Metro Retail Stores Group, Inc. · PSE:MRSGI

Metro Retail Stores — Q2 2022 Earnings Presentation

28 slides from Metro Retail Stores's earnings presentation, Aug 18, 2022

  1. Slide 1: 2Q & 1H 2022 Earnings Call and Analysts' Briefing

    2Q & 1H 2022 Earnings Call and Analysts’ Briefing 18 August 2022

  2. Slide 2: General rules

    General rules 1. Please note that this call is being recorded. Recording of this Earnings Call will be shared upon request. 2. This Earnings Call will run for about an hour with the first part allotted for a presentation and the second part for the Q&A. 3. Participants other than the speakers will b

  3. Slide 3: 1H 2022 Financial and Operational Highlights

    1H 2022 Financial and Operational Highlights Net sales increased by Gross profit grew by EBITDA improved by Net income grew by 26.2% 27.0% 81.8% 220.3% to PhP17.42 billion to PhP3.53 billion to PhP1.00 billion to PhP218.93 million Share to Business vs. pre-pandemic results (in % of 1H 2022 net sales

  4. Slide 4: Results of operations: net sales

    Results of operations Net Sales increased by 26.2%; surpassed pre-pandemic sales level Net sales Share to Business (in PhP billion) (in % of 1H 2022 net sales) 26.2% 17.42 13.80 Hypermarket 29.3% 22% Supermarket 8.91 58% 6.89 Department 2Q 2021 2Q 2022 1H 2021 1H 2022 store 20%  Net sales in second

  5. Slide 5: Results of operations: gross profit and opex

    Results of operations Gross profit margin higher, % Opex lower Gross Profit Operating Expenses (in PhP billion) (in PhP billion) 27.0% 3.53 9.0% 3.16 20.3% 2.90 2.78 21.0% 18.1% 20.1% 35.5% 14.0% 1.91 1.63 1.41 21.4% 1.43 20.5% 20.8% 18.3% 2Q 2021 2Q 2022 1H 2021 1H 2022 2Q 2021 2Q 2022 1H 2021 1H 2

  6. Slide 6: Significant growth in EBITDA and NIAT

    Results of operations Significant growth in EBITDA and NIAT EBITDA Net Income (in PhP million) (in PhP million) 218.93 185.60 81.8% 1,000.76 1.3% 434.6% 2.1% 220.3% 5.7% 95.8% 614.38 550.51 6.9% -0.8% 4.0% 313.77 (55.47) 4.6% -1.3% (181.95) 2Q 2021 2Q 2022 1H 2021 1H 2022 2Q 2021 2Q 2022 1H 2021 1H

  7. Slide 7: 20+% increase in comparable store sales

    Results of operations 20+% increase in comparable store sales Blended comparable sales Blended comparable sales with Super Metro Maasin without Super Metro Maasin (in PhP billion) (in PhP billion) 23.7% 24.7% 16.32 16.05 13.19 12.87 26.0% 26.2% 8.24 8.05 6.54 6.38 2Q 2021 2Q 2022 1H 2021 1H 2022 2Q

  8. Slide 8: Sustained growth in DS and SM

    Results of operations | Comparable store sales Sustained growth in DS and SM Comparable department store sales Comparable supermarket sales (in PhP billion) (in PhP billion) 22.9% 9.22 16.8% 47.7% 7.50 65.7% 4.38 3.25 3.75 1.79 2.20 1.08 2Q 2021 2Q 2022 1H 2021 1H 2022 2Q 2021 2Q 2022 1H 2021 1H 202

  9. Slide 9: Double-digit growth for HM

    Results of operations | Comparable store sales Double-digit growth for HM Comparable hypermarket sales Comparable hypermarket sales with Super Metro Maasin without Super Metro Maasin (in PhP billion) (in PhP billion) 10.3% 12.9% 20.3% 20.5% 3.49 3.85 3.59 3.18 1.72 2.07 1.56 1.88 2Q 2021 2Q 2022 1H

  10. Slide 10: MRSGI existing store network

    MRSGI existing store network 2 new stores and 1 closed store in April 2022 Geographical composition of store network (as of August 18, 2022) NCR 10 62 Visayas stores Luzon 40 12 Supermarket Department Store Hypermarket NCR 7 NCR 3 NCR - Luzon 4 Luzon 4 Luzon 4 Visayas 23 Visayas 8 Visayas 9 Total 34

  11. Slide 11: New store in Cebu: Metro Paseo

    MRSGI network expansion | New store in Cebu Metro Paseo (Supermarket in Cebu) | Opened in April 2022

  12. Slide 12: New store in Leyte: Metro Hilongos

    MRSGI network expansion | New store in Leyte Metro Hilongos (Supermarket in Leyte) | Opened in April 2022

  13. Slide 13: Pipeline stores

    MRSGI network expansion Pipeline stores Metro Catbalogan Metro Alang-alang Supermarket and Department Store in Samar Supermarket in Leyte Target to open in 2023 Target to open in 2023

  14. Slide 14: E-commerce

    E-commerce MRSGI continues to adapt to more digitally enabled retail space Strategic Partnership MRSGI continues to push forward its e-commerce and mobile commerce offerings • E-commerce sales increased by about 20% in first half of 2022 compared to the same period last year. • The Company added mor

  15. Slide 15: Awards and recognitions

    Awards and recognitions Metro Supermarket Ayala Center Cebu Metro Market! Market! Supermarket Best Grocery Selection Recertified for Good Manufacturing Practices (GMP) and Awarded by SunStar’s Best of Cebu Hazard Analysis and Critical Control Points (HACCP)

  16. Slide 16: Key financial indicators

    Key financial indicators Currency: PhP million 2018 2019 2020 2021 1H 2022 Financial highlights Net sales 33,050 36,790 31,286 31,211 17,416 EBITDA 1,781 2,785 1,273 1,220 1,001 Net income 965 776 (450) (318) 219 Financial soundness indicator Current Ratio 2.01 1.48 1.45 1.71 2.62 Debt to Equity Rat

  17. Slide 17: Plans and Prospects

    Plans and Prospects 2Q & 1H 2022 Earnings Call and Analysts’ Briefing 18 August 2022

  18. Slide 18: Plans and Prospects

    Plans and Prospects Continue to pursue new formats, channels and expansion opportunities Continue to strengthen and expand our e-commerce program Keep striving to deliver the best customer experience Implement operational efficiency and sales productivity initiatives Re-organize MRSGI for agility an

  19. Slide 19: Q&A

    Q&A 2Q & 1H 2022 Earnings Call and Analysts’ Briefing 18 August 2022

  20. Slide 20: Thank you!

    Thank you! Visit us at: www.metroretail.com.ph shopmetro.ph Like/Follow us on: facebook.com/TheMetroStores @TheMetroStores @themetrostores.ph Connect with us on: linkedin.com/company/metro-retail-stores-group/

  21. Slide 21: Annex: Financial Statements

    Annex: Financial Statements 2Q & 1H 2022 Earnings Call and Analysts’ Briefing 18 August 2022

  22. Slide 22: Statement of Comprehensive Income

    Statement of Comprehensive Income

  23. Slide 23: Statement of Comprehensive Income

    Statement of Comprehensive Income

  24. Slide 24: Statement of Financial Position

    Statement of Financial Position

  25. Slide 25: Statement of Financial Position

    Statement of Financial Position

  26. Slide 26: Statement of Cash Flows

    Statement of Cash Flows METRO RETAIL STORES GROUP, INC. UNAUDITED INTERIM STATEMENTS OF CASH FLOWS For the Six-month Periods Ended June 30 2022 2021 CASH FLOWS FROM OPERATING ACTIVITIES Incame (loss) before income tax 290,933,700 (P240,948,843) Adjustments for: Depreciation and amortization - PPE (N

  27. Slide 27: Statement of Cash Flows

    Statement of Cash Flows CASH FLOWS FROM INVESTING ACTIVITIES Acquisition of property and equipment (Note 8) 77,647,221) (424,143,119) Increase in short-term investm ents (1,812,388,085) (12,726,292) Decrease in other noncurrent assets 62,786,161 32,184,016 Net cash used in investing activities (2,12

  28. Slide 28: Disclaimer

    Disclaimer The materials and figures in this presentation and other documents are for informational purposes only and are not, in any way, a form of solicitation for the purchase or sale of any securities or financial instruments or to provide any investment service or investment advice. Information

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