Distribuidora Internacional de Alimentacion SA · BME:DIA
Distribuidora Internacional de Alimentacion SA — 9M 2011 Earnings Presentation
34 slides from Distribuidora Internacional de Alimentacion SA's earnings presentation, Nov 15, 2011
Slide 1: 9M 2011 Results
9M 2011 RESULTS 1 15 November 2011
Slide 2: Disclaimer
Disclaimer The information in this report contains expressions which imply estimates, projections or forecasts relating to the possible future performance of the DIA company. Current and future analysts, brokers and investors must take into account that these estimates, projections and forecasts do
Slide 3: DIA Group: Gross sales under banner
DIA GROUP: Gross sales under banner REGION (EURm) 9M 2010 9M 2011 INC (w/o FX) IBERIA 4,110.6 4,150.4 1.0% FRANCE 2,088.0 1,983.4 -5.0% EMERGING MARKETS 1,786.4 2,092.4 23.6% TOTAL DIA GROUP 7,985.0 8,226.2 4.5% 3
Slide 4: DIA Group: Quarterly gross sales under banner
DIA GROUP: Quarterly gross sales under banner Growth versus the same period of 2010 (w/o FX) REGION (EURm) Q1 2011 Q2 2011 Q3 2011 9M 2011 Total 0.2% 2.3% 0.4% 1.0% IBERIA LFL -0.7% 1.2% -0.6% 0.0% Total -4.6% -3.8% -6.6% -5.0% FRANCE LFL -7.3% -5.5% -7.7% -6.8% Total 24.1% 23.9% 22.9% 23.6% EMERGIN
Slide 5: DIA Group: Gross sales breakdown by region
DIA GROUP: Gross sales under banner Breakdown by Region (as a % of total revenues) 9M 2010 9M 2011 22.4% 25.4% 51.5% 26.1% 50.5% 24.1% Emerging France Iberia Emerging France Iberia 5
Slide 6: DIA Group: Expansion
DIA GROUP: Expansion DIA Group Expansion (Number of stores) 236 new stores in 9M 2011 6,277 6,373 6,609 and 332 since Sep. 2010 1,468 1,407 1,432 554 638 892 194 transfers from COCO to COFO 4,316 4,303 4,249 9M 2010 FY 2010 9M 2011 567 transformations to COCO COFO FOFO DIA Market & DIA Maxi A total
Slide 7: DIA Group: Summarised Income Statement
DIA GROUP: Summarised Income Statement (EURm) 9M 2010 9M 2011 INC (w/o FX) GROSS SALES under banner 7,985.0 8,226.2 4.5% Adjusted Cash EBITDA 346.1 377.2 9.7% Adjusted Cash EBITDA margin 4.9% 5.2% 34 bp Adjusted EBIT 141.3 175.7 25.0% Adjusted EBIT margin 2.0% 2.4% 44 bp EBIT 74.3 106.3 44.0% NET PR
Slide 8: DIA Group: Adjusted Cash EBITDA
DIA GROUP: Adjusted Cash EBITDA REGION (EURm) 9M 2010 9M 2011 INC (w/o FX) IBERIA 258.6 282.6 9.3% FRANCE 66.8 60.6 -9.3% EMERGING MARKETS 20.6 34.1 76.9% DIA GROUP 346.1 377.2 9.7% 8
Slide 9: DIA Group: Adjusted Cash EBITDA breakdown by region
DIA GROUP: Adjusted Cash EBITDA Breakdown by Region (as a % of total Adjusted Cash EBITDA) 9M 2010 9M 2011 6.0% 9.1% 19.3% 16.0% 74.7% 74.9% Iberia France Emerging Iberia France Emerging 9
Slide 10: DIA Group: P&L
DIA GROUP: P&L (EURm) 9M 2010 % 9M 2011 % INC w/o FX Gross sales under banner 7,985.0 8,226.2 4.5% Net sales 7,111.6 100.0% 7,243.0 100.0% 3.2% Cost of sales & other income -5,631.7 -5,737.4 3.2% Gross profit 1,479.9 20.8% 1,505.6 20.8% 3.0% Labour costs -595.1 -596.8 1.7% Other operating expenses -
Slide 11: DIA Group: Adjusted Cash EBITDA increase
DIA GROUP: Adjusted Cash EBITDA Increase in Adjusted Cash EBITDA (EURm) 28 (21) 26 (2) 377 346 9M 2010 Gross Profit * Labour Costs Other Operating Rents 9M 2011 Adjusted Cash Expenses Adjusted Cash EBITDA EBITDA (*) Gross profit does not include Logistics D&A 11
Slide 12: DIA Group: Efficiency improvement 9M 2011
DIA GROUP: Efficiency improvement 9M 2011 187.8 46.4 105.1 36.4 Spain & France FY 2009-10 Spain France 9M 2011 Efficiency Improvement 2009-2011 187.8 13.9 EUR188m 8.4 60.5 105.1 FY 09-10 COFO HQ Other 9M 2011 12
Slide 13: DIA Group: P&L Breakdown (I)
DIA GROUP: P&L Breakdown (I) Total OPEX (in % of sales) 16.3% 15.9% -0.4 3.0% p.p. 3.2% 4.9% 4.5% 8.4% 8.2% 9M 2010 9M 2011 Labour Costs Other Opex Rents 13
Slide 14: DIA Group: P&L Breakdown (II)
DIA GROUP: P&L Breakdown (II) 3.6% - 0.1 p.p. 3.5% 0.1% 0.3% 0.9% 0.7% 2.6% 2.5% 9M 2010 9M 2011 D&A Corporate Taxes Financial Expenses Increase in financial expenses in 9M 2011 is due to the distribution of the two extraordinary dividends in December 2010 (EUR452m) and June 2011 (EUR389m). 14
Slide 15: DIA Group: P&L Breakdown (III)
DIA GROUP: P&L Breakdown (III) Total Non-recurring items (in % of sales) 1.0% 0.9% 1 p. p. 0.3% + 0. 0.7% 0.1% 0.5% 0.2% 0.1% 9M 2010 9M 2011 Restructuring costs Impairment and re-estimation ofuseful life assets Gains/losses on disposal of assets Restructuring cost items were affected by the extraor
Slide 16: DIA Group: Working Capital Management
DIA GROUP: Working Capital Management EURm Days 931.7 1,007.8 966.2 44.7 42.5 45.3 1,743 1,726 1,734 84 82 81 -238 -179 -215 -11 -9 -10 -28 -26 -26 -573 -539 -553 30 Sept 10 31 Dec 10 30 Sep 2011 30 Sept 10 31 Dec 10 30 Sep 11 Trade & other payables Trade & other receivables Inventories Negative tra
Slide 17: DIA Group: Capex
DIA GROUP: Capex Capex by division Capex by concept 29.1% 39.6% Capex 9M 2011 EUR258m 51.5% 41.2% 19.2% 19.4% Emerging France Iberia Openings Remodellings On-going DIA Group’s best estimate in terms of the total investment figure for 2011 is around EUR350m. 17
Slide 18: DIA Group: Net Debt
DIA GROUP: Net Debt 782 745 625 -214 -273 -317 30 Sept 10 (*) 31 Dec 10 30 Sep 11 Total net debt Cash and cash equivalents In line with the expected performance, actual net debt implies a ratio of 1.4x net debt versus Adjusted Cash EBITDA. DIA Group estimates that at end-2011, the net debt/EBITDA ra
Slide 19: DIA Group: 9M 2011 Highlights
DIA GROUP: 9M 2011 Highlights I Resilient performance of sales in 9M 2011 and dynamic Adj. Cash EBITDA growth, with interim evolution ahead of guidance (9.7% in 9M 2011 vs. 6.5% guidance for FY 2011). This sound performance of Adj. Cash EBITDA implies a 36bp improvement in standalone Q3 2011 and 34b
Slide 20: 9M 2011 Region Business Review
9M 2011 REGION BUSINESS REVIEW 20
Slide 21: Iberia
IBERIA EURm 9M 2010 9M 2011 INC Gross sales under banner 4,111.0 4,150.0 1.0% Net sales 3,681.0 3,668.0 -0.3% Adjusted Cash EBITDA 258.6 282.6 9.3% Adjusted Cash EBITDA margin 7.0% 7.7% 68 bp The commercial environment remained stable amid difficult conditions, especially in the Portuguese market. D
Slide 22: Iberia
IBERIA Gross sales under banner (EURm) Growth versus the same period of 2010 (w/o FX) vs 2010 Q1 2011 Q2 2011 Q3 2011 9M 2011 Total 0.2% 2.3% 0.4% 1.0% LFL -0.7% 1.2% -0.6% 0.0% IBERIA Expansion (Number of stores) 3,310 3,305 3,315 856 845 831 DIA Market and DIA Maxi 301 346 485 formats account for
Slide 23: France
FRANCE EURm 9M 2010 9M 2011 INC Gross sales under banner 2,088.0 1,983.4 -5.0% Net sales 1,887.4 1,771.9 -6.1% Adjusted Cash EBITDA 66.8 60.6 -9.4% Adjusted Cash EBITDA margin 3.5% 3.4% -12 bp In France, while the tough business scenario remains, gross sales under banner growth was -5.0% in 9M 2011.
Slide 24: France
FRANCE Gross sales under banner (EURm) Growth versus the same period of 2010 (w/o FX) vs 2010 Q1 2011 Q2 2011 Q3 2011 9M 2011 Total -4.6% -3.8% -6.6% -5.0% LFL -7.3% -5.5% -7.7% -6.8% FRANCE Expansion (Number of stores) 932 936 DIA stores account for 916 52 54 49 65.3% of the COCO stores. 94 122 170
Slide 25: Emerging Markets
EMERGING MARKETS EURm 9M 2010 9M 2011 INC (w/o FX) Gross sales under banner 1,786.4 2,092.4 23.6% Net sales 1,543.6 1,803.2 22.9% Adjusted Cash EBITDA 20.6 34.1 76.9% Adjusted Cash EBITDA margin 1.3% 1.9% 55 bp The DIA Group’s emerging markets division (Argentina, Brazil, Turkey and China) had a str
Slide 26: Emerging Markets
EMERGING MARKETS Gross sales under banner (EURm) Growth versus the same period of 2010 (w/o FX) vs 2010 (w/o FX) Q1 2011 Q2 2011 Q3 2011 9M 2011 Total 24.1% 23.9% 22.9% 23.6% LFL 13.8% 14.9% 15.5% 14.8% EMERGING Expansion (Number of stores) 2,378 2,132 2,035 588 533 499 237 DIA Market and DIA Maxi 1
Slide 27: 2011 outlook
2011 outlook 1 DIA Group expects to end fiscal year 2011 with net sales growth of over 3% in constant terms. 2 The company forecasts FY 2011 Adjusted Cash EBITDA of over EUR540m. 3 DIA Group expects to reach a commercial network of close to 6,800 stores at year-end of 2011. 27
Slide 28: Q&A
Q&A 28
Slide 29: Appendix
Appendix 29
Slide 30: DIA Group: ClubDIA
DIA GROUP: ClubDIA Mill. 30 26 million 2010 New Cardholders 2011 cardholders 25 4.2 20 14.1 15 0.7 21.8 10 13.4 3.2 3.2 3.3 5 2.1 0.2 0.4 0.8 3.0 2.8 2.5 2.1 0 Spain Portugal Argentina France Turkey TOTAL ClubDIA reached 26 million cardholders thanks to the 4.2 million new members who joined the pro
Slide 31: DIA Group: Balance Sheet
DIA GROUP: Balance Sheet SEPTEMBER DECEMBER SEPTEMBER EURm 2010 2010 2011 Non-current assets 2,174.0 2,141.5 2,159.9 Inventories 573.3 539.3 552.8 Trade & other receivables 237.9 179.0 214.7 Other current assets 106.5 76.7 102.3 Cash & cash equivalents 214.1 316.8 272.7 TOTAL ASSETS 3,305.8 3,253.4
Slide 32: DIA Group: Net sales
DIA GROUP: Net sales EURm 9M 2010 9M 2011 INC (w/o FX) INC Spain 3,066 3,067 0.0% 0.0% Portugal 615 601 -2.3% -2.3% IBERIA 3,681 3,668 -0.3% -0.3% FRANCE 1,887.4 1,771.9 -6.1% -6.1% Argentina 405 486 35.7% 20.1% Brazil 739 882 17.2% 19.4% Turkey 279 309 26.6% 10.8% China 121 126 5.8% 4.1% EMERGING M
Slide 33: DIA Group: Quarterly Adjusted Cash EBITDA
DIA GROUP: Quarterly Adjusted Cash EBITDA EURm Q1 2010 Q1 2011 INC (w/o FX) INC IBERIA 62 75 19.4% 19.4% FRANCE 15.6 16.9 7.8% 7.8% EMERGING MARKETS 2.4 7.7 221.6% 226.7% TOTAL DIA GROUP 80.4 99.0 23.1% 23.2% EURm Q2 2010 Q2 2011 INC (w/o FX) INC IBERIA 97.6 99.3 1.7% 1.7% FRANCE 26.2 22.9 -12.5% -1
Slide 34: Glossary
Glossary Gross sales under banner: total turnover value obtained in stores, including indirect taxes (sales receipt value) and in all the company’s stores, both integrated and franchised. Net sales: total accounting income after deducting to the gross sales under banner the indirect taxes and the ma
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