Axfood AB · OMXSTO:AXFO
Axfood AB — Q1 2006 Earnings Presentation
18 slides from Axfood AB's earnings presentation, 2006
Slide 1: Axfood AB Interim Report 1 January–31 March
Axfood AB INTERIM REPORT 1 JANUARY–30 MARCH INTERIM REPORT AXFOOD AB, 1 JAN–31 MAR 1
Slide 2: Axfood AB 1 January–31 March
Axfood AB 1 January–31 March Consolidated operating profit was SEK 226 m (242) The operating margin was 3.3% (3.6%) Sales for Axfood’s wholly owned stores in Sweden rose 5.5%, with a 0.6% decrease in like-for-like sales Consolidated sales totalled SEK 6,820 m (6,651) Stable earnings for Willys, Axfo
Slide 3: Important events 1 January–31 March
Important events 1 January–31 March Mats Jansson new Chairman of the Board Per Uebel new President of Hemköp Håkan Åkerström new President of Dagab Willys opened four new stores Share repurchases INTERIM REPORT AXFOOD AB, 1 JAN–31 MAR 3
Slide 4: Axfood AB – Integration process
Axfood AB – Integration process Continued focus on: – profitable growth – optimization of operations – cost efficiencies Merger of Willys and Willys hemma INTERIM REPORT AXFOOD AB, 1 JAN–31 MAR 4
Slide 5: Businesses, 1 January–31 March
Businesses, 1 January–31 March Sales rose 10.5%, with a 0.6% decrease in like-for-like sales Operating profit: SEK 112 m (120). Operating margin: 3.4% (4.0%). Opening of another four Willys stores: – Lidingö, Täby (“Super-Willys”), Borlänge (“Super-Willys”) and Skellefteå Sales increased by 0.6%, wi
Slide 6: Businesses, 1 January–31 March
Businesses, 1 January–31 March Hemköp has 83 wholly owned stores and 78 franchise stores Sales including franchise stores increased by 2.8% Sales for wholly owned stores decreased by 3.3%, with a 0.5% decrease in like-for-like sales Operating profit: SEK 19 m (25). Operating margin: 1.3% (1.6%) Prep
Slide 7: Businesses, 1 January–31 March
Businesses, 1 January–31 March Operating profit: SEK 48 m (62). Operating margin: 1.0% (1.4%) 97% of Dagab’s sales from our own store concepts Replenishment ratio at all time high Håkan Åkerström new President Operating profit: SEK 10 m (12). Operating margin: 1.0% (1.2%) Continued fierce competitio
Slide 8: Top of the agenda
Top of the agenda Turnaround for Hemköp Organic growth Continued integration Forecast: We expect that profit for 2006 to be level with the outcome for 2005. INTERIM REPORT AXFOOD AB, 1 JAN–31 MAR 8
Slide 9: Key ratios
Key ratios Jan.-March Jan.-Dec. SEK m 2006 2005 2005 *Net sales 6 820 6 651 28 086 *Operating profit 226 242 1 040 *Operating margin, % 3,3 3,6 3,7 *Profit after financial items 223 238 1 026 *Profit after tax 161 168 729 *Earnings per share, SEK 2,96 3,10 13,37 Equity ratio, % 33,8 35,9 38,9 Return
Slide 10: Net sales per business unit
Net sales per business unit Jan.-March Jan.-Dec. SEK m 2006 2005 2005 Hemköp 1 472 1 519 6 198 Willys 3 282 2 971 12 675 Willys hemma 310 308 1 251 Axfood Närlivs1 1 010 1 032 4 680 Dagab2 4 801 4 425 19 487 Other3 234 207 848 Internal sales4 -4 289 -3 811 -17 053 Net sales from continuing operation
Slide 11: Net sales stores
Net sales stores January.- March SEK m 2006 2005 % change Hemköp wholly owned 1 459 1 509 -3,3% Hemköp franchises 778 667 16,5% Hemköp, total 2 237 2 176 2,8% Willys 3 282 2 971 10,5% Willys hemma 310 308 0,6% Total 5 829 5 455 6,8% Like-for-like sales 5 283 5 278 0,1% INTERIM REPORT AXFOOD AB, 1 JA
Slide 12: Operating profit for the period (EBIT), per business unit
Operating profit for the period (EBIT), per business unit Jan.-March Jan.-Dec. SEK m 2006 2005 2005 Hemköp 19 25 30 Willys 112 120 522 Willys hemma -2 -6 -16 Axfood Närlivs 10 12 103 Dagab 48 62 272 Other3 39 29 129 Operating profit for the period from 226 242 1 040 continuing operations Operating l
Slide 13: Condensed balance sheet
Condensed balance sheet SEK m 2006-03-31 2005-03-31 2005-12-31 Assets Goodwill 1 131 1 109 1 131 Interest-bearing receivables – 4 – Financial fixed assets 32 145 32 Other fixed assets 1 695 2 007 1 684 Total fixed assets 2 858 3 265 2 847 Inventories 1 505 1 595 1 598 Accounts receivable -- trade 46
Slide 14: Condensed balance sheet, cont.
Condensed balance sheet, cont. SEK m 2006-03-31 2005-03-31 2005-12-31 Shareholders' equity and liabilities Majority owner's share of shareholders' equity 1 994 2 278 2 825 Minority owner's share of shareholders' equity – 119 119 Total shareholders' equity 1 994 2 397 2 944 Interest-bearing long-term
Slide 15: Condensed profit and loss account
Condensed profit and loss account Jan.-March Jan.-Dec. SEK m. 2006 2005 2005 Continuing operations Net sales 6 820 6 651 28 086 Cost of goods sold -5 885 -5 699 -24 172 Gross profit 935 952 3 914 Selling/administrative expenses, etc. -709 -710 -2 874 Operating profit 226 242 1 040 Net financial item
Slide 16: Specification of Cash flow from changes in working capital
Specification of Cash flow from changes in working capital January - March SEK m 2006 2005 –Cash flow from changes in working capital, exclusive tax 328 342 –Taxes payed -450 -84 Cash flow from changes in working capital -122 258 INTERIM REPORT AXFOOD AB, 1 JAN–31 MAR 16
Slide 17: Condensed cash flow statement
Condensed cash flow statement Jan.-March Jan.-Dec. SEK m 2006 2005 2005 Operating activities –Cash flow from operating activities before changes in working capital -129 260 1 246 –Changes in working capital 7 -2 -76 Cash flow from changes in working capital -122 258 1 170 Investing activities –Compa
Slide 18: Key ratios and other data
Key ratios and other data 31/3/2006 31/3/2005 31/12/2005 *Operating margin, % 3,3 3,6 3,7 *Margin after financial items, % 3,3 3,6 3,7 Equity ratio, % 33,8 35,9 38,9 Debt-equity ratio, net, multiple 0,3 0,1 0,01) Debt-equity ratio, multiple 0,44 0,26 0,22 Interest coverage, multiple 45,6 26,3 31,6 C