growth - Sodexo

Sodexo
Group Presentation
July, 2016
A
G
E
N
D
A
2–
Sodexo Overview, July 2016
1. SODEXO AT A GLANCE
2. Q3 FISCAL 2016 REVENUES
3. FISCAL 2015 SOLID FINANCIAL
PERFORMANCE
4. OUTLOOK
5. SHAREHOLDERS & INVESTOR
RELATIONS
6. SHARE PERFORMANCE
7. APPENDICES
SODEXO AT A
GLANCE
3 – Sodexo Overview, July 2016
SODEXO AT A GLANCE
SODEXO: KEY FACTS
€19.8 bn Revenues
Founded in 1966 by Pierre Bellon
420,000 employees
Bellon S.A, 37.7% (53% of voting rights)
Main Shareholders as 31/08/2015:
International Institutional investors, 41.9%
19th largest employer worldwide
75 million consumers served daily
32,200 sites
80 countries
€15.6 bn Market capitalization
(July 16)
4 – Sodexo Overview, July 2016
Strong
Investment
Grade Rating
S&P A-
SODEXO AT A GLANCE
OUR MAJOR STRENGTHS
Independence
A global network
covering
80 countries
5 – Sodexo Overview, July 2016
A unique range of
Quality of Life Services
particularly well aligned
with evolving client demand
Undisputed
leadership in
developing
economies
A robust
financial model
that allows Sodexo
to self-finance its
development
Significant
market
potential
A strong culture
and engaged
teams
SODEXO AT A GLANCE
WORLD LEADER IN QUALITY OF LIFE SERVICES
An unrivaled array of services through 3 activities:
ON-SITE
SERVICES
BENEFITS AND
REWARDS SERVICES
PERSONAL AND
HOME SERVICES
8 client segments:
5 service categories:
3 service categories:
Corporate
Remote Sites
Defense
Justice
Sports & Leisure
Health Care
Seniors
Education
Employee Benefits
Incentives and
Recognition
Public Benefits
Gift
Expense
Management
Childcare
In-Home Senior
Care
Concierge services
6 – Sodexo Overview, July 2016
page 6
SODEXO AT A GLANCE
INTEGRATED QUALITY OF LIFE SERVICES OFFER
7 – Sodexo Overview, July 2016
SODEXO AT A GLANCE
FISCAL 2015 REVENUE distribution
Revenue
by activity and client segment
96%
On-site Services
30%
9%
4%
4%
4%
Distribution
by geographic region
Corporate
Remote Sites
North
America
41%
Defense
Continental
Europe
31%
Sports and Leisure
Justice Services
18%
6%
Health Care
Seniors
21%
Education
Benefits and Rewards Services
Issue volume of €16.4 billion
8 – Sodexo Overview, July 2016
4%
United
Kingdom
and Ireland
10%
Rest of
the World
18%
SODEXO AT A GLANCE
SODEXO’S VALUE PROPOSITION
Maximizing value added with a unique and differentiating offer…
DESIGN
MANAGE
DELIVER
… adapted to client priorities :
Increase people
satisfaction, motivation
and effectiveness
Enhance processes
quality, efficiency
and productivity
Improve infrastructure
and equipment utilization,
reliability and safety
To deliver
Enhanced Quality of life to client employees
Support for client development and achievement of objectives
9 – Sodexo Overview, July 2016
SODEXO AT A GLANCE
KEY GROWTH DRIVERS
OVERALL
A global economy in which capital, information,
talents and trade are continuously interconnected
Rapid urbanization and development of megacities
Emerging market demand: transfer of economic
power to new emerging countries and a rising
middle class
Increased public deficits that create additional
pressures to find savings through outsourcing
Development of new information and
communication technologies
The growing influence of consumers seeking
wellbeing, quality of life, improved health and
personalized service
Environmental issues
Outsourcing and consolidation of multiple
service providers
10 – Sodexo Overview, July 2016
SEGMENT SPECIFIC
HEALTH CARE, SENIORS AND EDUCATION
Demographic change (population growth,
life expectancy, expanding number of
students, etc.)
REMOTE SITES
Oil, gas and mining projects due to
energy/raw material prices/demand
BENEFITS AND REWARDS
Battle for talent, work/life balance,
welfare policies
Employee retention and motivation
PERSONAL AND HOME SERVICES
Employee motivation, work/life balance,
aging population
SODEXO AT A GLANCE
SODEXO : REGULAR AND SUSTAINED PERFORMANCE
+4.3% CAGR over 15 years
+5.1% CAGR over 15 years
+15.1% CAGR over 14 years
+13.1% CAGR over 15 years
11 – Sodexo Overview, July 2016
SODEXO AT A GLANCE
SODEXO : REGULAR AND SUSTAINED PERFORMANCE
+14.2% CAGR over 15 years
12 – Sodexo Overview, July 2016
+9.6% CAGR over 15 years
SODEXO AT A GLANCE
BENEFITS AND REWARDS: THE PASS CYCLE
Payment of
the value
SODEXO PASS
CLIENTS
Delivery
of the Pass
Reimbursement
of the value
Presentation
of the Pass for
reimbursement
Distribution
of the Pass
BENEFICIARIES
AFFILIATED MERCHANTS
Use
of the Pass
13 – Sodexo Overview, July 2016
SODEXO AT A GLANCE
SODEXO’S DEVELOPMENT - 50 years of history
1966
1983
2005
2016
Sodexo
founded
by Pierre
Bellon
IPO of Sodexo on
Paris stock exchange
Michel Landel
becomes CEO,
Pierre Bellon
remains Chairman
of the Board of
2009
Directors
Sodexo refines
its strategic
positioning
Sophie Bellon
Chairwoman
of the Board
of Directors
1971 - 1978
International
expansion
starts
Service
Vouchers
launched
1985 - 1993
International
development:
Americas, Russia,
South Africa & Asia
Acquisitions
1998-2001
1995
Gardner Merchant UK,
Partena Sweden
14 – Sodexo Overview, July 2016
Sodexo Marriot
Services US
2001
Sogeres France, Wood
Dining Services US
2007-2010
VR Brazil, Score Groupe
and Crèche Attitude
France, Zehnacker
Germany, Comfort
Keepers & Circles US,
RKHS India
2011-2012
Puras do Brasil
Brazil, Lenôtre
France, Roth Bros
US
NINE MONTHS YTD
FISCAL 2016
REVENUES
15 – Sodexo Overview, July 2016
DYNAMIC GROWTH
Q3 16
Revenue growth
+3.7%
Currency effect
+0.3%
Acquisitions
+0.1%
Organic growth1
+3.3%
of which:
On-site Services
Benefits and Rewards Services
+3.2%
+5.7%
1 Organic
growth is defined as growth at constant exchange rates and consolidation scope, except for Benefits & Rewards in Venezuelan Bolivar. Nine months
YTD Fiscal 2016 and 2015 revenues and issue volume in VEF have been converted at the exchange rate of USD 1 = VEF 521, vs. VEF 199 previously.
16 – Sodexo Overview, July 2016
Q3 KEY CONTRACTS WON
CONCIERGE
SERVICES
Q3 16
LANDSCAPING
CATERING
FACILITY
MANAGEMENT
REPROGRAPHICS
SECURITY
CLEANING
RECEPTION
MAIL SERVICE
MAINTENANCE
17 – Sodexo Overview, July 2016
WASTE
MANAGEMENT
ON-SITE SERVICES
SUCCESS OF INTEGRATED QUALITY OF LIFE
SERVICES OFFERS
Corporate
53%
Contribution of Rugby World Cup contract
Ramp-up of integrated service contracts,
in North America and the United Kingdom
Q3 16
organic
growth
+3.7%
Steep decline in Remote Sites,
stabilizing quarter on quarter in Q3
Health Care and Seniors
25%
Good momentum in the United States
+3.1%
Limited contract wins in Continental Europe
and United Kingdom
Education
22%
More working days in France and Italy
New business in United Kingdom and Ireland
% of Fiscal 2015
On-site Services
revenues
18 – Sodexo Overview, July 2016
+2.0%
ON-SITE SERVICES
Q3 16
+3.2% ORGANIC GROWTH
United Kingdom
and Ireland
North
America
Continental
+1.8% Europe
+18.1%
+4.0%
+8.4%
excluding
Rugby
Rest of
the World
+6.5%
excluding
Remote Sites
19 – Sodexo Overview, July 2016
-3.9%
ON-SITE SERVICES
Q3 16
NORTH AMERICA
€ millions
Revenues
Corporate
6,204
Organic
growth
Favorable
currency
effect
6,844
26%
Acquisitions
+7.6%
New contract wins
Good cross-selling of Facilities
Management services
Health Care and Seniors
36%
+4.0%
+4.8%
Ramp-up of contracts
and same site growth
ORGANIC
GROWTH
Education
38%
9 months
Fiscal 2015
9 months
Fiscal 2016
% of Fiscal 2015
revenues
20 –
Sodexo Overview, July 2016
Growth on existing sites
+1.4%
ON-SITE SERVICES
Q3 16
CONTINENTAL EUROPE
€ millions
Revenues
Corporate
4,367
Organic
growth
61%
4,399
Acquisitions
+3.2%
Slightly improved growth
in revenues at existing sites
Unfavorable
currency
effect
Health Care and Seniors
+1.8%
23%
ORGANIC
GROWTH
-2.1%
Selective approach to
new business, especially in France
Ramp-up of Korian seniors contract
Strong growth in Sweden
9 months
Fiscal 2015
9 months
Fiscal 2016
16%
Education
Increase in volumes helped
by 2 extra working days in May
% of Fiscal 2015
revenues
21 – Sodexo Overview, July 2016
+2.3%
ON-SITE SERVICES
UNITED KINGDOM AND IRELAND
€ millions
Revenues
Corporate
73%
Organic
growth
1,293
Q3 16
Acquisitions
Favorable
currency
effect
1,555
Other
Contribution of €131m Rugby World Cup
contract in Q1 2016
Cross-selling services in Facilities
Management
Rugby
+18.1%
+23.6%
+8.4%
Health Care and Seniors
excl. Rugby
19%
ORGANIC GROWTH
-0.5%
Unfavorable comparable basis
Widening range of services
9 months
Fiscal 2015
9 months
Fiscal 2016
Education
8%
Strong business development
On-site volume growth
% of Fiscal 2015
revenues
22 – Sodexo Overview, July 2016
+16.6%
ON-SITE SERVICES
Q3 16
REST OF THE WORLD*
€ millions
2,647
Revenues
Organic
growth
-5.7%
Corporate
90%
Acquisitions
2,339
Unfavorable
currency
effect
-3.9%
Strong business development
Health Care and Seniors
+6.5%
6%
excluding
Remote Sites
ORGANIC GROWTH
9 months
Fiscal 2015
9 months
Fiscal 2016
4%
% of Fiscal 2015
revenues
* Latin America, Africa, Middle East, Asia,
Australia and Remote Sites
23 – Sodexo Overview, July 2016
Severe decline in Remote Sites,
stabilizing in Q3
+21.3%
Continued growth
in Latin America and Asia
Education
0%
BENEFITS AND REWARDS SERVICES
Q3 16
ISSUE VOLUME AND REVENUES
Issue volume
€ billions
12.8
Organic
growth
Revenues
€ millions
Acquisitions
12.2
Unfavorable
currency
effect
9 months
Fiscal 2015
636
Organic
growth
Acquisitions
576
Unfavorable
currency
effect
+7.0%
+5.7%
ORGANIC
GROWTH
ORGANIC
GROWTH
9 months
Fiscal 2016
9 months
Fiscal 2015
9 months
Fiscal 2016
Solid organic growth in Latin America despite a slowdown in Brazil
Dynamic growth in Europe and Asia
Organic growth is defined as growth at constant exchange rates and consolidation scope, except for Benefits & Rewards in Venezuelan Bolivar. Nine months
YTD Fiscal 2016 and 2015 revenues and issue volume in VEF have been converted at the exchange rate of USD 1 = VEF 521, vs. VEF 199 previously.
24 – Sodexo Overview, July 2016
BENEFITS AND REWARDS SERVICES
Q3 16
ISSUE VOLUME AND REVENUES
Latin America
€ billions
Issue volume
€ millions
Revenues
52%
Fiscal
2015
Organic
growth
Organic
growth
Acquisitions
6.0
Acquisitions
341
274
4.9
Unfavorable
currency
effect
Unfavorable
currency
effect
+8.2%
+7.9%
ORGANIC
GROWTH
ORGANIC
GROWTH
9 months
Fiscal 2015
9 months
Fiscal 2016
9 months
Fiscal 2015
9 months
Fiscal 2016
Higher face values and interest rates
Strong growth in Mexico and Chile
Decline in number of beneficiaries in Brazil
Organic growth is defined as growth at constant exchange rates and consolidation scope, except for Benefits & Rewards in Venezuelan Bolivar. Nine months
YTD Fiscal 2016 and 2015 revenues and issue volume in VEF have been converted at the exchange rate of USD 1 = VEF 521, vs. VEF 199 previously.
25 – Sodexo Overview, July 2016
BENEFITS AND REWARDS SERVICES
Q3 16
ISSUE VOLUME AND REVENUES
Europe and Asia
Issue volume
€ billions
Revenues
€ millions
48%
Fiscal
2015
6.8
Organic
growth
7.3
Acquisitions
Unfavorable
currency
effect
9 months
Fiscal 2015
295
Organic
growth
Acquisitions
+6.0%
+3.3%
ORGANIC
GROWTH
ORGANIC
GROWTH
9 months
Fiscal 2016
Favorable
currency
effect
9 months
Fiscal 2015
Extra working days in May, in France, Belgium and Turkey and
strong momentum in Belgium, Italy, Turkey and the Czech Republic
Lower interest rates in Europe
26 – Sodexo Overview, July 2016
302
9 months
Fiscal 2016
SHARE REPURCHASE PROGRAM COMPLETED
Q3 16
Cancellation of 3,390,886 shares corresponding to a value of 300 million euro,
approved at the Board Meeting of June 14, 2016
Company’s share capital
Company’s share capital, number of shares
Company’s share capital, in euros
27 – Sodexo Overview, July 2016
After
Before
153,741,139
157,132,025
614,964,556
628,528,100
FISCAL 2015
SOLID FINANCIAL
PERFORMANCE
28 – Sodexo Overview, July 2016
A FY
YEAR
PROGRESS
15 OFA
YEAR OF
PROGRESS
Solid financial performance
Contract wins in On-site Services,
led by integrated services offer
Sustained activity in Benefits and Rewards Services
Increased differentiation in Quality of Life Services
29 – Sodexo Overview, July 2016
FY 15
SOLID FINANCIAL PERFORMANCE
Revenues
€19.8 billion
+10%
Total growth
+2.5%
Organic
growth
Operating profit
€1,143 million
Operating margin
5.8%
+11.9%*
Excluding
currency effects
+40 bps*
vs fiscal 2014
excluding currency
effects
+90 bps*
Over two years
excluding currency
effects
* Before exceptional items related to the operational efficiency improvement program in Fiscal 2014.
30 – Sodexo Overview, July 2016
FY 15
A STRONGER FINANCIAL POSITION
Group Net Income
€700 million
Free cash flow
€688 million
Net debt (as of August 31, 2015)
Gearing ratio
Share repurchase program
(as announced on Nov 2015)
31 – Sodexo Overview, July 2016
Excluding
currency effects
+42.9%
+14.3%
€339 million
9%
As of August 31, 2015
Proposed dividend per share
+32.4%
€2.20
€300 million
12%
As of August 31, 2014
+22.2%
FY 15
ORGANIC GROWTH
Organic growth: +2.5%
of which:
On-site Services
Benefits and Rewards Services
+2.2%
+9.5%
32 – Sodexo Overview, July 2016
FY 15
ON-SITE SERVICES
ORGANIC GROWTH OF +2.2%
United Kingdom
and Ireland
North
America
+12.8%
+1.5%
+1.7%
Rest of
the World
33 – Sodexo Overview, July 2016
Continental
+0.6% Europe
FY 15
ON-SITE SERVICES
SUCCESSFUL INTEGRATED OFFERS
AND QUALITY OF LIFE POSITIONING
Corporate
Contract start-ups in Justice segment in the United Kingdom
Dynamic growth in integrated services in the United States
Growth in Remote Sites at the start of the year
+3.9%
ORGANIC
GROWTH
Health Care and Seniors
Impact of partial exit from HCR ManorCare
in the United States
Limited business development in Europe
Education
More selective approach to new business
Contract wins in emerging markets
34 – Sodexo Overview, July 2016
+1.2%
ORGANIC
GROWTH
-0.7%
ORGANIC
GROWTH
FY 15
ON-SITE SERVICES
GROWTH INDICATORS
Client retention
93.4%
Comparable
unit growth
Business
development
93.1%
7.1%
2.5%
Fiscal 2014 Fiscal 2015
including voluntary contract terminations
35 – Sodexo Overview, July 2016
7.5%
2.2%
Fiscal 2014 Fiscal 2015
Fiscal 2014 Fiscal 2015
FY 15
ORGANIC GROWTH
BENEFITS AND REWARDS SERVICES
Latin America
Increase in face values and higher interest rates
Europe and Asia
Accelerated growth led by contract wins
in Turkey, India and China
36 – Sodexo Overview, July 2016
+14.4%
ORGANIC GROWTH
IN REVENUES
+3.8%
ORGANIC GROWTH
IN REVENUES
FY 15
INCREASE IN OPERATING PROFIT*
+40 bps
Operating
margin
5.8%
5.4%
1,143
966
Operating
profit
+11.9%
EXCLUDING
CURRENCY
EFFECTS
€ millions
Fiscal 2014
* Excluding currency effects exceptional items in Fiscal 2014 related to operational efficiency program
37 – Sodexo Overview, July 2016
Fiscal 2015
INCREASE IN OPERATING MARGIN*
FY 15
United Kingdom
and Ireland
North
America
5.1%
6.3%
4.2%
+60 bps
+10 bps
+100 bps
Continental
Europe
4.6%
+40 bps
34.5%
Rest of
the World
+0 bps
at constant
exchange rates
Benefits
& Rewards
Services
* Excluding currency effects exceptional items in Fiscal 2014 related to operational efficiency program
38 – Sodexo Overview, July 2016
FY 15
OPERATIONAL EFFICIENCY PROGRAM
€ millions
Fiscal 2013
28
ACHIEVED
ANNUAL
SAVINGS
Fiscal 2014
Fiscal 2015
EXCEPTIONAL
IMPLEMENTATION
EXPENSES
39 – Sodexo Overview, July 2016
Cumulative
over 18 months
(Sept. 2012-Feb. 2014)
100
170
166
FY 15
INCREASED CONSOLIDATED RESULTS
Fiscal 2015
Fiscal 2014
CHANGE
€ millions
€ millions
At current
exchange rates
19,815
18,016
+10.0%
+2.6%
1,143
966
+18.3%
+11.9%
0
(27)
Operating profit
1,143
939
+21.7%
+15.1%
Net financial expense
(107)
(173)
Income tax
(320)
(265)
+42.9%
+32.4%
Revenues
Operating profit
before exceptional items
Exceptional items
Effective tax rate
31.1%
34.8%
Non-controlling interests/
Equity-accounted companies
(16)
(11)
Group net income
700
490
40 – Sodexo Overview, July 2016
At constant
exchange rates
FY 15
CONSOLIDATED CASH FLOW
€ millions
Operating cash flow
Fiscal 2015 Fiscal 2014
973
708
(353)
(294)
68
188
Free cash flow
688
602
Net acquisitions
(49)
(50)
Change in shareholders’ equity
(323)
(282)
Other changes (including scope and exchange rates)
(284)
(163)
32
107
Net capital expenditure
Change in working capital
(Increase)/decrease in net debt
41 – Sodexo Overview, July 2016
CHANGE
+37.4%
+14.3%
FY 15
CONSOLIDATED BALANCE SHEET
ROBUST RATIOS
Aug. 31,
Aug. 31,
Aug. 31,
Aug. 31,
2015
2014
2015
2014
Non-current assets
7,334
6,852
Shareholders’ equity
3,710
3,189
Current assets
excluding cash
4,396
4,120
Non-controlling interests
34
32
739
758
Non-current liabilities
3,593
3,830
2,008
2,748
Current liabilities
7,140
7,427
14,477
14,478
14,477
14,478
Net debt
339
371
Gearing ratio
9%
12%
€ millions
Financial assets related
to the BRS activity
Cash
Total assets
Operating cash totaled €2,708 million,
of which €1,476 million
related to Benefits and Rewards Services
€1,476
million
42 – Sodexo Overview, July 2016
Total liabilities & equity
FY 15
INTEGRATED SERVICES OFFER BOOSTED
BY INVESTMENTS IN FACILITIES MANAGEMENT
FM
as a percentage of revenue
FM
as a percentage of revenue
18%
Fiscal 2005
31%
29%
57%
Fiscal 2015
Continental Europe United Kingdom
Gross margin
+10%
Average annual growth
over 10 years
43 – Sodexo Overview, July 2016
€5.6bn
for multi-technical
maintenance services
Facilities management revenue,
0.6% higher than
food services
gross margin
including €1.2bn
in multi-technical
maintenance services
6
acquisitions
in 10 years
across all continents
SUSTAINED DEMAND FOR
BENEFITS AND REWARDS SERVICES
FY 15
ORGANIC REVENUE GROWTH
13.0%
9.5%
8.5%
8.3%
2011-12
2012-3
6.9%
2010-11
4
new countries
Portugal, Panama,
Singapore and Taiwan
44 – Sodexo Overview, July 2016
Acquisition of
Motivcom
in the United Kingdom,
Sodexo becomes
65%
European leader
in incentive
and recognition
paperless/digital
2013-4
2014-5
Further
double digit
growth
in Latin America
FY 15
RECOGNIZED POSITIONING AND LEADERSHIP
IN QUALITY OF LIFE SERVICES
The Sodexo/Harris Interactive survey revealed that
91% of executives queried believe there is a link
between quality of life and their organization's
performance
Sodexo/Harris Interactive Survey - April 2015
A first international conference bringing together
global leaders in Quality of Life
45 – Sodexo Overview, July 2016
FY 15
BETTER LEVERAGE OUR GLOBAL CONSUMER
KNOWLEDGE
Strengthening relations with consumers
Partnerships
Le Village
in Paris
Bringing
nutritional advice
https://mindful.sodexo.com/
Facilitate the flow
of information
The Camp
in Aix-en-Provence
Reinforcing ties
46 – Sodexo Overview, July 2016
FY 15
SOCIETAL COMMITMENTS
SODEXO
with
PEPSICO
UNILEVER
MCCAIN
ARDO
SCA
WWF
First international coalition
to combat waste
all along the food chain
By 2017,
$1 billion in purchases
from
5,000 small and mid-sized enterprises
in
40 countries,
including
1,500 managed by women
47 – Sodexo Overview, July 2016
FY 15
RECOGNITIONS
Global Sustainability Industry Leader
in its sector for the 11th year in a row
No.1 among SBF 120 index companies in 2015
for the proportion of women in senior management
43% women on the Group Executive Committee
38% women on the Sodexo Board of Directors
Recognized for its commitment to
reducing carbon emissions by 34%
by 2020
48 – Sodexo Overview, July 2016
OUTLOOK
49 – Sodexo Overview, July 2016
OUTLOOK
EVOLUTION OF THE ORGANIZATION
CORPORATE
SERVICES
HEALTH CARE
& SENIORS
ENERGY &
RESOURCES
SCHOOLS
UNIVERSITIES
GOVERNMENT
& AGENCIES
GLOBAL SEGMENTS
7
GLOBAL
SEGMENTS
DRIVE GROWTH AND CREATE VALUE
THROUGH CLIENT SPECIALIZATION
SERVICE OPERATIONS
TRANSVERSAL FUNCTIONS
50 – Sodexo Overview, July 2016
SPORTS &
LEISURE
OUTLOOK
ADAPTATION AND SIMPLIFICATION MEASURES
Reinforced adaptation of site level operating costs
Organizational simplification
Increased mutualisation across geographies
AROUND €200 MILLION OF
ANNUAL SAVINGS BY YEAR 3
AROUND €200 MILLION
IN EXCEPTIONAL EXPENSE
(100% PAYBACK IN FISCAL 2018)
(SEPTEMBER 2015-FEBRUARY 2017)
51 – Sodexo Overview, July 2016
OUTLOOK
FISCAL 2016 OBJECTIVES
Organic revenue growth of around 3%
Growth in operating profit of around 8%
(excluding currency effects and exceptional items related to the adaptation and simplification program)
52 – Sodexo Overview, July 2016
OUTLOOK
MEDIUM-TERM OBJECTIVES
The Group is confident of achieving its medium-term objectives:
average annual growth
in revenue of between
4% and 7%
average annual growth
in operating profit of
between 8% and 10%
(excluding currency effects)
(excluding currency effects)
53 – Sodexo Overview, July 2016
SHAREHOLDERS &
INVESTOR
RELATIONS
54 – Sodexo Overview, July 2016
SHAREHOLDERS AND INVESTOR RELATIONS
SODEXO SHARE OWNERSHIP as of August 31
st 2015
Treasury shares 3.1%
Individuals 3.9%
Employees 0.7%
French institutional shareholders 12.7%
Bellon SA
37.7%
International institutional
shareholders 41.9%
Allianz Global Investors Europe 2.8%
First Eagle Investment Management 2.5%
55 – Sodexo Overview, July 2016
SHAREHOLDERS AND INVESTOR RELATIONS
SODEXO SHARE OWNERSHIP as of August 31
56 – Sodexo Overview, July 2016
st 2015
SHAREHOLDERS AND INVESTOR RELATIONS
FISCAL 2016 FINANCIAL CALENDAR
These dates are purely indicative, and are subject to change without notice.
Regular updates are available in the calendar on our website www.sodexo.com.
57 – Sodexo Overview, July 2016
SODEXO SHARE
PERFORMANCE
54 – Sodexo Overview, July 2016
SODEXO SHARES
Sodexo shares are listed on NYSE Euronext Paris
Euroclear code: FR 0000121220; included in the Next 20 index
Sodexo American Depositary Receipts (ADRs) are traded on the over the counter
(OTC) market, ticker SDXAY, with five ADRs representing one Sodexo share.
SHARE PERFORMANCE,
SINCE
THE listing
INITIAL in
LISTING
Since the
initial
1983IN MARCH 1983*:
Share price multiplied by 43,1 (whereas the CAC 40 index has been
multiplied byPRICE
only 10.6, which
shares have
SHARE
has means
beenSodexo’s
multiplied
byoutperformed
65.9*
the CAC 40 by a wide margin)
* as of July 21, 2015
An average annual appreciation of 13.1%, excluding dividends.
59 – Sodexo Overview, July 2016
1. Share performance (3 months, indexed)
Sodexo vs. CAC 40
As of June 30th, 2016
. ..
106
104
102
+ 0.2%
100
{
}
98
14/04/16: H1
2016 Results
96
{
94
92
90
Apr-16
Apr-16
Apr-16
Apr-16
May-16
May-16
Sodexo SA
60
May-16
May-16
May-16
France CAC 40
Source: FactSet
Jun-16
Jun-16
Jun-16
Jun-16
-3.9%
}
2. Share performance (1 year, indexed)
Sodexo vs. CAC 40
As of June 30th, 2016
. ..
115
14/04/16: H1
2016 Results
13/01/16: Q1
2016 Results
110
+ 8.6%
19/11/15: FY
2015 Results
{
}
105
100
95
90
08/07/15: Q3
2015 Results
{
85
80
75
Jul-15
Aug-15
Sep-15
Oct-15
Nov-15
Dec-15
Sodexo SA
61 – Sodexo Overview, July 2016
61
Jan-16
Feb-16
France CAC 40
Source: FactSet
Mar-16
Apr-16
May-16
Jun-16
-13.9%
}
3. Share performance (5 years, indexed)
Sodexo vs. CAC 40
As of June 30th, 2016
. ...
+ 77.4%
{
}
+ 6.9%
{
62 – Sodexo Overview, July 2016
62
Source: FactSet
}
4. Share performance (10 years, indexed)
Sodexo vs. CAC 40
As of June 30th, 2016
. ...
+ 157.1%
{
{
63 – Sodexo Overview, July 2016
63
Source: FactSet
}
-14.0%
}
APPENDICES
64 – Sodexo Overview, July 2016
APPENDIX 1
Q3 2016 - PRINCIPAL EXCHANGE RATES
€ millions
Impact of
exchange rates
vs. the euro
on 9 months
Fiscal 2016
Average
rates
9 months
Fiscal 2016
Change
Revenues
U.S. Dollar
1.1045
+6.6%
+410
1.1139
1.0970
-1.5%
Pound Sterling
0.7501
+1.1%
+17
0.7613
0.7190
-5.6%
Brazilian Real
4.2194
-24.0%
-204
4.0148
3.4522
-14.0%
€1 =
65 – Sodexo Overview, July 2016
Period-end
Period-end
rates
rates
May 31, 2016 May 31,2015
Change
APPENDIX 2
FY 2015 - SENSITIVITY TO EXCHANGE RATES
€ millions
Impact of a 10% appreciation
of the exchange rate of the following
currencies against the euro on
Average
rate
Fiscal 2015
Change
Closing rate
Aug. 31,
2015
Change
Revenues
U.S. dollar
1.1594
+17.4%
1.1215
+17.6%
763
50
167
Pound Sterling
0.7462
+10.3%
0.7275
+9.3%
193
8
82
Brazilian Real
3.3020
-6.0%
4.0671
-27.2%
107
23
57
€1 =
66 – Sodexo Overview, July 2016
Operating Shareholders’
profit
equity
APPENDIX 3
FINANCIAL DEBT ANALYSIS*
AT FEBRUARY 29, 2016
€ millions
BY CURRENCY
BY MATURITY
41% €
< 1 year
59% $
301
3-4 years
99.5%
Fixed
Average interest rate 3.4%
at February 29, 2016
4-5 years
> 5 years
(vs. 3.8% at August 31, 2016)
* Financial debt of €2,802 million (excluding derivative financial instruments for €(2) million)
67 – Sodexo Overview, July 2016
6
2-3 years
INTEREST RATE
0.5%
Variable
1-2 years
50
140
16
2,289
APPENDIX 4
FINANCIAL RATIOS AS OF AUGUST 31, 2015
Gearing ratio
Net debt/Shareholders' equity
Reimbursement capacity
Gross financial debt/
Operating cash flow
objective < 75%
objective < 4 years
21%
4.1
3.4
16%
3.1
2.8
12%
9%
Fiscal 2012
Fiscal 2013
68 – Sodexo Overview, July 2016
Fiscal 2014
Fiscal 2015
Fiscal 2012
Fiscal 2013
Fiscal 2014
Fiscal 2015
APPENDIX 4
FINANCIAL RATIOS AS OF AUGUST 31, 2015
Interest cover
Operating profit/
Net financial expense
Net debt ratio
Net debt/EBITDA
objective < 2 years
9.0
6.0
0.5
0.4
6.6
5.4
0.3
objective > 5
Fiscal 2012
Fiscal 2013
69 – Sodexo Overview, July 2016
Fiscal 2014
0.2
Fiscal 2015
Fiscal 2012
Fiscal 2013
Fiscal 2014
Fiscal 2015
APPENDIX 5
INVESTOR RELATIONS CONTACTS
www.sodexo.com
Head of Investor Relations
Virginia JEANSON
Tel : + 33 1 57 75 80 56
[email protected]
Investor Relations Manager
Alejandra LEFEBVRE
Tel : + 33 1 57 75 80 75
[email protected]
Investor Relations Coordinator
Cynthia CATTY
Tel : + 33 1 57 75 80 54
[email protected]
Sodexo
255 Quai de la Bataille de Stalingrad
92130 Issy Les Moulineaux
Email : [email protected]
70 – Sodexo Overview, July 2016
THANK YOU!
71 – Sodexo Overview, July 2016