Viva Wine Group Ab · OMXSTO:VIVA
Viva Wine Group Ab — Q1 2024 Earnings Presentation
23 slides from Viva Wine Group Ab's earnings presentation, May 16, 2024
Slide 1: Quarterly Results Q1 2024
VIVA WINE GROUP QUARTERLY RESULTS Q1 2024 is —fs y
Slide 2: Agenda
AGENDA Introduction to Viva Wine Group Quarterly Update Financial Overview Performance by Segment Emil Sallnäs CEO & Founder Sustainability Update Linn Gäfvert CFO Final Comments Q&A
Slide 3: Introduction
INTRODUCTION
Slide 4: This Is Us
THIS IS US Two segments eCom 18% Nordics 82% Segment Nordics Segment eCom 3 11 SWEDEN FINLAND NORWAY PLATFORMS MARKETS
Slide 5: Quarterly Update
QUARTERLY UPDATE
Slide 6: Q1 Performance Summary
Q1 PERFORMANCE SUMMARY Record high market shares in the Nordics Net sales increased by 2.4%. Organic growth of 2.8% Adj. EBITA margin of 6.3% (7.7%) Target Wines consolidated with a promising start
Slide 7: Financial Overview
FINANCIAL OVERVIEW
Slide 8: Growth in Net Sales
GROWTH IN NET SALES Net Sales per segment Q1 2024 vs Q1 2023, SEKm +2.4% • Continued strong growth in the Nordics, partly offset by lower sales in eCom. 44 -21 -2 904 883 0 • Organic growth 2.8% (1.0%) in the quarter. Net sales Q1 Nordics eCom Other Eliminations Net sales Q1 2023 2024
Slide 9: Continued Pressure on Adj EBITA Margin
CONTNUED PRESSURE ON ADJ EBITA MARGIN Adjusted EBITA per segment Q1 2024 vs Q1 2023, SEKm 68 -7 • Negative effects from lower sales in eCom 0 -4 0 57 due to continued low consumer sentiment. • Continued pressure on GM mainly due to 7.7% 6.3% negative fx-effects in the Nordics. Adj. EBITA Nordics eCo
Slide 10: Net Working Capital – Stable Trend to Net Sales
NET WORKING CAPITAL – STABLE TREND TO NET SALES Net Working Capital, SEKm Net Debt, SEKm Net Working Capital NWC/Net Sales LTM Net debt Net debt to EBITDA LTM 519 421 491 486 402 333 1.8x 1.7x 11.0% 10.1% 1.1x 8.3% 2022 2023 2024 2022 2023 2024
Slide 11: Strong Cash Flow in the Quarter
STRONG CASH FLOW IN THE QUARTER Cash Flow QTD, SEKm 96 -44 • Strong cash flow from operating activities during the quarter in line -14 with seasonal trend. -11 1 122 • Investing activity is related to the 94 acquisition of Target Wines. • Amortization is at a lower level in the quarter compared to l
Slide 12: Performance by Segment
PERFORMANCE BY SEGMENT
Slide 13: Segment Nordics
SEGMENT NORDICS Volume & Market share development Q1 2024 # 1 in the Nordics Market Viva Wine Group Viva MS% Record high market shares. 22.3% +0.4% +7.5% (20.8%) Adaption to consumer trends and speed to market. 28.1% +0.9% +6.2% (26.7%) 21,1% +1.1% +13.5% (18.8%) 6.8% -1.4% +13.0% (5.9%)
Slide 14: Segment Nordics – Net Sales and Adj. EBITA Development
SEGMENT NORDICS – NET SALES AND ADJ. EBITA DEVELOPMENT Net Sales increased with 6.4% vs Q1 2023. Adjusted EBITA- margin decreased in Q1. Mainly Organic growth of 6.1%. due to a lower GM negatively impacted by fx- effects. +6.4% Adjusted EBITA margin 742 48 48 698 6.9% 6.5% Q1 2023 Q1 2024 Q1 2023 Q1
Slide 15: Segment Viva eCom
SEGMENT VIVA ECOM Good start in Q2 trending towards organic growth. Weinfürst launched in Bulgaria. Focus on growth in existing markets.
Slide 16: Segment Viva eCom – Net Sales and Adj. EBITA Development
SEGMENT VIVA ECOM – NET SALES AND ADJ. EBITA DEVELOPMENT Net sales -11.8% vs Q1 2023. Adjusted EBITA% lower than Q1 2023. Adj. EBITA Organic growth of -9.0%. margin reached 7.6% (10.7). GM% of 39,8% (40.1%). -11.8% Adjusted EBITA margin 182 161 20 12 10.7% 7.6% Q1 2023 Q1 2024 Q1 2023 Q1 2024
Slide 17: Sustainability
SUSTAINABILITY
Slide 18: Sustainability Update
SUSTAINABILITY UPDATE Warehouse Transport • Annual and Sustainability Report for 2023 published. • Our climate impact from packaging has Transports decreased during 2023 - both climate-smart Stores packaging and packaging in lightweight glass has increased in proportion. • In the beginning of the ye
Slide 19: Final Comments
FINAL COMMENTS
Slide 20: Financial Targets
FINANCIAL TARGETS Annual Organic Growth Nordics Profitability Dividend policy Indebtedness >4% 10-12% Net debt/ EBITDA 50-70% eCom Adjusted EBITA margin <2.5x of annual net profit 10-15%
Slide 21: Summary
Summary We further strengthend our market position in the Nordics as the No 1 Continued margin focus in the Nordics and sales focus in eCom Focus on existing markets in eCom We continue to screen the M&A market actively but have high standards Outlook 2024
Slide 22: Q&A
Q&A
Slide 23: Slide 23