Management Presentation SEP 2017

Transcription

1 Management Presentation SEP 2017

2 Safe Harbor Statement This presentation contains forward-looking statements, which express the current beliefs and expectations of management. Such statements are based on management's current beliefs and expectations and involve a number of known and unknown risks and uncertainties that could cause our future results, performance or achievements to differ materially from the results, performance or achievements expressed or implied by such forward-looking statements. Important factors that could cause or contribute to such differences are detailed in documents we file from time to time with the United States Securities and Exchange Commission. Forward-looking statements in this presentation are made pursuant to the safe harbor provisions contained in the Private Securities Litigation Reform Act of These statements include descriptions regarding the Company s plans, objectives, goals, strategies, future events, future revenues or performance, capital expenditures, financing needs and other information that is not historical information. These statements can be recognized by the use of words such as may, might, will, should, expects, plans, anticipates, believes, estimates, predicts, potential or continue, the negative of these terms and other comparable terminology. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors, including those described under Risk Factors in the Company s Form 20-F, that may cause the Company s actual results, performance or achievements to differ materially from those set forth in the forwardlooking statements as a result of various. factors and assumptions. The Company has no obligation and does not undertake to revise forward-looking statements to reflect future events or circumstances. The trademarks included herein are the property of the owners thereof and are used for reference purposes only. Such use should not be construed as an endorsement of the products or services of SodaStream or of those other companies. 2

3 Company Highlights World leader in home carbonation Leading new category in giant carbonated beverage industry Address growing consumer mega-trends 11.5 million active households across 45 countries High margin recurring revenue stream Significant global market opportunity 6 consecutive quarters of double-digit topline growth while tripling operating profit margin 3

4 SodaStream Mission SodaStream will revolutionize the global beverage industry by making sparkling water easily accessible, relevant and exciting to consumers around the world 4

5 Products & Innovation Home Carbonation System Sparkling Water Makers CO 2 carbonator s Carbonating Bottles Flavors 5

6 Category Definition Home Carbonation System Sparkling Beverage

7 Decline SodaStream Revenue $ Million

8 Tectonic Shift in Consumer Preference USA Soda Consumption in US Sparkling Water Consumption in US % decline in 8 years +100% surge in 8 years SOURCE: Euromonitor International 8

9 The Opportunity Carbonated Soda $225 billion Opportunity Water $200 billion 9

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11 Organization Marketing Product & Innovation Distribution Operations Growth Plan, October

12 Heavy Bubbles 12

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17 Consumer Benefits: Water Convenience: No more lugging heavy bottles; saves space; no empties Health & Wellness: Proven to help drink more water and less sugar or sweeteners Cost Effective: Saves up to 70% for sparkling water Environment: Dramatically reduce carbon footprint from plastic production and waste 17

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19 Product & Innovation SPIRIT MIX ULTIMATE 19

20 NEW ELECTRIC SPARKLING WATER MAKER

21 ICY BLUE RRP: $79.99 Availability: August

22 Product & Innovation NATURAL FLAVORED ESSENCE

23 Product & Innovation HERB AND FRUIT INFUSIONS

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26 SodaStream World Tour

27 Global Presence SodaStream products sold in 45 countries 2016 revenue by region (% growth vs. Ly) +28% Asia Pacific 10% +23% CEMEA 5% +9% Americas 23% 62% +12% Western Europe 27

28 SodaStream world retail tour 45 countries 80,000 + Retail Doors 28

29 Sweden 29

30 Finland 30

31 Czech Rep. 31

32 Belgium 32

33 Italy 33

34 Germany 34

35 Germany Retail Germany 35

36 Germany 36

37 Germany Retail Germany 37

38 France 38

39 Australia 39

40 Singapore 40

41 New Zealand 41

42 Japan 42

43 USA 43

44 USA 44

45 Canada 45

46 Financial Highlights

47 Revenue YoY ($m) +10% +17% +13% +17% +14% +10% Q Q Q Q Q Q Q Q Q Q2 2017

48 Operating Income YoY Profit Margin: ($m) +116% +102% +243% +206% +100% +84% 4-5% 7-8% 13-15% Q Q Q Q Q Q Q Q Q Q excluding restructuring

49 SODA 2016 Share Price

50 Gross Margin bp 52.3% 51.8% 52.4% 52.7% 53.1% 50.3% 50.7% 50.7% 48.4% 48.0% Q Q Q Q Q Q Q Q Q Q excluding restructuring

51 Sparkling Water Makers (units M's) 1,542 1,196 1,111 1, Q1 Q2 Q3 Q

52 Gas Refills (units M's) Q1 Q2 Q3 Q

53 Germany Revenue Growth Revenue ( M) % CAGR 109 Results More than tripled machine sales More than doubled gas sales and household penetration to 7% Including Germany and Austria 53

54 Customer Acquisition Cost* Q Q Q Q Q Q Q Q Q Q Customer Acquisition Cost Sparkling Water Maker * Consumer Acquisition Cost is A&P / no. of sparkling water makers sold in the quarter: measures the effectiveness of the advertising spend 300

55 Selling Expenses / Revenue 21.8% 21.3% 18.4% 19.3% 19.0% 16.7% 15.9% 15.9% 16.0% 15.2% Q Q Q Q Q Q Q Q Q Q2 2017

56 G&A Expenses / Revenue 12.7% 11.3% 10.7% 11.5% 10.5% 11.2% 8.7% 8.5% 8.7% 9.0% Q Q Q Q Q Q Q Q Q Q2 2017

57 Operating & Investments Cash Flow ($M) ($m) Q Q Q Q Q Q Q Q Q Q Operating Investments Free Cash Flow

58 Business Growth Drivers SodaStream s Four Revenue Pillars Soda Makers Gas Refills Flavors (Syrup) Carbonating Bottles A&P Annual Expense User Acquisition Cost Household penetration Soda Maker Sales (New Users) Attrition Prior Year User Installed Base Attrition Current Active User Installed Base Key Drivers Gas Refill Per Year Per User Current Active User Install Base Total Gas Refill Units 1 Flavor / Gas Refill Consumption Ratio (%) 2 Total Flavor Unit Sales Bottles / Flavors Consumption Ratio Total Bottles Unit Sales Key Driver Key Driver Key Driver Note: Other revenue items including SodaStream Professional (out of home business) are less material and assumed as low growth in the model. ¹ Includes new users. Assume 6 months lag in sale of Refills to new user. Does not include spare cylinder purchases. ² Flavor bottle produce 10 litres of soda; Gas Refill produce 50 litres of carbonated water.

59 Consumables Generate Sustainable, LT Value Sparkling Water Makers Consumables $56 $392 Value (10 years) + + = $448 Exchangeable CO 2 cylinders Carbonation bottles Flavors Attractive business model driven by recurring purchases of high-margin consumables Note: Based on estimated 10-year value from loyal consumer;

60 Thank You 60