Redcare Pharmacy N.v. · XETR:RDC
Redcare Pharmacy — FY2021 Earnings Presentation
32 slides from Redcare Pharmacy's earnings presentation, Mar 2, 2022
Slide 1: FY 2021 Earnings Call Presentation
FY 2021 EARNINGS CALL PRESENTATION. SEVENUM, 02 MARCH 2022
Slide 2: Welcome to our FY 2021 Earnings Call
2 FY WELCOME TO OUR 2021 EARNINGS CALL. STEFAN FELTENS, CEO. JASPER EENHORST, CFO.
Slide 3: Live from our headquarters in Sevenum
3 LIVE FROM OUR HEADQUARTERS IN SEVENUM.
Slide 4: Today's Agenda
4 TODAY‘S AGENDA. FINANCIAL PERFORMANCE. UPDATE ON BUSINESS AND STRATEGY. OUTLOOK AND GUIDANCE.
Slide 5: Financial Performance
wtegy SHOP APOTHEKE FINANCIAL Uae PERFORMANCE.
Slide 6: Highlights 2021
6 HIGHLIGHTS 2021. • 1 BILLION THRESHOLD EXCEEDED. INTERNATIONAL UP 39.6%, DACH UP 3.9%. IN GERMANY, SIGNIFICANT MARKET SHARE GAIN IN NON-RX. ALSO IN OUR OTHER LARGE MARKETS, WE OUTPERFORMED OUR BEST ESTIMATES OF TOTAL E-PHARMACY GROWTH. • ADJ. EBITDA OF EUR -5.3M. MARGIN -0.5% VS. -1.0% IN LATEST G
Slide 7: Key Financials: DACH Non-Rx +18%, International up +40%
7 KEY FINANCIALS. DACH / EVERYTHING-BUT-RX +18%, INTERNATIONAL UP +40%. 12M TOTAL SHOP APOTHEKE EUROPE 12M DACH 12M INTERNATIONAL sales | vs. prior year sales | vs. prior year sales | vs. prior year in EUR million in EUR million in EUR million +3.9% +9.5% Non-Rx: +18.1% +39.6% Rx: -34.6% 1,060.3 847
Slide 8: Record growth in customer base – close to 8M now
8 1.6M ADDITIONAL ACTIVE CUSTOMERS IN 2021. RECORD GROWTH IN CUSTOMER BASE – CLOSE TO 8M NOW. Number of active customers in million +1.6M 7.9M NET PROMOTER SCORE (NPS). (2020: 70) 68 6.3M 31 Dec 2020 31 Dec 2021 AVERAGE SHOPPING BASKET VALUE. (2020: EUR 66.41) € 61.16
Slide 9: Traffic at record level at the start of 2022
9 EVERY WEEK MORE THAN 7 MILLION VISITS ON WEB AND APP. TRAFFIC AT RECORD LEVEL AT THE START OF 2022. Weekly 120% 8 website visits (desktop & mobile) 100% 7 80% 6 60% 5 Visits in million 40% 4 20% 3 Growth year-over- year (%) 0% 2 Total traffic number -20% 1 01-2021 05-2021 09-2021 13-2021 17-2021 2
Slide 10: Close to 20 million customer orders in 2021
10 STRONG ORDER GROWTH, PARTICULARLY IN Q4. CLOSE TO 20 MILLION CUSTOMER ORDERS IN 2021. Number of orders in thousands Share of repeat orders in percentage of total Source: SHOP APOTHEKE EUROPE.
Slide 11: EUR 1,060M sales and EUR -5M adj. EBITDA
11 KEY FINANCIALS. EUR 1,060M SALES AND EUR -5M (-0.5%) ADJ. EBITDA. EBITDA adjustments include EUR 22.45 million from accounting related to the 2021 business acquisitions. Adjusted numbers in million of euros Q4 YTD Full Q3 Year Better/ Better/ Q4 2020 Q4 2021 2020 2021 (Worse) (Worse) Sales 265 28
Slide 12: 2021: Profitable fast-growing core
12 2021: PROFITABLE FAST-GROWING CORE. OWN BRANDS PAPER DACH Rx Non-Rx ACH SALES GROWTH OWN MARKETPLACE INTER- NATIONAL MEDAPP ADJ. EBITDA MARGIN Sizes and exact places in the diagram are indicative only; bubble size indicative for the customer sales
Slide 13: Gross margin up 2.5 percentage points
13 KEY FINANCIALS. GROSS MARGIN UP 2.5 PERCENTAGE POINTS. Gross profit margin in percentage of sales 1.4% 25.2% 0.9% 0.3% 22.7% (0.2%) Net Pricing/ Country/ 2020 Sourcing Other 2021 Product Mix Rx-OTC Mix
Slide 14: S&D up 4.8 percent of sales
14 KEY FINANCIALS. S&D UP 4.8 PERCENT OF SALES. Selling & distribution costs in percentage (0.8%) (0.5%) of sales (0.8%) (2.7%) (17.8%) (22.6%) Shipping, Operational 2020 Marketing Packaging and Other 2021 Labour Payments
Slide 15: Strengthened cash position
15 KEY FINANCIALS. STRENGTHENED CASH POSITION. 282 OPERATING CASH: EUR +12 MILLION. Favourable working capital movements. 230 128 (17) 29 INVESTMENTS: EUR 87 MILLION. (87) Smartpatient, new logistics centre in NL, IT, MedApp, and PP&E. FINANCING: EUR +230 MILLION. Mainly successful EUR 225 million n
Slide 16: Update on Strategy and Business
16 UPDATE ON STRATEGY AND BUSINESS.
Slide 17: From a pure online retailer …
17 FROM A PURE ONLINE RETAILER … … BLA BLA B LA
Slide 18: … to Europe's leading customer-centric e-pharmacy platform
18 … TO EUROPE‘S LEADING CUSTOMER-CENTRIC E-PHARMACY PLATFORM.
Slide 19: Shop Apotheke platform services
SHOP APOTHEKE 19 Ln Now! SAME-DAY a: / DELIVERY. y > MEDICATION MARKETPLACE. MANAGE- MENT. i » _ ONLINE ‘e DOCTOR. APPS. <>» 4 q GLP. ae SUBSCRIP- BRANDS. TION FUNCTION.
Slide 20: Marketplace
20 MARKETPLACE. • LAUNCH IN GERMANY LAST DECEMBER. • MORE CHOICE OF ADDITIONAL PRODUCTS AND NEW CATEGORIES. • PARTNERSHIPS WITH CAREFULLY SELECTED MERCHANTS. ROLL-OUT TO OTHER COUNTRIES PLANNED THIS YEAR.
Slide 21: Presenting our marketplace
21 PRESENTING OUR MARKET PLACE.
Slide 22: Now! Our same-day delivery
22 NOW! OUR SAME-DAY DELIVERY. • AVAILABLE IN THE METROPOLITAN AREAS GERMANY ACROSS GERMANY, REACHING WELL MORE THAN 20 MILLION PEOPLE NOW. • SUCCESSFULLY LAUNCHED IN VIENNA / AUSTRIA. AUSTRIA FURTHER ROLL-OUTS THIS YEAR. .
Slide 23: E-Rx progressing. We are ready.
23 E-RX PROGRESSING. WE ARE READY. • CONCLUSION OF GEMATIK TEST PHASE WHEN PREDEFINED QUALITY CRITERIA ARE MET. • 2,882 OF 30,000 E-PRESCRIPTIONS REDEEMED*. STATUS QUO SHOP APOTHEKE EUROPE. • 85 E-PRESCRIPTIONS PROCESSED VIA TELEMATIC INFRASTRUCTURE SINCE LAST OCTOBER.* • REIMBURSEMENTS BY 17 INSURA
Slide 24: New distribution centre in Italy
NEW DISTRIBUTION 24 CENTRE IN ITALY. • MASSIVE OPPORTUNITY WITH MARKET OF AROUND 30 BILLION INCLUDING RX. • START OF SHOP FARMACIA IN 2018. WE GREW TRIPLE DIGIT IN 2021. • OPENING OF MILAN DISTRIBUTION CENTRE BY Q3, TO BE CLOSER TO OUR ITALIAN CUSTOMERS. • OUR FIRST DISTRIBUTION FACILITY OUTSIDE THE
Slide 25: Outlook and Guidance
wtegy SHOP APOTHEKE OUTLOOK AND GUIDANCE.
Slide 26: Adj. EBITDA margin outlook unchanged
26 GROSS PROFIT MARGINS. MID- TO LONG-TERM ADJ. EBITDA MARGIN MEDIA INCOME. EFFICIENCIES. OUTLOOK UNCHANGED FOR OUR CURRENT BUSINESS. E-RX. SEGMENT MARKET ADJ. EBITDA MARGIN IN EXCESS OF 8%. INTERNATIONAL. PLACE. DRIVERS: • GROSS PROFIT MARGINS. • MEDIA INCOME. MARKETING. • MARKETING LOWER AS A PERC
Slide 27: Guidance for 2022
27 GUIDANCE FOR 2022. FOR OUR CURRENT BUSINESS. FULL YEAR SALES. 15% TO 25% GROWTH OF NON-RX. • NON-RX ACCOUNTED FOR OVER EUR 0.9 BILLION (90%) OF OUR SALES IN 2021. RX SALES – NO GUIDANCE FOR 2022. • UNCERTAIN EXACT TIMINGS: ROLL-OUT OF E-RX AND EARLY ADOPTION RATES. FULL YEAR ADJ. EBITDA MARGIN. -
Slide 28: Q1 Outlook
28 Q1 OUTLOOK. NON-RX: STRONG SALES GROWTH CONTINUES ACROSS OUR GEOGRAPHIES. • START OF THE YEAR SHOWED CONTINUATION OF OUR MANY YEARS‘ CONSECUTIVE TRACK-RECORD OF DOUBLE-DIGIT GROWTH. • MARGIN: Q1 GENERALLY IS PROMOTIONAL. RX SALES. • PAPER-RX: SIGNS THAT THE DECLINE BOTTOMED OUT STARTING Q3/2021.
Slide 29: Strong upgrade from MSCI
29 STRONG UPGRADE FROM MSCI. • IMPROVEMENT IN AREAS INCLUDING: • CARBON FOOTPRINT. • PRIVACY & DATA SECURITY. • GOVERNANCE. • MANAGEMENT OF PEOPLE / LABOUR. • INCREASED FROM 5.0 POINTS TO 8.1 POINTS.
Slide 30: Time to ask questions
TIME TO ASK QUESTIONS. wtegy SHOP APOTHEKE
Slide 31: Q&A session: dial-in details
31 Q&A SESSION. YOU WANT TO ASK QUESTIONS... PLEASE MUTE THE WEBCAST. DIAL IN FROM YOUR PHONE. LOCATIONS. PHONE NUMBERS. GERMANY, Frankfurt +49 (0) 69 2 22 22 51 97 UK, LOCAL +44 (0) 33 03 36 96 01 USA, Los Angeles +1 323-701-0160 Confirmation Code: 6337128 Press * 1 to ask questions.
Slide 32: Thank you for your time
SHOP APOTHEKE THANK YOU FOR YOUR TIME.