Slide 1: Audited results for the year ended 30 September 2022
RAMSDENS HOLDINGS PLC Audited results for the year ended 30 September 2022
Slide 2: Disclaimer
Disclaimer This document, which comprises a presentation of the results for the year ended 30 September 2022 (the "Presentation"), has been prepared by, and is the sole responsibility of, Ramsdens Holdings PLC (the "Company"). This Presentation has not been approved by an authorised person in accord
Slide 3: Ramsdens overview
Ramsdens overview The Group is a growing diversified financial services provider and retailer Business segments Foreign Currency Exchange (FX) Pawnbroking Purchases of Precious Metals Jewellery Retail Other Services (including Western Union and cheque cashing) NB. The Group does not offer unsecured
Slide 4: Excellent recovery post pandemic
Excellent recovery post pandemic Strong trading performance in FY22 Current trading • Annual profit before tax of £8.3m (FY21: £0.6m) • Q1 jewellery retail gross profit increased YOY by over evidencing strength of diversified income streams 15% primarily as a result of strong premium watch sales bot
Slide 5: Financial Review
FINANCIAL REVIEW Note ▪ 12M20 (12 months ended 31 March 2020) – trading substantially took place prior to the onset of Covid-19 retained for comparison purposes ▪ FY21 (year ended 30 September 2021) – featured trading with reduced international travel and periods of retail lockdowns ▪ FY22 (year end
Slide 6: Summary profit & loss
Summary profit & loss Key highlights Consolidated profit & loss ▪ Revenue increased by 63% to £66.1m (FY21: £40.7m) with growth recorded in each of the four key income streams £000s FY22 FY21 change % 12M20 ▪ Gross profit increased to £38.2m (FY21: £22.3m), primarily due to an increase in foreign cu
Slide 7: Business segments
Business segments Revenue Gross profit Key highlights £000s FY22 FY21 12M20 FY22 FY21 12M20 • October 2021 volumes c.30% of pre-pandemic levels, increasing to c.70% Foreign Currency through the key summer period 13,066 3,408 13,115 12,683 3,257 13,115 Exchange • Widened margins maintained throughout
Slide 8: Cash flow statement
Cash flow statement Key highlights Cash flow statement ▪ Net cash inflow from operating activities £2.9m (FY21: £1.1m) £000s FY22 FY21 12M20 ▪ Working capital cash outflows in FY22 include significant investment in stock of £7.2m and the growth of the trade and EBITDA 12,514 4,646 13,122 other recei
Slide 9: Financial position
Financial position Key highlights Balance sheet As at 30 As at 30 As at 31 ▪ Strong balance sheet with net assets of £41.8m (30 £000s September 2022 September 2021 March 2020 September 2021 £36.1m), including gross cash of Non-current assets £15.3m (30 September 2021 £13.0m) Property, plant and equi
Slide 10: Operational Review and Outlook
OPERATIONAL REVIEW AND OUTLOOK
Slide 11: Clear growth strategy
Clear growth strategy Drive growth from core estate Expand store estate Grow online presence Capitalise on consolidation opportunities Focus on sustainability through our ESG policies 11
Slide 12: Strategy 1. Drive growth from core estate
Strategy 1. Drive growth from core estate Foreign currency Relocations and refurbishments ▪ Maintain competitive exchange rates and manage margins closely ▪ Relocate four more stores in 2023 to higher footfall locations to to attract new, and retain existing, customers improve convenience, attract n
Slide 13: Strategy 2. Expand store estate
Strategy 2. Expand store estate Retail store estate Key highlights ▪ The Group has a successful branch-based model and with diversified income streams, stores generate a good return on capital while leveraging off the head office cost base. We have successful stores in both small towns and large cit
Slide 14: Strategy 3. Grow online presence
Strategy 3. Grow online presence Retail Jewellery - www.ramsdensjewellery.co.uk / Foreign currency and financial services - www.ramsdensforcash.co.uk Jewellery retail website ▪ Strong growth continued with online revenue increasing 38% to £3.9m (FY21: Online retail revenue (£'000) £2.8m) 4,500 4,000
Slide 15: Strategy 4. Capitalise on consolidation opportunities
Strategy 4. Capitalise on consolidation opportunities Overview ▪ The high street retail landscape has been challenging for a number of years and following on from the impact of the pandemic, retailers are facing increased energy and staff costs at a time when consumer income is being squeezed. This
Slide 16: Strategy 5. Focus on sustainability through our ESG policies
Strategy 5. Focus on sustainability through our ESG policies Overview Social ▪ We remain: ▪ Transparent straightforward pawnbroking loans which are easily understood by customers ▪ conscious of the impact on the environment that our activities have and wish to reduce our energy use and recycle where
Slide 17: Summary and outlook
• Emerged from the Covid-19 pandemic well with a strong performance in the year, generating profit before tax of £8.3m • Performance underpinned by the Group’s diversified model and value-for money proposition, which should provide defensive qualities against macroeconomic challenges that lie ahead
Slide 18: Appendices
APPENDICES Key segment information Branch estate lease portfolio The Ramsdens Board
Slide 19: Foreign Currency Exchange (FX)
Foreign Currency Exchange (FX) ▪ Early FY22 was impacted by the Omicron variant of coronavirus before the end of the red and green “traffic light” destination lists in early 2022. This, combined with a reduced Segment overview number of international flights in peak holiday months, meant that the Gr
Slide 20: Pawnbroking
Pawnbroking Segment overview ▪ As expected as Covid-19 restrictions eased, consumers started to spend more, which resulted in an increase in some customers’ short-term requirements for financial assistance. This occurred across both mainstream consumer credit and the consumer Ramsdens offers loans s
Slide 21: Jewellery Retail
Jewellery Retail ▪ Jewellery retail revenue in FY22 was £22.1m, up 48% from FY21 (£18.3m) and represents a record high performance. The jewellery retail segment continues to perform Segment overview well following investments in stock levels, stock presentation, replenishment systems, staff training
Slide 22: Purchase of Precious Metals
Purchase of Precious Metals Segment overview ▪ Total gross profit in FY22 from purchase of 2,200 22.00 2,000 20.00 precious metals was £6.6m, compared to Ramsdens purchases unwanted jewellery 1,800 18.00 £4.2m in FY21 1,600 16.00 items and scrap precious metal from 1,400 14.00 customers. ▪ During th
Slide 23: Branch estate lease portfolio
Branch estate lease portfolio Lease expiry/break position at September 2022 ▪ 150 leased stores as at September 2022 (nb two franchisees and two owned freehold stores) 60 57 ▪ Average lease term remaining (to end of lease or break if earlier) is 20 50 months (as at March 2022 – 20 months) 40 36 36 ▪
Slide 24: The Ramsdens Board
The Ramsdens Board Peter Edward Kenyon, Chief Executive Officer Peter joined Ramsdens in November 2001 as Operations Director and was appointed Chief Executive Officer in January 2008. Peter led the MBO in 2014 and has been responsible for over 30 acquisitions for the Group. He is responsible for ov
Slide 25: The Ramsdens Board
The Ramsdens Board Andrew David Meehan, Non-Executive Chairman Andy is a highly experienced retail executive with over 30 years’ experience including CEO and CFO in roles at the Co-Operative Retail Services, Storehouse plc and Sears plc. Since 2006, he has held a number of chairmanships and Non-Exec
Slide 26: The Ramsdens Board
The Ramsdens Board Stephen John Smith, Non-Executive Director (stepping down from the board on 1 February 2023) Steve joined the board on 1 January 2017. Steve retired as CEO of Northgate plc in 2010 after a career with Northgate spanning over 20 years. Since leaving Northgate, Steve has served as a