Ovs S.p.a. · MIL:OVS
Ovs — 9M 2019 Earnings Presentation
13 slides from Ovs's earnings presentation, Dec 11, 2019
Slide 1: 9M19 Financial Results
9M19 FINANCIAL RESULTS December 11, 2019
Slide 2: Disclaimer
1 Disclaimer This presentation is being furnished solely for your information and may not be reproduced or redistributed to any other person. This presentation might contain certain forward-looking statements that reflect the Company’s management’s current views with respect to future events and fin
Slide 3: 9M19 Highlights
2 9M19 Highlights Net sales at €990.9m: strong reduction in promotional sales in the third quarter, with a consequent increase in full-margin sales to the benefit of profitability. Market still shrinking in the last three months (-5.4%), while market share €101.1m 9M19 Adjusted EBITDA still growing.
Slide 4: 9M19 Key Financials: strong recovery in the third quarter
3 9M19 Key Financials: strong recovery in the third quarter • 9M19 Net sales amounted to €990.9m, slightly down compared to the first nine months of 2018 due to two 31.10.2019 31.10.2019 31.10.2018 31.10.2018 Chg. Chg. % € mln main factors: (i) market contraction and (ii) lower Reported Adjusted Rep
Slide 5: Sales and EBITDA Performance in 9M19
4 Sales and EBITDA Performance in 9M19 Net Sales (€mln) EBITDA (€mln) 10.3% Aggregate Performance 1,011 991 10.2% Performance By Brand 2.1% 10.1% 10.0% 11.4% 10.9% (*) EBITDA margin calculated excluding the sell-in to Sempione Fashion AG Margin % (*)
Slide 6: Focus on the IIIQ19 EBITDA: strong recovery in profitability
5 Focus on the IIIQ19 EBITDA: strong recovery in profitability • In the last quarter, Group EBITDA amounted to €38.6m, up by +€15.6m or +68% vs. last year. • Both brands contributed to the expected recovery but OVS EBITDA drove the growth, with an increase of +€14.4m (or +81%). • This increase was d
Slide 7: 9M19 Consolidated Trade Working Capital: improvement in managing the business seasonality
6 9M19 Consolidated Trade Working Capital: improvement in managing the business seasonality Change Oct19- Change Oct19- Change Oct18- €mln 31Oct19 31Oct18 Oct18 Jan19 Jan18 Trade Receivables 123.0 165.5 (42.4) 24.6 52.5 Inventory 419.7 442.4 (22.7) 8.7 54.5 Trade Payables (347.3) (413.1) 65.8 3.7 (9
Slide 8: 9M19 Capex amounted to €31m, -€32.9m lower than last year
7 9M19 Capex amounted to €31m, -€32.9m lower than last year Total €63.9m Total €31.0m
Slide 9: 9M19 Net Debt and Leverage: both keep on decreasing
8 9M19 Net Debt and Leverage: both keep on decreasing • 31Oct19 Net Debt amounted to €395.2m, lower by -€45.2m compared to one year ago. Third quarter 31st October 31st October cash flow generated €18.4m of cash, improving by € mln 2019 2018 +€31m vs. last year. Net Debt excluding 395.2 440.4 MtM &
Slide 10: Consolidated Cash Flow Statement: impressive improvement
9 Consolidated Cash Flow Statement: impressive improvement €mln 31 October '19 31 October '18 9M19 cash flow improved by EBITDA Adjusted 101.1 104.1 +€102.9m mainly driven by a material Adjustments1 (3.8) (62.4) shift of trend at operating cash flow Change in Trade Working Capital (37.1) (97.3) leve
Slide 11: Outlook
10 Outlook • 2019 Black Friday in the Apparel market was less disruptive than last year: in 2018 winter temperatures started a couple of days before, while this year weather got colder just after that weekend to the benefit of full price sales. • The development of the B2B business through the agree
Slide 12: Appendix
OVS Appendix
Slide 13: Consolidated Profit and Loss and related adjustments
12 Consolidated Profit and Loss and related adjustments of which of which of which 31.10.2019 Adjustments, 31.10.2019 31.10.2018 Adjustments, 31.10.2018 Chg. Chg. % € mln IFRS 16 Normalization Normalization Reported Adjusted Reported Adjusted (Adjusted) (Adjusted) Impact s & Reclass. s & Reclass. Ne