Pet Valu Holdings Ltd. · TSX:PET
Pet Valu — Q3 2022 Earnings Presentation
15 slides from Pet Valu's earnings presentation, Oct 1, 2022
Slide 1: Q3 2022 Financial & Operating Review
Q3 2022 Financial & Operating Review For 13 week period ended October 1, 2022
Slide 2: Disclaimers
Disclaimers Forward-Looking Information This presentation contains forward-looking information. Forward-looking information is provided as of the date of this presentation and is based on management’s opinions, estimates and assumptions in light of its experience and perception of historical trends,
Slide 3: Today's Presenters
Today’s Presenters Richard Maltsbarger Jim Grady President & Chief Executive Officer Chief Financial Officer 3
Slide 4: Our Mission
Our Mission To be Canada’s preferred pet retailer delivering the products, care, expertise, and memorable moments that devoted pet lovers want… locally in stores and everywhere online 4
Slide 5: Our Long-Term Growth Formula
Our Long-Term Growth Formula Expand Our Drive Same-Store Enhance 1 Store Network 2 Sales Growth 3 Operating Margins Opportunity to grow store Build on proven strategies Leverage investments count to 1,200+ & growing digital channels in modernizing systems Underpinned by the Resilient & Growing Canad
Slide 6: Q3 2022 Highlights
Q3 2022 Highlights +15% $245M +12% Same-Store Sales Revenue Adjusted EBITDA Growth (+22% vs. Q3 2021) Growth (traffic +7.6%; (to $57.0M) basket +6.6%)1 13 4 Launched AutoShip Renovations, New Store Pet Valu’s Expansions, subscription-based Openings (32 opened YTD) or Relocations service (20 complete
Slide 7: Looking Ahead
Looking Ahead Expand Our Drive Same-Store Enhance 1 Store Network 2 Sales Growth 3 Operating Margins Open 40-45 new stores in 2022 Optimizing omni-channel Navigating confluence of process and experience to drive inflationary pressures in fuel, Good progress on filling new efficiency & effect
Slide 8: Q3 2022 Key Financial Metrics
Q3 2022 Key Financial Metrics Q3 2022 vs. PY2 Drivers System-Wide Sales $331.6 +28.3% •• Strong SSSG, 44 new stores in LTM and Chico acquisition Excluding Chico, System-Wide Sales up 18% Same-Store Sales Growth +14.7% --- • Traffic1 +7.6% and basket1 +6.6% Revenue $244.7 +21.9% • Excl. Chico, revenu
Slide 9: Q3 2022 Key Financial Metrics
Q3 2022 Key Financial Metrics Cash Long-term Debt Net Leverage Ratio1 $47.8M $339.7M 1.8x plus $130M available down from 2.0x in Q2 2022 on revolver Inventory Free Cash Flow Net Capital Expenditures2 $136.0M $19.9M $17.3M YTD +54% vs. Q3 2021 1 Net Leverage Ratio = Net Debt (incl. leases) / LTM Adj.
Slide 10: 2022 Outlook
2022 Outlook Updated Prior SSSG +15.5-16.5% +13-15% New Stores 40-45 35-45 Revenue $938-947M $912-928M Adjusted EBITDA $212-214M $203-207M Adjusted Net Income $1.56-1.58 $1.47-1.51 per Diluted Share Capital Expenditures1 $35-40M $35-40M 1 Net of (i) proceeds on disposal of property and equipment, an
Slide 11: Appendix
Appendix petvalu Plog’ pasleys Tel We Totalret hic Pets &
Slide 12: Reconciliation of Adjusted EBITDA
Reconciliation of Adjusted EBITDA Quarters Ended Oct. 1, 2022 Oct. 2, 2021 (13 weeks) (13 weeks) Net income $26,986 $24,349 (1) Represents discrete, project-based implementation costs associated with new information technology systems and discrete Software-as-a-Service (“SaaS”) arrangements for tran
Slide 13: Reconciliation of Adjusted Net Income
Reconciliation of Adjusted Net Income Quarters Ended Oct. 1, 2022 Oct. 2, 2021 (13 weeks) (13 weeks) Net income $26,986 $44,294 (1) Represents discrete, project-based implementation costs associated with new information technology systems and discrete SaaS arrangements for transformational initiativ
Slide 14: Reconciliation of Free Cash Flow
Reconciliation of Free Cash Flow Quarters Ended Oct. 1, 2022 Oct. 2, 2021 (13 weeks) (13 weeks) Cash provided by operating activities $33,824 56,441 Cash (used in) provided by investing activities 1,638 4,575 Repayment of principal on lease liabilities (12,026) (11,361) Interest paid on lease liabil
Slide 15: Thank You
Contact Us: Thank You investors@petvalu.com (289) 806-4559 15