analyst presentation q1 2015 - Investor Relations
Transcription
analyst presentation q1 2015 - Investor Relations
March, 12 May, 2015 2015 ANALYST PRESENTATION Q1 2015 KEY HIGHLIGHTS Q1´15 – EXECUTIVE SUMMARY Group Sales up by 3.4% to € 215.7 m Gross profit for the Group up by € 0.5 m to € 119.3 m reflecting good margin of 55.3% Recurring EBITDA decreased by € 2.0 m to € 9.1 m (margin: 4.2%) reflecting further expansion Reported EBITDA decreased by € 2.1 m to € 7.8 m (margin: 3.6%) Net income for the period at previous year´s level BONITA: Increased sales by 5.8% to € 72.4 Like-for-Like went up by 7.4% for Q1´15 Operating cash flow increased by € 3.4 m while net debt was further reduced by € 5.7 m 2 SUSTAINED MULTI-CHANNEL EXPANSION FOCUS ON CONTROLLED DISTRIBUTION RETAIL SEGMENT RetailStores 388 in Europe ECommerce In 21 countries WHOLESALE SEGMENT RetailEStores Commerce 1,014 in in Europe Germany FranchiseShop-in- Multi-Label Stores Shops partner 206 2,722 ~9,825 worldwide worldwide worldwide Net expansion in Q1 `2015 +6 Openings: 9 Closings: 3 +1 +/- 0 +36 +1,298 Openings: 9 Closings: 8 As of March 31, 2015 3 BONITA GREW LIKE-FOR-LIKE BY 7.4% Like-for-like development Q1´14–Q1´15 in % German Market1) TOM TAILOR Retail Bonita 9.6% 7.4% Comment BONITA successfully increased Like-for-Like by 7.4% after five negative quarters despite challenging market 3.0% Compared to strong Q1´14 TOM TAILOR Retail had an extended winter season Q1´15; LfL was down by 4.6% and thus mainly in line with the market -4.6% -5.0% -8.7% Q1´14 German textile market suffered from weak Sep./Oct. sales in 2014 Q1´15 1) Source: TextilWirtschaft-Testclub 2015 4 REORGANIZATION Target: Accelerated verticalization to increase productivity/m² resulting in higher profitability Executive Board: New structure in place Search for new COO expected to be finalized within the next months Organization: Responsibility for individual brands across all sales channels pooled with one person each (VP brand) Take a more target approach to specific strengths of individual brand to align them even more closely with customer needs Internal reorganization has started on April 1st, being well underway: 5 vice presidents (VP) already in charge Search for VP Digitalization in progress 5 BONITA TO CONTINUE ITS PLEASANT DEVELOPMENT Store expansion of approx. 35 new stores in core markets in 2015 intended All stores refurbished Optimization of store portfolio Focus on e-commerce expansion Marketing campaign (print & TV) planned for the second half of 2015 Loyalty Fashion Card increased further to 604,000 holders representing 42% of respective sales Higher consumption of card holders compared to non-card holders ∙ Average price per ticket 77% ∙ Number of items sold 47% 6 EXPANSION OF E-COMMERCE: COOPERATION WITH JABONG … one of the leading online retailers in India … part of Rocket Internet Group … annual growth rates in double-digit range … sale of TOM TAILOR brand family and its accessories on the online platform Jabong.com … 3 year cooperation concluded → TOM TAILOR now available in India and marketed in 21 countries online since March 2015 → Expansion in one of the worlds most attractive future markets for online retail 7 FINANCIAL HIGHLIGHTS Q1´15 8 TOM TAILOR GROUP WITH LIVELY START IN 2015 Sales [€ m] Gross profit [€ m] Margin 56.9% +3.4% 55.3% Recurring EBITDA [€ m] Margin 5.3% +0.4% 4.2% -17.9% 215.7 118.8 208.7 119.3 11.1 Q1'14 Q1'15 Comment Group sales rose by € 7.0 m Increase was driven by TOM TAILOR Wholesale and BONITA Sales in Germany +5.3% to € 137.0 m Sales in foreign countries stable with € 78.7 m Q1'14 Q1'15 Comment Gross profit grew by 0.4% or € 0.5 m to € 119.3 m Gross margin was 160 bpts below PYQ due to common seasonal promotions Q1'14 9.1 Q1'15 Comment Rec. EBITDA down by € 2.0 m or 17.9% Rep. EBITDA decreased by € 2.1 m or 20.9% Non recurring expenses mainly attributable to reorganization project 9 TOM TAILOR BRAND INCREASED SALES BY 2.2% Sales [€ m] Gross profit [€ m] Margin 50.9% Margin 8.1% 6.2% -21.6% +0.5% +2.2% 140.3 50.1% Recurring EBITDA [€ m] 143.4 71.4 71.8 11.4 8.9 Q1'14 Q1'15 Comment TOM TAILOR brand increased sales by 2.2% to € 143.4 m representing 66.5% of Group sales (PY: 67.2%) Retail share within TOM TAILOR brands was 41.1% (PY: 42.2%) Q1'14 Q1'15 Comment Gross profit increased slightly by 0.5% while margin decreased by 80 bpts due to some promotions Increase was driven by wholesale segment while retail was flat Q1'14 Q1'15 Comment Rec. EBITDA decreased by 21.6% to € 8.9 m Rep. EBITDA went down by 29.6% to € 7.7 m 10 TOM TAILOR WHOLESALE WITH STRONG FIRST QUARTER Sales [€ m] Gross profit [€ m] Margin 47.3% +4.2% 81.1 Q1'14 46.0% Recurring EBITDA [€ m] Margin 12.8% 12.1% -1.9% +1.3% 84.5 Q1'15 Comment TOM TAILOR Wholesale increased top-line by 4.2% to € 84.5 m Wholesale represents 39.2% of Group sales (PY: 38.9%) Order intake (until August) 6.7% above PY but slowing down in course of the year 38.3 38.8 Q1'14 Q1'15 Comment Gross profit increased by € 0.5 m to € 38.8 m Gross margin decreased by 130 bpts due to some promotions 10.4 10.2 Q1'14 Q1'15 Comment Rec. EBITDA was € 10.2 m and slightly below PY (€ 10.4m) EBITDA was influenced by higher personal expenses 11 TOM TAILOR RETAIL WITH MIXED START Sales [€ m] Gross profit [€ m] Margin 55.9% -0.6% 59.2 56.0% Recurring EBITDA [€ m] Margin 1.7% <-100% -0.4% 58.9 33.1 33.0 1.0 Q1'14 Q1'14 -2.1% Q1'15 Comment Sales of TOM TAILOR Retail nearly stable at € 58.9 m, only € 0.3 m below strong PYQ Like-for-Like was -4.6% compared to a strong Q1´2014 Sales in e-commerce were € 10.8 m (PY: € 11.1 m) Q1'14 Q1'15 Comment Gross profit and gross profit margin were on previous years level Q1'15 -1.3 Comment Rec. EBITDA was € 2.3 m below PY reflecting higher personal and rent costs related to expansion 12 BONITA STARTED SUCCESSFULLY INTO 2015 Sales [€ m] Gross profit [€ m] Margin 69.3% +5.8% 68.4 65.6% Recurring EBITDA [€ m] Margin -0.4% >100% +0.2% 72.4 47.4 0.2 47.5 Q1'14 Q1'14 Q1'15 Comment Sales grew by € 4.0 m or 5.8% to € 72.4 m BONITA sales contributed 33.5% to Group sales (PY: 32.8%) BONITA increased Like-for-Like by 7.4% (PY: -8.7%) Q1'14 0.2% Q1'15 Comment Gross profit was on prior years level Gross margin decreased mainly due to higher promotional activities in January Q1'15 -0.3 Comment EBITDA benefited from lower personal costs – Rec. EBITDA rose by € 0.5 m to € 0.2 m – Rep. EBITDA increased by € 1.2 m to € 0.2 m 13 POSITIVE CASH FLOW DEVELOPMENT Comment Cash flow development Q1´13-Q1´15 Operating Cash Flow Net Interest -2.1 Capex Free Cash Flow -1.3 -1,7 Operating cash flow improved by € 3.4 m compared to prior year quarter -4.1 -8.1 -8.3 Capex increased in line with expansion of controlled areas to € 7.4 m -7,4 -10.9 -11.7 -17,1-17,4 -20.9 Q1´13 Q1´14 As a result, free cash flow (defined as operating cash flow-capex-interest payment) was on prior years level Q1´15 14 KEY FINANCIAL FIGURES – BALANCE SHEET SIGNIFICANTLY STRENGTHENED Key figures Q1 ‘14 Q1 ‘15 Equity ratio [%] 28.7 29.6 Net debt [€ m] 237.6 232.0 97.1 88.5 Net working capital, thereof: Inventories Trade receivables Trade payables Net working capital/sales in [%], based on LTM 142.8 164.2 56.7 67.8 (102.3) (143.5) 10.6% 9.4% Comment Equity ratio increased by 90 bpts Net debt further decreased by € 5.6 m or 2.4% Net working capital decreased by € 8.6 m mainly due to increased trade payables Gearing as ratio of net debt to equity improved from 109.6% to 97.7% Refinancing project well on track 15 OUTLOOK 16 MACROECONOMIC ENVIRONMENT IN GERMANY 2014/2015 REMAINS STABLE GDP [%] Ifo-business climate index [points] 107.9 1.6 0.8 106.5 0.7 Q1 -0.1 0.1 Q2 Q3 Q4 106.7 105.5 105.5 104.6 103.4 FY 14e Aug Unemployment rate [%] 5.0 5.0 Aug Sep Oct Dec Feb GfK-consumer climate index [points] 5.0 4.9 Oct Nov 106.8 8.6 4.9 Dec 4.8 4.8 Jan Feb Aug 8.3 8.5 Oct 8.7 9.0 Dec 9.3 9.7 10.0 Feb Source: IfW Kiel, Ifo institutes, GfK 17 OUTLOOK FOR 2015 CONFIRMED 2014 2015 Sales € 932.1 m Moderate increase Rec. EBITDA margin 9.4% On previous years' level Net debt € 202.9 m Decreasing by approx. € 10 m Net debt/rec. EBITDA 2.3 Approx. 2.0 Equity ratio 30.3% Above 30.0% 18 Success through a deep and fundamental understanding of customers 19 DISCLAIMER This document contains forward-looking statements, which are based on the current estimates and assumptions by the management of TOM TAILOR Holding AG. Forward-looking statements are characterized by the use of words such as expect, intend, plan, predict, assume, believe, estimate, anticipate and similar formulations. Such statements are not to be understood as in any way guaranteeing that those expectations will turn out to be accurate. Future performance and the results actually achieved by TOM TAILOR Holding AG and its affiliated companies depend on a number of risks and uncertainties and may therefore differ materially from the forward-looking statements. Many of these factors are outside TOM TAILOR Holding AG’s control and cannot be accurately estimated in advance, such as the future economic environment and the actions of competitors and others involved in the marketplace. TOM TAILOR Holding AG neither plans nor undertakes to update any forward-looking statements. 20 CONTACT DETAILS INVESTOR RELATIONS Date preliminary EVENT May 12, 2015 Interim report Q1´2015 June 3, 2015 Annual General Meeting, Hamburg June 16 & 17, 2015 August 11, 2015 November 10, 2015 Capital Markets Day, Hamburg Half-yearly financial report 2015 Interim report Q3´ 2015 Felix Zander Head of Investor Relations & Corporate Communications TOM TAILOR HOLDING AG Garstedter Weg 14 22453 Hamburg Phone: +49.40.589 56 - 449 Fax: +49.40.589 56 - 199 Mobile: +49.173 746 08 28 Email: [email protected] 21