9.0%) FY 14/15: +0.6% 9M 15/16: (2.6%) (**) Calculated based on 2013/14 pro forma sales (i.e excluding the Edrington contract in the US) 5
Slide 6: 9M 2015/16 Trends by Region (1)
9M 2015/16 Trends by Region (1) Asia-Pacific sales in decline over 9M, but close to stability in Q3 Technical factors weighed on 9M performance (mainly in H1) Route-to-Market adjustments in Greater China Streamlining of on-trade outlets in Greater China Change in distributor in Australia
Slide 7: 9M 2015/16 Trends by Region (2)
9M 2015/16 Trends by Region (2) Americas sales flat in the 9M period: strong US depletions mitigated by technical factors Technical factors weighed on the Americas sales performance Exit from the VS cognac category in the US (H1) High comparable base for Cointreau in the US (H1) Change in
Slide 8: 9M 2015/16 Trends by Region (3)
9M 2015/16 Trends by Region (3) Europe, Middle East & Africa showing further acceleration in the 9M period Western Europe: flat sales in 9M Negative technical factor in 9M: earlier Easter celebrations (Q1) Double-digit sell-in and sell-out growth in Germany, led by Rémy Martin and Cointreau
Slide 9: 9M Organic Growth by Product Division
9M Organic Growth by Product Division Rémy Martin Liqueurs & Spirits Partner Brands Group 3,0% +0.2% 1,0% ‐1,0% ‐3,0% (2.6%) ‐5,0% (4.0%) ‐7,0% ‐9,0% ‐11,0% (10.5%) ‐13,0% ‐15,0% 9
Slide 10: Rémy Martin (+0.2% organic growth in 9M)
Rémy Martin (+0.2% organic growth in 9M) Asia-Pacific Double-digit sales decline in 9M (technical factors/ Greater China wholesalers’ prudence) ; But Q3 close to stability Clear improvement in Greater China’s sell-through: depletions up in volumes, flat in value Americas Sales up low doubl
Slide 11: Rémy Martin: Marketing Initiatives
Rémy Martin: Marketing Initiatives First PR and social results of the « One Life / Life Them » campaign Press coverage : more than €14m worth of media value-equivalent (€10m in the US and €4m in China) Social networks : more than 120 millions web users reached (40m in the US and 80m in China)
Slide 12: Liqueurs & Spirits (-4.0% organic decline in 9M)
Liqueurs & Spirits (-4.0% organic decline in 9M) 9M sales decline largely due to technical factors (H1) and Russia; Q3 back to growth Technical factors: Cointreau comps in the US (H1), earlier Easter in Western Europe (Q1), and changes in distributors in Australia and Canada (mainly Q1) Weak s
Slide 13: Liqueurs & Spirits (-4.0% organic decline in 9M)
Liqueurs & Spirits (-4.0% organic decline in 9M) Metaxa: double-digit sales decline led by Russia, Greece and Travel Retail (Russian tourists); Positive growth in Q3, led by the successful launch of Metaxa Honey Shot (Central Europe) Mount Gay Sales growth led by mix gains in key markets (US,
Slide 14: Liqueurs & Spirits: Marketing Initiatives
Liqueurs & Spirits: Marketing Initiatives Metaxa AEN: Cointreau: Everness by Greek designer Dimitris Tsigos Great 30’s Limited Edition 14
Slide 15: Partner Brands (-10.5% organic decline in 9M)
Partner Brands (-10.5% organic decline in 9M) Double-digit decline in sales mainly reflects the end of the distribution contract of Piper and Charles Heidsieck in the US (EUR11.0M loss) Double-digit growth of the third-party spirits distributed in EMEA 15
Slide 16: 2015/16 Outlook Confirmed
2015/16 Outlook Confirmed ■ 9M 2015/16 organic sales performance in-line with Group’s expectations ■ Maintains guidance of delivering positive growth in current operating profit, at constant exchange rate and scope, for the financial year 2015/16 16
Slide 17: Q&A
ie REMY COINTREAU Q&A