Brambles (BXB) Investor Day 2024 summary

Strategic vision and transformation

• The company is executing a multi-year transformation to build a digitally enabled, customer-centric, and sustainable supply chain, leveraging the Shaping Our Future program and focusing on regenerative supply networks.

• Digital capabilities, including data analytics and asset digitization, are embedded across the organization, with 5,000 employees trained in data literacy and 450 in the digital function.

• Transformation priorities include operational excellence, network productivity, and leveraging global scale and circular pooling to drive growth and value creation in key markets.

• The vision is to connect and illuminate global supply networks, making them more resilient, regenerative, and efficient through technology and sustainability leadership.

• Customer experience, sustainability, asset efficiency, and network productivity have all improved, supporting a strong investor value proposition.

Financial guidance and performance

• Delivered revenue CAGR of 10% and underlying profit CAGR of 15% from FY22 to FY24, exceeding previous targets.

• FY25 guidance: 4-6% sales revenue growth, 8-11% underlying profit growth, and $750-850 million free cash flow before dividends.

• FY26–FY28 outlook: mid single-digit revenue growth, high single digit profit growth, and at least $750 million free cash flow annually, targeting 10%+ value creation per year.

• Margin expansion of at least 2 points by FY28, driven by automation, asset efficiency, and overhead productivity improvements.

• Dividend payout ratio remains at 50–70% of underlying profit, with a strong balance sheet and potential for further capital management initiatives.

Digital and operational innovation

• Invested ~$200m in digital opex and ~$40m in digital capex (FY22–FY24), deploying ~550,000 smart tracking devices and launching three Digital Customer Solutions.

• Serialization+ (unique QR codes and smart pallets) is being piloted to enable full pool visibility, dynamic pricing, and new digital customer solutions, with operational testing in the UK, US, and Chile.

• Automation investments have improved safety, quality, and productivity, with 65% of inspections and repairs automated in FY24, targeting 77% by FY28.

• Asset efficiency initiatives, including targeted diagnostics and low-volume recovery vehicles, have recovered 16 million pallets in FY24, with further headroom for improvement.

• Advanced analytics and machine learning are driving asset recovery, predictive collections, and customer experience improvements, supporting a 20pt NPS increase since FY23.