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FULL-YEAR RESULTS 2024 26 FEBRUARY 2025
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FY 24 HIGHLIGHTS RAFA OLIVEIRA FY 24 FINANCIAL PERFORMANCE SCOTT GRAY OBSERVATIONS FIRST 100 DAYS RAFA OLIVEIRA FY 25 OUTLOOK & CAPITAL ALLOCATION RAFA OLIVEIRA QUESTIONS & ANSWERS AGENDA
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IMPORTANT INFORMATION Presentation The condensed consolidated unaudited financial statements of JDE Peet’s N.V. (the “Company”) and its consolidated subsidiaries (the “Group”) are prepared in accordance with International Financial Reporting Standards as adopted by the European Union (“IFRS”). In preparing the financial information in these materials, except as otherwise described, the same accounting principles are applied as in the consolidated financial statements of the Group as of, and for, the year ended 31 December 2023 and the related notes thereto. All figures in these materials are unaudited. In preparing the financial information included in these materials, most numerical figures are presented in millions of euro. Certain figures in these materials, including financial data, have been rounded. In tables, negative amounts are shown in parentheses. Otherwise, negative amounts are shown by "-" or "negative" before the amount. Non-IFRS Measures These materials contain non-IFRS financial measures (the “Non-IFRS Measures”), which are not liquidity or performance measures under IFRS. These Non-IFRS Measures are presented in addition to the figures that are prepared in accordance with IFRS. The Group's use of Non-IFRS Measures may vary significantly from the use of other companies in its industry. The measures used should not be considered as an alternative to profit (loss), revenue or any other performance measure derived in accordance with IFRS or to net cash provided by operating activities as a measure of liquidity. For further information on Non-IFRS Measures, see the definitions in the press release and adjusted EBIT as described in segment information in the condensed consolidated unaudited interim financial statements. Forward-looking Statements These materials contain forward-looking statements as defined in the United States Private Securities Litigation Reform Act of 1995 concerning the financial condition, results of operations and businesses of the Group. These forward-looking statements and other statements contained in these materials regarding matters that are not historical facts involve predictions. No assurance can be given that such future results will be achieved. Actual events or results may differ materially as a result of risks and uncertainties facing the Group. Such risks and uncertainties could cause actual results to vary materially from the future results indicated, expressed or implied in such forward-looking statements. There are a number of factors that could affect the Group’s future operations and could cause those results to differ materially from those expressed in the forward-looking statements including (without limitation): (a) competitive pressures and changes in consumer trends and preferences as well as consumer perceptions of its brands; (b) fluctuations in the cost of green coffee, including premium Arabica coffee beans, tea or other commodities, and its ability to secure an adequate supply of quality or sustainable coffee and tea; (c) global and regional economic and financial conditions, as well as political and business conditions or other developments; (d) interruption in the Group's manufacturing and distribution facilities; (e) its ability to successfully innovate, develop and launch new products and product extensions and on effectively marketing its existing products; (f) actual or alleged non-compliance with applicable laws or regulations and any legal claims or government investigations in respect of the Group's businesses; (g) difficulties associated with successfully completing acquisitions and integrating acquired businesses; (h) the loss of senior management and other key personnel; and (i) changes in applicable environmental laws or regulations. The forward- looking statements contained in these materials speak only as of the date of these materials. The Group is not under any obligation to (and expressly disclaim any such obligation to) revise or update any forward-looking statements to reflect events or circumstances after the date of these materials or to reflect the occurrence of unanticipated events. The Group cannot give any assurance that forward-looking statements will prove correct, and investors are cautioned not to place undue reliance on any forward-looking statements. Further details of potential risks and uncertainties affecting the Group are described in the Company’s public filings with the Netherlands Authority for the Financial Markets (Stichting Autoriteit Financiële Markten) and other disclosures. Market and Industry Data All references to industry forecasts, industry statistics, market data and market share in these materials comprise estimates compiled by analysts, competitors, industry professionals and organisations, of publicly available information or of the Group's own assessment of its markets and sales. Rankings are based on revenue, unless otherwise stated. .
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FY 24 HIGHLIGHTS RAFA OLIVEIRA
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* On an organic basis; Reported sales up 7.9% and reported adj EBIT up 13.2% KEY HIGHLIGHTS FULL-YEAR 2024 5 Strong results, exceeding upgraded H1 guidance Sales +5.3%* Adj EBIT +10.4%* Free cash flow EUR 1 bn Maratá and Caribou consolidated; performance and integration on track Restored a conservative balance sheet; net leverage 2.73x Successfully managed ongoing green coffee inflation Solid market share performance, despite short-term market dynamics Proposal to increase the dividend, and intention to initiate a multi-year share buyback cycle
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CONTINUED FOCUS ON CONSUMER RELEVANCE WITH NEW OFFERINGS AND ACTIVATIONS 6 SUSTAINABLE INSTANT PAPER REFILLS L’OR X FERRARI HYPERCAR PARTNERSHIPELEVATING JACOBS PEET’S ULTRA COFFEE CONCENTRATE L’OR COFFEE ICED OLDTOWN HOT & COLD
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7 GOOD PROGRESS ON OUR SUSTAINABILITY ROADMAP -31.0% 79.3% 92.4% Reduction in Scope 1 & 2 GHG Emissions1 1 -1.4% reduction in Scope 3; all versus base year 2020 2 83.2% including Maratá Responsibly sourced coffee2 Reusable, recyclable & compostable packaging
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FY 24 FINANCIAL PERFORMANCE SCOTT GRAY
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9 FULL-YEAR 2024 RESULTS EUR 8.8 bn EUR 1.3 bn Organic growth +10.4% Reported growth +13.2% Free Cash Flow EUR 1 bn Net leverage 2.73x Organic growth +5.3% Reported growth +7.9% EUR 3.3 bn Organic growth +6.1% Reported growth +7.3% ADJUSTED EBITADJ GROSS PROFITSALES CASH & DEBT
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10 SALES DEVELOPMENT DRIVEN BY PRICING AND SUPPORTED BY POSITIVE VOLUME/MIX Organic growth +5.3% Reported growth +7.9% * In EUR m, unless otherwise stated • Organic growth driven by pricing across all segments. Positive vol/mix in LARMEA and Peet’s • Strong contribution from brands like L’OR, Peet’s and Pilão • FX impact driven by the Brazilian real, Turkish lira and various other EM currencies • Scope reflecting Maratá and Caribou 0.7% 4.5% 4.7% -2.1% 8,837 8,191
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GEOGRAPHIES 11 BROAD-BASED ORGANIC SALES GROWTH Developed markets Emerging markets + 1.1% + 18.3% In-Home Away-from-Home excl Coffee Stores Coffee Stores + 5.6% +3.1% +5.7% Global brands* Regional & Local brands + 3.9% + 6.1% * Include L’OR, Peet’s and Jacobs CHANNELS BRANDS
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EBIT DEVELOPMENT ORGANIC ADJUSTED EBIT INCREASED BY 10.4%, DRIVEN BY STRONG GROSS PROFIT 12 Reported EBIT +13.2% * In EUR m, unless otherwise stated 1 Includes Maratá and Caribou 1,277 1,128 1 Organic adj EBIT +10.4% Organic Gross Profit +6.1% COGS (gross)
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13 FULL-YEAR 2024 PERFORMANCE BY SEGMENT ALL SEGMENTS CONTRIBUTING TO TOPLINE AND PROFITABILITY Organic Sales Growth 0.5% 21.2% 5.7% 1.5% Organic Adjusted EBIT Growth 4.3% 25.3% 23.8% 2.3% EUROPE LARMEA PEET’S APAC
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14 NET PROFIT DEVELOPMENT NET PROFIT AND EPS DEVELOPMENT (on an adjusted basis) EPS DEVELOPMENT (excl. MtM of equity derivatives) EUR 1.62 EUR 1.81 734 EPS EUR 1.51 FV changes of derivatives, FX, scope, NCI 729 EPS EUR 1.50 * In EUR m, unless otherwise stated
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15 FREE CASH FLOW AND NET DEBT DEVELOPMENT STRONG FREE CASH FLOW GENERATION DRIVEN BY STRONG OPERATIONAL PERFORMANCE NET DEBT DEVELOPMENTFREE CASH FLOW 3,890 4,329 FCF CONVERSION 67% FREE CASH FLOW EUR 1,044 m Maratá & Caribou 1 * In EUR m, unless otherwise stated 1 Other incl.: Adjusting items, Gain/loss on sale of fixed assets, Share-based payment expense, Provision payments, Realised FX & derivative payments, New leases, Currency translation foreign currency denominated debt, Other operating & investing & financing CF, Investments/divestments by non-controlling shareholders, FX effect on cash, Impact hyperinflationary accounting, Change in restricted cash
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16 NET LEVERAGE AND NET DEBT DEVELOPMENT NET LEVERAGE REDUCED TO 2.7X, APPROACHING OPTIMAL LEVERAGE RANGE 3.4x 3.2x 3.0x 2.7x 2.8x 2.6x 2.8x 2.7x 3.1x 2.7x 2 2.5 3 3.5 4 4.5 5 200 1200 2200 3200 4200 5200 6200 30 Jun 2020 31 Dec 2020 30 Jun 2021 31 Dec 2021 30 Jun 2022 31 Dec 2022 30 Jun 2023 31 Dec 2023 30 Jun 2024 31 Dec 2024 Net Debt Leverage *In EUR m, unless otherwise stated Net leverage = Net Debt / EBITDA 3,890 5,090 4,253 4,050 4,4354,661 4,220 5,552 NET LEVERAGE 2.73x 4,779 4,329
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1.5 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 REVOLVING CREDIT FACILITYBONDS FCF (3-yr avg) 0.8 0.7 0.8 0.50.5 0.6 0.5 0.5 DEBT MATURITY PROFILE1 17 STRONG DEBT MATURITY PROFILE WITH ALL FUTURE MATURITIES BELOW 3-YR AVERAGE FREE CASH FLOW GENERATION * After repayment of the 2025 maturity in January 2025 1 Includes bonds and RCF 2 Interest on loans, bonds and derivatives 1.32% 4.4y Avg. cost of debt*2 Avg. maturity* Total liquidityEUR 2.7 bn 0.5 *
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CFO TRANSITION RAFA OLIVEIRA
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OBSERVATIONS FIRST 100 DAYS RAFAOLIVEIRA
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20 OBSERVATIONS OF MY FIRST 100 DAYS Highly attractive category with strong value creation potential Deep industry expertise and brand passion Supply chain resilience High-quality product range & strong brand equity Highly cash-generative business POINTS OF STRENGTH OPPORTUNITIES Revive the disruptor & innovation mindset Evolve & digitalise marketing Increase brand-product synergies across markets Redefine & optimise the role of coffee stores Simplify operating model Efficiencies to fund growth and boost profitability
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FIVE KEY PRIORITIES FOR 2025 21 PRICING DISCIPLINE TO PROTECT PROFITABILITY UNLOCK EFFICIENCIES TO FUEL BRAND GROWTH AGILITY & OWNERSHIP CULTURE FOCUS ON STAKEHOLDER VALUE CREATION IMPROVE CAPITAL & RESOURCE ALLOCATION 1 2 3 4 5
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OUTLOOK FY 25 & CAPITAL ALLOCATION RAFAOLIVEIRA
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23 GREEN COFFEE PRICES CONTINUE TO RISE, REACHING HISTORICAL HIGHS HISTORICAL GREEN COFFEE PRICE DEVELOPMENT OBSERVATIONS Historically high prices for Arabica & Robusta Atypical global weather patterns tightening supply amid relatively stable demand Extreme daily price volatility Geopolitical and international trade tensions impact global freight and regional regulations (c/lb) ($/mT) 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 0 50 100 150 200 250 300 350 400 450 1996 1997 1997 1998 1999 2000 2001 2002 2002 2003 2004 2005 2006 2007 2007 2008 2009 2010 2011 2012 2012 2013 2014 2015 2016 2017 2017 2018 2019 2020 2021 2022 2022 2023 2024 NY Arabica (c/lb) LN Robusta ($/mT) * As per Feb 7, 2025
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24 High single-digit increaseOrganic sales Organic Adjusted EBIT Free cash flow OUTLOOK 2025 Low single-digit decline Second-half-weighted Around EUR 1 billion Second-half-weighted
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25 CAPITAL ALLOCATION PRIORITIES 2025 IN LINE WITH OUR CAPITAL ALLOCATION FRAMEWORK SHARE BUYBACKORGANIC GROWTH OPTIMAL LEVERAGE INORGANIC GROWTH RETURN CASH TO SHAREHOLDERS Not anticipated Target an optimal leverage of around 2.5x with a conservative balance sheet Dividend increase EUR 250 m share buyback as part of a EUR 1 bn multi- year share buyback cycle
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26 PROPOSAL TO INCREASE THE 2024 DIVIDEND BY 4.3% • Subject to shareholder approval at the AGM on 19 June 2025 DIVIDEND FY 24 EUR 0.73 FIRST INSTALMENT EUR 0.37 in July 2025 SECOND INSTALMENT EUR 0.36 in January 2026
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27 INTENTION TO INITIATE A EUR 1 BILLION MULTI-YEAR SHARE BUYBACK CYCLE MULTI-YEAR SHARE BUYBACK 2025 - 2028 Up to EUR 1 billion SHARE BUYBACK 2025 Up to EUR 250 million
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JDEP QUESTIONS & ANSWERS