Investor Presentaiton
19
.
Cash conversion was 60.6% in F23:
-
Excluding the net change in non-current Luxury and
Premium inventory, cash conversion was 76.2%, below
TWE's annual target of 90% or higher, reflecting the
timing of shipments in Asia in 4Q23 in addition to the
timing of supplier payments and promotional spend in
Treasury Americas and Penfolds
- TWE expects cash conversion to be delivered in line with
the annual target in F24
Material item cash flows includes proceeds from the sale
of surplus supply assets in the US, partly offset by costs.
associated with the Treasury Premium Brands operating
model and restructuring of the Australian Commercial
wine supply chain
Cash flow and net debt¹
A$m (unless otherwise stated)
EBITDAS
F23
F22
730.8
672.3
Change in working capital
(274.9)
34.0
Other items
(12.8)
(5.0)
•
Net operating cash flows before financing costs, tax & material
items
443.1
701.2
Cash conversion
60.6%
104.3%
Payments for capital expenditure²
(141.2)
(112.3)
Payments for subsidiaries
(55.8)
(439.6)
Proceeds from sale of assets
22.7
11.1
Cash flows after net capital expenditure, before financing costs,
tax & material items
268.8
160.6
Finance costs paid
(73.8)
(66.9)
Tax paid
(69.8)
(95.5)
Cash flows before dividends & material items
125.3
(1.8)
Dividends/distributions paid
(245.4)
(202.1)
Cash flows after dividends before material items
(120.2)
(203.9)
Material item cash flow
34.5
155.2
On-market share purchases
(21.9)
(17.3)
Total cash flows from activities (before debt)
(107.6)
(66.0)
Net proceeds from borrowings
240.1
30.6
Total cash flows from activities
132.4
(35.4)
Opening net debt
(1,254.3) (1,057.7)
Total cash flows from activities (above)
(107.6)
(66.0)
Lease liability additions
(27.9)
(14.7)
Lease liability disposed
44.0
6.0
Debt revaluation and foreign exchange movements
(40.4)
(122.0)
(Increase) Decrease in net debt
(131.9)
(196.6)
Closing net debt³
(1,386.2)
(1,254.3)
123
2.
All cash flow percentage or dollar movements from the previous corresponding period are on a reported currency basis.
Capital expenditure is net of proceeds from the disposal of lease assets: F23 $107.9m, F22 $nil.
3. Net debt excludes fair value adjustments related to derivatives in a fair value hedge relationship on a portion of US Private Placement notes: F23 $(20.3)m, F22 $ (11.3)m.
TWEView entire presentation