Investor centre
Results that matter
Take a look around
Investor centre
Results that matter
Take a look around
Investor centre
Results that matter
Take a look around

Our

Investment Case

'We are capturing premium and mainstream opportunities and building
scale in priority markets while continuing our journey to create
a leaner, focused and more agile organisation.'

Richard Rushton, Group CEO

Our Heritage is our pride

Distell is the only South African-owned and operated alcoholic beverages company and Africa's leading producer and marketer of wines, spirits, ciders and RTD's, sold across the world.

We are pioneering new markets

We are becoming a geographically diverse group that is building long-term platforms to unlock growth in various geographies.

Key Success Factors

Markets outside of South Africa are contributing almost a quarter of revenue.

We yield results that matter

Key Success Factors

Financial performance:

Cash generated from operating activities

CAGR:
+37,0%

  • 496,2
    '13
  • 874,6
    '14
  • 1 416,9
    '15
  • 1 626,8
    '16
  • 1 864,3
    '17
  • 2 266,7
    '18

Revenue

CAGR:
+9,0%

  • 15 725 608
    '13
  • 17 739 609
    '14
  • 19 588 970
    '15
  • 21 470 120
    '16
  • 21 940 043
    '17
  • 24 230 765
    '18
We leverage
our focused
portfolio

Distell's unique competitive advantage is our balanced category spread

WINES

Distell's wines, with their rich heritage, have built significant mainstream and premium opportunities and are sold on every continent.

SPIRITS

Amarula is ranked as the world's second-largest cream liqueur and Distell is South Africa's leading producer of brandy.

CIDERS AND RTDs

We pioneered the cider category in South Africa to become the second-largest producer of ciders worldwide.


Our repertoire of brands:

Resonate with a broad spectrum of consumers with different

Taste Profiles

Play accorss the

Price continuum

Are enjoyed by

Mixed-Gender drinking occassions worldwide

We value our brandcrafters

We are building an empowered, high-performance organisational culture that encourages innovation from a diverse pool of talented professionals.

Key Success Factors
  • Distell maintained B-BBEE level 4 status (up from level 8 in 2016).
  • We strive to further socio-economic development and make meaningful contributions to the communities we operate in.
  • In 2018 the Distell Development Trust disbursed R7,5 million to 12 programmes.

We are commited to
crafting a lasting legacy

We find opportunities at each point along our value chain to do more, be better and foster positive change in the lives of our stakeholders.

Key Success Factors

Electricity usage

12,2%

per litre of production year on year

Greenhouse gas emissions

3,3%

year on year

Water usage

14,3%

per litre of production year on year

OUR BUSINESS ACTIVITIES

OUR GROUP STRATEGIC FRAMEWORK

Our vision

We are a proud African alcoholic beverage company with heritage, global reach, world class people, and the ability to do extraordinary things!


Our mission

We craft distinctive alcoholic beverage brands, enhance memorable moments, and inspire responsible consumption. The value we create will enrich the lives of our people, shareholders, and the communities within which we live and work.


Our purpose

We exist to provide unique moments of social enjoyment through the responsible marketing of well-crafted wines, spirits, ciders and RTDs.

OUR KEY STRATEGIC DRIVERS

Craft distinctive brands 1
  • Develop world-class marketers in Distell
  • Drive the health and momentum of our global brand portfolio
  • Deliver digitally empowered consumer experiences
  • Design portfolio strategies that are focused and predicated on market insights
Lead supply excellence 2
  • Delight our customers and improve product quality
  • Optimise the supply network for scale efficiency
  • Sustainable cost-effective sourcing
Restructure our portfolio and embed robust product portfolio management routines 3
  • Drive growth via improved focus and increase the productivity of our strategic brands
  • Reduce complexity, improve speed to market and gain cost efficiencies
Innovate ahead of the curve 4
  • Drive organic growth through innovation
  • Lead with foresight
  • Deliver with speed
Team Distell 5
  • Shape the leadership and broader organisational culture
  • Step-change performance management
  • Expand the depth and diversity of our talent pipeline
Sustainable business practices 6
  • Effectively drive transformation
  • Minimise our impact on the environment
  • Improve our corporate reputation
Enabling structures, systems and processes 7
  • Improve the agility and accuracy of our business planning processes and systems

OUR MARKETS

International

Africa

South Africa

The strategic role of our international region is to:

  • build brand equity in select markets for our key global brands
  • diversify Distell’s geographic risk via local route-to-market in select markets with a focused portfolio
  • act as a hedge against currency volatility

We aim to accelerate sustainable growth in the region to become the continent’s leading player in wines, spirits and non-beer RTDs.

We aspire to increase our value market share of the total alcoholic beverage market in South Africa by 50 bps per annum.

OUR WINNING STRATEGIC ASPIRATIONS

Top-down financial and non-financial strategic goals for the Group and key business units developed for a five-year horizon:

  • Grow and win in South Africa
  • Expand into Africa to lead the market with mainstream wines, spirits and RTDs
  • Build a scale presence in one select emerging market
  • Optimise profit from our export model for wine, Amarula and Scotch whisky in priority international countries
  • Win in premium wine and spirits
  • Deliver shared value to local communities where we have a footprint
  • Be the leading employer of choice in the alcoholic beverages industry

OUR SHORT-TERM STRATEGIC PRIORITIES

Category growth

Geographic growth

Improved margins

These priorities are underpinned and enabled by business transformation initiatives.

OUR 10 GUIDING PRINCIPLES:

The principles that guide the way we execute our strategy:

  1. We will deliver memorable, distinctive and compelling consumer experiences that appeal to defined consumer needs in each targeted consumer occasion
  2. We will deliver a tangible quality advantage at each price point we choose to compete at
  3. We will strive to be the number one or two player by value in each of our primary markets, niche segments or brand categories
  4. We will actively manage our portfolio of products and brands to ensure we reduce complexity and maintain clear focus and viability
  5. We will enter markets with competitive products with consumer appeal priced to encourage rapid adoption, volume off-take and scale consumption
  1. We will invest deeply in people by establishing pools of diverse talent to proactively populate our critical job families for both existing and emerging businesses
  2. We will innovate and fine tune our operational and business models to ensure they are replicable and deliver efficiently in all markets in which we choose to compete
  3. We will only focus on acquisitions closely aligned to our core capabilities and which we will be able to successfully integrate into our overall business within two years of acquisition
  4. We will assertively defend our position in the cider business by playing in key opportunity spaces and through enhanced innovation
  5. Our stretch goals and targets will be realistic and achievable, requiring strategic thinking, innovation, collaboration between the corporate centre and markets, as well as disciplined operational execution

Directorate & executive

Chairman & board



BOARD OF DIRECTORS

Jannie Durand (51)

BAcc (Hons), MPhil (Oxon), CA(SA)

Non-executive chairman

Gender: Male

Tenure and committees: Appointed to the board, remuneration committee and the nomination committee in 2012 and as a member of the investment subcommittee in 2015. Appointed as chairperson of the board in 2016 and as chairperson of the investment subcommittee in 2015

Expertise: Financial markets and investments, international business, general business, mergers and acquisitions, marketing, fast-moving consumer goods, manufacturing, legal and governance

Other: Chief executive officer of Remgro and a director of, inter alia, RCL Foods, RMI Holdings Limited and Mediclinic International PLC


Lucas Verwey (44)

BCompt (Hons), CA(SA), CFA

Group chief financial officer

Gender: Male

Tenure: Lucas joined Distell in 2014 from Remgro where he was an investment executive overseeing a specific portfolio of investments since 2008. Lucas was appointed to his current position in September 2015. He is responsible for financial planning and control, information technology and statutory reporting.

Expertise: Financial markets and investments, general business, mergers and acquisitions, risk management and governance


Dr Prieur du Plessis (63)

BSc (QS), MBA (Cum laude), DBA (Doctor of Business

Administration – Finance), Chartered Director (SA) Independent non-executive

Gender: Male

Tenure and committees: Appointed to the board in November 2015, as member of the audit committee in 2016, as chairman of the risk and compliance committee in 2016 and as a member of the social and ethics committee in 2016

Expertise: Financial markets and investments, international business, general business, governance, mergers and acquisitions, and risk management

Other: Chairperson of Plexus Holdings, an investment management business he founded in 1995. He also serves as chairperson of the Institute of Directors in Southern Africa and Bridge Fund Managers, and as director of PPS Insurance Company. He is a member of the advisory board of the University of Stellenbosch Business School (USB), chairperson of the audit and risk committee and a member of the investment committee of Stellenbosch University.

Additionally, he is professor extraordinaire at the USB, Honorary Consul General of Slovenia for South Africa and Deputy Dean of the Consular Corps of Cape Town.


Piet Beyers (68)

BCom LLB, MBA

Independent non-executive

Gender: Male

Tenure and committees: Appointed to the board in 2000 and as a member of the investment subcommittee in 2015

Expertise: International business, marketing and fast-moving consumer goods

Other: Formerly a director of, inter alia, Remgro, Richemont Société Anonyme and British American Tobacco


Catharina Sevillano-Barredo (55)

BCom (Hons), CA(SA)

Independent non-executive

Gender: Female

Tenure and committees: Appointed to the board in 2008, as chairperson of the audit committee in 2009, as member of the risk and compliance committee in 2016 and investment subcommittee in 2015

Expertise: Financial markets and investments, international business, general business, mergers and acquisitions, transformation, risk management and governance
Other: Founder, director and chief financial officer of the Universal Healthcare group of companies and formerly a director of WIPHOLD and Concor. She was also a member of WIPHOLD’s audit committee and chaired the Concor audit committee.


Chris Otto (68)

BCom LLB

Independent non-executive*

Gender: Male

Tenure and committees: Appointed to the board in 2011 and as a member of the investment subcommittee in 2015

Expertise: Financial markets and investments, international business, general business, mergers and acquisitions, retail operations, marketing, manufacturing, risk management, legal, human resources, sustainability and governance

Other: Founder director of PSG Group, Capitec Bank Holdings and Zeder Investments. He is also non-executive director of Kaap Agri Investments and serves on selected audit and remuneration committees

* Independent (as at 30 June 2018) following the collapse of Distell’s shareholder structure and resignation from the board of Capevin.


Gugu Dingaan (42)

BCom (Acc), H Dip Acc, CA(SA)

Independent non-executive

Gender: Female

Tenure and committees: Appointed to the board in 2005, as a member of the audit committee in 2006, as chairperson of the social and ethics committee in 2012, as a member of the risk and compliance committee in 2016 as a member of the investment subcommittee in 2015 and as a member of the remuneration committee and the nomination committee in 2017

Expertise: Financial markets and investments, general business, mergers and acquisitions, transformation, risk management and governance

Other: Investment executive at WIPHOLD, and non-executive board member and audit committee member of Landis+Gyr, SA Corporate Real Estate Limited. She is also a non-executive board member of Adcorp Holdings Limited and Sasfin Holdings Limited


Joe Madungandaba (60)

CPA(SA)

Independent non-executive

Gender: Male

Tenure and committees: Appointed to the Distell board in 2000

Expertise: Financial markets and investments, international and general business

Other: Group chief executive officer of Community Investment Holdings Group, non-executive chairperson of Schneider Electric, non-executive deputy chairperson of Jasco Electronics Holdings and non-executive director of Air Liquide Healthcare and of Afrocentric Limited


André Parker (67)

MCom

Independent non-executive

Gender: Male

Tenure and committees: Appointed to the board in 2008 and as lead independent director in 2016. He was appointed as chairperson of the remuneration committee in 2013 and as chairperson of the nomination committee in 2017. He has been a member of the investment subcommittee since 2015

Expertise: International business, general business, mergers and acquisitions, marketing and fast-moving consumer goods

Other: Retired managing director of SABMiller Africa and Asia, where he served on several boards of SABMiller subsidiaries, and was also an executive committee member of SABMiller PLC. He is also a director of Standard Bank.


Ethel Matenge-Sebesho (63)

MBA (Brunel) and CAIB(SA)

Independent non-executive*

Gender: Female

Tenure: Appointed to the board in 2015 and as member of the risk and compliance committee in 2016

Expertise: Financial markets and investments, international business, general business, marketing, risk management and governance

Other: Director on the boards of FirstRand and FinMark Trust


Richard Rushton (55)

BCom

Group chief executive officer

Gender: Male

Tenure: Richard was appointed to the board in 2013 following various leadership roles with SABMiller in Africa, Asia and Latin America since 1997. Richard initially held leadership positions at Barclays and Adcock Ingram before joining SABMiller. Richard’s role is to ensure the company delivers on its key strategic objectives and to build a high-performance culture within the company.

Expertise: International business, mergers and acquisitions, marketing and fast-moving consumer goods


Pieter Louw (49)

CA(SA)

Non-executive (alternate for JJ Durand)

Gender: Male

Tenure and committees: Appointed to the board, as alternate director for JJ Durand, in 2014, to the investment subcommittee in 2015 and to the risk and compliance committee in 2016. He attends the audit, remuneration and nomination committee meetings as an invitee

Expertise: Financial markets and investments, general business, mergers and acquisitions, risk management and governance

Other: Board member of RCL Foods Limited.

He is currently Head of Corporate Finance at Remgro.





EXECUTIVE MANAGEMENT

JP van der Walt (55)

MCom (Industrial Psychology)

Director: human resources

Gender: Male

Tenure: JP joined Distell in 2014 after a long career at British American Tobacco South Africa (BAT SA). He is responsible for the full spectrum of human resources activities across Distell Group.

Expertise: Human resources


Dr Marius Lambrechts (52)

MSc Agric, PhD Agric

Director: innovations

Gender: Male

Tenure: Marius joined Distell in 2001 as research manager and was appointed as quality management and research (QM&R) director in August 2009. In July 2014 he was appointed as director: innovations.

Expertise: Fast-moving consumer goods, manufacturing and sustainability


Kate Rycroft (45)

BSocSci (Hons), MBA

Director: corporate development

Gender: Female

Tenure: Kate joined Distell in 2003 shortly after the merger of SFW and Distillers into a newly created function to integrate the two entities. Her role evolved into overseeing the strategy and mergers and acquisitions functions over time and took up her present position in August 2014. She is responsible for corporate strategy, mergers and acquisitions. Her role is to step-change Distell’s growth through inorganic expansion and to deliver a clear and integrated corporate strategy. Before Distell, Kate worked with ABN Amro in London on project and change management initiatives before joining leisure and hospitality group CC Africa. Kate completed her MBA at UCT Graduate school of Business in 2002.

Expertise: Business management, mergers and acquisitions, business transformation, deal integration and deal origination


Donovan Hegland (43)

BCom (Hons) (Business Economics)

Director: global marketing

Gender: Male

Tenure: Donovan joined Distell as marketing director: southern Africa in 2010 post various leadership roles at BAT SA. In 2015 he moved on to head up the Africa business, setting the transition strategy for the business unit focusing on the portfolio, local production and routeto- market platforms in key markets. Donovan took over the global marketing function at the end of 2017 and is focused on the health and profitability of the brand portfolio, innovation, digital transformation and marketing capability development.

Expertise: Africa and general business, marketing and sales, fast-moving consumer goods, transformation, human resources, agile leadership


Lizelle Malan (38)

BCom (Hons), CA(SA)

Group company secretary

Gender: Female

Tenure: Lizelle joined Distell in 2012. She performs all statutory company secretarial functions and is also responsible for the company’s forensic compliance, risk management and legal divisions.

Expertise: Retail operations, fast-moving consumer goods, manufacturing, risk management, legal and governance


Len Volschenk (47)

BCom (Hons) (Marketing)

Managing director: Africa

Gender: Male

Tenure: Len joined Distell as head sales and operations in March 2017 before moving on to his current role as managing director for Africa in May 2018. Before joining Distell Len held various leadership roles within SABMiller of which the latest was managing director for Namibia.

Expertise: General business, mergers and acquisitions, wholesale and retail operations, trade marketing and marketing, sales and operational, people and team capability building, commercial and business acumen


Wim Bührmann (52)

BAcc (Hons), CA(SA)

Managing director: Southern Africa

Gender: Male

Tenure: Wim joined the Group in 1994, was appointed head of new business development in 2007 and took up his present position in July 2010. He is responsible for our business functions in South Africa and BNLS countries, including sales, distribution and marketing operations.

Expertise: General business, mergers and acquisitions, and manufacturing


Johan van Zyl (46)

BEng (Chemical), PrEng, MBA

Director: supply chain

Gender: Male

Tenure: Johan joined Distell in 2016 as the head of manufacturing and was appointed as director: supply chain in 2017. He is responsible for optimising Group supply chain operations across procurement, planning, manufacturing, warehousing, logistics and technical centres of excellence (intrinsics, engineering, capital projects and safety, health, environment, risk and quality). Johan has multi-industry experience at operational, business and executive level. Johan began his career at Anglo American before moving on to AECI where he held various roles implementing key projects over his tenure. He then joined SAB where he held manufacturing and general manager regional roles before moving to Cadbury/Kraft Foods overseeing their supply chain for sub- Saharan Africa, then moving on to AVI and Distell.

Expertise: General business, fast-moving consumer goods, integrated supply chains, manufacturing and operations


Bridgitte Backman (55)

BSc (Chemistry), HDE, MBA

Director: corporate and regulatory affairs

Gender: Female

Tenure: Bridgitte joined Distell in 2016 and is responsible for the overall reputation management, stakeholder and corporate citizenship strategy of the company. She has multi-industry experience in different functional, business and executive roles.

Expertise: General business, fast-moving consumer goods, manufacturing, transformation, risk management and sustainability


Fraser Thornton (49)

BA, CA(ICAS)

Managing director: international

Gender: Male

Fraser joined Distell in 2013 following the acquisition of Burn Stewart Distillers where he was the managing director. During his 23 years in the spirits Industry he has held senior commercial roles covering North America, Asia and Europe with Burn Stewart Distillers. In addition he served as a director of Angostura Holdings PLC for seven years and served as the managing director of J. Wray & Nephew for two years. He previously spent seven years with PwC in audit and corporate finance.

Expertise: international business development, marketing, spirits cross category




Investor Center

Calendar

13th – 14th March 2019 Bank Of America Merrill Lunch Sun City Conference
28th August 2019 Full Year Annual Results
12H00
Van Ryn's Distillery and Brandy Cellar
Van Ryn Road, Vlottenburg, Stellenbosch
Directions 23rd October 2019 Annual General Meeting
21st – 22nd November 2019 Investec CEO Conference
1st March 2019 Interim Financial Results

Webcast Link

Conference Call South Africa (Toll Free): 0 800 200 648
Johannesburg: 011 535 3600
Other Countries: +27 11 535 3600
UK: 0 333 300 1418
USA & Canada: 1 508 924 4326

Investor Center

Analyst Coverage

Avior Capital Markets Ross Hindle 011 589 2891 ross@avior.co.za
Investec Anthony Geard +27 21 416 1431 Anthony.Geard@investec.co.za

Investor Center

Sens Announcements

Investor Center

Share Price Information

Investor Center

Ownership Restructure

Contact

Lizelle Malan (Group Company Secretary) | Frank Ford (Investor Relations)

Email Investor.Relations@distell.co.za

Tel +27 (0)21 809 7000