Kjell Group Ab · OMXSTO:KJELL
Kjell Group Ab — Q1 2024 Earnings Presentation
14 slides from Kjell Group Ab's earnings presentation, Apr 25, 2024
Slide 1: Kjell Group Q1 Report 2024
Kjell Group Q1 Report 2024 Andreas Rylander (CEO), Anders Hofvander (fmr Interim CFO) 2024-04-25
Slide 2: Disclaimer
Disclaimer The presentation contains forward-looking statements. All statements other than statements of historical fact included in the Information are forward-looking statements. Forward-looking statements give the Company’s current expectations and projections relating to its financial condition,
Slide 3: Agenda
Agenda Business update Financial development CEO reflections Summary 64742 Q&A Levitating Lamp
Slide 4: First quarter 2024
First quarter 2024 Net sales increased 2.3% to MSEK 591.4 (578.2) Gross profit declined 1.5% to MSEK 247.6 (251.5) Gross margin at 41.9% (43.5) 65210 4-Port USB-C Hub Adjusted EBITA totalled MSEK -5.6 (11.1) Net loss for the quarter amounted to MSEK -21.7 (-7.5)
Slide 5: Continued growth in Sweden and strong cash flow
Continued growth in Sweden and strong cash flow Increased net sales for the company mainly driven by our main market Sweden, despite an early Easter holiday. 64410 Danish online player AV-Cables experienced Nothing Ear temporary lower traffic and conversion due to global players entering the market.
Slide 6: Adapting to a changing customer climate
Adapting to a changing customer climate Several assortment updates will be made within our own brands to improve customer relevance and pricing capability. Multiple efficiency initiatives ongoing within purchasing, logistics, warehouse and Service Point areas. Restructuring of central functions has
Slide 7: Financial development
Financial development 61409 USB 3.0 Hub
Slide 8: Sales development
Net Sales by segment, Q1 Sales development Denmark 14% Norway 14% Net Sales, MSEK Net Sales rolling 12m, MSEK Net sales LfL Growth % 800 Sweden 762 72% 2 571 2 559 2 559 2 573 700 2 526 651 591 600 578 569 Omnichannel sales Q1 500 3% 2% 0% 2% 400 -8% -9% 29% 300 200 60% 9% 100 - Q1 23 Q2 23 Q3 23 Q4
Slide 9: Adjusted EBITA
Adjusted EBITA • Adjusted EBITA at MSEK -5,6 (11,1) Adjusted EBITA, MSEK 50,0 40,0% • Weaker gross margin in all segments due to brand 42,9 campaigns. Negative exchange rate development 40,0 30,0% in Sweden and Norway 30,0 20,0% 28,4 • Considerable cost inflation, increased employers’ social securit
Slide 10: Segment development
Segment development • Sales growth in Sweden, but lower gross margin and cost inflation impacts Adj EBITA margins • Sales growth in Norway. Gross margins adversely impacted by weaker NOK and by campaigns. Adj EBITA margins further impacted by cost inflation • Weak market in Denmark impacting lower s
Slide 11: Strong cash flow and reduced net debt YoY
Strong cash flow and reduced net debt YoY • Continued improvement of Core Working Capital utilization through systematical improvement initiatives • Core Working Capital improvements contribute to YoY improvement in Cash flow from operating activities, amounting to MSEK -5 (-20) • Financial Net Debt
Slide 12: CEO reflections
CEO reflections Consumers’ demand for a relevant assortment is greater than ever, and we are using our flexibility to revamp our offering with greater speed. Newly introduced categories have created great traction, which proves we are on the right track. In the first quarter, we have made efficiency
Slide 13: Summary
Summary 65290 Main market Sweden driving sales growth Laptop Stand despite negative calendar effects is a sign of strength. Efficiency initiatives, including a restructuring of central functions, that will contribute to reaching our long-term financial targets are underway. Promising market opportun
Slide 14: Kjell & Company
Kjell& Company