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Investors Presentation

Aug 2016

Safe Harbor Statement


This presentation contains forward-looking statements, which express the current beliefs and expectations of management.
Such statements are based on management's current beliefs and expectations and involve a number of known and unknown
risks and uncertainties that could cause our future results, performance or achievements to differ materially from the results,
performance or achievements expressed or implied by such forward-looking statements. Important factors that could cause or
contribute to such differences are detailed in documents we file from time to time with the United States Securities and
Exchange Commission. Forward-looking statements in this presentation are made pursuant to the safe harbor provisions
contained in the Private Securities Litigation Reform Act of 1995.
These statements include descriptions regarding the Companys plans, objectives, goals, strategies, future events, future
revenues or performance, capital expenditures, financing needs and other information that is not historical information. These
statements can be recognized by the use of words such as may, might, will, should, expects, plans, anticipates,
believes, estimates, predicts, potential or continue, the negative of these terms and other comparable terminology. Such
forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and
other factors, including those described under Risk Factors in the Companys Form 20-F, that may cause the Companys
actual results, performance or achievements to differ materially from those set forth in the forward-looking statements as a
result of various. factors and assumptions. The Company has no obligation and does not undertake to revise forward-looking
statements to reflect future events or circumstances.
The trademarks included herein are the property of the owners thereof and are used for reference purposes only. Such use
should not be construed as an endorsement of the products or services of SodaStream or of those other companies.

Company Highlights
World leader in home carbonation

Compelling consumer benefits


Profitable recurring revenue business model
24 million active global users
45 countries, 70,000 stores
2,200 employees

Significant market opportunity


Renewed growth momentum

Our Products: Full System for Preparing Carbonated Beverage

Sparkling Water Makers:


Variety of
designs, price points
Durable, easy to use

CO2 cylinders:
60 or 130 liters
Consumers exchange empty
cylinders for full ones at retail
locations or home delivery via
internet/phone

Flavors:
Full range of regular, diet, allnatural, mixers, energy
2/3 less sugar and carbs than
leading brands; no high-fructose
corn syrup

Active Consumer Economics 5 Years


Sparkling
Water Makers

Consumables

$55

$240

+
Exchangeable
CO2 cylinders

Value (5 years)

Carbonation
bottles

=
Flavors

Attractive business model driven by recurring


purchases of high-margin consumables
Note: Based on estimated 5-year value from loyal consumer;

$295

Soft Drinks Market Transformation

SodaStream Reposition Around Water:


Hydration, Healthier Alternative to
Traditional Soda

Global Presence & HH


Penetration

Global Presence
SodaStream products sold in 45 countries

Americas: 24%

Direct subsidiary
Distributor markets

Western Europe: 61%


Asia-Pacific: 10%
CEMEA: 5%

Represents percentage of Q3 2015 - Q2 2016 sales

German Case Study


Market development case study:
German unit sales volume

Excellent Leadership team


2 SKUs only: entry level & high-end
Effective marketing:

2011-2015:
Machine sales
+298%
Gas sales
+86%
Household penetration Double

Market research to identify most


compelling consumer benefit
Develop marketing message around
key consumer benefit

Test and refine message


Launch No Schlepping campaign
across multiple advertising mediums
2011

2012

2013

Sparkling Water Makers

2014

2015

Gas Rerfills

Our Growth Strategy


Grow installed base

Improve retention

More effective marketing programs

Increase gas only points of distribution

Simplify product offering

Expand direct delivery of gas refills

o Introduce compelling, accessible


new sparking water markers
o Discontinue multiple legacy
machines
Selectively open new distribution and
new markets

Introduce healthy, great tasting flavors

Low-cost, Highly Effective Internet Campaigns

PR Social Campaigns

Innovation

Innovating Future Drink Makers


SPIRIT

Entry level
High-end design with
low production cost
Snap & Lock mechanism
quiet operation
Q3-2016 introduction

MIX

High-end electric machine


Carbonates any liquid:
alcohol, juice, etc.
Touch screen interface
IOT ready
Q4-2016 introduction

ULTIMATE

High-end drinks maker


Provides hot, cold, still &
carbonated drink with
treated water
2017 introduction

2016 Flavors Innovation

2016 Beer Project

and

Lehavim State of the Art Plant

Construction complete
Logistics center live mid-2016
Transitioned other facilities

Provides more than double capacity


200 basis point GM improvement and
increased inventory turns

Financial Highlights

Revenue 2010 2015


($m)
$563

-7%
$512

-19%
$475

$436

$416

$289
$208

2010

2011

2012

2013

*Currency Neutral: 2015 at 2014 exchange rates

2014

2015

2015 Currency
Neutral*

Operating Income 2010 2015


($m)

$49

$46

-42%

$34

0%

$34

$29

$20
$15

2010

2011

2012

2013

2014

2015

*Excluding restructuring cost and Currency Neutral: 2015 at 2014 exchange rates

2015 Currency
Neutral*

Revenue 2014 2016


($m)

+17%

$141
$126

$127

$118
$110

$119

$113

$102

$101

$91

Q1 2014 Q2 2014 Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016

Weak $US

Strong $US

Operating Income 2014 2016


($m)

+102%

$11.4

$11.2

$9.2

$8.9
$7.9
$6.2
$5.4
$4.5
$3.7
$2.3

Q1 2014 Q2 2014 Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016

Weak $US

2015 excluding restructuring

Strong $US

Q2 Revenue & Operating Income in Constant Currency* ($Ms)


Revenue
117.4

135.0

118.0
104.6

87.9

Operating Income
Q2 2012

Q2 2013

Q2 2014

Q2 2015

Q2 2016

14.1

17.2

13.6

11.5

8.8

* All data adjusted to Q2-2012 average exchange rates

Q2 2012

Q2 2013

Q2 2014

Q2 2015

Q2 2016

Quarterly Revenue Development ($Ms)


180.0
168.1

160.0
144.6

141.2
132.4

140.0

132.9
125.9

120.0

117.6

118.2

100.9
100.0
87.9

119.2
112.5
103.0

126.5
112.9

110.0

101.7

91.3

80.0
60.0
40.0
20.0
0.0
Q1

Q2

2012

2013

Q3

2014

2015

2016

Q4

Q2 Product Sales Volume Development


Q2 SWM (unit 000's)
935

1,000
900

785

764

800

634

700

637

600

491

463

500

Q2 Gas Refills (units M's)

400
200

7.0

100

6.0

6.5

2011

2012

2013

2014

2015

2016

Q2 Flavors (units M's)


10.0

9.3

4.2

4.0
3.0

6.9

5.5

5.0

2010

3.4
2.5

2.0

8.5

9.0

1.0

8.0

7.2

7.0

6.1

6.0

6.0

3.1

3.0
2.0
1.0
0.0

2010

2011

2012

2013

2014

2015

0.0

2010

5.1

5.0
4.0

7.5

8.0

300

2016

2011

2012

2013

2014

2015

2016

Free Cash Flow 2014-2016


($m)

23

23

17

15

16

14 15
12

14
12

12

12

13

13.7

10
8

6.4
4.6

3
1
Q1 2014

2.1

Q2 2014

Q3 2014

Q4 2014

Q1 2015

-2.4

Q2 2015
-0.8

Q3 2015

1.5
Q4 2015

-11.5
-13.8

-14.6

Operating

Investments

Free Cash Flow

Q1 2016

Q2 2016

Thank You