Samsonite Group S.a. · HKEX:1910
Samsonite — Samsonite International — Q3 2017 Earnings Presentation
21 slides from Samsonite's earnings presentation, Nov 13, 2017
Slide 1: 2017 Third Quarter Results
2017 Third Quarter Results November 13, 2017 Samsonite International S.A. HKEX Stock Code: 1910
Slide 2: Disclosure Statement
Disclosure Statement This presentation and the accompanying slides (the “Presentation”) which have been prepared by Samsonite International S.A. (“Samsonite” or the “Company”) do not constitute any offer or invitation to purchase or subscribe for any securities, and shall not form the basis for or b
Slide 3: 3rd Quarter Results
3 Quarter Results Page 3 Sams@nite
Slide 4: 3rd Quarter 2017 Results Highlights
3rd Quarter 2017 Results Highlights Net sales growth of 18.7%(1) Gross margin was up 220bp Adjusted EBITDA margin Adjusted Net Income with net sales growth in Tumi from 3Q 2016 largely due to decreased by 20bp due increased by 11.1% operations of 15.7%(1)(2) 580bp increase in Tumi largely to increas
Slide 5: 3rd Quarter Net Sales by Region
3rd Quarter Net Sales by Region Constant Currency 31.1% 10.1% 11.8% 22.4% Growth Constant Currency 21.7% 3.3% 6.8% 22.4% Growth excl. Tumi 3.1% excluding 8.3% excluding contribution from Hong Kong, South Page 5 eBags Korea and India
Slide 6: 3rd Quarter Net Sales by Key Market
3rd Quarter Net Sales by Key Market (1) (2) (3) (1) Hong Kong includes Macau and sales to Tumi distributors in certain Asian countries. (2) Net sales in Germany included all wholesale and ecommerce sales of the Tumi brand for the Europe region until April 30, 2017. Beginning on May 1, 2017, Tumi bra
Slide 7: Net sales growth slipped slightly in 3Q due to a few challenged markets
Net sales growth(1) slipped slightly in 3Q due to a few challenged markets 3Q vs. 1H Net Sales Growth Rates Total Europe: 1H +11.5%, 3Q +6.8% Total Asia: 1H +3.8%, 3Q +3.3% Excluding UK and Germany: 1H +10.4%, 3Q +9.9% Excluding India, Hong Kong and South Korea: 1H +6.5%, 3Q +8.3% UK: 3Q net sales g
Slide 8: 3rd Quarter Net Sales by Brand
3rd Quarter Net Sales by Brand Continued growth in Samsonite with net sales up 3.3%(1). Net Sales Growth by Brand Tumi net sales of US$167.1 million included incremental sales of US$55.5 million(3) from an extra month of Tumi in 3Q 2017 as well as strong year-over-year sales growth in August and Sep
Slide 9: 3rd Quarter 2017 Results Highlights: Excluding Tumi Operations
3rd Quarter 2017 Results Highlights Excluding Tumi Operations Results Constant currency net sales Gross margin was up 90bp Advertising spend as a Adjusted EBITDA margin growth of 11.0% with North from 3Q 2016 largely due to a percentage of sales was up decreased by 10bp due America +21.7%, Europe hi
Slide 10: 3rd Quarter 2017 Results Highlights: Pro-forma Tumi Operations
3rd Quarter 2017 Results Highlights Pro-forma Tumi Operations Results* Constant currency net sales Gross margin was up 600bp Advertising spend as a Adjusted EBITDA margin growth of 13.3% included the from 3Q 2016 largely due less percentage of sales was up increased by 90bp even with positive impact
Slide 11: YTD September Results
YTD September Results Page 11
Slide 12: YTD September 2017 Results Highlights
YTD September 2017 Results Highlights Constant currency net sales growth Gross margin was up 270bp from Adjusted EBITDA margin Adjusted Net Income of 26.7% was driven largely by prior year largely due to an extra decreased by 40bp due increased by 4.1% despite incremental Tumi sales of US$346.6 seve
Slide 13: YTD September Net Sales by Region
YTD September Net Sales by Region Constant Currency 44.1% 16.2% 19.2% 20.4% Growth Constant Currency 12.4% 3.6% 9.7% 20.4% Growth excl. Tumi 2.7% excluding contribution Page 13 from eBags
Slide 14: YTD September Net Sales by Key Market
YTD September Net Sales by Key Market (1) (2) (1) Hong Kong includes Macau and sales to Tumi distributors in certain Asian countries. Page 14 (2) UK includes Ireland.
Slide 15: Continued progress in driving direct-to-consumer sales growth
Continued progress in driving direct-to- consumer sales growth Direct-to-consumer net sales growth of 70.8%(1) was driven Direct-to-Consumer Net Sales largely by the full year positive impact of Tumi and contribution from eBags, as well as strong growth of 11.9%(1) excluding the impact of Tumi and e
Slide 16: Continued progress in driving sales growth in non-travel categories
Continued progress in driving sales growth in non-travel categories Net Sales by Category Non-travel category net sales growth of 44.5%(1) was driven largely by the full year impact of Tumi and contribution from eBags. Excluding the impact of Tumi and eBags, net sales growth was 5.3%(1). Non-Travel
Slide 17: YTD September Advertising by Region
YTD September Advertising by Region North America Asia advertising Europe Increased advertising included 5 included 7 advertising advertising as a additional months of additional months included 7 percentage of sales eBags (US$8.2m) and of Tumi additional months in Latin America was 7 additional mon
Slide 18: YTD September 2017 Results Highlights: Excluding Tumi Operations
YTD September 2017 Results Highlights Excluding Tumi Operations Results Constant currency net sales Gross margin was up 100bp Advertising spend as a Adjusted EBITDA margin growth of 8.8% with North from YTD September 2016 percentage of sales was up was down 60bp, mainly due America +12.4%, Europe dr
Slide 19: YTD September 2017 Results Highlights: Pro-forma Tumi Operations
YTD September 2017 Results Highlights Pro-forma Tumi Operations Results* Constant currency net sales Gross margin was up 460bp from Advertising spend as a Adjusted EBITDA margin decreased growth of 12.0% included the YTD September 2016 largely due percentage of net sales was by 20bp due to significa
Slide 20: Balance Sheet
Balance Sheet Net debt increased by US$111.5 million US$m September 30, December 31, September 30, in the first nine months of 2017 due $ C hg S e p- 17 % C hg S e p- 17 2016 2016 2017 v s . S e p- 16 v s . S e p- 16 mainly to the purchase of eBags for US$105.0 million and costs associated Cash and
Slide 21: Efficiently managing working capital
Efficiently managing working capital Net working capital as of September 30, 2017 was 12.5% of net sales, which was favorable to targeted 14% level. The 180bp US$m September 30,September 30, $ Chg Sep-17 % Chg Sep-17 improvement from September 30, 2016 was 2016 (1) 2017 vs. Sep-16 vs. Sep-16 Working
Samsonite International — Q3 2017 Earnings Presentation on 6ix