H&m Hennes & Mauritz Ab Class B · OMXSTO:HM_B
H&m Hennes & Mauritz Ab Class B — H1 2018 Earnings Presentation
9 slides from H&m Hennes & Mauritz Ab Class B's earnings presentation, Jun 28, 2018
Slide 1: Press Conference 28 June 2018 – Six-Month Report 2018
H & M Hennes & Mauritz AB PRESS CONFERENCE 28 JUNE 2018 SIX-MONTH REPORT 2018 • KARL-JOHAN PERSSON CEO • NILS VINGE INVESTOR RELATIONS 1
Slide 2: Second Quarter 2018 in Brief
SECOND QUARTER 2018 IN BRIEF • Rapidly changing industry • H&M group continues fast-paced transformation work – to become more customer driven, efficient and flexible • Transitions to new logistics systems – caused temporary interruptions in important markets • Positive signals from ongoing improvem
Slide 3: Gross Profit and Gross Margin; Selling and Administrative Expenses
GROSS PROFIT AND GROSS MARGIN Gross profit SEK m 60,000 54.7% 53.2% 50,000 53,811 52,204 40,000 57.1% 56.1% 30,000 2017 29,345 29,164 20,000 2018 10,000 0 Q2 Six months SELLING AND ADMINISTRATIVE EXPENSES SEK m 50,000 + 5% 40,000 44,989 43,002 30,000 + 7% 2017 20,000 23,157 2018 21,695 10,000 0 Q2 S
Slide 4: Profit After Financial Items; Sales and Profits
PROFIT AFTER FINANCIAL ITEMS SEK m 12,000 - 33% 10,000 10,920 - 22% 8,000 7,708 7,275 6,000 2017 6,012 2018 4,000 2,000 0 Q2 Six months SALES AND PROFITS SECOND QUARTER SEK m 2018 2017 Net sales 51,984 51,383 Gross profit 29,164 29,345 gross margin, % 56.1 57.1 Operating profit 6,007 7,650 operating
Slide 5: Key Data; Stock-in-Trade
KEY DATA SEK m 31 May 2018 31 May 2017 Stock-in-trade 36,333 32,148 Cash flow from current operations 9,133 10,942 Investments 5,703 5,528 Cash and cash equivalents and short- 11,107 10,655 term investments Return on shareholders' equity, % * 26.5 37.7 * rolling twelve months STOCK-IN-TRADE SEK m 40
Slide 6: Priority Action Areas
PRIORITY ACTION AREAS • Restlessly develop our brands – focusing on H&M • Accelerate our key enablers • New growth • Good cost control and efficiencies RESTLESSLY DEVELOP OUR BRANDS – FOCUSING ON H&M • Improving the assortment • Ongoing tests of new store concepts for H&M • Convenient and inspiring
Slide 7: Accelerate Our Key Enablers; New Growth
ACCELERATE OUR KEY ENABLERS • Investments in supply chain, tech, advanced analytics and AI • Promising indications from tests in several areas – personalisation – quantification and allocation – price management – trend forecasting NEW GROWTH • Develop and optimise the H&M group store portfolio – 24
Slide 8: Afound
AFOUND • Afound – new marketplace for off price • Carefully selected, broad and varied range of products at bargain prices – hundreds of well-known fashion and life-style brands – external as well as H&M group brands • Very successful launch in Sweden in June 2018 – afound.com – stores in Stockholm
Slide 9: H & M Hennes & Mauritz AB
aM H & MHennes & Mauritz AB WEEKDAY (2:69 MONK #MHOME Rotor ens ~=ARKET AFOUND
H & M Hennes & Mauritz — H1 2018 Earnings Presentation on 6ix