belvédère 2015-2018 plan investor day...roadmap september 2014 entry of diana holding at capital...
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Belvédère 2015-2018 PlanInvestor Day
December 16th, 2014
BiG 2018Back in the Game
1. New Belvédère platform
2. 2015-18: restore profitability and grow
3. Financial targets
1New Belvédère platform
A renewed and experienced leadership
5
Today Speakers
Jean-Noël Reynaud
CEO
Previously Deputy Managing Director at
Lactalis
20 years experience in Food & Beverages
Stanislas Ronteix
Chief Marketing Officer
Previously Marketing General Manager of
Bisquit Cognac, at Distell
15 years experience in Food & Beverages
Daniel Rougé
Chief Operations Officer
Previously Plant Manager at Candia Sodiaal
28 years experience in Food & Beverages
Alain Degand
Chief Purchasing Officer
Previously Director of Purchasing & Supply
Chain at Bormioli Rocco
9 years experience in Food & Beverages
BiG 2018
A successful financial restructuring paving the way for the operating upturn
6
April 2013
Completed
restructuring of
existing debt
through a debt
to equity swap
of €532m
October 2013
Creation of an
Audit Committee
by the board
April 2014
Jean-Noël Reynaud
appointed as CEO
September 2014
Benoît Hérault
nominated
Chairman of
Belvédère
July 2014
Belvédère
shares exited
from
“compartment
special” of
Euronext Paris
December 2014
Launch of the
New Strategic
Roadmap
September 2014
Entry of Diana
Holding at capital
(13.1% of share
capital)
2015
Plan BiG 2018
(Back in the Game)
BiG 2018
A new high profile governance supporting Plan BiG 2018
7
Benoît Hérault
Chairman since Sept.-14
Director since Sept.-13
Director of Alstria Office
Non-independent board members
affiliated to Diana Holding
Rita Maria Zniber
Director since Sept.-14
CEO of Diana Holding
* Mehdi Bouchaara
Director since Oct.-14
Head of Strategy at
Diana Holding
*
Board observer
Independent board members
**
*
Constance Benqué
Director since Sept.-13
President of Lagardère
Publicité
*
Benoît Ghiot
Director since Sept.-14
CFO of D’Ieteren
*Jacques Bourbousson
Director since Feb.-13
Previous mayor of
Beaucaire
*
Christine Mondollot
Director since Sept.-13
Former CEO of Virgin
France
*
*Board of Directors
Serge Heringer
Board Observer since
Oct.-14
Advisor to Diana
Holding
*
7BiG 2018
7 clusters
An integrated group organized in geographical clusters
BiG 2018 8
COMEX
France / Spain Central Europe Eastern Europe North America South AmericaBelvedere
International
South Eastern
Europe
D. Jamiola J. Daunys N. Guillant X. Iaru N. Smirnof N. Belliard
G. Lopez-Bravo
H. Holmgreen
J. Morieux
N. Passi
A. Poircuitte
Board of Directors
Leading and resilient positions in selected chosen markets: 4 strategic pillars
# 3 in France and # 3 in Poland
Krupnik and Sobieski: 2 Polish rooted Vodkas
9
William Peel # 1 in the leading market in the
world: France
# 9 worldwide
Recognized flavor assemblage know-how of
Marie Brizard
Fruits & Wine # 1 in France
Vodka
Scotch
whisky
Liqueurs
Flavored
wines
BiG 2018
Our values to build and grow
Implement the best practices to strengthen
customer satisfaction
10
Value
Grow our skills and foster constructive
behaviours
Adopt a cost conscious and entrepreneurial
mind-set to develop a result-driven culture
Think out of the box and act pro-actively to be
ahead of competition
Excellence
People &
Stakeholders
friendly
Accountability
Innovation
Purpose
BiG 2018
Belvédère’s mission
11
We deliver value
by providing our customers and
consumers
with trustworthy,
bold and flavorful brands
BiG 2018
22015-18: restore profitability and grow
A strong growth of the market over 2005-2013
13
2005-2013 spirits value growth CAGR
Source: IWSR, Accenture Research
3.6% 3.5% 2.8%
6.7%
10.1%
3.8%
2.1%
7.5%
15.1% 14.6%
4.9%
(0.3)%
4.8% 5.4%
10.6%
Total Value Standard Premium Super premium
France Poland USA
BiG 2018
44%
66%
11%
42%
29%
43%
11%4%
32%
3% 1%14%
France Poland USA
Value and Standard are the dominant segments, especially in France and Poland
14
Market breakdown in value in 2013
54%86% 95%
44%
66%
43%
29%
11%4%3%1%
France
Superpremium
Premium
Standard
Value
Source: IWSR, Accenture Research
BiG 2018
43%35%
17%
5%
39%49%
10% 2%
41%34%
25%
Value and Standard segments are leading the growth since 2005
15
Contribution to growth since 2005
USAFrance Poland
41%78% 88%
44%
66%
43%
29%
11%4%3%1%
France
Superpremium
Premium
Standard
Value
Source: IWSR, Accenture Research
BiG 2018
Spirits market to grow by 6%, driven by vodka, scotch whisky and local spirits
16
Key highlightsGlobal Spirit Value 2014 – 2017e growth
Vodka will be the main contributor of
white spirits’ growth, with 7% CAGR
Scotch whisky will continue its growth
(6% CAGR)
Local spirits will grow thanks to local
brands acquired by global players, new
local brew launches and premiumization
Sources: Euromonitor, IWSR, Accenture Research
In USDbn
12 12 13 14 38 40 41 43
48 51 56 61 41 42 43 44
93 98 104 108
147 159
173 189
118 125
132 139
2014 2015 2016 2017
+6%
11 11 12 12 13 14 34 37 38 40 41 43 41 44 48 51 56 61 38 40 41 42 43 44 82 88 93 98 104 108 124 136 147 159 173 189 105 113 118 125 132 139
2012 2013 2014 2015 2016 2017
Tequila Rum Brandy & Cognac
Liqueurs White Spirits Local Spirits
Scotch whisky
BiG 2018
Healthy alcohol
A perfect match with consumer trends
17
Cocktailization
& Mixology
Gen Y
& Z
Small
indulgences:
premium
promise
not price
Private-label
exclusive brands
Get more buzz
from your buck Shots!
Flavour
sophistication
For women only
Beyond the drink:
experiential
moments
Convenience
Rooted history,
craft and
story-telling
BiG 2018
Campari
Value Standard Premium Super Premium
Local
Global
Rémy Cointreau
Diageo
Pernod Ricard
Alliance Global
Stock Spirits CEDC
La Martiniquaise
Bacardi
William Grant & Sons
Brown Forman
Beam Suntory
Leading the way in the profitable multiregional high standard segment
18
Competitive intensity
Multiregional
Very high High Low
BiG 2018
2014 EoY Rationalize Optimize Grow 2018 target
>0
~50-70
2014 EoY Rationalize Optimize Grow 2018 target
~420-460~455
By FY2018, Belvédère performance towards the industry standards
19
Net sales
€m
c. +25-35% net sales
increase on our
Core Business
EBITDA
€m
~12-15% EBITDA margin
on net sales,
towards the
industry
standards
m cases 9l equivalent ~26 ~20-23
% of net sales >0% ~12-15%
1 2 3
2014e 2018 targetRationalize Optimize Grow
BiG 2018
~€50-60m cumulated
by FY2018CAPEX (€m) Self-financed plan
Rationalize
Optimize
Grow
2015-18: restore profitability and grow
Disposal of non strategic and / or loss making assets to generate > €20m proceeds
21
Wholesale &
retail
Impact on net
sales
~(€120m)
Impact on
EBITDA
~+€10m
Expected value
> €20m
Manufacturing
equipments
Real estate
Poland
Poland
Poland
France
Rationalize Optimize Grow
Note: 2014e figures
BiG 2018
Rationalize
Optimize
Grow
2015-18: restore profitability and grow
5 optimization levers to deliver €20-30m incremental EBITDA
23
Rationalize Optimize Grow
Upgrade the industrial footprint
1
Better sourcing
2
Strengthened Route to Market
3
Streamline the business
4
Develop core capabilities
5
BiG 2018
Upgrade the industrial footprint
24
Insource distillation capability and rationalize footprintVodka
manufacturing
1
Secure and upgrade to support high growthFruits & Wine
manufacturing
Review the footprintLiqueur
Manufacturing
MonCigale / Indirect purchasing synergiesLogistic network
reconfiguration
Rationalize Optimize Grow
BiG 2018
Distillation Rectification Blending &
bottlingP
ola
nd Starogard
Lancut
Lit
hu
an
ia Vilnius
Obeliai
Outsourcing of alcohol production over the last 10 years
25
Asset available but
CAPEX required
(capacity /
efficiency)
Outsourced
Asset
available
Vodka manufacturing
Rationalize Optimize Grow
80% of manufacturing value-added
BiG 2018
Distillation Rectification Blending &
bottlingP
ola
nd Starogard
Lancut
Lit
hu
an
ia Vilnius
Obeliai
Strong rationales to re-insource and upgrade manufacturing process
26
Asset available but
CAPEX required
(capacity /
efficiency)
Outsourced
Asset
available
New
manufacturing
assets
Vodka manufacturing
Rationalize Optimize Grow
~€20m required capex to generate
~€10-12m run rate incremental EBITDA
Insource distillation
consistent with our
positioning as a
vodka specialist
Production costs:
c. 25+% of savings
vs. current
outsourcing model
BiG 2018
Additional industrial projects
27
Rationalize Optimize Grow
BiG 2018
Fruits & Wine
manufacturing
Liqueur Manufacturing
Logistic network
reconfiguration
Secure sourcing for growth:
- Modernisation of Beaucaire facility (France)
Merger of William Pitters with Marie Brizard
Transfer of Fondaudège production
Sale of Fondaudège Building (part of the disposal program)
Opex savings: €1.5m per year
Consolidation of inventory sites
Savings in renting and transportation costs
Opex savings: €0.7m per year
F&W manufacturing Liqueur Manufacturing Logistics reconfiguration
Better sourcing
28
Group synergies and purchasing productivityPurchasing
costs
Improve sourcing for William Peel
Scotch whisky
sourcing
strategy
Rationalize Optimize Grow
2
BiG 2018
Purchasing costs savings > €8m by FY2018
29
Savings on addressable purchasing costs >6%
Optimization of scotch whisky sourcing contracts
Leverage relationship with current bulk scotch whisky suppliers
through privileged and optimized supply contract
Better sourcing
Rationalize Optimize Grow
BiG 2018
Strengthened Route to Market
30
Focus on the USARoute to Market
reconfiguration
Integrated organization / streamlined logisticsExport
organization
Rationalize Optimize Grow
3
BiG 2018
Reconfiguration of the Route to Market in the USA
31
Source: Adams Liqueur 2013
Resources focused on 9 key states
generating 50% of net salesKey highlights
Priority states
NY
Illinois New Jersey
Florida
Michigan Massachusetts
CaliforniaOhio Pennsylvania
46% of total consumption (210m cases)
Focus resources on limited scope
Increase share of voice with key distributors (account
management, investment, A&Ps)
Develop assortment on our own brands
Joint account planning / detailed objectives / pay for
performance rebates
Progressive extension on new states
Strengthen Off-trade: one dedicated team and specific
funds allocated to specific retail chains (e.g. Walmart)
Re-invest incremental margin in A&Ps and national
distributors incentives
Optimize SG&A
Adjust pyramid: more FSF and less Regional manager
Reduce other expenses
Rationalize Optimize Grow
Route to Market
BiG 2018
Belvédère International to double its sales on non-clusterised countries by FY2018
32
Europe
W Africa
APAC
DFDuty Free
1 to 2 distributors per market
Full portfolio adapted to local market features
Duty-Free as part of premiumization strategy
Focus on priority brands
A&Ps support
Dedicated organization relying on
clusters
Use Private labels when needed
to enter key markets
Focus on key export marketsImprove distributors’ network
and Route to MarketGrow priority brands
Integrated Export
organization
Relying on clusters
Clusters accountable for sales and customer service for their export territories
Rationalize Optimize Grow
Export organization
BiG 2018
Streamline the business
33
Simplify the portfolio to enhance the manufacturing
efficiency (focus on vodka and MB liqueurs)
Cut of the less profitable and less strategic SKUs of the
tail (approximatively 50%) and optimized stock level (3
days reduction)
Stock Keeping
Units (SKU)
rationalization
Cost reductionValue
engineering
Rationalize Optimize Grow
4
BiG 2018
Develop core capabilities
34
Category management
Commercial and pricing strategy
Top line financial control
Excellence in sales execution
Commercial
excellence
Consistent sales & operations planning organization and
processes to be implemented in each country
Sales &
operations
planning
Rationalize Optimize Grow
5
BiG 2018
Launch of the commercial excellence program
35
Build Category management
approach
Lead development of category strategies and
tactics and collaborate with our trade partners
to increase categories value
Increase effectiveness of promotion and
brands activation
Drive innovation pipe of our categories
1Develop Effective commercial &
pricing strategy
2
Effective price increase improving profitability
for our brands and our trade partners
Increase control of our trade investments and
develop share of « pay for performance »
Control back-margin drifts
Strengthen our Terms & conditionsCustomer
relationship
Management
Develop robust Topline Financial
control
Develop further Revenue management and
profitability analysis
Harmonized net sales waterfall and trade
terms structure across entities
Strengthen financial control and trade
investments (scale rebates, promo, efficiency
& business drivers)
3Reinforce Excellence in sales
execution
4
Redeployment of our sales force
Tighter tracking of sales calls
Sales team Incentivization based on sales
targets AND brands activation effectiveness
(MS, ND, promo, …)
Tighter control of claims and deductions
Rationalize Optimize Grow
Commercial excellence
BiG 2018
Rationalize
Optimize
Grow
2015-18: restore profitability and grow
Grow strategic pillars
Grow in geographies
Grow
Portfolio segmentation
38
Strategic Pillars Branded Wines Complementary Brands
Vodka
William Peel
Marie Brizard
Liqueurs
Fruits & Wine
MonCigale /
Eclat du Rhône
Domain Menada
/ Tcherga
Bodega
Marques del
Puerto
Tequila San
José
Cognac
Gautier
Bitters
Old Lady’s
Gin
Punch &
Cocktails
Pitterson
Porto Pitters
MB syrups
Berger
Vodka
Wine
NichePortfolio
assortment
Private
Labels
(1) Financials of Cellier de Meknes not included in the strategic plan
Rationalize Optimize Grow
Cellier de
Meknes(1)
BiG 2018
Value Standard Premium Super premium
A vodka specialist portfolio from value to premium, building upon local & global brands
39
Global
Local
Krupnik
# 2 in
Poland
Starogardzka
Polish vodka
used as
exclusive
Private Label
brand
Shotka
Disruptive
and bold
Biala Dama
Traditional
rooted Polish
vodka
Wisent
Traditional
Bison grass
Polish vodka
Differentiated &
complementary
premium offers
Rationalize Optimize Grow
Sobieski
Rooted Polish
vodka sold in
Pol, Fr, US, Bra,
Spa, Den, Lit
Sobieski
Estate
Contemporary
& rooted
BiG 2018
Vodka - focus on Sobieski: become a top 3 brand in imported standard vodkas in our key markets
40
Business rationale
Vodka market growth
Standard market segment
outperforms category average
Affordable media segment,
underinvested to date
Levers
Price & positioning through portfolio
expansion and premiumization
“Truth in vodka” platform
Media spend in line with targeted
market share
Flavor optimization
More efficient route to market
Sales growth in volumes (m 9lc)
Main contributors to growth: USA, Poland and France
Breakdown of 2014e net sales
Rationalize Optimize Grow
18%
19%
45%
18%
France Poland USA Others
BiG 2018
2014e 2018e
>3.0
~1.8
CAGR: +14%
William Peel: replicate internationally the French success
41
Business rationale
Success in France
Fast growth in Poland, Brazil,
Lithuania
Price segment outperforms category
USA too mature & expensive
Levers
Nourish brand franchise through
increased A&Ps investment
Expand assortment in France
Strong Poland route to market
Sales growth in volumes (m 9lc)
Main contributors to growth: France and Poland
Breakdown of 2014e net sales
Rationalize Optimize Grow
BiG 2018
97%3%
France Spain
2014e 2018e
>3.0
~2.6
CAGR: +4%
Marie Brizard: rejuvenate the icon
42
Business rationale
Strong fit with consumer trends:
• Women, Cocktailization, Experiential, Flavor
• Rooted category with successfully reinvented brands
Levers
Brand rejuvenation
Flavor expertise
Expand franchise in current key
markets with strong opportunities in
both on + off trade
A&Ps investment
Revisited route to market
Sales growth in volumes (m 9lc)
Main contributors to growth: USA, Japan and Brazil
Breakdown of 2014e net sales
Rationalize Optimize Grow
BiG 2018
2014e 2018e
>0.65
~0.50
CAGR: +7%
24%
50%
3%
23%
France Spain USA Others
Fruits & Wine: reach leadership in international fruit flavoured wine
43
Business rationale
France’s favourite at a premium
price
Wine growth internationally
Strong fit with consumer trends:
Women, Flavor, Healthy
More casual drinking
Levers
Unique DNA and occasion
Flavor expertise
Strong A&Ps support
Geographic expansion in our key
markets
Sales growth in volumes (m 9lc)
Main contributors to growth: France, USA and Poland
Breakdown of 2014e net sales
Rationalize Optimize Grow
BiG 2018
2014e 2018e
>1.5
~1.0
CAGR: +12%
99%
1%
France Spain
Grow strategic pillars
Grow in geographies
Grow
Belvédère route to success
45
Grow strongly Belvédère presence, high growth potential in volume/value
Grow core Belvédère presence “cruising speed”
Bet / challenge High growth potential, yet challenging market position
Test and try High growth potential, progressive approach
Export opportunity Key opportunistic markets addressed by exports
Expand footprint Market opportunity with local partnership
Rationalize Optimize Grow
BiG 2018
Country Category Main focus
France Grow core Strengthen # 3 position by keeping
growth momentum
PolandGrow
strongly
From a leading product to a leading
portfolio
USABet /
challenge
Finalize turnaround then grow
profitably
LithuaniaGrow
strongly
Leverage local brands and become
# 1 in vodka
Spain Grow core Disrupt and innovate
BrazilBet /
challenge Accelerate profitable growth
Growth strategy per country
46
Rationalize Optimize Grow
BiG 2018
France: strengthen # 3 position by keeping growth momentum
47
Objective
Business rationale
Commercial Strategy
Marketing strategy
Strengthen William Peel and Fruits & Wine leadership
Establish Sobieski as a strong # 2 in vodka
Improve pricing power
Value and Standard:
- >80% of total spirits market
- 77% of total market growth
Very price sensitive consumers
Commercial excellence program
On trade focus
William Peel: strengthen its leadership position
- Launch of premium variants
- A&P support
Fruits & Wine: strengthen the brand leadership
- Pursue segment growth
- Innovation and stronger A&P support
Vodka: pursue Sobieski growth
- A&P support
- Launch of new variants
34%
4%
7%1%
54%
Net sales 2014e
Sales growth
In volumes (m 9lc) In value (EURm)
Main features
Main contributors to
2014e-2018e growth:
William Peel and
Fruits & Wine
Rationalize Optimize Grow
William Peel SobieskiFruits & Wine Marie BrizardOthers
Sources: IWSR, Euromonitor, Accenture Research
2014e 2018e
~10
CAGR: +2%~11
2014e 2018e
~190
CAGR: +2%
>200
BiG 2018
Poland: from a leading product to a leading portfolio
Objective
Business rationale
Commercial Strategy
Marketing strategy
Regain the # 2 position in vodka
More balanced portfolio by building a strong position with William Peel and
launching Fruits & Wine
Strong market potential: 12% growth expected in the next 4 years
Weakening competitors
Value and Standard:
- Over 90% of total market
- 88% of growth
Scotch whisky: 50% of total spirits growth until 2018
Success of sweet wines, as an opportunity for Fruits & Wine
Commercial excellence program
On trade focus
Off Trade: establish a strong partnership with the buyer
Vodka: address all the segments
- Krupnik, Sobieski, Shotka & Biala Dama, Starogardzka
- Relaunch of Krupnik and Sobieski
Scotch whisky: establish William Peel as a major brand
Fruits & Wine: launch of the product
Main features
48
Sales growth
In volumes (m 9lc) In value (EURm)
Net sales 2014e
9%
68%
23%
Main contributors to
2014e-2018e growth:
Other vodka and
Sobieski
Rationalize Optimize Grow
Sobieski Other vodka Others
2014e 2018e
~4.8
CAGR: +8%>6.5
2014e 2018e
~55
CAGR: +10%>80
Sources: IWSR, Euromonitor, Accenture Research
(1) Pro forma disposal of non strategic activities
(1)
BiG 2018
Rationalize Optimize Grow
USA: finalize turnaround then grow profitably
Objective
Business rationale
Commercial Strategy
Marketing strategy
Top 3 imported vodkas in the standard category
Portfolio diversification with
- “New” brands: Fruits and Wine, Moncigale…
- Third party: Kerrygold
Vodka: 11.5% volume growth expected by FY2018
- Standard vodka: 61% of total (past 8 years)
Sobieski: +64% CAGR (2007 - 2013)
Wine: USA consumers are opening to new variants (rosé, fruit-flavored, etc.)
Leverage USA RTM reconfiguration
- Focus on a limited number of distributors with increased share of mind
- Strengthen key account management, investment, A&Ps
Maintain national distribution
Strengthen position in off-trade national chains
Distribution of third party brand to increase size
Vodka: increase Sobieski share of voice
- Fuel market share growth in line with standard competitors
Fruits & Wine: launch of the product
- Leverage the “French brand” to position at a premium price
Marie Brizard: leverage its heritage
Main features
49
Sales growth
In volumes (m 9lc) In value (EURm)
Net sales 2014e
Main contributors to
2014e-2018e growth:
Sobieski and Fruits
& Wine
Sobieski Marie Brizard Others
90%
6%4%
2014e 2018e
~0.8
CAGR: +22%>1.8
2014e 2018e
~20
CAGR: +26%>50
Sources: IWSR, Euromonitor, Accenture Research
BiG 2018
Lithuania: leverage local brands and become # 1 in vodka
Objective
Business rationale
Commercial Strategy
Get the # 1 position in vodka by 2018
Portfolio covering each price segment and both local & global brands
Launch of William Peel and Fruit & Wine to expand key Belvedere brands
Market expected to grow by 14% in value by FY2018
Growth mainly driven by whisky, vodka, brandy & cognac and liqueurs
Vodka:
- Increase volumes of imported and local brands
- Market leadership with 30% market share
- Launch new Sobieski flavors and position Shotka as a disruptive brand
Brandy: enlarge portfolio with a premium brand (Caligula) and private label
Bitters: pursue growth targeting 30% market share by FY2018
Main features
50
Sales growth
In volumes (m 9lc) In value (EURm)
Net sales 2014e
Main contributors to
2014e-2018e growth:
local brands (Bajoru,
Renaissance,
Caligula)
Rationalize Optimize Grow
Sources: IWSR, Euromonitor, Accenture Research
BiG 2018
Sobieski Owned local brands
Shotka Others
2014e 2018e
>1.3
CAGR: +7%
>1.7
2014e 2018e
>15
CAGR: +11%>23
31%
20%3%
46%
Spain: disrupt & innovate
Objective
Business rationale
Commercial Strategy
Marketing strategy
Drive growth through
- Disruption and innovation
- Private-label production business: Starogardzka
Pockets of growth within a declining market: vodka and gin
Fruits and Wine holds strong growth potential
Private-label vodka in Spain: significant share of total volume sold
Strengthen relationships with retailers
On trade focus
Capitalize on Marques del Puerto and Marie Brizard brands equity in Spain
Disrupt in vodka
Fruits and Wine: play the “French card” to differentiate from Sangria
Old Lady’s: capitalize on premium gin trends in Spain
Main features
51
Sales growth
In volumes (m 9lc) In value (EURm)
Net sales 2014e
Main contributors to
2014e-2018e growth:
Other vodka and
Fruits & Wine
Rationalize Optimize Grow
2014e 2018e
~0.50
CAGR: +7%>0.65
2014e 2018e
~15
CAGR: +7%>20
Sources: IWSR, Euromonitor, Accenture Research
BiG 2018
40%
14%8%
2%
36%
Marie Brizard William Peel Sobieski
Fruits & Wine Others
2014e 2018e
~5
CAGR: +12%
>8
Brazil: accelerate profitable growth
Objective
Business rationale
Commercial Strategy
Marketing strategy
Focus growth on brands produced locally as door openers for key brands
Launch of William Peel, Other Vodka and Fruits & Wine to expand key
Belvédère brands
Market to grow by 13% in value by FY2018
Market highly dominated by local products
But 90% of future growth expected to come from vodka and scotch whisky
Imported products are subject to high taxes in some territories
Focus on a limited geography for new brands
Reinforce capabilities by strengthening the team
Sobieski: pursue growth
William Peel: launch with strong A&Ps support
Marie-Brizard: position as a premium brand with attractive price
- Strong A&Ps support
Main features
52
Sales growth
In volumes (m 9lc) In value (EURm)
Net sales 2014e
Main contributors to
2014e-2018e growth:
Sobieski and Marie
Brizard
Rationalize Optimize Grow
2014e 2018e
~0.3
CAGR: +8%
~0.4
Sources: IWSR, Euromonitor, Accenture Research
Sobieski
Owned local brands
BiG 2018
4%
96%
3Financial targets
>1.8
>3.0
>2.6
>3.0>0.5
>0.7
>1.0
>1.5
>5.9
>8.2
2014e 2018e
~40% volumes growth for the 4 key brands
54
2014e-2018e - growth by brands Main contributors to growth
~+40% in m 9lc
+50%
+67%
+15%
+30%
BiG 2018
Belvédère’s mid term financial targets by countries
55
2014e-2018e - growth by geographies Main contributors to growth
in €m
BiG 2018
+45%
+150%
+53%+33%
+5%
+60%
>190 >200
>55
>80>20
>50
>15
>23
>15
>20
>5
>8
>300
>381
2014e 2018e
> +27%
2014 EoY Rationalize Optimize Grow 2018 target
>0
~50-70
~10
~20-30
~20-30
2014 EoY Rationalize Optimize Grow 2018 target
~420-460~455 (~120) (~85-125)
By FY2018, Belvédère performance towards the industry standards
56
Net sales
€m
c. +25-35% net sales
increase on our
Core Business
EBITDA
€m
~12-15% EBITDA margin
on net sales,
towards the
industry
standards
M cases 9l equivalent ~26 ~20-23
% of net sales >0% ~12-15%
1 2 3
2014e 2018 targetRationalize Optimize Grow
~€50-60m cumulated
by FY2018
BiG 2018
CAPEX (€m) Self-financed plan
BiG 2018Back in the Game