Slide 1: TCM Group A/S Annual Report January-December 2018
TCM Group A/S Annual Report January-December 2018 February 27, 2019
Slide 2: Excellent ending to strong 2018 with 17% organic growth in Q4 2018
Excellent ending to strong 2018 with 17% organic growth in Q4 2018 Revenue 17% organic 252 mDKK growth (215 mDKK) Cash conversion Adjusted EBITA 103% 46 mDKK (110%) (39 mDKK) NWC ratio Adjusted EBITA -10.5% growth (-9.9%) 17% Adj. EBITA margin 18.3% (18.3%) 2
Slide 3: Business review Q4 2018
Business review Q4 2018 Positive Danish market development in 2018 of 2-3%, but TCM Group continued to gain market share with organic growth in Denmark of 20% Continued momentum regarding new branded stores in Denmark and Norway opening 3 stores in Q4 We delivered in the high end of our guidan
Slide 4: Financial highlights full year
Financial highlights full year Full Year 2018 Net revenue 900 mDKK (817) Organic growth of 10% Adjusted EBITA 148 mDKK (123) – up 20% Adjusted EBITA margin 16.4% (15.0%) Proposed dividend distribution of DKK 4.75 per share Growth expected to continue in 2019 4
Slide 5: Revenue growth continued
Revenue growth continued 2018 2017 2018 2017 Oct-Dec Oct-Dec Jan-Dec Jan-Dec Net revenue (mDKK) 252 215 900 817 - Organic growth 17% 10% Q4 comments 20% growth in DK in Q4 Organic growth continued in Q4 Growth in Denmark of 20% in Q4 No. of branded Growth primarily within B2B stores increased
Slide 6: EBITA margin (adjusted) continued to improve
EBITA margin (adjusted) continued to improve 2018 2017 2018 2017 Oct-Dec Oct-Dec Jan-Dec Jan-Dec Net revenue (mDKK) 252 215 900 817 - Gross Margin 30.9% 31.3% 29.2% 28.3% Adjusted EBITA (mDKK) 46 39 148 123 - Adj. EBITA margin 18.3% 18.3% 16.4% 15.0% EBIT (mDKK) 44 25 138 81 - EBIT margin 17.6% 11.6
Slide 7: NWC ratio on par with last year
NWC ratio on par with last year 2018 2017 Dec Dec Net working capital (mDKK) -94 -81 NWC ratio -10.5% -9.9% NIBD (mDKK) 91 226 Leverage (x EBITDA) 0.58 1.72 Q4 comments NWC ratio improved compared to last year NIBD decreased primarily due to the positive cash flow from operating activities Sol
Slide 8: High cash conversion continued
High cash conversion continued 2018 2017 2018 2017 Oct-Dec Oct-Dec Jan-Dec Jan-Dec Operating profit (mDKK) 44 25 138 81 Depreciation and amortization (mDKK) 4 4 15 24 Change in NWC (mDKK) 39 32 13 27 Tax a.o (mDKK) -29 -27 -33 -24 Capex excl. acquisitions (mDKK) -5 -3 8 -8 Operating cash flow excl.
Slide 9: Financial outlook 2019
Financial outlook 2019 TCM Group Net revenue: 960-1,000 mDKK corresponding to growth of 7-11%. The Danish market is expected to grow by 1-2%. Adjusted EBITA: 155-165mDKK EBIT: 145-155mDKK Proposed dividend distribution for 2018 is DKK 4.75 per share corresponding to 46% of net profit. 9
Slide 10: Q&A
Q&A