Slide 1: FY2015 Results Presentation
For personal use only Beacon Lighting Group Limited FY2015 RESULTS PRESENTATION AUGUST 2015
Slide 2: Disclaimer
DISCLAIMER For personal use only The Presentation contains “forward-looking statements”. All statements other than those of historical facts included in the Presentation are forward-looking statements. Where the Company expresses or implies an expectation or belief as to future events or results, su
Slide 3: Contents
CONTENTS For personal use only 1 RESULTS OVERVIEW 2 FY2015 KEY STRATEGIES 3 TRADING PERFORMANCE 4 CASH FLOW, BALANCE SHEET, DIVIDEND 5 GROWTH STRATEGIES 6 FY2016 OUTLOOK 7 QUESTIONS 3
Slide 4: Please Note
For personal use only PLEASE NOTE For the purposes of this presentation, please note the following: • FY2015 was for the 52 weeks ending 28 June 2015 • FY2014 was for the 52 weeks ending 29 June 2014 • FY2013 based on the pro forma historical results as presented in the prospectus • FY2012 based on
Slide 5: Results Overview
For personal use only 1 RESULTS OVERVIEW
Slide 6: FY2015 Highlights
1 FY2015 HIGHLIGHTS For personal use only • Record sales and record profit results • Sales increased by $29.0m, 19.3% ahead of last year • Company store comparative sales increase of 10.4% • Strong gross profit dollar increase of 20.1% • Opened seven new company stores, purchased one franchise store
Slide 7: Year-on-Year Result
1 YEAR-ON-YEAR RESULT For personal use only $ Inc / Dec % Inc / Dec #039;000 FY2014 FY2015 on Last Year on Last Year Sales 150,338 179,386 29,048 19.3% Gross Profit 96,660 116,041 19,381 20.1% Gross Profit Margin 64.3% 64.7% Other Income 5,521 3,949 (1,572) (28.5%) % of Sales 3.7% 2.2% Operating Expens
Slide 8: Half-Year Split YoY
1 HALF-YEAR SPLIT YOY For personal use only $ Inc / Dec % Inc / Dec $ Inc / Dec % Inc / Dec #039;000 H1 FY2014 H1 FY2015 H2 FY2014 H2 FY2015 on Last Year on Last Year on Last Year on Last Year Sales 74,497 90,829 16,332 21.9% 75,841 88,557 12,716 16.8% Gross Profit 49,145 58,247 9,102 18.5% 47,515 57,7
Slide 9: FY2015 Key Strategies
For personal use only 2 FY2015 KEY STRATEGIES
Slide 10: Stores Update
2 STORES UPDATE 1 For personal use only FY2015 Store Movements: • Opened seven new company stores at Mittagong (NSW), Coburg (VIC), Port Macquarie (NSW), Camberwell (VIC), Churchill (SA), Pakenham (VIC) and Ipswich (QLD) • Purchased the Fountain Gate (VIC) franchise store and converted it to a compa
Slide 11: Latest Products
2 LATEST PRODUCTS For personal use only Latest fashion, trend and technology advanced products for our customers 11
Slide 12: Merchandise Updates
2 MERCHANDISE UPDATES For personal use only Innovative merchandise displays create greater engagement with our customers 12
Slide 13: Omni Channel
2 OMNI CHANNEL For personal use only www.beaconlighting.com.au • Online sales grew by 32.2% on FY2014 • Unique website visitations grew by 29.3% on FY2014 to an average of 60,000 per week • C ontinued to leverage the benefits of a strong online presence combined with SHOP ONLINE & COLLECT IN-STORE o
Slide 14: Other Strategies
2 OTHER STRATEGIES For personal use only • V IP customers have grown to 104,000 • Opened a new Commercial Sales Office in Perth (WA) • New product releases, price management and stock control have contributed to the gross profit increases • Increased product supply through the 3PL network up to 22.9
Slide 15: Trading Performance
For personal use only 3 TRADING PERFORMANCE
Slide 16: Sales
3 SALES For personal use only Sales: +19.3% to $179.4m • A nother record sales result, increased by 19.3% • Sales increase in H1 +21.9% and H2 +16.8% • Online sales grew by 32.2% • Sales to trade customers increased by 26.6% Sales $m Sales Increase % 179.4 21.9% 19.3% 150.3 132.9 16.8% 120.6 FY2012
Slide 17: Company Store Comparative Sales
3 COMPANY STORE COMPARATIVE SALES For personal use only Comparative Sales: +10.4% Increase • C ompany stores comparative sales growth was very strong • Comparative increase for FY2015 was 10.4% • Comparative increase in H1 FY15 was 11.7% and H2 FY15 was 9.6% • Outstanding comparative results achieve
Slide 18: Gross Profit
3 GROSS PROFIT For personal use only Gross Profit $: +20.1% Increase • Gross profit $ increased in FY2015 by 20.1%, H1 FY2015 by 18.5% and in H2 FY2015 by 21.6% • Gross profit margin for FY2015 was 64.7%, for H1 FY2015 was 64.1% and H2 FY2015 was 65.3% • S trong result due to innovative new product
Slide 19: Other Income
3 OTHER INCOME For personal use only Other Income: -28.5% to $3.9m • Core marketing and royalty income continues to decline as franchise stores are acquired and converted into company operated stores • FY2014 other income was supported by customs duty refund of $1.2m Other Income $m 5.5 5.4 4.6 3.9
Slide 20: Operating Expenses
3 OPERATING EXPENSES For personal use only Opex: Down 300BPS to $92.6m • Operating expenses decreased by 3.0% of sales compared to FY2014 • Productivity gains realised across all operating expense types • Significant one off expenses of $1.3m in FY2014 • Income tax expense reduced by $347k due to on
Slide 21: Earnings
3 EARNINGS For personal use only EBITDA: +36.4% to $27.4m EBITDA $m 27.4 EBIT: +38.6% to $25.0m 20.1 EBIT Margin: +2.0% of sales to 14.0% of sales 16.6 15.9 NPAT: +43.6% to $16.9m FY2012 FY2013 FY2014 FY2015 EBIT $m EBIT Margin NPAT $m 25.0 14.0% 16.9 12.0% 11.6% 18.1 11.8 10.9% 14.5 9.5 14.0 9.3 FY
Slide 22: Cash Flow, Balance Sheet, Dividends
For personal use only 4 CASH FLOW, BALANCE SHEET, DIVIDENDS
Slide 23: Cash Flow
4 CASH FLOW For personal use only Capital Expenditure $5.5m #039;000 FY2014 FY2015 • New Stores Capex $2.5m Cash flow from Operations • Major Refits $1.0m Receipts from customers 167,236 201,208 Payment to suppliers & employees (144,612) (184,439) • Information Tech. $0.7m Other (892) (1,119) • Other S
Slide 24: Balance Sheet
4 BALANCE SHEET For personal use only #039;000 FY2014 FY2015 Cash 11,427 11,779 Debtors Receivables 8,217 7,017 • Franchise $3.6m Inventories 32,194 44,656 • Commercial $2.4m Other 365 997 Total Current Assets 52,203 64,449 Payables PPE 16,818 19,121 • Trade Creditors $5.9m Intangible 4,125 5,085 Other
Slide 25: Dividends
4 DIVIDENDS For personal use only • Paid 1.8 cents per share for H1 FY2015 • Declared a 2.4 cents per share for H2 FY2015 • Total of 4.2 cents per share for FY2015 • All dividends are fully franked • Record date 4th September 2015 • Payment date 25th September 2015 • Future payout ratio expected to
Slide 26: Growth Strategies
For personal use only 5 GROWTH STRATEGIES
Slide 27: Growth Strategies
5 GROWTH STRATEGIES For personal use only GROWTH STRATEGY DETAIL UPDATE NEW STORE ROLLOUT Target six new stores per year • Target six new stores dependant upon suitable sites, negotiations and availability. • Independent analysis conducted showing growth for additional locations for the foreseeable
Slide 28: Growth Strategy Update
5 GROWTH STRATEGY UPDATE For personal use only GROWTH STRATEGY DETAIL UPDATE TECHNOLOGY Energy efficiency is driving • Research and develop the latest in technologically advanced lighting, globes and ceiling fans. IN LIGHTING rapid development of LED • Bring appropriate technologies to market. techn
Slide 29: FY2016 Outlook
For personal use only 6 FY2016 OUTLOOK
Slide 30: FY2016 Outlook
6 FY2016 OUTLOOK For personal use only Beacon Lighting • Company store comparative sales have made a positive start to the year • Maribyrnong (VIC), Fairfield (QLD) and Preston (VIC) stores to open in FY2016. Major refurbishment planned for Osborne Park (WA) • Acquire the Essendon (VIC) and Watergar
Slide 31: Questions
For personal use only 7 QUESTIONS