Grupo Bimbo SAB de CV Class A · BMV:BIMBO/A
Grupo Bimbo SAB de CV Class A — Investor Presentation (April 2013)
30 slides from Grupo Bimbo SAB de CV Class A's investor presentation, April 2013
Slide 1: Investor Presentation 1Q13
Investor Presentation 1Q13 1
Slide 2: Grupo Bimbo
Grupo Bimbo Global leader in baking and one of the largest packaged food players LTM 1Q13 Sales: USD $13.3 Bn1 LTM 1Q13 EBITDA: USD $1.1 Bn1 Presence in 19 countries +10,000 products and +100 brands Categories: packaged bread, salted snacks, confectionary, tortillas and packaged food Market Cap of U
Slide 3: Broad Asset Base
Broad Asset Base Control Group Float 125,000 associates 76% 24% 150 plants Central & Mexico USA Iberia Asia1 +2.2 MM South America POS +51,000 routes 1. Asia’s results are included in Mexico Page 3
Slide 4: Globally Present, Locally Committed
Globally Present, Locally Committed LTM Revenue Breakdown (US$13.3 Bn)2 Iberia Portugal & Spain 3% United States LatAm #1 in packaged baked Leader nationwide 13% goods #1 in premium brands Mexico Leading brands in sweet #1 in English muffins 38% baked goods and snack #1 portfolio of Hisp
Slide 5: Accelerated International Expansion
Successful Growth Case Strict 2011 Strategic Reinvestment Focus Accelerated International Expansion 2009 Sustainable Growth 00s Solid 90s Balance … 80s Sheet 70s Successful growth story through a combination 60s of organic growth, strategic acquisitions 50s combined with a conservative financial pol
Slide 6: Key Success Drivers
Key Success Drivers Long Run Player Innovation Dedication in a Very & to Bakery Attractive and Brand Equity Deep Consumer Industry Non-Cyclical Understanding Industry Over the last decade GB shifted from a strong local player to a leader in the Americas Experienced Socially & Responsible Management
Slide 7: Leading Player in an Attractive Non-Cyclical Industry
Leading Player in an Attractive Non- Cyclical Industry 1 LTM Revenues in US$MM Attractive High Non- Resilient 13,298 industry consumption discretionary 10,505 Industry frequency products 8,673 Fundamentals 3,046 1,759 2 Key success Innovation & Strong Distribution, Packaged Bread Penetration product
Slide 8: Strong Brand Equity and Deep Consumer Understanding
Strong Brand Equity and Deep Consumer Understanding Taking innovative products Broad portfolio around the world Every meal, every occasion, every Extraordinary Deep consumer group Brand consumer Awareness understanding Products that 6 R&D have changed Institutes the Keep up with Leadership in core i
Slide 9: Exceptional Distribution Network and Manufacturing Facilities
Exceptional Distribution Network and Manufacturing Facilities +51,000 Unique expertise in moving routes high volume products On of the largest fleets Attuned distribution Access to in the Americas model for Low cost unmatched each channel manufacturing technological equipment 9 Page 9
Slide 10: Seasoned Management Team, Sound Governance & Strong Corporate Identity
Seasoned Management Team, Sound Governance & Strong Corporate Identity Roberto Servitje Positioned the company as the market leader Chairman of the Board Proven track record of stability and growth Seasoned Successfully integrated more than 30 Audit Committee Compensation & Finance & Planning Manage
Slide 11: Strong Financial Performance
Strong Financial Performance Revenue Growth1 EBITDA Growth1 (US$ in millions) (US$ in millions) EBITDA Margin 13,164 13,298 10,733 1,173 1,224 0 1,183 1,103 9,273 0 1,070 8,619 7,375 881 0 -6 2008 2009 2010 2011* 2012* LTM 1Q13* 2008 2009 2010 2011* 2012* LTM 1Q13* Latin America U.S. Mexico GB 11.9%
Slide 12: Financial Stability
Financial Stability EBIT % EBITDA % Gross % Commodities Commodities/ Integration 56.2 56.7 54.8 53.3 53.1 53.7 53.3 53.0 54.0 53.4 52.8 52.8 52.8 51.2 51.1 51.0 50.7 51.0 48.6 47.9 13 13.5 13.8 13.7 14.1 13.6 12.8 12.2 12.0 13.6 13.2 12.3 11.9 10.7 10.3 11.1 11.0 9.5 8.1 8.3 9.7 9.7 9.9 10.3 9.7 10.
Slide 13: Responsible Financial Policies
Responsible Financial Policies Flexible Capital Structure Leverage Total Debt/EBITDA 1 #REF! 3.3 Net Debt/ EBITDA 3.1 3.0 Rapid deleveraging: target <2x 2.8 2.4 2.9 2.2 2.7 2.5 2.0 1.9 1.2 1.1 0.9 0.6 0.7 Investment grade ratings: 0.4 0.2 0.4 Baa2/BBB/BBB (Moody’s/Fitch/S&P) 2005 2006 2007 2008 2009
Slide 14: Responsible Financial Management
Responsible Financial Management Amortization Schedule1 Average Life: 5.6 years Total Debt: US$3,098 mm Av. Financing Cost: 4.5% Jan 2012: 198 US$800mm of 85 800 800 4.5% due 2022 under Reg-S Rule 405 405 405 Current undrawn 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 committed facilities Feb
Slide 15: Building a Sustainable Future
Building a Sustainable Future We understand there is no conflict in doing good and doing well Wind farm in Mexico 10K families WHO and SSA Energy consumption supported by guidelines down 11m kWh +127K associates in “Fundar” 19 countries Trans fats removed Water consumption 65K indigenous from 99.5%
Slide 16: Looking Ahead
Looking Ahead
Slide 17: A Transitional Year
A Transitional Year Synergistic Transaction Long Term Vision- Do It Right One time costs are necessary to IT Efficient operation with value capture synergies (US$200mm) Leadership Manufacturing creation to consumers Growth 1. Cost Distribution Strong CF generation S&A EFICIENCY Industry Transformati
Slide 18: Time to Invest
Time to Invest Our Strong Cash Flow Generation Backs our Investment Plan Investments are clearly focused on productivity US synergies- reconfigure manufacturing print Streamline manufacturing capabilities Low- Cost LatAm- Build scale and market penetration Producer Next couple of years…CAPEX around
Slide 19: Time to deleverage
Time to deleverage Total Debt/ EBITDA 3.3x1 3.1x 2.5x 3.0x 2.2x 1.9x 2.8x 1.5x 2.3x 1.1x 1.2x 0.9x 1.1x 0.7x 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011* 2012* LTM 1Q13* Weston West Weston East Sara Lee 1.Pro forma figures with Weston Foods acquisition * 2011, 2012 and 2013 in IFRS P
Slide 20: Why Grupo Bimbo?
5 year return in USD1 Why Grupo Bimbo? -30% +16% +97% 1 Long-term value creation +13% 2 Strongly positioned in local & International indexes 3 Focused on our core business 4 Cash flow stability 5 Successful deleveraging and solid investment grade ratings 6 Strong & continuous reinvestment 7 Responsi
Slide 21: Annex: Financial Results by Region & Recent Acquisitions
Annex: Financial Results by Region & Recent Acquisitions 21
Slide 22: Grupo Bimbo - Quarterly Results
Grupo Bimbo - Quarterly Results Revenue Growth EBITDA (MXN$ in millions) 1.6% (MXN$ in millions) 7.8% 41,028 41,674 7.1% 2,908 3,243 1Q 1Q Sales '12 Sales '13 EBITDA '12 EBITDA '13 Pricing activity Stable input costs in Mexico and the benefit of FX Volume decline in Mexico and Latam Productivi
Slide 23: Mexico - Quarterly Results
Mexico- Quarterly Results Revenue Growth EBITDA (MXN$ in millions) (MXN$ in millions) 9,000 1.7% 11.7% 8,000 17,740 7,000 6,000 10.9% 5,000 17,435 4,000 3,000 1,896 2,071 2,000 1,000 0 1Q 1Q Sales '12 Sales '13 EBITDA '12 EBITDA '13 Pricing actions negative impact on volumes in Benefit of FX rates
Slide 24: United States - Quarterly Results
United States- Quarterly Results Revenue Growth EBITDA (MXN$ in millions) (MXN$ in millions) 2.0% 9,000 18,216 8,000 7,000 7.0% 6,000 17,861 5,000 4.7% 4,000 3,000 2,000 1,278 837 1,000 0 1Q 1Q Sales '12 Sales '13 EBITDA '12 EBITDA '13 Market share gains: opportunities in the marketplace, new cate
Slide 25: Latin America - Quarterly Results
Latin America- Quarterly Results Revenue Growth EBITDA (MXN$ in millions) (MXN$ in millions) -1.2% 5,493 5,428 4.4% 242 -0.7% -38 1Q Sales '12 Sales '13 EBITDA '12 EBITDA '13 EBITDA margin '12 1Q EBITDA margin '13 Deceleration of volume growth on weak Lower absorption of costs due to volume decelera
Slide 26: Iberia - Quarterly Results
Iberia - Quarterly Results Revenue Growth EBITDA (MXN$ in millions) (MXN$ in millions) EBITDA '12 EBITDA '13 EBITDA margin '12 EBITDA margin '13 -3.5% -6.2% -5.0% 1,264 1,219 -7.0% -8.2% -9.0% -75 -11.0% 1Q -104 -13.0% Sales '12 Sales '13 -15.0% 1Q Challenging economic environment Integration proces
Slide 27: Recent Acquisitions
Recent Acquisitions Sara Lee North American Fresh Bakery - Earthgrains Synergies(d) Pro Forma(b) Acquired for an all-cash purchase price of US$709 million (Initial value: US$959 million), which includes US$34 million in assumed liabilities Net revenues (US$ mm) 3,701 2,036 5,737 EBITDA (US$ mm) 40
Slide 28: Recent Acquisitions
Recent Acquisitions Sara Lee Spain and Portugal Fargo Brands Acquired for an all-cash purchase price of €115 million This acquisition will further strengthen Grupo Bimbo’s regional profile and growth strategy in Latin America Entry to sizeable market through established brand leader Market l
Slide 29: Thank you
Thank you Page 29
Slide 30: Disclaimer
The information contained herein has been prepared by Grupo Bimbo, S.A.B. de C.V. (the “Company") solely for use at investors´ presentations. The information herein is only a summary and does not purport to be complete. This material has been prepared solely for informational purposes and should not