Phu Nhuan Jewelry Jsc · HOSE:PNJ
Phu Nhuan Jewelry Jsc — Investor Presentation (January 2023)
34 slides from Phu Nhuan Jewelry Jsc's investor presentation, January 2023
Slide 1: Corporate Presentation
Phu Nhuan Jewelry JSC Corporate Presentation January 2023 1
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by Phu Nhuan Jewelry JSC (“The Company”). All statements in this presentation, other than historical facts, are based on private research which is presented solely for informational purposes. No representation or warranty, either express or implied, is
Slide 3: PNJ by the Numbers
PNJ by the Numbers MARKET SHARE(1) NETWORK & MARKETS(2) MARKET CAPITALISATION(3) more than 50% among branded 400 stores nationwide US$ 1.16 billion sector across 55/63 provinces FY2022 NET REVENUE(3) FY2022 NET PROFIT AFTER TAX(3) NUMBER OF WHOLESALE CUSTOMER US$ 1.4 billion US$ 81.4 million -2.2% Y
Slide 4: Content
Content Sections 1. Key Investment Highlights 2. Financial Update 3. Operational Update 4. Outlook 5. Appendices 4
Slide 5: Key Investment Highlights
Key Investment Highlights 5
Slide 6: Key Investment Highlights
Key Investment Highlights 1 A leading position to benefit from Vietnam’s favorable macro fundamentals and consumer trends 2 Digital transformation strengthening operational capabilities and enabling creative growth initiatives 3 Solid financial profile as strong foundation for sustainable growth and
Slide 7: Key Investment Highlights
Key Investment Highlights 1 A leading position to benefit from Vietnam’s favorable macro fundamentals and consumer trends 2 Digital transformation strengthening operational capabilities and enabling creative growth initiatives 3 Solid financial profile as strong foundation for sustainable growth and
Slide 8: Favorable demographic and macro fundamentals
Favorable demographic and macro fundamentals A large portion of working-age population An increase in personal disposable income Vietnam’s population pyramid in 2021(1), million people Vietnam’s disposable income per household(2), USD Male Female 8,000 6,905 7,447 5,914 6,387 6,000 4,967 5,455 4,753
Slide 9: Strong consumer trends as tailwinds for business growth
Strong consumer trends as tailwinds for business growth Asia’s fastest-growing country in jewelry consumption A steady rise in jewelry consumption Asia’s jewelry consumption CAGR (2012-2022)(1), % Total jewelry consumption(2), millions USD CAGR (2012-2022) 6.4% 1,046 5.6% COVID-19 Impact 774 743 667
Slide 10: Undisputed leading position with over 50% market share of Branded sector
Undisputed leading position with over 50% market share of Branded sector Deep access to Vietnamese’ rising consumption power Largest network coverage across competitors Store mix by tier (2017-2023) Store counts as of December 2023 Tier 1 Tier 2 Tier 3 17% 13% 17% 400 20% 20% 22% 32% 32% 33% 44% 34%
Slide 11: Sophisticated production facilities
Sophisticated production facilities 2 Factories with total capacity of 4 Million products per year State-of-the-art ERP integration International Standards implemented 11
Slide 12: PNJ Lab – Industry Stamp of Quality in certification and testing
PNJ Lab – Industry Stamp of Quality in certification and testing Latest testing apparatus Key certifications Automated GIA Diamond Melee Screening iD100 check 2 Diamond Diamension Diascribe view HD Precious stones testing Diamond Jade Semi- Gemstone Pearl precious stones 12
Slide 13: Broad product portfolio catering to customers at all life stages
Broad product portfolio catering to the needs of customers at all stages of their life cycle Jewelry Categories Other Categories Mass Luxury Premium Luxury High-End Luxury International Partnership | Style by PNJ (launched in PNJ (launched in 1988) CAO Fine Jewelry Disney | PNJ (launched in PNJ Art
Slide 14: Premium product positioning backed by long established reputation
Premium product positioning backed by long established reputation Price Product Quality 14
Slide 15: Extensive retail network with nationwide coverage
Extensive retail network with nationwide coverage As of Dec 31st 2023(*) Number of Stores 400 stores across 55/63 provinces PNJ 391 Style by PNJ 5 CAO Fine Jewellry 3 Wholesale Center 1 Total 400 (*) In 2023, PNJ: - Opened 48 and closed 7 PNJ stores to expand its presence and optimize operations. -
Slide 16: Key Investment Highlights
Key Investment Highlights 1 A leading position to benefit from Vietnam’s favorable macro fundamentals and consumer trends 2 Digital transformation strengthening operational capabilities and enabling creative growth initiatives 3 Solid financial profile as strong foundation for sustainable growth and
Slide 17: Digital Transformation: Essential for business growth
Digital Transformation: Essential for business growth Completed multi-module enterprise resource planning (ERP) system provided by the #1 enterprise cloud finance provider Sales & Distribution IBP solution Procurement Production costing Production planning Financial accounting O2O platform Using dat
Slide 18: Key Investment Highlights
Key Investment Highlights 1 A leading position to benefit from Vietnam’s favorable macro fundamentals and consumer trends 2 Digital transformation strengthening operational capabilities and enabling creative growth initiatives 3 Solid financial profile as strong foundation for sustainable growth and
Slide 19: Key financial metrics have maintained sustainable growth
Key financial metrics have maintained sustainable growth Steadily growing revenue Net Revenue % YoY 73% -2% 12% 17% 3% 33% 1,436 1,367 721 743 829 466 618 2017 2018 2019 2020 2021 2022 2023 Healthy profit margin Stable revenue contribution 3,000 25% 1.1% 0.9% 1.1% 0.9% 2.2% 1.5% 1.7% 2,500 20.4% 20%
Slide 20: Key Investment Highlights
Key Investment Highlights 1 A leading position to benefit from Vietnam’s favorable macro fundamentals and consumer trends 2 Digital transformation strengthening operational capabilities and enabling creative growth initiatives 3 Solid financial profile as strong foundation for sustainable growth and
Slide 21: Board of Directors
Board of Directors Cao Thi Ngoc Dung Le Tri Thong Tran Phuong Ngoc Thao Dang Thi Lai Chairwoman Vice Chairman Vice Chairwoman Member of BOD Chief Executive Officer Head of ESG Committee Chief Finance Officer • >30 years of experience in • >20 years of management experience • >10 years of experience
Slide 22: Key Investment Highlights
Key Investment Highlights 1 A leading position to benefit from Vietnam’s favorable macro fundamentals and consumer trends 2 Digital transformation strengthening operational capabilities and enabling creative growth initiatives 3 Solid financial profile as strong foundation for sustainable growth and
Slide 23: PNJ is highly recognized for its ESG values and commitments
PNJ is highly recognized for its ESG values and commitments ESG Statement: PNJ acts responsibly to honor the beauty of people and life in the sustainable way • PNJ is the first listed company to establish the ESG Committee under the Achievements and awards control of the Board of Directors in April
Slide 24: Financial Updates
Financial Updates 24
Slide 25: 2023 Business Results
2023 Business Results FY2023 Financial Target Completion Net Revenue Net Profit After Tax Net Revenue 1,436 1,367 Achieved 93.1% FY2023 target 81 75 1,367 1,510 2023 FY2023 Target Net Profit After Tax Achieved 101.8% FY2023 target 81 81 2022 2023 2022 2023 2023 FY2023 Target Unit: USD million USD/VN
Slide 26: 2023 Business Results: Revenue by Channel
2023 Business Results Revenue Growth by Channel Revenue Contribution by Channel 1,000 30.0% 1.5% 1.7% 900 -7.8% 20.0% 25.3% 31.5% 800 700 10.0% 12.0% 8.6% 600 0.0% 500 20.9% -10.0% 400 300 -20.0% 61.2% 58.2% 200 -30.5% -30.0% 100 5.3% 0 -40.0% Retail Wholesales 24K Gold Others 2022 2023 2022 2023 (+
Slide 27: Operational Updates
Operational Updates 27
Slide 28: PNJ: Continuously enhance inner strength across all fields
PNJ: Continuously enhance inner strength across all fields. Develop internal capabilities of the team during challenging times Innovate Marketing program – touch customers’ heart Enhance professionalism in operations through training Be caring to grow together with many meaningful social community p
Slide 29: PNJ: Increase distinction of products and customers' experience
PNJ: Increase distinction of products and customers’ experience Infuse the brilliance of intelligence and technology achievements into jewelry and services to create outstanding experiences for customers.
Slide 30: PNJ: Affirm the exceptional prestige
PNJ: Affirm the exceptional prestige Madam Cao Thi Ngoc Dung - Chairperson of Top 50 most efficient Top 25 personal Impressive interactive PNJ's Board of Directors: JWA “Extraordinary Best Retail Marketing 2023 business in Vietnam consumer brands. media campaign. 40” Awardee Top 50 sustainable busin
Slide 31: Business Outlook
Business Outlook 31
Slide 32: Key Strategic Orientations
Key Strategic Orientations Sustainable Growth New Business Development • Optimize store revenue in key markets • Explore new sales models and channels • Mobilize resources for intensive development • Promote research and development for • Redesign workflow and coordination new product lines • Conduc
Slide 33: 2023 Investment Activities
2023 Investment Activities • Build a centralized data management platform & data analysis application • Apply technology to improve human resources functions • Upgrade sales management and customer service platforms Information Retail Expansion • Open new stores to expand the Technology network • De
Slide 34: Phu Nhuan Jewelry JSC Investor Relations
Phu Nhuan Jewelry Jsc. Investor Relations 170E Phan Dang Luu, Ward 3 Phu Nhuan District, Ho Chi Minh City, Vietnam Email: ir@pnj.com.vn
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