1 / 12

Annual General Meeting 28 January 2011

Annual General Meeting 28 January 2011. Marston’s today. Marston’s today. 1. National pub operator Marston’s Inns and Taverns – 485 managed pubs Marston’s Pub Company – 1,663 tenanted/leased pubs Situated across England and Wales 98% freehold estate (by value)*

jessie
Download Presentation

Annual General Meeting 28 January 2011

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Annual General Meeting 28 January 2011

  2. Marston’s today Marston’s today • 1. National pub operator • Marston’s Inns and Taverns – 485 managed pubs • Marston’s Pub Company – 1,663 tenanted/leased pubs • Situated across England and Wales • 98% freehold estate (by value)* • National Brewer – Marston’s Beer Company • Ale brewer; market leading position in premium ales • Vertically integrated business • Cost efficient • More opportunities • Reduced risk *includes long leaseholds A leading pub operator and brewer with a flexible business model Presentation name > date 2

  3. Financial snapshot 1 Before exceptional items * Includes disposal proceedsFCF = Free cashflow Return to turnover andprofitgrowth, strong cash generation Presentation name > date 3

  4. Clear divisional strategies STRATEGY KEY COMPONENTS OBJECTIVES • ‘F-Plan’ • New-build investment Exploit and develop competitive advantage in pubs and brewing sectors • Sustainable growth • Lower gearing ratios • Increased ROC • Innovative agreements • Greater control of retail offer • ‘Localness’ • Premium ales A clear strategy focused on growth and return > date 4

  5. ‘F-Plan’ drives transformation ‘F-Plan’: Food, Families, Females, Forty/Fifty somethings A higher quality business adapting to today’s consumer Presentation name > date 5

  6. Managed - new build investment Illustrative pro-forma • Visibility and control of plans • 2011: 20 sites under contract, 2 open and 8 on site • 2012: 25 sites identified • 2013 – 2015: c.100 sites under constant review • ROC anticipates pressure on returns • 15% target below current run-rate – returning competition, build costs Importance of food retailing skills continues to increase Presentation name > date 6

  7. Tenanted - innovative agreements Heading (Arial Black 22pt) Heading (Arial Black 22pt) -4 +1 -24 STABILITY OPPORTUNITY REVIEW Majority of profit stable, significant Retail Agreement opportunity Presentation name > date 7

  8. Retail Agreement: target – 600 pubs Heading (Arial Black 22pt) Heading (Arial Black 22pt) • Target EBITDA uplift - £10k per pub (20% EBITDA ROC) p.a. • Key objectives • Increased consumer appeal • Increased market share • Response to market trends – ‘F-Plan’ • Reduced overheads • Reduction in % of income derived from traditional leased model Clear growth plan focused on delivery of high ROC Presentation name > date 8

  9. Brewing - ‘Localness’ adds value • ‘Localness’ • Provenance, tradition, heritage, authenticity • Signals of ‘Localness’ • Brewing, distribution, marketing • Competition • Regional brewers, micro brewers • Marston’s competitive advantage • Genuinely local • National distribution, cost-efficient • Industry-leading guest ale programme • Measuring success – Free Trade outperformance • Volume +10%, premium cask ale +18%, sales +13%, profit +10% • Account base +11% Unique: a local brewer with national distribution and high service level Presentation name > date 9

  10. Market leader in premium cask, bottled ale Premium Cask Ale 2005-2010 Marston’smarket share % Premium cask ale vs. total ale market Bottled Ale 2005-2010 Marston’smarket share % Total bottled ale market *source: BBPA market tracker Growth prospects, attractive consumer profile and margins Presentation name > date 10

  11. Summary • Clear strategy to exploit and develop competitive advantage • ‘F-Plan’, new-build investment • Innovative agreements, greater control of retail offer • ‘Localness’, Premium Ale • Clear financial objectives • 2010 results demonstrate strategy is being well-executed • 3. Current trading • Encouraging and robust performance despite weather • Profitability in line with our expectations • Good progress in each of our trading divisions Improving trends, clear agenda for growth Presentation name > date 11

  12. www.marstons.co.uk

More Related