Lecico Egypt Sae · EGX:LCSW

Lecico Egypt Sae — FY2022 Earnings Presentation

16 slides from Lecico Egypt Sae's earnings presentation, March 2023

  1. Slide 1: Full year 2022

    Full year 2022.

  2. Slide 2: Corporate Summary

    Corporate Summary

  3. Slide 3: Introduction: An Egyptian exporter

    Introduction: An Egyptian exporter  Lecico Egypt S.A.E. was founded in 1959 and has been majority owned by the Gargour family since 1969  The company has a global competitive advantage making European Kfarchima quality sanitary ware at Egyptian costs Established 1959  Lecico finished expansions i

  4. Slide 4: A major sanitary ware exporter

    A major sanitary ware exporter

  5. Slide 5: Significant cost advantage

    Significant cost advantage International cost advantage Lecico produces sanitary ware at an all-in average cost of US$17.85/piece (FY 2022) – In Egypt (without costs of subsidiaries/consolidation) manufacturing cost averages US$13.90/piece of sanware (FY 2022) – Our information suggests other low co

  6. Slide 6: A major sanitary ware exporter to Europe

    A major sanitary ware exporter to Europe Growth in group’s exports Export focus on Europe Lecico’s total export volumes (sanitary ware) Egypt’s leading sanitary ware exporter Pieces (000) Exports/total 4,000 66% 68% 70% 70% 73% 80% •Lecico exports over 80% of its sanitary ware sales value 58% 61% 3,

  7. Slide 7: Financial overview

    Financial overview

  8. Slide 8: Profit and loss

    Profit and loss Net Sales Cost of sales breakdown 2022 LE million 58% Exports (%) 57% Raw materials (25%) 3,500 54% 52% 53% 60% 52% 3,000 50% Other materials (17%) 42% 40% 2,500 40% 40% Energy (16%) 2,000 30% 1,500 Salaries and wages (18%) 20% 1,000 500 10% Depreciation (3%) 1,573 1,501 1,371 1,573

  9. Slide 9: Quarterly P&L Trends

    Quarterly P&L Trends Net sales Gross profit 1000 900 250 50% 800 200 40% 700 Revenues (LE m) Gross margin (%) Gross Profit (LE m) 600 150 30% 500 22% 22% 21% 25% 22% 20%20% 19% 20% 20% 400 18% 100 18% 18% 20% 15% 15% 17% 300 16% 13% 200 50 10% 9% 11% 10% 11% 100 3% 3% 546 586 634 641 653 705 691 656

  10. Slide 10: P&L Breakdown by Quarter

    P&L Breakdown by Quarter Lecico Group 2020 2021 2022 2017 2018 2019 2020 2021 2022 Profit & Loss (LE Million) Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY FY FY FY FY FY Sanitary Ware 305.5 213.1 334.3 345.9 358.2 411.9 429.5 408.2 430.6 490.9 511.8 571.2 1,497.3 1,617.2 1,416.1 1,198.7 1,607.8 2,004.5 Ti

  11. Slide 11: Key Segmental Analysis

    Key Segmental Analysis Sanitary ware – sales volumes and revenue Sanitary ware – selling price and cost per piece Sanitary ware – gross profit and margin 450 100 500 50% 2,500 6.0 5.3 5.3 90 450 5.1 400 5.0 5.1 5.0 4.8 4.7 5.0 80 400 40% 2,000 350 31% Gross margin (%) 4.0 Gross profit (LE m) 70 350

  12. Slide 12: Quarterly Key Segmental Trends

    Quarterly Key Segmental Trends Sanitary ware sales volumes Sanitary ware average price and cost 1,200 90% 500 120 80% 450 1,000 100 70% 400 350 80 800 60% 300 50% 60 600 250 40% 40 200 400 30% 150 20 20% 100 200 0 10% 50 0 0% 0 (20) 3Q 18 1Q 17 2Q 17 3Q 17 4Q 17 1Q 18 2Q 18 4Q 18 1Q 19 2Q 19 3Q 19 4

  13. Slide 13: All Segmental Breakdowns by Quarter

    All Segmental Breakdowns by Quarter Lecico Group 2020 2021 2022 2017 2018 2019 2020 2021 2022 Sanitary Ware Analysis Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY FY FY FY FY FY Volume (000's pieces) Egypt 256 256 301 300 354 235 295 339 375 277 302 402 1,825 1,728 1,389 1,113 1,224 1,356 Lebanon 39 13 19

  14. Slide 14: Balance Sheet by Quarter

    Balance Sheet by Quarter Balance Sheet 2017 2018 2019 2020 2020 2020 2020 2021 2021 2021 2021 2022 2022 2022 2022 (LE m) 4Q 4Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Cash and short-term investments 261.3 186.9 129.0 231.6 216.7 179.2 119.4 154.7 155.8 145.3 177.1 296.0 285.0 452.4 498.0 Inventory 11

  15. Slide 15: Working Capital and Returns

    Working Capital and Returns Working capital Days 300 250 200 150 100 . 50 221 88 49 274 178 75 36 221 164 66 31 200 151 66 30 143 165 63 74 174 169 78 54 177 0 2017 2018 2019 2020 2021 2022 Inventory days (Inventory/Cost of sales) Receivables days (Receivables/net sales) Payables days (Payables/Cost

  16. Slide 16: Thank you

    Thank you For additional information, please contact: Taher G. Gargour Telephone: +203 518 0011 Fax: +203 518 0029 E-mail: tgargour@lecico.com Visit our website at: www.lecico.com Forward-looking statements: This presentation may contain certain “forward-looking statements”, relating to Lecico Egypt

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