Cp All Public Company Limited · SET:CPALL

Cp All Public — Q2 2015 Earnings Presentation

30 slides from Cp All Public's earnings presentation, August 2015

  1. Slide 1: CP ALL Public Company Limited 2Q15 Presentation Results

    CP ALL Public Company Limited 2Q15 : Presentation Results August 2015 1

  2. Slide 2: Financial Highlight

    Financial Highlight Unit : Million Baht 2Q14 2Q15 % Chg 1H14 1H15 % Chg Company Only Total Revenue 57,675 63,506 +10.1% 111,354 121,956 +9.5% Net Profit 2,422 3,599 +48.6% 4,207 5,610 +33.3% Unit : Million Baht 2Q14 2Q15 % Chg 1H14 1H15 % Chg Consolidated Total Revenue 92,134 100,676 +9.3% 181,460 1

  3. Slide 3: Business Segment Performance

    Business Segment Performance CVS & Others and Cash & Carry Revenue Contribution Earnings Before Tax Contribution 1H15 - Total revenue before elimination 1H15 - Earnings before tax before elimination Baht 213,093 million Baht 10,529 million Cash & Cash & Carry, 31% Carry, 37% CVS & Others, CVS & 63%

  4. Slide 4: Serving Convenience, Beside Every Community

    Serving Convenience, Beside Every Community “Every Meal at 7-Eleven” 4

  5. Slide 5: Upcoming Promotional Campaign

    Upcoming Promotional Campaign Consistent sales promotion throughout the year “ RILAKKUMA” Stamp Campaign Customers spend up to Baht 50 per ticket, entitling to get RILAKKUMA stamp valued of Baht1 or spend on a wide range of product items participating in the campaign to get additional stamp Baht 3.

  6. Slide 6: Store Types Breakdown

    Store Types Breakdown Continued stores expansion BKK & Suburban / Provincial Corporate / Franchise / Sub-area Stores Stores 8,127 8,334 8,469 8,127 8,334 8,469 8% 7,429 7,429 644 650 6,822 641 6,822 588 518 4,479 4,605 4,704 3,916 4,006 4,073 48% 3,645 4,034 56% 3,593 3,320 3,395 3,648 3,729 3,765 4

  7. Slide 7: Same store sales growth

    Same store sales growth Gradual improvement on SSSG 2Q15 Average daily sales / store 78,358 Baht 2009 2010 2011 2012 2013 2014 1Q15 2Q15 SSS Growth +9.7% +9.9% +4.8% +13.0% +5.7% -2.6% +0.3% +1.1% Spending per Ticket No. of Customers per Store per Day Baht Customers 62 63 62 62 63 62 1,294 1,252 1,2

  8. Slide 8: Product Sales Mix and Gross Margin Mix

    Product Sales Mix and Gross Margin Mix Maintained overall gross margin YoY Product Sales Mix (excl. T&E) 27.5% 27.7% 27.8% 26.8% 28.0% 27.5% Food Services i.e. RTE 72.5% 72.3% 72.2% 73.2% 72.0% 72.5% Processed Food Beverage 2013 2014 1Q14 2Q14 1Q15 2Q15 Foods Non Foods Gross Margin Mix (excl. T&E) 2

  9. Slide 9: SG&A Expenses

    SG&A Expenses Stable % SG&A to total revenue 250,000 2Q15 SG&A Expenses-to-Total Revenue 30.0% 2Q15 SG&A Expenses Breakdown (Unit: Million Baht) Consolidated 200,000 25.0% Others ** Advertising 16.3% 150,000 20.7% 12.0% 18.5% 18.4% 18.3% 18.4% 20.0% 17.3% Rental 100,000 8.1% Personnel 68,809 58,954

  10. Slide 10: Financial Performance - Consolidated

    Financial Performance - Consolidated Continued posting decent growth of operating and net profits Total Revenue Total Costs (Unit: Million Baht) (Unit: Million Baht) 371,301 350,253 284,670 269,611 +9.3% YoY +8.9% YoY 89,326 92,134 98,781 100,676 84,582 86,916 92,230 94,625 2013 2014 1Q14 2Q14 1Q15

  11. Slide 11: Financial Performance – Company Only

    Financial Performance – Company Only Decent growth of operating profits and lower finance charges Total Revenue Total Costs (Unit: Million Baht) (Unit: Million Baht) 217,495 228,996 203,667 211,289 +10.1% YoY +9.0% YoY 53,685 57,675 58,450 63,506 50,341 52,705 53,893 57,470 2013 2014 1Q14 2Q14 1Q15

  12. Slide 12: Profitability Ratios - Consolidated

    Profitability Ratios - Consolidated Enhanced all margins YOY Gross Margin (Sales & Services) EBIT Margin 22.6% 21.3% 21.3% 21.4% 21.7% 20.9% 5.7% 5.7% 6.6% 6.0% 5.3% 5.3% 2013 2014 1Q14 2Q14 1Q15 2Q15 2013 2014 1Q14 2Q14 1Q15 2Q15 EBITDA Margin Net Margin 8.4% 7.4% 7.3% 7.8% 6.9% 7.0% 3.7% 3.5% 3.1%

  13. Slide 13: Profitability Ratios – Company Only

    Profitability Ratios – Company Only Enhanced all margins Gross Margin (Sales & Services) EBIT Margin 27.7% 27.4% 27.9% 27.7% 28.0% 26.3% 8.6% 9.5% 7.7% 7.8% 6.4% 6.2% 2013 2014 1Q14 2Q14 1Q15 2Q15 2013 2014 1Q14 2Q14 1Q15 2Q15 EBITDA Margin Net Margin 11.2% 10.3% 9.5% 9.6% 7.9% 8.0% 5.7% 4.7% 4.2% 3

  14. Slide 14: Leverage Ratios – Consolidated

    Leverage Ratios – Consolidated Lower equity due to annual dividend paid temporary pulled up leverage ratio Targeted Net Debt to EBITDA Targeted Net Debt to Equity Targeted Net Debt to EBITDA < 3 times Targeted Net Debt to Equity < 2 times 8.1x 5.9x 6.1x 6.7x 4.9x 4.7x 5.1x 5.5x 3.0x 2.0x 2013 2014 1

  15. Slide 15: Working Capital – Consolidated

    Working Capital – Consolidated Negative cash cycle days Inventory Days Account Payable Days (Unit: Days) (Unit: Days) 27.1 26.5 26.7 25.1 23.7 24.6 75.5 73.6 66.0 61.5 66.1 60.6 2013 2014 1Q14 2Q14 1Q15 2Q15 2013 2014 1Q14 2Q14 1Q15 2Q15 Cash Cycle Days Cash (Unit: Days) (Unit: Million Baht) 2013 20

  16. Slide 16: Working Capital – Company Only

    Working Capital – Company Only Negative cash cycle days Inventory Days Account Payable Days (Unit: Days) (Unit: Days) 23.0 22.1 22.6 21.2 20.5 21.3 64.6 69.5 65.1 61.9 64.2 60.8 2013 2014 1Q14 2Q14 1Q15 2Q15 2013 2014 1Q14 2Q14 1Q15 2Q15 Cash Cycle Days Cash (Unit: Days) (Unit: Million Baht) 2013 20

  17. Slide 17: Key Performance Ratios

    Key Performance Ratios Improved ROAA and ROAE Consolidated Statement ROAA ROAE 17.3% 15.5% 40.8% 45.5% 41.6% 47.0% 37.6% 34.1% 3.5% 3.2% 4.3% 4.2% 2011 2012 2013 2014 1Q15 2Q15 2011 2012 2013 2014 1Q15 2Q15 Company Only Statement ROAA ROAE 17.3% 15.6% 42.4% 48.0% 42.3% 49.0% 33.8% 29.2% 4.0% 3.3% 3.

  18. Slide 18: Future and CAPEX plan

    Future and CAPEX plan Continued store expansion and supporting infrastructure 7-Eleven Stores Expansion 2015 Projected CAPEX Thailand MB Plan to open approx. 600 stores in 2015 Stores expansion 2,800 – 2,900 Milestone: 10,000 stores in 2018 Stores renovation 1,300 – 1,400 Investment in subsidiaries

  19. Slide 19: Appendix

    Appendix

  20. Slide 20: Share Capital Information

    Share Capital Information Major Shareholders (as of Mar 10, 2015) Price (Aug 5, 2015) : Bt 48.75 - Charoen Pokphand Group 10.2% - CPF (subsidiaries) 31.2% Hi/Low (12-month) : Bt 49.25/37.50 per share - Thai NVDR 4.2% - State Street Bank Europe Limited 3.2% Avg. daily turnover : 605.20 MB - J.P. Morg

  21. Slide 21: Group Structure of CPALL

    Group Structure of CPALL As of Jun 30, 2015 99.99% 99.99% 99.99% 99.99% 99.99% 99.99% 99.99% 72.64% 99.99% 99.99% 99.99% 97.88% Counter CPRAM CP Retailink Gosoft MAM Heart Suksapiwat Dynamic Thai Panyatara ALL 24 Makro Service (Thailand) Management Smart Card TRAINING Shopping Thailand 100% Lotus Di

  22. Slide 22: Balance Sheet - Consolidated

    Balance Sheet - Consolidated Unit : Million Baht Restate Restate Balance Sheet 2011 2012 2013 2014 2Q14 2Q15 Cash 14,202 23,085 24,632 32,204 14,860 15,566 I nv entory 8,642 9,148 19,916 22,167 19,609 21,415 Other current assets 13,560 16,621 9,414 10,313 9,306 9,923 Fixed assets 14,994 18,094 71,60

  23. Slide 23: Balance Sheet – Company Only

    Balance Sheet – Company Only Unit : Million Baht Balance Sheet 2011 2012 2013 2014 2Q14 2Q15 Cash 10,804 19,368 15,642 24,864 9,641 10,308 I nv entory 7,901 8,286 9,219 10,242 8,999 10,303 Other current assets 8,780 12,644 6,124 6,346 5,562 5,670 Fixed assets 11,743 13,711 18,343 20,036 19,570 20,98

  24. Slide 24: Income Statement and Cash flow Statement - Consolidated

    Income Statement and Cash flow Statement - Consolidated Unit : Million Baht Restate Restate Income Statement 2011 2012 2013 2014 2Q15 1H15 Net sales 152,210 184,726 266,008 349,464 95,227 188,595 Serv ices income 3,150 3,976 6,277 8,302 2,065 4,251 Other operating income 5,863 8,343 11,835 12,920 3,

  25. Slide 25: Income Statement and Cash flow Statement – Company Only

    Income Statement and Cash flow Statement – Company Only Unit : Million Baht Income Statement 2011 2012 2013 2014 2Q15 1H15 Net sales 150,637 182,942 199,247 208,015 57,443 111,607 Serv ices income 1,436 1,857 2,422 2,761 686 1,380 Other operating income 6,276 8,801 11,958 13,049 3,379 6,563 Other in

  26. Slide 26: Key Performance Ratios – Consolidated

    Key Performance Ratios – Consolidated Financial Ratios 2011 2012 2013 2014 2Q15 1H15 Gross margin (sales & serv ice) (%) 24.8% 25.8% 22.6% 21.3% 21.7% 21.6% Operating margin (%) 6.8% 7.1% 5.3% 5.7% 6.0% 6.3% EBI TDA margin (%) 8.8% 8.8% 6.9% 7.4% 7.8% 8.1% Net margin (%) 4.9% 5.6% 3.7% 2.7% 3.1% 3.3

  27. Slide 27: Key Performance Ratios – Company Only

    Key Performance Ratios – Company Only Financial Ratios 2011 2012 2013 2014 2Q15 1H15 Gross margin (sales & serv ice) (%) 24.3% 25.3% 26.3% 27.7% 28.0% 27.8% Operating margin (%) 6.2% 6.5% 6.4% 7.7% 9.5% 8.7% EBI TDA margin (%) 8.1% 8.0% 7.9% 9.5% 11.2% 10.4% Net margin (%) 4.6% 5.1% 4.7% 3.8% 5.7% 4

  28. Slide 28: Balance Sheet – Makro

    Balance Sheet – Makro Unit : Million Baht Balance Sheet 2011 2012 2013 2014 2Q14 2Q15 Cash 6,288 6,056 5,011 4,564 2,282 1,260 I nv entory 7,212 7,276 9,792 10,628 9,521 9,621 Other current assets 1,085 1,356 1,633 2,214 1,379 1,721 Fixed assets 14,824 16,612 18,211 23,767 20,082 25,286 Other assets

  29. Slide 29: Income Statement & Cash Flow Statement – Makro

    Income Statement & Cash Flow Statement – Makro Unit : Million Baht Income Statement 2011 2012 2013 2014 2Q15 1H15 Net sales 97,153 112,140 126,638 139,271 37,324 76,178 Serv ices income 1,948 2,193 2,449 2,558 611 1,345 Other operating income - - - - - - Other income 568 623 694 704 155 343 Total re

  30. Slide 30: Key Performance Ratios – Makro

    Key Performance Ratios – Makro Financial Ratios 2011 2012 2013 2014 2Q15 1H15 Gross margin (sales) (%) 8.0% 8.4% 8.7% 9.0% 9.1% 9.5% Gross margin (Total rev enue) (%) 10.3% 10.6% 10.9% 11.1% 10.9% 11.4% EBI TDA margin (%) 5.0% 5.2% 5.3% 5.5% 5.2% 5.7% Net profit margin (%) 2.6% 3.1% 3.3% 3.4% 3.1% 3

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