STRAUSS GROUP
UPDATED STRATEGY 2024-2026
SHAI BABAD / CEO & PRESIDENT, STRAUSS GROUP / MARCH 2024
1
EVERYTHING WE DO IS DRIVEN BY OUR
PURPOSE OF
2
STRONG FUNDAMENTALS
WE PLAY IN THE RIGHT CATEGORIES SUPPORTED BY LEADING POWER BRANDS
WITH WELL KNOWN POWER BRANDS
* Market potential refers to Brazil in Coffee category, Israel in snacks and China in POU. Snacking Including dairy, sweets & salty snacks Source: Mintel, Storenext, Euromonitor ** including China sales
WE STRIVE TO OFFER A HEALTHY PORTFOLIO FOR BALANCED NUTRITION | ~15% FUN FOR YOU Salty & Sweet snacks, Dairy desserts ~85% GOOD FOR YOU Nutritious Dairy, Dips and spreads, Coffee & Water |
WE ARE IN THE MIDDLE OF A STRATEGIC JOURNEY
TASTE THE FUTURE
2021-2023 TRANSFORM OUR WAY | 2024-2026 UPDATED STRATEGY | 2026+ ACCELERATE GROWTH |
|
|
|
6
2023 PERFORMANCE DEMONSTRATES SOLID GROWTH BUT A DECLINE IN MARGINS vs ~11% EBIT MARGIN IN THE PAST
Net Sales | Gross profit | EBIT | Net profit | FCF |
10,549m Net Sales +11% Growth | 3,383m Gross | 772m EBIT | 439m Net profit | 354m FCF 81.7% Cash conversion* |
32.1% Gross Margin | 7.3% EBIT Margin | 4.2% Net Margin | ||
* Cash Conversion = FCF / NI 7
THE OVERALL DECLINE IN PERFORMANCE NECESSITATES
A REVIEW AND UPDATE OF STRATEGY
WHERE WE WANT TO GO
UPDATED STRATEGY - DOUBLE DOWN ON THE CORE
INTERNATIONAL WATER PLAYER
FUTURE READY & RESILIENT
RENEW THE CORE
▪ Optimize core categories & brands in Israel with a focus on snacking
▪ Optimize and maintain R&G leadership in Brazil
▪ Optimize and increase portfolio offering of water solutions
EXPAND & BUILD
▪ Build plant-based solutions & Innovation around the core in Israel
▪ Expand Non-R&G and beyond coffee in Brazil through M&As and organic growth
▪ Grow China and enter new geographies in Water
TRANSFORM
▪ Embark on a journey of Performance transformation
▪ Maintain values while adopting a high-performance culture
▪ Optimize portfolio to focus on the core
STRATEGY WILL LEAD TO GROW CORE
10
Attention: This is an excerpt of the original content. To continue reading it, access the original document here. |
Attachments
- Original Link
- Original Document
- Permalink
Disclaimer
Strauss Group Ltd. published this content on 26 March 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 26 March 2024 06:41:07 UTC.