UNIT 2.1 | EUSTON ROAD PROJECT MAULSHREE | MRES INFORMATION ENVIRONMENTS.
Site visit to Euston Station 21 March 2016/media/... · 3/21/2016 · 4.30 – 5.00pm Introduction...
Transcript of Site visit to Euston Station 21 March 2016/media/... · 3/21/2016 · 4.30 – 5.00pm Introduction...
Site visit to Euston Station21 March 2016
foodtravelexperts.com
Introduction and Welcome
Kate Swann, Chief Executive Officer
Euston Station site visit - Timetable
4.30 – 5.00pm Introduction and presentations
SSP UK in context Kate Swann, CEO, SSP Group SSP in the UK UK strategic priorities Euston and Gino’s
5.00 – 5.30pm Tour of Euston Station
5.30 – 6.30pm Visit to SSP’s Gino D’Acampo Restaurant
6.30pm Depart
Simon Smith, CEO, SSP UK & Ireland
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SSP in UK Context
Kate Swann, Chief Executive Officer
40%60%
38%
62%
51%49%37%
63%
Steady growth in a mature market
• UK, an important market for SSP
• Mature market
• Strong position, good profitability
• Strengthened management team
• Key Focus on:
Strategic initiatives
─ Like for like sales
─ Gross margin
─ Operating efficiency
Renewing Profitable business
Selective new business
Brand development
Source: SSP financial statements, based on constant currency at budget rates
2012: £680 2015: £731m
2012: £23.3m 2015: £52.9m
UK Revenue
UK EBIT
UKRest of SSPKey:
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SSP in the UK
Simon Smith, Chief Executive Officer, SSP UK
UK Market and Strategy
• Large market
• Modest growth in rail PAX
• Stronger growth in air PAX
• SSP, market leading positions
UK Market SSP Strategy
• Focus on driving performance
Like for like sales
Gross Margin
Operating efficiency
Cash generation
• Retention, a key focus
Rail and Air
• Selective new business development
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Broad channel and geographic mix
Sites
Units
Air Presence Rail Presence Other Presence
c.9,0001 employees and 1 SSP head office
1 Including head office employees, excluding Ireland and Rail Gourmet. Unit and site figures for UK excluding Ireland at 30 Sep 2015
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18
88
Rail Air Other
367
121 130
Rail Air Other
2012 2015
Channels Geographic mix
Rail
Air
Other
RailAir
Other
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Wide ranging portfolio of c.45 individual brands and concepts
Third Party Franchised Brands Own Brands and Bespoke Concepts
International Local Heroes Proprietary Bespoke concepts
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• Steady progress on top line driven by LFL
• Increasing passenger travel and retailing
initiatives
• Strong increase in EBIT driven by
Gross margin improvement
Operating Efficiency
Control of Overheads
Strong financial performance
Revenue EBIT
400
500
600
700
800
2012 2013 2014 2015
£m
0
20
40
60
80
2012 2013 2014 2015
£m
Note: Includes Rail Gourmet. Figures at constant currency
CAGR2.4%
CAGR32%
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UK strategic priorities
Source: SSP financial statements, revenue based on constant currency at 2016 budget rates
Optimise our offer to benefit from the positive trends in our markets
Optimise gross margin and leverage scale benefits
Run an efficient and effective business
Optimise investment using best practice and shared resource
Grow profitable space
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UK management team
Peter CaseyChief Operating
Officer
Lucy KnowlesChief Marketing
Officer
Luke TaitChief Financial
Officer
Andy WebbBusiness Development
Director
Angela MorrisonUK Commercial
Director
Ian BrownProperty Director
Rachel HowarthHR Director
April 2015 October 2001 February 2013
Simon SmithChief Executive
Officer
June 2014
June 2015 July 2013 May 2013November 2015
Employment date
Employment date
Ciaran FoleyMD Rail GourmetApril 2014
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Areas of focus
Driving LFL sales growth
Improve ranges
Optimise price and promotion
Upselling
Maximise use of space
Focus on category as well as brand performance
Optimise our offer to benefit from the positive trends in our markets
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Driving LFL: Case Study - Soft drink category management
New chillers and fewer promotions
Bestsellers Range improvements
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Driving LFL: Case Study – Burger range, premium bars
Ultimate £15.50
Classic £11.50
Good Better Best
Cheese & Bacon £13.50
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Areas of focus
Optimising gross margin
Simplify and standardise recipes
Procurement disciplines
Reduce waste and losses
Optimise gross margin and leverage scale benefits
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Optimising gross margin: Case Study – Premium bars
Premium Bar A
Premium Bar B
Premium Bar C
Premium Bar D
Actual food GP% 83% 80% 80% 68%
Breakfast sales 40% 38% 39% 18%
Lunch sales 40% 41% 43% 51%
Dinner sales 20% 21% 18% 31%
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Optimising gross margin: Case study – Tomatoes
Purchasing Usage
Bought diced vs. diced in house Sliced by hand vs. sliced by machine
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Areas of focus
Driving efficiency
Employ technology to improve efficiency
Improve forecasting and scheduling
Service optimisation
Improve reporting and accountability
Run an efficient and effective business
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Driving efficiency: Case Study – Energy and self-service tills
M&S, EustonSelf-service tills
Energy efficiencySelf Service
New timers
Old meter - no data New data manager system
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Driving efficiency: Case Study – CYPAD’s
Live data Detailed recording Automatic summaries
22. Correct Hand Washing procedures in place 98%
23. No evidence of cross contamination 97%
24. No items of food or drink past their use 98%
25. No items food or drink past their best 99%
26. First in first out followed for products 89%
27. Products into lidded containers once opened 93%
29. HACCP, Cooking, hot holding, delivery 98%
30. Aprons and hats worn in the kitchen 87%
31. Sanitiser used correctly 97%
33. Food prep surfaces clean and sanitised 98%
34. Equipment is clean and in good condition 96%
35. Extraction clean, filters in place 91%
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Optimise investment: Case Study – Fit out costs
Optimise investment using best practice and shared resource
Historic cost of fit out(£ Sqm)
Current cost of fit out(£ Sqm)
Savings %
International Coffee Brand £3,200 £2,800 14%
International Casual Dining Brand £2,700 £2,300 15%
International QSR Brand £3,400 £2,900 15%
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Areas of focus
Growing profitable Space
New units within existing sites
High renewal rate
Existing markets, new sites
New markets
Grow profitable space
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Continued brand development core to retention and wins
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Growing profitable space: Case Study – Euston retention
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Growing profitable space: Case Study – Stansted Airport win
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Euston and Gino’s
Simon Smith, Chief Executive Officer, SSP UK
Gino is the latest high profile chef to join us…
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Disclaimer
Certain statements in the presentation may constitute “forward-looking statements”. These statements reflect the Company’s beliefs and expectations and are based on numerous assumptions regarding the Company’s present and future business strategies and the environment the Company will operate in and are subject to risks and uncertainties that may cause actual results, performance or achievements to differ materially. Forward-looking statements involve inherent known and unknown risks, uncertainties and contingencies because they relate to events and depend on circumstances that may or may not occur in the future and may cause the actual results, performance or achievements of the Company to be materially different from those expressed or implied by such forward looking statements.
Many of these risks and uncertainties relate to factors that are beyond the Company’s ability to control or estimate precisely, such as future market conditions, currency fluctuations, the behaviour of other market participants, the actions of regulators and other factors such as the Company’s ability to continue to obtain financing to meet its liquidity needs, changes in the political, social and regulatory framework in which the Group operates or in economic or technological trends or conditions. As a result, you are cautioned not to place undue reliance on such forward-looking statements. Additionally, forward-looking statements regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. Forward-looking statements speak only as of their date and the Company, any other member of the Group, its parent undertakings, the subsidiary undertakings of such parent undertakings, and any of such person’s respective directors, officers, employees, agents, affiliates or advisers expressly disclaim any obligation to supplement, amend, update or revise any of the forward-looking statements made herein, except where it would be required to do so under applicable law or regulatory obligations. It is up to the recipient of this presentation to make its own assessment as to the validity of such forward-looking statements and assumptions. Nothing in this presentation shall exclude any liability under applicable laws that cannot be excluded in accordance with such laws.
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