Ambev ApresentacaoJPMorgan 20131205 En

8/13/2019 Ambev ApresentacaoJPMorgan 20131205 En

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2013

JOO CASTRO NEVESChief Executive Officer


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Statements contained in this presentation may contain information that is forwreflects management's current view and estimates of future economic circum

conditions, company performance, and financial results. Any statement

capabilities, plans and assumptions contained in this presentations that do not d

facts, such as statements regarding the declarations or payment of dividends,

future operations, the implementation of principal operating and financing strat

expenditure plans, the factors or trends affecting financial condition, liquid

operations are forward-looking statements and involve a number of risks and unc

is no guarantee that these results will actually occur. The statements are assumptions and factors, including general economic and market conditions, ind

and operating factors. Any changes in such assumptions or factors could cause

differ materially from current expectations.


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AGENDABrazil: #1 Organic Growth Opportunity


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BRAZIL HAS IMPROVED CONSIDERABLY IN THE LAST DECAREMAINS AS A COUNTRY OF DISPARITIES

Higher Index: 0,82So Caetano do Sul (SP)

Lower Index: 0,21Aroeiras (PI)

Source: PNUD, 2012 (Programa das Naes Unidas para o Desenvolvimento)


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CONSIDERABLE SOCIAL MOBILITY HAS DRIVEN (AND SHOUCONTINUE TO DRIVE) INCREASING CONSUMPTION

Source: LCA, BCGA/B: >5K R$ C1: 2,5K 5K R$ C2/D: 0,5K - 2,5K R$

%


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AS SOCIAL & ECONOMIC INDICATORS EVOLVED, BEER PER CACONSUMPTION & SHARE OF THROAT HAVE BEEN POSITIVELY

BRAZILIAN BEER SOT

Source: Euromonitor

87.1%87.7%

88.8%

89

2008 2009 2010 2

PER CAPITA (L)

Source: Plato

57.7 60.865.4

67.0 68.5

2008 2009 2010 2011 2012


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WITH REGIONAL OPPORTUNITIES TO REMAIN AS KEY PEGROWTH DRIVERS

Source: Company estimates

HDI VS. TOTAL PER

CAPITA CONSUMPTION

NO

NE

SEMW SS

NO

NE

10.0 20.0 30.0 40.0 50.0 60.0 70.0 80.0 90.00.0

0.70

0.65

0.60

0.75

0.80

SEMW

0.85


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AND DESPITE THE SHORT TERM CHALLENGES

Source: Roper 2013

NEGATIVE EVENTS

Difficulty paying monthly bills

Difficulty paying off credit/debit 20 49

2456

CONSUMER CONFIDENCE

23

54

36

27 30

1211

3 22

Global (25) Brazil

PURCHASE INTENT

19

2810

11

22

23

25

Home

Fine Watch / Jewelry

Special Vacation

Car / Other Vehicle

Home Appliances

Homes Electronics

Personal Electronics

CUTBACKS44

57

3547

2640

2742

Dining out atrestaurants

Going out for entertainment (movies,sports events, concerts, etc.)

Household energyuse

Going out fora drink

Global

Brazil

THE BRAZILIAN CONSUMER REMAINS CONFIDENT WITH TH


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..AND SO DOES THE INDUSTRY THAT CONTINUES TO INVEHEAVILY FOR THE FUTURE

COLD BEVERAGES

INDUSTRY CAPEX(BRL BILLION)

Source: CERVBRASIL, ABIR

Cold bev

represe

GDP

Biggest

econom

Source: PWC, IBGE, BNDES,

Generat

jobs (dir

2.02.2

6.27.5

7.9


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AGAINST THIS BACKDROP, WE HAVE MANAGED TO DELIVERESULTS UNDER DIFFERENT AND CHANGING SCENARIOS

Source: Company data

INDUSTRY

GROWTH VS. LY

NET REVENUE

GROWTH VS. LY

EBITDA GROWTH

VS. LY

8.0%

12.5%

10.9%

2009

8.5%

18.4%18.0%

2010

13.9%

9.7%

3.2%

12.3%

2012

48.8% 49.9%

17.3%

9.7%

1.8%

2011

52.4% 53.2%EBITDA

ma

rgin

Brazil Beer


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THE EXECUTION OF OUR COMMERCIAL STRATEGIES AND TCONTINUED FOCUS ON OUR CORE CAPABILITIES HAVE MAWILL CONTINUE TO MAKE) THE DIFFERENCE

COMMERCIAL STRATEGIES BUILDING BLOC

World upLegacy


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AND IT ALL STARTS WITH HAVING THE BEST PRODUCTS TO THE VTYPES OF CONSUMERS IN THEIR DIFFERENT NEED STATES

Source: Segmentation

Needstate

Consumer Type


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INNOVATION AND PREMIUM WILL BE KEY DRIVERS TO CAPOPPORTUNITIES ACROSS THE DEMAND LANDSCAPE...


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AND OUR TARGETED INNOVATION CONTINUES: BRAHMA

Refresh Myself

Out Of Home occasions

Brahma 0.0 launch

Jan Feb Mar Apr May Jun Jul AugSep Oct NovDec

2012 2013

Industry Non alcohol volume NA MS

+6.7pp

Sep12 Sep13

Source: Nielsen

+33.6%


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AND OUR TARGETED INNOVATION CONTINUES: SKOL BEEXTREME

Amp Up

Night Out

Beats relaunchExtreme launch

NEW BOTTLE

NEW LIQUID

6.9% ABV

INNOVATION AND PREMIUM WILL BE KEY DRIVERS TO CAP


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O C S A C AS G G


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PREMIUM PRODUCTS HAVE BEEN INCREASING WEIGHT IN CONSUMER PRODUCTS CATEGORIES

19.420.1

22.3

2012 20132011

Yogurt

10.2

10.610.9

2012 20132011

Biscuit

19.420.1

22.3

2012 20132011

Vodka

30.630.8

20122011

Cleaner

WHICH HAS ALSO BEEN THE CASE FOR BEER WITH VOL


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WHICH HAS ALSO BEEN THE CASE FOR BEER, WITH VOLSHOWING STEADY INCREASE SINCE 2011

4.1%

4.7%

5.5%5.5%4.8%

4.1%

2008 2009 2010 2011 2012 2013 YTD

WHILE DATA SHOWS THERE IS STILL PLENTY OF ROOM F


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WHILE DATA SHOWS THERE IS STILL PLENTY OF ROOM F

Premium weight vs. Other beer markets

48.4%

28.3%

24.9%

22.9% 21.9%

13.2%

SouthEast

Premium Vol. Mix

0.76 0.75 0.75 0.68 0.66

High HDI LOWHDI

Remiumvol.Mix

Source: Company Data

South

MidleWest

North

NorthEast

7.5 %

5.6 %

4.3 %

1.6 %2.7 %

HDI

Premium brand preference

5.5 %

19.1 %

Premium Vol Mix Premium Pref

SouthEast

GROWTH HAS BEEN DRIVEN PRIMARILY BY


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Source: Nielsen

YTD132012

41%39%

20112010

13%9%

200920082007

Domestic International

GROWTH HAS BEEN DRIVEN PRIMARILY BYINTERNATIONAL BRANDS

WEIGHT WITHIN PREMIUM VOLUMES (%)

59%61%77%87%91%98%99%

1% 2%23%

ALLOWING US TO LEAD THE GROWTH AMONG


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ALLOWING US TO LEAD THE GROWTH AMONGINTERNATIONAL BRANDS

J08 J09 J10 J11 J12 J13 M M

20

30

40

50

60

70

51

48

67

29Com

Source: Nielsen Retail Index

BUT THERE IS MORE TO COME WHEN WE LOOK AT THE


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BUT THERE IS MORE TO COME WHEN WE LOOK AT THE STATES OF THE BRAZILIAN CONSUMER

Savor the Moment

Ritual & Specialties

Activate Stella ArtoisChalice & Fine dinings

Bohemia(harmonization & specialties)

BUT THERE IS MORE TO COME WHEN WE LOOK AT THE


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BUT THERE IS MORE TO COME WHEN WE LOOK AT THE STATES OF THE BRAZILIAN CONSUMER

Amp Up

International Premium

BudweiserLead the international Segment

YTD12

YTD13

+47%

OUR APPROACH IN NON-ALCOHOLIC BEVERAGES IS SIMILA


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OUR APPROACH IN NON-ALCOHOLIC BEVERAGES IS SIMILACONTINUES TO DRIVE BETTER PERFORMANCE

FULL PORTFOLIO

B

INVESTING BEHINDBRAND EQUITY

OUR APPROACH IN NON-ALCOHOLIC BEVERAGES IS SIMILA


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OUR APPROACH IN NON-ALCOHOLIC BEVERAGES IS SIMILACONTINUES TO DRIVE BETTER PERFORMANCE

CLOSING GAPSTHROUGH INNOVATION

2008 2009 2010 2011 2012 YTD 13

7,47,7

8,1

8,6

9,09,6

10,7

Consistent Guaran Antarctica

Market SHARE GROWTH

Oct 13

Source: Nielsen Source: Company data

INCREASING PRESNew Catego

2012

Volume OCT13 YT

2x

AGENDA


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CONNECTING WITH CONSUMERS BEFORE DURING & AFTE


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CONNECTING WITH CONSUMERS BEFORE, DURING & AFTE2014 WORLD CUP...

In order to build a strong soccer platform, we have developed relevranging from local teams to the FIFA 2014 World Cup


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SINCE 2011 BRAHMA HAS BEEN INNOVATING ON HOW TO


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SINCE 2011 BRAHMA HAS BEEN INNOVATING ON HOW TO WITH CONSUMERS THROUGH THE SPONSORSHIP OF LOCA

STRUCTURAL INVESTMENTS

STADIUM ACTIVATION

REACHING OUT TO FANSVIA DIGITAL MEDIA

BRAN

... AND IS ALSO LEADING AN INITIATIVE TO TRANSFORM S


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... AND IS ALSO LEADING AN INITIATIVE TO TRANSFORM SIN BRAZIL...

Program Evolution(# of fans)

BRAN

157K

Jan 13

Launch

Oct13

600K

Dream

3MM

Fan Membership Program

CONNECTING WITH CONSUMERS BEFORE, DURING & AFTE


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,2014 WORLD CUP...

FIFA CONFEDERATIONS CUP WAS A UNIQUE OPPORTUNITY TO RAMPINITIATIVES AROUND BRAND EQUITY INCREMENTAL VOLUME & COR


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INITIATIVES AROUND BRAND EQUITY, INCREMENTAL VOLUME & CORIMAGE AS WE GET READY FOR 2014...

INNOVATIO

Zero

Alcohol Special EditionAluminum Bottle

Promo

EVENT HIGHLIGHTS

JUNE 15-30

16 MATCHES

6 HOST CITIES



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Stadium

Media

Airports

Experienti

Off TradeOn Trade

CSR

,2014 WORLD CUP...



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2014 WORLD CUP...

In order to build a strong soccer platform, we have developed relevranging from local teams to the FIFA 2014 World Cup

MAKING THE MOST OF OUR ASSETS AND EXECUTION WITH


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WILL BE KEY FOR THE FIFA 2014 WORLD CUP...

EVENT

HIGHLIGHTS

JUNE 12 JULY 13

64 MATCHES

12 HOST CITIES

FOCUS

BRANDS

MEV

WORLD CUP FOR ALL


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WORLD CUP FOR ALL


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