Q4 2014 results 13 February 2015 Bengt Baron, CEO Danko Maras, CFO - - PowerPoint PPT Presentation

q4 2014 results 13 february 2015
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Q4 2014 results 13 February 2015 Bengt Baron, CEO Danko Maras, CFO - - PowerPoint PPT Presentation

Q4 2014 results 13 February 2015 Bengt Baron, CEO Danko Maras, CFO Jacob Broberg, SVP IR 2 Q4 highlights Increased sales, improved operating profit (EBIT) and very strong cash flow Net sales for the quarter increased by 9.6 per cent


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SLIDE 1

Q4 2014 results – 13 February 2015

Bengt Baron, CEO Danko Maras, CFO Jacob Broberg, SVP IR

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SLIDE 2

Q4 highlights

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Increased sales, improved operating profit (EBIT) and very strong cash flow

  • Net sales for the quarter increased by 9.6 per cent to SEK 1,579m (1,441),

including a positive impact from foreign exchange rates of 3.1 per cent.

  • Operating profit was SEK 262m (175)
  • Underlying EBIT was SEK 244m (231)
  • Cash flow from operating activities was SEK 290m (116)
  • Net debt/EBITDA was 3.97x (4.19). In the quarter, loans of

SEK 34m were repaid.

  • No dividend payout proposed for the year in line with

financial strategy to reduce net debt.

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SLIDE 3

Overall market and sales development

Sales growth of 9.6 per cent

  • Flat to slightly positive total market

developments, except Finland and Denmark

  • Organic growth +1.7 per cent for the quarter
  • Particularly strong sales trend in Denmark
  • Sales grew or remained flat in all markets, except

Italy, Germany and the UK

  • Decline in sales and weak market conditions in

Italy makes it necessary to adapt the Italian

  • rganisation
  • Sales of nuts under Nutisal brand grew, while

sales of contract manufacturing decreased substantially

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Cloetta´s main markets

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SLIDE 4

SEKm Oct-Dec 2014 Margin % Change % Oct-Dec 2013 Margin % Full year 2014 Full year 2013

Net sales 1,579 9.62) 1,441 5,313 4,893 Underlying EBIT 1) 244 16.8 5.6 231 16.1 609 591 Operating profit (EBIT) 262 16.6 49.7 175 12.1 577 418 Profit for the period 158

  • 15.1

186 242 264

1) Based on constant exchange rates and current group structure, excluding acquisitions and items affecting comparability related to restructurings. 2) Organic growth at constant exchange rates and comparable units 1.7 per cent for the quarter.

Net sales and EBIT

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SLIDE 5

Changes in Net sales

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  • 3,3
  • 4,1

1,4 1,6 0,6 2,2

  • 0,6

1,7

  • 5,0
  • 4,0
  • 3,0
  • 2,0
  • 1,0

0,0 1,0 2,0 3,0 Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 %

Organic growth Changes in net sales, % Oct-Dec 2014 Oct-Dec 2013 Full year 2014 Full year 2013 Organic growth 1.7% 1.6% 1.0%

  • 1.0%

Structural changes 4.8% 0.0% 4.3% 2.1% Changes in exchange rates 3.1% 1.0% 3.3%

  • 0.4%

Total 9.6% 2.6% 8.6% 0.7%

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SLIDE 6

Net Sales, Operating profit and Underlying EBIT

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Net sales Operating profit Underlying EBIT

1127 1131 1194 1441 1193 1238 1303 1579 200 400 600 800 1 000 1 200 1 400 1 600 Q1 Q2 Q3 Q4 SEKm 2013 2014 58 54 131 175 52 85 178 262 50 100 150 200 250 300 Q1 Q2 Q3 Q4 SEKm 2013 2014 91 109 160 231 77 110 178 244 50 100 150 200 250 300 Q1 Q2 Q3 Q4 SEKm 2013 2014

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SLIDE 7

Cash flow from operating activities

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  • 16
  • 23

54 116 131 91 44 75 290 500

  • 100

100 200 300 400 500 600 Q1 Q2 Q3 Q4 Full year SEKm 2013 2014

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SLIDE 8

Cash Flow

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SEKm Oct-Dec 2014 Oct-Dec 2013 Full year 2014 Full year 2013 Cash flow from operating activities before changes in working capital 267 232 492 408 Cash flow from changes in working capital 23

  • 116

8

  • 277

Cash flow from operating activities 290 116 500 131 Cash flows from investments in property, plant and equipment and intangible assets

  • 64
  • 61
  • 182
  • 211

Cash flow from other investing activities 4

  • 187

9 Cash flow from investing activities

  • 60
  • 61
  • 369
  • 202

Cash flow from operating and investing activities 230 55 131

  • 71
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SLIDE 9

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  • Ambition to continue to repay loans, but also provide financial flexibility for

complementary acquisitions and share dividends

  • Net debt/EBITDA decreased to 3.97x (4.19)
  • The long-term target of a net debt/EBITDA of 2.5 remains

Decreased Net debt/EBITDA

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SLIDE 10

New pick-and-mix concept in Coop

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  • Roll-out of the new pick-and-mix concept is proceeding according to plan
  • The vast majority of Coop’s approximately 700 stores have implemented the

new candy concept. Natural snacks under implementation

  • The aim is to refit all stores ahead of the Easter peak
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SLIDE 11

11

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SLIDE 12

12

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SLIDE 13

In focus

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Profitable growth Pricing based on raw material and currency changes Implementation of Coop Pick & Mix Integration and acceleration of Nutisal and The Jelly Bean Factory

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SLIDE 14

Q4 selection of product launches

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Venco Tikkels Fruit, Dropmint, Drop and Cola Launched in the Netherlands Juleskum Gingerbread Launched in Sweden Sperlari Strawberry & Champagne Launched in Italy HopeaToffee Box Launched in Finland Red Band Cola Sleutels Launched in the Netherlands Royal Rum raisin Launched in Finland Venco Black Schoolkrijt Launched in the Netherlands

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SLIDE 15

Q&A

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SLIDE 16

Disclaimer

  • This presentation has been prepared by Cloetta AB (publ) (the “Company”) solely for use at this presentation and is furnished to

you solely for your information and may not be reproduced or redistributed, in whole or in part, to any other person. The presentation does not constitute an invitation or offer to acquire, purchase or subscribe for securities. By attending the meeting where this presentation is made, or by reading the presentation slides, you agree to be bound by the following limitations.

  • This presentation is not for presentation or transmission into the United States or to any U.S. person, as that term is defined

under Regulation S promulgated under the Securities Act of 1933, as amended.

  • This presentation contains various forward-looking statements that reflect management’s current views with respect to future

events and financial and operational performance. The words “believe,” “expect,” “anticipate,” “intend,” “may,” “plan,” “estimate,” “should,” “could,” “aim,” “target,” “might,” or, in each case, their negative, or similar expressions identify certain of these forward- looking statements. Others can be identified from the context in which the statements are made. These forward-looking statements involve known and unknown risks, uncertainties and other factors, which are in some cases beyond the Company’s control and may cause actual results or performance to differ materially from those expressed or implied from such forward- looking statements. These risks include but are not limited to the Company’s ability to operate profitably, maintain its competitive position, to promote and improve its reputation and the awareness of the brands in its portfolio, to successfully

  • perate its growth strategy and the impact of changes in pricing policies, political and regulatory developments in the markets in

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  • The information and opinions contained in this document are provided as at the date of this presentation and are subject to

change without notice.

  • No representation or warranty (expressed or implied) is made as to, and no reliance should be placed on, the fairness,

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