Grupo Bimbo SAB de CV Class A · BMV:BIMBO/A
Grupo Bimbo SAB de CV Class A — Q2 2015 Earnings Presentation
27 slides from Grupo Bimbo SAB de CV Class A's earnings presentation, July 2015
Slide 1: Investors Presentation Second Quarter 2015
INVESTORS PRESENTATION Second Quarter 2015
Slide 2: Control Group, Float and Market Cap Key Figures
Control Group: 77% Market Cap: US$12 bn(1) Float: 23% LTM 2Q’15 Revenues(2) Countries Plants Routes Sales Centers POS Associates Brands Products US$14.2 Bn 22 165 ≈52,000 ≈1,700 ≈2.5 million ≈129,000 ≈100 ≈10,000 5 YR CAGR: 8.9% Central and U.S. & Canada Mexico Europe Asia South America U.S. Canada
Slide 3: Where do we stand?
Where do we stand? A Global Consumer Products Company and the leader in the baking industry space Remarkable growth story with financial stability Investments on manufacturing and logistics capabilities targeted to foster productivity Unyielding discipline on a conservative financial policy Successf
Slide 4: Successful Growth Case
Successful Growth Case Long term view and a strict reinvestment policy Strict and execution continue to drive organic growth Innovation Reinvestment 2015 Acquisitions have been a key component to gain global reach 2014 Leadership position in both, mature and high growth markets 2011 Accele
Slide 5: Key Success Drivers
Key Success Drivers 1 Leading Global Baking Company 5 Best-in-Class 2 Operating Capabilities Solid Growth Platform 4 3 Unique Portfolio of Highly Seasoned Management Team, Recognized Brands and Sound Governance & Strong Innovative Products Corporate Identity 5
Slide 6: A Well Balanced Business with a Strong Leadership Position in each Market
A Well Balanced Business with a Strong Leadership Position in each Market U.S. Portugal, Spain & U.K. China(1) Leader nationwide #1 in bread & rolls in Spain Pioneer in developing #1 in premium brands #2 in bread & rolls in Portugal packaged baked goods #1 in English muffins in Beijing a
Slide 7: Solid Growth Platform
Solid Growth Platform Packaged Bread Penetration(1) Global Baking Industry Market Share(2) Opportunity to increase market penetration and leverage scale Plenty of room to continue growing 4% 3% 2% 64% 62% 33% 27% 26% 17% 12% 9% 7% Other 91% Attractive Positioning to Boost Growth Potential to increas
Slide 8: Seasoned Management Team, Sound Governance & Strong Corporate Identity
Seasoned Management Team, Sound Governance & Strong Corporate Identity Management Daniel Servitje Positioned the Company as market leader in the products and Chairman of the Board countries where present Proven track record of stability and sustainable growth Audit Committee and Results and Eval
Slide 9: Unique Brands' Portfolio
Unique Brands’ Portfolio Power Brands, Coupled with Strong Regional Brands Billion-dollar brands with global presence Achieved leadership in core product categories in key markets . . . . . . . . Top-of-mind awareness that upholds consumer loyalty Introduction of umbrella brands adapted to l
Slide 10: Developing Products and Categories that Lead New Megatrends
We are Developing Products and Categories that Lead New Megatrends New products capitalizing on consumer trends Nutritional profile improvements with a health & wellness focus Six innovation and nutrition institutes for new and better product development 2 in U.S., 1 in Mexico, 1 in Brazil,
Slide 11: World Class Manufacturing Capabilities and Unparalleled Distribution Network
World Class Manufacturing Capabilities coupled with an Unparalleled Distribution Network Exceptional Manufacturing Guarantees Unmatched Distribution Network Focus in low-cost manufacturing and quality and freshness Direct store distribution with one of boost efficiency the largest truck fleets
Slide 12: Building a Sustainable Future
Building a Sustainable Future We understand there is no conflict in doing good and doing well WHO and SSA Our wind farm in +300K credits to guidelines Mexico represents family owned +129K associates in Product 23% of total energy business 22 countries reformulation and consumption 72K students innov
Slide 13: Strong Financial Performance
Strong Financial Performance Revenue Growth1 EBITDA Growth1 (US$ in millions) (US$ in millions) EBITDA Margin 13,786 14,064 14,232 13,164 1,357 1,370 1,447 10,733 1,224 1,183 9,273 1,070 2010 2011* 2012 2013 2014 LTM 2Q'15 2010 2011* 2012 2013 2014 LTM 2Q'15 Europe Latin America U.S. & Canada Mexico
Slide 14: Cash Flow Stability Across Time Allows Long Term Planning and Risk Management
Cash Flow Stability Across Time Allows Long Term Planning and Risk Management Margins Evolution (%) EBIT Margin EBITDA Margin Gross Margin 56.2 56.7 54.8 53.7 54.0 53.4 53.3 53.1 53.3 53.0 52.8 52.8 52.8 52.3 53.0 52.8 51.2 51.1 51.0 50.7 48.6 47.9 Integration/transformation efforts & IFRS 13.0 13.5
Slide 15: Responsible Financial Policies
Responsible Financial Policies Responsible Financial Management Dividend History(1) (MXN in millions) Commitment to a strong Balance Sheet Ordinary Dividends Extraordinary Dividends Ongoing financial flexibility through a US$2 billion multi-currency revolving credit facility, maturing on 1,646 M
Slide 16: Conservative Approach towards Leverage
Conservative Approach towards Leverage Debt Amortization Profile(1) Track Record of Deleveraging Total Debt: US$3,890 mm (Total Debt/EBITDA) Avg. Tenor: 8.5 yrs. Avg. Cost: 4.4% 800 800 800 3.3x(2) 3.2x(3) 3.1x 3.0x 3.1x 500 2.5x 2.3x 1.9x 2.3x 321 321 2.2x 1.5x 225 1.1x 1.2x 1.1x 123 0.9x 0.7x 2015
Slide 17: Recent Developments
Recent Developments 17
Slide 18: Vachon Acquisition
Vachon Acquisition Vachon is the leading producer of snack Well-positioned brands cakes in Canada. Expected Revenues: CAD$130 million Adjusted EBITDA: CAD$16 million (12.3% margin) 1 plant in Quebec ≈ 200 routes ≈ 100 products Purchase price: CAD$120 million 18
Slide 19: BBU Transformation
BBU Transformation U.S. Baking Consolidation Bimbo Bakeries USA (BBU) Transformational Work Evolving Competitive Landscape in the Last Decade Creating the New BBU Closed 18 bakeries, opened 2 state-of- Private Label 4% 5% Asset Strategy the-art bakeries 2004 11% 25% Invest to ensure efficiency a
Slide 20: Annex: Financial Results by Region
Annex: Financial Results by Region 20
Slide 21: Grupo Bimbo - Quarterly Results
Grupo Bimbo - Quarterly Results Revenue Growth EBITDA (MXN$ in millions) (MXN$ in millions) 18.1% 8.5% 10.6% 20.0% 53,093 10.3% 49,843 7.1% 44,941 41,558 5,654 4,228 4,653 2,955 1Q 2Q 1Q 2Q Sales '14 Sales '15 EBITDA '14 EBITDA '15 EBITDA margin '14 EBITDA margin '15 Higher sales in all regions
Slide 22: Mexico - Quarterly Results
Mexico - Quarterly Results Revenue Growth EBITDA (MXN$ in millions) (MXN$ in millions) 9,0 00 17.5% 5.3% 8,0 00 6.3% 14.5% 7,0 00 15.7% 6,0 00 18,824 18,631 5,0 00 17,709 17,692 4,0 00 11.7% 2,782 3,255 3,0 00 2,731 2,072 2,0 00 1,0 00 0 1Q 2Q 1Q 2Q Sales '14 Sales '15 EBITDA '14 EBITDA '15 EBITDA m
Slide 23: US & Canada - Quarterly Results
US & Canada - Quarterly Results Revenue Growth EBITDA (MXN$ in millions) (MXN$ in millions) 6,0 00 31.4% 8.6% 35.4% 28,307 5,0 00 5.1% 24,935 4,0 00 8.0% 3,0 00 21,548 4.4% 2,438 18,415 2,0 00 1,727 1,267 1,0 00 801 0 1Q 2Q 1Q 2Q Sales '14 Sales '15 EBITDA '14 EBITDA '15 EBITDA margin '14 EBITDA mar
Slide 24: Latin America - Quarterly Results
Latin America - Quarterly Results Revenue Growth EBITDA (MXN$ in millions) (MXN$ in millions) 2.4% 2.5% 735 10.3% 1.7% 0.0% 10.3% 535 335 5,595 5,689 123 127 5,073 93 5,159 135 -1 -65 -265 -465 1Q 2Q 1Q 2Q Sales '14 Sales '15 EBITDA '14 EBITDA '15 EBITDA margin '14 EBITDA margin '15 Supan acquisit
Slide 25: Europe - Quarterly Results
Europe - Quarterly Results Revenue Growth EBITDA (MXN$ in millions) (MXN$ in millions) 0.4% -0.5% 735 23.0% 13.5% 535 -3.3% -6.0% 335 1,785 1,858 1,451 1,637 135 7 -65 -47 -9 -265 -112 -465 1Q 2Q 1Q 2Q Sales '14 Sales '15 EBITDA '14 EBITDA '15 EBITDA margin '14 EBITDA margin '15 UK operation acqui
Slide 26: Thank you
Thank you 26
Slide 27: 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