NUTRESA at a Glance April pril 04 04, , 20 2014 14 NUTR NU - - PowerPoint PPT Presentation

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NUTRESA at a Glance April pril 04 04, , 20 2014 14 NUTR NU - - PowerPoint PPT Presentation

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GR GRUPO UPO NUTRE NUTRESA SA | | co corpo porate te pr prese esent ntation tion NUTRESA at a Glance April pril 04 04, , 20 2014 14 NUTR NU TRES ESA A at a Glance KEY HIGHLIGHTS 4th largest food company in Latin America

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NUTRESA at a Glance

GR GRUPO UPO NUTRE NUTRESA SA | | co corpo porate te pr prese esent ntation tion

April pril 04 04, , 20 2014 14

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KEY HIGHLIGHTS

  • 4th largest food company in Latin America by market capitalization
  • Close to 100 year history
  • Well diversified business in terms of markets, categories & raw materials.
  • 7 business units: cold cuts, biscuits, chocolates, coffee, ice cream, pasta and TMLUC (PSD &

Snacks).

  • Presence in 15 countries, with 37 manufacturing plants in 11 of these
  • Products sold in 72 countries, in 5 continents
  • No single commodity accounts more than 9% of COGS
  • Business model based on: People + Brands + Distribution
  • 36.726 employees (12.045 outside Colombia) (dec-2013)
  • Portfolio of 157 brands with 17 brands selling more than USD 50mm
  • 17 Leading brands in Colombia and Latam
  • 1 million clients attended with more than 11.500 sellers
  • Publicly listed in Colombia, ADR Level I and a market cap of $6,3 bb (dec-2013)
  • We understand sustainable development as economic and social progress that lasts over time,

which generates benefits for all and promotes a balance with the environment.

NU NUTR TRES ESA A at a Glance

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Di Diversi sifica ication tion: : 7

7 bus usiness iness un unit its

86.7% 6.1% 49.7% 37.5% Percentage of total sales of the business unit 42.8% 4.4% 8.7% 27.8% 52.1% 43.0% 94.9% 94.6% 21.6% 39.8%

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Pr Prof

  • forma
  • rma 2013

3 GN N (TMLUC -12 months USD mm)

5

Cold cuts 28% Biscuits 17% Chocolates 16% Coffees 15% Ice cream 9% Pasta 3% TMLUC 11% Other

  • 1%

Sales by business unit 2013 International sales by business unit 2013 EBITDA by business unit 2013

$3.424 $476 $1.352

$3.156* $446* $1.076*

*Grupo Nutresa 2013 official results

Figures calculated at COP/USD 1.868,90

Cold cuts 30% Biscuits 18% Chocolates 15% Coffees 12% Ice cream 7% Pasta 4% TMLUC 12% Other 2% Cold cuts 23% Biscuits 20% Chocolates 12% Coffees 11% Ice cream 4% TMLUC 30% Other 0%

13,9%

14,1%*

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Leading ding regional food company

  • Production / Distribution over 15 countries
  • Products sold in 72 countries, in 5 continents
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Di Diversi sifica ication tion: : 15 countries

Production & distribution Distribution 7.2% USA 1.0% Rep. Dominican & Caribbean 7.2% Venezuela 7.6% Chile 4.0% Mexico 6.9% Central America 60.5% Colombia 1.0% Ecuador 1.8% Peru Malaysia

SALES BY REGION – 2013

PRO-FORMA WITH TMLUC LAST 12 MONTHS

1.6% Other markets

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Di Diversi sifica ication tion: : raw materials

COGS BREAKDOWN

(1) Other components with individual participations lower than 1%

GRUPO NUTRESA COMMODITIES INDEX

(1Q14)

8.0%

Coffee

11.3%

  • Pack. Mat.

9.4% Pork 6.6% Wheat 5.0% Beef

3.6% Sugar

4.0% Cocoa

2% Poultry

4.0% Oils & fats

1.7% Milk 44%

Others(1)

Base 100, December 2012

Beginning on January 1, 2014, the basket of raw materials included in the GNCI was updated. The technical specifications of the GNCI may be obtained at: www.gruponutresa.com/webfm_send/398

92 86 107 144 113 95 101 70 80 90 100 110 120 130 140 150 160 2008 2009 2010 2011 2012 2013

GNCI – MARCH 2014

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Di Diversi sifica ication tion: : raw materials

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Bus usines iness s mod

  • del

el: : People

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Bus usines iness s mod

  • del

el: : Brands

BRAND MANAGEMENT MODEL

  • Portfolio of 157 brands
  • 17 brands selling over $50 MM
  • 22 brands with #1 market share in key

markets

  • 44 brands with over 20 years of existence
  • 28 brands present in more than one market
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Bus usines iness s mod

  • del

el: : Brands ands

12

54.6%

+0.8% Bicsuits

Chocolate confectionary 67.9% (A)

+1.7%

Hot chocolate 63.1% (B)

  • 0.1%

Milk modifiers 28.9% (C)

  • 1.0%

Nuts 46.6%

  • 1.2% (D)

Chocolates

Roast and ground coffee (A)

56.0,3%

  • 0.8%

Soluble Coffee (B

41.2%

  • 0.6%

Coffee

ICE CREAM

N.D.

Ice Cream

51.1%

  • 0.4%

Pasta

72.9%

+0.8% Cold Cuts

#2 Private labels 7.1% #3 Friko 0.8% #2 Nestlé 12.4% #3 Mondelez 10.8% #2 La Muñeca 29.5%

(A) #2 Colombina 8.0% (B) #2 Casa Lúker 25.1% (C) #1 Nestlé 67.1% (D) Frito Lay 27.7%

(A) #2 Águila Roja 23.3% (B) #1 Nestlé 45.1%

TMLUC Chile

PSD* 61.9% (A) Pasta 29.5% (B) Coffee 16.4% (C)

Mexico

PSD* 27.7% (D)

(A) #2 Carozzi 36.1% (B) #1 Carozzi 44.8% (C) #1 Nestlé 71.6% (D) #1 Mondelez 53.1%

MA MARKET RKET SHARE CO SHARE COLOM OMBIA BIA (60 (60.2%) .2%) + + TML TMLUC UC

*PSD = Powdered soft drinks Source: Nielsen twelve month as of march 2014. (% share as in value and change vs. same period last year)

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Bus usines iness s mod

  • del

el: : Di Dist strib ibution ution

REVENUE MIX BY CHANNEL

7%

Food Service (HORECA)

7%

Alternative

22%

Supermarket chains

+1mm

Clients

3%

Industrial

61%

Traditional (Mom-and- pop Stores) / Independent Retail Stores

+11.500

sellers

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6% 7% 7% 7% 7% 7% 7% 7% 6% 6% 6% 23% 23% 23% 23% 23% 23% 23% 23% 22% 22% 21% 39% 38% 37% 38% 38% 38% 38% 38% 37% 37% 38% 33% 32% 33% 32% 32% 32% 32% 32% 35% 35% 35%

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Upper Class mid-Upper Class Middle Class Lower Class

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COL COLOMBIA OMBIA: A A UN UNIQU IQUE E DISTRIB DISTRIBUTIO TION N CHAL CHALLENGE ENGE

SOCIAL CLASS EVOLUTION WHERE THEY GO FOR SHOPPING? CHANNEL EVOLUTION

Base on Nielsen Basket Monitor Source: Nielsen Homescan Source: Nielsen cps 2013

HOW THEY LOOK?

Bus usines iness s mod

  • del

el: : Distribution

50% 48% 47% 46% 45% 44% 43% 44%

50% 52% 53% 54% 55% 56% 57% 56%

2006 2007 2008 2009 2010 2011 2012 2013

Supermarkets Mom-and-Pops 67% 43% 32% 27% 14% 40% 52% 58% 19% 17% 16% 15%

Upper Class Mid upper Class Middle Class Lower Class

Supermarkets Mom-and-Pops Others

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Ch Channel nnel evol

  • lution

ution: : Colombia

6% 7% 7% 8% 7% 8% 8% 9% 7% 8% 8% 8% 7% 18% 19% 18% 19% 18% 18% 17% 19% 19% 18% 18% 19% 19% 1% 2% 2% 1% 1% 1% 1% 1% 1% 1% 1% 1% 2% 4% 4% 4% 4% 6% 7% 7% 6% 7% 7% 7% 4% 4% 70% 69% 69% 67% 67% 66% 67% 65% 66% 66% 66% 67% 69% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Trim 1 - 11 Trim 2 - 11 Trim 3 - 11 Trim 4 - 11 Trim 1 - 12 Trim 2 - 12 Trim 3 - 12 Trim 4 - 12 Trim 1 - 13 Trim 2 - 13 Trim 3 - 13 Trim 4 - 13 Trim 1 - 14 2011 2012 2013 2014 Traditional (Mom-and- pop stores)/ independent Retail Stores Food Service Industrial Supermarkets Chains Alternative

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Corporate model

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MA MAIN IN ST STRATE TEGIC GIC GOAL

STRATEGY FOR OUR FIRST CENTURY 1920-2020

“Our Centennial strategy aims to double our 2013 sales by 2020; with sustained profitability between 12% and 14% of the EBITDA margin.

To achieve this, we offer our consumers foods and experiences of recognized and beloved brands, that nourish, generate wellness and pleasure, that are distinguished by the best price/value relation; widely available in our strategic region, managed by talented, innovative, committed and responsible people, who contribute to sustainable development.”

* Through organic growth

17

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Co Corpor porate te Ph Philosophy

  • phy an

and Per erform

  • rmance

ance

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Differ erent entia iating ting Aspect pects s of our r Business iness Model del

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Bus usines iness s Ris isks

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The he Struc uctu ture e of

  • f the

he Bus usines iness s Gr Grou

  • up
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Co Corpor porate te governance ernance

Board of directors

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Su Sust staina inable le grow

  • wth

th

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Internationalization model

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Sig igni nificant icant Expansi ansion

  • n sin

ince ce 200 000

Costa Rica Colombia Colombia Colombia Puerto Rico Chile Costa Rica Panama Colombia Mexico Panama Panama & Nicaragua Colombia Colombia Colombia Colombia Costa Rica Costa Rica Peru Panama USA Dominican Republic Malaysia Acquisitions (18) Mergers (5) New businesses (6) Biscuits Nestlé Chocolates Nestlé

2000 2002 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Malaysia

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Sa Sale les s evol

  • lution

ution

643 655 614 563 663 794 951 1,241 1,471 1,434 1,699 1,869 2,120 2,056

45 50 132 121 155 196 267 419 568 694 645 834 844 1,076 500 1,000 1,500 2,000 2,500 3,000

USD MM International Colombia

Total: 12,4% CAGR International: 27.7% CAGR Colombia: 9.4% CAGR

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In Interna ernationali tionaliza zation tion ph phase ses

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In Interna ernational tional exp xpansi ansion

  • n mod
  • del

el

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Effective innovation

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In Inno novation tion mod

  • del

el

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Financial highlights

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2013 3 resu sults lts

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Bus usines iness s pe performance

  • rmance
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In Increasing easing valu lue gene neration tion

CAGR last 10 yr: 16% CAGR last 10 yr: 15,3% EBITDA SALES

663 794 951 1,241 1,471 1,434 1,699 1,869 2,120 2,056 155 196 267 419 568 694 645 834 844 1,076 500 1,000 1,500 2,000 2,500 3,000 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 USD MM International Colombia 123 141 162 254 290 256 283 304 375 442 15.0% 13.3% 14.2% 12.1% 12.6% 14.1% 0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0% 14.0% 16.0% 18.0% 50 100 150 200 250 300 350 400 450 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 USD MM EBITDA Margin

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St Stoc

  • ck in

infor

  • rma

mation tion

34.9% 33.1% 16.3% 9.8% 5.8%

Stock details Shareholder base 15.069 Shareholders

Other Investors Grupo Argos International Investors (132) Colombian Funds Grupo Sura

Updated 1Q14 Updated 1Q14

TRM 2,004.05 $ Share price (US$) 13.61 $ Shares outstanding (MM) 460 Market cap (US billions) 6.26 $ 3 Mo. ADTV (US millions) 2.11 $ 12 Mo. ADTV (US millions) 2.20 $ Value of Investments (US billions) 1.96 $ 12.7% of Grupo Sura 1.08 $ 12.4% of Grupo Argos 0.82 $ Other investments 0.06 $ Implied Market Cap (Ex. Investments) 4.30 $ EBITDA 12M (1) 0.44 $ Net Debt (1) 0.82 $ Cash 0.18 $ Adjusted Enterprise Value (US billions) 5.12 $ Enterprise Value / EBITDA

11.8

Deuda Neta / EBITDA 1.88

(1) Food companies, excluding investments in unconsolidated companies / 12 months

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Co Cont ntact act de detai tails ls

Alejandro Jiménez Moreno

Investor Relations Director Tel: (+574) 3258731 email: ajimenez@gruponutresa.com www.gruponutresa.com

For more information regarding Grupo Nutresa's level 1 ADR, please call The Bank of New York Mellon marketing desks: New York New York New York London BNYM-Latin America BNYM-Sell-Side BNYM-Buy-Side BNYM-Sell-Side/Buy-Side Gloria Mata Kristen Resch Angelo Fazio Mark Lewis gloria.mata@bnymellon.com kristen.resch@bnymellon.com angelo.fazio@bnymellon.com mark.lewis@bnymellon.com Telephone 212 815 5822 Telephone 212 815 2213 Telephone 212 815 2892 Telephone 44 207 964 6419

This presentation and further detailed information can be found in the following link in our section "Grupo Nutresa Valuation Kit": http://www.gruponutresa.com/es/content/grupo-nutresa-valuation-kit-gnvk

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Most recent results

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483.4 282.8 236.2 184.0 128.4 54.9 171.8 100 200 300 400 500 600 Cold cuts Biscuits Chocolates Coffee Ice cream Pasta TMLUC Billion pesos

Total sales

COP $1.572,8 +26,6%

38

Accumulated sales - Total Sales per business unit

FIRST QUARTER 2014

Sales organic growth Total: +12,8% % chg. YoY Billion pesos

+0,2% +23,8% +13,6% +10,1% +10,3%

  • 6,1%
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75.8 64.5 35.3 30.9 14.4 85.7 10 20 30 40 50 60 70 80 90 100 Cold cuts Biscuits Chocolates Coffee Ice cream TMLUC Million dollars

International sales

US$306,8 +52,5%

334.1 153.5 165.5 122.0 99.5 54.9 50 100 150 200 250 300 350 400 Cold cuts Biscuits Chocolates Coffee Ice cream Pasta Billion pesos

Colombia sales

COP $960,6 +9,2%

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Accumulated sales - Colombia and International

Percentage variation in volume (Q) and prices (P)

International sales organic growth Total: +9,9%

+11,9% +8,1%

  • 1,3%

+3,9% +50,8% +9,1% +0,2% +3,1%

  • 23,4%

+2,7% Q:+8,3 P:+3,4 Q: +8,3 P: +0,8 Q:+11,5 P:0,0 Q:+8,0 P:+0,1 Q:+5,3 P:-6,3 Q:+10,2 P:-1,0 Q:+0,9 P:-0,7 +11,4%

% chg. YoY Billion pesos % chg. YoY Million dollars

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Sales es by by regi gion

  • n – Q1 2014

6.9% USA 1.3% Dominican Rep. & Caribbean 8.4% Venezuela 8.1% Chile 2.6% Mexico 7.3% Central America 61.1% Colombia 0.9% Ecuador 1.3% Peru 2.1% Other countries

38.9% International sales

Production & distribution Distribution

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57.9 40.3 32.8 44.6 19.0 6.0 15.1 10 20 30 40 50 60 70 Cold cuts Biscuits Chocolates Coffee Ice cream Pasta TMLUC Billion pesos

EBITDA

COP $219,0 +21,8% margin 13,9%

41

EBITDA by business unit - First quarter 2014

EBITDA margin % chg. Billion pesos

12,0% 14,3% 13,9% 24,3% 14,8% 11,0%

  • 17,7%
  • 14,1%

+1,1% +67,9% +45,1%

  • 23,4%

8,8%

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Consolidated income statement – Q1 2014

Figures in COP$ MM mar-14 % mar-13 % % var. Total operating revenues 1.572.825 100,0% 1.242.052 100,0% 26,6% Cost of goods sold

  • 875.730
  • 55,7%
  • 682.801
  • 55,0%

28,3% Gross income 697.095 44,3% 559.251 45,0% 24,6% Administrative expenses

  • 103.109
  • 6,6%
  • 64.873
  • 5,2%

58,9% Sales expenses

  • 400.920
  • 25,5%
  • 325.559
  • 26,2%

23,1% Production expenses

  • 29.371
  • 1,9%
  • 27.738
  • 2,2%

5,9% Total operating expenses

  • 533.400
  • 33,9%
  • 418.170
  • 33,7%

27,6% Operating income 163.695 10,4% 141.081 11,4% 16,0% Financial revenues 7.447 0,5% 2.375 0,2% 213,6% Financial expenses

  • 39.145
  • 2,5%
  • 16.818
  • 1,4%

132,8% Foreign currency exposure 7.445 0,5%

  • 1.758
  • 0,1%
  • 523,5%

Other revenues (expenditures), net

  • 8.069
  • 0,5%
  • 7.981
  • 0,6%

1,1% Dividends (non-food) 9.657 0,6% 8.803 0,7% 9,7% Non-operating, net

  • 22.665
  • 1,4%
  • 15.379
  • 1,2%

47,4% Income before tax 141.030 9,0% 125.702 10,1% 12,2% Income tax

  • 54.819
  • 3,5%
  • 46.692
  • 3,8%

17,4% Minority interest

  • 1.156
  • 0,1%

276 0,0%

  • 518,8%

Net Income 85.055 5,4% 79.286 6,4% 7,3% Consolidated EBITDA 218.965 13,9% 179.705 14,5% 21,8%

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consolidated balance sheet march 2014

Figures in COP$ MM mar-14 mar-13 % var. ASSETS Cash and temporary investments 353.987 268.522 31,8% Investments 376.030 356.520 5,5% Receivables 901.396 721.224 25,0% Inventories 759.576 565.079 34,4% Property, plant and equipment 1.481.507 1.130.203 31,1% Intangibles 1.979.821 1.030.021 92,2% Deferred assets 110.933 53.810 106,2% Other assets 18.237 6.387 185,5% Appreciation 4.881.634 4.924.714

  • 0,9%

Total Assets 10.863.121 9.056.480 19,9% LIABILITIES Financial liabilities 1.990.883 698.237 185,1% Suppliers 224.001 166.315 34,7% Accounts payable 440.450 349.442 26,0% Taxes, duties and tariffs 114.252 103.109 10,8% Labor liabilities 75.652 67.660 11,8% Estimated liabilities and provisions 223.600 156.784 42,6% Deferred liabilities 224.405 160.397 39,9% Other liabilities 2.502 4.320

  • 42,1%

Total Liabilities 3.295.745 1.706.264 93,2% Minority interest 19.809 5.700 247,5% EQUITY 7.547.567 7.344.516 2,8% TOTAL LIABILITIES AND EQUITY 10.863.121 9.056.480 19,9%

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Consolidated net debt

Note: Sales, EBITDA and interest of the last 12 months

685 863 978 486 399 430 370 1,676 1,581 1,637 200 400 600 800 1,000 1,200 1,400 1,600 1,800 dic/08 dic/09 dic/10 dic/11 dic/12 mar/13 jun/13 sep/13 dic/13 mar/14 Billion pesos Ratio dic-08 dic-09 dic-10 dic-11 dic-12 mar-13 jun-13 sep-13 dic-13 mar-14 Net debt/EBITDA 1,20 1,57 1,82 0,86 0,59 0,61 0,50 2,21 1,90 1,88 EBITDA / Interest 10,00 6,86 8,60 8,85 12,74 13,68 14,90 13,14 10,38 8,62 Interest / Revenues 1,42% 1,75% 1,40% 1,27% 0,99% 0,96% 0,91% 1,04% 1,36% 1,62%

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Debt break akdown down

COP 79.3% CLP 12.6% PEN 4.0% USD 3.3% Others 0,9%

BY CURRENCY

Long term (>5 Yr.) 51,3% Mid term (1-5 Yr.) 31,0% Short term (<1 Yr.) 17,7%

BY PAYMENT PROFILE

IPC 29.4% IBR 24.7% DTF 24.6% TAB Nominal* 8,1% TAB UF** 4,4% Fixed rate 7,8% Others 1,1%

BY REFERENCE RATE * TAB Nominal: Reference bank rate in Chile ** TAB UF: Reference bank rate in Chile indexed to inflation

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IF IFRS S Im Impl plementa ementation tion tim imeline eline

  • According to current regulations, Grupo Nutresa

must prepare its opening balance sheet with a cutoff date of January 1, 2014; beginning in 2015, it must carry the comparable Financial Statements under the International Financial Reporting Standard (IFRS)

  • The Grupo Nutresa timeline for this implementation is

the following:

– January to April 2014: Definition and approval of the accounting policies under the IFRS. Advice from Ernst & Young – April to June 2014: Concept of the Fiscal Auditor (PWC) – June 30, 2014: Presentation of the opening balance to the Colombian Financial Superintendent (Superfinanciera) – December 31, 2014: Close of the transition period – January 2015 onwards: Financial statements under the new IFRS regulations

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Tha hank nk you

  • u !
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Di Disc scla laimer imer

This document can contain forward looking statements related to Grupo Nutresa S.A. and its subordinated companies, under assumptions and estimations made by company management. For better illustration and decision making purposes Grupo Nutresa’s figures are consolidated; for this reason they can differ from the ones presented to official entities. Grupo Nutresa S.A. does not assume any obligation to update or correct the information contained in this document. “The IR Recognition granted by Bolsa de Valores de Colombia S.A. (the Colombian Securities Exchange) is not a certification of the registered securities or the solvency of the issuer.”