Beacon Lighting Group Ltd · ASX:BLX

Beacon Lighting — FY2018 Earnings Presentation

25 slides from Beacon Lighting's earnings presentation, Aug 16, 2018

  1. Slide 1: FY2018 Results Presentation

    For personal use only Beacon Lighting Group Limited FY2018 RESULTS PRESENTATION AUGUST 2018

  2. Slide 2: Contents

    CONTENTS For personal use only 1 RESULTS OVERVIEW 2 FINANCIAL RESULTS 3 CASH FLOW, BALANCE SHEET & DIVIDENDS 4 GROWTH STRATEGIES 5 FY2019 OUTLOOK 6 QUESTIONS 7 APPENDIX FY2018 RESULTS PRESENTATION 2

  3. Slide 3: Results Overview

    For personal use only 1 RESULTS OVERVIEW

  4. Slide 4: FY2018 Highlights

    1 FY2018 HIGHLIGHTS For personal use only • Record Group sales result at $236.0m an increase of 9.7% • Record sales result for Beacon Lighting Company Stores, Online Sales Channels, Beacon Lighting Commercial, Beacon International, Light Source Solutions Globes, Light Source Solutions Roadway and Ma

  5. Slide 5: FY2018 Result

    1 FY2018 RESULT For personal use only #039;000 FY2017 FY2018 Change $ Change % Sales (1) 215,019 235,964 20,945 9.7% Gross Profit 136,255 155,065 18,810 13.8% Gross Profit Margin % 63.4% 65.7% Other Income 2,489 1,819 (670) (26.9%) % of Sales 1.2% 0.8% Operating Expenses (2) (111,128) (123,712) (12,584

  6. Slide 6: Financial Results

    For personal use only 2 FINANCIAL RESULTS

  7. Slide 7: Sales

    2 SALES For personal use only SALES: $236.0m increased by 9.7% COMPARATIVE SALES: Increased by 1.6% • Good sales growth in VIC and SA • Comparative gross profit margin increased by 3.4% (2) • Comparative sales growth excluding impacted stores was 4.4% (2) • WA sales remain challenging but profit con

  8. Slide 8: Gross Profit

    2 GROSS PROFIT For personal use only GROSS PROFIT $: Increased by 13.8% to $155.1m • Continued innovation in product development to grow gross profit dollars and margins • Return to the regular marketing program has assisted in the recovery in the gross profit • Stronger AUD has assisted with the cu

  9. Slide 9: Operating Expenses / Other Income

    2 OPERATING EXPENSES / OTHER INCOME For personal use only Opex: Increased 0.7% of Sales to $123.7m #039;000 FY2017 FY2018 Change $ Change % Other Income 2,489 1,819 (670) (26.9)% • Other Income continues to decline as franchise stores are % of Sales 1.2% 0.8% converted into company stores • Continued i

  10. Slide 10: Cash Flow, Balance Sheet and Dividends

    For personal use only 3 ASH FLOW, BALANCE SHEET C AND DIVIDENDS

  11. Slide 11: Cash Flow

    3 CASH FLOW For personal use only • Capex and Acquisitions reduced #039;000 FY2017 FY2018 significantly in FY2018 following Cash Flow from Operations record investments in FY2017 Receipts from Customers 238,846 259,833 • Borrowings reduced using positive Payments to Suppliers & Employees (209,926) (236

  12. Slide 12: Balance Sheet

    3 BALANCE SHEET For personal use only #039;000 FY2017 FY2018 • Receivables increased with growth in emerging businesses Cash 12,925 10,671 Receivables 9,613 10,945 • Inventories increased to support new stores and Inventories 55,267 62,446 emerging businesses Other 1,175 1,871 Total Current Assets 78,9

  13. Slide 13: Dividends

    3 DIVIDENDS For personal use only • Paid fully franked dividend of 2.5 cents per Annual Dividend Declaration Cents share for H1 FY2018 5.00 4.75 • Declared a fully franked dividend of 2.5 cents 4.70 per share for H2 FY2018 4.20 • Fully franked dividend of 5.0 cents per share for FY2018, an increase

  14. Slide 14: Growth Strategies

    For personal use only 4 GROWTH STRATEGIES

  15. Slide 15: Growth Strategies: Strategy Update

    4 GROWTH STRATEGIES For personal use only STRATEGY UPDATE Brand and Customer Beacon Lighting will continue to enhance • Core range of more than 3,000 of the latest fashionable, technically advanced the brand and the customer experience and energy efficient lighting and fan products in order to incre

  16. Slide 16: Growth Strategies (Continued)

    4 GROWTH STRATEGIES (CONTINUED) For personal use only STRATEGY UPDATE New Store Rollout Beacon Lighting will target the opening • Opened 6 new company stores at Carlton (NSW), Bayswater (VIC), Crows Nest of 6 new company operated stores in (NSW), Gladesville (NSW), Mentone (VIC) and South Morang (VI

  17. Slide 17: Growth Strategies (Continued)

    4 GROWTH STRATEGIES (CONTINUED) For personal use only STRATEGY UPDATE Emerging Beacon Lighting will target the • Beacon International continues to expand the sales channels in the USA and Europe Businesses growth of sales and profits of • Light Source Solutions Globes have developed a full GE produc

  18. Slide 18: FY2019 Outlook

    For personal use only 5 FY2019 OUTLOOK

  19. Slide 19: FY2019 Outlook

    5 FY2019 OUTLOOK For personal use only • Comparative sales for the first 7 weeks of FY2019 are in line with last year's sales • The Underwood (QLD) franchise store will be converted into a company store in August 2018 • Three new company stores in Warrnambool (VIC), Mackay (QLD) and Craigieburn (VIC

  20. Slide 20: Questions

    For personal use only 6 QUESTIONS

  21. Slide 21: Appendix

    7 APPENDIX For personal use only 1. Disclaimer 2. Financial Information 3. H1 & H2 Split YOY 4. Earnings FY2018 RESULTS PRESENTATION 21

  22. Slide 22: Appendix 1: Disclaimer

    7 APPENDIX 1: DISCLAIMER For personal use only The Presentation contains “forward-looking statements”. All statements other than those of historical facts included in the Presentation are forward-looking statements. Where the Company expresses or implies an expectation or belief as to future events

  23. Slide 23: Appendix 2: Financial Information

    7 APPENDIX 2: FINANCIAL INFORMATION For personal use only For the purposes of this presentation, please note the following: • FY2018 was for the 52 weeks ending 24 June 2018 as presented in the Annual Report 2018 • FY2017 was for the 52 weeks ending 25 June 2017 as presented in the Annual Report 201

  24. Slide 24: Appendix 3: H1 & H2 Split YOY

    7 APPENDIX 3: H1 & H2 SPLIT YOY For personal use only #039;000 H1 FY2017 H1 FY2018 $ Change % Change H2 FY2017 H2 FY2018 $ Change % Change Sales (1) 109,573 122,658 13,085 11.9% 105,446 113,306 7,860 7.5% Gross Profit 68,131 80,001 11,870 17.4% 68,124 75,064 6,940 10.2% Gross Profit Margin % 62.2% 65.2

  25. Slide 25: Appendix 4: Earnings

    7 APPENDIX 4: EARNINGS For personal use only EBITDA: +20.1% to $33.2m EBIT: +19.0% to $29.3m FY2016 (1) 33.2 29.3 29.2 26.6 27.4 27.6 25.0 24.6 20.1 18.1 FY2014 FY2015 FY2016 (1) FY2017 FY2018 FY2014 FY2015 FY2016 (1) FY2017 FY2018 NPAT: +17.7% to $19.6m EPS: +17.6% to 9.09 cents 19.6 9.09 17.8 8.27

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