Kid Asa · OSL:KID

Kid Asa — Q4 2018 Earnings Presentation

13 slides from Kid Asa's earnings presentation, Feb 14, 2019

  1. Slide 1: Kid ASA Q4 2018

    Kid ASA 14 February 2019 Q4 2018 Presentation available at investor.kid.no

  2. Slide 2: Highlights Q4 2018

    Highlights Q4 2018 • Revenues increased by 7.2% (4.5%) compared to Q4 2017 • Gross margin of 60.4% (59.7%) • EBITDA of MNOK 141.3 (MNOK 125.2), representing an EBITDA margin of 26.1% (24.8%) • Adjusted EPS increased to NOK 3.79 (3.12) for the last twelve months • NIBD/EBITDA of 0.7 (1.4) • The Board

  3. Slide 3: Revenues and market share

    Revenues and market share Q4 revenues increased by 7.2% (4.5%) Revenue Market growth (LTM) • Slow revenues in October and early November were offset by growth in late November and 8,3 % 542 December 506 • Like-for-like sales growth of 5.3% (-0.2%) 6,8 % 6,8 % 6,5 % including online sales 5,7 % 5,9 %

  4. Slide 4: Operational focus

    Operational focus Innovation and product development: • Innovation and product development remain key to our success. Assortment and design mix an important growth driver in Q4 • High quality spices and oil introduced as a new product group • 25% growth on Black Friday • Kid raised MNOK 2.0 for the

  5. Slide 5: Gross margin

    Gross margin Gross margin increase of 0.7 pp in Q4 (IFRS9) Gross margins in 2017 and 2018 • Gross margin was 60.4% for the quarter, an increase of 0.7 63,1% pp from Q4 2017 59,9% 58,4% 61,6% 61,5% 60,8% 59,7% 60,4% • Gross margin of 60.9% for 2018, up 0.5pp from 2017. The gross margin was positively

  6. Slide 6: EBITDA

    EBITDA EBITDA margin of 26.1% (24.8%) in Q4 EBITDA 2017 and 2018 • Employee benefits expenses increased by 3.1% in Q4 2018 • 1.4 pp from net new stores 141,3 • 1.3 pp increase due to a combination of general salary inflation 125,2 and decreased staffing level in stores. In-store staffing level is co

  7. Slide 7: Income statement

    Income statement Income statement Amounts in MNOK Q4 2018 Q4 2017 FY 2018 FY 2017 Revenue 542,2 505,5 1 466,7 1 381,7 COGS -214,6 -203,9 -573,2 -547,6 Net profit margin of 18.4% (16.9%) in Q4 Gross profit 327,6 301,7 893,5 834,0 Gross margin (%) 60,4 % 59,7 % 60,9 % 60,4 % • Depreciation unchanged O

  8. Slide 8: Cash flow

    Cash flow Cash flow Amounts in MNOK Q4 2018 Q4 2017 FY 2018 FY 2017 Net cash flow from operations 256,7 191,6 265,2 118,1 Net cash flow from investments -13,4 -8,0 -37,3 -47,1 Net cash flow from financing -102,0 -94,5 -115,8 -233,6 NIBD/EBITDA of 0.7 (1.4) per 31.12.2018 Net change in cash and cash

  9. Slide 9: Financial development

    Financial development KEY FIGURES 2016-2018 KEY FIGURES 2016 - 2018 • Revenue CAGR* of 6.5% 2016 2017 2018 • Gross margin increase of 0.7 pp Revenue Growth 8,9% 6,8% 6,2% • Adjusted* OPEX-to-sales reduced by 0.9pp LFL Growth 5,9% 3,1% 3,1% • EBITDA CAGR of 11.6% Gross Margin 60,2% 60,4% 60,9% • Divi

  10. Slide 10: Market share

    Market share Statistics Norway - Tax returns data 35% 34% 34% 34% 34% 33% 33% 32% 33% 32% 32% 31% 31% 31% 31% 31% 31% 31% 31% 30% 31% 30% 30% 30% 30% 30% 30% 29% 29% 28% 28% 26% 27% 26% 2 4 6 8 10 12 2 4 6 8 10 12 2 4 6 8 10 12 2 4 6 8 10 12 2 4 6 8 10 12 2 4 6 8 2013 2014 2015 2016 2017 2018 10 Kid

  11. Slide 11: Operational initiatives

    Operational initiatives Mid-term objectives unchanged • Large potential in further developing our online store and omni channel approach • CC Vest opened before plan on 8 February 2019 with improved store concept • Level of safety stock in inventory was somewhat low in Q4 resulting in out-of-stock s

  12. Slide 12: Half-year dividend

    Half-year dividend Dividend of NOK 2.0 per share • The Board of Directors has made a decision to pay a half-year dividend of NOK 2.00 per share for 2018 (52.7% of adjusted net income* for last twelve months) • The proposed pay-out details are: • Last day including right: 21th of May 2019 • Ex-date:

  13. Slide 13: Questions

    — QzA Kid INTERIOR

Kid — Q4 2018 Earnings Presentation on 6ix