![]() FY 2015 Annual Stockholder Meeting October 28, 2015 1 Exhibit 99.1 |
![]() Some of the statements in this presentation and any statements by management constitute “forward-looking statements” about John B. Sanfilippo & Son, Inc. Such statements include, in particular, statements about our plans, strategies, business prospects, changes and trends in our business and the markets in which we operate. In some cases, you can identify forward-looking statements by the use of words such as “may,” “will,” “could,” “would,” “should,” “expect,” “plan,” “anticipate,” “intend,” “believe,” “estimate,” “forecast,” “predict,” “propose,” “potential” or “continue” or the negative of those terms or other comparable terminology. These statements represent our present expectations or beliefs concerning future events and are not guarantees. Such statements speak only as of the date they are made, and we do not undertake any obligation to update any forward-looking statement. We caution that forward-looking statements are qualified by important factors, risks and uncertainties that could cause actual results to differ materially from those in the forward- looking statements. Our periodic reports filed with the Securities and Exchange Commission, including our Forms 10-K and 10-Q and any amendments thereto, describe some of these factors, risks and uncertainties. Forward-Looking Statements 2 |
![]() • JBSS Overview and Strategic Goals - Jeffrey Sanfilippo Chairman & CEO • FY 2015 Financial Milestones - Mike Valentine CFO & Group President • Brand Marketing Overview- Howard Brandeisky Sr. VP Global Marketing & Customer Solutions • Capital Expenditures Overview - Jasper Sanfilippo Jr. COO & President • Closing Remarks - Jeffrey Sanfilippo Chairman & CEO Agenda 3 |
![]() Consistent success over past 4 fiscal years Diluted EPS improvement of 65% 4 0 0.5 1 1.5 2 2.5 3 FY12 FY13 FY14 FY15 Diluted EPS FY 12-FY 15 Net Sales increased by 27% to a record $887.2 million $ $ |
![]() Continuing to Create Shareholder Value 5 Stock Price $32.00 10/24/2014 Stock Price $52.94 10/26/2015 Outperformed the Russell 2000 Index by over 45%! JBSS Russell 2000 |
![]() Vision To be the global source for nuts, committed to quality, expertise and innovation that delivers an unmatched experience to our customer and consumer Core Values Integrity People Investment Customer Driven Quality Innovation Execution Continuous Improvement Safety Resource Conservation 6 |
![]() FY 2015 Strategy Update 7 |
![]() 8 |
![]() Fisher recipe nuts grew market share +2.2 points* Fisher snack nuts market share growth in high franchise Midwest. Orchard Valley Harvest expanded distribution and increased velocity resulting in double- digit revenue growth over FY 2014. FY 2015 Accomplishments 9 *Source: IRI: Total Nut Category – Multi Outlet Geography Fiscal Year Ending 6/28/15 |
![]() Launched Fisher Flagship Store on Tmall in China. Developed a Fisher stand-up bag product line for China. 10 FY 2015 Accomplishments |
![]() 11 Leveraged our innovation capabilities to launch 15 new items for our key contract manufacturing customers. Optimized Food Service and Industrial Ingredient customer and product portfolios. Expanded Fisher brand awareness in the Commercial Ingredients channel. FY 2015 Accomplishments |
![]() Awards & Recognitions 12 |
![]() 13 Nut Category Review |
![]() Steady Increase in Retail Prices Over the Last 5 Years Source: IRI: Total Nut Category – Multi Outlet Geography Time Periods: to FY 11 Year Ending 7/3/11 to FY 15 Year Ending 6/28/15 14 +26% Since FY 2011 |
![]() Retail Prices Up Across Most Major Nut Types over the Last 4 Years Source: IRI: Total Nut Category – Multi Outlet Geography – From FY 15 Year Ending 6/28/15 versus FY 11 Ending 7/3/11 15 |
![]() Steady Category Growth 16 Source: IRI: Total Nut Category – Multi Outlet Geography Time Periods: to FY 11 Year Ending 7/3/11 to FY 15 Year Ending 6/28/15 |
![]() JBSS Sales Channel Updates 17 |
![]() $529 Fiscal 2015 Net Sales $887 Million Business Channel Diversification (Millions of $) 18 $36 $207 $115 |
![]() 19 Fiscal 2015 Net Sales $529 Million Consumer 60% vs. FY ‘14 FY 2015 Consumer Channel 16.7% |
![]() Fiscal 2015 Net Sales $207 Million FY 2015 Commercial Ingredients Channel vs. FY ‘14 20 |
![]() FY 2015 Contract Packaging Channel Fiscal 2015 Net Sales $115 Million 21 |
![]() FY 2015 Export Channel Fiscal 2015 Net Sales $36 Million 22 |
![]() FY 2015 Financial Milestones 23 |
![]() JBSS Stockholders’ Equity FYs 1991- 2015 24 In millions of $ |
![]() JBSS Net Sales FYs 1991- 2015 25 Increased pound volume and prices SKU Rat., De- emphasized Industrial Sales, Lower Prices Low Carb Diet Run Up $887 In millions of $ |
![]() JBSS Total Outstanding Debt FYs 1991- 2015 26 In millions of $ |
![]() JBSS Total Outstanding Debt As % of Net Sales FYs 1991 – 2015 27 |
![]() EBITDA EBITDA consists of earnings before interest, taxes, depreciation, amortization and noncontrolling interest. EBITDA is not a measurement of financial performance under accounting principles generally accepted in the United States of America ("GAAP"), and does not represent cash flow from operations. EBITDA is presented solely as a supplemental disclosure because management believes that it is important in evaluating JBSS's financial performance and market valuation. In conformity with Regulation G, a reconciliation of EBITDA to the most directly comparable financial measures calculated and presented in accordance with GAAP is presented in the following slide. 28 |
![]() Reconciliation of Net Income (Loss) to EBITDA (In $,000's) FY2005 FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 NET INCOME (LOSS) 14,499 (16,721) (13,577) (5,957) 6,917 14,425 2,835 17,122 21,760 26,287 29,305 INTEREST EXPENSE 3,998 6,516 9,347 10,502 7,646 5,653 6,444 5,364 4,754 4,354 3,966 INCOME TAX (BENEFIT) EXPENSE 9,269 (8,689) (7,520) (897) (259) 8,447 (49) 9,099 13,536 13,545 15,559 DEPRECIATION/ AMORTIZATION 10,501 10,000 13,584 15,742 15,922 15,825 16,968 17,117 16,717 16,278 16,284 EBITDA 38,267 (8,894) 1,834 19,390 30,226 44,350 26,198 48,702 56,767 60,464 65,114 NET SALES 581,729 579,564 540,858 541,771 553,846 561,633 674,212 700,575 734,334 778,622 887,245 EBITDA MARGIN (% OF NET SALES) 6.6% -1.5% 0.3% 3.6% 5.5% 7.9% 3.9% 7.0% 7.7% 7.8% 7.3% POUNDS SOLD (000’s) 278,741 248,137 246,142 221,958 217,465 224,302 232,746 212,553 221,762 240,417 253,514 EBITDA PER POUND SOLD 0.137 (0.036) 0.007 0.087 0.139 0.198 0.113 0.229 0.256 0.252 0.257 29 |
![]() EBITDA* * EBITDA is a non-GAAP measure. See slide entitled “Reconciliation of Net (Loss) Income to EBITDA” for reconciliation to GAAP measure 30 |
![]() EBITDA* Margin (% of Net Sales) * EBITDA is a non-GAAP measure. See slide entitled “Reconciliation of Net (Loss) Income to EBITDA” for reconciliation to GAAP measure 31 |
![]() 32 PEANUT AND TREE NUT SPOT MARKET PRICES VS. JBSS ROLLING 4 QTR. GROSS MARGIN % |
![]() Highlights: Q1 2016 vs. Q1 2015 (in 000’s except EPS) 33 $ Change % Change Net Sales $ 20,740 10.1% Sales Volume (lbs. sold) Flat Flat Gross Profit $ 2,521 8.2% Net Income $ 2,075 35.1% Earnings Per Share $ 0.18 34.0% Operating Cash Flows $13,103 47.0% Total Debt $ 4,821 8.3% |
![]() FY 2015 Brand Marketing Overview 34 |
![]() Recipe Nuts Snack Nuts Grow Brands 35 |
![]() Strong Growth on the Fisher brand in FY15 Total Fisher Brand Growth FY15 vs. FY14 +8% +14% Recipe Nuts Snack Nuts POUND SALES DOLLAR SALES 36 Source: JBSS shipment data |
![]() Fisher Brand has Grown Share of Market Source: IRI: Total Nut Category – Multi Outlet Geography – Year Ending 6/28/15 37 |
![]() 38 Recipe Nuts |
![]() 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% 40.0% Quarter Ending 04-01-Ending 07-01-Ending 09-30-Ending 12-30-Ending 03-31-Ending 06-30-Ending 09-29-Ending 12-29-Ending 03-30-Ending 06-29-Ending 09-28-Ending 12-28-Ending 03-29-Ending 06-28- 12 Quarter 12 Quarter 12 Quarter 12 Quarter 13 Quarter 13 Quarter 13 Quarter 13 Quarter 14 Quarter 14 Quarter 14 Quarter 14 Quarter 15 Quarter 15 Fisher Pound % Change vs. Same Period Prior Year Strong and Sustained Growth on Fisher Recipe Nuts for 3 ½ years Source: IRI: Total Nut Category – Multi Outlet Geography – Quarter Week Data Ending 6/28/15 Recipe Nuts 14 Consecutive Quarters of Growth! 39 |
![]() “No Preservatives” Message Key Driver for Share Growth 40 |
![]() Continue to Build Fisher Brand Equity with Food Network Sponsorship 41 |
![]() Integrated Marketing Key to Building Brand Equity 42 Website Social Media Public Relations Food Network Email |
![]() Building Brand Presence and Equity “Away From Home” 43 Merchandised Foodservice Location |
![]() 44 Snack Nuts |
![]() Fisher Snack Nut Strategy Focuses on Midwest High Franchise Markets Snack Nuts 45 |
![]() Source: IRI: Ttl Snack Nut Category – Fisher High Franchise Geography – Years Ending 6/28/15 We Are Growing our Pound Share in High Franchise Markets 46 Snack Nuts |
![]() Driving Results on our Core Dry Roast Peanut Business 47 +45% Since FY13 Source: IRI: Ttl Snack Nut Category – Fisher High Franchise Geography –Years Ending 6/28/15 |
![]() New Look for Fisher Snack Nuts 48 |
![]() A Snack Bite combining Consumer favorites 49 |
![]() Introducing Fisher Nut Exactly 50 4 Great Popcorn Varieties for Grocery Channel Unique Varieties for the Club Channel |
![]() Meeting needs of the Snack Consumer Snacking Yogurt/Veggies Popcorn Nuts Chips Candy Bars New Segment: Lighter than nuts, more substantial than popcorn Indulgent Healthier 51 |
![]() Retailers Like our New Snacking Concept Too 52 |
![]() Marketing Support is Designed to Build Consumer Awareness and Drive Trial |
![]() Launching Fisher International Line Globally 54 Stand-up Bag - Premium Graphics Improved Value Perception “Authentic American” Consumer Communication Portfolio Focused on Honey Roasted International China |
![]() Fisher Flagship Store on Tmall in China Supported with digital marketing via and 55 |
![]() New Premium Chinese New Year Gift Pack Third-generation offering for key Holiday season Building Fisher image and equity with consumers 56 |
![]() Pure and Simple Goodness 57 |
![]() Pure & Simple Goodness Supports a healthy lifestyle Close to the earth 58 Our Orchard Valley Harvest Brand is On-Trend with Today’s Consumer |
![]() The Brand Consumers Trust for Pure & Simple Goodness 59 |
![]() Strong Growth on Orchard Valley Harvest Orchard Valley Harvest Growth FY15 vs. FY14 +34% +48% POUND SALES DOLLAR SALES 60 Source: JBSS shipment data |
![]() Source: IRI: Ttl Produce Nut Category – Total US Food Geography–Year Ending 6/28/15 *Note: % ACV refers to % “All Commodity Volume” as measured by IRI 61 Strong Distribution Gains FY 2013 FY 2014 FY 2015 |
![]() Source: The Hartman Group : Eating Occasions, Compass 2012 The Hartman Group: Reimagining Health and Wellness, 2013 Snacking accounts for over 53% of all eating occasions in the U.S. 38% of consumers snack several times per day Grab ‘n Go Mini’s Multi-Packs 62 We continue to expand our portfolio to address consumer demand for on-the-go Goodness |
![]() Expanding to Front of House Foodservice Locations 63 University Setting Sodexho B&I Location Michigan Ski Resort |
![]() 64 Impactful Marketing Support Digital Initiatives Website / Ibotta |
![]() Capital Expenditures History 65 |
![]() JBSS CAP EX HISTORY 66 $000’S |
![]() JBSS CAP EX HISTORY 67 Category FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Non-Manufacturing and Other 1,512 1,581 1,647 1,836 1,888 1,115 2,094 OPERATIONS: - ELGIN 1,854 3,522 1,536 2,621 2,373 5,365 5,033 GUSTINE 470 355 1,086 1,140 345 878 763 SELMA 405 1,136 124 394 1,605 1,697 3,321 BAINBRIDGE 1,362 1,255 351 1,137 774 750 2,778 GARYSBURG 309 500 428 403 222 123 403 MODESTO - 132 23 - - - - TOTAL OPERATIONS. 4,400 6,900 3,548 5,695 5,319 8,813 12,298 TOTAL CAP EX 5,912 8,481 5,195 7,531 7,207 9,928 14,392 $000’S |
![]() Closing Comments 68 |
![]() IMPORTANCE OF CULTURE Your culture produces your results. The word change means, “to make or become different”. The single most important change in actions that needs to occur during a time of cultural transition is the shift to greater accountability. 69 |
![]() Principles of Successful Strategy • Differentiation – create distinction from competition • Focus – tradeoffs to allocate resources • System – building interrelated network of activities 70 |
![]() 71 FY 2016 Doing What Matters Most * Grow Brands & Key Customers *Maximize Return on Capital * Optimize Business Practices * Deliver the Employment Promise |
![]() 72 JBSS Mission To be the global leader of quality driven, innovative nut solutions that enhance the customer and consumer experience and achieve consistent, profitable growth for our shareholders. We will accomplish this through our commitment to a dynamic infrastructure that maximizes the potential of our brands, people and processes |
![]() Thank You! 73 |