Piquadro S.p.a · MIL:PQ
Piquadro — H1 2010/11 Earnings Presentation
18 slides from Piquadro's earnings presentation, November 2010
Slide 1: Milan - November 2010: 2010-2011 Half Year Results
Milan - November 2010 2010-2011 Half Year Results
Slide 2: Important Information
IMPORTANT INFORMATION • The information provided in this presentation is being furnished to you solely for your information on a confidential basis. Neither this document nor any copy thereof may be reproduced, redistributed or passed on, in whole or in part, to any other person. Neither this presen
Slide 3: Unique and Distinctive Brand Identity
UNIQUE AND DISTINTIVE BRAND IDENTITY Distinctive brand for “moving” people in leather goods industry Aspirational brand: high quality, technological mood, innovation, design and ergonomic performance Premium/performance positioning Clear distinction from competitors at comparable price level through
Slide 4: Flexible and Efficient Business Model
FLEXIBLE AND EFFICIENT BUSINESS MODEL During the semester ended September 30, 2010 Efficient Piquadro SpA has purchased the remaining 50% stake Procurement of Unibest factory in China from the previous partners. Low Capex Flexible Requirement Production Just after the acquisition new manufacturing p
Slide 5: International Multi-Channel Distribution Network
INTERNATIONAL MULTI-CHANNEL DISTRIBUTION NETWORK International Presence Presence in approx. 50 countries with strategic mix of DOS and Wholesale channel. Growing mono-brand network of now 92 Stores (41 DOS, 51 franchised stores) worldwide. End of March 2011 more than 100 worldwide monobrand Stores o
Slide 6: International Multi-Channel Distribution Network: DOS List
INTERNATIONAL MULTI-CHANNEL DISTRIBUTION NETWORK DOS Opening Year DOS Opening Year 1 ) Milano Via Della Spiga 33 2000 22 ) Monaco Ingolstadt Outlet Store 2008 2 ) Milano Linate Airport 2002 23 ) Barcellona Outlet Store 2009 3 ) Roma Galleria Colonna 38 2003 24 ) Bologna Airport 2009 4 ) Milano Malpe
Slide 7: International Multi-Channel Distribution Network: Franchising List
INTERNATIONAL MULTI-CHANNEL DISTRIBUTION NETWORK FRANCHISING Opening Year FRANCHISING Opening Year 1 ) Roma Via Frattina 125 2002 27 ) Belgrado USCE Center Boulevard Mihajla 2009 2 ) Mosca, Russia MEGA Shopping Mall 2004 28 ) Roma, Viale Europa n.1 2009 3 ) Padova Via Dante 19 2006 29 ) Treviso, Via
Slide 8: Soon Next Opening
I N T E R N A T I O NA L D E V E L O P M E N T SOON NEXT OPENING ITALY: MILANO LAMBIATE (Franchisee) LECCE (Franchisee) PALERMO (Franchisee) FIUMICINO TERMINAL C (DOS) SICILY (Agira) (DOS factory outlet) WORLDWIDE: Moscow –Mall of Russia (Franchisee) Astana (Kazhakinstan) (Franchisee) Shaniang (Chin
Slide 9: Summary Consolidated Income Statement
SUMMARY CONSOLIDATED INCOME STATEMENT INCOME STATEMENT 1st Half (€m) FY Ending March 31st , (ending Sept 30th) 2009 A 2010 A 2009 A 2010 A Net sales 51.7 52,2 23.0 27.1 % growth +1,0% +17.8% Other revenues 0,9 0,8 0.4 0.7 Material costs (9.8) (8,4) (3.0) (2.3) Service costs (20.6) (22.5) (10.7) (14.
Slide 10: Strong Top Line Growth
STRONG TOP LINE GROWTH (€m) In the latest 6 months DOS up H1 Net Sales(1): up 17.8% 26,2% (SSSG +11,1% at current 23,021 27,117 exchange rate /+9.8% at constant exchange rate). In Q2 SSSG up by 13,6% at current exchange rate 2009/10 H1 2010/11 H1 and +12,3% at parity. Net Sales Wholesale up 15,6%. E
Slide 11: Sustainable High Profitability
SUSTAINABLE HIGH PROFITABILITY Ebitda and Ebit : H1(1) in a very strong growth H1 10/11 EBITDA up 110 bps €5.85 m €7.19 m impacted by very positive perfomance of DOS business unit and maintained margin on 2009/10 H1 2010/11 H1 Wholesale unit. Margin: 25.4% 26.5% • DOS performance up bps due to EBITD
Slide 12: Group Net Profit
GROUP NET PROFIT 6M 10/11 Net Profit in increase by H1 Net Profit(1): up 36,2% more than 36%. Low impact of interest expenses € 3.88m notwithstanding negative delta € 2.85m exchange currency rate. 2009/10 H1 2010/11 H1 % of sales: 12.3% 14.3% No major changes in effective tax rate. Latest Full Year
Slide 13: Summary Balance Sheet
SUMMARY BALANCE SHEET FINANCIAL BALANCE SHEETS As of March 31st , 1st Half (€m) (as of Sept. 30th) 2009A 2010A 2009 A 2010 A Net Working Capital 14.5 13.9 14.6 15.9 Net Tangible Assets 11.5 11.5 11.4 11.1 Net Intangible Assets 1.2 0.6 0.8 0.7 Net Financial Assets 1.3 1.6 1.4 1.7 Severance Staff, Pro
Slide 14: Lean Capital Structure
LEAN CAPITAL STRUCTURE Total Capitalization NET FINANCIAL DEBT Net Debt/ 0.63 0.25 0.35 Equity As of March 31 As of September 30 (€ m) 2009A 2010A 2009A 2010A 26.9 26.3 27.9 Short-term Net Debt 2.8 3.3 2.9 6.5 Long-term Net Debt 14.5 11.3 13.1 9.4 30 29 (€m) 28 27 Cash & Cash Equivalents (6.8) (9.3)
Slide 15: 12 Months Rolling Cash Flow as of Sept 30, 2010
12 MONTHS ROLLING CASH FLOW AS OF SEPT 30, 2010 Net Financial Debt €/000 10.350 -4.554 -2.862 -1.352 2.648 3.037 7.348 7.348 11.000 10.000 9.000 8.000 +4.311 7.000 6.000 5.000 4.000 +4.000 +389 3.000 2.000 1.000 0 -1.000 +1.510 -2.000 +1.692 -3.000 -4.000 -5.000 -14.904 Net Debt as of Operating NWC
Slide 16: The Path Ahead
THE PATH AHEAD Focus on aspirational content and brand awareness: profitability and cash generation International Focus on Logistic/Manufacturing internationalization /Financial platform in Asia Development of Exploiting target Brand Extension: positioning inTravel new licensing Items and ‘explorati
Slide 17: Focus on Internationalization
FOCUS ON INTERNATIONALIZATION New franchised stores and DOS (full price and Outlet ones) in Italy and Europe ( Germany and Spain overall) as a way to reinforce and rationalise distribution and ,in some cases, to replace the multi-brand retailers. Flagships in London and Paris in a three years period
Slide 18: Aiming to Translate and Create Sustainable Cash Generation
A I M I NG TO T RA N S LAT E A N D C R EAT E , SU STA I NA B L E CA S H G E N E RAT IO N Maintaining high profitability more than Top line growth average industry Efficient working capital management Low capital intensive business model HIGH CASH FLOW GENERATION 18 Milan – November 2010 - Piquadro G