QVC Group, Inc. · NASDAQ:QVCG
QVC — Qurate Retail — Q3 2022 Earnings Presentation
14 slides from QVC's earnings presentation, Nov 4, 2022
Slide 1: Q3 2022 Earnings Presentation
Q3 2022 Earnings Presentation
Slide 2: Safe Harbor and Non-GAAP Measures
Safe Harbor and Non-GAAP Measures This presentation includes certain forward-looking statements within the businesses which may affect the statements made in this presentation. meaning of the Private Securities Litigation Reform Act of 1995, including statements about business strategies and initiat
Slide 3: Revenue & Adjusted OIBDA: Business Segment Contribution
Revenue & Adjusted OIBDA Business Segment Contribution Q3 2022 5% 12% 7% 33% 20% Revenue Adjusted OIBDA $2.7B $185M (13)% vs 2021 Cornerstone (57)% vs 2021 Zulily 75% 61% QVC International QxH (13)% $1.7B eCommerce Revenue I 62% of Revenue (13)% vs 2021 Note: Percentages within the stacked bars excl
Slide 4: Revenue & Adjusted OIBDA: Prior Year Quarterly Comparative
Revenue & Adjusted OIBDA Prior Year Quarterly Comparative REVENUE 2021 2022 Q1 Q2 Q3 Q4 FY-21 Q1 Q2 Q3 QxH 8% (1)% (8)% (7)% (3)% (13)% (12)% (8)% QVC International 22% 11% (3)% (9)% 4% (13)% (19)% (21)% QVC International A 15% 5% (4)% (5)% 2% (7)% (8)% (5)% Zulily 19% (6)% (17)% (30)% (11)% (38)% (
Slide 5: QxH Category Performance
QxH Category Performance Prior-Year Comparative 2021 2022 Q1 Q2 Q3 Q4 FY-21 Q1 Q2 Q3 Home 14% (3)% (17)% (14)% (7)% (16)% (12)% (9)% Electronics 16% (23)% (13)% (12)% (10)% (27)% (33)% (11)% Apparel (3)% 19% 8% 19% 10% 2% (1)% (2)% Beauty (1)% (10)% (6)% 4% (3)% (9)% (14)% (10)% Accessories 12% 11%
Slide 6: QxH Category Mix
QxH Category Mix Category % of Revenue 2% 2% 3% 5% 5% 4% 11% 12% 12% Other 15% 15% 15% Jewelry Accessories 16% 19% 20% Beauty 10% Apparel 9% 9% Electronics Home 41% 38% 37% Q3-20 Q3-21 Q3-22 Fashion Categories: Apparel, Beauty, Accessories and Jewelry Home Categories: Home and Electronics QURATE RET
Slide 7: QxH Customer Profile
QxH Customer Profile Trailing Twelve Months Ended September 2022 Existing 54% Reactivated Existing 89% 6% Reactivated 23% New 5% Percentage of Percentage of All Customers Shipped Sales New 23% Existing Customers Annual Purchases: 29 Items purchased $1.4K Spend New: Never purchased previously Reactiv
Slide 8: QxH Customer Count
QxH Customer Count Last 12 Months Ended (‘000s) 11,282 11,130 10,716 2,517 2,399 9,263 2,355 2,130 2,840 3,310 3,114 2,106 5,521 5,455 5,617 5,027 Sept. 2019 Sept. 2020 Sept. 2021 Sept. 2022 Existing New Reactivated New: Never purchased previously Reactivated: Purchased in past, but not in last 12 m
Slide 9: QxH Adjusted OIBDA Margin
QxH Adjusted OIBDA Margin Basis Point Change Year Over Year Fiscal 2022 Q3 Trend Driver Q1 Q2 Q3 Prior Year 18.0% 19.7% 17.9% Favorable Returns, Category Mix Gross Margin Product Margin1 140 10 (135) Inventory Reduction, Shipping & Handling Revenue PY Decommission Lancaster, PA and Roanoke, VA FCs G
Slide 10: Qurate Retail, Inc. Free Cash Flow
Qurate Retail, Inc. Free Cash Flow US$ Millions Nine Months Ended September 30 2021 2022 Net Cash Provided (Used) by Operating Activities 715 (37) Plus: Insurance Proceeds Related to Fixed Assets -- 184 Less: Capital Expenditures (169) (171) Less: Expenditures for Television Distribution Rights (184
Slide 11: QxH Sale and Leaseback Transactions Summary
QxH Sale and Leaseback Transactions Summary → Completed sale and leaseback for Ontario, CA fulfillment center on 6/28 • $340 million aggregate consideration • $250 million cash proceeds • $84 million debt forgiveness related to previous lease • $37 million right-of-use asset, offset by $31 million o
Slide 12: QVC, Inc. Headline Financial Covenant Summary
QVC, Inc. Headline Financial Covenant Summary Liberty Interactive, LLC (“LI LLC”) Debt • No material covenants other than liens tests QVC, Inc. Credit Facility • Primary covenant is 4.5x net leverage test (maintenance based) (1) • Inclusive of debt, cash and adjusted EBITDA of QVC, Inc., Corners
Slide 13: Glossary
Glossary Average Daily Reach: Pertains to linear TV broadcasts and is the count of distinct homes that watch at least 20 consecutive seconds within a day. Total Minutes Viewed: Pertains to linear TV broadcasts and is the sum of total daily minutes viewed within a specified time period. Monthly Activ
Slide 14: qu rate
qu rate RETAIL, INC. ave | & | zubily. | BAWARo DESIGNS | FRONTGATE | Garnet Hill | grandintood.