Slide 1: Investor Presentation Q4 and FY2023
INVESTOR PRESENTATION Q4 and FY2023 March 2024 | BinDawood Holding HQ Jeddah, KSA
Slide 2: Disclaimer
DISCLAIMER This presentation has been prepared for information and background purposes only. It has not been independently verified, and no representation or warranty, express or implied, is made as to the fairness, accuracy, completeness or correctness of the information contained herein, and no re
Slide 3: Today's Presenters
TODAY’S PRESENTERS Ahmad AR. BinDawood Muhammad Salim Patka Hassan Javaid Chief Executive Officer Chief Financial Officer Director Finance and Head of Investor Relations INVESTOR PRESENTATION | 2023 and Q4 2023 3
Slide 4: About the Company
ABOUT THE COMPANY BinDawood Holding Co. (the Company) is one of the leading grocery retail operators of hypermarkets and supermarkets in the Kingdom of Saudi Arabia. The Company has a total of 87 stores, of which 55 are Hypermarkets, 25 are Supermarkets and 7 are Express stores. The stores are strat
Slide 5: BDH at a Glance
BDH at a Glance BDH Universe Retail IACo 2 Vast network Unique online 1st mover in Digital Sophisticated of Dark Stores grocery platforms – 2 unique brands Omni-channel transformation loyalty engine & fleet Danube online and network the BinDawood app Multiple store formats overall the KSA Stro
Slide 6: CEO Message
CEO MESSAGE
Slide 7: CEO Message
CEO MESSAGE “We recorded the highest-ever sales and achieved double-digit revenue growth while maintaining our earnings guidance, driven by our agile business model. A number of prudent measures taken in 2022 have borne fruit in 2023, resulting in a healthy turnaround in our revenue and profitabilit
Slide 8: Growth Strategy & Operational Highlights
GROWTH STRATEGY & OPERATIONAL HIGHLIGHTS
Slide 9: Well-Defined Growth Strategy
WELL-DEFINED GROWTH STRATEGY Retail Improving the Achieving full Continuous Customer centric performance potential for store approach - Focusing on of the existing recently expansion providing a unique stores opened stores shopping experience Resizing the existing Stores Rewarding the loyal customer
Slide 10: Operational Highlights of 2023
OPERATIONAL HIGHLIGHTS OF 2023 5,602.9 mn (+14.4%) 1,809.8 mn (+25.9%) Revenue (SAR) & YoY growth % in 2023 Gross Profit (SAR) & “Highest Sales Achieved in BinDawood History” YoY growth % in 2023 275.1 mn (+120.5%) 4.9% (+2.4% YoY) Net Profit(SAR) & Net Profit Margin (%) YoY growth % in 2023 Increas
Slide 11: Geographical Coverage
GEOGRAPHICAL COVERAGE YKONE BINDAWOOD RETAIL STORE DANUBE Saudi Map Bahrain Map World Map 87 55 25 7 TOTAL STORES AT Hyper Super Express THE END OF 2023 markets markets stores IACo ONLINE STORES 19 ONLINE DARK STORES One supermarket Two supermarket converted to converted to Express hypermarket store
Slide 12: Growth in Revenue Performance
Growth in Revenue Performance Growing Faster than historical and anticipated 182.3% Jul-Dec 2022 FY 2023 Ykone significant growth can be attributed to several key factors: • Acquisition of a majority stake in Ykone Asia and Hong Kong in 2023 and further expanded to India in 2024. • Additionally, maj
Slide 13: Growth in Revenue Performance
Growth in Revenue Performance Growing Faster by leveraging AI-driven information and data insights 123.4% IACo Jul-Dec 2022 FY 2023 IACo's significant growth can be attributed to several key factors: • Leveraging its expanding network of dark stores across KSA to enhance customer experience through
Slide 14: Trading Update
TRADING UPDATE
Slide 15: Slide 15
Slide 16: Revenue Bridge: FY2023 vs FY2022 & Q4FY23 vs Q4FY22
REVENUE BRIDGE: FY2023 VS FY2022 & Q4FY23 VS Q4FY22 Revenue for FY 2023 increased by 14.4% vs FY 2022 driven by both BinDawood and Danube stores: BinDawood stores witnessed an increase of 13.2% in Revenue due to enhancing the premium quality of our products and using the knowledge gained from cust
Slide 17: Revenue by Subsidiaries & Online vs Offline
REVENUE BY SUBSIDIARIES & ONLINE vs OFFLINE Revenue by Subsidiaries – FY2023 Online vs Offline- 2023 6% 98.7% 31% 63% 1.3% Bindawood Danube Future Retail for information Technology Company Online Offline Revenue by Subsidiaries: Online vs Offline: • Among the subsidiaries, Danube contributes 63% of
Slide 18: Transactions and Basket Size
TRANSACTIONS AND BASKET SIZE Transactions in million Basket Size in (SAR) 15.0% -7.2% -4.1% -0.9% 56.6 49.2 100.0 19.3% 10.6% 96.4 92.8 92.9 92.0 92.4 28.4 28.2 23.8 25.5 H1 22 H1 23 H2 22 H2 23 FY 22 FY 23 H1 22 H1 23 H2 22 H2 23 FY 22 FY 23 32% 32% • Total transactions demonstrated robust growth i
Slide 19: FY 2023 Trading Update
FY 2023 TRADING UPDATE Gross Profit Margin & Gross Profit (SARm) Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q4FY22 30.2% 32.0% 31.0% 35.8% 27.9% 1809.8 1437.1 1289.5 868.7 416.6 30.2% 31.1% 31.1% 32.3% 29.3% 32.8% 32.6% 31.8% 29.3% 30.2% 30.2% 31.2% Q1 23 H1 23 9M 23 FY 23 FY 22 • Gross profit was SAR 1,809.8 mill
Slide 20: FY 2023 Trading Update
FY 2023 TRADING UPDATE Adjusted CFO/Adjusted EBITDA Net Income (SARm) Rental Relief: Nil in 275.1 2023 208% 145% 128% 95% 123% Adjusted EBITDA 820.7 152.1 592.6 118.0 124.7 573.6 Rental 400.0 Relief: SAR 57.2m 52.2 189.0 15.4% 14.8% 12.3%13.8%12.3% 12.1% 15.9% 12.1% 14% 3.8% 4.2% 3.7% 4.9% 2.5% 15.9
Slide 21: FY 2023 Trading Update
FY 2023 TRADING UPDATE Trade Working Capital (SARm) Trade Working Capital (TWC)1 Trade Working Capital Trade working capital rose by 4% compared to FY'22, primarily driven by: 238 269 285 407 391 1027 911 844 949 Accounts Receivables & Prepayment 877 Higher receivable balances in FY'23, resulting fr
Slide 22: 5 Year Sales Trend
5 YEAR SALES TREND Pantry buying & Partial Full recovery & Pre-Covid Covid Effect Covid effect in H2 recovery Highest ever Sales 5,603 5,156 4,844 4,897 4,554 4,382 32% FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 FY 2023 Source: Company Information FY 2023, FY 2022, FY 2021, FY 2020 & FY 2019 Audited FS
Slide 23: 5 Year Assets & Liabilities Trend
5 YEAR ASSETS & LIABILITIES TREND Net Assets (SARm) Total Assets (SARm) 1,411 1,421 1,459 1,313 4,986 1,186 4,842 4,744 4,770 4,631 FY2019 FY2020 FY2021 FY2022 FY2023 FY2019 FY2020 FY2021 FY2022 FY2023 • From 2019 onwards, owing to implementation of IFRS 16, Right-of-use Assets Total Liabilities (SA
Slide 24: Future Outlook & Growth Drivers
FUTURE OUTLOOK & GROWTH DRIVERS
Slide 25: Future Outlook & Growth Drivers
FUTURE OUTLOOK & GROWTH DRIVERS INVESTMENT IN TECHNOLOGY empowers us to excel and deliver superior outcomes. ORGANIC IMPROVE CUSTOMER MARGIN ROBUST CASHFLOW & GROWTH ORGANIC MARKET SHARE EXPERIENCE GROWTH INORGANIC GROWTH GROWTH • Retail Regional - Retail and IACo • Elevating premium offerings and •
Slide 26: Appendix
Bin agla us DAWOOD HOLDING G.4314JI a Wher. _—"| : oe e Appendix
Slide 27: Financial Performance
FINANCIAL PERFORMANCE Concise Profit & Loss 2022 2023 YoY Core Sales 4,897.0 5,602.9 +14.4% Gross Profit achievements Gross margin % 1,437.1 1,809.8 +25.9% 29.3 32.3 +296Bps Improvement of sales densities SG&A 1,294.7 1,464.3 13.1% across all formats Adjusted EBITDA 592.6 820.7 +38.5% Sustaina
Slide 28: Shareholder Structure
SHAREHOLDER STRUCTURE Free Float, 20.0% Invest Corp. , 5.6% Bindawood Family, 74.4% Bindawood Family Invest Corp. Free Float INVESTOR PRESENTATION | 2023 and Q4 2023 28
Slide 29: Thank You
THANK YOU BinDawood Holding Headquarters, KSA Al-Madinah Al-Munawarah Rd, Al Naeem, Jeddah 21530 P.O. Box 51190 JEDDAH-21543 +966 12 605 3557 INVESTOR ENQUIRIES: Hassan Javaid, (Head of Investor Relations) hassan.javaid@danube.com