Spar Group Limited · JSE:SPP
Spar — The SPAR Group — Non-Deal Roadshow (December 2010)
26 slides from Spar's roadshow presentation, December 2010
Slide 1: SPAR
Slide 2: Agenda
Agenda Financial overview Retail performance Distribution update Looking forward Questions 2
Slide 3: Financial Overview
Financial Overview R million 2009 2010 % Change Turnover 31 962 34 844 9.0 Trading profit 1 215 1 316 8.4 PAT 745 916 22.9 HEPS (excl BEE) 484.8 543.7 12.1 Dividend (cents) 322 362 12.4 Return on equity 43.5 44.4 3
Slide 4: Financial Overview
Financial Overview Turnover (Rm) 2009 2010 % Change Spar/TOPS 29 158 31 541 8.2 Build it 2 804 3 303 17.8 TOTAL 31 962 34 844 9.0 Liquor sales (TOPS & SPAR) 1 732 2 173 25.5 4
Slide 5: Financial Overview
Financial Overview Margins (as % turnover) 2009 2010 Gross margin 8.0 7.9 Net expenses (4.2) (4.1) Net trading margin 3.8 3.8 5
Slide 6: Cash flow
Cash flow Rm Cash flow from trading 1 461 Working capital changes (257) 1 204 Capex (206) Acquisitions – Retail Stores (54) Tax (385) Dividends (579) Loans/shares (143) Net cash outflow (163) 6
Slide 7: Retail Performance
Retail Performance Retail Turnover 2009 2010 % Rbn Rbn Change SPAR 41.1 44.6 8.6 TOPS 2.8 3.5 24.1 Build it 4.5 5.4 19.0 48.4 53.5 10.5 7
Slide 8: SPAR Retail Sales
SPAR Retail Sales 8
Slide 9: Retail Performance
Retail Performance Retail Stores 2009 2010 Change Superspar 242 256 +14 Spar 462 458 (4) Kwikspar 142 132 (10) 846 846 0 Sqm 000’s 883 898 +1.8% Remodels 146 137 Tops 416 459 +43 Build it 250 260 +10 9
Slide 10: Distribution Update
DISTRIBUTION UPDATE 10
Slide 11: South Rand
SOUTH RAND 60 000m² 11
Slide 12: North Rand
NORTH RAND 33 600m² 12
Slide 13: KZN Dry
KZN DRY 39 500m² 13
Slide 14: KZN Perishables
KZN PERISHABLES 10 000m² 14
Slide 15: Western Cape
33 500m? Lu a. < O Z Or iT - ) uu S
Slide 16: Eastern Cape
EASTERN CAPE 24 000m² 16
Slide 17: East Cape Satellite Warehouse
EAST CAPE SATELLITE WAREHOUSE 6 000m² 17
Slide 18: Lowveld
LOWVELD 18 000m² 18
Slide 19: Imports Warehouse
IMPORTS WAREHOUSE 10 000m² 19
Slide 20: Looking forward …
Looking forward … • Trading environment • Key issues 20
Slide 21: Trading Environment
Trading Environment • Business confidence • Economy - rand - interest rates - food inflation • Competition 21
Slide 22: Key Issues
Key Issues Retail • Growth - new sites 22
Slide 23: Key Issues
Key Issues Retail Stores Projected 2010 2011 Superspar 256 +10 Spar 458 +13 Kwikspar 132 +2 846 +25 Sqm 898 +3% Remodels 146 +137 Tops 459 +35 Build it 260 +18 23
Slide 24: Key Issues
Key Issues Retail • Growth - new sites - existing stores • Retail profitability • Securing finance for retailers • Retail division • Marketing 24
Slide 25: Key Issues
Key Issues Wholesale • Warehouse facilities • Build it wholesale • Lean organisation • Transformation • Competition Commission 25
Slide 26: Questions
QUESTIONS 26