Nick Scali Limited · ASX:NCK
Nick Scali — Investor Presentation (August 2019)
11 slides from Nick Scali's investor presentation, Aug 8, 2019
Slide 1: FY19 Results Presentation
nickseall . Nick Scali Limited | NCK.ASX FY19 Results Presentation 8 August 2019
Slide 2: Results Overview
Results Overview FY19 Highlights • Sales increased 7% to $268.0m (FY18: $250.8m) Sales • Increase assisted by full year of sales from six stores opened in FY18 and part contribution of a further six stores opened in FY19 Margin • Gross margin increased by 20 bps to 62.9% NPAT • NPAT increased 3% to
Slide 3: Sales Growth
Sales Growth Sales Revenue $’m Sales Commentary Sales growth driven by full year contribution of six stores opened in FY18, and part year contribution of four of the six new stores opened in FY19 LFL sales down 1.1% due to softer second half performance Orders up similar to revenue, with netwo
Slide 4: Profit & Loss
Profit & Loss FY19 FY18 Change Gross Profit Sales revenue 268.0 250.8 + 17.2 Cost of sales (99.4) (93.6) - 5.8 Gross profit up over 7% due to sales growth and 20bps improvement in gross margin Gross profit 168.6 157.2 + 11.4 Other income 2.2 1.9 + 0.3 Gross margin improvement due to new product
Slide 5: NPAT Growth
NPAT Growth Net Profit after Tax $’m NPAT Commentary NPAT up 2.8% to $42.1m Seventh consecutive year of profit growth 41.0 42.1 37.2 26.2 17.1 12.2 14.2 9.0 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY13 excludes one-off gain on lease surrender 5
Slide 6: Balance Sheet
Balance Sheet FY19 FY18 Change Inventory Cash 36.3 36.6 - 0.3 Improvements in inventory management resulting in reduced Receivables 1.2 1.9 - 0.7 stock on hand in Distribution Centres Inventory 37.6 36.2 + 1.2 Increased showroom inventory due to store growth – new Fixed assets 92.7 91.9 + 0.8 st
Slide 7: Cashflow
Cashflow FY19 FY18 Change Cashflow Commentary Receipts from customers 295.4 274.2 + 21.2 Payments to suppliers/employees (232.1) (214.6) - 17.5 Strong correlation between profitability and cashflow, due to stable balance sheet and tight working capital management Operating cashflow before 63.3 59.
Slide 8: Outlook
Outlook New stores The Company will open four new stores in the current financial year, two of which will be in Auckland, New Zealand. It is important we continue to capitalise on the successful launch of the brand in New Zealand. Our long-term store network target is 80-85 stores throughout Austral
Slide 9: Important notice and disclaimer
Important notice and disclaimer Nick Scali Limited (the “Company”) advises that the information in this presentation contains general background information about the Company’s activities as at the date of the presentation. It is information given in summary form and is based on information availabl
Slide 10: Appendix – Store network
Appendix 1 – Store network NSF store network, at 30 June 2019 Network changes, FY19 FY18 Opened Closed FY19 Australia Nick Scali Furniture 50 5 - 55 Nick Scali Clearance 4 2 1 5 54 7 1 60 14 New Zealand 6 Nick Scali Furniture 1 1 - 2 1 1 - 2 4 Total 55 8 1 62 17 1 2 Six new NSF stores opened in FY19
Slide 11: Appendix – Historical Performance
Appendix 2 – Historical Performance FY15 FY16 FY17 FY18 FY19 Sales revenue 155.7 203.0 232.9 250.8 268.0 Cost of sales (61.3) (79.7) (87.3) (93.6) (99.4) Gross profit 94.5 123.4 145.6 157.2 168.6 Other income 1.5 1.4 1.6 1.9 2.2 Operating expenses (69.0) (83.8) (90.5) (95.6) (105.8) EBITDA 27.0 41.0