Samsonite Group S.a. · HKEX:1910
Samsonite — Samsonite International — Q1 2024 Earnings Presentation
27 slides from Samsonite's earnings presentation, May 14, 2024
Slide 1: First Quarter 2024 Results
2024 FIRST QUAR’ RESU MAY 14, 2024 Samsonite International S.A. 45 sy « Stock Code: 1910 FULFILLING THE JO! ip! Pia Apes & y
Slide 2: Disclosure Statement
o) DISCLOSURE STATEMENT This presentation and the accompanying slides (the “Presentation”), which have been prepared by Samsonite International S.A. (“Samsonite” or the “Company”), do not constitute any offer or invitation to purchase or subscribe for any securities, and shall not form the basis for
Slide 3: Agenda
S AGENDA O1 O2 OS O4 Business Update Financial Highlights Outlook Q&A
Slide 4: Business Update
BUSINESS UPDATE
Slide 5: Achieved record Q1 net sales, Adjusted EBITDA and Adjusted EBITDA margin
6 Achieved record Q1 net sales™, Adjusted EBITDA and Adjusted EBITDA margin, on top of an extremely strong period in Q1 2023 * Achieved record Q1 sales of US$860 million in Q1 2024, delivering net sales growth of 4.1% over an exceptionally strong Q1 2023 (that was already up 18.0%) vs. Q1 2019). * G
Slide 6: Q1 2024 exceeded exceptionally strong net sales in Q1 2023
6 Q1 2024 exceeded exceptionally strong net sales in Q1 2023 which was fueled by the resurgence of travel following the pandemic Q1 Net Sales Evolution _ $900 $800 $700 $600 us$m Qi 2019 (1) Stated on a constant currency basis. $795.6 $574.9 $500 $400 $300 $333.4 $200 $100 0) Qi 2020 saan), one) Qi
Slide 7: Growth in all three core brands with Samsonite driving growth
® Growth in all three core brands with Samsonite driving big part of growth in Q1 2024 Sams@nite $450 2 $439.8 $424.2 2S $400 _~ $350 Ee B 3 ~ $300 $270.7 $250 $200 Q1 2022 Q1 2023 Q1 2024 * Solid growth in the Samsonite brand despite exceptionally high sell-in to wholesale customers in Q1 2023. (1)
Slide 8: Net sales growth by region
Constant Currency Growth vs ‘23 7.5% 0.3% -0.5% 17.9% Comped extremely strong Q1 2023 with Approximately +2.3% excluding sales Led by strong growth in wholesale customers purchasing to meet accelerated into Q1 2023 in advance China +23.0%, Japan +26.4% increased travel demand and core Tumi inventory
Slide 9: DTC share of total net sales
• • • DTC DTC 36.1% 37.1% of total of total • •
Slide 10: Travel intentions and global passenger traffic outlook
Our regular AlphaWise consumer survey notes that travel intentions over Global passenger traffic in 2024 is predicted to surpass the 2019 level for the next six months remain high at 60%. The latest Wave 52 of the survey the first time since COVID-19, reaching 9.7 billion passengers or 106% of condu
Slide 11: Global passenger traffic in 2024 predicted to surpass 2019 levels
« Global passenger traffic in 2024 is predicted to surpass 2019 levels in all regions for the first time since COVID-19 Global Total Passenger Traffic Forecast (indexed, 2019 = 100) 160 140 120 100 ~ 80 60 40 20 ° Source Airports Council International 84 1 51 = = ©WATF 2023 forecast «+ Pre-COVID for
Slide 12: 2023 ESG Report Has Been Published
* 2023 ESG Report Has Been Published! JOURNEY, ENVIRONMENTAL, SOCIAL & GOVERNANCE REPORT Our 2023 ESG Report and Sustainability Highlights Report are now live! 12
Slide 13: Progress on Our Responsible Journey
6 In 2023, we’ve made significant progress on Our Responsible Journey PRODUCT PLANET PEOPLE Sustainable Materials Globally, approximately 34% of net sales came from products made at least in part from recycled materials, up from about 23% in 2022. Product Sustainability We have established a global
Slide 14: ESG Plans for 2024
* ESG Plans for 2024 + Sustainable produets — activate our new product sustainability framowork, defining targets and a roadmap across three key areas of impact: sustainable materials, circularity and product footprint. + Recycled content - accelerate the use of recycled content in our product. + Ci
Slide 15: Financial Highlights
FINANCIAL HIGHLIGHTS
Slide 16: Constant currency growth
+4.1% constant currency growth • • • • • • •
Slide 17: Financial Highlights
° Financial Highlights Advertising spend of US$53 million in Q1 2024 (6.1% of net sales) was US$3 million higher than Q1 2023 (5.9% of sales) as we continued to invest heavily in driving brand awareness. + Fixed SG&A expenses remained consistent with both Q3 and Q4 2023. Q1 2023 fixed SG&A expenses
Slide 18: Fixed SG&A in Q1 2024 relatively flat to recent quarters
s Fixed SG&A in Q1 2024 was relatively flat to recent quarters, but was up from unusually low level in Q1 2023 Fixed SG&A Trend us$m $247.1 Fixed SG&A % of Net Sales was 480bp 9 - lower in Q1 2024 compared to Q1 2019 32% $240 30% $220 28% $200 26% 24% $180 22% $160 20% $140 18% Qi 2019 Qi 2022 Q1 20
Slide 19: Comparison of net sales by channel
Comparison of net sales by channel - DTC E-Commerce growth of +11.0%(1) Q1 2023 - Retail growth of +6.4%(1), driven by positive Q1 2024 comp store growth of +2.2% (1) despite US$852.1 million reduced store traffic, and 77 net new stores US$859.6 million additions compared to prior year. DTC total =
Slide 20: Balance sheet and net debt
US$m March 31, March 31, $ Chg Mar-24 % Chg Mar-24 2023 2024 vs. Mar-23 vs. Mar-23 Cash and cash equivalents 571.1 744.5 173.4 30.4% • Trade and other receivables, net 306.7 335.0 28.3 9.2% Inventories, net 700.8 667.9 (32.9) -4.7% Other current assets 83.2 111.8 28.5 34.3% Non-current assets 3,071.
Slide 21: Adjusted EBITDA vs. Free Cash Flow
Adjusted EBITDA vs. Free Cash Flow(1) (1)
Slide 22: Working Capital Items
US$m March 31, December 31, March 31, $ Chg Mar-24 % Chg Mar-24 • 2023 2023 2024 vs. Mar-23 vs. Mar-23 Working Capital Items Inventories $ 700.8 $ 695.9 $ 667.9 $ (32.9) -4.7% Trade and Other Receivables $ 306.7 $ 319.6 $ 335.0 $ 28.3 9.2% Accounts Payable $ 464.6 $ 500.4 $ 443.0 $ (21.5) -4.6% Net
Slide 23: Capital Expenditures
US$m Q1 2023 Q1 2024 • Retail 3.2 8.0 Manufacturing / Supply 2.2 4.0 • Information Services and Facilities 1.8 0.4 Software 2.3 0.7 Other 0.1 0.0 Total Capital Expenditures 9.6 13.2
Slide 24: Outlook
OUTLOOK
Slide 25: Outlook
° Outlook + Looking ahead, growth in global travel and tourism is expected to remain healthy throughout 2024, sustaining demand for our products. In certain markets, we have observed customer traffic and net sales returning closer to historical trends compared to the extraordinary levels witnessed l
Slide 26: Q&A
Q&A
Slide 27: Thank You
THANK YOU.
Samsonite International — Q1 2024 Earnings Presentation on 6ix