Doganlar Mobilya Grubu Imalat Sanayi Ve Ticaret A.s. · BIST:DGNMO
Doganlar Mobilya Grubu Imalat Sanayi Ve Ticaret A.s — Doğanlar Mobilya Grubu — Investor Presentation (September 2023)
42 slides from Doganlar Mobilya Grubu Imalat Sanayi Ve Ticaret A.s's investor presentation, Sep 30, 2023
Slide 1: Investor Presentation
Düzce Biga Investor Presentation 30 SEPTEMBER 2023 1
Slide 2: Presenters
PRESENTERS 30 Years of experience 30+ years of experience • April 2023-continue Doğanlar Mobilya Grubu CEO • April 2023-continue Doğanlar Mobilya Grubu Chairman of • 2018-2023 Bellona General Manager the Board • 2017-2018 İstikbal Mobilya General Manager 2020-2023 Doğanlar Mobilya Grubu CEO İSMAİL D
Slide 3: Company Overview
DOGANLAR 1. Company Overview
Slide 4: DGNMO At a Glance (2023 9M)
DGNMO At a Glance (2023 9M) The third-largest* furniture company that produces and sells Comprehensive modern designed furniture at affordable prices Product Portfolio PANEL Turkey’s most established furniture FURNITURE company with 6 brands** UPHOLSTERY BEDDING (50 years) (87 years) Among “Turkey’s
Slide 5: Shareholding Structure (DGNMO)
Shareholding Structure (DGNMO) ABOUT DOĞANLAR HOLDİNG Apart from its activities in the field of Doğanlar energy, Doğanlar Holding also has Holding* investments in furniture, construction 49.88% and retail. ENERJİ (BIOEN) Free Float 50.12% DOĞYAP - İNŞAAT KORAD - PERAKENDE 2.720 employees (1) • With
Slide 6: Developments in 2023 Q3
Developments in 2023 Q3 We speed up our digitalization We opened the furniture factory of D'Afric 1 Senegal Furniture S.A*, operating in 2 and infrastructure transformation works with new Senegal. targets! We continue to be at the top of the Capital Reached more than 700 3 500, Fortune 500, ISO 500
Slide 7: Company's Strengths
Company’s Strengths 1 Widespread Sales Points A large and growing network of stores with a well-designed concept 2 Extended Product Range With a Strong Brand Affordable Furniture Products with Modern Designs and Brand Strategies for Categorization Growing Online Sales and E-Commerce 3 Exponential sa
Slide 8: The Company Continues to Grow in the Branded Furniture Sector with its Widespread Sales Network
The Company Continues to Grow in the Branded Furniture Sector with its Widespread Sales Network Sales Points Share of Franchise in Sales Change in Sales Area Points (%) (thousand sqm) 509 657 692 80% 83% 85% 509 655 696 9 22 43 9 51 17 105 291 26 91 10 271 9 47 237 588 220 230 543 182 404 367 383 28
Slide 9: Extended Product Range With a Strong Brand: Sales Breakdown
Extended Product Range With a Strong Brand: Breakdown of Sales by Breakdown of Sales by Breakdown of Sales by Product Group (%) – 2023 9M Channel(%) – 2023 9M Brands(%) – 2023 9M %4 %1 %8 %1 %11 %11 %18 %48 %37 %73 %39 %49 Panel Doğtaş Upholstery Franchise Store Bedding Group-Home Textile Internatio
Slide 10: Extended Product Range With a Strong Brand
Extended Product Range With a Strong Brand : The Only Address for Home Furniture A wide range of products at affordable prices with best-in-class designs The potential for greater and faster market penetration with a multi-brand strategy A team of 56 people in R&D and design closely following global
Slide 11: Extended Product Range With a Strong Brand - continue
Extended Product Range With a Strong Brand - continue The Only Address for Home Furniture Continuous revision of collection in line with consumer opinion receieved from around 700 stores. Full range of product portfolio: living room, dining room, bedroom, kitchen, bed, bed base, home textiles 11
Slide 12: Lova Mattress and Sales Points Development
Extended Product Range With a Strong Brand: With Lova Mattress, launched in 2019, we aim to steadily increase our share in the mattress market and in total sales Lova Sales Points Development +238 570 610 New Corner Point 288 433 (2020-2023 9M) 479 505 386 91 105 +105 267 47 Exclusive Concept Store
Slide 13: Growing Online Sales and E-Commerce
Growing Online Sales and E-Commerce Sales Channels Brand Websites E-Commerce Ruum Store Sales www.dogtas.com www.kelebek.com www.ruumstore.com Chain Stores www.lovayatak.com E-commerce transaction volume hits ~5% of our sales. Internet sales increased by 414% in 2022 compared to 2021. We have online
Slide 14: Flexible Manufacturing Model
Flexible Manufacturing Model Flexibility Between Domestic Production and Outsourcing Logistics and operation centers in 6 İstanbul centers of Turkey to reduce our logistics Düzce and operation costs in response to our Biga widespread subsidiary and supplier network in Turkey Ankara Bursa İnegöl Kays
Slide 15: Flexible Manufacturing Model: Biga Factory
Flexible Manufactoring Model Flexibility Between Domestic Production and Outsourcing Two production facilities close to Turkey's main furniture production centers and high-demand regions: BİGA FACTORY • Total area 233.000 sqm • Closed area 84.000 sqm • 2.400 sqm panel, • 96 k upholstery, 75,6 k beds
Slide 16: Flexible Manufacturing Model: Düzce Factory
Flexible Manufactoring Model Flexibility Between Domestic Production and Outsourcing Two production facilities close to Turkey's main furniture production centers and high-demand regions: DÜZCE FACTORY • 159.500 sqm total area • 55.000 sqm closed area • 1.920 sqm panel, • 53,5 k upholstery productio
Slide 17: Digital Transformation
Digital Transformation SAP S/4HANA CLOUD and SAP SERVICE CLOUD Digital Transformation Projects • Business processes and operations equipped with SAP Cloud and Google solutions • Automating business processes across operations. Business processes are interconnected and fast and easy to adapt to marke
Slide 18: International Markets
International Markets Düzce Biga Significant growth target in international markets ! Subsidiaries Established Abroad Since 2021 Cyprus Senegal USA UK Online Portals outside the Retail Channel & Project Works & Sales to Chain Stores +24 +~20 New Sales Point New Sales Point Target (2021-2023 9M) (202
Slide 19: BIGH SIG
BIGH SIG . HOME ur }assayemmp Ox) BIG Ze BISAe- > \ 4 SS parou Mousty Quafe Engo . Balodji BIGA -.. HOME Touba- =~ Maye Landan (x) HOME Joal Fadiouth oogle’ Foun aan aN C" ybos ANLAR MOBILYA GRUBU
Slide 20: International Markets
International Markets Moldova Moskow Libya Uzbekistan Iraq Mauritius 20
Slide 21: D'Afric Senegal Furniture S.A.
D’Afric Senegal Furniture S.A. Factory Showroom Dakar Showroom 3 Saly Showroom 21
Slide 22: D'Afric Senegal Furniture S.A.
D’Afric Senegal Furniture S.A. 22
Slide 23: D'Afric Senegal Furniture S.A.
D’Afric Senegal Furniture S.A. 23
Slide 24: Financial Overview
ee eNLAR 2. Financial Overview
Slide 25: Revenue
Revenue Growth 1.891 4.503 27% 3.831 1.496 79% %120 34% 1.116 2.517 75% 1.744 995 2022 9M 2023 9M 2020 2021 2022 2023 1Q 2023 2Q 2023 3Q 2023 9M Share of Foreign Sales: 9% 2023 Export Share Target: ~12% 2023 Net Sales Target: ~%83 Growth with ~7 billion TRY 25
Slide 26: Profitability: Gross Profit
Profitability Gross Profit (million TRY) 36% 38% 33% 33% 37% 1.698,5 35% 36% 41% 146% 1.409,2 766,3 88.4% 42% 901,5 37% 539,2 76% 393,0 571,9 325,8 2022 9M 2023 9M 2020 2021 2022 2023 1Q 2023 2Q 2023 3Q (Despite increasing raw material and input costs, we achieved to increase the gross profit margin
Slide 27: Profitability: EBITDA
Profitabiltiy EBITDA (million TRY) 15% 16% 17% 15% 14% 11% 14% 19% 701,2 359,6 64% 550,4 %114 86% 219 377,3 79% %56 257,8 122,6 165,2 2022 9M 2023 9M 2020 2021 2022 2023 1Q 2023 2Q 2023 3Q 2023 EBITDA margin target: ~%15 27
Slide 28: Net Profit
Net Profit %6 %8 3% 2% 5% %3 %8 %10 350,3 195,4 56% 598% 155% 316% 124,9 179,8 137,3 25,8 25,8 30,0 2022 9M 2023 9M 2020 2021 2022 2023 1Q 2023 2Q 2023 3Q Margin(%) Increasing profitability levels. 28
Slide 29: Steps to Improving Working Capital
Steps to Improving Working Capital 30.09.2023 IMPROVEMENTS 1. Trade Receivables 32 days 1. Trade Receivables • Strong contribution to cash collection from retail stores with Virtual POS and consumer financing • Minimizing the forward payment option Inventories 110 days 2. 3. 110 days Trade Payables
Slide 30: Debt Structure
Debt Structure Net Financial Indebtedness (TRY million) TL mn 2021 2022 30.09.2023 Short Term Financial Indebtedness 369,05 442,19 1.056,08 Short-Term Bank Loans 38,32 79,95 80,54 From leasing payables 14,38 32,58 44,61 DBS Loans 65,29 - - Short-Term Portion of Long-Term Bank Loans 251,06 329,66 930
Slide 31: 2023 – Guidance
2023 – Guidance* 7 – 7,2 Billion TRY Consolidated Sales Revenue 85-90% Consolidated %12-15 Consolidated Export Sales Growth Share 120-125 100-110 Total Targeted Lova Stores 14-15% New Domestic Sales Points EBITDA Margin 20-25 New International Sales Points 15% 1-1,5x Lova's Share in Total Consolidat
Slide 32: Q&A
3. Q&A 32
Slide 33: Appendix
4. Appendix • Summary Financial Statements • Number of Stores • Sustainability • Social Responsibility & Awards 33
Slide 34: Summary Financials: Balance Sheet
Summary Financials Balance Sheet TL 31 December 2021 31 December 2022 30 September 2023 Total Assets 1.745.248.010 3.249.092.310 4.752.517.742 Cash & Cash equivalents 49.168.829 294.333.290 267.269.319 Accounts Rec. & other recivables 278.655.495 440.013.259 988.134.051 Inventories 468.759.358 883.1
Slide 35: Summary Financials: Income Statement
Summary Financials Income Statement TL 31.12.2021 31.12.2022 30.09.2022 30.09.2023 Net Sales 1.744.206.723 3.831.311.833 2.517.093.232 4.503.219.969 Cost of Sales (1.172.240.465) (2.422.078.267) (1.615.606.715) (2.804.704.587) Gross Profit 571.966.258 1.409.233.566 901.486.517 -58.204.067 1.698.515.
Slide 36: Number of Stores
Number of Stores 2020 2021 2022 30.09.2023 Sales Channel Number of Store Number of Store Number of Store Number of Store Domestic Retail 71 101 110 98 Doğtaş 24 31 31 27 Kelebek 35 46 43 40 Lova (Exclusive) 12 21 33 30 Lova (Corner)* 54 77 70 81 Kelebek Kitchen 3 3 1 Domestic Franchise 286 338 451 5
Slide 37: Sustainability Management
Sustainability Management For Our Planet For Our Employees For a Sustainable Future ➢ Carbon Management- Determining Targets for ➢ Equality and Inclusion Projects – Free ➢ Sustainability Performance – Compliance Reducing Carbon Footprint by Determining kindergarten support project for female with th
Slide 38: Sustainability Management
Sustainability Management Establishment of Zero Waste System in Head Offices with the Zero Waste ✓ Sustainable Production and Project Products Using Recycled Fabrics in Production Transition to Eco-Design Model with Low-Carbon Footprint Products UN Global Compact Türkiye Network Membership ✓ Environ
Slide 39: Sustainability Management
Sustainability Management As Doğanlar Furniture Group, we started our Carbon Footprint Reporting studies within the scope of 2050 Net Zero Vision. We aim to share our report in the last quarter of 2023. ✓ The Goal of The Project ➢ Combating with Climate Change With the vision of net zero emissions;
Slide 40: Social Responsibility & Awards
Social Responsibiltiy & Awards 40
Slide 41: Disclaimer
DISCLAIMER The information contained in this presentation is provided by Doğanlar Mobilya Grubu İmalat ve Sanayi A.Ş. (“Doğanlar Mobilya Grubu” or “Company”). The information contained in this presentation is not meant to be comprehensive and has not been independently verified. The information used
Slide 42: Thank You
DGNMO INVESTOR RELATIONS Gözde ÇİVİCİ Investor Relations Director Aysun VARDAN Investor Relations Manager ir@doganlarmobilyagrubu.com +90 216 425 1224 THANK YOU 42
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