Endeavour Group (ASX: $EDV) Investor Day Overview

Endeavour Group Limited (ASX: $EDV) presented its strategy for achieving over $150 million in EBIT growth over the next five years at the Investor Day on 6 December 2023. The company, with a portfolio of leading brands and businesses, aims to drive earnings growth through a balanced approach of sales growth, gross margin management, and cost control. Additionally, it is committed to delivering strong shareholder value, targeting a shareholder value creation of 10%+ from F26, high single-digit EPS growth, and a dividend payout ratio of 70-75%. The company also aims to maintain lease-adjusted leverage of 3.0-3.5x and expand ROFE year-on-year.

Executive Commentary on Strategy and Growth

During the Investor Day, CEO Donohue outlined the company's strategy, emphasizing the goal of achieving over $150 million in EBIT growth over the next five years. He highlighted the commitment to delivering strong shareholder value, focusing on high single-digit EPS growth and maintaining a dividend payout ratio of 70-75%. Donohue also stressed the company's aim to maintain lease-adjusted leverage of 3.0-3.5x and expand ROFE year-on-year.

Outlook and Ambitions

Endeavour Group (ASX: $EDV) is positioned to achieve over $150 million in EBIT growth over the next five years through a balanced approach of sales growth, gross margin management, and cost control. The company aims to deliver strong shareholder value, targeting a shareholder value creation of 10%+ from F26, high single-digit EPS growth, and a dividend payout ratio of 70-75%. Additionally, it is committed to maintaining lease-adjusted leverage of 3.0-3.5x and expanding ROFE year-on-year. With a clear strategy and focus on operational optimization, Endeavour Group is poised for strong shareholder returns and sustainable growth.