Slide 1: Kamux — Quarterly Results Presentation January―September 2019
Kamux — Quarterly Results Presentation January―September 2019 November 8, 2019 CEO Juha Kalliokoski CFO Marko Lehtonen
Slide 2: Table of Contents
Table of Contents Quarterly Results Presentation Q3/2019 Outlook and Financial Q3/2019 in Brief Financial Development Summary Targets
Slide 3: Kamux Vision: #1 used car retailer in Europe
Kamux Vision #1 used car retailer in Europe
Slide 4: Kamux Q3 2019 in Brief
Kamux Q3 2019 in Brief 1. 3. 5. Internationalization proceeded strongly. Revenue increased by Adjusted operating Total revenue increased in Sweden by 30.6% profit increased by 29.0% 55.4% to EUR 42.8 million to EUR 182.8 million and in Germany by (140.0) to EUR 8.6 million (6.6) 74.5% to EUR 14.6 mi
Slide 5: The Used Car Market is Large and Fragmented
The Used Car Market is Large and Fragmented USED CAR SALES IN EUROPE NEW CAR SALES 2x IN EUROPE CONSUMER- SMALL, LOCAL NEW CAR TO- USED CAR “There are virtually CONSUMER DEALERSHIPS RETAILERS no other strongly TRADE digital, Kamux-like international chains on the market specializing in used cars.” E
Slide 6: Digitally Driven Sales Leads to Customer Interaction
Digitally Driven Sales Leads to Customer Interaction 30% DIGITAL BUYERS IN FINLAND 26% DIGITAL BUYERS IN THE GROUP (1) 65—70% CUSTOMER JOURNEY STARTS ONLINE, SERVICE CONTINUES AT THE SHOWROOM (2) 1—2% IN STORE BUYERS: (2) FROM START TO FINISH (1) Cross-selling 1—9/2019 (2) According to the company’s
Slide 7: Multichannel Retailing in Numbers
Multichannel Retailing in Numbers OVER 10 800,000 DIGITAL SALES CHANNELS WEBSITE VISITS A MONTH 71 SHOWROOMS IN KAMUX.FI/SE/DE NETWORK
Slide 8: Showrooms, November 2019
Showrooms, 8 November 2019 2019 FIN SWE GER OPENINGS 2019 Limingantulli Karlskrona Q1 Kajaani Norrtälje 5 Klaukkala Q2 Forssa Helsingborg 2 Stade Q3 Heide 2 Q4 Halmstad 1 Openings by country 4 4 2 10 Showrooms, 8 Nov 2019 48 17 6 71 Göteborg >> Sundsvall Announced openings Kaltenkirchen Stockholm
Slide 9: Kamux's Market Position Strengthened in Q3
Kamux’s Market Position Strengthened in Q3 Market Kamux’s Market Kamux’s position and * 1—9/2019 new car registrations in size market development development during European Union region have declined Market (2018) share during Q3 Q3 -1.6% compared to the last year. Finland ~0.5 ~8.0% We estimate th
Slide 10: Kamux Q3 2019 — Revenue Increased by 30.6%
Kamux Q3 2019 — Revenue Increased by 30.6% Revenue (EUR million) Adjusted Operating Profit (EUR million) +29,0% +30,6% 200 9 180 8 160 7 140 6 120 5 100 4 80 3 60 40 2 20 1 0 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2017 2018 2019 2017 2018 2019 • The growth was fully organic and it was based on the sales • Adjust
Slide 11: Number of Cars Sold Grew by 22.6%
Number of Cars Sold Grew by 22.6% Sold Cars (pcs) +22,6% 16 000 15 409 14 000 13 441 12 564 12 187 12 000 11 379 11 433 11 220 11 083 10 294 9 698 9 882 10 000 12 213 8 000 10 615 10 328 9 688 9 246 9 337 9 486 9 066 6 000 8 325 8 522 8 255 4 000 2 000 1 993 2 132 1 620 1 518 1 753 1 123 1 346 1 290
Slide 12: Integrated Services Revenue Grew Q3 2019
Integrated Services Revenue Grew Q3 2019 MEUR Integrated Services Revenue 6,0% % 12 6 5,3% 5,0% 5,1% 5,0% 5,0% 5,0% 4,7% 4,7% 4,8% 4,7% 10 5 8,6 7,8 7,9 8 4 7,1 6,8 6,1 6,4 6,1 6 5,6 5,8 3 5,4 4 2 2 1 0 0 Q1 17 Q2 17 Q3 17 Q4 17 Q1 18 Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Finance fees and Insurance co
Slide 13: Financial Development
Financial Development Marko Lehtonen CFO
Slide 14: Key Figures
Key Figures 7-9/ 7-9/ 1-9/ 1-9/ 1−12/ (MEUR) Change, % Change, % 2019 2018 2019 2018 2018 Revenue 182.8 140.0 30.6% 483.1 396.7 21.8% 527.8 Gross profit 22.8 18.0 27.1% 59.6 48.9 21.9% 64.9 as percentage of revenue, % 12.5% 12.8 % 12.3% 12.3% 12.3% Operating profit (EBIT) 8.6 6.6 30.0% 20.0 15.0 33.
Slide 15: Strong Growth in Kamux's Revenue
Strong Growth in Kamux’s Revenue Revenue (EUR million) 200 +30,6% • The number of used cars sold by Kamux in 180 the third quarter grew by 22.6% 160 and totaled 15,409 cars (12,564). 140 • Kamux’s revenue grew by 30.6% in Q3 2019. 120 100 • The increase in revenue was driven by new 80 showrooms and
Slide 16: Kamux Finland — Our Revenue and Profit Grew
Kamux Finland — Our Revenue and Profit Grew Revenue (EUR million) +25,2% 140 • Revenue grew by 25.2% compared to the previous 120 100 year and was EUR 138.6 million (110.7). 80 • Gross margin increased to EUR 18.7 million (14.9) 60 40 and 13.5% (13.5%) of revenue. 20 0 • Operating profit grew by 27.
Slide 17: Kamux Sweden — Strong Revenue Growth Continued
Kamux Sweden — Strong Revenue Growth Continued Revenue (EUR million) 50 +55,4% • Total revenue grew 55.4% compared to the previous 40 year and was EUR 42.8 million (27.5). 30 • Operating profit was at last year’s level and was EUR 20 0.5 million (0.5) and 1.1% (1.9%) of total revenue. 10 • IFRS 16 h
Slide 18: Kamux Germany — Very Strong Revenue Growth Continued
Kamux Germany — Very Strong Revenue Growth Continued Revenue (EUR million) +74,5% • Revenue grew by 74.5% compared to the 16 14 previous year and was EUR 14.6 million (8.3). 12 10 • Operating loss was at last year’s level and was 8 EUR -0.3 million (-0.3) and -2.2% (-4.2%) of 6 4 total revenue 2 0 •
Slide 19: Net Working Capital and Inventories Grew Slower than Revenue
Net Working Capital and Inventories Grew Slower than Revenue Net Working Capital (EUR million) Inventories (EUR million) 80 80 +14,7% +13,4% 70 70 60 60 50 50 40 40 30 30 20 20 10 10 0 0 Q1 17 Q2 17 Q3 17 Q4 17 Q1 18 Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q1 17 Q2 17 Q3 17 Q4 17 Q1 18 Q2 18 Q3 18 Q4 18
Slide 20: Cashflow from Operations Was Strongly Positive in Q3 2019
Cashflow from Operations Was Strongly Positive in Q3 2019 Cash Flow from Operations (EUR million) Change (EUR million) to Comparison Period 20 20 0 18 16 14 15 10 12 10 8 10 6 4 3 6 2 5 0 -2 -4 0 -6 Cash flow from Adjustments Changes in Financial items Cash flow from Q1 17 Q2 17 Q3 17 Q4 17 Q1 18 Q2
Slide 21: Investments in Growth Continued According to Strategy
Investments in Growth Continued According to Strategy Investments (EUR million) • In line with our strategy, we have systematically invested in our future growth. 1,0 • Kamux seeks to gain a significant competitive advantage by investing in leading with knowledge as 0,5 well as digital customer and
Slide 22: Leadership Through Data and Intelligence
Leadership Through Data and Intelligence Combining supply and Combining the demand at European physical and digital level world into a seamless - Pricing customer experience - Purchasing - Logistics KAMUX’S – E.g. sales leads management, - Sales OWN customer care Enabling growth CRM/ERP Automation a
Slide 23: Outlook and Financial Targets
Outlook and Financial Targets
Slide 24: Outlook and Financial Targets
Outlook and Financial Targets € € € Revenue growth of EBIT margin of Distribute dividends of Kamux does not over 10% annually at least 4% in at least 30% of net publish a short-term 2019-2022 2019-2022 profits outlook Revenue Profitability Dividend Policy Outlook
Slide 25: Summary
Summary
Slide 26: Summary Q3/2019
Summary Q3/2019 Adjusted operating Revenue increased by profit increased by 30.6% 29.0% to EUR 182.8 million to EUR 8.6 million (140.0) (6.6) Gross profit increased by Leading with 27.1% knowledge and digital processes in to EUR 22.8 million focus (18.0)
Slide 27: Questions?
Questions?
Slide 28: Disclaimer
Disclaimer It should be noted that Kamux and its Since these statements are based on current business are exposed to various risks and plans, estimates and projections, they uncertainties, and certain statements involve risks and uncertainties that may herein which are not historical facts, cause ac