[PPT] - INTERIM RESULTS PERIOD ENDED 30 th JUNE 2016 Charles Rolls PowerPoint Presentation

SLIDE 1

INTERIM RESULTS

PERIOD ENDED 30th JUNE 2016 Charles Rolls – Co-founder and Executive Deputy Chairman Tim Warrillow – Co-founder and CEO Andrew Branchflower – Finance Director

SLIDE 2

HIGHLIGHTS Momentum continued from 2015, exceptional growth in H1 2016

£m H1 16 H1 15 Growth Revenue

40.6 24.1 69%

Gross profit

22.3 12.1 83%

Gross margin

54.8% 50.5%

EBITDA

12.4 7.2 72%

EBITDA margin

30.7% 30.0%

Continuing to deliver to strategy
Strong growth across the regions, particularly UK
Improved gross margins through forex upside and

continuation of H2 15 operational efficiencies

No notable change in competitive landscape
Robust balance sheet with net cash of £18.6m at

year end

Interim dividend of 1.54 pence per share

Net revenue and growth by region – H1 16

Growth 108% Growth 59% Growth 42% Growth 73%

SLIDE 3

REGIONAL HIGHLIGHTS Regional highlights (i)

39% of total revenue generated in UK
Growth of 108%
57% of revenue is generated in On-Trade. Increased footprint to 10k
utlets; strategic focus on partnership with key wholesalers
Notable growth in the Off-Trade, however, tougher comparatives in

H2 16. New distribution wins in period, notably Asda in May16, and continued impressive rate of sale growth

150ml can has performed particularly well since launch in June15,

24% of Off-Trade sales mix in H1 16. March16 airline listing with Easyjet and expanded to full fleet at British Airways from July16

UK

33% of total revenue generated in Continental Europe
Growth of 42% across region aided by strengthening Euro; 33%

growth on a like for like basis

Continued impressive sales growth in Western Europe driven by the

premium gin and tonic trend gaining momentum across the region

Significant retail listings from 2015 are performing well with some

additional new listings in H1 16

Continental Europe

SLIDE 4

REGIONAL HIGHLIGHTS Regional highlights (ii)

23% of total revenue generated in USA
Growth of 59%, aided by strong USD; like for like growth of 46%
Continued strong Ginger Beer and Tonic flavours growth, both are

40% of sales mix and growing at 60%

2015 retail listings performing well, with further new listings and

range extensions achieved in H1 16

USA

5% of total revenue generated in RoW region
Growth of 73%
Key territories remain Australia, Canada and Colombia
No new territories added in H1 16

RoW

SLIDE 5

FINANCIAL REVIEW Income statement (i) – Overview

Revenue of £40.6m
Growth of 69% on H1 15
Gross profit margin of 54.8%
Vs 50.5% in H1 15
EBITDA of £12.4m at a margin of

30.7%

Vs 30.0% in H1 15

£m H1 16 H1 15 Growth Revenue

40.6 24.1 69%

Gross profit

22.3 12.1 83%

Gross margin 54.8% 50.5% EBITDA*

12.4 7.2 72%

EBITDA margin 30.7% 30.0%

Net revenue split by region – H1 16

UK 39% USA 23% Continental Europe 33% RoW 5%

SLIDE 6

FINANCIAL REVIEW Income statement (ii) –Forex : like for like analysis

£m Reported H1 16 H1 15 Growth Like-for-Like H1 16 Growth Revenue 40.6 24.1 69% 39.0 62% Gross profit 22.3 12.1 83% 20.9 72%

Gross margin 54.8% 50.5% 53.5%

EBITDA 12.4 7.2 72% 12.4 72%

EBITDA margin 30.7% 30.0% 31.9%

Revenue of £40.6m
FX upside as Euro has strengthened by 7%

and Dollar has strengthened by 8% on average across H1 16

Additional £1.6m of revenue generated due

to FX upside, without which growth would have been 62%

Gross profit margin of 54.8%
On a like for like basis, H1 16 GP% is

53.5%, this underlying improvement vs H1 15 is a continuation of the from product cost and logistics efficiencies in H2 15

EBITDA of £12.4m at a margin of 30.7%
Reported operating expenses include a £1.4m

unrealised loss on outstanding forward contracts

On a like-for-like basis EBITDA margin in H1 16

is 31.9%

SLIDE 7

FINANCIAL REVIEW Income statement (iii) – Other costs

Finance expenses
Bank debt refinanced in Jan16 resulting in

reduced finance expense going forward

LTIP Charges
It is expected that these will build going

forward following May16 LTIP grants

EPS and dividend
Basic EPS of 8.18 pence in H1 16, growth
f 83% on H1 15
Interim dividend of 1.54 pence per share

£m Reported H1 16 H1 15 EBITDA

12.4 7.2

Depreciation

(0.1) <(0.1)

Amortisation

(0.4) (0.4)

LTIP charges

(0.1) <(0.1)

Operating profit

11.9 6.8

Finance expenses

(0.1) (0.2)

Profit before Tax

11.8 6.6

Tax

(2.4) (1.4)

Profit after Tax

9.4 5.2

Basic EPS (pence)

8.18 4.48

SLIDE 8

FINANCIAL REVIEW Balance Sheet

Operating Cash flow conversion of 95%
Working capital profile at end June less consistent

than at year end

Expected that operating cash flow conversion will

revert towards historic levels by year end £m H1 16 H1 15 EBITDA

12.4 7.2

Working Capital mvmt

(0.6) (1.3)

Operating Cash flow

11.8 6.0

Conversion 95% 82% Tax (1.8) (0.8) Capital expenditure (0.3) (0.2) Bank loan interest and repayment (0.1) (0.3) Dividends paid (2.6) (0.3)

Net Cash flow

7.0 4.4

£m H1 16 H1 15 PPE 0.8 0.4 Intangibles 43.5 44.2 Stock 5.9 5.4 Receivables 20.4 10.8 Derivatives (1.4) 0.4 Cash 24.7 14.0 Creditors (10.7) (7.0) Corporation tax (2.3) (1.4) Gross debt (6.1) (6.1) Deferred tax (2.5) (2.6) Net Assets

72.3 58.1

Cash flow

Net cash of £18.6m
Cash of £24.7m offset by £6.1m of gross

debt

SLIDE 9

STRATEGIC CONSIDERATIONS

Appointment of new importers in Spain, Netherlands

and Singapore

On-going review of international distribution

partners

Strengthening distribution in existing markets and expanding into new markets

Strengthening premiumisation and mixability trends
Co-promotional activity

Capitalising on market trends

New bespoke embossed bottle
Aromatic Tonic launch in June16
Launch of Clementine Tonic with Sergio Herman in

Belgium

Launch of 150ml Elderflower can in UK

New product development

Primary bottling partner’s investment in new site to double

capacity

Flexibility in model – bottling/canning across four locations

in UK and Europe

Currently reviewing international bottling opportunities and

logistics solutions

Outsourced business model

SLIDE 10

SUMMARY & OUTLOOK

Continued strong performance driven by implementation of core strategy
Revenue & EBITDA growth underpinned by robust margins, both on a reported

and constant currency basis

Momentum in all four main regions
Significant growth opportunities remain in both On & Off Trade
Board confident of outlook for 2016 and beyond

SLIDE 11

APPENDIX

Introduction
Key strengths

SLIDE 12

INTRODUCTION TO FEVER-TREE

Launched by Charles Rolls and Tim Warrillow in

2005

Simple premise:
A significant and long term growth in premium

spirits

Not matched by any premium offering in

mixers category

Fever-Tree was launched at ideal moment to

provide a quality mixer range to fill the vacuum

The world’s leading premium mixer brand with

135 million bottles sold in 2015

Now in over 55 countries worldwide, with 65% of

sales overseas

“No brand commands its category like Fever-Tree. Its grip on the world’s best bars has only tightened since last year”

Drinks International 2016 Brands Report

SLIDE 13

KEY STRENGTHS

First mover advantage
Leading premium mixer brand around

the world Market leading brand with international reach

Ingredients, taste, packaging and story
Acclaimed product proposition

Clearly differentiated premium product

Scalable outsourced business model
Strong founder-led management team

Proven business model and management team

Global mixer market in early stages of

premiumisation

Potential addressable market of approx

£1.6bn RSV (EY, 2014) Significant growth

pportunities
Higher cash and % margin for the trade