Pt Mitra Adiperkasa Tbk · IDX:MAPI
Pt Mitra Adiperkasa Tbk — H1 2022 Earnings Presentation
67 slides from Pt Mitra Adiperkasa Tbk's earnings presentation, August 2022
Slide 1: 1H/2Q22 Unaudited Result
1H/2Q22 UNAUDITED RESULT eo
Slide 2: Table of Contents
TABLE OF CONTENTS 1 OVERVIEW OF MAP GROUP 2 1H/2Q22 FINANCIAL HIGHLIGHTS 3 STRATEGIES FOR 2022 & BEYOND 4 SUSTAINABILITY 5 APPENDIX 2
Slide 3: Overview of Group
OVERVIEW OF GROUP 2,837 150+ 110+ Retail Stores* + 26 online stores World Class Brands Retail Concepts + Presence in 3rd party online stores 79 22,279 Cities Employees * Data includes Burger King and Domino’s Pizza 3
Slide 4: More Than 150 Exclusive Brands
MORE THAN 150 EXCLUSIVE BRANDS ENTERTAIN OUR SHOPPERS 24 HOURS A DAY Department Food & Specialty Stores Others Stores Beverage Active Fashion & Beauty Digital Sports Hoka One One Energetics Digimap Starbucks Coffee Kinokuniya SOGO Zara Max Mara Sephora Sports Station New Era Taylormade Massimo Dutti
Slide 5: MAPI Retail Footprint 1H22
MAPI RETAIL FOOTPRINT 1H22 No. stores Space (sqm) CONSOLIDATED 2,457 938,261 DEPT STORE 58 351,963 SPC. STORE 1,700 399,000 ACTIVE 1,214 250,139 FASHION & BEAUTY 432 139,993 DIGITAL 49 6,015 OTHERS 5 2,853 F&B 657 176,285 OTHERS 42 11,013 Exclude: 175 Burger King & 205 Domino’s Pizza 5
Slide 6: 1H/2Q 2022 Financial Highlights
1H/2Q 2022 FINANCIAL HIGHLIGHTS 6
Slide 7: Financial Highlights (IDR bn, %)
FINANCIAL HIGHLIGHTS (IDR bn, %) 1H22 1H21 Growth (%) 2Q22 2Q21 Growth (%) Net sales 12,248 9,135 34.1% 6,615 4,822 37.2% Gross Profit 5,432 3,896 39.4% 3,018 2,099 43.8% GPM (%) 44.4% 42.7% 45.6% 43.5% EBIT 1,324 684 93.6% 836 496 68.4% EBIT Margin (%) 10.8% 7.5% 12.6% 10.3% EBITDA 2,401 1,775 35.2
Slide 8: Net Sales & Growth
NET SALES & GROWTH (IDR bn, %) 1H22 1H21 2021 2020 2019 % Growth YoY +34% +34% +24% -31% +14% NET SALES 21,637 18,424 14,847 12,248 9,135 1H22 1H21 2021 2020 2019 8
Slide 9: Operational Expenditure
OPERATIONAL EXPENDITURE * (as % of sales) 1H22 1H21 2021 2020 2019 NET SALES 12,248 9,135 18,424 14,847 21,637 LABOUR 11.4% 11.9% 12.0% 14.8% 12.8% RENTAL 9.7% 9.2% 8.7% 11.1% 11.1% DEPR. & AMORT. 3.4% 4.7% 4.7% 6.1% 3.9% UTILITIES 1.3% 1.5% 1.4% 1.8% 1.4% A&P 1.2% 1.5% 1.6% 1.3% 1.4% OTHERS 7.1% 7.
Slide 10: Profitability
PROFITABILITY*) (IDR bn, %) 1H22 1H21 2021 2020 2019 Gross Margin 44.4% 42.7% 41.8% 41.6% 47.7% EBITDA Margin 13.9% 11.4% 10.6% 4.5% 13.2% EBIT Margin 10.4% 6.6% 5.8% -1.7% 9.2% EBIT 1,989 1,273 1,072 600 1H22 1H21 2021 2020 2019 -259 *) Prior PSAK 73/ IFRS 16 10
Slide 11: Inventory Level
INVENTORY LEVEL (Days, IDR bn, %) 1H22 2021 2020 2019 Aging inventory > 6 month 29% 43% 38% 23% INVENTORY DAYS 152 125 109 101 1H22 2021 2020 2019 The higher margins in the period reflected the Group’s extensive investments into data analytics and merchandise planning programs. This unlocked new pot
Slide 12: Debt Structure & Leverage
DEBT STRUCTURE & LEVERAGE (IDR bn, %) DEBT DEBTPROFILE PROFILE LEVERAGE LEVERAGE* 1H22 2021 2020 2019 Net DER -24.8% -23.0% -4.4% -4.2% 28% Blended CoF 5.3% 5.4% 6.6% 6.9% GROSS DEBT 2,504 72% 1,507 1,112 1,146 Loan with Floating Interest Rate Loan with Zero Coupon 1H22 2021 2020 2019 *) Exclude zer
Slide 13: Financial Charges Structure
FINANCIAL CHARGES STRUCTURE (IDR bn) 1H22 2021 2020 2019* Interest expense on loans 56 193 214 171 Amortized interest on zero coupon bond 14 28 29 41 Interest expense on lease liabilities (non-cash item) 125 279 309 - 552 FINANCE CHARGES 500 195 212 1H22 2021 2020 2019 *) no restatement for FY19 boo
Slide 14: Balance Sheet
BALANCE SHEET (IDR bn) As of As of As of LIABILITIES & As of As of As of ASSETS 30 Jun22 31 Dec21 31 Dec20 EQUITY 30 Jun22 31 Dec21 31 Dec20 Cash & 3,159 2,778 2,788 Bank loan 1,112 1,146 2,504 equivalents Account 684 606 508 Account Payable 2,364 2,521 2,486 Receivables Inventories 4,115 3,731 3,71
Slide 15: Strategy for 2022 and Beyond: Our Pillars of Growth
STRATEGY FOR 2022 AND BEYOND Our 4 Pillars of Growth 15
Slide 16: 4 Pillars of Growth
OUR 4 PILLARS OF GROWTH Maximizing brand possibilities to be the leading one-stop shop for multi-channel retail sales & marketing: 1. Unifying Retail Purchase Options 2. Launch Regional Branded Commerce 3. Execute Digital Change 4. Strategic Partnerships 16
Slide 17: Pillar 1: Unifying Retail Purchase Options
Our 4 Pillars of Growth Pillar 1: Unifying Retail Purchase Options • Integrated data driven digital ecosystem • Online & offline stores to service our shoppers 24 x 7 Multi-channels to service customers nationwide via offline, online, chat & buy and marketplace channels 17
Slide 18: Pillar 2: Launch Regional Branded Commerce
Our 4 Pillars of Growth Pillar 2: Launch Regional Branded Commerce • Managing & marketing major brands • Unifying offline + online + all retail touch points to maximize sales potential. INDONESIA VIETNAM PHILIPPINES zara.com/id zara.com/vn converse.id 18
Slide 19: Pillar 3: Execute Digital Change
Our 4 Pillars of Growth Pillar 3: Execute Digital Change • Integrated data driven digital ecosystem • To refine our planning, purchasing, selling & speed to market across ASEAN a. MAP CLUB – One power App for branded shopping A retail community App which aggregates all MAP’s commerce & customer coll
Slide 20: Pillar 3: Execute Digital Change (Cont'd)
Our 4 Pillars of Growth Pillar 3: Execute Digital Change (Cont’d) b. Endless Aisle (Save The Sale) c. BluTab Technology • A process to optimize the company’s inventories A proprietary O2O technology that assists online by online access to all stores and DC stocks shoppers with faster deliveries by f
Slide 21: Digital Retail Stores
DIGITAL RETAIL STORES ACTIVE FASHION DIGITAL • Planet Sports.Asia • Zara ID • Digimap • Foot Locker • Zara VN • Converse • Massimo Dutti ID OTHERS • Crocs • Massimo Dutti VN • Skechers • Kinokuniya • Pull and Bear • Reebok • Stradivarius • New Balance • Bershka WHATSAPP CHAT & BUY • Linea Shoes • Za
Slide 22: Digital Performance (IDR bn, %)
DIGITAL PERFORMANCE (IDR bn, %) CONTRIBUTION BY CHANNEL DIGITAL SALES PERFORMANCE 1H22 1H21 2021 2020 2019 3rd party Contribution 9.4% 10.5% 13.0% 10.9% 1.6% marketplace Own 41% sites 2,388 59% 1,612 1,156 CONTRIBUTION BY SEGMENT 958 F&B 348 19% Active Dept 36% 1H22 1H21 2021 2020 2019 Store 13% 1H2
Slide 23: Pillar 4: Strategic Partnerships
Our 4 Pillars of Growth Pillar 4: Strategic Partnerships Foot Locker Subway Long term partnership with Foot Locker for omni • A new major addition to MBA’s brand portfolio channel retail in the markets of Indonesia • 27 stores in Indonesia (end of June 2022) Digibox in Vietnam • Launch on 9th April
Slide 24: Sustainability
SUSTAINABILITY 24
Slide 25: MSCI ESG Ratings
MSCI ESG RATINGS*) COMPARISON WITH GLOBAL PEERS PT MITRA ADIPERKASA TBK (RETAIL) Retail – Consumer Discretionary | ID Industria de Diseno Textil, S.A. AAA Weight Score The Home Depot, Inc. AA Environment 18% 3.4 Lowe’s Companies AA Product Carbon Footprint 9% 2.4 Raw Material Sourcing 9% 4.4 Amazon.
Slide 26: The Sustainable Development Goals
THE SUSTAINABLE DEVELOPMENT GOALS 26
Slide 27: Governance
3 PILLARS OF SDGs GOVERNANCE 27
Slide 28: Governance
GOVERNANCE ast 3 SUSTAINABLE DEVELOPMENT PEACE, JUSTICE 17 parnecesies ‘AND STRONG. FORTHE GOALS INSTITUTIONS ¥ 2
Slide 29: Sustainability Reports
Sustainability Reports MAP Group has published our first Sustainability Reports which contained information on our contribution to the SDGs and our efforts in building a sustainable business. The report can be downloaded in: • https://www.map.co.id/investor/details/ • https://mapactive.id/investor/
Slide 30: Governance (G) – Compliance to Regulations
Governance (G) – Compliance to Regulations As a Public Listed Company, we comply with regulations from Indonesia Stock Exchange (IDX), Financial Services Authority (OJK), and other relevant regulators. Some of our responsibilities are: • Submit monthly shareholder report to IDX • Submit quarterly, 1
Slide 31: Governance (G) – Brand Partners ESG Achievements/Ratings
Governance (G) – Brand Partners ESG Achievements/Ratings Brands ESG Achievements/ Ratings Brands ESG Achievements/ Ratings Forbes 2020 America Best Employers for Women Green Building – Distribution center in California 40% Less carbon emission in 2020 (compared to 2015 emission) 31
Slide 32: Planet/Environment
MAP PLANET/ENVIRONMENT =" 3 SUSTAINABLE DEVELOPMENT GALS STARBUCKS: TUMBLER donate clothes you no longer wear and give them anew Tease on lite. oe | oo Co | & CLEAN WATER AFFORDABLE AND AND SANITATION CLEAN ENERGY Oy | @
Slide 33: Planet (E) – Enhancing Culture of Sustainability
Planet (E) – Enhancing Culture of Sustainability “The Green Champions” • In total of 88 Employees have volunteered to become Green Champions • The Green Champions are committed to implement sustainable practices in their daily activities • The Green Champions also remind and encourage other employee
Slide 34: Planet (E) – Single Use Plastic Reduction
Planet (E) – Single Use Plastic Reduction “No Plastic Use” Encourage % of Non-single Use Plastic Bags FY 2021: Campaign Tumbler Usage 85% 100% 99% Fashion* Kids and Active F&B 100% 100% Department Stores Digital &Others (Digimap, Kinokuniya) TOTAL: 36,570,575 (99%) paper or non woven bags from total
Slide 35: Planet (E) – Single Use Plastic Reduction
Planet (E) – Single Use Plastic Reduction Starbucks Starbucks Collaboration with Greener Nusantara Program Surya Indoplastik (since 2019) (since Apr 2021) Used rPET collected will be recycled by PT Surya Indoplastik into new rPET cups creating Plastic Straws Replaced Plastic Stirrer Replaced Less Pl
Slide 36: Planet (E) – Fresh Water Availability
Planet (E) – Fresh Water Availability “Planet Water Partnership” 14th Aqua tower installation in SDN 6 Pemenang Barat, North Lombok Since 2011, 14 Aqua Towers (clean water filtration system) has been built in 6 locations (Bali, Bekasi, Lombok, Medan, Surabaya, and Tangerang). Pumps, pipes 14th Aqua
Slide 37: Planet (E) – Energy & Emission Reduction
Planet (E) – Energy & Emission Reduction To “Reduce Energy”, we: Electricity Consumption*: FY 2020 FY 2021 1.69 Gwh *** 1.58 Mwh *** TOTAL ENERGY REDUCTION: Encourage Switch off office light & AC during 0.11 Utilize Virtual Meeting lunch break & after office hours LED Bulb Gwh (-6.5% YoY) *** Digita
Slide 38: Planet (E) – Emission Reduction
Planet (E) – Emission Reduction Plant Based Option • Starbucks, Pizza Marzano , Genki Sushi and Subway have offered plant based option in the menu • Aside of providing various health benefit to our Veggie Delight customer, those plant based menu is also environmental friendly • Producing meat and da
Slide 39: Planet (E) – Converse City Forest
Planet (E) – Converse City Forest Converse and PT Map Aktif Adiperkasa Tbk are working together with local artist to create a special mural, which created with special paint that can absorb emission and other air pollutant 1 YTD 2021 4 = 700 Murals “Planted” Trees Jl. MH Thamrin Jakarta (Completed i
Slide 40: Planet (E) – Take Back Program
Planet (E) – Take Back Program Used Clothes Collected 3,506 kg Until Dec 2021 1,322 kg 464 kg For donation Down cycled (For pillow/couch stuffing) 811 kg Up cycled (Totebag/Bandana) Implementing Stores: 909 kg 66 Stores Sold for second hand use, funds will be used for Sekolah Relawan operational fun
Slide 41: Planet (E) – Waste Management
Planet (E) – Waste Management Waste Management started at 18/10/2021 Waste Collected and Recycled: 950.13 kg FY 2021 Implementing Stores 18 FY2021 41
Slide 42: Planet (E) – RAJAB Waste Reduction
Planet (E) – RAJAB Waste Reduction Through Rumah Belajar Anak Bintang (RAJAB), our community development program, we also encourage sustainable lifestyle from the early age Plant vase from used fabrics Reusable bags from used plastic bags Reuse/recycling of used paper RAJAB Panyocokan RAJAB Kamojing
Slide 43: Social (People & Prosperity)
SOCIAL (PEOPLE & PROSPERITY) 43
Slide 44: People (S) – Skills for the Future
People (S) – Skills for the Future Our “Internal Training” consist of: MAP Retail Academy The First Academy in Indonesia with professional retail certification The Unbeatable Benefits 1. Part of Industry MAP Retail Academy Focused on soft skills and Together with All Brands under MAP, including ZARA
Slide 45: People (S) – Online Training
People (S) – Online Training Employees Certified Total Access of External Training 1,356 Online Training Session Participants 6,917 55.5 k 899 16,151 9,584 10,644 12,299 iActive Access by end FY’21 Materials Sessions Participants Total Total Personal Modul Category Modules Access development 64 16,1
Slide 46: People (S) – Quality Education for Public
People (S) – Quality Education for Public We Are Official Partner of The Government “Kampus Merdeka” Project • MAP retail academy is an official partner for “Certified Internship and Independent Study”, a program under Kampus Merdeka project • Kampus Merdeka Project is a program owned by Indonesia M
Slide 47: People (S) – Edge Certification
People (S) – Edge Certification • MAP passed the EDGE Assess certification • EDGE (Economic Dividends for Gender Equality) is a global assessment tools and business certification for gender equality • Edge Certificate measure Gender Equality through 4 components: • Gender Balance at all levels • Pay
Slide 48: People (S) – Special Crew
People (S) – Special Crew We aim to “Improve our Workplace” inclusion 95 Special Crew (hearing and speaking impaired) in Bali, Makassar and Jakarta for equal opportunity Burger King Sunset Road, Bali; Burger King Hasanuddin, Makasar; Burger King Skyline, Jakarta 48
Slide 49: People (S) – Ensuring Food Safety
People (S) – Ensuring Food Safety Implement clear Attained ISO 22000 Provide clear Standard Operating Procedure – Food Safety Management System of food handling, hygiene and sanitation Halal Label F&B Brands that have obtained For central production of: “Halal Certificate” 49
Slide 50: People (S) – Covid-19 Vaccination
People (S) – %Covid-19 Vaccination FY 2021, 98.56% of MAP’s employees have already been vaccinated against COVID-19 2.4% 1.4% TOTAL DESCRIPTION % CONT VACCINATED Fully Vaccinated 96.1% Only 1st Shot 2.4% TOTAL VACCINATED 98.6% NOT YET Can't be Vaccinated 0.9% Waiting to be Vaccinated 0.5% 96.1% TOTA
Slide 51: Prosperity
Prosperity Rumah Belajar Anak Bintang (RAJAB) RAJAB is a Community development program This program, which was PT Mitra Adiperkasa Tbk Karang Taruna which provides free character building initiated in 2014, is now Jawa Barat education for underprivileged children. operating in 7 villages in West Jav
Slide 52: Prosperity – Quality Education for Public
Prosperity – Quality Education for Public “Community Store” • Part of the store revenue will also be used to support the activities done in the workshop • The Community Store is located in Tanah Abang, and classes the largest textile market in Southeast Asia • Most of the workers in this community s
Slide 53: Prosperity
Prosperity Partnership with “Yayasan Olahraga Anak Nusantara (YOAN)” • YOAN is a sports foundation that involves in coaching young athletes properly, carrying the concept: “Build people through sports”. • This program aims to: • Spread active and healthy lifestyle • Enhancing the love of sports thro
Slide 54: Prosperity
Prosperity Working together with small and medium enterprise that wants to “Create Positive Impact” • Their products utilize plastic and textile waste OUT OF ASIA • The Company also engage with the local • Main factory: Bantul (Jogjakarta) community (near Ambarawa, Central Java), • Employ 3,000+ art
Slide 55: Prosperity – Department Store & Benih Baik
Prosperity – Department Store & Benih Baik SOGO Help Kids in Hunger SOGO Peduli Covid – 19 IDR 2,268,695,022 IDR 1,841,263,096 Total Funds Collected Total Funds Collected (YTD Apr 2021) 15 October 2020 – 15 January 2021 15 January – 5 April 2021 Donation Period Donation Period According to UNICEF, w
Slide 56: Prosperity
Prosperity The FoodHall “We Care!” Campaign • To ease the impact of COVID 19 Pandemic, IDR 157 million worth of basic groceries were distributed directly by The FoodHall in September & October 2020 • To create more sustainable impact, The FoodHall is collaborating with BenihBaik.com for the next pro
Slide 57: Thank You
THANK YOU INVESTOR RELATIONS CONTACT DETAILS: " This presentation material contains the latest financial information, business strategies and the prospective financial information Ratih Darmawan Gianda of the Company. The business strategies are subject to changes due to uncertainties that could aff
Slide 58: Appendix
IX Append { bit
Slide 59: Appendix I: Company Overview
Appendix I: Company overview 59
Slide 60: Milestones
MILESTONES 1995 1997 2002 2003 2004 • Incorporation • Foray into Kids • Diversified into Food & • Ventured into • IPO of MAP (Listed on Started with Sports products (toys & Beverage with Department Stores Indonesia Stock Exchange) before venturing apparel) Starbucks Coffee into Fashion and • Started
Slide 61: Milestones
MILESTONES 2014 2015 2016 2017 • Most Powerful & Valuable Company in • Most Admired Companies • Launch of MAPEMALL.com • IPO of MBA (MAP Boga) Indonesia (Retail) – Warta Ekonomi in Indonesia (Retail) – • Launch of MAP Club • Further expansion in Vietnam • Corporate Social Responsibility (CSR) Warta
Slide 62: Organization Structure
ORGANIZATION STRUCTURE BOARD of COMMISSIONERS BOARD of DIRECTORS Sri Indrastuti Hadiputranto H.B.L. Mantiri Independent President Commissioner President Director GBPH. H. Prabukusumo, S.Psi V.P. Sharma Independent Vice President Commissioner Vice President Director Hendry Hasiholan Batubara Susiana
Slide 63: Shareholder Structure
SHAREHOLDER STRUCTURE PUBLIC 49.0% 51.0% PT SATYA MULIA GEMA GEMILANG MAP – as at 30th June 2022 Local Share Ownership 66.4% Foreign Share Ownership 33.6% Note: There is no affiliation between numbers of the board of Commissioners, the Board of Directors, or Majority and/or Controlling Shareholders.
Slide 64: Appendix II: Financials
Mitra Adiperkasa Appendix ll: Financials
Slide 65: Financial Highlights (Prior PSAK 73) (IDR bn, %)
FINANCIAL HIGHLIGHTS* (IDR bn, %) 1H22 1H21 Growth (%) 2Q22 2Q21 Growth (%) Net sales 12,248 9,135 34.1% 6,615 4,822 37.2% Gross Profit 5,439 3,902 39.4% 3,022 2,101 43.9% GPM (%) 44.4% 42.7% 45.7% 43.6% EBIT 1,273 600 112.0% 819 455 80.0% EBIT Margin (%) 10.4% 6.6% 12.4% 9.4% EBITDA 1,697 1,037 63.
Slide 66: Appendix III: Additional Information
Appendix III: Additional information 66
Slide 67: PSBB & PPKM Timeline
PSBB & PPKM TIMELINE 2020 – YTD 2022 10 Apr – 14 Sep – 21 Dec’20 9 Feb – 3 Jul – 10 Aug – 2 Nov’21 – 19 Apr – 4 Jun’20 11 Oct’20 – 8 Jan’21 28 Jun’21 2 Aug’21 4 Oct’21 21 Feb ’22 15 Aug’22 PSBB I Phase 1-3 PPKM Year End PPKM Micro Emergency PPKM PPKM Level 2-4 PPKM Level 1-3 PPKM Level 1-2 PSBB Tigh