Kesko Oyj Class A · OMXHEX:KESKOA
Kesko Oyj Class A — Q1 2013 Earnings Presentation
18 slides from Kesko Oyj Class A's earnings presentation, Apr 25, 2013
Slide 1: Interim report January-March 2013
Interim report January-March 2013 25 April 2013 CFO Jukka Erlund A new K-citymarket was opened in Kokkola on 11 April 2013
Slide 2: Sales as expected, operating profit better than planned
Sales for the first months of the year as expected, operating profit better than planned • Kesko’s net sales €2.2bn, change -6.9% • Operating profit excl. non-recurring items €18.6m (€22.3m) – Enhancement measures significantly impacted profitability performance, costs down €18m on the comparative p
Slide 3: Consumers' expectations for their own finances for the next 12 months
Consumers’ expectations for their own finances for the next 12 months Balance figure 20 Expectations for own finances Expectation, 21st century average 15 10 5 0 Source: Statistics Finland -5 3/00 6/00 9/00 3/01 6/01 9/01 3/02 6/02 9/02 3/03 6/03 9/03 3/04 6/04 9/04 3/05 6/05 9/05 3/06 6/06 9/06 3/0
Slide 4: Profit for Q1/2013
Profit for Q1/2013 Q1/2013 Q1/2012 Net sales, M€ 2,159 2,318 Net sales, change, % -6.9% +10.2% Fixed costs, M€ 438 456 Operating profit excl. non-recurring items, M€ 19 22 Net financial items, M€ -3 0 Profit before tax, M€ 16 25 4 Q1 2013 Media and analyst briefing Jukka Erlund
Slide 5: Financial position
Financial position Q1 Q1 Q1-Q4 2013 2012 2012 Liquid assets, M€ 411 293 489 Interest-bearing liabilities, M€ 233 154 135 Equity ratio, % 51.7 52.8 52.5 Capital expenditure, M€ 41 104 378 5 Q1 2013 Media and analyst briefing Jukka Erlund
Slide 6: Net sales by quarter
Net sales by quarter M€ 3000 -0.5% 1.9% -0.9% 2500 10.2% -6.9% 2000 1500 1000 500 0 Q1 Q2 Q3 Q4 Q1 2012 2013 6 Q1 2013 Media and analyst briefing Jukka Erlund
Slide 7: Net sales by division (M€)
Net sales by division (M€) Q1/2013 Change Food trade 1,045 +3.5% Home and speciality goods trade 345 -6.5% Building and home improvement trade 562 -10.7% Car and machinery trade 249 -29.3% Group total 2,159 -6.9% 7 Q1 2013 Media and analyst briefing Jukka Erlund
Slide 8: Operating profit excl. non-recurring items by quarter
Operating profit excl. non-recurring items by quarter M€ 100 80 77.4 70.9 59.4 60 40 22.3 18.6 20 0 Q1 Q2 Q3 Q4 Q1 2012 2013 8 Q1 2013 Media and analyst briefing Jukka Erlund
Slide 9: Operating profit excl. non-recurring items by division (M€)
Operating profit excl. non-recurring items by division (M€) Q1/2013 Change Food trade 48.2 13.5 Home and speciality goods trade -17.8 -4.8 Building and home improvement trade -16.6 -7.6 Car and machinery trade 7.8 -7.7 Group total 18.6 -3.7 9 Q1 2013 Media and analyst briefing Jukka Erlund
Slide 10: Return on capital employed
Return on capital employed moving 12 mo, excl. non-recurring items % 25 22.7% 20 18.9% 15 10 8.8% 5 2.9% 0.7% 0 Food Home and Building and Car and Kesko Group trade speciality home machinery goods trade improvement trade trade 10 Q1 2013 Media and analyst briefing Jukka Erlund
Slide 11: Food trade: subdued sales, profit improvement from enhanced operations
In the food trade, subdued sales performance, profit improvement from enhanced operations Net sales 1-3, M€ 1200 1,010 1,045 +3.5% • Kesko Food’s net sales growth +3.5% 800 - K-food stores’ grocery sales in Finland were up +1.5% 400 - Sales and customer numbers in the Russian K-food store in St. Pet
Slide 12: First months of the year difficult in the department store trade
First months of the year difficult in the department store trade Net sales 1-3, M€ • Weak consumer demand in the first 369 345 -6.5% months of the year, sales decreased 400 especially in the department store trade 300 200 • Good sales performance in Intersport and 100 Budget Sport in Finland 0 2012
Slide 13: Building and home improvement trade, sales fell
In the building and home improvement trade, sales fell • Market situation of the building and home Net sales 1-3, M€ improvement trade deteriorated in all 800 629 562 -10.7% operating countries 600 400 • Net sales performance of the building and 200 home improvement trade -10.7% - Biggest sales decl
Slide 14: In the car trade, market fell as expected
In the car trade, market fell as expected • VV-Auto’s sales performance -33.8% Net sales 1-3, M€ − Combined market performance of first 400 353 time registered passenger cars and 300 vans -43% 249 -29.3% − Market share of Audi, Volkswagen 200 and Seat continued at the previous 100 year’s level of 19
Slide 15: First time registrations of passenger cars and vans
First time registrations of passenger cars and vans in the first months of 2012 and 2013 30 000 25 000 20 000 15 000 2012 -28% -60% 2013 10 000 -27% +67% 5 000 0 January Tammikuu February Helmikuu March Maaliskuu April Huhtikuu (v. 2013:1-23 (2013: 1.-23.4.) Apr.) 15 Q1 2013 Media and analyst briefi
Slide 16: Capital expenditure will be adjusted to annual level of €200-300 million
Capital expenditure will be adjusted to annual level of €200-300 million M€ 120 104 103 104 100 80 68 60 41 40 20 0 Q1 Q2 Q3 Q4 Q1 2012 2013 16 Q1 2013 Media and analyst briefing Jukka Erlund
Slide 17: Future outlook
Future outlook Estimates of the future outlook for the Kesko Group's net sales and operating profit excluding non-recurring items are given for the 12 months following the reporting period (4/2013-3/2014) in comparison with the 12 months preceding the reporting period (4/2012- 3/2013). Resulting fro
Slide 18: Thank you!
Thank you! 18 Q1 2013 Media and analyst briefing Jukka Erlund