Leejam Sports Co. · TADAWUL:1830
Leejam Sports — Q1 2024 Earnings Presentation
22 slides from Leejam Sports's earnings presentation, May 1, 2024
Slide 1: Earnings Presentation Q1 2024
Earnings Presentation Q1 2024
Slide 2: Disclaimer
DISCLAIMER All information included in this document is for general use only and has not been independently verified, nor does it constitute or form part of any invitation or inducement to engage in any investment activity, nor does it constitute an offer or invitation or recommendation to buy or su
Slide 3: Executive Summary
Executive Summary
Slide 4: Executive summary
Executive summary Led by its Core, Leejam continued to achieve record revenue, profit & membership numbers at double digits SAR 344 M xxx 595.5 SAR 139 M SAR 99 M 458.9 SAR 168686.3 M xxx 1,325 xxx xxx Revenue 2023YE Gross Q4 profit2023YE Operating Profit7 EBITDA 6 Q4 Q4 2023YE Q4 2023YE EBITDA SAR
Slide 5: During Q1 2024, Leejam grew its network, with a focus on members engagement
Executive summary During Q1 2024, Leejam grew its network, with a focus on members engagement 8 7 22% 26% Additional Centers & Refurbished centers YOY Ave. Monthly YOY Increase on Total Studios During Q1 2024 Member Growth Visits 57% 19% 30% 8% YOY Increase YOY Increase YOY Increase YOY Member Per C
Slide 6: Leejam operates in an underpenetrated market, with great growth potential
Executive summary Leejam operates in an underpenetrated market, with great growth potential 399 K 296 K 103 K + 81K Members Male Scheduled Classes Female +15K PT sessions +617K GX Attendance 56 Total Refurbished Center 8.6M Total Visits KSA 195 UAE 183 12 Centers & Studios Centers & Studios Leejam c
Slide 7: Network Expansion & Members Trend
Network Expansion & Members Trend
Slide 8: Memberships continue its growth with record Q1 numbers
Network Expansion & Members Trend Memberships continue its growth with record Q1 numbers … QoQ seasonality successfully narrowed. Member Count Leejam’s Centers Movement • Membership numbers grew significantly in Q1 2024 driven by record sales Concept Studio & Academies Fitness Time and higher retent
Slide 9: Q1 2024 Financial results
Q1 2024 Financial results
Slide 10: With record revenue in Q1, Leejam continued to sustain its lucrative margins
Q1 2024 Financial results With record revenue in Q1, Leejam continued to sustain its lucrative margins, and 5 consecutive quarters of growth Revenue • Revenue grew by double-digits, driven by growth from the membership and subscription Revenue Gross Profit Gross Profit Margin revenue, led by the inc
Slide 11: Expanding growth of members significantly boosting Fitness Time revenue & net income per center
Q1 2024 Financial results Expanding growth of members significantly boosting Fitness Time revenue & net income per center Revenue per center 12% growth in Fitness Time Revenue per center vs. Q1 2023 mainly due to higher number of members, We expect revenue per center to decrease as Xpress Centers ge
Slide 12: CoR increased as investment in quality of services and refurbishment program continues
Q1 2024 Financial results CoR increased as investment in quality of services and COR COR Per Center refurbishment program continues COR & COR/Center 204 • An increase of 21% in overall cost of revenue compared to Q1 2023 due to an additional centers. 168 • An increase of 10% in CoR/Center is due to
Slide 13: Strong financial position, solid returns, and acceptable leverage level
Q1 2024 Financial results Strong financial position, solid returns, and acceptable leverage level Deferred revenue 4% 400 385 • The increase in deferred revenue of 4% came as result of the company focus efforts and the consistent growth in membership numbers observed across all segments. • The incre
Slide 14: Strong cash generation with accelerated investment on expansion
Q1 2024 Financial results Strong cash generation with accelerated investment on expansion Cash Flows Q1 2024 Free Cash Flow = (24) Cash Flows Q1 2023 Free Cash Flow = 69 Solid Operating Cash Flows: Free Cash Flows: Demonstrating a strong operational performance with a cash inflow of 145 Despite the
Slide 15: Segment performance
Segment performance
Slide 16: For Fitness Time, Female segment showed strong growth both in revenue and member/center
Segment performance For Fitness Time, Female segment showed strong growth both in revenue and member/center while male segment still the dominate segment Male Segment • Male segments continue to be the dominant segment and ending of Q1 2024 with 19% revenue growth and 6% growth of Revenue per Center
Slide 17: Outlook
Outlook
Slide 18: Tentative Guidance and Projects Pipeline as of Q1 2024
Outlook Tentative Guidance 2024 growth will be driven by: • Further growing LFL and & Non LFL Centers • Improving customer experience, member retention & services • Further openings of Xpress & Big Box centers Projects Pipeline as of Q1 2024 • Continuing focus/growth on Corporate wellness & PT busin
Slide 19: Q&A
Q&A For enquires, please contact the Investor Relations Department at: investor.relations@leejam.com.sa
Slide 20: Appendix
Appendix
Slide 21: Income statement Q1 2023 vs Q1 2024
Appendix SAR M Q1 2023 Q1 2024 Change Change % Revenue 277 344 67 24% Cost of revenue (168) (204) (36) 21% GROSS PROFIT 109 139 31 28% General and administrative expenses (28) (31) (4) 13% Advertising and marketing expenses (3) (9) (6) 180% (Allowance for)/ reversal of expected credit losses - (1) (
Slide 22: Thank You
——_— aL / Lee Thank You