Beacon Lighting Group Ltd · ASX:BLX
Beacon Lighting — Investor Presentation (November 2021)
35 slides from Beacon Lighting's investor presentation, Nov 10, 2021
Slide 1: Beacon International Business Update November 2021
For personal use only BEACON INTERNATIONAL BUSINESS UPDATE NOVEMBER 2021 Beacon International (Hong Kong) Beacon Lighting America Beacon Lighting Europe Beacon Lighting China Beacon Lighting Group Limited
Slide 2: Contents
CONTENTS For personal use only 1 INTRODUCTION 2 BEACON INTERNATIONAL (HONG KONG) 3 BEACON LIGHTING AMERICA 4 BEACON LIGHTING EUROPE 5 BEACON LIGHTING CHINA 6 BEACON INTERNATIONAL GROUP 7 GROWTH STRATEGIES 8 QUESTIONS BEACON INTERNATIONAL 2
Slide 3: Introduction
For personal use only 1 INTRODUCTION
Slide 4: Fanaway
1 FANAWAY For personal use only • In 2004, an Australian inventor had a vision to create a ceiling fan that had blades concealed within a light pendant and only transformed into a ceiling fan when it was switched on. • The product now known as Fanaway consisted of a unique synchronized retractable m
Slide 5: Fanaway
1 FANAWAY For personal use only • Fanaway has design patents in Australia, USA, Europe, China, Hong Kong and other parts of the world to protect the Fanaway intellectual property (IP) • The Fanaway design patents are owned by a BLX IP company in Hong Kong • Beacon Lighting sold the first Fanaway in
Slide 6: International Strategy
1 INTERNATIONAL STRATEGY For personal use only • Beacon Lighting in Australia has designed and developed a core range of 3,000 products for Beacon Lighting stores • Beacon Lighting brings to market 600 new fan and lighting products each year • The International Strategy for Beacon Lighting is to lev
Slide 7: Beacon International offices, showrooms and warehouse locations
1 BEACON INTERNATIONAL For personal use only VENLO, NETHERLANDS Showroom DUSSELDORF, GERMANY LOS ANGELES, CA, USA Office & Warehouse Warehouse DALLAS, TEXAS, USA Showroom HONG KONG SAN DIEGO, CA, USA Office Office ZHONGSHAN Office, Showroom & Warehouse BEACON INTERNATIONAL OFFICES, SHOWROOMS AND WAR
Slide 8: Product Range
1 PRODUCT RANGE For personal use only Viceroy Fanaway Evora Akmani Whitehaven Radar Fan Accessories BEACON INTERNATIONAL 8
Slide 9: Beacon International (Hong Kong)
For personal use only 2 BEACON INTERNATIONAL (HONG KONG)
Slide 10: Beacon International (Hong Kong) - Customers
2 BEACON INTERNATIONAL (HONG KONG) - CUSTOMERS For personal use only Beacon International (Hong Kong) has customers in more than 35 different countries. ESTONIA BEACON INTERNATIONAL UNITED KINGDOM NETHERLANDS GERMANY CUSTOMER LOCATIONS BELGIUM RUSSIA LUXEMBOURG CZECH REPUBLIC UKRAINE SLOVAKIA SWITZE
Slide 11: Beacon International (Hong Kong) - Sales
2 BEACON INTERNATIONAL (HONG KONG) - SALES For personal use only Beacon International (Hong Kong) - Sales Beacon International (Hong Kong) - Royalty Income for Fanaway IP FY2017 FY2018 FY2019 FY2020 FY2021 FY2017 FY2018 FY2019 FY2020 FY2021 Major Customers: • eCommerce, Distributor – South Korea • D
Slide 12: Beacon International (Hong Kong)
2 BEACON INTERNATIONAL (HONG KONG) For personal use only • The majority of the inventory is sold by container, ex-factory from China. There is also a 3PL warehouse in China for smaller or mixed quantities of products • Historically, the Hong Kong Lighting Fair has been held yearly and has been the m
Slide 13: Beacon Lighting America
For personal use only 3 BEACON LIGHTING AMERICA
Slide 14: North America Ceiling Fan Market
3 NORTH AMERICA CEILING FAN MARKET For personal use only • The North America ceiling fan market is the largest ceiling fan market in the world, estimated at USD $2.1 billion(1) with a forecast CAGR of 5.2% through to 2027(1) • The ceiling fan sales channel is dominated by large format retailers such
Slide 15: USA Lighting Market
3 USA LIGHTING MARKET For personal use only • The USA residential lighting market is the largest lighting market in the world, estimated at USD $42.1 billion(1) • The lighting market is very fragmented and made up of more than 14,000 lighting stores(2) which are generally small, family-owned busines
Slide 16: Beacon Lighting America - Sales Channels
3 BEACON LIGHTING AMERICA – SALES CHANNELS For personal use only Sales Channel Established Major Customers Wayfair.com eCommerce 2017 homedepot.com lowes.com Large Format Retail 2019 Menards Lighting Showrooms Beacon B2C website Agents 2020 Furniture Showrooms B2C - Direct to Consumer 2021 USA Consu
Slide 17: Beacon Lighting America - Agents Territories
3 BEACON LIGHTING AMERICA - AGENTS TERRITORIES For personal use only 80% of the USA population is now serviced by Beacon Lighting America Sales Agents (Striped areas remain available). BEACON INTERNATIONAL 17
Slide 18: Beacon Lighting America - Marketing
3 BEACON LIGHTING AMERICA - MARKETING For personal use only • The Dallas International Lighting Show, Lightovation is held twice yearly. It is the largest residential lighting show in North America. The next show is scheduled for January 2022, highlighting the latest trends, innovations and products
Slide 19: Beacon Lighting America - Sales
3 BEACON LIGHTING AMERICA – SALES For personal use only Beacon Lighting America - Sales Beacon Lighting America Number of Individual Customers (1) (2) 102 52 27 10 14 FY2017 FY2018 FY2019 FY2020 FY2021 FY2017 FY2018 FY2019 FY2020 FY2021(3) (1) eCommerce customers like Wayfair are viewed as one custo
Slide 20: Beacon Lighting America
3 BEACON LIGHTING AMERICA For personal use only • Beacon Lighting America has invested in 150 items which consists of 25 fan families and accessories • All inventory is currently managed by a 3PL warehouse in Los Angeles • Beacon Lighting America has a serviced office in San Diego while the team mem
Slide 21: Beacon Lighting Europe
For personal use only 4 BEACON LIGHTING EUROPE
Slide 22: Beacon Lighting Europe - Sales
4 BEACON LIGHTING EUROPE - SALES For personal use only Beacon Lighting Europe - Sales IRELAND UNITED NETHERLANDS KINGDOM BELGIUM GERMANY LUXEMBOURG CZECH REPUBLIC FY2017 FY2018 FY2019 FY2020 FY2021 SWITZERLAND AUSTRIA FRANCE ROMANIA CROATIA ITALY Major Customers: SPAIN GREECE • eCommerce, Amazon MAL
Slide 23: Beacon Lighting Europe
4 BEACON LIGHTING EUROPE For personal use only • Beacon Lighting Europe has invested in 260 items which primarily consist of fans, accessories and a small range of lighting products • All inventory is currently managed by a 3PL warehouse in Dusseldorf • Beacon International Europe is serviced out of
Slide 24: Beacon Lighting China
For personal use only 5 BEACON LIGHTING CHINA
Slide 25: Beacon Lighting China
5 BEACON LIGHTING CHINA For personal use only • Beacon Lighting China currently do not sell direct to customers. Instead, the China team provide product development, procurement, quality assurance, logistics and sales support services to the other Beacon International businesses and the Beacon Light
Slide 26: Beacon International Group
For personal use only 6 BEACON INTERNATIONAL GROUP
Slide 27: Beacon International Group Sales
6 BEACON INTERNATIONAL GROUP For personal use only Sales (incl. Royalties) $AUD Millions $12.3M CAGR 30.5% $8.5M $7.7M $5.8M $4.2M FY2017 FY2018 FY2019 FY2020 FY2021 BEACON INTERNATIONAL 27
Slide 28: International Growth Strategies
For personal use only 7 INTERNATIONAL GROWTH STRATEGIES
Slide 29: New Sales Channels
7 NEW SALES CHANNELS For personal use only Early in FY2022, two new sales channels were established in international markets: • The new B2C – Direct to the Consumer sales website in the USA • The new Tmall Global Beacon Lighting store selling Australian Designed products to the China domestic market
Slide 30: New Customers, Existing Channels
7 NEW CUSTOMERS, EXISTING CHANNELS For personal use only The number of customers continue to grow so there is always the opportunity to sell to new customers through the existing sales channels. The establishment of the Sales Agents in the USA provides for exciting opportunities to sell more product
Slide 31: Existing and New Customers
7 EXISTING AND NEW CUSTOMERS For personal use only With the home never having been more important than it is today, there are always opportunities to sell more products to existing customers in the future. With 2022 being the year of the new COVID normal, the return of the major lighting shows in Da
Slide 32: Product Range Expansion
7 PRODUCT RANGE EXPANSION For personal use only New ceiling fan product ranges will be introduced into the international markets. Some lighting products will be trialled in Europe in order to get a better understanding of the international lighting market Orion 14 Light Fanaway Orbit Aria Hugger Per
Slide 33: Exciting Opportunity
7 EXCITING OPPORTUNITY For personal use only • Beacon International sales with a CAGR of 30.5% over the last Sales (incl. Royalties) $AUD Millions 5 years has very exciting sales momentum $12.3M • More than 70% of the Beacon International sales are ultimately CAGR 30.5% sold to the end consumer thro
Slide 34: Questions
For personal use only 8 QUESTIONS
Slide 35: Disclaimer
8 DISCLAIMER For personal use only The presentation contains “forward-looking statements”. All statements other than those of historical facts included in the presentation are forward-looking statements. Where the Group expresses or implies an expectation or belief as to future events or results, su
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