9M 2019 Investor Presentation | November 2019 1
Key elements defining our model VALUE 1 Trusted and reliable partner with a clear value proposition 2 Leading positions in attractive channels and ADDING specialised markets 3 Entrepreneurial segments powered by our distribution centralised Group platform 4 partner Track record of strong and consistent profitable growth 5 Focused on organic growth complemented with strategic M&A 2
Differentiated sourcing Supply chain excellence Linking suppliers Delivering FMCG to the and customers that are right place, difficult to connect at the right time Fully bonded Regulatory supply chain expertise Highly efficient logistical platform 3
Serving a diversified customer base worldwide Empowering wholesalers and retailers (B2B) Serving complex end-markets in maritime Experienced in retail (B2C) Partner in remote distribution 4
Three entrepreneurial segments with a centralised backbone Distribution of bonded liquors and Specialty distribution of FMCG Specialty retail at high traffic health & beauty products to products to maritime and remote airports and remote locations specialty retailers and online end- markets customers Legal & Finance & IT Distribution HR Compliance Control 5
Solid sales channels that are exposed to attractive long term trends Business segments B&S Group markets/ channels Attractive long term trends Contribution to B&S Group turnover 2018 Turnover per segment 2018 Market Channel 40.7% Outsourcing 27.2% Value retail € 1,197 M Fragmentation and complexity 6.7% Globalisation E-commerce 7.3% A-brands and 10.3% luxury € 446 M Travel Compliance 7.8% € 137 M Column1 6
A defensive profile towards macro economic developments Bonded supplier Diversified supplier Robust and global status and customer basis product categories limiting the impact with limited with mainly A- of geopolitical dependency on a branded products that developments single market outperform in economic hardship 7
Striving for continuous economies of scale Investments in logistics and IT solutions on Group level Combining segmental purchasing and sourcing activities Utilising our global footprint to leverage price position 8
Firmly focused on continuous organic turnover growth complemented with selective M&A Discontinuation of FragranceNet.com non-premium-brand perfumes Alcodis 114 Topbrands 103 65 Capi (in million €) Acquisitive UCVF 38 Organic 58 9 1,633 1,393 1,338 1,275 1,152 964 845 816 695 573 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Dutch GAAP IFRS 9
Resulting in a strong track record of profitable growth Discontinuation of non- premium-brand perfumes 1,747 Turnover EBITDA CAGR ’09 - ’18 CAGR ’09 - ’18 1,495 109 106 1,339 13.2% p.a. 17.3% p.a. 1,338 89 Pressure on 1,152 84 China luxury gifting 1,002 903 65 825 59 52 677 47 573 38 26 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Dutch GAAP IFRS Dutch GAAP IFRS 10
Well positioned to capture growth opportunities Synergy effects Acquisitive growth Boosting organic Organic growth of acquired company growth • Business model fit Expansion by increasing presence in • Integration focused Value chain expansion on organic growth our current markets Sourcing synergies Tapping into new products and Strategy markets Combined market Disciplined on price knowledge Initially structured as Cross-selling of products to existing partnership or JV customers Centralised backbone Rapid back office and – plug & play sourcing integration Utilising the growth of existing customers by matching their increased demand for our products 11
Continuously expanding our role in the value chain Travel Value E- retail Retail commerce markets B2C B2B B2C EU USA Middle East geographies expansion Personal Pharma products care ceuticals 2012 2015 2017 2018 2019 12
9M 2019 Trading update 13
9M 2019 highlights ▪ 17.0% to € 1,373.4 M at reported rates (15.2% on a constant currency basis) Overall turnover growth Organic turnover growth ▪ Growth of 5.8% (4.0% at constant currency) Business segment ▪ All business segments contributed to topline growth individually contribution ▪ Further turnover growth throughout the Group for remainder of the year Outlook ▪ Long term growth drivers remain intact ▪ Interim dividend for 2019 of € 10.9 million or € 0.13 per share, payable on December 4, 2019 Dividend 14
Overall turnover growth analysis Commentary ▪ The HTG segment is the main contributor to organic turnover growth; ▪ The inclusion of the acquisitions of FragranceNet.com, Lagaay and airport retail Rotterdam and Weeze contributed € 131.8 M ▪ The development of the EUR/USD exchange rate had an effect of € 20.7 M on turnover 15
Key developments 9M 2019 ▪ The Health & Beauty category was the main growth driver ▪ Evident recovery of B&S Segment with reported turnover growth of 13.8% in Q3 compared to Q3 2018 ▪ The Retail segment performed in line with expectations ▪ Trade war between USA and China and the turmoil in Hong Kong had an impact on margins in Liquor category in Asia . ▪ This effect is continuing in Q4 , the quarter where we traditionally realise the higher turnover and gross margin in this category, and impacting our results in this category. 16
Outlook Medium-term ▪ Further turnover growth throughout the Group with the Health & Beauty category accelerating its contribution to overall FY Group results. ▪ Our focus for 2020-2022 lies on growth in all segments , supported by ▪ The B&S Segment is expected to continue its operational efficiency and enhanced cost performance in line with the trend we saw in Q3, leadership. and we foresee our Retail segment to grow in line with current levels. ▪ Our investments in IT and infrastructure enable further operational synergies between our segments, facilitate data ▪ Current market circumstances in Liquor Asia are driven service offerings throughout the expected to have a short-term impact as this value chain and allow us to move closer margin pressure results in lower purchase prices in towards the end-consumer . the market, thus enabling us to return to normal margin in 2020 17
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