COMPANY PRESENTATION October 2019 1 IMPORTANT NOTICE This - PowerPoint PPT Presentation

COMPANY PRESENTATION October 2019 1

IMPORTANT NOTICE This presentation does not constitute or form part of and should not be construed as an offer to sell or issue or the solicitation of an offer to buy or acquire securities of the Company or any of its subsidiaries or as an inducement to enter into investment activity. No part of this presentation should form the basis of, or be relied on in connection with, any contract or commitment or investment decision whatsoever. This presentation is not a financial, legal, tax or other product advice. This presentation has been prepared by the Company for selected recipients for information purposes only and does not constitute a recommendation regarding any securities of the Company. The information has not been independently verified. No representation, warranty or undertaking, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or the opinions contained herein. None of the Company or any of its affiliates, advisors or representatives shall have any liability whatsoever (in negligence or otherwise) for any loss howsoever arising from any use of this presentation or its contents or otherwise arising in connection with the presentation. This presentation is highly confidential and being given solely for your information and for your use and may not be retained by you nor may this presentation, or any portion thereof, be shared, copied, reproduced or redistributed to any other person in any manner. The statements contained in the presentation speak only as at the date as of which they are made, and the Company expressly disclaims any obligation or undertaking to supplement, amend or disseminate any updates or revisions to any statements contained herein to reflect any change in events, conditions or circumstances on which any such statements are based. By preparing this presentation, none of the Company, its management, and their respective advisers undertakes any obligation to provide the recipient with access to any additional information or to update this presentation or any additional information or to correct any inaccuracies in any such information which may become apparent. This material may contain forward-looking statements based on the currently held beliefs and assumptions of the management of the Company, which are expressed in good faith and, in their opinion, reasonable. Forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, financial condition, performance, or achievements of the Company or industry results, to differ materially from the results, financial condition, performance or achievements expressed or implied by such forward-looking statements. Given these risks, uncertainties and other factors, recipients of this material are cautioned not to place undue reliance on these forward-looking statements. A REGISTRATION STATEMENT RELATING TO THESE SECURITIES HAS BEEN FILED BY THE COMPANY WITH THE SECURITIES AND EXCHANGE COMMISSION, BUT HAS NOT YET BECOME EFFECTIVE. THE SECURITIES OF THE COMPANY MAY NOT BE SOLD NOR OFFERS TO BUY THE SAME BE ACCEPTED PRIOR TO THE TIME THE REGISTRATION STATEMENT BECOMES EFFECTIVE. THIS REPORT AND ALL COMMUNICATIONS APPURTENANT THERETO SHALL NOT CONSTITUTE AN OFFER TO SELL OR BE CONSIDERED A SOLICITATION OF AN OFFER TO BUY. 2

Agenda THE COMPANY Industry Overview Competitive Strength Key Strategies Financial Highlights 3

THE COMPANY Overview • Corporate History and Structure • Products • 4

THE COMPANY Overview • Corporate History and Structure • Products • 5

Holding company of food and beverage kiosk operators The LARGEST* diversified kiosk 949 stores operator in the nationwide country Currently 24 Highly Scalable active brands business model 6 *Source: 2019 UA&P CFA report

THE COMPANY Overview • Corporate History and Structure • Products • 7

Corporate History 2002 2004-2011 2012 2013 Juice Avenue, Buko ni 7,107 Halo- 1 st Fruitas Buko Loco, Fruitas, The Mango Halo Islands Store was Friends Fries, Farm, Black Pearl and was launched launched Tea-Rex and Fruitas Ice candy House of were launched Desserts were launched 8

Corporate History 819 930 949 414 260 2015 2016 2017 2018 2019 The Lush Company was Shou, Johnn Lemon, The Lush Company, Inc. was re- NTI completed the Fruitas launched Fresh Ka Pa incorporated. and Fancie were named to Fruitas Holdings, Inc. asset acquisition of Ba? campaign which also introduced Sabroso Lechon introduced Sarah Geronimo as The Lush Company gained FHI acquired 150 Maginhawa St. the new brand ambassador of 95% of Negril Trading The Lifestyle Park and FGI Fruitas. which houses De Original launched the Le Village Lifestyle Jamaican Pattie Shop and Park Three Frenchmen Creperie was Juice Bar launched House of Fruitas, The Pub, Munifico, and Cindy’s Candy Cloud were launched. 9

Corporate Structure 100% 100% 100% Fruitasgroup Incorporated Buko ni Fruitas, Inc. Negril Trading, Inc. 100% Green Empire International Limited 100% Oceanic Luck Limited 10

Main Operating Subsidiaries Fruitasgroup Incorporated Buko ni Fruitas, Inc. Negril Trading, Inc. 11

THE COMPANY Overview • Corporate History and Structure • Products • 12

Products 13

Market Leaders JOHNN LEMON FRUITAS FRESH FROM BABOT’S FARM! 2016 2002 Pure lemonade and lemonade with Fresh fruit shakes and juices fruit mixes or tea base Leader in Fruit shake category Leader in Lemonade category BUKO LOCO/BUKO NI FRUITAS DE ORIGINAL JAMAICAN FRESH FROM BABOT’S FARM PATTIE SHOP AND JUICE BAR 2012/2005 1991 Bottled pure coconut juice, flavored Baked Jamaican Patties and juices coconut juice and fruit smoothies Leader in Meat-filled patties Desserts (buko and fruit salads served in coconut category shell), fresh coconut juice and buko smoothies (combination of buko meat blended with other fruits) Leader in Buko category Source: 2019 UA&P CAF 14

Category Challengers JUICE FRIENDS TEA-REX AVENUE FRIES MILKTEA 2004 2012 2012 BLACK SHOU SABROSO FRUITAS Fresh fruit French Fries Cold-brew PEARL HAND- LECHON HOUSE OF juice and based milk 2008 PULLED 2017 DESSERTS smoothies Fries tea and fruit NOODLES 2012 category tea Flavored 2016 Lechon and Juice and powder other pork- Dessert, smoothies Milk tea drinks Hand pulled based rice fresh fruit category category served with noodles; old meals shakes and tapioca Beijing juices, boba pearls braised Whole shakes and beef, rice roasted milk tea Coolers toppings pork category and dimsum category Desserts category Source: 2019 UA&P CAF 15 The Mango Farm (2006) and 7,107 Halo Halo Islands (2013) are also challengers in the Desserts category

Niche Brands THREE MUNIFICO FRUITAS ICE FANCIE UVA FRENCHMEN PIZZERIA CANDY 2016 2017 CREPERIE 2017 2012 2019 CINDY’S HOUSE OF THE PUB LUCKY CHAN COFFEE TALK CANDY FRUITAS 2017 2019 2019 CLOUD 2017 2017 Source: 2019 UA&P CAF 16

LE VILLAGE UNO CINQUENTA LIFESTYLE FOOD PARK LIFESTYLE FOOD PARK LIFESTYLE 2017 2016 FOOD PARK 55 CORDILLERA ST., QUEZON CITY 150 MAGINHAWA ST., QUEZON CITY 17

Revenue Breakdown: 2018 Franchise fees Rental 2% <1% Juice Avenue Others 3% 13% Friends Fries Fruitas 3% 27% Black Pearl 10% Johnn Lemon Buko Loco/BNF 10% 18% Jamaican Pattie 13% 18

Store Breakdown: 1H2019 Friends Fries Juice Avenue 5% 3% Others 12% Black Pearl Fruitas 14% 28% Johnn Lemon 12% Buko Loco/BNF Jamaican Pattie 12% 14% 19

Industry Overview 20

Growth Outlook Based on the latest Family Income and Expenditure Survey (FIES) report (2015), the total earnings of Filipino families reached PHP6 trillion in 2015, which translates to an average income of PHP 267,000 per family. Total Food Spending increased by 6.8% per year from 2009 to 2015 HFCE increased by an average of 8.9% per year at current prices during the past 10 years. Household Final Value Food expenditure: Average spending per family, various years (P) Growth (PHP Bn) Consumption Expenditure Rates (%) AAGR (percent per annum) at Current Prices 14 14,000 Region 2009 2012 2015 2009/ 2012/ 2009/ 2012 2015 2015 12 12,000 NCR 111,696 118,572 126,695 2.01 2.23 2.12 10 10,000 Calabarzon 88,985 98,553 107,160 3.46 2.83 3.15 Central Luzon 8 8,000 82,261 92,308 100,411 3.92 2.84 3.38 Rest of Luzon 64,478 70,147 77,366 2.85 3.32 3.08 6 6,000 4 4,000 Luzon (a) 84,528 92,792 100,496 3.16 2.69 2.93 2 2,000 Visayas 64,144 69,915 80,058 2.91 4.62 3.76 Mindanao 59,855 66,723 72,018 3.69 2.58 3.13 0 0 2010 2011 2012 2013 2014 2015 2016 2017 2018 Philippines 74,798 82,466 89,997 3.31 2.96 3.13 (a) Including NCR Household final consumption expenditure Food and Non-alcoholic beverages Source of basic data: PSA-FIES (various years) 21