Universal Store Holdings Ltd. · ASX:UNI
Universal Store — Goldman Sachs Twelfth Annual Emerging Leaders Conference (April 2021)
19 slides from Universal Store's conference presentation, Apr 27, 2021
Slide 1: Universal Store Investor Presentation to Goldman Sachs Conference
UNIVERSAL STORE INVESTOR PRESENTATION TO GOLDMAN SACHS CONFERENCE Brisbane, 27 April 2021 Universal Store Holdings Limited (‘Universal Store’, ASX: UNI), will today present to institutional investors at the Goldman Sachs Twelfth Annual Emerging Leaders Conference. During the conference Universal Sto
Slide 2: Emerging Leaders Conference: Goldman Sachs
EMERGING LEADERS CONFERENCE: GOLDMAN SACHS TUESDAY 27TH APRIL 1
Slide 3: Universal Store Holdings Limited Presentation
UNIVERSAL STORE HOLDINGS LIMITED ACN 169 039 721 Presentation SECTION 1 APRIL 2021
Slide 4: Presenting Contents
PRESENTING CONTENTS 1. Universal Store Overview 2. Financial Overview Alice Barbery Renee Jones 3. Questions CEO CFO ◼ Commenced at Universal ◼ 10 years at Universal Store Store in 2019 4. Appendix • CEO for the past three years ◼ 20+ years’ experience across retail and service • Previously COO for
Slide 5: Universal Store – Overview
UNIVERSAL STORE – OVERVIEW A leading Australian youth-focused apparel retailer with customer service at its core Who is Universal Store? Who is our quintessential customer? Omni-channel retailer Millennials and Gen Z Fashion focused (16-35 year old) (and buy now preference) Casual youth fashion appa
Slide 6: The Universal Store Difference
THE UNIVERSAL STORE DIFFERENCE Physical stores (#) LFL sales growth (%)1 65 65 Average = 13% (FY15-20) 60 27% 52 45 1 Unique Culture 35 17% 16% 31 13% 14% 10% 11% 2 Our Retail Formula Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Dec20 FY15 FY16 FY17 FY18 FY19 FY20 H1 FY21 Revenue (A$ million) Pro forma EBIT
Slide 7: Agile Business That Continuously Adapts to Changing Customer Preferences
AGILE BUSINESS THAT CONTINUOUSLY ADAPTS TO CHANGING CUSTOMER PREFERENCES The 'constant' is 'change' and change triggers reasons for new purchases. COVID-19 is an extreme example Pre COVID-19 Through COVID-19 Future Customer wallets Festivals and concerts Virtual social life ✓ Spend on international
Slide 8: Our Growth Drivers
OUR GROWTH DRIVERS 1 2 3 4 5 NEW STORE STORE ONLINE OPTIMISE PRIVATE BRAND ROLLOUT MATURATION GROWTH PRODUCT MIX EXPANSION • A number of new • A significant portion • Ship-from-store and • Introduction of new • Private brand stores are currently of the store network click & collect to brands and pro
Slide 9: Differentiated and Growing Private Brand Strategy
DIFFERENTIATED AND GROWING PRIVATE BRAND STRATEGY Private brand strategy Private brand growth opportunity Revenue by product type1 (%) FY16 FY20 Underlying gross margin expansion 10% 30% Elevate the styling and quality of 70% brand and merchandising 90% On-trend, gap fill promotional materials Priva
Slide 10: Financial overview
Financial overview 2 9
Slide 11: Consistent Track Record of Strong Revenue Growth
CONSISTENT TRACK RECORD OF STRONG REVENUE GROWTH Revenue (A$ millions) Highlights 177.0 Consistent double digit LFL sales 154.9 21.4 growth (13.4% average2) 146.5 8.5 13.6 112.3 5.1 Strong track record of new store 87.7 3.8 roll-out (5–10 per annum over the 69.3 155.6 141.3 past five years) 2.4
Slide 12: 1H FY21 Highlights
1H FY21 HIGHLIGHTS Robust sales growth for the sixth consecutive year • Sales +23.3% to $118.0m, with LFL sales +26.2% • Store sales +16.1% to $104.0m, LFL +19.1% • Online sales +128.3% to $14.0m, representing 12% of total sales for 1H FY21 Strong gross profit result • Gross profit $ +24.5% to $67.9
Slide 13: Sales Update and Outlook
SALES UPDATE AND OUTLOOK Q3 FY21 (un-audited) • Excellent sales performance across Stores and Online with headline sales growth at +39.6% and comparative (L4L) growth at +37.3%. • Q3 sales growth aided by softer sales across March last year as the initial impacts of COVID-19 began and we led into ou
Slide 14: Questions
Questions 3 13
Slide 15: Appendix
Appendix 4 14
Slide 16: Large and Growing Apparel Market with Tailwinds for Youth Casual Apparel Segment
LARGE AND GROWING APPAREL MARKET WITH TAILWINDS FOR YOUTH CASUAL APPAREL SEGMENT High and growing levels ~$24 billion in annual spend, growing at ~4% p.a. historically1,2 of youth spending Deferral of traditional life milestones 50 20% 1 and robust parental financial support Driven by 54% decline in
Slide 17: Continue to Capture Share Through Differentiation and Superior Execution
CONTINUE TO CAPTURE SHARE THROUGH DIFFERENTIATION AND SUPERIOR EXECUTION Youth casual apparel segment overview (examples) Universal Store growth vs. market FY15-20 CAGR (%) Segment Brand aggregator 24.9% specialty retailers of casual fashion ~16x General domestic casual fashion 1.5% retailers Clothi
Slide 18: Appendix 4: Store Footprint
APPENDIX 4: STORE FOOTPRINT Total Stores: 65 NT 1 QLD 19 WA 11 2 SA NSW 17 ACT 2 VIC 13 17
Slide 19: Disclaimer and important information
Disclaimer and important information The material contained in this presentation has been prepared by Universal Store Holdings Limited ABN 94 628 836 484 (Universal Store) and is general background information about the businesses, operations and activities of Universal Store and its subsidiaries, c