Wilcon Depot, Inc. · PSE:WLCON
Wilcon Depot — FY2020 Earnings Presentation
26 slides from Wilcon Depot's earnings presentation, 2021
Slide 1: FY2020 Earnings Conference
FY2020 Earnings Conference BUILDING BIG
Slide 2: Discussion Agenda
Discussion Agenda 2020 in Review Results Highlights Operating and Financial Statistics Outlook 2
Slide 3: 2020 in Review
2020 in Review _ewtcon
Slide 4: 2020 in Review
2020 in Review • Taal volcano eruption – temporary disruption in the operations of branches in the vicinity in Jan • Quick recovery in sales performance right after resumption of normal business operations • Unexpectedly high sales growth for February and first two weeks of March 4
Slide 5: 2020 in Review
2020 in Review • Closed 44 branches in Luzon from Mar 17 to May 15, 2020 pursuant to ECQ rules • Closed all VisMin branches for 2 weeks in Mar/Apr to re-set and prepare the stores and staff for the “new normal” • Metro Manila and other nearby provinces placed back on MECQ from Aug 4 to 18, 2020. • S
Slide 6: 2020 in Review: Continuous Store Expansion
2020 in Review Continuous Store Expansion • Opened 6 new depot stores in 2020 - Daraga Albay, San Jose Del Monte Bulacan, Calumpit Bulacan, Cabuyao, Olongapo and San Juan Taytay • 2 new stores in January 2021 - Makato Albay and Commonwealth 6
Slide 7: 2020 in Review: Enhanced Digital Presence
2020 in Review Enhanced Digital Presence FACEBOOK INSTAGRAM WEBSITE YOUTUBE VIBER 7
Slide 8: 2020 in Review
2020 in Review • No layoffs or furloughs • Regular employees continued to be paid even when majority of the stores were closed • Helped local communities and the medical community through donations 8
Slide 9: Results Highlights
Results Highlights con
Slide 10: Results Highlights FY 2020
Results Highlights FY 2020 ▪ Net sales of ₱22.6 billion, down 7.5% y-o-y ▪ Net Income declined by 31.8% y-o-y to ₱1.449 billion ▪ Declared cash dividends of ₱ 0.12 per share ▪ Opened six (6) new depots, all located in Luzon 10
Slide 11: Historical Sales Growth
Historical Sales Growth SALES 24,476 22,629 21,041 17,748 15,965 14,450 13,596 11,862 2013 2014 2015 2016 2017 2018 2019 2020 Note: 2013 to 2015 – Pro-forma/Reviewed / 2016 – In-house Pro-forma / 2017 – Actual/Audited Commercial operations under WDI commenced April 1, 2016 11
Slide 12: Total Net Sales Breakdown – FY2020
Total Net Sales Breakdown – FY2020 PhP Millions FY2020 INST'L , Home FY2019 INST'L , Home 349, 1.4% Essentials , 178, 0.8% Essentials , 510, 2.2% 658, 2.7% -7.5% Depots , 23,469, Depots , 21,941, 95.9% 97.0% Sales Growth per Store Format Product Category Performance FY2020 vs FY2019 FY2020 VS FY2019
Slide 13: Comparable Sales Summary
Comparable Sales Summary SSSG Excluding Inst’l/ Projects Sales Quarterly Trend • 4Q20 = 0.2% FY2020 = -13.1% • 4Q19 = 4.3% FY2019 = 4.9% 7.9% 1.9% 0.4% 6.6% 4.9% 5.2% 8.0% 1Q20 1Q19 2Q20 2Q19 3Q20 3Q19 4Q20 Q919 1Y20 1Y19 1Y18 -8.0% -0.5% -13.6% -47.6% Comparable Sales per Format FY2020 vs FY2019 Co
Slide 14: Comparable Sales Summary 3Q20
Comparable Sales Summary 3Q20 Comparable Sales per Format 3Q2020 vs 3Q2019 Comparable Ticket Size and Number of Transactions 3Q2020 vs 3Q2019 22.5% 6.5% transactions, 1.5% 3.2% 6.6% DEPOT Home Essentials INST'L ticket size, -11.1% 3.4% transactions, 3.1% 3Q2020 3Q2019 ticket size, -5.8% -54.3% 3Q202
Slide 15: Comparable Sales Summary 4Q20
Comparable Sales Summary 4Q20 Comparable Sales per Format 4Q2020 vs 4Q2019 Comparable Ticket Size and Number of Transactions 4Q2020 vs 4Q2019 58.9% transactions, 6.2% transactions, ticket size, 3.2% 5.8% 0.4% 4.3% 1.6% -9.2% 4Q2020 4Q2019 DEPOT Home Essentials INST'L ticket size, -6.2% -46.0% 4Q2020
Slide 16: FY2020 Income Statement
FY2020 (In Php MM) FY2020 % Sales FY2019 % Sales % Growth Net Sales 22,629 100.0 24,476 100.0 (7.5) Cost of Sales -14,847 -65.6 -16,300 -66.6 (8.9) GPM increased to Gross Income 7,782 34.4 8,176 33.4 (4.8) 34.4% Operating Expenses -5,738 -25.4 -5,396 -22.0 6.3 Interest Exp (Lease Liab) -429 -1.9 -30
Slide 17: 4th Quarter 2020
4th Quarter 2020 (In Php MM) 4Q2020 % Sales 4Q2019 % Sales % Growth Net Sales 6,840 100.0 6,441 100.0 6.2 Cost of Sales -4,494 -65.7 -4,177 -64.9 7.6 Gross Income 2,346 34.3 2,264 35.1 3.6 Operating Expenses -1,625 -23.8 -1,486 -23.1 9.4 Interest Exp (Lease Liab) -112 -1.6 -92 -1.4 21.6 Other Income
Slide 18: Balance Sheet
Balance Sheet (In Php MM) Audited Dec 31, 2020 Audited Dec 31, 2019 Current Assets 14,390 15,022 Noncurrent Assets 13,828 11,215 Total Assets 28,218 26,237 Current Liabilities 7,621 7,236 Noncurrent Liabilities 5,287 4,339 Total Liabilities 12,908 11,576 Capital Stock 4,100 4,100 Additional Paid-in
Slide 19: Margins
Margins 33.4 34.4 31.4 GPM 29.7 26.8 PFRS 16 PAS 17 13.1 EBITDAM 11.9 11.9 10.4 9.0 11.2 11.4 8.8 9.8 8.5 EBITM 7.8 8.7 8.7 7.2 6.4 NPM Y2016 Y2017 Y2018 Y2019 Y2020 Note: ROU depreciation and interest expense charged on lease liability were considered as rent expense for 2019/2020 19
Slide 20: 2020 CAPEX
2020 CAPEX CAPEX Breakdown (in billions Php) 12M2020 New Stores 1.7 Warehouses, extensions and renovations 0.6 Furniture, Equipment and IT Software 0.2 Total CAPEX in 2020 2.5 20
Slide 21: Outlook
Outlook
Slide 22: 2020 - 2021 Store Expansion Plan
2020 - 2021 Store Expansion Plan 2020 2021 2020: 6 Beg. balance 57 63 2021: 5 Daraga, Albay Makato, Aklan San Jose, Del Monte Commonwealth, QC 1H Calumpit, Bulacan Ormoc, Leyte 2021: 2 Cordon, Isabela Sorsogon Cabuyao, Laguna Pila, Laguna 2021: 2 Olongapo City Tagum 2H Taytay Calapan, Mindoro Malayb
Slide 23: 2021 Planned CAPEX
2021 PLANNED CAPEX 12M 2021 CAPEX Breakdown Budget Expansion-related 2,900 (new stores, renovations, eqpt, warehouses, etc) Solar Panel Project 215 IT Infrastructure and Project 85 Total CAPEX (in millions Php) 3,200 23
Slide 24: 2017 - 2021 Planned New Branches
2017 - 2021 Planned New Branches 54 21 9 6 9 8 Total Planned New Depot Stores - 35 Total number of stores in 2021 - 72 From January 2017 to January 2021, twenty nine (29) new stores were opened, twenty eight (28) depots and one (1) Home Essentials. 24
Slide 25: Continue to increase margins thru in-house & exclusive brands expansion
Continue to increase margins thru in- house & exclusive brands expansion 25
Slide 26: Disclaimer
Disclaimer This presentation does not constitute a prospectus or any kind of offering memorandum in whole or in part. This presentation does not constitute an offer to sell or the solicitation of an offer to buy any securities of the Company. There shall be no sale of these securities in any state o