Fourth Quarter
2013
Earnings Presentation
2013 Fourth Quarter www.cencosud.com 2 The information contained - - PowerPoint PPT Presentation
Earnings Presentation Fourth Quarter 2013 Fourth Quarter www.cencosud.com 2 The information contained herein has been prepared by Cencosud S.A. (Cencosud) solely for informational purposes and is not to be construed as a solicitation
Earnings Presentation
The information contained herein has been prepared by Cencosud S.A. (“Cencosud”) solely for informational purposes and is not to be construed as a solicitation or an offer to buy or sell any securities and should not be treated as giving investment or other advice. No representation or warranty, either express or implied, is provided in relation to the accuracy, completeness or reliability of the information contained herein. Any opinions expressed in this presentation are subject to change without notice and Cencosud is under no obligation to update or keep current the information contained herein. The information contained herein does not purport to be complete and is qualified in its entirety by reference to more detailed information included in the preliminary offering memorandum. Cencosud and its respective affiliates, agents, directors, partners and employees accept no liability whatsoever for any loss or damage of any kind arising out of the use of all or any part of this material. This presentation may contain statements that are forward-looking subject to risks and uncertainties and factors, which are based on current expectations and projections about future events and trends that may affect Cencosud’s business. You are cautioned that any such forward-looking statements are not guarantees of future performance. Several factors may adversely affect the estimates and assumptions on which these forward- looking statements are based, many of which are beyond our control.
2 Fourth Quarter www.cencosud.com
Quarter: Solid results
73% of our revenues.
Adjusted EBITDA grew 18.3% adjusted EBITDA margin increased 55 bps to 8.8%
Revenues increased 11.0% YoY in CLP Net Profit increased 40.1% YoY in CLP
3 Fourth Quarter www.cencosud.com
Chile, Argentina
shopping centers.
Adjusted EBITDA grew 12.5% and adjusted EBITDA margin almost flat
revenues
implementation of SAP; Colombia still building brand recognition
increased EBITDA
EBITDA
Colombia home improvement increased expenses
Full Year: Mixed results for different business
4 Fourth Quarter www.cencosud.com
Net Profit decreased 15.8% YoY in CLP Revenues increased 13.0% YoY in CLP
5 Fourth Quarter
By Business
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Supermarkets
Revenue evolution (CLP bn) Adjusted EBITDA evolution (CLP bn) SSS evolution by country in local currency
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Revenue evolution (CLP bn) Adjusted EBITDA evolution (CLP bn) SSS evolution by country in local currency
7 Fourth Quarter
Home Improvement
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Revenue evolution (CLP bn) Adjusted EBITDA evolution (CLP bn)
8 Fourth Quarter
Shopping Centers
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9 Fourth Quarter
Financial Services
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Revenue evolution (CLP bn) Adjusted EBITDA evolution (CLP bn) 2014 SSS Chile evolution
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Department Store
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11 Fourth Quarter
Financial Structure
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12 Fourth Quarter
Net debt evolution (US$ bn) Net leverage (net debt/EBITDA)
Financial Ratios
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13 Fourth Quarter
Amortization Schedule & Refinancing
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Home Improvement, Department Stores, Shopping Centers all showed strong performance Supermarkets had challenging year in Brazil; Metro and Jumbo are still building brand awareness in Colombia Financial Services transaction fell through Q4 results showed improved revenue and margins
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2013 Summary & Highlights
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Supply Chain Greater Autonomy In our Chains SSS Focus
15 Fourth Quarter
2014 Priorities: Brazil
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2014 Priorities: Colombia SSS Positive Brand Awareness Product Mix
16 Fourth Quarter www.cencosud.com
Focus on mearures to reduce net debt / adjusted EBITDA ratio in 1H14 Refinancing improves liquidity position
Already taken measures to improve leverage ratio
Considering options to raise additional cash by monetizing asset base
Further reduced capex budget Cost-savings initiatives
17 Fourth Quarter
2014 Priorities: Leverage
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Cencosud remains well-positioned across different retail markets Strategies in Brazil and Colombia to yield improved results in 2014 Focus on efficiency across business Multiple methods to reduce leverage
18 Fourth Quarter
Conclusion
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