Adairs Ltd. · ASX:ADH
Adairs — Morgans Queensland Conference October 2018
8 slides from Adairs's conference presentation, Oct 12, 2018
Slide 1: Adairs Morgans Queensland Conference October 18
Adairs Morgans Queensland Conference October 18 MARK RONAN CHIEF EXECUTIVE OFFICER
Slide 2: Adairs – Delivering Ongoing Like for Like Sales
A recap: Our strategy Adairs – Delivering Ongoing Like for Like Sales Key focus is delivering ongoing sales growth through the store network and online. Business has a target for FY19 of like for like sales growth of between 5% - 8%. Most common question asked of management is how do we expect to de
Slide 3: Enhanced Product Range
Enhanced Product Range Adairs has expanded its product range materially over the last 5 years, and this remains a core strategy ► Long term strategy is to furnish more of our customers’ living, entertaining and functional spaces Adairs Product Mix% ► We have successfully expanded into complimentary
Slide 4: More inspiring larger stores
Our Store Portfolio More inspiring larger stores ► Larger store formats enhance the shopping experience and supports the strategy of furnishing more of our customers Sales Contribution by Store Format living spaces (ex Online) ► Store roll out, and selectively upsizing shopping centre and 49% 48% 46
Slide 5: Higher returns from upsizing
Passionate High Performing Teams Higher returns from upsizing Upsizing existing stores provides the customer with more options via the expanded product range, a more enjoyable shopping experience and it enhances our returns. Two very good examples from last year: Regular store increased from 150m to
Slide 6: Omni Channel – evolving our capabilities to drive growth
AOmni recap: Our strategy Channel – evolving our capabilities to drive growth Given the size of online and its strong contribution margin this Online Sales and % Mix is a material contributor to our underlying like for like sales 15% 13% 45 16% result and earnings growth. 40 14% Online is now suffic
Slide 7: 2019 Financial Outlook
FY18 Outlook 2019 Financial Outlook Year End Stores 171 - 173 Sales ($m) 345 - 360 Gross Margin% 59% - 61% EBIT ($m) 47.5 – 51.5 Capital Investment ($m) 8 – 10 ► Our first 13 weeks of trade has delivered like for like sales growth of +5.2% across stores and online ► Started the season with lower sto
Slide 8: Disclaimer
Strong Omni Channel Execution Disclaimer Some of the information contained in this presentation contains “forward-looking statements” which may not directly or exclusively relate to historical facts. These forward-looking statements reflect Adairs Limited current intentions, plans, expectations, ass