Mitchells & Butlers plc · LSE:MAB
Mitchells & Butlers — H1 2011 Earnings Presentation
9 slides from Mitchells & Butlers's earnings presentation, May 20, 2011
Slide 1: Supplementary Information – Half Year Results
Supplementary Information Half Year Results – 20 May 2011
Slide 2: Food and drink market (£bn)
Food and drink market (£bn) Total £103bn £70bn £173bn 100% Alcohol 15 Alcohol without food 16 80 Alcohol with food 11 60 Food and soft drinks 88 40 Food and soft drinks 43 20 0 In Home Out of Home £70bn eating and drinking out market Source: Q4 2010 Consumer Trends, ONS 2
Slide 3: Eating out continues to grow
Eating out continues to grow 1985 to 2010 Total Total 80 (Real) Market consumer expenditure (£bn) (Nominal) 5.4% 0.7% 70 60 50 7.3% 2.3% 40 30 20 3.4% -0.9% 10 CAGR Actual 0 19 19 19 19 19 19 19 19 19 19 19 19 19 19 19 20 20 20 20 20 20 20 20 20 20 20 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 00
Slide 4: Eating out of home: over £40bn market in attractive long term growth
Current Expenditure £bn 25 27 29 31 33 35 37 39 41 43 45 2000 Q1 2000 Q2 MAT eating out of home data 2000 Q3 2000 Q4 2001 Q1 Source: Q4 2010 Consumer Trends, ONS 2001 Q2 2001 Q3 2001 Q4 2002 Q1 2002 Q2 2002 Q3 2002 Q4 2003 Q1 2003 Q2 2003 Q3 2003 Q4 2004 Q1 2004 Q2 2004 Q3 Eating out of home 2004 Q4
Slide 5: Drinking out of home: market substantially down from 2008 peak
Current Expenditure £bn 20 21 22 23 24 25 26 27 28 29 30 2000 Q1 2000 Q2 MAT drinking out of home data 2000 Q3 2000 Q4 2001 Q1 Source: Q4 2010 Consumer Trends, ONS 2001 Q2 2001 Q3 2001 Q4 the home 2002 Q1 2002 Q2 2002 Q3 2002 Q4 2003 Q1 2003 Q2 2003 Q3 2003 Q4 2004 Q1 2004 Q2 2004 Q3 2004 Q4 2005 Q1
Slide 6: Average main meal price (£)
Average main meal price (£) £0.00 £2.00 £4.00 £6.00 £8.00 £10.00 £12.00 £14.00 NB. Excludes promotions Crown Carveries O'Neill's Source: CGA data, MAB estimates Walkabout Hungry Horse Sizzling Pub Co Wetherspoons Ember All Bar One Brewers Fayre Toby Carvery Harvester Slug & Lettuce Gourmet Burger Ki
Slide 7: Estate details by food spend
Estate details by food spend High Miller & Harvester Carter Crown 176 Food related sales as % of sales Carveries Toby 21 Vintage Inns 116 135 224 21 78 Sizzling Browns Premium Pubs Ember 47 Country 212 All Bar One Dining 135 Town & Community Nicholson’s 80 Metropolitan 81 O’Neill’s Professionals 96
Slide 8: Outlet reconciliation H1 2011
Outlet reconciliation H1 2011 Total Franchised Total MAB Managed Closing outlets (end FY 10) 1909 86 1823 Transfers 0 0 0 Disposals (360) (14) (346) Acquisitions* 35 0 35 Closing outlets (end H1 11) 1584 72 1512 Average trading pubs** 1578 Average weekly take** £21.1k AWT retained estate** £21.4k No
Slide 9: Financial covenants summary H1 2011
Financial covenants summary H1 2011 Securitisation Restricted Payment Tests Test Actual Headroom (Relevant Year) Free Cashflow to Debt Service 1.3x 1.6x £55m EBITDA to Debt Service 1.7x 2.0x £54m Securitisation Covenants Covenant Actual Headroom (Relevant Year) Free Cashflow to Debt Service 1.1x 1.6