4imprint Group Plc · LSE:FOUR
4imprint — FY2021 Earnings Presentation
17 slides from 4imprint's earnings presentation, 2022
Slide 1: Full Year Results 2021
4i } mprint: Full Year Results 2021
Slide 2: Highlights
Highlights Kevin Lyons‐Tarr, CEO Full Year Results 2021 1
Slide 3: Results Summary
Results Summary Revenue Operating profit Basic EPS $787.32m $30.65m 80.46c 41% 672% 629% Cash Proposed total dividend $41.59m 45.00c 2020: $39.77m 2020: Nil Full Year Results 2021 2
Slide 4: Financial Review
Financial Review David Seekings, CFO Full Year Results 2021 3
Slide 5: Group Income Statement
Group Income Statement • Revenue +41% 2021 2020 o H1 +23%; H2 +57% $'000 $'000 o US $773.7m; UK $13.6m Revenue 787,322 560,040 41% • Gross profit +43% Gross profit 226,023 157,936 43% o Small recovery over 2020 GP % Gross profit % 28.71% 28.20% o Product cost inflation offset by careful price adjust
Slide 6: Cash Flow
Cash Flow 2021 2020 $'000 $'000 At start of period 39,766 41,136 • Recovery in operating profit primary Operating profit 30,646 3,972 influence YOY Share option non-cash charges 602 625 Pension admin costs 340 420 • Cash conversion lower than usual, reflecting: Depreciation and amortisation 3,674 3,
Slide 7: Balance Sheet
Balance Sheet 2021 2020 $'000 $'000 • Capital expenditure $3.5m, including: o $1.3m IT equipment, including WFH Fixed assets 25,712 25,932 hardware Right-of-use assets 11,725 13,065 o $1.2m further embroidery capacity Deferred tax assets 600 4,272 Retirement benefit asset 1,974 - • Reduction in defe
Slide 8: Operational Review
Operational Review Kevin Lyons‐Tarr, CEO Full Year Results 2021 7
Slide 9: Market
Market ASI Industry Sales North America 2000 - 2020 $bn • 2021 industry revenue in North America recovered to 2016‐2017 28.0 26.0 24.7 25.8 levels inclusive of an element of 24.0 22.9 23.6 23.2 PPE sales 21.5 22.0 22.0 20.5 20.7 20.0 18.6 19.6 19.8 18.5 19.4 • 4imprint share of total market 17.8 18.
Slide 10: Marketing Effectiveness
• Total marketing spend +37% at $127.5m Marketing Effectiveness (2020: $92.9m); Revenue +41% • Strategic initiative (begun Q2 2018) adding US and Canada Acquired and Retained % brand pillar to marketing platform to 50% 80,000 increase awareness, add flexibility/agility and reshape marketing mix prov
Slide 11: Operational Update
Operational Update Supply chain • Supply chain challenges emerged as H2 progressed, remain a priority • Delays in blank product deliveries to our Tier 1 suppliers create periodic stock outages, order delays and longer production times, requiring extra handling/service • Significant increases in ship
Slide 12: Operational Update – Environmental & Sustainability
Operational Update – Environmental & Sustainability • Achieved CarbonNeutral® company certification from our external consultant Natural Capital Partners in October 2021 • Encompasses scope 1 & 2 as well as some scope 3 elements, primarily those related to transportation of goods from our Tier 1 sup
Slide 13: Operational Update - Environmental & Sustainability
Operational Update ‐ Environmental & Sustainability • Major project designed to enable customers to easily find an increasing range of products with a variety of verified sustainability, environmental impact and/or workplace culture characteristics • Includes clear information as to why a product is
Slide 14: Outlook
Outlook The recovery in the Group’s financial performance in 2021 has been very encouraging. Most importantly, it was driven by decisions and actions fully aligned with the Group’s strategy, culture and focus on the sustainability of the longer‐term health of the business. Challenges continue with r
Slide 15: Appendices
Appendices Full Year Results 2021 14
Slide 16: 2022 Financial Guidance
2022 Financial Guidance • 2022 revenue split (approximate): H1 45%; H2 55% • 2022 capex c.$6.5m; includes c.$2.0m solar energy project • Depreciation charge c. $4.1m (pre‐IFRS 16) • 2022 effective tax rate c. 25% (2021: 25%) • Share‐based payment (IFRS 2) charge $0.8m in 2022 • Average shares in iss
Slide 17: Results Summary
Results Summary Revenue ($m) Operating profit ($m) 860.8 53.62 738.4 787.3 44.32 627.5 41.28 560.0 30.65 3.97 2017 2018 2019 2020 2021 2017 2018 2019 2020 2021 Basic EPS and dividend per share (cents) Net cash - year end ($m) EPS Divi per share 152.42 41.14 39.77 41.59 125.61 103.15 30.77 80.46 27.4