Woolworths Holdings Limited · JSE:WHL
Woolworths — H1 2002 Earnings Presentation
15 slides from Woolworths's earnings presentation, February 2002
Slide 1: Textiles
NY textiles
Slide 2: Woolworths operations: textiles turnover
woolworths operations textil turnover Rm es 2000 1864 1596 1654 1534 1500 1389 1000 500 16 10 4% 4% 13 % % % 0 1997 1998 1999 2000 2001 textiles inflation 4%
Slide 3: Woolworths operations: textiles market share
woolworths operations textiles • Market share • Market share movement – 12 month average 3 month moving • this year 16.7% average • last year 15.9% Childrenswear – 3 month moving Footwear average Homeware • this year 14.9% Ladies • last year 14.6% intimatewear Ladies outerwear Menswear
Slide 4: Woolworths operations: textiles performance
woolworths operations textiles performance • Beautifully styled, classic and modern merchandise of superior quality and exceptional price appealing to different lifestyles Progress • Upgraded fabrics and quality • Defined mid and top tier ranges • MSR sales continue to outperform • More frequent inp
Slide 5: Textiles strategy
woolworths operations strategy Textiles • A modern, exciting and easy shopping experience Gateway store concept Commissioned additional new store design concepts Commence roll-out of modernised store concept • A culture of committed, accountable intuitive merchants Ongoing • A quality, innovative, i
Slide 6: Textiles strategy (cont.)
woolworths operations strategy (cont.) Textiles • Offer differentiated and innovative ranges: - Trial furniture Not successful – under review - Extend top tier ranges Mens W Collection continues to be successful – ladies launched winter 2002 - Wardrobe solutions layout Successful in ladies, introduc
Slide 7: Woolworths foods
W WOOLWORTHS foods
Slide 8: Woolworths operations: foods market share
woolworths operations food s • Market share • Market share movement – 12 month average 3 month moving • this year 6.3% average • last year 5.8% Bakery – 3 month moving Butchery average Dry groceries & • this year 6.7% toiletries • last year 6.2% Fruit & vegetables Grocers wine Perishables
Slide 9: Woolworths operations: foods turnover
woolworths operations foods turnover Rm 2000 1548 1500 1245 1096 933 1013 1000 500 12 9% 8% 14 24 % % % 0 1997 1998 1999 2000 2001 foods inflation 8.1%
Slide 10: Foods performance
woolworths operations foods performance • The home of healthy eating where good food is conveniently available in an exciting, interesting and fun shopping experience Progress • Relatively better availability, still not optimal • Brand introduction • Continuous flow of product innovation • One-stop
Slide 11: Foods strategy
woolworths operations strategy Foods Achieved December 2001 • Good foods strategy through: – Focusing on the Consistent drive to remove nutritional value and colourants, flavourants freshness and preservatives Removed 30/12 – Removal of MSG and tartrazine from all food products • Optimise our conven
Slide 12: Foods strategy (cont.)
woolworths operations strategy (cont.) Foods Achieved December 2001 • Improve availability to 85% end of day 80% (No improvement because of stock accuracy • Create exciting shopping issues) experience through: – Roll-out of coffee shops 5 existing - good customer response – Implement in-store food d
Slide 13: In the bag
woolworths operations inthebag • Integrated in the second quarter • Contained losses from R40m to R10m • Improve losses next year • Merged with cellphone business • Not strategic – a service we should have
Slide 14: Trading space
woolworths operations trading space Dec 2001 June 2001 m2 % Change Total 332 955 4.0 Textiles 266 356 3.4 Corporate 204 718 (1.8) Franchise – SA 35 900 34.8 Franchise – International 25 738 13.8 Foods 66 599 6.6 Corporate 64 246 6.0 Franchise – SA 475 100.0 Franchise – International 1 878 - Dec 2001
Slide 15: Stores
woolworths operations stores Achieved December 2001 New stores • 12 new stores (11 food stores) Rationalisation of trading space • Reduced space at Sandton Local franchise expansion • 7 local franchise conversions • 4 new franchise stores International business in Africa and the Gulf • 3 new stores