Gildan Activewear Inc. · TSX:GIL
Gildan Activewear — Investor Presentation (April 2024)
18 slides from Gildan Activewear's investor presentation, Apr 15, 2024
Slide 1: Investor Update: Strategic priorities after 90 days as CEO
INVESTOR UPDATE Strategic priorities after 90 days as CEO April 15, 2024 1
Slide 2: Forward looking statement
Forward looking statement References in this presentation to “Gildan”, the “Company”, or the words “we”, “us”, and “our” refer, depending on the context, either to Gildan Activewear Inc. or to Gildan Activewear Inc. together with its subsidiaries. Certain statements included in this presentation con
Slide 3: Leadership philosophy in practice during first ~90 days as CEO
Leadership philosophy in practice during Vince Tyra’s first ~90 days as CEO Visited 18 office and manufacturing sites to get immersed into our processes and cultures Attended trade shows to reinforce presence and reconnect with customers Q2 2024 Held town halls and interacted with over 2,000 employe
Slide 4: Opportunity to bolster growth
Opportunity to bolster growth +2% CAGR +13% CAGR $2.9 B $3.2 B $3.2 B ~$3.2 – $3.3 B $0.3 B $1.3 B Net Sales >500bps 19% 20% 20% 17% >20% Operating Margin 16% 16% 15% 16% 14% 15% GAAP Adjusted2 2000 2010 2018 2022 2023 2024 (guidance)3 Organic Expansion and Back to Gildan Sustainable Growth Growth A
Slide 5: Continue to leverage the Gildan Sustainable Growth plan
Continue to leverage the Gildan Sustainable Growth plan Growth Expand competitive edge as a low-cost manufacturer by increasing manufacturing scale and diversification Innovation Drive innovation and digitization across the business, to continuously improve products and processes ESG Stay true to ou
Slide 6: Capitalize on a strong manufacturing foundation to launch the next phase of growth
Capitalize on a strong manufacturing foundation to launch the next phase of growth 6
Slide 7: Key focus strategic priorities after 90 days as CEO
Key focus strategic priorities after 90 days as CEO Complement Gildan's manufacturing strength by growing commercial capabilities Successfully execute supply chain initiatives to maintain 1 availability, cost leadership, and industry-leading margins Leverage our unique brands and develop distinct co
Slide 8: Supply chain initiatives
Supply chain initiatives 1 Successfully execute supply chain initiatives to maintain availability, cost leadership, and industry-leading margins Execute on growth plan in Bangladesh Successfully ramp-up Kohinoor Phase 1 and lay the foundations to activate Phase 2 when appropriate Ensure continued re
Slide 9: Brands and commercial capabilities: addressing brand association with comfort and quality
Brands and commercial capabilities 2 After leading on price and availability, we are now addressing the opportunity to increase brand association with comfort & quality Key purchase criteria Perception of comfort, fit, and quality are informed by brand Availability Gildan brands I was surprised to s
Slide 10: Brands and commercial capabilities
Brands and commercial capabilities 2 Leverage our unique brands and develop distinct commercial capabilities to accelerate growth and strengthen market position What we need to do How we will do it • Reinforce messaging to align with each brand's identity Bridge the comfort, fit, The smart choice. Q
Slide 11: Supplier of choice for retail
Supplier of choice for retail 3 Deepen our relationships with existing and prospective retail partners, strengthening our position as the supplier of choice Elevate our Leverage dual-sourcing Address evolving Capitalize on our relationships with model to provide North retailer needs for vertical int
Slide 12: Fundamental differences between US and international markets
Grow international 4 Fundamental differences between US and international markets Drive growth with ✓ Smaller market sizes relative to the US selective investments in regions that: ✓ Higher levels of fragmentation across supply chain ✓ Have a significant market size ✓ Different preferences for fabri
Slide 13: Renewed focus on select international markets such as Western Europe
Grow international 4 Renewed focus on select international markets such as Western Europe Pursue targeted resource deployment Leverage investment in Bangladesh to ensure product availability Bolster market presence Elevate current relationships and develop new partnerships to increase proximity to c
Slide 14: World-class talent
World-class talent 5 Empower and build our world-class talent and leadership to ensure long-term resilience of the business Develop our leaders Invest in talent development and ways of working that drive accountability and initiative Increase collaboration Build a culture of collective ideation and
Slide 15: Financial targets and capital allocation principles
Adhering to financial targets and capital allocation principles expected to drive strong shareholder returns 2024 guidance maintained 1 Medium-term targets1,2 Capital allocation guiding principles Flat to low-single digit Focused capital deployment Mid-single digit revenue CAGR 1 revenue growth to d
Slide 16: In summary, we remain committed to…
In summary, we remain committed to… …what Gildan does well… …with strategic enhancements Renewed focus on brands Supply chain excellence and commercial capabilities Best-in-class execution Increased emphasis of Bangladesh expansion on servicing retail partners Back to Basics principles Targeted inte
Slide 17: Q&A
Q&A 17
Slide 18: Non-GAAP Financial Measures and Ratios
Non-GAAP Financial Measures and Ratios The Company reports its financial results in accordance with International Financial Reporting Standards (“IFRS”). However, we use non-GAAP financial measures and ratios to assess our operating performance and liquidity. Securities regulations require that comp
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