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49TH ANNUAL GENERAL MEETING
CARLSBERG BREWERY MALAYSIA BERHAD
Sime Darby Convention Centre Wednesday, 10 April 2019
PRESENTATION
2MANAGING DIRECTOR
- MR. LARS LEHMANN
ANNUAL GENERAL MEETING CARLSBERG BREWERY MALAYSIA BERHAD Sime - - PowerPoint PPT Presentation
ANNUAL GENERAL MEETING CARLSBERG BREWERY MALAYSIA BERHAD Sime - - PowerPoint PPT Presentation
49 TH ANNUAL GENERAL MEETING CARLSBERG BREWERY MALAYSIA BERHAD Sime Darby Convention Centre Wednesday, 10 April 2019 PRESENTATION MANAGING DIRECTOR MR. LARS LEHMANN 2 2018 RESULTS 3 14.6 % REVENUE to RM1.98 bil 25.3 % to RM277.2 mil
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2018 RESULTS
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FY18 FY18
14.6% 25.3%
NET PROFIT REVENUE to RM1.98 bil to RM277.2 mil
delivered record growth and shareholder value
7.4%
to RM328.0 mil FREE CASH FLOW
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Divide idend d at 100.0 .0 sen*, *,
110. 0.3% 3% payou
- ut ratio
- f FY18 net profi
fit
Outstandin nding g pe perf rforma rmanc nce e from MY Share of P Profits its
- f RM21 mil
from LBCP
(vs RM0.2 mil share of loss in FY17)Hi Higher r
- perating
ting profit t from SG
(partly due to one-off RM17.2 mil trade offer adjustments in FY17) *Incl. proposed FINAL and SPECIAL dividends subject to shareholders’ approval at 49th AGM.FY’18
SATISF SATISFACTORY ACTORY PERFORMAN PERFORMANCE IN CE IN
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PROBABLY THE BEST YEAR IN MY, SG & SL
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DIVIDENDS FROM 2012 TO 2018
Rate per share (sen) 5.0 5.0 5.0 5.0 5.0 10.0 20.0 15.7 16.0 16.6 58.0 56.0 66.0 67.0 67.0 66.0 22.4 11.0 9.3
63.0 61.0 71.0 72.0 72.0 87.0
0.0 10.0 20.0 30.0 40.0 50.0 60.0 70.0 80.0 90.0 100.0
2012 2013 2014 2015 2016 2017 2018
Special Dividend (Single Tier) Final Dividend (Single Tier) Fourth Interim Dividend (Single Tier) Third Interim Dividend (Single Tier) Second Interim Dividend (Single Tier) First Interim Dividend (Single Tier)
*Proposed FINAL and SPECIAL dividends subject to the shareholders’ approval at 49th Annual General Meeting.
100.0*
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FY2018
BRAND PERFORMANCE
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CARLSB SBER ERG GREE EEN N LABEL EL
+8%
CARLSB SBER ERG SMOO OOTH TH DRAUGHT UGHT
+58%
Outstanding Mainstream Growth from Carlsberg Smooth Draught
FY 2018 vs FY 2017
+12%
IN VOLUME
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Strong DOUBLE-DIGIT Growth for Premium Brands
+40% +24% +42% +8%
FY 2018 vs FY 2017
+20%
IN VOLUME
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Craft Beer Growing as New Revenue Stream
+178%
IN VOLUME
Launc nch h of flagsh ship ip Brookly klyn n Bar in in MY Se Seasonal
- nal
variants ants in SG
FY 2018 vs FY 2017
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FOCUSED EXECUTION ON
INNOVATION, QUALITY & CONSUMERS
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1 1 - 30 Apr ‘19 15 May – 15 Jun ‘19
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RISING COSTS OF RAW MATERIALS
1. Escalating production costs:
- Malt prices up by 15% to 20% due to bad
barley harvests in Europe and Australia
- Prices of glass bottles increased by 4% in 2019
- vs. 2018’s prices.
- Utilities costs up 6.6% in July 2018.
2. To mitigate the cost, we adjusted the price of certain products to distributors and retailers between 3% to 6% effective 1 April l 2019. We are mindful of the impact of any price adjustment and have kept this a minimum to ensure our products remain affordable and competitive in the marketplace.
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REGULATORY DEVELOPMENTS
1. 1. Smoking
- king ban:
n: negative impact on consumption in eateries. 2. 2. Impo port rt licenc ences: s: stricter issuance for alcohol, benefitting local brewers in the long-run. 3. 3. Duty-fr free ee isla lands: nds: purchase restrictions on alcohol lifted from 27 March 2019. 4. 4. Great ater r enfor
- rceme
ement nt: crackdown on contraband alcohol products saw roughly +30% increase in excise duty on duty-paid production in Jan to Feb 2019. 5. 5. “Sugar Tax”: postponement until 1 July 2019. 6. 6. EU EU-Si Singap gapor
- re
e Trade de Agreeme ement: nt: implementation in Q4 2019 will see tougher competition from imports.
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CHANGES TO MANAGEMENT TEAM
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THEODORE ”TED” AKISKALOS
- MANAGING DIRECTOR effective 1 May 2019
- Replacing Lars Lehmann, who has been promoted to ExCom of
Carlsberg A/S and CEO of Baltika Russia effective 1 May 2019.
- A Greek aged 40, the current Managing Director of Carlsberg
Sweden.
- Throughout his 9 years with the Carlsberg Group, Ted has led
various transformational projects, served as MD of Carlsberg Sweden: made the biz returned to growth in top- and bottom- line as well as MD of Carlsberg Hong Kong which became the market leader.
- Prior to joining the Carlsberg Group, Akiskalos was Associate
Principal of McKinsey & Company based in Boston, USA.
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CAROLINE MOREAU NEW MARKETING DIRECTOR
- Replaced Charles Wong as of 7 January 2019.
- Caroline is responsible for brand and channel marketing and
market research.
- She has been with the Carlsberg Group since 2007 where her
last role was as Commercial Director of Global Craft and Specialty Beer.
- She has 19 years of international experience in the Fast-
Moving Consumer Goods (FMCG) industry.
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OUTLOOK
2019
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OUTLOOK FOR 2019
Continue our focused execution of SAIL’22 strategy in MY and SG. Rising prices for raw and packaging materials will have a negative impact on our production costs, but offset by price adjustments in April. Invest in great innovations, excellent product quality and relevant consumer activations. In Malaysia, ongoing cooperation with the authorities for greater enforcement against contraband.
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