Global Fashion Group S.a. · XETR:GFG
Global Fashion — Q3 2022 Earnings Presentation
21 slides from Global Fashion's earnings presentation, Nov 8, 2022
Slide 1: Fashion and Lifestyle Destination in Growth Markets
#1 FASHION AND LIFESTYLE DESTINATION IN GROWTH MARKETS Q3 2022 RESULTS PRESENTATION 8 November 2022
Slide 2: Over 800M People in a Growing ~€230bn Market
OVER 800M PEOPLE IN A GROWING ~€230BN MARKET 13 countries SEA 824m people 7 countries €230bn market 462m people 15% online penetration LATAM €100bn market 11% online penetration 4 countries 330m people €95bn market 9% online penetration ANZ 2 countries 32m people €35bn market 22% online penetration
Slide 3: We Are a Leader in Our Markets with Consistent Growth
WE ARE A LEADER IN OUR MARKETS WITH CONSISTENT GROWTH GROUP LATAM SEA ANZ GROWTH & MARGIN EXPANSION NMV (€M) LTM H1/22 23% 3YR CAGR1 1,529 NMV (€M) 34% 1,594 578 417 599 987 Marketplace ADJ. EBITDA MARGIN (2.4)% (4.9)% 0.6% 3.8% 2018 2021 ADJ. EBITDA MARGIN (%) ORDERS 30.7m 14.6m 9.5m 6.6m (1.8)% (7
Slide 4: Q3 Results: Stable Adj. EBITDA Margin and 2% NMV Growth in Tougher Market
Q3 RESULTS: STABLE ADJ. EBITDA MARGIN AND 2% NMV GROWTH IN TOUGHER MARKET 19-22 Growth €399.0m 48%1 41.1% (5.8)% NMV GROSS PROFIT MARGIN ADJ. EBITDA MARGIN +1.7% yoy1 (1.8)ppt yoy 0.1 ppt yoy 11.9m 6.4m 2.5 ACTIVE CUSTOMERS ORDERS ORDER FREQUENCY (11.1)% yoy (14.8)% yoy +0.9% yoy Note: All Group fig
Slide 5: KPIs
KPIS 5 Q3 2022 RESULTS PRESENTATION
Slide 6: NMV Growth Through Higher AOV with More Items per Order and Product & Country Mix
NMV GROWTH THROUGH HIGHER AOV WITH MORE ITEMS PER ORDER AND PRODUCT & COUNTRY MIX NMV Retail Marketplace ORDERS AVERAGE ORDER VALUE (€M) (M) (€) +1.7%1 (14.8)% +19.4%1 399.0 7.6 61.9 356.5 6.4 32.5% 47.1 36.2% Q3/21 Q3/22 Q3/21 Q3/22 Q3/21 Q3/22 Note: All Group figures are presenting excluding CIS.
Slide 7: Active Customer Numbers Reflect a Reduced Marketing Investment
ACTIVE CUSTOMER NUMBERS REFLECT A REDUCED MARKETING INVESTMENT ACTIVE CUSTOMERS AVERAGE ORDER FREQUENCY NMV/ACTIVE CUSTOMER (M) (X) (€) +(11.1)% +0.9% +19.4%1 13.4 2.5 2.5 137.5 11.9 108.5 Q3/21 Q3/22 Q3/21 Q3/22 Q3/21 Q3/22 Note: All Group figures are presenting excluding CIS. KPI definitions are i
Slide 8: NMV / Customer Growth Driven by Higher AOV & Frequency Offset by Fewer Customers
NMV / CUSTOMER GROWTH DRIVEN BY HIGHER AOV & FREQUENCY OFFSET BY FEWER CUSTOMERS NMV ACTIVE CUSTOMERS2 NMV/ACTIVE CUSTOMER2 (€M) (M) (€) Q3/21 Q3/22 ∆ (%) 1 Q3/21 Q3/22 ∆ (%) Q3/21 Q3/22 ∆ (%)1 GROUP 356.5 399.0 1.7 13.4 11.9 (11.1) 108.5 137.5 19.4 LATAM 138.7 134.3 (12.7) 7.9 6.6 (17.0) 72.7 86.8
Slide 9: Financials
FINANCIALS 9 Q3 2022 RESULTS PRESENTATION
Slide 10: Careful Cost Control Delivered Stable Adj. EBITDA Despite Some Gross Margin Pressure
CAREFUL COST CONTROL DELIVERED STABLE ADJ. EBITDA DESPITE SOME GROSS MARGIN PRESSURE REVENUE GROSS PROFIT / MARGIN ADJUSTED EBITDA / MARGIN (€M) (€M) (€M) Q3/21 Q3/22 +6.7%¹ 276.2 (1.8)ppt 235.8 113.6 101.1 (5.9)% (5.8)% 42.9% 41.1% (14.0) (16.0) 0.1ppt Q3/21 Q3/22 Q3/21 Q3/22 Note: All Group figure
Slide 11: Some Gross Margin Investment in LATAM and ANZ to Clear Inventory
SOME GROSS MARGIN INVESTMENT IN LATAM AND ANZ TO CLEAR INVENTORY IN PREPARATION FOR NEW SEASON REVENUE GROSS MARGIN (€M) (%) Q3/21 Q3/22 ∆ (%)1 Q3/21 Q3/22 ∆ (pp) GROUP 235.8 276.2 6.7 42.9 41.1 (1.8) LATAM 82.8 85.6 (7.2) 45.3 41.4 (3.9) SEA 62.6 62.9 (9.3) 38.0 38.5 0.5 ANZ 90.4 128.3 30.2 44.1 42
Slide 12: Strong Liquidity and Expected Proceeds from CIS Disposal
STRONG LIQUIDITY AND EXPECTED PROCEEDS FROM CIS DISPOSAL CAPEX EXCL. CIS PRO-FORMA CASH AND DEBT (€M) (€M) 10.6 12.6 Q2/22 Q3/22 Q3/21 Q3/22 Pro-forma cash2 500.1 455.4 GROSS INVENTORY EXCL. CIS Convertible bond (279.9) (279.9) (€M) +9.2%¹ c.€100m additional Third-party borrowings (20.3) (18.4) cash
Slide 13: Outlook
OUTLOOK 13 Q3 2022 RESULTS PRESENTATION
Slide 14: Q&A
Q&A 14 Q3 2022 RESULTS PRESENTATION
Slide 15: Appendix
APPENDIX 15 Q3 2022 RESULTS PRESENTATION
Slide 16: FX Sensitivity
FX SENSITIVITY CURRENCY ∆ Q3/22 vs. Q3/21 NMV IMPACT REVENUE IMPACT ADJ. EBITDA IMPACT (%) (€M) (€M) (€M) AUD 9.0% 14.2 10.6 0.0 BRL 16.5% 11.8 8.0 (0.9) OTHER 0.8% (0.4) 3.5 0.2 IMPACT ON Q3/22 AT Q3/21 FX RATES 8.1% 25.6 22.1 (0.7) Note: All Group figures are presented excluding CIS. 16 Q3 2022 RE
Slide 17: Issued Share Capital
ISSUED SHARE CAPITAL SHARE INFORMATION EMPLOYEE SHARE OPTION PROGRAMME Weighted average exercise price Outstanding call options2 Common shares in dematerialised Type of Share form with a nominal value of €0.01 €0.01 183,468 €6.00 2,648,218 Stock Exchange Frankfurt Stock Exchange €10.32 3,190,934 €30
Slide 18: Convertible Bond 2021
CONVERTIBLE BOND 2021 PRICING TERMS CONVERTIBLE BOND REPURCHASE 2022 Outstanding Issue Size in the Public Market €279.9 million Status Senior Unsecured • On 27 April 2022, the Group successfully Maturity 7 Years repurchased outstanding Convertible Bonds due 2028 via a modified Dutch auction Issuer C
Slide 19: KPI Definitions
KPI DEFINITIONS Active Customers is defined as the number of customers who have purchased at least one item after ACTIVE CUSTOMERS cancellations, rejections and returns in the last twelve months Adjusted EBITDA is EBITDA adjusted for share-based payments, Group recharges, IAS 29 ADJUSTED EBITDA Hype
Slide 20: Financial Calendar – Upcoming Events
FINANCIAL CALENDAR – UPCOMING EVENTS DATE EVENT LOCATION 15 November 2022 Morgan Stanley Technology Conference Barcelona 5 December 2022 Berenberg European Conference London 15 March 2022 Q4 2022 Results & CMD Virtual 20 Q3 2022 RESULTS PRESENTATION
Slide 21: Disclaimer
DISCLAIMER Certain statements included in this document are forward-looking statements. Forward-looking statements can typically be identified by the use of words such as “expects”, “may”, “will”, “could”, “should”, “intends”, “plans”, “predicts”, “envisages” or “anticipates” or other words of simil