Accent Group Ltd · ASX:AX1
Accent — Investor Presentation (August 2018)
27 slides from Accent's investor presentation, Aug 28, 2018
Slide 1: Accent Group Limited FY2018 results presentation
Accent Group Limited FY2018 results presentation 1
Slide 2: Accent Group Limited FY2018 results presentation
Accent Group Limited FY2018 results presentation 2
Slide 3: Table of contents
Table of contents Item Page Shareholder value creation 4 Financial year highlights 5 FY18 Summary financial performance 6 Earnings and dividends per share 7 Retail update 8 Omnichannel 10 Wholesale update 13 Growth plan update 15 Our Guiding Principles and Core Values 18 Dividends, trading update an
Slide 4: Shareholder Value Creation
Shareholder Value Creation Accent Group has delivered strong returns over the past 5 years Total shareholder return over the past 5 years is 177% This represents a Compound Annual Growth Rate (CAGR) of 22.6% Accent Group continues to deliver consistently increasing shareholder value through sustaina
Slide 5: Financial Year highlights
Financial Year highlights(a) Underlying EBITDA Underlying NPAT Underlying EPS 16% 18% 17% $90.8m $47.1m 8.78c FY18 Dividend Net Debt Inventory 12.5% $34.9m $98.6m $30m of debt Last year $112m 6.75 cents repaid Underlying Sales New Stores Digital Sales Growth (inc TAF Franchises) 5% +31 131% $861m 44
Slide 6: FY18 summary financial performance
FY18 summary financial performance Financial Summary Operating Highlights Underlying Profit & Loss ($000's) FY18 FY17 % Change • Total owned sales of $676 million, up 9.3%(a) on an underlying basis Owned Sales 675,571 617,810 9.3% • Continued digital sales growth of 131% Gross Profit 370,081 326,189
Slide 7: Earnings and dividends per share
Earnings and dividends per share $000's FY18 FY17 % Change Underlying Diluted Earnings Per Share Underlying Net Profit After Tax 47,084 39,923 17.9% Less non-controlling interests (43) (195) NPAT used in the calculation of 47,041 39,728 18.4% underlying EPS Weighted average number of 536,063 530,843
Slide 8: Retail update
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Slide 9: Retail Performance
Retail Performance Key Financial Highlights Commentary Owned Retail LFL sales • LFL retail sales of 2%(a) across all banners on an aggregate basis, with H2 FY18 growing at 3% sales 12.2% 2%(a) • Total digital sales grew by 131% $566.9m • Significant improvement in Gross Profit margin % for the full
Slide 10: Omnichannel
OMNICHANNEL PLATYPUSD) saucony,, SEERRY MERRELL.
Slide 11: Omnichannel Key Milestones
Omnichannel Key Milestones Accent Group offers customers a market leading omnichannel experience with 446 stores throughout Australia and New Zealand and an integrated eCommerce capability across its TAF, Platypus, Hype, Skechers, Vans, Merrell, Saucony and CAT brands. Accent Group Limited FY2018 re
Slide 12: Omnichannel Strategy Canvas
Omnichannel Strategy Canvas Accent Group has reimagined its physical & digital infrastructure to provide industry leading omnichannel innovation for its customers with 446 physical points of presence throughout Australia and New Zealand that serve as both experience centres for customers and distrib
Slide 13: Wholesale update
Accent Group Limited FY2018 results presentation 13
Slide 14: Wholesale Performance
Wholesale Performance Key Financial Highlights Commentary Wholesale Wholesale sales Gross Profit • Strong sales performance from Vans, Dr Martens, Merrell and CAT $108.7m -3% • Combined retail growth and new store rollouts in Skechers led to a slight decline in Skechers wholesale sales against prior
Slide 15: Growth Plan Update
Growth Plan Update
Slide 16: Growth Plan Update
Growth Plan Update New Stores • More than 30 stores to open in FY19 • Continued rollout of new concept Platypus and Hype stores • Potential for a further 30-40 stores in the next 2-3 years, including store growth in New Zealand • Secured lease to open a 600 square metre Platypus Megastore in Melbour
Slide 17: Growth Plan Update
Growth Plan Update The Athlete’s Foot Corporate Stores • Accent Group commenced a strategy to acquire a strong network of TAF corporate stores • The expanded corporate network will be built through a combination of the acquisition of selected stores where franchisees are willing sellers, as well as
Slide 18: Guiding principles, Core Value proposition, Management & Board changes
Guiding principles Core Value proposition Management & Board changes
Slide 19: Our Vision
Our Vision Strategic Vision To be the leader in the performance and lifestyle footwear market across Australia and New Zealand, by delivering world-class customer experiences, harnessing the power of our people, brands and products Key Guiding Principles Shareholder Company 1 Customers First - alway
Slide 20: Accent Group Limited FY2018 results presentation
Accent Group Limited FY2018 results presentation 20
Slide 21: Dividends, trading update and outlook
Accent Group Limited FY2018 results presentation 21
Slide 22: Trading update and FY19 outlook
Trading update and FY19 outlook • Accent Group has announced a final ordinary dividend of 3.75 cents per share, fully franked, payable on 27 September 2018 to shareholders registered on 13 September 2018. This brings the dividend for Dividends the financial year to 6.75 cents, an increase of 12.5% o
Slide 23: Appendix
Accent Group Limited FY2018 results presentation 23
Slide 24: Recon. of Underlying Profit to Reported Profit
Recon. of Underlying Profit to Reported Profit $'000 FY18 FY17 % Change Underlying Consolidated EBITDA 90,842 78,284 16.0% Less: Hype DC EBITDA prior to Completion (1,598) (1/7/16 - 3/8/16) Less: Cost of Executive Performance Rights (1,949) Reported EBITDA 88,893 76,686 15.9% Recon. of $000's Underl
Slide 25: Store network and distribution agreements
Store network and distribution agreements Dr Podium / Store Network (a) TAF Platypus Skechers Vans Timberland Merrell Hype Total Martens Other FY2017 Stores at end of FY17 146 91 67 17 7 21 65 16 430 FY2018 Stores opened 3 9 14 1 2 1 1 31 Stores closed (6) (2) (1) (2) (4) (15) Stores at end of FY18
Slide 26: About Accent Group Limited
About Accent Group Limited Accent Group Limited (AX1) is a regional leader in the retail and distribution sectors of performance and lifestyle footwear, with over 446 stores across 10 different retail banners and exclusive distribution rights for 10 international brands across Australia and New Zeal
Slide 27: Notice And Disclaimer
Notice And Disclaimer This presentation contains summary information about the Accent Group Limited which is current as at the date of this presentation. This presentation contains certain forward-looking statements, including indications of, and guidance on, future earnings and financial position a