Boot Barn Holdings, Inc. · NYSE:BOOT
Boot Barn — Investor Presentation (December 2015)
23 slides from Boot Barn's investor presentation, Dec 1, 2015
Slide 1: Forward Looking Statements
FORWARD LOOKING STATEMENTS Forward-Looking Statements This presentation contains forward-looking statements that are subject to risks and uncertainties. All statements other than statements of historical fact included in this presentation are forward-looking statements. You can identify forward-look
Slide 2: Boot Barn snapshot
Boot barn snapshot SALES composition (FY15) Footwear 51% Hats, Accessories & Other 17% Apparel 32% Western 66% Work1 34% Illustrative Store Note: Fiscal year ended March, excluding Sheplers. 1 Work also includes sales from “other”
Slide 3: Over 200 brands and more than 1,500 styles
Over 200 brands and more than 1,500 styles = Private brands Western Work / Other
Slide 4: Growth strategies
Growth strategies 1 EXPAND OUR STORE BASE 2 3 4 DRIVE SAME STORE SALES GROWTH BUILD OUT PRIVATE BRAND PORTFOLIO GROW ECOMMERCE AND OMNI CHANNEL EXPERIENCE
Slide 5: Compelling new store economics
Compelling new store economics 1 Norco, CA GOALS Store Size (sq. ft) 10,000 Year 1 Net Sales $1.7mm Net Cash Investment1 $0.8mm Cash on Cash Return (Yr. 1) 31.5% Payback Period 3 Years Time between LOI & Opening 6 months Annual Unit Growth 10-15% Mall of America Downtown Nashville Greeley, CO Housto
Slide 6: Strong same store sales growth
continuous, Strong same store sales growth 2 24 consecutive quarters of positive same store sales growth 1 1 Core Boot Barn same store sales, which include bootbarn.com and exclude Sheplers. 1.0% 7.4% 7.7% 13.8% 16.2% 14.2% 14.1% 18.1% 19.6% 16.9% 17.8% 14.3% 10.7% 7.5% 8.2% 7.1% 3.8% 8.9% 7.7% 7.3%
Slide 7: Highly successful private brands
Highly successful private brands Private brands account for approximately 12% of sales 3
Slide 8: Multi-pronged ecommerce growth strategy
Multi-pronged ecommerce growth strategy 4 Note: Red circles represent the location and relative amount of Boot Barn FY14 ecommerce sales LOCATION OF BOOT BARN ECOMMERCE SALES 9,800 likes 4,100 shared 121 comments E-comm sales with sheplers ($M) FY12 FY13 FY14 FY15 Combined FY15 8 12 14 831 17 CAGR:
Slide 9: Select Key Event Sponsorships
Select Key Event Sponsorships Presence at Western and Country Events WESTERN EVENTS COUNTRY MUSIC POP-UP SHOPS NATIONAL BRAND with local presence
Slide 10: Boot Barn is a genuine lifestyle retail brand
Boot barn is a GENUINE LIFESTYLE retail BRAND Strong affinity for the western lifestyle ~2.6mm loyalty program members1 Vast majority of sales to loyalty program members Inviting store environment Extensive selection Engaging store associates Strong product expertise Affinity for western lifestyle C
Slide 11: Introduction to Sheplers
Introduction to sheplers Authentic western retail and e-commerce business Rich 116-year heritage – founded in 1899 Early legacy as a catalog business, with addition of stores in 1961 and e-commerce in 19991 Key financials (for 12 mos ending March 2015)2: Total Sales: $157 million E-Commerce Sales: $
Slide 12: Boot Barn proven track record and opportunity
Boot Barn proven Track record and opportunity Stores FY12 FY13 FY14 FY15 Combined 86 117 152 200 E-commerce sales ($M) Total sales ($M) 169 FY15 FY12 FY13 FY14 FY15 Combined FY15 170 233 346 5601 403 CAGR: 49% FY12 FY13 FY14 FY15 Combined FY15 8 12 14 831 17 CAGR: 115% Acquired new stores Organic ne
Slide 13: Strategic rationale
Strategic rationale Highly complementary businesses – customers, lifestyle, merchandise categories 3 Enhanced key store markets and increased scale with a national Boot Barn brand 2 Created the largest omni-channel western & work wear retailer in the U.S. 1 $6-8 million expected annual synergies and
Slide 14: Largest omni-channel western wear retailer
LARGEST OMNI-CHANNEL WESTERN WEAR RETAILER OPPORTUNITY FOR DUAL BRAND STRATEGY E-commerce penetration1 Product / Lifestyle / Omni-Channel Direct-to-Consumer / Promotional 1 Trailing 12 months (TTM) as of March 2015 1 4% 15% Pre Acquisition Post Acquisition
Slide 15: Enhanced key store markets
Enhanced key store markets FY12 86 stores 8 states FY13 117 stores 21 states 152 stores 23 states FY14 boot barn Before Sheplers 176 stores 28 states Current Boot barn 206 stores 29 states 2
Slide 16: 5M+ combined customer database
5M+ combined customer database Three CUSTOMER SOURCES Boot Barn Stores bootbarn.com Sheplers Stores (to be rebranded) Consolidated database Tailored offer/messaging Integrated CRM Database 5M+ customers1 Work boots & work wear Rewards Casual Country music Promotional Customer segments Western Demogr
Slide 17: Significant financial benefits
Significant financial benefits Margin synergies Purchasing scale Private brands penetration Vendor direct / container-load sourcing Estimated synergies Expected $6-8 million annual synergies Sales synergies Expanded assortments (especially work wear) Upgraded stores / enhanced store disciplines E-co
Slide 18: Strong, experienced management
Strong, experienced management EXECUTION Jim Conroy Chief Executive Officer Greg Hackman Chief Financial Officer Laurie Grijalva Chief Merchandising Officer Steve Williams Chief Information Officer Margarette Abeyta Vice President, Stores John Neppl Vice President, Real Estate 23 31 33 28 31 34 Jaym
Slide 19: Boot Barn is an authentic lifestyle brand
Boot barn IS AN authentic lifestyle BRAND
Slide 20: Boot Barn is an authentic lifestyle brand
BOOT BARN IS AN AUTHENTIC LIFESTYLE BRAND LIFESTYLE in the truest sense. » "aus, Values’ ee, j <=
Slide 21: Capital structure
capital structure Debt Terms Golub Term Loan Wells Fargo Revolver Facility Amount $200 million $125 million Outstanding Balance at 9/26/15 $199.5 million $69.0 million Revolver Availability at 9/26/15 N/A $56.0 million Interest Rate LIBOR + 4.50%1 LIBOR + 1.00% - 1.25%2 (based on availability) Finan
Slide 22: Sheplers adjusted EBITDA reconciliation
Sheplers adjusted EBITDA Reconciliation SHEPLERS (Unaudited) (in thousands) 12 months ended March 28, 2015 EBITDA Reconciliation: Net loss $ (2,609) Income tax benefit (1,487) Interest expense, net 9,153 Depreciation and intangible asset amortization 4,999 EBITDA 10,056 Store pre-opening and closing
Slide 23: Sheplers adjusted EBITDA reconciliation
SHEPLERS ADJUSTED EBITDA RECONCILIATION ‘SHEPLERS (Unaudited) 12 months ended March (in thousands) ___28, 2015 EBITDA Reconciliation: Net loss $ (2,609) Income tax benefit (1,487) Interest expense, net Depreciation and intangible asset amortization EBITDA Store pre-opening and closing expenses?) Oth
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