Mips Ab · OMXSTO:MIPS

Mips Ab — Q4 2022 Earnings Presentation

17 slides from Mips Ab's earnings presentation, Feb 9, 2023

  1. Slide 1: Mips' presentation of the Year-end Report 2022

    Mips’ presentation of the Year-end Report 2022 9 February 2023 1

  2. Slide 2: Key highlights

    Key highlights • Net sales in fourth quarter down 46%, adjusting for currency effects organic growth was down 53%. YTD sales decrease 7%. Decline fully explained by soft demand in Bike. • Soft demand in Bike expected to start normalizing during spring. Long term outlook still positive. • Strong dema

  3. Slide 3: Sport: Mixed development with challenging bike end market but a strong snow market

    Sport Mixed development with challenging bike end market but a strong snow market • Challenging quarter in Sport with a decrease in net sales of 50%, YTD net sales decrease with 10% • Bike is the main contributor with a decrease in sales by 59% during the quarter. Strong year in snow with 85% growth

  4. Slide 4: Moto: Good progress and first helmet in Moto GP

    Moto Good progress and first helmet in Moto GP • Growth of 33% in the quarter, YTD growth 35% • Good development in both on- and off-road helmets • First helmet in Moto GP launched with Kabuto during the quarter • We continue to see good development with existing brands but also significant number o

  5. Slide 5: Safety: Established a strong customer base, will increase volume going forward

    Safety Established a strong customer base, will increase volume going forward • In total 11 different brands that have launched partnership with Mips • Organization established to drive awareness and sell through in Safety • Partnership with second global brand Delta Plus announced in beginning of F

  6. Slide 6: Supply chain

    Supply chain • Significant Covid outbreak at the end of the year in China however, limited financial impact • Supply chain expected to remain unpredictable coming quarters 2022 I Year-end report 6

  7. Slide 7: New product launches

    New product launches • We have ramped up our investments in product development last years and we launched three new technologies during the year. • Air Node was launched with world leading bicycle brand Specialized at Tour de France. It is our lightest solution and will be offered as an after-marke

  8. Slide 8: New Graphic Design

    New Graphic Design • As we are an ingredient brand, we want to elevate the products we are integrated in • We have therefore reworked our whole product portfolio with a completely new graphic design • Implementation has started and we will continue the roll out to our customers during 2023 2022 I Ye

  9. Slide 9: Sustainability

    Sustainability • 2022 was the year to create a strong platform for our work within sustainability • Our work has been focused around three key areas: • SBTi – where we will report our progress • Signed up for UN Global Compact 10 principles • Offer more Circular product offerings – Recycled material

  10. Slide 10: Development in our categories

    CATEGORIES Development in our categories SPORT MOTO SAFETY Sport Q4 YTD Moto Q4 YTD Safety Q4 YTD Revenue SEKm 95 (190) 511 (570) Revenue SEKm 10 (8) 47 (35) Revenue SEKm 3 (1) 4 (3) Growth % -50 -10 Growth % 33 35 Growth % - - 2022 I Year-end report 10

  11. Slide 11: Development in the fourth quarter

    FINANCIAL PERFORMANCE Development in the fourth quarter Q4 22 Q4 21 • Soft development in the fourth quarter with a decrease in net sales by 46%, adjusting for FX, sales decreased 53% organically Net sales 107 198 -46% • OPEX – continue to invest in strategic priorities Gross profit 77 145 -47% • Ne

  12. Slide 12: Development for the year

    FINANCIAL PERFORMANCE Development for the year YTD YTD • Net sales during the year decreased with 7%, 22 21 adjusting for FX sales decreased 19% organically Net sales 563 608 -7% • OPEX – continue to invest in strategic priorities • EBIT down 30% to SEK 229m (326), EBIT margin Gross profit 406 445 -

  13. Slide 13: Balance sheet and cash flow

    Balance sheet Cash flow from operating activities (SEKm) and cash flow • Cash and Cash Equivalents at SEK 532m (450) • Cash flow in the quarter amounted to SEK 47m (81) Mips group (SEKm) Q4 22 Q4 21 FY 22 FY 21 • Dividend of SEK 5.50 (5.00) per share, being proposed. Corresponding to Total assets 76

  14. Slide 14: Summary

    Summary • Fourth quarter concludes a challenging but, in many ways, a successful year • Soft bike market expected to remain into spring, lower impact from bike short term due to change of mix • Good outlook in both Safety and Moto in 2023 • Continued investments in our strategic priorities to delive

  15. Slide 15: Q&A

    Q&A 2022 I Year-end report 15

  16. Slide 16: Safety for helmets

    Safety for helmets 2022 | Year-end repor

  17. Slide 17: Disclaimer

    Disclaimer IMPORTANT MESSAGE FROM MIPS AB This presentation has been prepared by Mips AB (publ) (the “Company”) solely for use at this presentation and is furnished to you solely for your information and may not be reproduced or redistributed, in whole or in part, to any other person. The presentati

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