Slide 1: Half Year Results 2023
Half Year Results 2023 Presented by Stewart Gilliland, Paul Bal & Lance Burn 30GROUP IG DESIGN November 2022 PLC 2021 FULL YEAR 1 RESULTS PRESENTATION
Slide 2: HY2023 Developments
HY2023 DEVELOPMENTS Results Customers, Channels, Product DG Americas • Revenue up 8% • Accelerated ordering to • Revenue up 7% driven by • Both divisions grew revenue ensure availability strong seasonal sales • Margins and profits up • Strong customer • Progress with turnaround • Working capital and
Slide 3: HY2023 Financial Summary
HY2023 FINANCIAL SUMMARY Revenue ($m) Adjusted EBITDA ($m) Adjusted PBT1 ($m) Net debt ($m) 521.2 130.0 483.9 47.2 46.8 27.7 27.4 434.6 24.2 40.2 106.1 22.9 35.3 20.3 309.2 73.7 270.9 27.2 58.8 23.2 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 •
Slide 4: Category Performance
CATEGORY PERFORMANCE Revenue by product category HY2023 HY2022 Revenue by season HY2023 HY2022 Celebrations 64% $333.4m 64% $311.6m Christmas 50% $258.8m 46% $222.1m Craft & creative play 15% $80.0m 15% $73.2m Minor seasons 5% $26.6m 4% $21.7m Stationery 6% $28.9m 5% $24.4m Gifting 9% $45.4m 9% $42.
Slide 5: Profit & Loss
PROFIT & LOSS HY2023 HY2022 Reported Adjusting Adjusted Reported Adjusting Adjusted Items Items $m $m $m $m $m $m Revenue HY2023 HY2022 Growth Revenue 521.2 - 521.2 483.9 - 483.9 $m $m % DG Americas 373.4 347.5 7% Gross profit 86.6 - 86.6 78.6 (0.1) 78.5 DG International 149.4 136.9 9% 16.6% 16.6% 1
Slide 6: Adjusted Operating Profit Evolution
ADJUSTED OPERATING PROFIT EVOLUTION Note that the credit/charge associated with share-based payments is no longer treated as an adjusting item and therefore appears within both the reported and adjusted results. Prior years have been re- stated to include the impact of this change in accounting pres
Slide 7: Cash Flow
CASH FLOW HY2023 HY2022 Working capital analysis $m $m HY2023 HY2022 Adjusted EBITDA 46.8 40.2 $m $m Add back for share based payment (credit)/charge 0.3 (0.4) Total Total Receivables (146.8) (169.7) Movements in working capital (136.3) (152.4) Inventory (48.1) (85.8) Adjusted cash utilised by opera
Slide 8: DG Americas Update
DG AMERICAS UPDATE Commercial • 7% revenue increase – and is over 70% of Group • Driven by acceleration of seasonal ordering and sales (+12% décor, cards and “trim a package”) as customer de-risk supply chains and ensure availability • Craft sales recovering from a post-Covid-19 slide • Margin rebui
Slide 9: Turning Around Our Americas Business: Progress
TURNING AROUND OUR AMERICAS BUSINESS: PROGRESS Simplification Efficiency Margin • Clearer category • Streamlining and • Focus on higher margin architecture aligning end-to-end business, exit from no / • Category-focused operations to better low margin accounts and commercial teams support the commer
Slide 10: DG International Update
DG INTERNATIONAL UPDATE Commercial • 9% revenue increase, with all key markets across Europe, UK and Australia contributing • Driven by acceleration of seasonal ordering and sales: giftwrap and crackers • Margin rebuilt through “catch-up” pricing and range redevelopment to offset continued high infl
Slide 11: Summary and Outlook
SUMMARY AND OUTLOOK Summary • Strong start to FY2023 due to accelerated ordering and sales means strong H1 weighting, and reduced full-year delivery risk • Catch-up pricing and product redevelopment has allowed some margin recovery • Good progress with DG Americas turnaround • Strong working capital
Slide 12: Appendix
APPENDIX 12. IG DESIGN GROUP PLC 2023 HALF YEAR RESULTS PRESENTATION
Slide 13: Largest Shareholders
LARGEST SHAREHOLDERS(a) Hedlund Family(b) Octopus Canaccord WM (C) Fidelity 23.39% 11.39% 10.20% 8.65% Rowan Dartington Tellworth Hauck & Close Brothers 6.12% 4.98% Aufhaeuser 2.52% 2.55% (a) Information taken from Equiniti Share Register Analysis 31 October 2022 (b) The Hedlund Family’s beneficial
Slide 14: Alternative Performance Measures
ALTERNATIVE PERFORMANCE MEASURES A full reconciliation between our adjusted and reported results is provided below: HY2023 HY2022 $m $m Reported operating profit 35.1 21.4 Depreciation and impairment of property, plant and equipment 6.4 6.9 Depreciation and impairment of right of use assets 8.8 6.8