Cp All Public Company Limited · SET:CPALL
Cp All Public — FY2018 Earnings Presentation
27 slides from Cp All Public's earnings presentation, February 2019
Slide 1: FY2018 Performance Highlights
CP ALL Public Company Limited FY2018 Performance Highlights February 2019
Slide 2: Financial Highlights
Financial Highlights Unit : Million Baht 2014 2015 2016 2017 2018 %Chg Company Only Total Revenue 228,996 249,758 278,246 302,584 335,533 +10.9% Net Profit 8,686 11,376 14,099 16,618 19,944 +20.0% Unit : Million Baht 2014 2015 2016 2017 2018 %Chg Consolidated Total Revenue 371,301 405,893 451,939 48
Slide 3: Business Segment Performance
Business Segment Performance CVS & Others and Cash & Carry Revenue Contribution Earnings Before Tax Contribution Before Elimination Before Elimination (Unit: Million Baht) (Unit: Million Baht) 433,960 483,739 525,204 569,349 21,408 24,791 28,764 32,560 36% 36% 36% 34% 25% 25% 22% 30% 64% 64% 64% 66%
Slide 4: Store Types Breakdown
Store Types Breakdown Store expansion on track BKK & Suburban / Provincial Corporate / Store Business Partner & Sub-area 10,988 (Unit: Stores) 10,988 (Unit: Stores) 10,268 10,268 9,542 9,542 8,832 8,832 8,127 8,127 6,094 6,154 5,738 5,712 5,337 55% 5,297 56% 4,924 4,479 4,910 4,557 4,556 4,834 4,205
Slide 5: Same Store Sales Growth
Same Store Sales Growth Sustained positive SSSG FY18 Average daily sales / store 81,788 Baht 2014 2015 2016 2017 2018 SSS Growth -2.6% +0.9% +2.4% +1.6% +3.2% 2014 2015 2016 2017 2018 Spending per ticket (Baht) 63 62 65 67 69 No. of customer per store per day (Customers) 1,252 1,230 1,216 1,184 1,18
Slide 6: Product Sales Mix and Gross Margin
Product Sales Mix and Gross Margin Higher mix of cigarettes impacted non-food margins Product Sales Mix (excl. T&E) 27.7% 28.5% 29.4% 29.4% 29.9% Personal Care Household & Others Cigarette 72.3% 71.5% 70.6% 70.6% 70.1% Food Services i.e. RTE Processed Food 2014 2015 2016 2017 2018 Beverage Foods Non
Slide 7: SG&A Expenses
SG&A Expenses Higher SG&A expenses were mainly related to store expansion 250,000 FY18 SG&A Expenses-to-Total Revenue FY18 SG&A Expenses Breakdown (Unit: Million Baht) Consolidated 200,000 Personnel 24.0% 27.8% +9.0% YoY 150,000 19.0% Others ** 18.5% 18.5% 18.8% 18.2% 14.6% 100,195 Store MGT 100,000
Slide 8: Profitability Ratios – Consolidated
Profitability Ratios – Consolidated Higher SG&A expenses resulted in slightly decreased margins Gross Margin (Sales & Services) EBIT Margin 21.3% 21.8% 21.9% 22.3% 22.3% 6.3% 6.3% 6.4% 6.1% 5.7% 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 EBITDA Margin Net Margin 7.4% 8.1% 8.2% 8.4% 8.1% 3.4%
Slide 9: Profitability Ratios – Company Only
Profitability Ratios – Company Only Pressured from lower-margin products Gross Margin (Sales & Services) EBIT Margin 27.7% 28.0% 28.3% 28.1% 27.7% 7.7% 8.4% 8.6% 8.5% 8.5% 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 EBITDA Margin Net Margin 9.5% 10.2% 10.4% 10.4% 10.3% 5.1% 5.5% 5.9% 3.8% 4.6%
Slide 10: Leverage Ratios – Consolidated
Leverage Ratios – Consolidated Comfortably maintained below Bond Covenants Net Debt to Equity Bond Covenants * Year Net Debt to Equity 3.21x 2.95x 2015 5.0x 2.08x 4.7x 1.44x 1.04x 2016 3.5x 4.0x 2.6x 1.7x 1.2x 2017 2.5x 2014 2015 2016 2017 2018 2018 onwards 2.0x Remark: Equity as per bond covenants
Slide 11: Working Capital – Consolidated
Working Capital – Consolidated Negative cash cycle days Inventory Days Account Payable Days (Unit: Days) (Unit: Days) 27.1 28.0 27.7 26.8 26.2 73.6 72.2 69.3 70.2 70.6 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 Cash Cycle Days Cash (Unit: Days) (Unit: Million Baht) 2014 2015 2016 2017 2018 -4
Slide 12: Working Capital – Company Only
Working Capital – Company Only Negative cash cycle days Inventory Days Account Payable Days (Unit: Days) (Unit: Days) 23.0 22.6 21.9 22.0 69.5 69.2 65.0 64.6 64.4 21.1 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 Cash Cycle Days Cash (Unit: Days) (Unit: Million Baht) 2014 2015 2016 2017 2018 -4
Slide 13: Key Performance Ratios
Key Performance Ratios Enlarged equity base from perpetual bond Consolidated Statement ROAA ROAE 34.3% 40.2% 36.0% 4.9% 5.6% 5.7% 30.5% 26.1% 3.2% 4.2% 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 Company Only Statement ROAA ROAE 7.1% 33.9% 40.6% 37.1% 5.2% 5.9% 30.5% 29.5% 3.3% 4.3% 2014 2015
Slide 14: 7-Eleven Future and CAPEX plan
7 – Eleven Future and CAPEX plan Continue store expansion and supporting infrastructure 7-Eleven Stores Expansion 2019 Projected CAPEX MB Continue to expand around 700 stores in 2019 Stores expansion 3,800 – 4,000 Milestone: 13,000 stores by 2021 Stores renovation 2,400 – 2,500 Investment
Slide 15: Appendix
Appendix
Slide 16: Share Capital Information
Share Capital Information Major Shareholders (as of Dec 31, 2018) Price (Feb 20, 2019) : Bt 77.00 - CPF (subsidiaries) 34.2% Hi/Low (12-month) : Bt 90.00 / 62.50 per share - Charoen Pokphand Group 1.8% - Thai NVDR 8.1% Avg. daily turnover : 2,185 MB - South East Asia UK 7.4% No. of shares : 8,983,10
Slide 17: Group Structure of CPALL
Group Structure of CPALL As of 31 December 2018 99.99% 99.99% 99.99% 99.99% 99.99% 99.99% 99.99% 72.64% 99.99% 99.99% 99.99% 93.08% 99.99% 99.99% Counter CPRAM CP Retailink Gosoft MAM Heart Suksapiwat Dynamic Thai Panyatara ALL 24 Makro All All Service (Thailand) Management Smart Card Training Shopp
Slide 18: Balance Sheet – Consolidated
Balance Sheet – Consolidated 18
Slide 19: Balance Sheet – Company Only
Balance Sheet – Company Only 19
Slide 20: Income Statement and Cash flow Statement – Consolidated
Income Statement and Cash flow Statement – Consolidated 20
Slide 21: Income Statement and Cash flow Statement – Company Only
Income Statement and Cash flow Statement – Company Only 21
Slide 22: Key Performance Ratios – Consolidated
Key Performance Ratios – Consolidated 22
Slide 23: Key Performance Ratios – Company Only
Key Performance Ratios – Company Only 23
Slide 24: Balance Sheet – Makro
Balance Sheet – Makro Balance Sheet 2014 2015 2016 2017 2018 Unit : Million Baht Cash 4,564 2,230 2,550 4,364 5,096 Inventory 10,628 12,954 13,485 13,043 14,361 Fixed assets 23,655 27,039 30,319 31,305 31,553 Other assets 4,819 5,688 6,505 10,265 11,056 Total assets 43,666 47,910 52,859 58,976 62,06
Slide 25: Income Statement and Cash flow Statement – Makro
Income Statement and Cash flow Statement – Makro Income Statement 2014 2015 2016 2017 2018 Unit : Million Baht Revenue from Sales & Services 141,828 155,217 172,092 185,804 191,997 Other Income 704 700 698 950 933 Total revenue 142,532 155,917 172,790 186,754 192,930 Cost of Sales & Services 126,771
Slide 26: Key Performance Ratios – Makro
Key Performance Ratios – Makro Financial Ratios 2014 2015 2016 2017 2018 Gross margin (Sales) (%) 9.0% 9.6% 9.2% 10.1% 10.0% Gross margin (Total revenue) (%) 11.1% 11.5% 11.0% 12.0% 12.1% Operating margin (%) 4.5% 4.5% 4.1% 4.3% 4.0% EBITDA margin (%) 5.5% 5.7% 5.3% 5.6% 5.4% Net profit margin (%) 3
Slide 27: Disclaimer
Disclaimer Items published on this presentation as IR information are intended to provide financial information or business information or etc. of CPALL. Some content may contain forward-looking statements, that based on management’s view upon the information currently available to us. These informa