Auto1 Group Se · XETR:AG1
Auto1 — Q4 2020 Earnings Presentation
36 slides from Auto1's earnings presentation, Mar 24, 2021
Slide 1: AUTO1 Q4 & FY 2020 Update
AUTO1 B U IL D IN G TH E B ES T WAY TO B U Y A N D S EL L CA R S O N L IN E Q 4 & F Y 2 0 2 0 U p da te
Slide 2: Disclaimer
Disclaimer Important Notice For the purposes of this notice, “presentation” means this document, its contents or any part of it. This presentation does not, and is not intended to, constitute or form part of, and should not be construed as, an offer to sell, or a solicitation of an offer to purchase
Slide 3: Our mission is to build the best way to buy and sell cars online
Our mission is to build the best way to buy and sell cars online
Slide 4: We are in a unique position to build the best way to buy and sell cars online
We are in a unique Position to Build the Best Way to Buy and Sell Cars Online 1 Vast market opportunity with an accelerating offline to online shift 2 Clear leadership position in a highly fragmented market Unique platform leveraging strong brands, proprietary technology 3 and data to create a super
Slide 5: Our Platform Generates Superior Customer Experiences on All Sides of the Trade
Our Platform Generates Superior Customer Experiences on All Sides of the Trade WE BUY CARS WE SELL CARS Consumer Consumer Remarketing Dealer Dealer Most buyers are also sellers Exceptional Fulfilment Fully-Digitized Directly Transactional Haggle-Free Experience 4
Slide 6: C2B Sourcing
C2B Sourcing From Consumers wirkaufendeinauto.de
Slide 7: We Have Completed Our Sell From Home Rollout across Europe
We Have Completed Our Sell From Home Rollout across Europe 6
Slide 8: With Sell From Home We See Even More Cars While Strongly Improving Efficiency
With Sell From Home We See Even More Cars While Strongly Improving Efficiency Our Completed Evaluations1 Our Drop-off Conversion2 have more than doubled has more than doubled >2x >2x Q4 2019 Q4 2020 Q4 2019 Q4 2020 1 Completed evaluations via our Sell-From-Home solution in Q4 2020 compared to comple
Slide 9: Merchant
Merchant
Slide 10: Our Brand New Native AUTO1 EVA App Will Further Boost Remarketing Growth
Our Brand New Native AUTO1 EVA App Will Further Boost Remarketing Growth 9
Slide 11: We Continued Our Strong Growth Track in Remarketing
We Continued Our Strong Growth Track in Remarketing With Strong Digital Momentum and Superior Fulfillment Sold units 30% 50.6k 38.8k 64% YoY growth Q3 2020 vs. Q3 2019 FY 2019 FY 2020 10
Slide 12: We Have Strongly Improved Our Merchant GPU in 2020
We Have Strongly Improved Our Merchant GPU in 2020 Gross Profit per Unit, EUR YoY growth, -1% -19% 36% 22% 13% percent 734 721 633 589 582 559 416 Q4 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 FY 2019 FY 2020 11
Slide 13: AUTOHERO
AUTOHERO
Slide 14: We Successfully Introduced Our Autohero Brand Across Europe
We Successfully Introduced Our Autohero Brand Across Europe Sessions >950% Q4 2019 FY 2019 Q4FY 2020 2020 13
Slide 15: Our New Autohero Platform Drives Strong Customer Engagement
Our New Autohero Platform Drives Strong Customer Engagement Session time 88% Q4 2019 Q4 2020 FY 2019 FY 2020 14
Slide 16: Autohero Is in Hypergrowth Mode
Autohero Is in Hypergrowth Mode Units delivered 77% 10.2k 5.7k FY 2019 FY 2020 Strong 27% 50+ higher customer NPS satisfaction with Home while Delivery scaling 15
Slide 17: Financial Overview
as i, FINANCIAL OVERVIEW
Slide 18: Covid Lockdowns Showed Power of Our Digital Solutions when Most Dealers Closed
Covid Lockdowns Showed Power of Our Digital Solutions when Most Dealers Closed (€m) Q4 2019 FY 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 FY 2020 Cars Sold, #k 162 616 154 66 120 117 457 Merchant: C2B 148 571 141 57 100 98 397 Merchant: Remarketing 12 39 11 8 17 15 51 Autohero 2 6 2 1 2 4 10 Revenue 945 3
Slide 19: Active Opex Management Allowed Us to Compensate for Effects of Covid
Active Opex Management Allowed Us to Compensate for Effects of Covid Adjusted EBITDA1 Bridge FY 2020 (€m) Change to FY 2019 Adjusted Gross Profit Employee Marketing Internal Other Adjusted EBITDA Costs2 Logistics Costs Expenses/ EBITDA FY 2019 Income FY 2020 1 Adjusted EBITDA refers to EBITDA adjust
Slide 20: Our Best-in-Class Inventory Management Fuels Autohero's Hypergrowth
Our Best-in-Class Inventory Management Fuels Autohero’s Hypergrowth Inventory (€m) 300 DOS normalize as a 60 248.1 250.1 result of inventory 250 build-up after COVID- 50 41 driven sell-down 209.4 200 40 29 26 132.9 23 150 30 100 80.0 14 20 50 10 0 0 Q4 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 Inventory
Slide 21: We Significantly Improved Our Operating Cash During 2020
We Significantly Improved Our Operating Cash During 2020 Cash Bridge FY 2020 (€m) Business model resilience and success 255.0 demonstrated through positive cash flow from operations -171.3 Cash BoP Adjusted Change in Other CF CapEx Cash from Convertible Change in Cash EoP EBITDA1 Inventory Changes B
Slide 22: With the IPO and ABS We Are Optimally Financed
With the IPO and ABS We Are Optimally Financed to Build the Number One Online Dealer Capital Available Post IPO (€m) Cash YE 2020 Net IPO Convertible Pro forma Available Additional Total Available Proceeds1 1 Repayment2 2 Cash Borrowing 3 ABS Capital Base3 Commitment 1 IPO proceeds are net of fees a
Slide 23: Our New and Innovative ABS Facility Provides Deep Pockets for Growth
Our New and Innovative ABS Facility Provides Deep Pockets for Growth at Lowest Cost Current Borrowing Base (total) Commitment of €485m Best-in-Class Inventory Financing • ABS fully available since January 29th Senior Notes Mezzanine Notes • Reduces avg. interest rate on inventory 2.6x financing to b
Slide 24: 2021 Outlook
2021 OUTLOOK
Slide 25: We Will Focus on Delivering on 6 Key Objectives in 2021
We Will Focus on Delivering on 6 Key Ojectives in 2021 Scale Invest in Grow Autohero Grow C2B Merchant Autohero Autohero Remarketing GPU Business GPU Deliveries brand Business Remarketing 24
Slide 26: Our 6 Key Objectives Translated into 2021 Guidance
Our 6 Key Objectives Translated into 2021 Guidance We expect accelerated growth in group revenues and gross profit in 2021, while Adjusted EBITDA will be significantly below 2020 as we invest into growing Autohero Group Merchant Autohero Units 592-638k 560-600k 32-38k Revenue €3.8b - €4.2b Gross Pro
Slide 27: We Are Well Positioned to Fulfill Our Investment Thesis
We Are Well Positioned to Fulfill Our Investment Thesis 1 Vast market opportunity with an accelerating offline to online shift 2 Clear leadership position in a highly fragmented market Unique platform leveraging strong brands, proprietary technology 3 and data to create a superior customer experienc
Slide 28: Appendix
APPENDIX Financial Statements
Slide 29: Segment Reporting IFRS
Segment Reporting IFRS MERCHANT KEUR Q4 2019 FY 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 FY 2020 Units 159,844 609,898 151,975 65,049 117,121 113,133 447,278 o/w C2B 148,152 571,095 141,003 57,157 100,221 98,267 396,648 o/w Remarketing 11,692 38,803 10,972 7,892 16,900 14,866 50,630 Revenue 913,326 3,39
Slide 30: Income Statement IFRS
Income Statement IFRS KEUR Q4 2019 FY 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 FY 2020 Revenue 945,004 3,475,962 877,389 403,757 769,372 779,136 2,829,654 Cost of materials (850,157) (3,133,429) (788,330) (376,350) (682,710) (696,354) (2,543,744) Gross profit 94,847 342,534 89,060 27,406 86,662 82,782 2
Slide 31: Group OpEx & Adjusted EBITDA
Group OpEx & Adjusted EBITDA KEUR Q4 2019 FY 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 FY 2020 Revenue 945,004 3,475,962 877,389 403,757 769,372 779,136 2,829,654 Gross profit 94,847 342,534 89,060 27,406 86,662 82,782 285,910 Gross profit (as % of revenue) 10.0% 9.9% 10.2% 6.8% 11.3% 10.6% 10.1% Personn
Slide 32: Income Statement Adjustments from Reported to Adjusted EBITDA
Income Statement Adjustments from Reported to Adjusted EBITDA FY 2020 KEUR Q4 2019 FY 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 FY 2020 Separately disclosed items (SDI) (92) (32,427) (15,261) (7,327) 15,112 (12,207) (19,683) Other non-operating items 9,953 4,518 (12,414) (4,500) (1,149) (7,057) (25,120)
Slide 33: Balance Sheet IFRS
Balance Sheet IFRS Assets Equity and Liabilities KEUR 31.12.2019 31.12.2020 KEUR 31.12.2019 31.12.2020 Non-current assets 176,580 58,920 Total equity 153,296 4,464 Current assets 428,779 461,622 Non-current liabilities 298,040 356,660 o/w Inventories 248,115 209,435 Current liabilities 154,024 159,4
Slide 34: Our ABS Allows Us to Take a Flexible Approach, Optimising Our Inventory Financing Costs
Our ABS Allows Us to Take a Flexible Approach, Optimising Our Inventory Financing Costs Proforma Cash: €896m Given our overall cash Unutilised borrowing base position, we are currently under ABS = €186m-€35m = not drawing under the ABS €151m to avoid cost of carry Net Inventory €151m Mezzanine tranc
Slide 35: Cash Flow Statement IFRS
Cash Flow Statement IFRS KEUR FY 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 FY 2020 Net loss for the period (121,265) (25,486) (34,272) (23,518) (60,366) (143,642) Net cash from / (used in) operating activities (138,369) (4,398) 163,061 (25,400) (87,768) 45,495 Net cash used in investing activities (3,254
Slide 36: Slide 36