Airea Plc · LSE:AIEA
Airea — H1 2024 Earnings Presentation
14 slides from Airea's earnings presentation, September 2024
Slide 1: Interim 2024 results
Interim 2024 results September 2024 UK design-led specialist flooring company
Slide 2: Key highlights
Key highlights Strong start to third quarter Business transformation progressing well Major investment on track for completion in early 2025 Review of Group’s stockholding policy underway The Group’s sustainability principles fully embedded Successful launch of carbon-neutral products ar
Slide 3: Financial overview
Financial overview Conleth Campbell CFO osaka®® balance collection UK design-led specialist flooring company 3
Slide 4: Financial highlights
Financial highlights Group revenue Operating profit before valuation gain Profit/(loss) before tax £9.3m £0.2m £(0.1)m 2023: £9.8m 2023: £0.8m 2023: £0.6m EBITDA Cash and cash equivalents Net cash £0.6m £2.8m £1.3m 2023: £1.1m 2023: £4.9m 2023: £2.7m UK design-led specialist flooring company 4
Slide 5: Business transformation progressing well
Business transformation progressing well £m 2024 2023 % Change • Sales down 5.6% following weak second quarter Sales 9.3 9.8 (5.6%) • Operating profit impacted by; Operating costs (9.3) (9.3) - • sales slowdown in second quarter • non-recurring costs with new investment Other operating income 0.2 0.
Slide 6: Cash flow – investment in new facility on track
Cash flow – investment in new facility on track £’000 2024 2023 EBITDA 622 1,140 Working capital (1,625) (515) • Major investment on course for completion in early 2025 Net capital expenditure (1,293) (872) • Working capital increase relates to inventory due to Operating cash flow (2,296) (247) weak
Slide 7: Financing
Financing £m 2024 2023 Cash and cash equivalents 2.8 4.9 Coronavirus Business Interruption Loan (1.1) (1.6) Business loan (0.4) (0.6) Net cash 1.3 2.7 • CBILS final payment May 2026 • Business loan final payment June 2026 • Uncommitted overdraft facility of £1.0m • Investment property to be divested
Slide 8: Business overview and strategy update
Business overview and strategy update Médéric Payne CEO snowfall® UK design-led specialist flooring company 8
Slide 9: Driving transformational change
Driving transformational change Strategic review of entire product range Key product ranges refreshed Lead time to market reduced by five months Launch of carbon neutral products Refresh of low carbon products Revised strategy developed and communicated sustainability principles fully
Slide 10: Competitive advantage – building a platform for success
Competitive advantage – building a platform for success Continued investment in innovation and new product development Strong working relationships with customers New channels of B2B being developed Unparalleled service reputation in market Long established brand In-house manufacturing w
Slide 11: Investing for future growth
Investing for future growth Major investment in manufacturing facility on course for completion in Q1 2025 Delivering significant increase in capacity Automation of certain processes using the latest cutting-edge Artificial Intelligence imagery and inspection technology Further enhance the G
Slide 12: Summary
Summary Established brand in a stable marketplace with high barriers to entry due to in-house manufacture, low-cost base and high service proposition Innovative and sustainably designed products focused on meeting customers’ needs Significant increase in capacity online early 2025 to manage co
Slide 13: Disclaimer
Disclaimer For the purposes of this document, the presentation that follows (the "Presentation") shall mean and include the slides that follow, any oral briefing provided by Airea plc (the "Company") in connection with these slides, any question and answer session that follows that oral presentation
Slide 14: www.aireaplc.co.uk
www.aireaplc.co.uk UK design-led specialist flooring company 14