Hornbach Holding Ag & Co. Kgaa · XETR:HBH
Hornbach Holding Ag & Co. Kgaa — Hornbach Hldg — Q3 2024 Earnings Presentation
18 slides from Hornbach Holding Ag & Co. Kgaa's earnings presentation, Dec 20, 2023
Slide 1: Update Call Q3/9M 2023/24
Update Call Q3/9M 2023/24 HORNBACH Holding AG & Co. KGaA December 20, 2023, 8:30 a.m. CET Page 1 Update Call Q3/9M 2023/24 | December 20, 2023 ©HORNBACH Group 2023 20230927
Slide 2: Disclaimer
Disclaimer This document has been prepared by HORNBACH Holding AG & Co. KGaA (the “Company”, and together with its consolidated subsidiaries, the “HORNBACH Group”) solely for informational purposes. This disclaimer shall apply in all respects to the entire presentation, including any oral presentati
Slide 3: Update Call Q3/9M 2023/24 – Karin Dohm (CFO)
Update Call Q3/9M 2023/24 HORNBACH Holding AG & Co. KGaA Karin Dohm (CFO) December 20, 2023, 8:30 a.m. CET Page 3 Update Call Q3/9M 2023/24 | December 20, 2023 ©HORNBACH Group 2023 20230927
Slide 4: Earnings figures sequentially improving in Q3
HORNBACH Group: Q3/9M 2023/24 – Financial Update Earnings figures sequentially improving in Q3 Earnings further stabilizing in Q3 driven by gross margin improvement and successful cost management ▪ Q3 2023/24 adj. EBIT at € 48.1m (-1.7%) ▪ Gross margin improved to 33.4% in Q3 from 32.4% Q3 sales inf
Slide 5: Investing in do-it-for-me services and ESG
Operational Highlights in Q3 2023/24 Investing in do-it-for-me services and ESG Acquisition of Seniovo Advancing ESG initiatives ▪ IT driven start-up with highly automated processes in serial and ▪ 6 new photovoltaic systems installed in Q3 – standardized bathroom renovation 32 PV systems in total a
Slide 6: Net sales in 9M 2023/24 close to previous year's record level
Consolidated net sales in € million Net sales in 9M 2023/24 close to previous year‘s record level 9M net sales (Mar 1 – Nov 30) ▪ 9M net sales HORNBACH Baumarkt subgroup -1.3% ▪ Q1: -2.2%; Q2: +1.9%; Q3: -3.5% HORNBACH Baustoff Union HORNBACH Baumarkt AG ▪ Germany: -2.9%; Other Europe: +0.4% 6.8% ▪
Slide 7: Like-for-like sales in Q3 reflect customer caution and base effect
HORNBACH Baumarkt: Like-for-like sales growth in % Like-for-like sales in Q3 reflect customer caution and base effect ▪ Like-for-like sales down (-2.2%) compared to Like-for-like sales growth1) per quarter and half year in % strong previous year (Q3 2022/23 : +7.2%) Q1 2023/24 Q2 2023/24 Q3 2023/24
Slide 8: HORNBACH Baumarkt: Gaining further market share in key international markets
Market share Jan – Oct 2023 in % HORNBACH Baumarkt: Gaining further market share in key international markets Market share 2023 year-to-date in key countries ▪ HORNBACH continued to gain market share (GfK) Market share of HORNBACH Baumarkt January – October 2023 in % (GfK) in key international marke
Slide 9: E-commerce share remains well above pre-Covid levels
HORNBACH Baumarkt: Net sales in € million from online channels E-commerce share remains well above pre-Covid levels ▪ E-commerce share of HORNBACH 9.7% 13.2% 17.6% 14.5% 12.9% E-commerce share Baumarkt sales (incl. Click & Collect) at 12.9% in 9M 2023/24 Click & Collect Direct delivery ▪ Direct deli
Slide 10: Gross margin starting to improve – costs down in Q3 2023/24
Cost structure in % of net sales and gross margin Gross margin starting to improve – costs down from previous year in Q3 2023/24 ▪ Gross margin increased by 1 ppt. in in € million Q3 Q3 Change in 9M 9M Change in Q3 as renegotiated purchase prices 2022/23 2023/24 % 2022/23 2023/24 % take effect Gross
Slide 11: Robust profit development in Q3 2023/24
Adjusted EBIT1) in € million and adjusted EBIT margin in % Robust profit development in Q3 2023/24 ▪ Adjusted EBIT on Group level slightly Adjusted EBIT and adjusted EBIT margin 9M: down 1.7% in Q3 2023/24 and 17.4% in 6.4% 8.9% 8.4% 6.5% 5.5% 9M 2023/24 vs. previous year 240.2 401.5 393.1 326.3 269
Slide 12: Active management of gross margin and inventory going forward
Measures to counter macroeconomic pressures Active management of gross margin and inventory going forward Gross margin improvement targeted On track with inventory reductions ▪ Maintaining focus on competitive ▪ Inventories down 18% vs. Feb 2023 pricing (EDLP strategy) to protect ▪ Optimized purchas
Slide 13: Working capital reduction driven by inventory management and reverse factoring
9M cash flow in € million Working capital reduction driven by successful inventory management and reverse factoring ▪ Operating cash flow on a high level 9M 2022/23 9M 2023/24 in Q3 at € 114.3m (Q3 2022/23: € 25.4) Cash flow from operating activities 278.6 236.9 ▪ Change in working capital includes
Slide 14: Strong balance sheet structure
Balance sheet in € million Strong balance sheet structure Assets Equity & Liabilities 4,726 4,726 437 4,407 4,407 ▪ Successful reduction of inventories 331 Liquid funds by € 252m compared to Feb 2023 1,366 966 Current liabilities Inventories. according to plan – reduction of accounts receivable 1,57
Slide 15: Navigating current challenges while pursuing long-term opportunities
Strategic focus Navigating current challenges while pursuing long-term opportunities ▪ Focused on improving efficiency through actively managing costs and inventory ▪ Maintaining price leadership and ensuring we remain a reliable partner to our customers ▪ Continuing to invest in our ICR strategy an
Slide 16: Q&A
Q&A Page 16 Update Call Q3/9M 2023/24 | December 20, 2023 ©HORNBACH Group 2023
Slide 17: Upcoming events & contact
Upcoming events & contact Financial Calendar Investor Relations contact January 9, 2024 Commerzbank & ODDO BHF German Investment Seminar, New York Antje Kelbert January 15, 2024 ODDO BHF Forum – Digital Days (virtual) (+49) 0 63 48 / 60 – 2444 antje.kelbert@hornbach.com January 16, 2024 Kepler Cheuv
Slide 18: Page 18 Update Call Q3/9M 2023/24 | December 20, 2023 ©HORNBACH Group 2023
Page 18 Update Call Q3/9M 2023/24 | December 20, 2023 ©HORNBACH Group 2023