Helen Of Troy Limited · NASDAQ:HELE
Helen Of Troy — Shareholder Meeting (August 2019)
23 slides from Helen Of Troy's shareholder meeting presentation, Aug 21, 2019
Slide 1: 2019 Annual General Meeting of the Shareholders
Invest in Leadership Brands Optimize Double Capital Down on Deployment International 2019 Annual General Meeting of Maximize Selective the Shareholders Operating Efficiency & Strategic M&A August 21, 2019 Accelerate Consumer Shared Service Centric Excellence Unify & Elevate the Best People
Slide 2: Forward Looking Statements and Reconciliation of Non-GAAP Financial Measures
Forward Looking Statements and Reconciliation of Non-GAAP Financial Measures Forward Looking Statements: Certain written and oral statements made by the Company and subsidiaries of the Company may constitute “forward-looking constraints on its cash resources and ability to operate its business, the
Slide 3: Evolution of Transformation Strategy
Evolution of Transformation Strategy Phase I: FY15-FY19 Phase II: FY20-FY24 Invest in Leadership Brands Optimize Double Capital Down on Deployment International Maximize Selective Operating & Strategic Efficiency M&A Accelerate Consumer Shared Centric Service Excellence Unify & Elevate the Best Peop
Slide 4: Phase I Produced Strong Results
Phase I Produced Strong Results Revenue ($ in Millions) Adjusted Operating Income ($ in Millions) $1,564 $1,479 $239 $224 $210 $1,383 $1,398 $194 $183 $188 $1,335 $1,308 Adjusted Operating 14.0% 14.1% 14.0% 15.0% 15.1% 15.3% YOY Growth 1.5% 2.1% 3.6% 1.0% 5.8% 5.8% Margin FY14 FY15 FY16 FY17 FY18 FY
Slide 5: Phase I also Delivered Strong Return on Invested Capital
Phase I also Delivered Strong Return on Invested Capital 14.3% 15.0% 14.0% 10.9% 13.0% 6.3% 12.0% 3.3x 11.0% 1.9% 10.0%Cost of Capital 9.0% 8.0% 9.0% 8.0% 7.0% 6.0% 5.0% FY15 FY19 Cost of Capital (WACC) ROIC Margin Return on Invested Capital (ROIC) 5
Slide 6: Strong Portfolio of Leadership Brands
Strong Portfolio of Leadership Brands #1 #1 #1 #1 #1 #1 #1 Phase I 11.1% Leadership Brand Consumer Ear Faucet Mount Pharmacy Air Purifiers Outdoor Stylist Thermometers Purifiers Humidifiers Premium Kitchen Thermal Preferred Net Sales CAGR & Home Hydration U.S. #2 Gadgets Professional Curling Iron Pi
Slide 7: Investments in Digital are Driving Online Sales
Investments in Digital are Driving Online Sales 19% of total net sales +32.5%* YOY +28 % YAGO 6.4% * of 6% of total total net sales net sales FY14 FY15 FY16 FY17 FY18 FY19 7
Slide 8: 39 Industry Awards Since 2018 for Outstanding Innovation, Design & Performance
39 Industry Awards Since 2018 for Outstanding Innovation, Design & Performance Honeywell HUL430 Humidifier Braun iCheck 7 Blood Pressure Monitor OXO Silicone Dough Rolling Bag OXO TOT Silicone Self Feeder (Feeding) Pur Advanced Filtration System BNA 100 Nasal Aspirator Braun ActivScan 9 Upper Arm Mo
Slide 9: Strong Track Record as a Best-in-Class Licensee
Strong Track Record as a Best-in-Class Licensee 9
Slide 10: Winning in the Marketplace
Winning in the Marketplace 2017 2018 2018 10
Slide 11: Corporate Identity Refresh
Corporate Identity Refresh 11
Slide 12: Becoming the Employer of Choice
Becoming the Employer of Choice Glassdoor App 12 Proprietary and Confidential Source: Glassdoor.com
Slide 13: Employer of Choice Top 20% of Peer Group Overall Rating >4
Glassdoor Ratings vs. Proxy Group (Current & Former Associates) Positive Recommend to Culture & Business Work/Life Senior Compensation Career Number of Overall a Friend CEO Approval Values Outlook Balance Management & Benefits Opportunties Reviews Helen of Troy 4.2 89% 98% 4.3 80% 4.2 4 4 3.8 169 Th
Slide 14: Transformation Shares Awarded in 2018
Transformation Shares Awarded in 2018 50 Shares granted to Helen of Troy Associates “all levels & allall locations” levels & all locations Phase I - winning Shared Success: Celebrating 50th anniversary Phase II – exciting future Ownership behavior is powerful Thank You Helen of Troy Associates! 14
Slide 15: Strong Shareholder Return; Opportunity to Create Even More Value in Phase II
Strong Shareholder Return; Opportunity to Create Even More Value in Phase II COMPARISON OF 62-MONTH CUMULATIVE RETURN FOR HELEN OF TROY LIMITED, PEER GROUP INDEX AND NASDAQ MARKET INDEX 250 200 150 100 50 2014 2015 2016 2017 2018 2019 4/30/2019 HELEN OF TROY LIMITED PEER GROUP INDEX NASDAQ MARKET IN
Slide 16: Invest in Leadership Brands
Invest in Leadership Brands Optimize Double Capital Down on Deployment International Maximize Selective Operating & Strategic Efficiency M&A Accelerate Consumer Shared Service Centric Excellence Unify & Elevate the Best People 16
Slide 17: Phase II Financial Targets
Phase II Financial Targets* Phase II Targets* Annual Core Business Sales Growth 2.5% to 3.5% Annual Operating Margin Expansion (1) 20 to 30 bps Annual EPS Growth (2) ≥ 8% Annual Growth Investment Increase ≥ 10% ROIC (1) ≥ 20% by FY24 Annual Cash Flow From Operations Growth (1) ≥ 10% Annual Capital E
Slide 18: Value Creation Flywheel
Value Creation Flywheel Accretive and Low Risk Leadership Brand Capital Deployment Innovation and Investment Organic Revenue Low Capex Growth Working Capital Margin Expansion Improvement Debt and Tax Efficiency 18
Slide 19: Honeywell Dream Weaver: The First Sleep Fan with Pink Noise Technology
Honeywell Dream Weaver: The First Sleep Fan with Pink Noise Technology 19
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Slide 21: Innovation is Key to Winning
Innovation is Key to Winning Consumer Centric 21
Slide 22: Phase II is Designed to Deliver to All Key Stakeholders
Phase II is Designed to Deliver to All Key Stakeholders Associates Consumers Elevate our culture and Elevate lives every management capability day with high-quality to Attract, Retain, Unify solutions from and Train the best trusted, compelling people for rewarding brands long-term careers Customers
Slide 23: 2019 Annual General Meeting of the Shareholders
Invest in Leadership Brands Optimize Double Capital Down on Deployment International 2019 Annual General Meeting of Maximize Selective the Shareholders Operating Efficiency & Strategic M&A August 21, 2019 Accelerate Consumer Shared Service Centric Excellence Unify & Elevate the Best People