Annual Report 1 January 31 December 2017

Transcription

1 Annual Report 1 January 31 December March 217

2 Results in high end of the outlook guidance Best result ever in spite of poor summer weather Net revenue DKK 6.4bn (DKK 6.3bn) EBIT DKK 1.69m (DKK 1.1) EBIT margin 16,7% (15,8%) Reinforcement of our market position in most of the markets Strong cash flow development of DKK 95m (DKK 1,22m*) ROIC excluding goodwill up from 28% to 32% DKK 934m cash returned to shareholders via dividend and SBB Dividend DKK 469m to be proposed to AGM, DKK 8,9 per share New share buy-back program of DKK 4m Increase in mid-term EBIT margin objective Acquisition of Terme di Crodo *incl. the sale of the brewery site in Aarhus of DKK 195 million Annual Report 1 January 31 December March 218 2

3 Earnings in business segments Western Europe Volume +2%, NR -1% incl. snacks, EBIT +7% Denmark & Germany gaining slightly market share. Strong commercial initiatives increased focus on craft and specialty beer progressing well Italy market increase driven by campaigns and good weather integration work for Terme di Crodo on track Baltic Sea Volume -4%, NR +3%, EBIT +9% Finland short term positive impact from changes in legislation focus on value management continuous efficiency improvements a part of daily operationon Baltics challenging market conditions caused by the excise increases high focus on premium offering and development of Non alco portfolio Malt & Export Volume +3%, NR -1%, EBIT -2% EBIT slightly lower that last year due to negative exchange rate development and continued investment in the organization and sales/marketing Focus on deeper penetration and rotation in existing markets Western Europe Baltic Sea Malt & Export % 18.4% 19.9% % 13.2% 14.% % 22.3% 22.2% EBIT Margin Annual Report 1 January 31 December March 218 3

4 Solid financial performance mdkk Change P&L ITEMS Net revenue 6,384 6,34 44 Gross margin 51.7% 51.8% -.1pp EBITDA 1,362 1,36 56 EBITDA margin 21.3% 2.6%.7pp EBIT 1,69 1,1 68 EBIT margin 16.7% 15.8%.9pp Profit before tax 1, Net profit mdkk Change BALANCE SHEET ITEMS Net interest bearing debt Net working capital Total assets 6,778 6,76 72 Equity 2,814 2, Equity ratio 42% 48% -6pp Invested capital 4,3 4, ROIC ex. goodwill 32% 28% 4pp ROIC incl. goodwill 21% 18% 3pp Annual Report 1 January 31 December March 218 4

5 Performance to peers 217 EBIT margin (comparable region) Free cash flow % of revenue Return on invested capital* Cash return to shareholders** % % % % RU Peer 1 Peer 2 Peer 3 RU Peer 1 Peer 2 Peer 3 RU Peer 1 Peer 2 Peer RU Peer 1 Peer 2 Peer * Based on average invested capital ** Percentage of net profit the year before Annual Report 1 January 31 December March 218 5

6 Outlook 218 mdkk Outlook 218 Actual 217 Outlook August 217 Outlook March 217 Net revenue 6,65-6,9 6,384 6,25-6,35 6,25-6,45 EBITDA 1,45-1,55 1,362 1,32-1,37 1,285-1,385 EBIT 1,9-1,19 1,69 1,3 1,8 98-1,8 Outlook assumptions Based on a normal summer We expect slight net price increases to compensate for higher input cost Terme di Crodo is expected to generate some DKK 265mio in Net revenue Costs is expected to follow inflation, plus we expect to continue to grow our commercial investment to grow our business Input price expected to go up and as usual most have been hedged/secured at the moment of time for 218 Net investments between DKK mio including the change in the bookkeeping related to operational leasing which is DKK 5mio hereof. Annual Report 1 January 31 December March 218 6

7 Financial targets < * calculated proforma with Hartwall's realised full-year EBITDA Share buy-back is used to adjust the capital structure Annual Report 1 January 31 December March 218 7

8 Q&A-session Annual Report 1 January 31 December March 218 8

9 Appendix

10 Increasing earnings Volume hl Change -1.3% Net revenue mdkk Change.7% Change Change 217 EBITDA mdkk Margin 2.6% 21.3% Change 217 EBIT mdkk Margin 15.8% 16.7% Change 217 Annual Report 1 January 31 December March 218 1

11 Strong key figure performance Profit margins ROIC Free Cash Flow NIBD % % mdkk mdkk EBITDA margin (reported) ROIC EBIT margin (reported ROIC ex. Goodwill Annual Report 1 January 31 December March

12 Strong Cash flow development Cash Flow EBITDA Interest, tax, dividend received, other non-cash items Cash from operations before changes in NWC Changes in NWC Net Capex incl. Aarhus tax Free cash flow 216: 1, , ,22 Annual Report 1 January 31 December March

13 Shareholder distribution Dividend of DKK 469m to be proposed at the AGM EPS and free cash flow per share Dividend DKK 8,9 per share DKK 4m share buy-back initiated Safe Harbour program Duration until March EPS (@DKK2) Free cash flow per share (@DKK2) Annual Report 1 January 31 December March

14 Western Europe Volume +2%, NR -1% incl. snacks, EBIT +7% Denmark & Germany gaining slightly market share. Strong commercial initiatives increased focus on craft and specialty beer progressing well Italy market increase driven by campaigns and good weather integration work for Terme di Crodo on track HL mdkk mdkk Volume Revenue EBIT ,659 3,764 3, % 2.3% ,728 2,87 2, % 1.4% % 18.4% 19.8% IT D&G IT D&G WE Margin Annual Report 1 January 31 December March

15 Baltic Sea Volume -4%, NR +3%, EBIT +9% Finland short term positive impact from changes in legislation focus on value management continuous efficiency improvements a part of daily operation Baltics challenging market conditions caused by the excise increases high focus on premium offering and development of Non alco portfolio HL mdkk mdkk Volume Revenue EBIT ,785 5,227 4, % 4,4% ,852 2,986 3,76 4.7% 3.% % 13.2% 12.5% % 9.1% Baltic Finland Baltic Finland EBIT Margin Annual Report 1 January 31 December March

16 Malt Beverages and Exports Volume +3%, NR -1%, EBIT -2% EBIT slightly lower that last year due to negative exchange rate development and continued investment in the organization and sales/marketing Focus on deeper penetration and rotation in existing markets HL mdkk Volume Revenue % 2.8% % 1.% mdkk EBIT % 22.3% 22.2% % 1.9% EBIT Margin Annual Report 1 January 31 December March