Pet Business John Hanson President, Pet Consumer Products Central - PowerPoint PPT Presentation

Pet Business John Hanson President, Pet Consumer Products

Central plays in ~$28 B ​of Strong growth dynamics $101 B Pet industry $7 B $1 B Treats & Chews Live Pets & Fish Pet is a Dynamic Fragmented competitive set across categories $20 B Growth Industry Pet $39 B Supplies Pet Services Industry (Vet & Non-Medical) Revenue Broad distribution across $3 B retail channels Litter $31 B Growing eCommerce channel, Dog & Cat Food accelerated by COVID 2020 Investor Day 42

Net Sales of Consumer & ~65% Branded $1.6 B professional ~20% Distribution businesses with ~15% Private Label in FY 2020 leading brands Central is a Leader in the Pet Segment Outstanding 2020 performance in COVID-challenged environment +13 % +26 % +37 % Net Sales EBIT eCommerce 2020 Investor Day 43

Our Leadership Positions Leading Portfolio Categories Leading brands of Brands #2 #2 #3 Dog & Cat Dog Toys Dog Pads Calming Products #2 Aquatics Aquatics #1 Small Animal Small Animal #1 #1 Bird Pet Bird Suet #3 Reptile Reptile #2 Equine Fly Spray Live Pets #1 (ex-Dog & Cat) Live Pet (ex Dog & Cat) #1 #1 Professional Farm Insect Municipal Mosquito Control Control 2020 Investor Day 44

CONSUMER CONSUMER Innovation Expands our Industry Leadership Innovation Expands our Industry Leadership Food From Clean & Cozy Bone Broth Food From Clean & Cozy Bone Broth the Wild Extreme Odor Bedding Dog Bones the Wild Extreme Odor Bedding Dog Bones +50 % +$10 MM +2.6pp +50 % +$10 MM +2.6pp Share gain in Sales in Share gain in Small Animal Share gain in Sales in Share gain in Small Animal Paper Bedding year one Food at launch customers Paper Bedding year one Food at launch customers 2020 Investor Day 1

CONSUMER Food From Clean & Cozy the Wild Extreme Odor Bedding Online Display Influencer Marketing Investing in Engagement Rate Of the overall sales 29 % Demand Creation 4 X New Brand Buyers Norm 13 MM Impressions 2020 Investor Day 46

Kaytee Video 2020 Investor Day 47

CUSTOMER Positioned to Win in Every Channel • Leading category insights and solutions to drive industry growth • Strong relationships across customers and channels • Emerging strength in eCommerce • T enured Pet industry sales leadership 2020 Investor Day 48

CUSTOMER Stellar 2020 Results +37 % $184 MM ~20 % Winning in of Pet Consumer Growth in Sales business eCommerce Gaining Share in majority of categories 2 X We have a our BOLD eCommerce business by 2025 ambition 2020 Investor Day 49

CUSTOMER ~20% +11% Largest Pet Distribution of Pet 2020 Sales Assortment of supplies in Sales growth Pet distribution Generates Competitive Our Portfolio Who We Serve Third-Party Brands Advantage 9,800+ 6,400+ ~80% ~20% Retailers Vet clinics Competitive Advantages • Insight into leading consumer trends • Channel leadership in Pet Specialty • Strengthened category management with top customers • Access to emerging brands for M&A 2020 Investor Day 50

COST Investing in Expanding Automation Capacity Dog Treats Generating +20 % Aquatics +15-20 % Savings to Capacity Waste Fuel Growth reduction Optimizing Freight Bird Suet & Logistics +20-25 % T otal Pet Segment Improved 10-15 % LTL cost efficiency savings 2020 Investor Day 51

Pet is a dynamic industry with strong consumer tailwinds Key Takeaways: Central is a leader in Pet with untapped growth potential Pet Business We are executing well with outstanding 2020 results We have a bold consumer-centric growth strategy and are confident in our future 2020 Investor Day 52