Slide 1: Rusta Q3 2023/24 presentation
Confidential Rusta Q3 2023/24 presentation Göran Westerberg, CEO | Sofie Malmunger, CFO 14 March 2024
Slide 2: Agenda
Confidential Agenda 1. Business update 2. Financial performance 3. Summary and Q&A
Slide 3: Business update
Confidential Rusta Q3 2023/24 Business update
Slide 4: Positioned for continued profitable growth
Confidential Multi-geography presence Positioned for continued profitable growth ~150 2081) stores in Sweden, Finland Norway, Finland and Germany ~30 with significant white space, 41 and profitable online store Norway ~20 47 Sweden ~40 110 25 Store openings 40-60 during Q3 ´23/24 1 2 Lillehammer (No
Slide 5: Another quarter of profitable growth
Confidential Rusta Q3 2023/24 Another quarter of profitable growth Strong net sales growth Stable LFL growth3) Adj. EBITA growing with high pace Q3 ’23/24 vs. ’22/231) +7.0% +2.5% +22.6% Net sales growth in Q3 LFL3) growth in Q3 Adjusted EBITA growth in Q3 YTD ’23/24 vs. ’22/232) +10.6% +6.2% +41.8%
Slide 6: Key events
Confidential Rusta Q3 2023/24 Key events Christmas IT incident Strong and early start of Christmas sales Operational disruptions following the incident at hosting provider Tietoevry 5.5 million Club Rusta members Other markets profitable YTD Another 200,000 members added in Q3, Significantly strengt
Slide 7: Financial performance
Confidential Rusta Q3 2023/24 Financial performance
Slide 8: Strong momentum in current trading
Confidential Rusta Q3 2023/24 Strong momentum in current trading Strong net sales growth Higher gross margin Improved profitability Net sales (MSEK) Gross profit (MSEK) & gross margin (%) Adj. EBITA1) (MSEK) & adj. EBITA margin (%) LFL growth 2.5% +7.0% +14.2% +22.6% 1,440 372 3,247 3,036 1,261 303
Slide 9: The financial effect following the IT incident
Confidential Rusta Q3 2023/24 The financial effect following the IT incident The total effects linked to the IT incident are still Financial impact Q3 2023/24 ongoing Effect IT Q3 excl. Q3 23/24 • Total sales loss in January of MSEK 60, negative EBITA effect incident IT incident of MSEK 25 Net sales
Slide 10: Strong performance across all markets
Confidential Rusta Q3 2023/24 Strong performance across all markets Strong net sales growth in all markets All markets are profitable Net sales growth excl. currency effects EBITA excl. IFRS 16 margin Q3 ’23/24 vs. ’22/23 Q3 ’23/24 vs. ’22/23 +2.3pp. -0.3pp. +3.2pp. 20.3% 17.1% 10.3% 8.7% 5.8% 4.1%
Slide 11: Improved profitability
Confidential Rusta Q3 2023/24 Improved profitability Adj. EBITA margin Profitability drivers I. Positive volume effects 11.4% II. Improved purchase prices III. Efficient campaigning 10.0% IV. Reduced shipping costs 1) Notes: 1) Including other operating income and expenses, depreciations and add-bac
Slide 12: Strong balance sheet and cash flow
Confidential Rusta Q3 2023/24 Strong balance sheet and cash flow Active working capital management Improved cash flow Inventory (MSEK) Cash flow for the period (MSEK) % LTM sales YTD 27% 21% -50 238 -15% >25x 2,740 2,332 321 (13) Q3 '22/23 Q3 '23/24 Q3 '22/23 Q3 '23/24 Notes: 1) After change in work
Slide 13: We are committed to delivering on our financial targets
Confidential Financial targets We are committed to delivering on our financial targets Net sales Profitability Dividend growth policy • Rusta targets an • Rusta targets an • Rusta aims to annual average EBITA margin of distribute 30-50 organic1) net sales around eight percent percent of net profit g
Slide 14: Summary and Q&A
Confidential Rusta Q3 2023/24 Summary and Q&A
Slide 15: Profitable growth during +35 years
Confidential Long track record Pandemic Profitable growth during +35 years 10,2 9,5 2,0 8,6 1,6 Net sales (SEKbn) 1,6 Sweden Rise of e-commerce 2,2 Norway 2,1 Other markets online 1,8 Financial crisis Dot-com bubble 5,8 6,0 Banking crisis 5,3 '86 '87 '88 '89 '90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '
Slide 16: Strategy focused on long-term profit growth
Confidential Strategy focused on long-term profit growth Make Rusta the leading and most trusted low price retailer in Europe Maintain low price position and differentiated assortment Continue organic and LFL growth Further increase efficiency across the value chain Continue store network expansion
Slide 17: Another quarter of profitable growth
Confidential Rusta Q3 2023/24 Another quarter of profitable growth Strong net sales growth Stable LFL growth3) Adj. EBITA growing with high pace Q3 ’23/24 vs. ’22/231) +7.0% +2.5% +22.6% Net sales growth in Q3 LFL3) growth in Q3 Adjusted EBITA growth in Q3 YTD ’23/24 vs. ’22/232) +10.6% +6.2% +41.8%
Slide 18: Thank you
Confidential Thank you Next event: Year-end report Q4 June 13, 2024