Aryzta AG

Investor Presentation • Oct 2, 2022

ARYZTA AG FY 2022 results

3 October 2022

Forward Looking Statement

This document contains forward looking statements which reflect the Board of Directors' current views and estimates. The forward-looking statements involve certain risks and uncertainties that could cause actual results to differ materially from those contained in the forward-looking statements. Potential risks and uncertainties include such factors as general economic conditions, foreign exchange fluctuations, competitive product and pricing pressures, the effects of a pandemic or epidemic or a natural disaster, or war and regulatory developments.

You are cautioned not to place undue reliance on any forward-looking statements. These forward-looking statements are made as of the date of this document. The Company expressly disclaims any obligation or undertaking to publicly update or revise any forward-looking statements other than as required by applicable law.

Performance FY 2022

• Revenue €1,756.1m
• Organic revenue growth 17.9%
• Underlying EBITDA increased to €218.8m
• Underlying EBITDA margin increased 110bps to 12.5%
• Operating free cash flow reached €109.7m
• Repayment of €50m Euro hybrid
• Underlying net profit of €45.6m

Organic growth performance

• 60% of Group revenue ahead of pre-COVID levels
• Both segments performing strongly
• Outpaced European retail market
• Foodservice recovery in Europe continued
• QSR in Europe and Asia delivered strong growth
• Investing selectively in capacity for growth

Significant inflation challenges remain

• War and supply chain disruptions
• Little respite expected in the near term
• Further costs and price increases expected
• Bakery products have competitive calorific value advantages
• Markets with resilient consumer spending and robust social supports

Energy availability and cost key challenge

• Energy c. 3.8% of revenue in FY 2022 (3.1% in FY 2021)
• Contingency plans in progress to diversify energy sources
• Reducing dependency on gas through modification of heating systems
• Investing in renewable energy on some sites
• Procurement risk management and pricing to address energy volatility

Mid-term targets FY 2023f – FY 2025f reiterated

Organic growth (CAGR) 4.5%–5.5% (constant pricing FY221 )	EBITDA Margin ≥14.5%	ROIC ≥11.0%
Revenue (€) >2bn (constant currency and pricing FY22)	CAPEX as % of revenue 3.5%–4.0%	Total net debt leverage (incl. hybrids) c.3x (driven by operational results)

¹ Excludes compensation of inflation by pricing

Guidance FY 2023

• Current trading trends remain unchanged despite challenging macro environment

• Further improvements expected in FY 2023
• Reiteration of mid-term targets FY 2025

FY 2022 results Financial review

Strong progress on turn-around plan generating important profit improvement

	FY 2022	FY 2021
	€m	€m	Variation
Revenue	1'756.1	1'525.4	+15.1%
Underlying EBITDA1	218.8	173.4	+26.2%
Underlying EBITDA margin	12.5%	11.4%	+110bps
Underlying EBITA1	111.3	63.5	+75.3%
Underlying EBITA margin	6.3%	4.2%	+210bps
Finance costs net	(17.1)	(32.8)
Hybrid instrument dividend	(45.2)	(46.2)
Underlying pre-tax profit/(loss)	49.0	(15.5)
Income tax	(3.4)	(26.7)
continuing operations1 Underlying net profit/(loss) –	45.6	(42.2)
discontinued operations1,2 Underlying net profit –	-	47.4
total1 Underlying net profit/(loss) –	45.6	5.2
IFRS profit/(loss) for the period from continuing operations	1.9	(50.3)
IFRS loss for the period for discontinued operations	(1.0)	(185.5)
IFRS profit/(loss) for the period	0.9	(235.8)

¹ Certain financial alternative performance measures, that are not defined by IFRS, are used by management to assess the financial and operational performance of ARYZTA. See glossary on page 54 for definitions of financial terms and references used in the financial and business review.

² Following the reclassification of the Group's North America segment to disposal group held-for-sale in January 2021, its results have been presented separately as discontinued operations in the prior period.

Organic growth driven by double digit volume growth and pricing

Strong COVID recovery supporting organic growth in Europe and ROW

Double digit growth in all channels, Retail & QSR above pre-COVID levels

Pricing and efficiency measures to mitigate input costs headwinds

Mitigating actions:

• Adequate pricing contributing to input costs recovery
• Procurement costs optimizations and risk management
• Continuous efficiency program in bakeries
• SIMPLEX launched recipe standardization and simplification

EBITDA margin progression driven by costs discipline and operational leverage

EBITDA margin improvement in both regions, Foodservice recovery accelerating ROW profitability

Underlying EBITDA as % of revenue

390bps

Operating Free Cash Flow doubled¹ , supported by margin expansion and reduction of non-recurring cash spend

¹ FY21 operating free cash flow from continuing operations, see slide 44

ROIC acceleration supported by business performance and working capital efficiency

Important improvement of hybrid funding in line with mid-term plan

Key highlights:

• €50m hybrid principal repayment at 4% discount

Stable interest costs supported by RCF refinancing and improved capital structure

Key highlights:

• RCF refinancing at competitive rates
• EUR-Hybrid repayment strategy
• Interest risk management

Important improvements of capital structure and leverage ratio

Total net debt incl. hybrid (incl. leases) in m€

Key highlights:

• Debt maturity profile: from <1 to 4.1 years
  • − RCF refinancing
  • − Schuldschein notes repayment
  • − State sponsored COVID loan repayment
• Bank covenant ratios well within defined range

0

1'000 1'100 1'200 1'300 1'400 1'500

FY 2022 results Closing remarks

Ambition & goals

Our ambition To become the best partner for bake-off solutions across all our channels and markets

Our value proposition

To deliver the gold standard for bake-off

Four key value drivers for gold standard

ARYZTA a value creating business model

From	To
A value destructive acquisition driven model	A value creating organic growth model
An ordinary bakery product supplier	A provider of the gold standard for bake off solutions
A mainly commodity product supplier	A category captain offering innovative, differentiated products
A "global" bakery	A multi-local European/APAC bake off partner
A multi channel/category supplier	A focused channel and category solution provider
A distracted and inefficient organization	A highly dedicated, well structured and focused organization

Guidance FY 2023

• Current trading trends remain unchanged despite challenging macro environment

• Further improvements expected in FY 2023
• Reiteration of mid-term targets FY 2025

Thank you

FY 2022 results Appendix

Bake-off market: Core Focus for ARYZTA

Bake-off to become largest bakery segment

• Bake-off is expected to grow 2-3% annually
• Bake-off is expected to increase share to c. 28%
• Total bakery market growth c. 1% annually

Manufacturing and commercial footprint

€18bn¹ addressable market

Excellent growth opportunities across all categories

Product category growth driven by consumer trends:

• New taste & look: mainly savoury and pastry
• Artisan: mainly bread/rolls
• Health: mainly bread and roll
• Ethical, Vegetarian & Vegan: mainly savoury

Excellent growth opportunities across all channels

Market growth by channel 2023f– 2025f (CAGR)

• QSR: driven by excellent product and service offering & staff availability
• Retail: Mainly driven by expanded bake-off offerings
• Food service: driven by bake off expansion and new post-covid momentum

Bake-off growing strongly across ARYZTA's markets

	FY 2022	FY 2021
For period ended 30 July 2022	€m	€m
Continuing Operations
Group revenue	1,756.1	1,525.4
Underlying EBITDA 1	218.8	173.4
Underlying EBITDA margin	12.5%	11.4%
Depreciation & ERP Amortisation	(107.5)	(109.9)
Underlying EBITA 1	111.3	63.5
Underlying EBITA margin	6.3%	4.2%
Finance cost, net	(17.1)	(32.8)
Hybrid instrument dividend	(45.2)	(46.2)
Underlying pre-tax profit/(loss)	49.0	(15.5)
Income tax	(3.4)	(26.7)
Underlying net profit/(loss) - continuing operations1	45.6	(42.2)
Underlying net profit - discontinued operations1,2	-	47.4
Underlying net profit - total1	45.6	5.2
Underlying diluted EPS (cent) - continuing operations3	4.6	(4.3)
Underlying diluted EPS (cent) - total3	4.6	0.5

Underlying Income Statement Reconciliation to IFRS

1 Certain financial alternative performance measures, that are not defined by IFRS, are used by management to assess the financial and operational performance of ARYZTA. See glossary on page 54 for definitions of financial terms and references used in the financial and business review.

2 Following the reclassification of the Group's North America segment to disposal group held-for-sale in January 2021, its results have been presented separately as discontinued operations in the prior period.

3 The 30 July 2022 weighted average number of ordinary shares used to calculate underlying earnings per share is 998,010,699

Reconciliation of Underlying EBITDA to IFRS result

	FY 2022	FY 2021
For period ended 30 July 2022	€m	€m
Continuing Operations
Underlying EBITDA	218.8	173.4
Depreciation	(96.5)	(99.1)
ERP amortisation	(11.0)	(10.8)
Underlying EBITA	111.3	63.5
Amortisation of non-ERP intangible assets	(16.3)	(17.7)
Net loss on disposal of businesses	(42.0)	–
Net loss on fixed asset disposals and impairments	(2.4)	(4.3)
Restructuring-related costs	(2.5)	(52.8)
COVID-19 related costs	–	(1.3)
IFRS operating profit/(loss)	48.1	(12.6)
Gain on equity instruments at fair value through profit or loss	–	8.6
Finance cost, net	(17.1)	(32.8)
RCF termination costs	(8.3)	–
Profit/(loss) before income tax	22.7	(36.8)
Income tax expense	(20.8)	(13.5)
IFRS profit/(loss) for the period from continuing operations	1.9	(50.3)
IFRS loss for the period from discontinued operations	(1.0)	(185.5)
IFRS profit/(loss) for the year	0.9	(235.8)
Hybrid instrument dividend	(45.2)	(46.2)
Loss used to determine basic EPS	(44.3)	(282.0)
IFRS diluted loss per share (cent) - continuing operations1	(4.4) cent	(9.7) cent
IFRS diluted loss per share (cent)1	(4.5) cent	(28.4) cent

1 The 30 July 2022 weighted average number of ordinary shares used to calculate IFRS diluted loss per share is 992,056,975 (2021: 991,493,662).

Reconciliation of Underlying EBITDA to IFRS EBITDA

For period ended 30 July 2022

	Continuing Operations
	2022	2021
	€m	€m
Underlying EBITDA	218.8	173.4
(Loss)/gain on disposal of businesses	(42.0)	-
Loss on disposal of discontinued operations	-	-
Net loss on fixed asset disposals and impairments	(2.4)	(4.3)
Restructuring-related costs	(2.5)	(52.8)
COVID-19 related costs	-	(1.3)
IFRS EBITDA1	171.9	115.0

1 See glossary on page 54 for definitions of financial terms and references used in the financial and business review.

Reconciliation of IFRS Income Statement to Financial Business Review

For period ended 30 July 2022

		Impairment,				Impairment,
	IFRS	disposal &	Non-ERP	Underlying	IFRS	disposal &	Covid-19	Non-ERP	Underlying
	Income	restructuring	Intangible	Income	Income	restructuring	related	Intangible	Income
	Statement	related costs	amortisation	Statement	Statement	related costs	costs	amortisation	Statement
	2022	2022	2022	2022	2021	2021	2021	2021	2021
	€m	€m	€m	€m	€m	€m	€m	€m	€m
Revenue	1,756.1	–	–	1,756.1	1,525.4	–	–	–	1,525.4
Cost of sales	(1,205.8)	2.6	–	(1,203.2)	(1,058.5)	11.3	(0.2)	–	(1,047.4)
Distribution expenses	(231.8)	0.1	–	(231.7)	(214.4)	2.4	0.4	–	(211.6)
Gross profit	318.5	2.7	–	321.2	252.5	13.7	0.2	–	266.4
Selling expenses	(85.1)	0.4	–	(84.7)	(86.8)	2.4	0.3	–	(84.1)
Administration expenses	(143.3)	1.8	16.3	(125.2)	(178.3)	41.0	0.8	17.7	(118.8)
Net loss on disposal of businesses	(42.0)	42.0	–	–	–	–	–	–	–
Operating profit/(loss) of continuing operations	48.1	46.9	16.3	111.3	(12.6)	57.1	1.3	17.7	63.5

Organic Revenue

For period ended 30 July 2022

ARYZTA	ARYZTA	Total Continuing
Europe	Rest of World	Operations
1,531.1	225.0	1,756.1
19.3%	10.5%	17.9%
(0.4%)	(19.6%)	(3.4%)
0.3%	2.4%	0.6%
19.2%	(6.7%)	15.1%

	Q1 2022	Q2 2022	Q3 2022	Q4 2022	FY 2022
ARYZTA Europe
Volume %	8.6%	16.4%	18.0%	10.1%	13.0%
Price %	0.7%	2.5%	6.6%	11.8%	5.5%
Mix %	0.8%	0.2%	1.0%	0.9%	0.8%
Organic movement %	10.1%	19.1%	25.6%	22.8%	19.3%
ARYZTA Rest of World
Volume %	4.3%	7.0%	3.3%	11.8%	6.7%
Price %	1.7%	1.7%	3.5%	6.1%	3.3%
Mix %	1.9%	(1.1%)	0.4%	1.0%	0.5%
Organic movement %	7.9%	7.6%	7.2%	18.9%	10.5%
ARYZTA continuing operations
Volume %	8.0%	14.8%	15.6%	10.3%	12.0%
Price %	0.9%	2.3%	6.1%	11.0%	5.2%
Mix %	0.9%	(0.1%)	0.9%	0.9%	0.7%
Organic movement %	9.8%	17.0%	22.6%	22.2%	17.9%

Segmental Underlying EBITDA

For period ended 30 July 2022

	FY 2022	FY 2021
Underlying EBITDA1	€m	€m	% Change
ARYZTA Europe	179.5	140.5	27.8%
ARYZTA Rest of World	39.3	32.9	19.5%
Total continuing operations	218.8	173.4	26.2%
	FY 2022	FY 2021
Underlying EBITDA margin1	%	%	% Change
ARYZTA Europe	11.7%	10.9%	80 bps
ARYZTA Rest of World	17.5%	13.6%	390 bps
Total continuing operations	12.5%	11.4%	110 bps

1 See glossary on page 54 for definitions of financial terms and references used in the financial and business review.

Impairment, disposal, restructuring and COVID-19 related costs

For period ended 30 July 2022

		ARYZTA	Total	Total
	ARYZTA	Rest of	Continuing	Continuing
	Europe	World	Operations	Operations
	2022	2022	2022	FY 2021
	€m	€m	€m	€m
Gain on disposal before FX recycle	0.2	43.2	43.4	–
FX recycle from other comprehensive income on disposal	–	(85.4)	(85.4)	–
Gain/(loss) on disposal of businesses	0.2	(42.2)	(42.0)	–
Loss on sale of fixed asset disposals and impairments	(2.4)	–	(2.4)	(4.3)
Net gain on equity investment at fair value	–	–	–	8.6
Net loss on disposal of businesses and asset write downs	(2.2)	(42.2)	(44.4)	4.3
Severance and other staff-related costs	(2.0)	–	(2.0)	(28.4)
Other costs including advisory	(0.4)	(0.1)	(0.5)	(8.3)
Legal & financial obligations related to takeover of Group, rejected by Board in Dec 2020	–	–	–	(16.1)
Total restructuring-related costs	(2.4)	(0.1)	(2.5)	(52.8)
COVID-19 related costs	–	–	–	(1.3)
Total impairment, disposal, restructuring and Covid-related costs	(4.6)	(42.3)	(46.9)	(49.8)

Cash Generation

For period ended 30 July 2022	FY 2022	FY 2021
	€m	€m
Underlying EBITDA - continuing operations	218.8	173.4
Underlying EBITDA - discontinued operations	-	76.6
ARYZTA Underlying EBITDA	218.8	250.0
Working capital movement	(2.7)	(18.7)
Working capital movement from debtor securitisation1	23.0	(41.2)
Capital expenditure	(89.4)	(88.0)
Net payments on lease contracts	(33.8)	(45.4)
Proceeds from sale of fixed assets and investment property	5.7	8.1
Restructuring related cash flows	(11.9)	(54.2)
Operating free cash generation	109.7	10.6
Dividends received from equity investments	-	1.1
Dividends paid on hybrid instruments - actual	(43.0)	-
Interest and income tax on operating activities paid, net	(25.2)	(42.0)
Recognition of deferred income from government grants	(1.6)	(3.3)
Other	4.1	(0.5)
Cash flow generated from activities	44.0	(34.1)

1 Total debtor balances securitised as of 30 July 2022 is €108m (2021: €85m).

Cash Generation – continuing operations

For period ended 30 July 2022

	FY 2022	FY 2021
	€m	€m
ARYZTA Underlying EBITDA	218.8	173.4
Working capital movement	(2.7)	10.1
Working capital movement from debtor securitisation	23.0	2.2
Capital expenditure	(89.4)	(63.5)
Net payments on lease contracts	(33.8)	(34.6)
Proceeds from sale of fixed assets and investment property	5.7	7.3
Restructuring related cash flows	(11.9)	(44.8)
Operating free cash generation	109.7	50.2
Dividends received from equity investments	-	1.1
Dividends paid on hybrid instruments - actual	(43.0)	-
Interest and income tax on operating activities paid, net	(25.2)	(38.1)
Recognition of deferred income from government grants	(1.6)	(3.3)
Other	4.1	0.9
Cash flow generated from activities	44.0	10.8

Net Debt Evolution

For period ended 30 July 2022

	FY 2022	FY 2021
	€m	€m
Opening net debt	(220.1)	(1,010.7)
Cash flow generated from activities	44.0	(34.1)
Net movements on lease liabilities	14.4	1.2
Disposal of businesses, net of tax and leases1	109.8	791.6
Disposal of equity investment	-	24.3
Hybrid instrument principal repayment	(48.0)	-
Dividends paid on hybrid instruments - deferred and compound	(172.0)	-
Receipt of vendor loan note	-	10.0
RCF termination costs	(8.3)	-
Foreign exchange movement	(7.1)	5.1
Other2	(2.7)	(7.5)
Closing net debt3	(290.0)	(220.1)

1 Disposal of businesses, net of tax and leases, comprises of €106.8m of cash proceeds on disposal of businesses and €17.2m of leases disposed, offset by €14.2m of directly attributable income tax payments made on disposal of businesses.

2 Other comprises primarily amortisation of upfront financing costs.

3 Excluding the €126.1m lease liabilities arising from IFRS 16 at 30 July 2022 (2021: €154.6m), the Group net debt would be €163.9m (2021: €65.5m).

ARYZTA Group Net Debt Facilities and Maturities

For period ended 30 July 2022 ²⁰²²

		2021
	€m	€m
Syndicated Bank RCF	(398.5)	(45.0)
State sponsored COVID-19 related loans	-	(21.9)
Schuldschein	(17.8)	(178.6)
Gross term debt	(416.3)	(245.5)
Upfront borrowing costs	6.6	9.1
Term debt, net of upfront borrowing costs	(409.7)	(236.4)
Cash and cash equivalents	245.8	170.9
Net debt excluding leases	(163.9)	(65.5)
Leases	(126.1)	(154.6)
Net debt	(290.0)	(220.1)

As of 30 July 2022, the weighted average interest cost of the Group debt financing facilities is 1.8% (2021: 1.7%) and the weighted average maturity of the Group gross term debt is 4.1 years.

Covenants

For period ended 30 July 2022

In September 2021, ARYZTA replaced its existing €800m Syndicated Revolving Credit Facility ('RCF') Agreement with a new five year €500m Syndicated RCF Agreement. In connection with the early repayment of the existing facility, the Group incurred €8.3m of costs, due to the write off of existing RCF capitalised borrowing costs. Under the new RCF Agreement the Group's financial covenants are as follows:

Leverage Covenant (Net Debt: EBITDA):

• maximum 3.5x

Interest cover covenant (EBITDA: Net interest, including Hybrid dividend), minimum:

• 1.50x until 31 January 2022

• 2.00x until 31 July 2022

• 3.00x until 31 July 2023

• 3.50x until facility termination date in September 2026

The Group's key financial ratios at 30 July 2022 were as follows:

	FY 2022	FY 2021
Leverage covenants (Net Debt: EBITDA)1	1.01x	0.58x
1 Interest cover covenant (EBITDA: Net interest, including Hybrid dividend)	3.17x	1.88x

1 Calculated as per Syndicated Bank Facilities Agreement terms.

Hybrid Funding

For period ended 30 July 2022

			FY 2022
Instrument	Coupon	Coupon rate if not called	€m
CHF 400m	5.5%	6.045% +SARON 3 months compound rate	(411.1)
EUR 200m	6.8%	6.77% +5 Year Euro Swap Rate	(200.0)
CHF 190m	3.7%	4.213% +SARON 3 months compound rate	(195.3)
Hybrid funding principal outstanding at 30 July 2022 exchange rates		(806.4)
Hybrid instrument accrued dividends			(7.7)
Total Hybrid funding outstanding at 30 July 2022 exchange rates		(814.1)

ARYZTA Group – Return on Invested Capital

For period ended 30 July 2022

		ARYZTA Rest of	ARYZTA
	ARYZTA
	Europe	World	Group
	€m	€m	€m
30 July 2022
Average segmental net assets1,3	1,157.9	99.9	1,257.8
NOPAT1	64.4	20.7	85.1
ROIC1,2	5.6%	20.7%	6.8%
31 July 2021
Average segmental net assets1,3	1,221.8	153.7	1,375.5
NOPAT1	(38.5)	(0.8)	(39.3)
ROIC1,2	(3.2%)	(0.5%)	(2.9%)

1 See glossary on page 54 for definitions of financial terms and references used.

2 Group WACC on a post-tax basis is currently 6.9% (2021: 6.5%).

3 Average segmental net assets is the average of the beginning and ending segmental net assets. For the purposes of calculating the average segmental net assets, the net assets at the beginning of the twelve month period ended 30 July 2022 has been adjusted by €62.1m to exclude the impact of the disposal of the Brazil business, and the net assets at the beginning of the twelve month period ended 30 July 2021 has been adjusted by €734.0m to exclude the impact of the disposal of the ARYZTA North America disposed business.

Net assets, goodwill and intangibles

For period ended 30 July 2022

	FY 2022	FY 2021
	€m	€m
Property, plant and equipment	853.6	849.8
Investment properties	–	3.7
Goodwill and intangible assets	667.5	660.3
Working capital	(127.0)	(94.1)
Other segmental assets	4.1	6.0
Other segmental liabilities	(23.4)	(21.9)
Lease liabilities	(126.1)	(136.9)
Net assets of disposal group held-for-sale	-	62.1
Segmental net assets1	1,248.7	1,329.0
Interest bearing bank loans, net of cash	(163.9)	(65.5)
Deferred tax, net	(61.4)	(78.2)
Income tax	(87.7)	(82.9)
Derivative financial instruments	(3.3)	(0.3)
Net assets	932.4	1,102.1

1 See glossary on page 54 for definitions of financial terms and references used.

Group Consolidated Income Statement

For period ended 30 July 2022

	2022	2021
	€m	€m
Continuing Operations
Revenue	1,756.1	1,525.4
Cost of sales	(1,205.8)	(1,058.5)
Distribution expenses	(231.8)	(214.4)
Gross profit	318.5	252.5
Selling expenses	(85.1)	(86.8)
Administration expenses	(143.3)	(178.3)
Net loss on disposal of businesses	(42.0)	–
Operating profit/(loss)	48.1	(12.6)
Gain on equity instruments at fair value through profit or loss	–	8.6
Profit/(loss) before financing income, financing costs and income tax	48.1	(4.0)
Financing income	1.3	3.0
Financing costs	(18.4)	(35.8)
RCF termination costs	(8.3)	–
Profit/(loss) before income tax	22.7	(36.8)
Income tax expense	(20.8)	(13.5)
Profit/(loss) for the period from continuing operations	1.9	(50.3)
Discontinued operations
Loss for the period from discontinued operations	(1.0)	(185.5)
Profit/(loss) for the period attributable to equity shareholders	0.9	(235.8)

Group Consolidated Balance Sheet

For period ended 30 July 2022	2022 €m	2021		2022	2021
		€m		€m	€m
Assets			Equity
Non-current assets			Called up share capital	17.0	17.0
Property, plant and equipment	853.6	849.8	Share premium	1,531.2	1,531.2
Investment properties	-	3.7	Retained deficit and other reserves	(615.8)	(446.1)
Goodwill and intangible assets	667.5	660.3	Total equity	932.4	1,102.1
Other receivables	2.7	2.8
Deferred income tax assets	37.2	28.4	Liabilities
Total non-current assets	1,561.0	1,545.0	Non-current liabilities
			Interest-bearing loans and borrowings	507.6	163.1
Current assets			Employee benefits	6.5	4.0
Inventory	120.4	91.5	Deferred income from government grants	1.6	4.1
Trade and other receivables	152.5	151.1	Other payables	15.3	13.8
Derivative financial instruments	1.5	0.2	Deferred income tax liabilities	98.6	106.6
Cash and cash equivalents	245.8	170.9	Total non-current liabilities	629.6	291.6
	520.2	413.7
Assets held-for-sale	1.4	3.2	Current liabilities
Assets of disposal group held-for-sale	-	101.8	Interest-bearing loans and borrowings	28.2	210.2
Total current assets	521.6	518.7	Trade and other payables	399.9	336.7
			Income tax payable	87.7	82.9
Total assets	2,082.6	2,063.7	Derivative financial instruments	4.8	0.5

	2022	2021
	€m	€m
Interest-bearing loans and borrowings	507.6	163.1
Income tax payable	87.7	82.9
	520.6	630.3
Liabilities of disposal group held-for-sale	–	39.7
Total current liabilities	520.6	670.0
Total liabilities	1,150.2	961.6
Total equity and liabilities	2,082.6	2,063.7

Average Closing and Average FX Rates

For period ended 30 July 2022

	Average	Average		Closing	Closing
Currency	FY 2022	FY 2021	% Change	FY 2022	FY 2021	% Change
CHF	1.0423	1.0868	4.1%	0.9730	1.0773	9.7%
USD	1.1139	1.1947	6.8%	1.0193	1.1882	14.2%
AUD	1.5445	1.5949	3.2%	1.4570	1.6072	9.3%
GBP	0.8466	0.8820	4.0%	0.8380	0.8515	1.6%

Presentation Glossary

'Organic revenue' – presents the revenue movement during the period, excluding impactsfrom acquisitions/(disposals) and foreign exchange translation.

'Underlying EBITDA' – presented as earnings before interest, taxation, depreciation and amortisation; before impairment, disposal, restructuring and COVID-19 related costs.

'IFRS EBITDA' – presented as earnings before interest, taxation, depreciation and amortisation. A reconciliation of IFRS EBITDA to Underlying EBITDA from continuing operations by segment is presented on page 37.

'Underlying EBITA' – presented as earnings before interest, taxation and non-ERP related intangible amortisation; before impairment, disposal, restructuring and COVID-19 related costs.

'ERP' – Enterprise Resource Planning intangible assetsinclude the Group SAP system.

'Hybrid instrument' – presented as Perpetual Callable Subordinated Instruments, which have no contractual maturity date and for which the Group controls the timing of settlement; therefore, these instruments are accounted for as equity instrumentsin accordance with IAS 32 'Financial Instruments'.

'Underlying net profit/(loss)' – presented as reported net profit/(loss), adjusted to include the Hybrid instrument dividend as a finance cost; before non-ERP related intangible amortisation; and before RCF termination costs, impairment, disposal, restructuring and COVID-19 related costs, net of related income tax impacts. The Group utilises the underlying net profit/(loss) measure to enable comparability of the results from period to period, without the impact of transactions that do not relate to the underlying business.

'Cash flow generated from activities' – represents the company's ability to generate free funds from its operating activities after its investment in fixed assets and repayments of lease liabilities. It is calculated as net cash flows from operating activities per the IFRS cash flow statement, adjusted for cash flows related to the purchase of property, plant and equipment and intangible assets, proceeds from sale of property, plant and equipment, lease principal payments and dividends paid on hybrid dividends.

'Net debt' – is defined as the Group's interest bearing loans and bonds and lease liabilities, after deduction of cash and cash equivalents.

'Segmental Net Assets' – Excludes joint ventures, financial assets at fair value, all bank debt, cash and cash equivalents and tax balances.

'ROIC' – Return On Invested Capital is calculated using a pro-forma trailing twelve month operating profit, before gains/losses on disposal of businesses, and after underlying tax, reflecting the full twelve month contribution from acquisitions and full twelve month deductions from disposals; divided by average Segmental Net Assets, as at the beginning and end of the financial period.