Joyce Corporation Ltd · ASX:JYC
Joyce — Investor Presentation (April 2025)
26 slides from Joyce's investor presentation, Apr 2, 2025
Slide 1: Investor Presentation - 2 April 2025
For personal use only Investor Presentation - 2 April 2025
Slide 2: A Short History
A Short History KWB Group (12+ years) For personal use only August 2012 o John Bourke & Chris Palin establish KWB Group with footprint of 11 Showrooms (& 80 staff) o Based in Wynnum, QLD July 2013 o Joyce Corporation acquire 51% of KWB Group September 2014 o Move head office to Murrarrie and establi
Slide 3: History of growth
History of growth Consistent Revenue and EBIT Growth for 12+ Years For personal use only $140 $30 $120 $9 Compound Annual Growth Rate since FY13 $10 $25 Revenue ~22% $8 $100 EBIT ~80% $20 $7 $80 Wardrobe Revenue lhs ($M) $15 $4 $5 $60 Kitchen Revenue lhs ($M) $115 $112 $4 EBIT rhs ($M) $100 $4 $10 $
Slide 4: Current Snapshot
Current Snapshot 27 Showrooms March 2025 For personal use only Key Financial Metrics 1HY FY25 o 12 QLD (Kitchen Connection) o 12 NSW (Kitchen Connection) 1HYFY25 PCP Variance o 3 SA (Wallspan) Orders $58.3M $52.3M +11.4% o 34,000 + Lookers in CY24 (-18% v CY23) Revenue $59.2M $62.1M -4.7%* Gross Mar
Slide 5: Kitchen Market Profile
Kitchen Market Profile For personal use only KWB sole focus is on residential renovations New Build Renovations Renovation Market New Build Market (205,000 p.a)* (160,000 o Lower sell price o Higher sell price o Highly competitive p.a)* o Low competition o Low margins o Attractive margins o Trade ba
Slide 6: Kitchen Renovation Market
Kitchen Renovation Market Approx Kitchen Value (Ex Trades) For personal use only $100k $75k Estimated Total Market Size ~$4.25 Billion* Boutique Market Characteristics $50k o Cottage industry o Highly Fragmented o Unsophisticated o Low Tech Do It For $20k Me $10k Do It Yourself $5k Source: *FY23 Est
Slide 7: Kitchen Renovation Outlook
Kitchen Renovation Outlook Significant market size and growth potential For personal use only 7.5 Million homes 2% growth Older than 15 years P.A
Slide 8: Vision
Vision For personal use only “Be the clear market leader in the ‘Do It For Me’ segment of Kitchen Renovations in both revenue and referral”
Slide 9: Mission
Mission For personal use only “Deliver an exceptional retail and installation customer experience that creates referral” Source: www.productreview.com.au – verified customers
Slide 10: Goal
Goal For personal use only $140 “Continue to drive revenue and EBIT growth through $30 network expansion and increasing category $120 attachment” $25 $100 $20 $80 Wardrobe Revenue lhs ($M) $15 $60 Kitchen Revenue lhs ($M) EBIT rhs ($M) $10 $40 $5 $20 $0 $- FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 F
Slide 11: Organisational Strategy
Organisational Strategy Strategic Pillars For personal use only Build infrastructure ahead of growth Quality over quantity – controlled growth (training essential – KWB Group Training Academy) 100% procedural & systems compliance Measure to manage – performance based / Reward success strong metrics
Slide 12: Capital Light Operating Model
Capital Light Operating Model For personal use only New showrooms Self-funded Average Break-Even ~1 Year Workforce flexibility No acquisitions Majority designers / installers are contractors Greenfield start in A-grade homemaker centres Proprietary Software No manufacturing Continued Development ove
Slide 13: Competitor Profile vs KWB Group
Competitor Profile vs KWB Group Typical Competitor KWB For personal use only o Off the shelf software / basic systems Propriety Software & Systems – Unique project o MYOB / hand drawing management tools, CRM / ERP and data rich o Industry experience people (2-6 staff) Non-Industry experience sta
Slide 14: Customer Profile
Customer Profile For personal use only Typical KWB customer profile Family homeowners with mortgage Time poor (do it for me) Females aged 35 – 65 years Previously done DIY Combined incomes $100k+ Kitchen only / part of larger renovation Budget range $20K - $50K (excluding trades)
Slide 15: Sales Funnel
Sales Funnel For personal use only ~35% Orders originate from Digital ~65% Orders visit Showroom directly Google Facebook Website Walk In shopper AdWords National Call Centre Showroom All customers directed to visit Tour showroom before In-Home Design Appointment In-Home Design
Slide 16: Sales Model
Sales Model Defined and Professional Sales Track For personal use only Targeted Sales Metrics –Example- Showroom o Objective: Book in-home design 100 customers appointment o Showroom tour (Qualify & Specify) 20 in-home appointments (20% Conversion) 10 kitchens sold (50% Conversion) In-Home o Objecti
Slide 17: Customer Journey
Customer Journey For personal use only Completion & Showroom Seek Referral (specify & qualify) Installation Design & Sell Management (in home) Logistics Final Site & Delivery Measure Plan & Schedule
Slide 18: Revenue Model
Revenue Model Completion & Showroom For personal use only (specify & qualify) Key stats Seek Referral Trades paid direct by customer 0% bad debt Installation Design & Sell Management (in home) 85% Credit Card or refinance mortgages 10% deposit on signing 15% financed Logistics Final Site (95%
Slide 19: Installation Model
Installation Model For personal use only Scheduling o Delivery date confirmed within 48 hours of sale (~99% delivered in full on time) o Final check measure -1 month prior to delivery Example kitchen CAD design Customer Support Managers (Project managers) o Conducts final Check measure o Redraws (CA
Slide 20: Marketing Strategy
Marketing Strategy Inspiring Showrooms For personal use only o Premium brands and products o Premium & clean look and feel Focused & Measurable Advertising (1.5% of net sales) o TV & Radio 55% spend (on sale 365 days) Digital 45% Paperless Transactions o Digital contracts / approval o Digital brochu
Slide 21: Wardrobes
Wardrobes For personal use only Currently sold in QLD and SA Follows same sales model as kitchens (in–home selling) Very synergistic – uses kitchen manufacturer Proprietary design software / digital contracts Plan to roll out in NSW in FY28 FY24 Revenues $10Mil (+25%)
Slide 22: Growth In Uncertainty
Growth In Uncertainty Home-owners’ equity has grown 34% in past 4 For personal use only A major player with relatively low market share years* Average residential house prices have grown by ~6% p.a. over the last 10 years* Proven business model (pre & post $27,000 kitchen renovation represents ~3% o
Slide 23: Growth Strategy
Growth Strategy For personal use only Showroom target footprint Key product category growth opportunities Showroom target by state Current Target Target Region showrooms additions total QLD 12 3 14 Wardrobes NSW / ACT 12 3 15 VIC - 14 14 SA 3 1 4 WA - 4 4 Flooring Total 27 24 51 Target additions inc
Slide 24: THANK YOU
For personal use only THANK YOU
Slide 25: Disclaimer
Disclaimer Information contained in this presentation may involve forward looking statements, No warranty or representation is expressed or implied or will be made as to the and comments about the future including possible future performance estimates, fairness, accuracy, completeness or correctness
Slide 26: References
References This Presentation should be read in conjunction with the following documents lodged with the ASX on 28 February 2025 under For personal use only the ASX ticker JYC: o Investor Presentation - Half-Year Results 31 December 2024 o Appendix 4D and 31 December 2024 Half-Year Financial Report 2