Mavi Giyim Sanayi Ve Ticaret A.s. · BIST:MAVI
Mavi Giyim Sanayi Ve Ticaret A.s — Q1 2023 Earnings Presentation
27 slides from Mavi Giyim Sanayi Ve Ticaret A.s's earnings presentation, Jun 8, 2023
Slide 1: Q1 2023 Results Presentation
Q1 2023 Results Presentation June 8, 2023
Slide 2: Disclaimer
Disclaimer This document does not constitute or form part of any offer to sell or issue or invitation to purchase or subscribe for, or any solicitation of any offer to purchase or subscribe for, any securities of the Company. The information, statements and opinions contained in this presentation do
Slide 3: Mavi Business Overview
MAVI BUSINESS OVERVIEW
Slide 4: Q1 2023 Business Overview
Q1 2023 Business Overview Business Overview › Strong sales growth driven both by price and volume. Almost all product categories grew in number of pieces in both women and men › Strong brand strategy, demand creating newness supported by dynamic product mix and price planning helped product cost mit
Slide 5: Q1 2023 Business Overview
Q1 2023 Business Overview Turkey Retail › February was marked by the devastating earthquake that impacted 11 provinces in Turkey. As of today, one store is permanently and five stores are temporarily closed › Consumer demand remained robust after March amid high inflation. Q1 2023 includes the posit
Slide 6: Q1 2023 Highlights
Q1 2023 HIGHLIGHTS
Slide 7: Q1 2023 Highlights
Q1 2023 Highlights GROUP HIGHLIGHTS1 TURKEY HIGHLIGHTS › Consolidated revenue realized at 3,947 TRYm, 3,947 TRYm 911 TRYm 119% 82% growing 109% yoy Revenue EBITDA Retail Sales Online Sales Growth Growth › EBITDA for the period is 911 TRYm resulting in 23.1% EBITDA margin › Net income realized at 515
Slide 8: Sales Channels
SALES CHANNELS
Slide 9: Revenue Evolution in Sales Channels
Revenue Evolution in Sales Channels Global Revenue (TRYm) Turkey Revenue (TRYm) Channel Growth 124% 109% 3,379 281 82% 3,947 1,508 697 77% 399 154 170% 1,078 259 2,401 1,887 105% 1,095 119% 226 527 2,469 118% Q1 2022 Q1 2023 1,135 International Revenue (TRYm) Q1 2022 Q1 2023 Retail Wholesale E-com 1
Slide 10: Turkey Retail
TURKEY RETAIL
Slide 11: Turkey Retail Operations
Turkey Retail Operations # of Retail Stores Gross Selling Space in Turkey (Sqm K) Net New Avg. Stores 6 7 2 (1) Sqm/ 498sqm 501sqm 510sqm 510sqm Retail Store 164.0 167.7 167.3 320 327 329 328 159.4 2020 2021 2022 Q1 2023 2020 2021 2022 Q1 2023 › With two openings and three closures in Q1 2023, numbe
Slide 12: Like-for-Like Stores Sales Performance
Like-for-Like Stores Sales Performance 42.7% 141.8% 124.4% 29.5% 15.4% 73.3% Transaction1 1.1% (20.8%) # Growth (%) 20.9% (11.0%) 2019 2020* 2021* 2022 Q1 2023 2019 2020* 2021* 2022 Q1 2023 › Traffic growth of 19% in Q1 2023 displays continued strong 86.7% 94.4% consumer demand including the positiv
Slide 13: Sales in Denim & Lifestyle Categories
Sales in Denim & Lifestyle Categories Denim Products (TRYm) Lifestyle Products (TRYm) 45% Knits/Jerseys 25% Shirts 11% Jackets 5% 100% 173% 270 115 120% 1,096 117% 135 42 601 Q1 2022 Q1 2023 Q1 2022 Q1 2023 498 277 Accessories Non-Denim Bottoms 6% 7% 105% 141% 136 Q1 2022 Q1 2023 Q1 2022 Q1 2023 164
Slide 14: Online Business
ONLINE BUSINESS
Slide 15: Online Sales Growth (inc. wholesale partners)
Online Sales Growth (inc. wholesale partners) Global Online Sales (TRYm) Turkey Online Sales (TRYm) % Sales % Sales 8.3% 13.9% 11.4% 10.2% 450 82% 281 71% Channel 51 Growth 154 146 263 187 39% 60% 37 91 135 115% 67% 112 63 213 114 86% Q1 2022 Q1 2023 Q1 2022 Q1 2023 International Online Sales (TRYm)
Slide 16: Consolidated Financial Results
CONSOLIDATED FINANCIAL RESULTS
Slide 17: Consolidated Gross Margins
Consolidated Gross Margins Revenue (TRYm) Gross Profit (TRYm) 56.5% 49.7% 109% 84% 3,947 1,962 1,887 1,066 Q1 2022 Q1 2023 Q1 2022 Q1 2023 › Significant product cost inflation in Q1 2023 due to a low base last year › Meeting high consumer demand with newness, variety and the right product/price posi
Slide 18: Consolidated EBITDA and Net Income
Consolidated EBITDA and Net Income EBITDA exc.IFRS16 (TRYm) EBITDA inc.IFRS16 (TRYm) 24.6% 19.6% 23.1% 29.5% 66% 773 64% 911 465 556 Q1 2022 Q1 2023 Q1 2022 Q1 2023 Net Income exc.IFRS16 (TRYm) Net Income inc.IFRS16 (TRYm) 15.9% 13.3% 16.0% 13.1% 75% 71% 525 515 300 302 Q1 2022 Q1 2023 Q1 2022 Q1 20
Slide 19: Operational Cash Flow and Working Capital Management
Operational Cash Flow and Working Capital Management Cash Conversion & Operational Cash Flow (exc.IFRS16) Main Working Capital Items 30% TRYm 2022 Q1 2022 Q1 2023 15% Trade & Other Receivables 913 638 1,328 % LTM Sales 8.6% 11.1% 10.5% Q1 2022 Q1 2023 Inventories 2,308 1,004 2,487 % LTM COGS 46.2% 3
Slide 20: Capex and Leverage Ratios
Capex and Leverage Ratios CAPEX (TRYm) Debt Breakdown (30 April 2023) % Sales 3.2% 2.2% 7% 2% 5% Average Cost of Debt USD 86 TRY 27.2% CAD 61 TRY USD 7.1% RUB RUB 12.5% Q1 2022 Q1 2023 CAD 7.0% 86% Blended 24.8% Net Cash exc.IFRS16 (TRYm) › All of non-TRY debt (14% of total) is carried by Mavi US, 1
Slide 21: FY2023 Management Guidance
FY2023 Management Guidance Management Guidance for FY2023 › Total consolidated sales growth of 75% ± 5% › Turkey retail stores : Net 5 openings and 7 expansions › EBITDA margin : 18% ±0,5% exc. IFRS16 and 22% ±0,5% inc. IFRS16 › Net cash position maintained › Capex to sales ratio of 3% Trading Updat
Slide 22: Thank You!
THANK YOU !
Slide 23: Financial Statements Income Statement (inc. IFRS 16)
Financial Statements Income Statement (inc. IFRS 16) TRYm Q1 2022 Q1 2023 Change (%) Revenue 1,887 3,947 109% Cost of Sales (821) (1,985) 142% Gross Profit 1,066 1,962 84% Gross Margin 56.5% 49.7% Administrative Expenses (106) (220) 108% Selling and Marketing Expenses (498) (974) 95% R&D Expenses (1
Slide 24: Financial Statements Balance Sheet (inc. IFRS 16)
Financial Statements Balance Sheet (inc. IFRS 16) TRYm 31 January 2023 30 April 2023 Change (%) Assets Current Assets Cash and Cash Equivalents 3,245 3,329 3% Financial Investments 58 39 (32%) Trade Receivables 871 1,294 49% Inventories 2,308 2,487 8% Other Current Assets 304 351 16% Total Current A
Slide 25: Financial Statements Cash Flow Statement (inc. IFRS 16)
Financial Statements Cash Flow Statement (inc. IFRS 16) TRYm Q1 2022 Q1 2023 Profit¹ 302 515 Adjustments 317 466 Cash Flow from Operating Activities 619 981 Δ in Net Working Capital² (397) (538) Income Tax Paid (53) 1 Net Cash from Operating Activities 169 444 Capex (61) (86) Other Investing Cash Fl
Slide 26: Effects of IFRS16 on Financial Statements
Effects of IFRS16 on Financial Statements TRYm 30-Apr-23 IFRS 16 Effect After IFRS 16 Current assets 7,507 (6) 7,501 Non-current assets 1,329 633 1,961 Current liabilities 5,742 399 6,140 Non-current liabilities 138 291 429 Equity 2,956 (63) 2,893 Q1 2023 IFRS 16 Effect After IFRS 16 Operating profi
Slide 27: Global Operations as of 30 April 2023
Global Operations as of 30 April 2023 457 395 62 5 35 Monobrand Mono-Brand International ~4,000 5,818 HQ Countries Stores in Mono-Brand Points of Sale Employees Stores Turkey Stores TURKEY EUROPE RUSSIA Retail stores: 328 Retail stores: 1 Retail stores: 17 Franchise stores: 67 Wholesale doors: ~800
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