Asbisc Enterprises Plc · GPW:ASB

Asbisc Enterprises — Q3 2022 Earnings Presentation

26 slides from Asbisc Enterprises's earnings presentation, November 2022

  1. Slide 1: Excellent Quarter That Beats All Expectations

    EXCELLENT QUARTER THAT BEATS ALL EXPECTATIONS Q3 and 9M 2022 RESULTS

  2. Slide 2: Agenda

    AGENDA ASBIS – Q3 2022 OVERVIEW FINANCIAL RESULTS IN Q3 2022 and 9M 2022 FORECAST REALIZATION SUMMARY APPENDIX 2

  3. Slide 3: Q3 2022 Key Business Events

    Q3 2022 KEY BUSINESS EVENTS STRONG MONTHLY Despite losing two of its major markets, ASBIS proved to be very strong . The Company was REVENUES able to beat September year-on-year revenues. q EMBIO Diagnostics, an ASBIS associate company, has completed its breakthrough product B.EL.D q ASBIS entered t

  4. Slide 4: Business Growth

    BUSINESS GROWTH ASBIS opened the biggest Apple store in Central Asia with Apple Premium Partner status . ASBIS entered the physical security segment and begins distribution of Milesight products The Company has decided to make a strategic move and launches physical security products in distribution

  5. Slide 5: Agenda

    AGENDA ASBIS – Q3 2022 OVERVIEW FINANCIAL RESULTS IN Q3 2022 and 9M 2022 FORECAST REALIZATION SUMMARY APPENDIX 5

  6. Slide 6: Q3 2022 Exceptional Quarter: Financial Highlights

    Q3 2022 EXCEPTIONAL QUARTER Q3 2022 Financial Highlights REVENUES GROSS PROFIT USD 699 million USD 56 million - 2 % Yo Y + 6 % Yo Y GROSS PROFIT NET INCOME MARGIN USD 20.1 million 8.01% + 1 0 % Yo Y 6

  7. Slide 7: Q3 2022 Stunning Results

    Q3 2022 STUNNING RESULTS § Strong top line, down only 2% YoY reached USD 698.7m. USD m Q3’22 Q3’21 YoY Revenue 698.7 716.5 -2% § Gross profit up by 6% to USD 56m. Gross profit 56.0 52.8 6% Gross profit margin 8.01% 7.37% 0.65 ppt § SG&A costs up by 5% YoY, SG&A costs -26.8 -25.4 5% remained under st

  8. Slide 8: Q3 2022 Gross Profit Margin Remained Strong

    Q3 2022 GROSS PROFIT MARGIN REMAINED STRONG REVENUES - 2% 948 § Revenues down only 2% YoY 1000 866 100% 80% despite the on-going full-scale war 800 620 733 680 717 695 699 60% in Ukraine. 600 516 40% 400 20% 0% 200 -20% § Gross profit margin at a very high 0 -40% level of 8.01% in Q3’22, mainly due

  9. Slide 9: Q3 2022 Decrease in Main Product Lines Due to the War in Ukraine

    Q3 2022 DECREASE IN MAIN PRODUCT LINES DUE TO THE WAR IN UKRAINE REVENUES BY LINES (US$ m) § Strong growth in smartphones 900 as a result of higher demand 800 700 and higher sales of a different 600 mix of iPhones, including the 500 400 latest iPhone 14 series. 300 200 100 0 § Smartphones, CPUs and

  10. Slide 10: Q3 2022 ASBIS Successfully Recovers Lost Revenues

    Q3 2022 ASBIS SUCCESSFULLY RECOVERS LOST REVENUES REVENUES BY REGIONS (USD m) § FSU region declined by 12% YoY, affected by the war in Ukraine. 900 800 700 600 500 § F.S.U. and CEE regions 400 contributed the majority of the 300 200 Group’s revenues. 100 0 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q2

  11. Slide 11: 9M 2022 Excellent Results

    9M 2022 EXCELLENT RESULTS § Revenues exceeded our expectations. US$ m 9M‘22 9M‘21 YoY Revenue 1,909.7 2,130.0 -10% Gross profit 157.1 147.2 7% § Gross profit up 7% YoY, to USD Gross profit margin 8.23% 6.91% 1.32ppt 157.1m. SG&A costs -84.1 -74.2 13% Profit from operations 73.0 72.9 0% § Gross profi

  12. Slide 12: 9M 2022 Top 10 Countries in Revenues vs 9M 2021

    9M 2022 TOP 10 COUNTRIES IN REVENUES vs 9M 2021 § Kazakhstan with revenues of USD 400m and 63.3% YoY growth 450 remained our biggest market. 400 397 400 350 § Ukraine has become our third 297 largest market with revenues of 300 USD 218.4 m (in Q3 2022 was 250 245 232 already second). 218 200 163 165

  13. Slide 13: Cash Engaged in Working Capital

    CASH ENGAGED IN WORKING CAPITAL NET WORKING CAPITAL (US$ m) § High NWC utilization results in the need to involve more cash into NWC: 18% of sales NWC: 15% of sales working capital. 340 328 273 279 § Capex comprises of outflows for investments in tangible and Q3'22 Q3'21 intangible assets. -326 -237

  14. Slide 14: Indebtedness at Safe Level

    INDEBTEDNESS AT SAFE LEVEL USD million 9M’22 9M’21 YoY § Strong cash position in seasonally Short term borrowings 117.6 113.5 4% (excl. leases and factoring) NWC intensive quarter. Long term borrowings (excl. leases) 0.3 0.4 -21% Other long-term liabilities 0.8 0.8 5% § Ability of the Company to acc

  15. Slide 15: Agenda

    AGENDA ASBIS – Q3 2022 OVERVIEW FINANCIAL RESULTS IN Q3 2022 and 9M 2022 FORECAST REALIZATION SUMMARY APPENDIX 15

  16. Slide 16: Forecast Realization for 2022

    FORECAST REALIZATION FOR 2022 REVENUE Between USD 2.2bn and USD 2.4bn NET INCOME Between USD 48m and USD 52m ASSUMPTIONS RESULTS VS FORECAST REVENUES (USD bn) NET INCOME (USD m) 2,4 52 79% TO BE 90% 1,9 REVISED 47 Actual revenues for 9M 2022 Forecast (higher range) Actual Net Income for 9M 2022 Fore

  17. Slide 17: Expected Events in Q4 2022

    EXPECTED EVENTS IN Q4 2022 NEW APPLE STORES q ASBIS plans to open three new Apple stores (in Armenia, Georgia and Kazakhstan) NEW APPLE IPHONE q New iPhone 14 series debuted in September in Ukraine and Georgia. In Q4 2022 enters the other our markets. NEW SEGMENTS q ASBIS aims to enter new segments.

  18. Slide 18: Buy-Back Program Summary

    BUY-BACK PROGRAM SUMMARY Money used Average price $ 1,000,000 PLN 13.32 Time frame 31.03.2022 – Purchased shares % of share capital 01.09.2022 328,800 0.59% On March 28th, 2022, the Extraordinary General Meeting of ASBIS adopted the current buy-back program In Q3 2022 the current buy-back program ha

  19. Slide 19: Agenda

    AGENDA ASBIS – Q3 2022 OVERVIEW FINANCIAL RESULTS IN Q3 2022 and 9M 2022 FORECAST REALIZATION SUMMARY APPENDIX 19

  20. Slide 20: Summary

    SUMMARY STRONG GROSS PROFIT MARGIN q The gross profit margin remained at a very high level. q Interim dividend from the Company's profit for 2022: USD 11.1 million will be paid to CONTINUITY OF THE DIVIDEND shareholders (USD 0.20 cents per share), same as in December 2021 POLICY q Dividend paid for

  21. Slide 21: Contact for Investors and Media

    Contact for investors: Contact for media: Tziamalis Constantinos Iwona Mojsiuszko Deputy CEO of ASBIS Group Managing Director of 8Sense PR phone: +357 25857188 phone: +48 502 344 992 email: costas@asbis.com e-mail: iwona.mojsiuszko@8sensepr.pl Bartosz Basa IR Manager phone: +48 691 910 760 email: b.

  22. Slide 22: Agenda

    AGENDA ASBIS – Q3 2022 OVERVIEW FINANCIAL RESULTS IN Q3 2022 and 9M 2022 FORECAST REALIZATION SUMMARY APPENDIX 22

  23. Slide 23: ASBIS APR, APP and Monobrand Stores

    ASBIS APR, APP AND MONOBRAND STORES CURRENT SITUATION ASBIS is an authorized distributor of Apple products in 11 countries of the Former Soviet Union (with the exception of Russia) including: • Ukraine, • Belarus, • Kazakhstan, • Georgia, • Armenia, • Azerbaijan, • Kyrgyzstan, • Uzbekistan, • Moldov

  24. Slide 24: ASBIS Own Brands

    ASBIS OWN BRANDS Prestigio is an international brand that has been Canyon is a dynamically growing brand of high-quality Perenio is a tech brand, specialized in the IoT and offering a wide range of consumer electronics for and stylish, yet affordable mobile accessories, created a multifunctional IoT

  25. Slide 25: Shareholder Structure

    SHAREHOLDER STRUCTURE Number of shares % of share capital & votes & votes 36,84% KS Holdings Ltd * 20,448,127 36.84% ASBISc Enterprises Plc (buy-back 328,800 0.59% program) 62,56% 0,59% Free-float 34,723,073 62.56% TOTAL 55,500,000 100.00% KS Holdings Ltd* As of : 2022-11-03 ASBIS (buy back program)

  26. Slide 26: Disclaimer

    DISCLAIMER This presentation (the “Presentation”) was prepared by ASBISc Enterprises Plc (the “Company”) with a due care. Still, it may contain certain inconsistencies or omissions. The Presentation does not contain a complete or thorough financial analysis of the Company and does not present its st

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