Transcript
- Slide 1
- enjoy!Whitbread Successful brand management in the leisure industry
- Slide 2
- enjoy!Whitbread John Banham, chairman
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- enjoy!Whitbread Highlights Strong trading performance Improving returns Winning brands Organic growth Healthy outlook
- Slide 4
- enjoy!Whitbread Successful brand management in the leisure industry
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- enjoy!Whitbread David Richardson, finance director
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- enjoy!Whitbread Keynotes Double digit profit growth Strong cash management Better returns
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- enjoy!Whitbread Profit and loss account m 2003/42002/3 Divisional sales 923910+1.4% (less Pelican)-(23) Sales continuing businesses923887+4.1% Operating profit (before amortisation)165155+6.4% Interest(26)(30) PBTA139125+10.7% Goodwill amortisation(4)(4) PBT (as reported)135121+11.0% BEFORE EXCEPTIONAL ITEMS
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- enjoy!Whitbread Dividends 2003/42002/3 Interim dividend per share6.15p5.57p+10.4% Interim adjusted basic EPS31.9928.91+10.6%
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- enjoy!Whitbread Divisional results % TotalLike-for-likeProfit Year-on-year growth salessales Marriott/Swallow(1.2)(1.3)(12.0) Travel Inn+9.9+3.5+7.9 Pub restaurants+1.7+3.3+13.9 High Street restaurants+6.1+2.7+31.1 David Lloyd Leisure+12.7+6.6+11.7
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- enjoy!Whitbread Divisional results (continued) % Margins MAT ROCE 2003/42002/32003/42002/3 Marriott (pre-amortisation)18.720.76.55.9 Travel Inn33.534.212.812.8 Pub restaurants17.415.511.09.3 High Street restaurants3.93.119.416.7 David Lloyd Leisure23.523.39.28.1
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- enjoy!Whitbread Cash flow m 2003/42002/3 Cash flow operations182160+13% Dividends from JVs and associates46 Interest(27)(27) Tax(15)(23) Capex (net)(66)(67) Dividends paid(42)(38) Net cash inflow3611
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- enjoy!Whitbread Exceptionals m 2003/42002/3 Property/business disposals: Beefeater(4)- Swallow(6)- Other15 Curzons -(8) Financing costs(3)- Tax23- Exceptionals after tax11(3)
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- enjoy!Whitbread Financial disciplines Disclosure of key numbers Focus on returns Getting more from the assets Higher returning assets
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- enjoy!Whitbread High Street restaurants - progress mFull years Half years 2000/12001/22002/32002/32003/4 Sales467398418196208 Profit10172168 Assets162112112118118 MAT ROCE6.415.219.116.719.4
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- enjoy!Whitbread Things to watch for Full year, not first half x 2 Beefeater and Swallow disposals New ERP system Year end 4th March 2004
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- enjoy!Whitbread Capital expenditure m ActualEstimate half yearfull yearFull year capexcapex2002 Marriott2435-4027 Travel Inn1845-5565 Pub restaurants3455-60 High Street restaurants815-20 David Lloyd Leisure1540-4554 Other920-2510 108225-245218 62
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- enjoy!Whitbread Summary Profit growth Strong cash flow Improving returns
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- enjoy!Whitbread David Thomas, chief executive
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- enjoy!Whitbread Total shareholder return October 2000 * to August 2003 Source: Datastream * Announcement of restructuring
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- enjoy!Whitbread Highlights Strong trading performance Improving returns Winning brands Organic growth Healthy outlook
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- enjoy!Whitbread Marriott - relative outperformance Sales 194m(1.2%) Like-for-like sales (1.3%) Operating profit 32.2m(12%) MAT ROCE 6.5% Occupancy 72%
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- enjoy!Whitbread Marriott - profit per room Marriott H1 Peer group, 6 months (M&C. De Vere, Hilton) 2.0 2.2 2.4 2.6 2.8 3.0 3.2 3.4 3.6 3.8 4.0 20022003 k 6 MONTHS
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- enjoy!Whitbread Travel Inn Sales114m+9.9% Like-for-like sales+3.5% Operating profit38.3m+7.9% MAT ROCE12.8% Occupancy82.5%
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- enjoy!Whitbread Travel Inn - on-line inventory cross-sell H1 2002/3H2 2002/3H1 2003/4 0 200 400 600 800 1,000 1,200 1,400 k per month
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- enjoy!Whitbread Travel Inn
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- enjoy!Whitbread Travel Inn - sustained rooms growth *projected 5,000 10,000 15,000 20,000 25,000 1996/71997/81998/91999/20002000/12001/22002/32003/42004/52007/8 Rooms ***
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- enjoy!Whitbread Pub restaurants Sales307m+1.7% Like-for-like sales+3.3% Operating profit53.4m+13.9% MAT ROCE11.0%
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- enjoy!Whitbread Pub restaurants - operating margin % H1 2003/4H1 2002/3 Beefeater 13.4 10.3 Brewers Fayre 19.7 18.8 Total pub restaurants17.4 15.5
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- enjoy!Whitbread Pub restaurants - profit per outlet 50 55 60 65 70 75 80 85 90 H1 2001/2H1 2002/3H1 2003/4 k
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- enjoy!Whitbread
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- Beefeater - the next generation Six trial sites operating since February 30% sales uplift 8 more sites in 2003/4 Roll-out complete by 2006/7 Target ROCE: 12% +
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- enjoy!Whitbread High Street restaurants Sales207.5m+6.1% Like-for-like sales+2.7% Operating profit8.0m+31.1% MAT ROCE19.4%
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- enjoy!Whitbread High Street restaurants - UK growth agenda Outlets 2003/42008 Pizza Hut * 537800 Costa264500 *Owned and franchised
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- enjoy!Whitbread David Lloyd Leisure Sales99.6m+12.7% Like-for-like sales+6.6% Operating profit23.0m+11.7% MAT ROCE9.2% Member retention 75% (MAT)
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- enjoy!Whitbread David Lloyd Leisure - UK club pipeline Oxford (opening February 2004) Worthing Exeter * Southend-on-Sea * Farnham * Aberdeen * Bristol * Norwich * *subject to planning approval
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- enjoy!Whitbread Trading update Week 24Week 33 Marriott(1.2)(0.5) Travel Inn3.43.7 Beefeater5.24.0 Brewers Fayre3.02.2 David Lloyd Leisure6.76.5 LIKE-FOR-LIKE SALES GROWTH (%)
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- enjoy!Whitbread The opportunity - PBIT growth potential Management action Brand distribution NB Figures identify areas of potential. They are not forecasts and exclude impact of inflation.They are incremental to 2002/3 operating profit.
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- enjoy!Whitbread PBIT growth potential - management action * Marriott profit per room28m improved sales Swallow to Marriott conversions market uplift *By 2007/8
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- enjoy!Whitbread PBIT growth potential - management action * Marriott profit per room28m improved sales Swallow to Marriott conversions market uplift *By 2007/8 Beefeater ROCE growth14m sales per outlet operating margins
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- enjoy!Whitbread PBIT growth potential - management action * High Street brands20m operating margins brand leverage *By 2007/8
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- enjoy!Whitbread PBIT growth potential - management action * High Street brands20m operating margins brand leverage *By 2007/8 David Lloyd Leisure clubs to maturity 15m 19 developing clubs
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- enjoy!Whitbread PBIT Capex 34m290m 30m210m 20m200m Travel Inn to 25,000 rooms Brewers Fayre to 550 units David Lloyd Leisure to 75 clubs PBIT growth potential - brand distribution * *By 2007/8
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- enjoy!Whitbread The outlook Growth markets Leading brands Performance management Organic growth Improving returns
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- enjoy!Whitbread Successful brand management in the leisure industry