CELSIUS HOLDINGS, INC - CELH NASDAQ:CELH
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CELSIUS HOLDINGS, INC.
December 2017 Investor Presentation
CELH
NASDAQ:CELH
1
SAFE HARBOR STATEMENT
2017 INVESTOR PRESENTATION
This presentation may contain statements that are not historical facts and are
considered forward-looking within the meaning of the Private Securities Litigation
Reform Act of 1995. These forward-looking statements contain projections of
Celsius Holdings’ future results of operations and/or financial position, or state
other forward-looking information. In some cases you can identify these
statements by forward-looking words such as “anticipate,” “believe,” “could,”
“estimate,” “expect,” “intend,” “may,” “should,” “will,” “would,” or similar words.
You should not rely on forward-looking statements since Celsius Holdings’ actual
results may differ materially from those indicated by forward-looking statements as
a result of a number of important factors. These factors include, but are not
limited to: general economic and business conditions; our business strategy for
expanding our presence in our industry; anticipated trends in our financial
condition and results of operation; the impact of competition and technology
change; existing and future regulations affecting our business; and other risks and
uncertainties discussed in the reports Celsius Holdings has filed previously with
the Securities and Exchange Commission. Celsius Holdings does not intend to and
undertakes no duty to update the information contained in this presentation.
2
OUR MISSION
Celsius Holdings, Inc. (Nasdaq: CELH), founded in April, 2004, is a
global company, with a proprietary, clinically proven formula for
flagship brand CELSIUS® .
Our mission - to become the global leader of a
branded portfolio which is proprietary, clinically
proven or innovative in its category, and offers
significant health benefits.
3
UNIQUE BRAND
AT T R I B U T E S BURNS BODY FAT
BURNS 100+ CALORIES
PROVIDES HEALTHY ENERGY
PROPRIETARY MetaPlus® BLEND
• NO SUGAR
• NO HIGH FRUCTOSE CORN SYRUP
• NO ASPARTAME
• NO PRESERVATIVES
• NO ARTIFICIAL COLORS
• NO ARTIFICIAL FLAVORS
• VERY LOW SODIUM
• VITAMIN-INFUSED
• GLUTEN-FREE
• VEGAN
4
CLINICAL STUDIES TO PROVE IT
Studies reviewed and approved by the National Advertising Division (NAD)
of the Advertising Self-Regulatory Council
PEER REVIEWED CLINICAL STUDIES VALIDATING CLAIMS
Study 1. Ohio Research: Published In Journal of
International Society of Sports Nutrition
Study 5. University of Oklahoma: Published In Journal
of The American College of Nutrition
Study 2. University of Oklahoma : Published In
Journal of International Society of Sports
Nutrition Study 6. University of Oklahoma: Published In
Study 3. University of Oklahoma : Published The Journal of Strength and Conditioning
In Journal of International Society of Sports Association
Nutrition
Study 7. Miami Research Associates
Study 4. University of Oklahoma: Published In
Journal of International Society of Sports
Nutrition
5
HOW DOES IT WORK?
CELSIUS’ proprietary MetaPlus® formula,
including green tea with EGCG,
ginger and guarana seed, turns on
thermogenesis, a process that boosts
your body’s metabolic rate.†*
Drinking CELSIUS® prior to fitness
activities is proven to energize, accelerate
metabolism, burn body fat and calories. †*
6
CELSIUS FAMILY OF PRODUCTS
ORIGINALS NATURALS HEAT
RELAUNCHED JAN 2017 LAUNCHED MARCH 2017 LAUNCHED APR 2017
NEW NEW
Current Originals Lineup:
• 5 Sparkling SKUs Current Naturals Lineup: Current HEAT Lineup:
• 2 Non-Carb SKUs • 3 Sparkling SKUs • 5 Sparkling SKUs
• 3 Non-Carb SKUs
Current Packaging: Current Packaging:
• 12oz can Current Packaging: • 16oz can
• 12ct case • 12oz can • 12ct case
• 4pks (6/cs) • 24ct case
• Powders (14ct)
ALL CELSIUS PRODUCTS ARE PROVEN TO ACCELERATE METABOLISM & BURN BODY FAT
7
PIONEERING POSITION: FITNESS DRINK
CELSIUS pioneers new ground Consumers are ready for ENERGY 2.0
(natural, healthy)
Clinically proven function:
No Crash, No Jitters, Natural Ingredients
* which provides healthy energy + FUNCTIONAL Innovation
* Benefits enhanced with active lifestyles Masses are leaving artificial or sugary
CSDs and other categories in droves
CELSIUS is a proven Fitness Drink
Sugary Energy Exit is next…CELSIUS
is here
Conventional Energy Healthy Energy Functional
8
CARBONATED PRE-WORKOUT: HEAT
16oz of a Pre-Workout for the
CELSIUS HEAT is a Carbonated
seriously dedicated.
Pre-Workout and a Proven
Thermogenic.
Trainer’s Grade formula –
Supplement Formula
Proven benefits
added caffeine
Targeted, Focused & Proven
L-Citrulline
16oz Conventional Energy Nutritional Panels, Supplements
No Functional Benefits Unproven
CELSIUS BRAND = Fastest growing brand in Fitness Channel Nationally
New CELSIUS HEAT, borrows equity from CELSIUS brand, as 16oz Trainer’s Grade version
9
MARKETING
TO BUILD THE
BRAND
10BEST FUNCTIONAL DRINK
INNOBEV, GLOBAL AWARD WINNER, APRIL 2017
“Trailblazer Award”
GROCERY HQ BEVERAGE
CATEGORY TRAILBLAZER –
CELSIUS INNOVATION IN THE
20TIME AWARD WINNER
BEVERAGE CATEGORY
Innovation in Beverage
112017 MARKETING OVERVIEW
EVENTS AMBASSADORS
MARIO LOPEZ FLO RIDA
DIGITAL / ADS
HOWIE MANDEL BLAKE KOCH “LIFER”
America’s Got Talent NASCAR FITNESS BAs
122017 BUSINESS STRATEGY
INTRO EXPAND AT RETAIL
LAUNCH NEW ITEMS
PRODUCT & REPEAT
&
LAUNCHES OR CONSUMER (PD NEW ITEMS)
REBRAND SEED PIPELINES
MARKETING PUSH
ORIGINALS & NEW NATURALS REBRANDED NEW
ON-THE-GO CELSIUS HEAT™
Powders
13CURRENT DOMESTIC RETAIL DISTRIBUTION
N AT I O N A L WESTERN MIDWEST SOUTHEAST SOUTHWEST
NO RTHE AS T
14DISTRIBUTION CHANNELS
SAMPLING OF KEY CUSTOMERS IN EACH CHANNEL
NATURAL CHANNEL -2017 CONVENIENCE CONVENTIONAL GROCERY
FITNESS VITAMIN SPECIALTY MILITARY E-COMMERCE
15TOP SELLER ON
AMAZON
#1 Best seller “Healthy Energy”
#1 Healthy Energy Search (Organic)
1,700+ reviews, 4.4 Star Rating
100% increase in Sales YOY
+76% powder sales YOY
Consumers’ orders show demand for
more retail placement and sales
CELSIUS is in the top 3%
of products viewed &
subsequently purchased
16DOLLAR % GROWTH RANK CONVENTIONAL
40.0%
30.0%
20.0%
10.0%
0.0%
(10.0)%
(20.0)%
(30.0)%
(40.0)%
CELSIUS +38% OUTPACING TOTAL FUNCTIONAL CATEGORY: +2%
Latest 24 Weeks Ending 5.21.17, SHELF STABLE FUNCTIONAL BEVERAGES; TPL; SPINSscan Conventional Markets: TOTAL US - MULO 17GLOBAL
EXPANSION
NORDIC CHINA HONG KONGGLOBAL DISTRIBUTION PARTNERS
PARTNERS WITH DEFINED TERRITORIES WHICH CURRENTLY PROVIDE
MARKETING AND SALES SUPPORT WITHIN THEIR TERRITORY.
Established:
• Sweden- #2 selling energy drink in Sweden
• Finland expansion launched in Q2 2016 adds incremental growth
• Hong Kong launched through AS Watson Water distributors in Q3 2017
• China market launched with nationwide distribution through partnership
with Qifeng Food Technology (Beijing) Co. Ltd., a national wholesale
distributor of foods and beverages. Full quarterly sales commencing Q4
‘17
• China production facility opened to support Asian market
Additional European and Asian international opportunities with identified
distribution partners
19Strategy Objectives and Growth Roadmap
Phase 3:
Expansion
• Mass
Phase 2: geographic
Sales expansion
• ACV Gains • Best practices
• Channel deployment
Phase 1: Retool expansion
Product(s) • Continue to
• Build C build brand
• Relaunched can equity equity
design • Grow China • Channel
• + Naturals • Develop new expansion
• + Heat products/rev
• New Powder pkgs items for ‘19
• Asia-Staffed-
Product launches
20CELSIUS FINANCIALS
21INVESTOR HIGHLIGHTS
RESOUNDING CONSUMER DEMAND AFTER 10+ YRS IN
BUSINESS
R A P I D LY G R O W I N G R E V E N U E S A N D G R O S S P R O F I T S
E x p a n d e d p r o d u c t o f f e r i n g w i t h N a t u r a l L i n e a n d H E AT l a u n c h e s
International expansion continues
to expand market opportunity
S T R AT E G I C I N V E S T O R S : L I K A - S H I N G ,
KI MO RA L E E S I MMO NS , CARL DE S ANT I S
22INCOME STATEMENT SUMMARY
( $ i n m i l l i o n s )
Revenue Gross Profit
$12.00
$10.00
$8.00
US
$6.00
Int.
$4.00 Total
$2.00
$0.00
Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3
'13 '14 '14 '14 '14 '15 '15 '15 '15 '16 '16 '16 '16 '17 '17 '17 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3
'13 '14 '14 '14 '14 '15 '15 '15 '15 '16 '16 '16 '16 '17 '17 '17
Q3 ‘17 Revenue of $10.8 million, up 62% compared to Q3 ‘17 Gross profit of $4.7 million
$6.7 million in the year ago quarter
• Up 62% from the year ago period of $2.9
• Domestic revenue increased 54% to $5.9 million, up million
from $3.8 million in the year ago quarter
• International revenue increased 73% to a record $4.9
million, up from $2.8 million in the year ago quarterCelsius Holdings, Inc. and Subsidiaries
Consolidated Statements of Operations
For the three months For the nine months
ended September 30, ended September 30,
2017 2016 2017 2016
Revenue $ 10,785,796 $ 6,657,700 $ 27,023,123 $ 16,508,097
Cost of revenue 6,110,898 3,772,948 15,398,798 9,339,302
Gross profit 4,674,898 2,884,752 11,624,325 7,168,795
Selling and marketing expenses 4,702,308 1,736,029 9,273,207 6,709,345
General and administrative expenses 1,559,173 1,081,273 5,261,694 2,936,273
Total operating expenses 6,261,481 2,817,302 14,534,901 9,645,618
Income (Loss) from operations (1,586,583 ) 67,450 (2,910,576 ) (2,476,823 )
Other Income (Expense):
Interest expense (35,661 ) (57,500 ) (122,195 ) (171,250 )
Total Other Income (Expense) (35,661 ) (57,500 ) (122,195 ) (171,250 )
Net Income (Loss) (1,622,244 ) 9,950 (3,032,771 ) (2,648,073 )
Preferred stock dividend (92,250 ) (102,958 ) (273,743 ) (276,264 )
Net income (Loss) available to common stockholders $ (1,714,494 ) $ (93,008 ) $ (3,306,514 ) $ (2,924,337 )
Income (Loss) per share:
Basic $ (0.04 ) $ (0.00 ) $ (0.08 ) $ (0.08 )
Diluted $ (0.04 ) $ (0.00 ) $ (0.08 ) $ (0.08 )
Weighted average shares outstanding:
Basic 45,487,908 38,666,451 43,990,367 38,530,195
Diluted 45,487,908 38,666,451 43,990,367 38,530,195
24KEY INVESTORS
LI KA-SHING CARL DeSANTIS KIMORA LEE SIMMONS
Horizon Ventures: Celebrity & business mogul (several
Former Founder and Chairman
investment arm of Mr. Li companies), powerful brand builder &
of ReXall Sundown Inc. which
Ka-Shing. Asia’s
he built into the world’s leading influencer
wealthiest individual.
nutritional supplement supplier,
Assets include over
sold for $1.8 billion in 2000
15,000 health & beauty
retail locations
25CELSIUS MANAGEMENT
CELH TEAM
JOHN FIELDLY - CFO & INTERIM CEO
John Fieldly was named Chief Financial Officer of Celsius Holdings, Inc. in 2012 and is presently the company’s interim
President and CEO. He brings nearly 20 years’ experience in business management and corporate financial leadership
to his role where he oversees the company’s finances, public reporting requirements and operations. His expertise
stems from a strong background in financial leadership, public reporting requirements, operational process and
procurement improvement strategies to maximize resources to drive revenue and operational efficiencies. Prior to
joining Celsius Holdings he was Corporate Controller of Oragenics, Inc. a publicly traded nutraceutical company were he
was responsibly for all financial functions and implemented procurement strategies to maximize operations. Prior to that
Mr. Fieldly held leadership positions at Lebhar-Friedman-the B2B leading media and marketing company serving the
retail industry, foodservice, and healthcare over the last 90 years and prior to that he served various leadership roles at
Eckerd Corporation. Mr. Fieldly is a Certified Public Accountant in Florida.
VANESSA WALKER - EXECUTIVE VP OF SALES AND MARKETING
Ms. Walker has served as EVP Sales & Marketing since January 2016. With over 23 years in beverage and retail, she
was former EVP Sales & Marketing, LaCroix Sparkling Water, National Beverage, (‘08-’16). She revitalized the MW
regional brand, building the marketing and sales infrastructure, strategy and plans. LaCroix became the fastest growing
sparkling in the US ($35m in ‘08 to +$195m ’15, Nielsen), outpacing Nestle owned Perrier & San Pellegrino in all
channels of trade. Previous to 2008, Ms. Walker served as Director of Marketing for Big Red of Texas, (2006-2007),
before their sale, relaunching Red JAK energy through DPSU. Prior, she was SVP Sales / Marketing, at start up
Manhattan Beverage Co., NY, NY. Ms. Walker was also a part of start up IN ZONE Brands Inc., VP National Accounts,
as then BellyWashers & TummyTicker brands, grew from $1m to over $90m (’01-’04). She began her career after
college with Target Stores, serving as Regional Buyer (‘97-01) foods/beverages, and store executive (’94-’97).
26BOARD OF DIRECTORS
A BREADTH OF INDUSTRY, FINANCIAL, & EXECUTIVE MANAGEMENT EXPERTISE
William H. Milmoe Kevin Harrington John Fieldly
CO-CHAIRMAN DIRECTOR DIRECTOR
Finance and accounting New product development Corporate Finance
President CDS International Celsius CFO, Interim CEO
TV show “Shark Tank” alumni
Holdings
Launched over 500 products Career includes roles with:
Financial career includes roles “As seen on TV” infomercial Oragenics leader in novel
with: Price Waterhouse, General pioneer antibiotics and proprietary OTC
Cinema Corp, Pepsi, independent probiotics, Lebhar-Friedman
bottler leader in B2B publishing, Eckerd
Corporation
Christopher Lai Nick Castaldo Thomas E. Lynch Hal Kravitz
CO-CHAIRMAN DIRECTOR DIRECTOR DIRECTOR
Horizons Ventures Consumer services business Insurance CEO of AQUA hydrate
Asian market expert Chain restaurant, banking and Banking Former Officer of Coca-Cola
IB professional, M&A retailing Public official
Former Denny’s VP Marketing
27CELSIUS HOLDINGS, INC.
C O M PA N Y C O N TA C T
John Fieldly, CFO & Interim CEO
Celsius Holdings, Inc.
561.276.2239
jfieldly@celsius.com
I N V E S T O R R E L AT I O N S
Cameron Donahue, Partner
H a yd e n I R
651.653.1854
c a m e r o n @ h a yd e n i r . c o m
VISIT OUR NEW INVESTORE W EBSITE:
W W W.CELSIUSHOLDINGSINC.COM
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