Adore Beauty Group Ltd. · ASX:ABY
Adore Beauty — Shareholder Meeting (November 2024)
28 slides from Adore Beauty's shareholder meeting presentation, Nov 22, 2024
Slide 1: 2024 Annual General Meeting – Presentation and Addresses
Adore Beauty Group Limited ABN 78 636 138 988 ASX ANNOUNCEMENT 22 November 2024 2024 Annual General Meeting – Presentation and Addresses Adore Beauty Group Limited (ASX: ABY) (Adore Beauty) attaches a copy of the presentation and addresses to be made at today’s Adore Beauty Annual General Meeting. -
Slide 2: Forward-looking statements
The forward-looking statements made in this release relate only to events as of the date on which the statements are made. Adore Beauty has no obligation to release publicly any revisions or updates to these forward-looking statements to reflect events, circumstances or unanticipated events occurrin
Slide 3: Chair's Address
ADOREBEAUTY Chair’s Address
Slide 4: CEO Report
ADOREBEAUTY —— GROUP —— CEO Report
Slide 5: Adore Beauty FY24 result delivered strong foundations priming the Group for growth
Adore Beauty FY24 result delivered strong foundations priming the Group for growth FY24 FINANCIAL SUMMARY $195.7M 33.4% $4.8M Revenue1 Gross profit margin Reported EBITDA2 +7.4% on prior +0.8 ppts on PCP +661% on PCP corresponding period EBITDA margin 2.5% (PCP) 814K 519K $32.9M Active customers3 Re
Slide 6: Strong customer metrics building our foundations
Strong customer metrics building our foundations FY24 OPERATIONAL HIGHLIGHTS Customer centricity 64.7% 28.4% $235 Strong customer retention1 App revenue contribution2 Annual revenue per +8.5 ppts on PCP +4.6 ppts on PCP active customer +4.4% on PCP Further building the brand 71% 300+ 61 Uplift in br
Slide 7: Loyal returning customers demonstrating strength of our brand proposition
Loyal returning customers demonstrating strength of our brand proposition FY24 REVENUE INSIGHTS Revenue1 Returning customer revenue ($A Million) ($A Million) 9% 7% 200 196 179 182 59 41 43 68 151 140 138 111 140 151 138 111 FY21 FY22 FY23 FY24 FY21 FY22 FY23 FY24 Returning customers 2 3 New customer
Slide 8: Strategic initiatives drive revenue and margin growth
Strategic initiatives drive revenue and margin growth COST MANAGEMENT & OPERATIONAL EFFICIENCIES IMPROVE PROFITABILITY Revenue1 Gross profit margin EBITDA ($A Million) (%) ($A Million) 7% 0.8 PPTS 661% 200.0 7.6 196.0 33.3 33.4 4.8 33.1 5.3 32.6 182.0 179.0 0.6 FY21 FY22 FY23 FY24 FY21 FY22 FY23 FY2
Slide 9: Strategy Refresh 3 Year Plan
Strategy Refresh 3 Year Plan 9
Slide 10: Adore Beauty Group – An omni-channel beauty authority
Adore Beauty Group – An omni-channel beauty authority ADDRESSING EVOLVING RETAIL LANDSCAPE AND EMERGING OPPORTUNITIES WITH A CLEAR SUSTAINABLE LONG TERM OPERATING MODEL Setting the scene – changing operating landscape Beauty industry continues to experience strong annual growth with 5-year CAGR of
Slide 11: Growth Acceleration: clear strategic refresh to deliver long-term value creation
Growth Acceleration: clear strategic refresh to deliver long-term value creation LEVERAGING THE ADORE BEAUTY TECHNOLOGY PLATFORM AND STRONG FOUNDATIONS TO UNLOCK VALUE ACROSS MULTIPLE STRATEGIC GROWTH INITIATIVES OUR VISION “Our vision is to help women feel more confident every day by delivering an
Slide 12: Accelerated growth initiatives driving an upwards step-change in performance
Accelerated growth initiatives driving an upwards step-change in performance VALUE CREATION DRIVERS High growth revenue opportunity Material accretive value creation leveraging existing infrastructure and brand strengths RETAIL STORES Grow brand advocacy, awareness and new customer acquisition
Slide 13: Unlocking the potential with "Stores to Adore"
Unlocking the potential with “Stores to Adore” A NATIONAL RETAIL STORE FOOTPRINT FOR ADORE AND iKOU SETS THE GROUP UP FOR LONG TERM SUCCESS RETAIL NETWORK PLAN Large addressable market: untapped ~87.5% of the $13.9bn Australian beauty and personal care industry1 Higher proportion of omni-channel
Slide 14: Unlocking the potential with "Stores to Adore"
Unlocking the potential with “Stores to Adore” Strategy Refresh: 3 Year Plan 14
Slide 15: Unlocking the potential with "Stores to Adore" – iKOU
Unlocking the potential with “Stores to Adore” – iKOU Globally recognized and awarded by the Retail Design Institute iKOU’s QVB store was named the 2017 Store of the Year at the Institute's 47th awards held in New York. Strategy Refresh: 3 Year Plan 15
Slide 16: 25+ stores opening across Australia by 2027
25+ stores opening across Australia by 2027 ADORE BEAUTY STORES TO BE LOCATED IN AUSTRALIA’S ‘TOP 40 BIG GUN’ CENTRES; iKOU STORES TARGETING PREMIUM ‘LIFESTYLE’ DESTINATIONS National footprint of 25+ stores over three years Targeting 4+ store openings in CY25 Targeting 6-10+ stores in CY26 & CY2
Slide 17: In Summary
IN SUMMARY The Adore Group is poised for material growth. This strategic plan delivers the clear vision and direction to achieve long-term value creation A national retail store footprint (25+ stores) for Adore Beauty Group across our Adore and iKOU brands delivers against our strategic challenges a
Slide 18: Adore Beauty Group 3-Year Targets
ADORE BEAUTY GROUP 3 YEAR TARGETS 1 VISION: Our vision is to help women feel more confident every day by delivering an empowering and engaging beauty shopping experience personalised to their needs Total Group Revenue > $260M / +30%2 Gross margin expansion >200bpts CODB contraction/efficiencies >(15
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Slide 20: Disclaimer
Disclaimer This presentation has been prepared by Adore Beauty Group Limited ACN 636 138 988 (Company). This An investor must not act on the basis of any matter contained in this presentation but must make its presentation contains summary information about the Company and its subsidiaries (Group) a
Slide 21: Australia's Online Beauty Store
AUSTRALIA’S ONLINE BEAUTY STORE WWW.ADOREBEAUTY.COM.AU 29
Slide 22: AGM 2024 Script – Chair address
AGM 2024 SCRIPT Friday, 22 November 2024 Chair address In FY24, Adore Beauty delivered continued growth, improved quality of earnings and strong customer metrics, further solidifying its position as Australia’s leading beauty authority. I am pleased to say we have maintained Adore Beauty on a growth
Slide 23: Chair address: new CEO and thanks to the team
We are also delighted to have welcomed our new CEO, Sacha Laing, who joined us in September. Sacha brings over 25 years of experience in retail, having held leadership roles such as Group CEO of Alquemie Group, CEO of General Pants Co, and CEO of Colette by Colette Hayman. His expertise will be inva
Slide 24: CEO Address
CEO Address Good afternoon, everyone. I’m Sacha Laing, and it is my honour to present to you as the new CEO of Adore Beauty Group. I joined the company with a clear vision to launch Adore Beauty into its next chapter of growth. Leveraging the Adore Beauty technology platform, strong brand and existi
Slide 25: Strategic initiatives drive solid revenue and margin growth
Strategic initiatives drive solid revenue and margin growth Overall, Adore Beauty delivered on its strategy in FY24, growing revenue and profitability through initiatives targeting improvements in customer centricity, brand and operational efficiencies. ● 7.4% growth in revenue was driven by record
Slide 26: Accelerated growth initiatives (CEO script)
We want to make a positive, empowering, trusted and deeply engaged connection with our customers, brand partners and our team. And with a clear strategic plan in place, we will deliver long-term, sustainable, attractive and robust returns for you, our shareholders. Accelerated growth initiatives dri
Slide 27: Physical retail store network (CEO script)
A network of physical retail stores allow for higher frequency of purchases, hence an increase in share of wallet We expect online sales to benefit through halo effect We will be able to get more data on customer journey and behaviour in-store with cutting edge AI technology which we can use t
Slide 28: Store network, summary and 3-year targets (CEO script)
With a network of 25+ stores, we expect to acquire more than 100k new customers annually, and more than 500k annual transactions in-store delivering significant incremental revenue and margin to the group. In summary In summary, Adore Beauty has a large untapped opportunity for material growth. With
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