Byggmax Group Ab · OMXSTO:BMAX
Byggmax Group Ab — Q2 2021 Earnings Presentation
21 slides from Byggmax Group Ab's earnings presentation, Jul 15, 2021
Slide 1: Q2 Report 2021
Q2 Report 2021 July 15, 2021 Mattias Ankarberg, CEO Helena Nathhorst, CFO
Slide 2: Q2 2021: Record quarter despite exceptional comparables
Q2 2021: RECORD QUARTER DESPITE EXCEPTIONAL COMPARABLES Net sales R12 7500 — Q2net sales increased 13% (39%) to 2,833m (2,499m) 5000 o Strong market and continued share gains o Like-for-like sales increased 9% 2500 o Byggmax branded e-com grew 35% o E-com accounted for 25% of Group sales OF as asl a
Slide 3: Key events
KEY EVENTS - Covid-19 situation — precautions to operate in a responsible way — Partial lockdowns in Norway during April, due to covid-19 restrictions — Store portfolio further upgraded and 5 new stores opened in Q2 2021 — Acquired Norwegian tiles discounter Right Price Tiles (announced after Q2) °
Slide 4: Health & safety first in Covid-19 pandemic
HEALTH & SAFETY FIRST IN COVID-19 PANDEMIC Continued precautions - Ensure health & safety of staff and customers, e.g., hygiene routines, cleaning frequency, cash point KLIKK & HENT covers, canceled events, hand washing stations, UTENFOR BUTIKK info signs, distance markers, “pay from car” service Kj
Slide 5: Clear and leading discount position
CLEAR AND LEADING DISCOUNT POSITION VILKEN BYGGHANDEL UPPLEVER DU HAR LAGST PRIS? ; ; Recognized for markets’ lowest prices by several independent surveys also 2021 “HAR FINNS SVERIGES BILLIGASTE TRADACK” ‘es Verified Quality & Performance BYGGMAX
Slide 6: Market share gains continued
MARKET SHARE GAINS CONTINUED Q2 2021, percent 2020: Nordic B2C DIY market ca 2020: Byggmax Group net sales +32% +20% (local currency) in local currency, +29% reported YX Bygematerialhandlarna VIRKE 13 Q2 2021: Nordic B2C market est. Q2 2021: Byggmax Group +13% ca unchanged vs very strong LY in local
Slide 7: Favorable market trends
FAVORABLE MARKET TRENDS Discount The home e-commerce ° TAN w ° NB = Accelerating New level Accelerating Further acceleration Home plays larger role Many new e-com of shift to discount with post covid-19 pandemic consumers during higher DIY consumer prices Many new DlYers in pandemic covid-19 pandemi
Slide 8: Strategic initiatives drive profitable growth
STRATEGIC INITIATIVES DRIVE PROFITABLE GROWTH Byggmax “Modern discount for today’s DIY-ers” e-commerce +35% @2 2021 — Byggmax branded online sales +35% Q2 2021 (+65%) — Continued fastest growth from collect@store — Larger assortment, upgraded site, better delivery options Store upgrades +6% per “Sto
Slide 9: Continued very strong online growth
CONTINUED VERY STRONG ONLINE GROWTH Byggmax branded e-com sales +35% in Q2 2021 — Strong growth despite exceptional comparables of +65% in Q2 2020 — Strong growth across all major product categories Dee — Larger assortment, improved site, delivery options BYGGMAX °c» MER RODFARG Byggmax stores enabl
Slide 10: Store upgrades generates ca 6% sales per store
10 STORE UPGRADES GENERATES CA 6% SALES PER STORE Mithicese Small town format Regular format (incl. Garden) Large format (& large Garden) Upgraded “3.0” version “Store 3.0” launched Q4 2018 Upgraded “3.0” version launched 2020 Upgrades ongoing launched 2020 Store 3.0 — more product categories and im
Slide 11: Lots of runway left for more upgrades
LOTS OF RUNWAY LEFT FOR MORE UPGRADES Byggmax store portfolio Store 3.0 now 49% of portfolio — 5new stores opened in Q2 2021: Leksand, Finspang, Borgholm and Alingsas (Sweden) and 167 169 169-175-180 Porsgrunn (Norway) | | - 2newstores in Q1 2021 and 4 stores from 61 acquired Neestved Lavpristree (“
Slide 12: Another strong quarter for Skanska Byggvaror
ANOTHER STRONG QUARTER FOR SKANSKA BYGGVAROR Benefit from leading online garden niche position Continued strong results from growth initiatives — Product development — Digital sales and marketing Sales increased 21%, profitability continued to increase, and order intake increased somewhat despite ex
Slide 13: Acquisition of Right Price Tiles, announced after Q2 2021
ACQUISITION OF RIGHT PRICE TILES, ANNOUNCED AFTER Q2 2021 Norwegian founder led discount concept — Founded in 2005 with first store in Oslo -— Modern quality tiles and accessories at the best prices -— Offer complemented by bathroom products and flooring Long history of profitable organic growth Bui
Slide 14: Further growth under the Byggmax brand
FURTHER GROWTH UNDER THE BYGGMAX BRAND Attractive category - All-year category with attractive margins — Younger customer base & “family” project — Few consumer-focused players in the Nordics Strong fit with Byggmax proposition Discount offer similar to Byggmax: quality products at the best prices,
Slide 15: Sales development Q2
SALES DEVELOPMENT Q2 Share of Byggmax Group sales Q2 2021 Sales development Q2 2021 vs. 2020 Byggmax Skanska Byggvaror Total 89.2% 10.8% 100% 12.2% 21.2% 13.4% LFL Acquisition New stores LFL LFL Currency 7.3% 2.4% 2.5% 19.9% 8.6% 0.7% Continued “stay home” effect during covid-19 pandemic and positiv
Slide 16: P&L Q2 2021
P&L Q2 2021 SEKM 2021 2020 Net sales 2833 2499 Other operating income 1 al Total revenue 2834 2510 Cost of goods sold -1892 -1723 Other external costs and operating expenses -141 -114 Personnel costs -230 -210 Depreciation and amortization of tangible assets 115 -107 Total operating expenses -2378 -
Slide 17: Cash flow & net debt
CASH FLOW & NET DEBT Cash flow from operating activities (SEK M) Netdebt exci irsis 1000 1000 500 | 500 . : _t ‘| pha ~ | | Cash flow from operating activities amounted to SEK 821 M for the first quarter, a decrease of SEK 433 M compared to the same period last year. The change in cash flow from ope
Slide 18: Performance vs. financial targets
PERFORMANCE VS. FINANCIAL TARGETS Targets RTM Q2 2021 Comment Sales SEK 10bn 2025 SEK 7.4bn SEK 6.1bn rtma2‘20 RTM EBITA 7-8% 11.7% 8.5% r™ @2:20 margin RTM Net debt / <2.5x -0.2x -0.1x Q2 2020 EBITDA RTM EBITDA, ex. IFRS16 Dividend 50% 35% SEK 2.75 per share Share of net income Co2 -70% 2030 -32% F
Slide 19: Record quarter and a stronger position
RECORD QUARTER AND A STRONGER POSITION 19 Q@2 2021: Record results despite exceptional comparables — Strong market & strong performing organic growth initiatives, e.g., Byggmax branded e-com +35% (+65%), Byggmax garden also doubled in two years — Price impacts positively & leading low price position
Slide 20: Q&A
Slide 21: Byggmax