Fnac Darty Sa · EURONEXT:FNAC
Fnac Darty Sa — Investor Presentation (November 2021)
29 slides from Fnac Darty Sa's investor presentation, November 2021
Slide 1: Investor Presentation November 2021
INVESTOR PRESENTATION November 2021
Slide 2: Fnac Darty at a Glance
FNAC DARTY AT A GLANCE A EUROPEAN OMNICHANNEL LEADER WITH AN EFFICIENT CENTRALISED OPERATIONS PLATFORM 2020 revenue breakdown by category • 7.5 bn€ Group revenue in 2020 – c.25,000 employees Technical products 49,5% • Top 3 European Omnichannel Retailer: Editorial products 15,5% • 30 million referen
Slide 3: Q3 2021 Revenue
Q3 2021 REVENUE FNAC DARTY
Slide 4: Key Highlights
KEY HIGHLIGHTS Group LFL1 revenue growth evolution +12,7% • Q3 2021 sales at €1,854m, roughly stable1 vs. Q3 2020 +7,4% +9,3% – All the Group's stores remaining open Stable – Very few health restrictions (Pass Sanitaire in France and restrictions Q3 2021 9M 2021 on opening hours in Portugal) vs. 201
Slide 5: A quarter almost stable YoY underlying a solid level of sales
A QUARTER ALMOST STABLE YOY UNDERLYING A SOLID LEVEL OF SALES • France and Switzerland showed good resilience, with sales growth roughly stable in Q3 yoy, but up compared to Q3 2019 • Belgium and Luxembourg reported a decrease mainly due to a high comparable basis last year, but still above Q3 2019
Slide 6: Q3 2021 Revenue Split by Product Category
Q3 2021 REVENUE SPLIT BY PRODUCT CATEGORY • Product categories that overperformed last year posted a slowdown in sales due to a high comparable basis while showing growth versus 2019 – Technical products showed strong resilience with solid growth in telephony linked to the launch of the iPhone 13, T
Slide 7: Recent Strategic Initiatives
RECENT STRATEGIC INITIATIVES • Enhanced customer experience – Sales made through video conference or chat extended to all integrated Darty stores and to be extended to all integrated Fnac stores in the coming months – More than 100,000 visio/chat with salespeople since the launch in February 2021 •
Slide 8: Outlook
OUTLOOK FNAC DARTY
Slide 9: Outlook
OUTLOOK • We expect our store network to remain open by the end of the year in all our countries with no major health constraints • The Group remains confident in its operational ability to succeed in the major commercial events at the end of the year thanks to: – The strength of its logistics and d
Slide 10: Strategic Plan, Everyday
STRATEGIC PLAN, EVERYDAY FNAC DARTY
Slide 11: Becoming a responsible digitized retailer delivering high-value and durable services
BECOMING A RESPONSIBLE DIGITIZED RETAILER DELIVERING HIGH-VALUE AND DURABLE SERVICES Build a digitized omnichannel retail Scale the next in-home Lead durable subscription-based behaviors assistance service 11
Slide 12: Key Drivers to Generate Recurring Cash Flows
KEY DRIVERS TO GENERATE RECURRING CASH FLOWS • Revenue growth mainly driven by increased online activity – >30% online revenue penetration by 2025 o/w 50% is click & collect • Significant contribution in gross margin of the subscription-driven service offering – >2M subscribers to our unlimited repa
Slide 13: Ensuring Sustainable Shareholder Returns
ENSURING SUSTAINABLE SHAREHOLDER RETURNS Fund profitable growth Increased ➢ Reinvest in the business Opportunity-driven decision Free Cash Flow ➢ Tactical bolt-on M&A Incremental + + shareholder return ➢ Leverage1 of max 2.0x Controlled net debt Shareholder return policy ➢ Via special dividend or Le
Slide 14: H1 2021 Financial Results
H1 2021 FINANCIAL RESULTS FNAC DARTY
Slide 15: H1 2021 Group Financial Results
H1 2021 GROUP FINANCIAL RESULTS €m H1 2020 H1 2021 ▪ Current operating income at €34m, up €92m Revenue 2,849 3,465 compared to H1 2020 and higher than the level in H1 Gross margin 844 1,029 2019 on a comparable basis1 Costs 902 995 ▪ Continued tight control of operating costs, enabling Current opera
Slide 16: Free Cash Flow Generation
FREE CASH FLOW GENERATION €m H1 2020 H1 2021 ▪ EBITDA up €91m including the impact of IFRS 16 vs. H1 2020, in line with the current operating income trend EBITDA 119 210 ▪ Operating free cash flow stands at -€577m, mainly IFRS 16 impact -124 -125 impacted by: Non-recurring cash elements -9 2 ▪ The r
Slide 17: A Strong Liquidity Position
A STRONG LIQUIDITY POSITION €m At December 31, At June 30, 2021 2020 Shareholders’ equity 1,373 1,409 ▪ New financing structure implemented in March 2021 to 1 Net debt -114 454 strengthen the Group’s financial flexibility, with: Gross debt 1,455 933 ▪ Placement of a first OCEANE bond for €200m matur
Slide 18: Appendices H1 2021
APPENDICES H1 2021 FNAC DARTY
Slide 19: Definitions (1/2)
DEFINITIONS (1/2) • Definition of Like-for-like sales growth – This indicator measures changes in revenue excluding exchange rate fluctuations, the impact of change in scope and the impact of the opening and closing of directly owned stores since January 1, N-1. • Definition of Current operating inc
Slide 20: Definitions (2/2)
DEFINITIONS (2/2) With application of IFRS 16 IFRS 16 Without application of IFRS 16 EBITDA EBITDA excluding IFRS 16 Rents within the scope Current operating income before depreciation, EBITDA including rental expenses within the scope of amortization and provisions on fixed operational assets of IF
Slide 21: Q1/Q2/H1 2021 Revenue vs. 2020
Q1/Q2/H1 2021 REVENUE VS. 2020 Change vs. Q1 2020 Change vs. Q2 2020 Change vs. H1 2020 At constant FX At constant FX At constant FX and and and comparable (€m) Q1 2021 Reported Like-for-like Q2 2021 Reported comparable Like-for-like H1 2021 Reported comparable Like-for-like scope of scope of scope
Slide 22: H1 2021 Cash Flow Statement vs. 2020
H1 2021 CASH FLOW STATEMENT VS. 2020 (€m) H1 2020 H1 2021 Net debt excluding IFRS 16 as of January 1 18 (114) Cash flow from operations before tax, dividends and interest 109 212 Change in working capital (415) (579) Corporate income tax paid (24) (38) Operating investments (50) (46) Operating free
Slide 23: Balance Sheet
BALANCE SHEET At December At June 30, At December At June 30, Assets in €m 31, 2020 2021 Equity and Liabilities in €m 31, 2020 2021 Goodwill 1,654 1,654 Share capital 27 27 Intangible assets 506 512 Reserves related to equity 971 971 Conversion reserves -5 -6 Tangible assets 594 575 Other reserves 3
Slide 24: Store Network Evolution
STORE NETWORK EVOLUTION December 31, 2020 June 30, 2021 Owned Franchised Total Owned Franchised Total France and Switzerland(1) 412 339 751 412 354 766 Iberian Peninsula 67 5 72 67 5 72 Belgium and Luxembourg 85 0 85 85 0 85 Group 564 344 908 564 359 923 (1) including 13 foreign stores: 3 in Morocco
Slide 25: Appendices FY 2020
APPENDICES FY 2020 FNAC DARTY
Slide 26: Q1/Q2/Q3 2020 Revenue vs. 2019
Q1/Q2/Q3 2020 REVENUE VS. 2019 Change vs. Q1 2019 Change vs. Q2 2019 Change vs. Q3 2019 €m (IFRS 5 At constant FX At constant At constant Q1 2020 and Q2 2020 FX and Q3 2020 FX and excluding BCC) Reported comparable Like-for-like Reported comparable Like-for-like Reported comparable Like-for-like sco
Slide 27: Q4/FY 2020 Revenue vs. 2019
Q4/FY 2020 REVENUE VS. 2019 Change vs. Q4 2019 Change vs. 2019 €m At constant FX Q4 2020 At constant FX 2020 (IFRS 5 excluding BCC) and and comparable Reported Like-for-like Reported comparable Like-for-like scope of scope of consolidation consolidation France and Switzerland 2,348 11.3% 12.1% 11.7%
Slide 28: Simplified P&L
SIMPLIFIED P&L €m Reported (IFRS 5, excluding BCC) 2019 2020 Revenues 7,349 7,491 Current operating income 293 215 Non-current operating income and expenses -29 -16 Operating income 265 199 Financial expense -79 -51 Tax -72 -60 Consolidated net income from continuing operations, Group share 115 96 N
Slide 29: Disclaimer
DISCLAIMER IMPORTANT NOTICE: By reading this presentation, you agree to be bound by the following limitations and qualifications: certain information included in this release is not based on historical facts but on forward-looking statements. Such forward-looking statements are valid only as at the