Slide 1: Q3 2021 Earnings Presentation
Q3 2021 Earnings Presentation
Slide 2: Safe Harbor and Non-GAAP Measures
Safe Harbor and Non-GAAP Measures This presentation includes certain forward-looking statements within the This presentation includes non-GAAP financial measures including adjusted meaning of the Private Securities Litigation Reform Act of 1995, including OIBDA, adjusted OIBDA margin, free cash flow
Slide 3: Key Points
Key Points → David Rawlinson became CEO on Oct. 1, 2021 after a two-month transition period beginning Aug. 2, 2021 → Results reflect continued macro industry supply chain constraints and cost inflation → Operating highlights • Took pricing actions that resulted in higher average selling prices at al
Slide 4: Revenue & Adjusted OIBDA
Revenue & Adjusted OIBDA Business Segment Contribution Q3 2021 10% 5% 10% 26% 22% Revenue Adjusted OIBDA $3.1B $0.4B (7)% vs 2020 (24)% vs 2020 Cornerstone 73% +2% vs 2019 58% (5)% vs 2019 Zulily QVC International QxH (4)% $2.0B eCommerce Revenue I 63% of Revenue (6)% vs 2020 | +8% vs 2019 Note: Per
Slide 5: Revenue & Adjusted OIBDA
Revenue & Adjusted OIBDA Year-on-Year Quarterly Comparative REVENUE 2020 2021 Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 QxH (4)% 7% 7% 1% 3% 8% (1)% (8)% QVC International (1)% 11% 11% 16% 10% 22% 11% (3)% QVC International A 0% 12% 8% 10% 8% 15% 5% (4)% Zulily (20)% 16% 10% 11% 4% 19% (6)% (17)% Cornerstone (5)% 18%
Slide 6: QxH Category Performance
QxH Category Performance Prior-Year Comparative 2020 2021 Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Home 0% 22% 22% 17% 16% 14% (3)% (17)% Electronics (4)% 25% (6)% (17)% (6)% 16% (23)% (13)% Apparel (9)% (12)% (7)% (10)% (9)% (3)% 19% 8% Beauty (1)% 2% (2)% (10)% (3)% (1)% (10)% (6)% Accessories (4)% (1)% 10% 6% 3%
Slide 7: QxH Category Mix Shift to Apparel
QxH Category Mix Shift to Apparel Category % of Revenue 2% 2% 2% 5% 5% 5% 11% 11% 12% Other 17% 15% 15% Jewelry Accessories 16% 18% 19% Beauty 10% Apparel 11% 9% Electronics Home 41% 38% 36% Q3-19 Q3-20 Q3-21 Fashion Categories: Apparel, Beauty, Accessories and Jewelry Home Categories: Home and Elec
Slide 8: QxH Customer Profile
QxH Customer Profile Trailing Twelve Months Ended September 30, 2021 Existing 50% Existing 87% Reactivated 6% Reactivated 22% New 7% Percentage of Percentage of All Customers Shipped Sales New 28% Existing Customers Annual Purchases: 27 Items purchased $1.4K Spend New: Never purchased previously Rea
Slide 9: QxH Customer Growth
QxH Customer Growth Customer Count Year-on-Year Comparative Q3 2021 LTM September 2021 ‘000s Count vs 2020 vs 2019 Count vs 2020 vs 2019 New 446 (33%) (15)% 3,114 (6)% +10% Reactivated 475 (19%) (7)% 2,399 (5)% +2% Existing 3,632 (9%) (4)% 5,617 +3% +2% Total 4,553 (13%) (6)% 11,130 (1)% +4% New: Ne
Slide 10: QxH Adjusted OIBDA Margin
QxH Adjusted OIBDA Margin Basis Point Change Year Over Year Fiscal 2021 Q3 Trend Driver Q1 Q2 Q3 Prior Year 16.4% 19.3% 19.2% Private Label Credit Card Income | Favorable Returns Gross Margin Product Margin1 50 60 (40) Lower SH Revenue (Unit Volume) | Increased Promotional Activity Gross Margin Fulf
Slide 11: Qurate Retail, Inc. Free Cash Flow
Qurate Retail, Inc. Free Cash Flow US$ Millions Nine Months Ended September 30 2020 2021 Net Cash Provided by Operating Activities 1,855 715 Less: Capital Expenditures (165) (169) Less: Expenditures for Television Distribution Rights (41) (184) Less: Investments in Green Energy1 (88) (98) Less: Divi
Slide 12: Appendix
Appendix QURATE RETAIL, INC. 12
Slide 13: The Journey: Demand Sales to Net Revenue
The Journey: Demand Sales to Net Revenue Demand Sales Prior Period ‘Carry In’ LESS: PLUS: Advance Orders Shipped LESS: Shipping and Handling Net Actual Cancellations Sales Returns Private Label CC Revenue Demand Sales Backlog (‘Carry Out’) Other Income ‘Current Period’ *Demand sales represent custom
Slide 14: Qurate Retail, Inc.
qu rate RETAIL, INC. ave | & | zubily. | BAWARo DESIGNS | FRONTGATE | Garnet Hill | grandintood.