Premier Investments Limited · ASX:PMV
Premier Investments — Shareholder Meeting (December 2009)
30 slides from Premier Investments's shareholder meeting presentation, Dec 24, 2009
Slide 1: Chairman's Address – Introduction
PREMIER INVESTMENTS LIMITED (A.C.N. 006 727 966) (A.B.N. 64 006 727 966) 24 December 2009 CHAIRMAN’S ADDRESS INTRODUCTION The 2009 financial year has been a year of consolidation for Premier. Consolidation in relation to the successful acquisition and integration of Australasia’s largest specialty r
Slide 2: Chairman's Address: 2009 returns to shareholders
In my 2008 AGM address to you I said that no business would be immune from the effects of the crisis but the Board of Premier believed that we were in a relatively strong position to deal with the challenges. I concluded my 2008 address with these words – “We will be working very hard to deliver out
Slide 3: 2009 Financial Overview
Given this performance the description of 2009 as a year of consolidation might appear to be somewhat understated. But it does describe the very considered and deliberate approach which has been pursued by your Directors. For 2010 and beyond we have now built a solid platform for growth. PREMIER – 2
Slide 4: Balance sheet changes and Just Group
The Premier balance sheet also changed significantly. The prior year’s balance sheet consisted mainly of our cash holdings, the investment in Breville Group and tax liabilities. This year’s balance sheet reflects an operating business with stock, plant and equipment and trade creditors. Our assets a
Slide 5: Just Group strategy through the retail cycle
Board in dealing with all stages of the retail cycle - would best enable the Group to deal with the challenges. The Board and management established a short term strategy designed to ensure profitability could be sustained through this period, including taking immediate steps to reduce our cost base
Slide 6: Commitment to shareholders
At this point I would like to again acknowledge and thank the Just Group management team, led by Jason Murray, the Just Group Board and all of our team members for their commitment and contribution over this first year of new ownership. PREMIER’S COMMITMENT TO SHAREHOLDERS The Premier Board recognis
Slide 7: Dividend reinvestment plan and 2010 priorities
choose, in order to acquire additional shares in Premier with no brokerage or transaction costs. The DRP was fully underwritten thereby guaranteeing our substantial cash reserves were preserved. The Board’s decisions in relation to capital management reflect the balance between rewarding our shareho
Slide 8: 2010 priorities: Just Group and acquisitions
potential acquisitions will deliver synergies with Just Group, however, we will look at any acquisition in the retail/wholesale sectors that the Board considers will create long-term value for shareholders. Third, we have an exceptional group of people on the Premier Board with deep experience of al
Slide 9: New appointments and acquisition discipline
New appointments are being made as a part of this process for the Group. For example, we are very pleased to welcome Simon Ratcliffe to the Senior Executive team as the Just Group Operations Director. Simon was formerly Supply Chain and Logistics Director for the large UK retailer, Marks & Spencer,
Slide 10: Outlook
all relevant information to be available before making a decision that will be in the best interests of Premier shareholders. OUTLOOK Let me now turn to the Board’s view of the general economic outlook and current trading for Just Group. The Board remains extremely cautious in relation to the intern
Slide 11: Outlook for Australia and apparel retail
In the absence of external shocks our outlook for Australia is one of cautious optimism. For retailers, anticipated further increases in interest rates are never welcome (especially at Christmas) however we also recognise that the real issue for retailers is the strength of the underlying economy an
Slide 12: Earnings guidance and enhanced board
our AGM. In 2008 the Premier Board did provide AGM earnings guidance for Just Group given the transforming effect the Just acquisition would have on the Premier accounts. The guidance was an anticipated 10% fall in Just Group EBITA. The actual result was a 3% increase on the prior year. While the be
Slide 13: New directors and conclusion
the state of Tasmania with a strong knowledge of both business and regulatory affairs. The Board has been through an exhaustive and lengthy selection process and we are delighted to have Tim and David joining us shortly. CONCLUSION Your Directors believe that the strategy we have pursued – a company
Slide 14: AGM November 2009
AGM 24 November 2009 THE JUST JustJeans | JACQUIE portmans peteralexander dotti ~— smiggias §3=9§ GROUP
Slide 15: Agenda
C:\Program Files\UBS\Pres\Templates\PresPrintOnScreen.pot Agenda 1 Chairman’s Address 2 Resolutions 1
Slide 16: Chairman's Address
C:\Program Files\UBS\Pres\Templates\PresPrintOnScreen.pot 1 Chairman’s Address 2
Slide 17: Premier – Consolidated Income Statement
C:\Program Files\UBS\Pres\Templates\PresPrintOnScreen.pot Premier— Consolidated Income Statement Consolidated period 12 mths ended Premier NPAT up 98% $000’s 1 July 08 – 25 July 09 30 June 2008 Premier Revenues (ex Just Group) 25,465 64,377 Earnings per share up P i E Premier ( Just Expenses (ex J t
Slide 18: Premier – Summarised Consolidated Balance Sheet
C:\Program Files\UBS\Pres\Templates\PresPrintOnScreen.pot Premier—Summarised Consolidated Balance Sheet 25 July 30 June Premier’s strong balance $000’s 2009 2008 sheet gives it capacity and Assets flexibility to pursue growth Cash and cash equivalents 328,670 790,341 and investment I Inventories i 6
Slide 19: Just Group
C:\Program Files\UBS\Pres\Templates\PresPrintOnScreen.pot Just Group 5
Slide 20: FY09 Year in Review
C:\Program Files\UBS\Pres\Templates\PresPrintOnScreen.pot FY09 Year in Review 1st Half 2nd Half Economy • Volatile & uncertain • Improving, with assistance from Gov’t stimulus • Consumer confidence low • Consumer confidence rising Focus Areas • Transformation of Portmans • Portmans transformation be
Slide 21: Just Group Key Operating Metrics
C:\Program Files\UBS\Pres\Templates\PresPrintOnScreen.pot Just Group Key Operating Metrics FULL YEAR 2009 2008 CHANGE Stores (year end) No. 926 885 +41 Retail Space Sqm 134,325 129,356 +3.8% 3.8% Sales $’000’s 844,853 812,846 +4.0% LFL sales growth % -1.6% -0.3% Gross Profit margin % 59.3% 59.5% -21
Slide 22: Commitment to Shareholders
C:\Program Files\UBS\Pres\Templates\PresPrintOnScreen.pot Commitment to Shareholders Committed to delivering value to shareholders: Total FY2009 dividends of 75 cents per share (FY2008: 29c per share) – Fully franked ordinary dividends of 35 cents per share – Fully franked special dividends of 40 ce
Slide 23: Dividends and Capital Management
C:\Program Files\UBS\Pres\Templates\PresPrintOnScreen.pot Dividends and Capital Management The dividends paid to shareholders have steadily increased over the past 7 years. This year’s dividends have continued to reward Premier Shareholders with real wealth creation, with the special dividends repre
Slide 24: Premier Vision
C:\Program Files\UBS\Pres\Templates\PresPrintOnScreen.pot Premier Vision Premier’s 3 core pillars of strength work together to create sustainable value A quality retailer with a balanced portfolio A Just Group of brands and a scalable business model Approximately $329 million cash (at year end) avai
Slide 25: 2010 Priorities
C:\Program Files\UBS\Pres\Templates\PresPrintOnScreen.pot 2010 Priorities Growth and improved returns from each Just Group brand Acquisitions 11
Slide 26: Outlook
C:\Program Files\UBS\Pres\Templates\PresPrintOnScreen.pot Outlook Outlook: encouraging signs but cautious view Current retail environment appears to be gaining strength, although we b li believe it i is i too early l to confidently fid l state that h the h worst is i behind b hi d us Unemployment ra
Slide 27: Just Group - Current Trading
C:\Program Files\UBS\Pres\Templates\PresPrintOnScreen.pot Just Group - Current Trading Just Group trading for the first 17 weeks – Total group retail sales up 6.7% – Total like for like store sales up 2.7% 13
Slide 28: Premier Investments
C:\Program Files\UBS\Pres\Templates\PresPrintOnScreen.pot Premier Investments 14
Slide 29: Agenda
C:\Program Files\UBS\Pres\Templates\PresPrintOnScreen.pot Agenda 1 Financial and operational review 2 R l ti Resolutions 15
Slide 30: Resolutions
C:\Program Files\UBS\Pres\Templates\PresPrintOnScreen.pot Resolutions 1 Remuneration report 2 Election of director 16
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