Leejam Sports Co. · TADAWUL:1830
Leejam Sports — FY2022 Earnings Presentation
28 slides from Leejam Sports's earnings presentation, 2023
Slide 1: Earnings Presentation FY 2022
—_—— —/ Lee EARNINGS PRESENTATION FY 2022
Slide 2: Table of Contents
TABLE OF CONTENTS |. DISCLAIMER 3 Il. COMPANY'S PROFILE & OVERVIEW 4 Ill FINANCIAL PERFORMANCE 10 IW. OUTLOOK 2022 21 LeeuAM
Slide 3: 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 subscribe for
Slide 4: Company's Profile & Overview
Slide 5: Vision, mission and values
To be the people’s favourite and most accessible wellness club. To steer society towards a healthy lifestyle and encourage people to exercise daily. • Customer service excellence • Integrity • Responsibility • Collaboration • Innovation
Slide 6: Leejam fitness brands and centers
Company Profile & Overview Leejam currently operates the following fitness brands: Leejam aims to offer a winning solution to the masses; an easily affordable and accessible fitness centre that allows users to access market leading facilities, with different sizes, locations, products and services t
Slide 7: Inflation Rate and SIBOR
Company Profile & Overview Inflation Rate 3.3% 3.0% 3.1% 3.0% 2.9% 2.7% 2.3% 2.2% 2.3% Inflation Rate 2.0% With 1.2% at the beginning of the year and increased 1.6% by 175% until it reached 3.3% by December. 1.2% SIBOR Significant increase since January 2022 by 5.7x. Jan Feb Mar Apr May Jun Jul Aug
Slide 8: 2022 all-time high records
Company Profile & Overview In 2022, Leejam achieved all time high records, in its history. The following are the main: Revenue Net Profit Active Members 11 Additional 1.1B SAR 257M SAR 327K Centers • Highest FY & Q4 Revenue • Highest FY & Q4 Net Income • Highest year-end members count This slide sho
Slide 9: 2022 performance: gyms, digitalization, brand
Company Profile & Overview This shows the company performance in 2022 in the following areas: +38K additional active +50 Centers +20 Fully/Partially 156 Clubs members Operating 24 Refurbished Center (Dec-22 vs. Dec-21) Gyms: hours o Continued to increase its footprint by adding a net of 11 operating
Slide 10: 2022 performance: fitness and people
Company Profile & Overview This shows the company performance during 2022 in the following areas: 4 Rebranded and Re- + 3 LesMills Fully Digitized Booking Hit +290,000 GX launched Core GX International GX Fitness: and Attendance System Programs Programs (Ladies) participations in a month o Rebranded
Slide 11: Female Segment, Male Segment, Corporate Business
Company Profile & Overview Female Segment Male Segment 66K 44 195K 112 Item (SAR M) Q4 2022 FY 2022 Revenue 336.7 1,065.8 Gross profit 165.2 436.1 Operating Profit 125.8 316.9 EBITDA Members Centers Members Centers 184.4 546.7 Net Profit 107.2 257.3 Cash and cash equivalents 300.6 Corporate Business
Slide 12: Member Count Movement
Financial Performance Male Female Member Count Movement 190 K 195 K 59 K 66 K • During 2018-22, memberships grew at CAGR of 9% and increased by 13% YoY in December 2022. Q4 2021 Q4 2022 Q4 2021 Q4 2022 • The company's business is historically affected by seasonality, as the winter season is consider
Slide 13: Financial Performance
Slide 14: Q4 Revenue, Gross Profit, EBITDA, Net Profit
Financial Performance Revenue Gross Profit 180.0 80% Revenue 160.0 165.2 75% • Grew by 29% driven by volume as the membership 336.7 140.0 70% numbers reached all time high during Q4. This was mainly 120.0 125.4 65% 261.1 driven by higher operating centers combined with the 100.0 60% results of more
Slide 15: FY Revenue, Gross Profit, EBITDA, Net Profit
Financial Performance Revenue Gross Profit 500.0 80% Revenue 450.0 75% 1,065.8 436.1 • Increased by 20% mainly due to the increase in 400.0 70% subscriptions and membership revenue because of the 373.0 350.0 65% 885.3 300.0 60% increase in members count which was driven by the 250.0 55% additional 1
Slide 16: Current Assets, Cash, Current Liabilities, Loans
Financial Performance Current Assets Cash Current Assets Increased by 45% mainly due to the increase in Cash. 361.8 300.6 Cash 250.2 Increased by 67% mainly driven by higher subscriptions sales 179.9 during the year. Current Liabilities Increased by 11% mainly due to the increase in deferred revenue
Slide 17: Cash Flow from Operations, Investing, Financing
Financial Performance Cash Flow from Operation Investing Cash Flow Cash Flow from Operations Increased by 53% mainly due to increase in profit and higher 227.7 669.2 deferred revenue. 179.7 Investing Cash Flow 438.6 Decreased by (21%) due to lower spending on current projects as the focus was on Xpr
Slide 18: Revenue per center, Net Income per center
Financial Performance 400.0 2.5 2.2 2.0 1.9 350.0 1.8 1.8 1.8 1.7 1.7 2.0 1.7 1.7 1.6 1.6 300.0 1.5 1.6 1.5 1.6 1.6 250.0 1.5 Revenue per center 1.5 200.0 1.1 20% higher compared to Q4 2021, mainly due to high number 150.0 1.0 of members driven by additional centers. We expect it to decrease as Xpre
Slide 19: Key Highlights: Q4 costs
Financial Performance 200 1.3 1.1 180 1.0 1.1 160 172 0.9 140 136 Key Highlights: 120 0.7 100 COR & COR/Center 0.5 80 COR per center increased by 14% and the overall cost of 60 0.3 revenue increased by 26% which was due to the additional 40 (under ramp up) 11 centers, refurbishments of older centers
Slide 20: Key Highlights: FY costs
Financial Performance 700 4.2 4.5 3.7 4.0 630 600 3.5 500 512 3.0 Key Highlights: 400 2.5 COR & COR/Center 2.0 300 COR per center increased by 11% and the overall cost of 200 1.5 revenue increased by 23% which was due to a base effect from 1.0 2021 (4% of the 2021 COR were offset due to rent concess
Slide 21: Key Highlights: cash flow and deferred revenue
Financial Performance 800 1.4x Key Highlights: 700 1.2x 1.2x Cash Flow from Operations: Significantly increased by 53% compared with 2021 mainly due to 600 0.9x 1.0x higher subscription sales in 2022. 500 0.8x 400 Deferred Revenue: 670 0.6x Increased by 32% as result of the increase in subscriptions
Slide 22: Outlook 2023
Slide 23: Outlook: 2023 growth drivers and center openings
Outlook 2023 growth will be driven by: • Further openings of Xpress Centers • Further openings of Big Box centers • Continuing focus/growth on Corporate & PT business • Cost control, and improving customer experience, member retention & services. Current (Centers) Expected (Centers Range) Expected C
Slide 24: Investor Relations contact
For enquires, please contact the Investor Relations Department at: investor.relations@leejam.com.sa
Slide 25: Appendix
Slide 26: Q4 Statement of Profit & Loss
Appendix Key Highlights: S tatement of Profit & Los s SR M Q4 2022 Q4 2021 ∆ ∆% The increase in net profit for the fourth quarter 2022 compared to the same Revenue 336.7 261.0 75.7 29.00% quarter of the last year was due to the following: Cost of revenue (171.5) (135.7) 35.9 26.46% Gros s profit 165
Slide 27: FY Statement of Profit & Loss
Appendix Key Highlights: S tatement of Profit & L os s SR M FY 2022 FY 2021 ∆ ∆% The increase in net profit by 25% due to: Revenue 1,065.8 885.3 180.5 20.39% Cost of revenue (629.7) (512.2) 117.4 22.92% • Increased by 20.4% mainly due to the increase in subscriptions and Gros s profit 436.1 373.0 63
Slide 28: Segment and source analysis Q4 and FY 2022
Appendix Q4 2022 7, 2% Q4 2022 85, 25% 32, 10% Segment Analysis • Male revenue increased by 29% compared with Q4 2021. • Female revenue increased by 30% compared with Q4 2021. 252, 75% Source Analysis 298, 88% • Corporate and Individual Membership revenue increased by 31% compared with Q4 2021. Subs