Nick Scali Limited · ASX:NCK
Nick Scali — FY2017 Earnings Presentation
12 slides from Nick Scali's earnings presentation, Aug 10, 2017
Slide 1: FY17 Results Presentation
For personal use only Nick Scali Limited | NCK.ASX FY17 Results Presentation 10th August 2017
Slide 2: Key Highlights
Key Highlights For personal use only • Sales increased 14.7% to $232.9m (FY16: $203.0m) Sales • Like for like sales growth of 10% • Increase assisted by full year of sales from 2 stores opened in FY16 and 4 stores opened in FY17 Profit • Margin increased by 170 bps to 62.5% Profit • NPAT increased 4
Slide 3: Sales and NPAT growth
Sales and NPAT growth For personal use only Sales up 14.7% from comp store growth of +10%, with NPAT benefiting from scale Revenue (A$000) NPAT (A$000) 42.4% CAGR CAGR 14.7% 16.3% 32.1% 30.4% 37,236 232,908 53.1% 10.1% 203,045 11.0% 26,150 20.0% 155,743 16.3% 141,442 127,431 17,077 14,236 12,241 FY1
Slide 4: Profit margin and cost of business
Profit margin and cost of business For personal use only Profitability and cost of doing business continue to trend favourably NPAT to Sales CODB to Sales 300,000 48.0% 16.0% 16.0% 46.4% 46.0% 250,000 12.9% 45.3% 232,908 44.0% 44.3% 200,000 11.0% 12.0% 203,045 10.1% 9.6% 42.0% 150,000 155,743 41.3%
Slide 5: Earnings Summary
Earnings Summary For personal use only +10% comp store growth supported by focus on product, price and successful marketing Profit and loss statement Summary Year Ended 30 June ($m) FY17 FY16 Change (%) • Sales up 14.7% from comp store growth of +10.0% Sales Revenue 232.9 203.0 + 14.7% - 2 stores op
Slide 6: Balance Sheet
Balance Sheet For personal use only Significant fixed asset base and efficient inventory management Balance sheet statement Summary As at 30 June ($m) FY17 FY16 • Strong cash position maintained Cash and term deposits 39.9 37.0 • Total inventory of $29.0m Receivables 0.2 0.2 Inventories 29.0 25.8 -
Slide 7: Cash Flow
Cash Flow For personal use only Strong operating cash flow supporting capex (+34.0% yoy) and dividends (+81.8% yoy) Cash flow statement Summary Year Ended 30 June ($m) FY17 FY16 • Operating cash flow increased $10.9m yoy Receipts from customers 256.2 223.4 - Result of sales increase in FY17 Payments
Slide 8: Store network
Store network For personal use only Consistent growth in the store network including commencement of NZ strategy in FY18 Store network Nick Scali Furniture • 4 new Nick Scali Furniture stores in Geelong (VIC), Hobart (TAS), Jandakot (WA) and Preston (VIC) • 46 stores trading at 2017 fiscal year end
Slide 9: Digital Foundation
Digital Foundation For personal use only Coordinating the relationship between the online and offline customer journey for a seamless brand experience These foundations will include these pillars: • An Enhanced Online Experience (Website) • In-showroom Digital Experience (Interactive Screens) • Inte
Slide 10: Outlook
Outlook For personal use only Furniture market directly influenced by consumer confidence, interest rates, unemployment levels and the volume of home renovations and housing sales Same store sales order growth continued in Q4 FY17 at +10% with June being particularly strong Total sales orders in Jul
Slide 11: Thank you
For personal use only Thank you
Slide 12: Important notice and disclaimer
Important notice and disclaimer For personal use only Nick Scali Limited (the “Company”) advises that the information in this presentation contains general background information about the Company’s activities as at the date of the presentation. It is information given in summary form and is based o