Lindex Group Plc Class B · OMXHEX:LINDEX
Lindex Group Plc Class B — Stockmann Group — H1 2020 Earnings Presentation
18 slides from Lindex Group Plc Class B's earnings presentation, Jul 24, 2020
Slide 1: Half Year Financial Report 2020
HALF YEAR FINANCIAL REPORT 2020 Jari Latvanen, CEO Stockmann Group | 24 July 2020
Slide 2: Corporate Restructuring Proceeds
CORPORATE RESTRUCTURING PROCEEDS • Stockmann plc decided to file for corporate restructuring proceedings on 6 April 2020 – After the first week of March, the coronavirus (COVID-19) epidemic in Europe caused significant changes in Stockmann Group’s operating environment – The strong sales growth in S
Slide 3: COVID-19 Affected the Performance Dramatically in H1
COVID-19 AFFECTED THE PERFORMANCE DRAMATICALLY IN H1 • Stockmann Group’s strategy implementation developed as planned in the beginning of 2020. • Group sales in January–February were on a healthy level, but after the first week of March, the coronavirus changed the situation. The decline in customer
Slide 4: Stockmann Group in Q2 2020
STOCKMANN GROUP IN Q2 2020 • Stockmann Group Group’s gross margin – Revenue EUR 182.7 million, down by 23.2% in comparable currency rates 54.1% (58.6) – Gross margin declined both in Lindex and Stockmann – Adjusted operating result EUR -1.8 million (16.2) – Coronavirus affected sales heavily, slowly
Slide 5: Stockmann Division
STOCKMANN DIVISION
Slide 6: Stockmann Division, Performance in Q2 2020
STOCKMANN DIVISION, PERFORMANCE IN Q2 2020 • Revenue EUR 60.6 million (88.3) QUARTERLY REVENUE – Revenue was down by 31.4% EUR mill. – Sales declined due to the coronavirus situation 150 – Growth in the online store 128.5% – Share of online sales was 27.7% for the quarter (8.3) 100 • Gross margin 35
Slide 7: Stockmann Division, Highlights in Q2 2020
STOCKMANN DIVISION, HIGHLIGHTS IN Q2 2020 • Revenue development better than expected • Good development in the online store: growth 128.5% – In May, the online sales already achieved the 2019 full-year level • Good results from the cost savings measures • Cash reserves strengthened clearly • The amo
Slide 8: Stockmann Division Way Forward
STOCKMANN DIVISION WAY FORWARD • We will continue to build Stockmann as a source of inspiration for urban life within fashion, home and beauty • Restructuring program proceeds aiming to finalise rental negotiations with improved terms during Q3. The restructuring program will be filed by 11 December
Slide 9: Lindex
LINDEX Susanne Ehnbåge Lindex CEO
Slide 10: Lindex, Financial Performance in Q2 2020
LINDEX, FINANCIAL PERFORMANCE IN Q2 2020 • Revenue EUR 122.1 million (154.0) QUARTERLY REVENUE – Revenue down by 20.7% or down by 18.4% in comparable currency rates EUR mill. – Growth in online sales was 102.1% 200 – Share of online sales was 16.2% for the quarter (6.6) 150 – Sales declined in April
Slide 11: Lindex, Highlights in Q2 2020
LINDEX, HIGHLIGHTS IN Q2 2020 • Quick actions to support the strong growing online sales and changed customer behaviour – Doubled and even tripled sales for almost all lindex.com markets – Continued growth with our third party partnerships - Launch on Zalando in June • Closed physical stores for the
Slide 12: Lindex Way Forward
LINDEX WAY FORWARD • Reviewed and re-prioritised our strategic investments with continuing focus on the digital development • Continue strengthening our e-commerce and omnichannel setup • Optimising our inspiring and more sustainable offer with the customer’s needs in focus - Growing our online edit
Slide 13: Stockmann Group
STOCKMANN GROUP Pekka Vähähyyppä CFO
Slide 14: Group, Financial Performance in Q2 2020
STOCKMANN GROUP, FINANCIAL PERFORMANCE IN Q2 2020 • Revenue EUR 182.7 million (242.3) QUARTERLY REVENUE – Down by 23.2% in comparable currency rates EUR mill. • Gross margin 54.1% (58.6) 300 – Gross margin declined both in Lindex and Stockmann 200 • Operating costs down by EUR 29.9 million 100 • Dep
Slide 15: Group, Interest-Bearing Net Debt
STOCKMANN GROUP, INTEREST-BEARING NET DEBT EUR mill. Divestment of the 900 Book House 801.8 800 Divestment Long-term of Nevsky credit 700 Centre facilities 600 renegotiated 500 400 300 200 100 0 Q1/2018 Q2/2018 Q3/2018 Q4/2018 Q1/2019 Q2/2019 Q3/2019 Q4/2019 Q1/2020 Q2/2020 Excl. Excl. Excl. Excl. E
Slide 16: Key Figures
KEY FIGURES 4-6/2020 4-6/2019 1-6/2020 1-6/2019 1-12/2019 Equity ratio % 35.5 37.2 38.1 - Excluding IFRS 16 46.5 50.3 51.2 Net gearing % 109.9 121.7 112.4 - Excluding IFRS 16 47.0 54.6 48.4 Net financial items EUR mill. -8.2 -13.6 -19.5 -27.3 -52.7 Result for the period EUR mill. -15.0 -5.5 -52.4 -3
Slide 17: Outlook and Guidance for 2020
OUTLOOK AND GUIDANCE FOR 2020 • Outlook for 2020: Outbreak of the global coronavirus has caused significant changes in the operating environment of the Stockmann Group, with extreme decline in customer volumes and cash flow. The uncertainties in the global economy are expected to remain in 2020 and
Slide 18: Q&A Further information
Q&A Further information stockmanngroup.com investor.relations@stockmann.com STOCKMANN 24.7.2020 18