New Wave Group Ab Class B · OMXSTO:NEWA_B
New Wave Group Ab Class B — Q2 2020 Earnings Presentation
26 slides from New Wave Group Ab Class B's earnings presentation, 2020
Slide 1: Interim Report January - June 2020
ae’ Crow, “ ae* % § 2020 Interim =~ et Januar y - June 2 ah
Slide 2: NWG // The World
NWG / / THE WORLD Sales acitivity in own subsidiary New Wave Group is a growth company that designs, acquires and develops brands. To ensure good risk diversification, the Group will market its products in Own purchasing offices the promo market and the retail market.
Slide 3: Segments and Sales Channels
NWG // S E G M E N T S A N D S A L E S C H A N N E L S Our brands are categorized according to which of our three operating segments it belongs to: Corporate, Sports & Leisure or Gifts & Home Furnishings. The brands are distributed in both the promo market and the retail market to achieve good risk
Slide 4: The Segments: Corporate
NWG // THE SEGMENTS Corporate The vision for the Corporate operating segment is to become the leading supplier of promotional products to corporations in Europe and one of the leading suppliers in the United States by offering companies a broad product range, strong brands, advanced expertise and se
Slide 5: The Segments: Sports & Leisure
——— NWG //THE SEGMENTS lves establishing Craft a. ‘swear brand, and maki -leading golf apparel bri should take a leading po gloves in Europe and we will also use Paris strong distribution platform to launch the other brands in Canada. Overall, we want to be one of the leading sports suppliers, both
Slide 6: The Segments
a % us a Na WATE SEGMENTS Ss
Slide 7: The Quarter at a Glance
NWG // THE QUARTER The quarter at a glance —S
Slide 8: The Quarter
NWG // THE QUARTER The quarter ¢ Decreased demand - COVID-19 ¢ Shutdown in several countries ° Trading is increasing ¢ Liquidity ° Cost savings
Slide 9: April - June
NWG // F I N A N C I A L I N F O R M A T I O N April - June
Slide 10: Financial Information: Sales April-June 2020
NWG // F I N A N C I A L I N F O R M A T I O N 2020 1 800 1 600 • Sales amounted to SEK 1,314.5 1 400 (1,689.0) million 657.8 1 200 • Sales decreased by 22 % (same in 365.9 local currencies) 1 000 800 • Promo sales channel decreased 8 %, retail 44 % 600 948.6 1,031.2 400 200 0 Q2 -2020 Q2 -2019
Slide 11: Financial Information: Sales by Segment
NWG // F I N A N C I A L I N F O R M A T I O N 900 3.9 16.5 800 700 600 500 493.9 400 826.5 794.5 300 200 249.7 100 193.1 147.3 112.4 88.9 43.6 0 33.1 Q2 -2020 Q2 -2019 Q2 -2020 Q2 -2019 Q2 -2020 Q2 -2019
Slide 12: Net Sales by Region and Segment, Apr-Jun
NWG // F I N A N C I A L I N F O R M A T I O N Corporate Sports & Leisure Gifts & Home Total Furnishings SEK million Apr - Jun Apr - Jun Apr - Jun Apr - Jun Apr - Jun Apr - Jun Apr - Jun Apr - Jun Change 2020 2019 2020 2019 2020 2019 2020 2019 % USA 28.5 53.2 136.8 394.9 10.9 11.2 176.2 459.3 -62% S
Slide 13: Income Statement April-June
NWG // F I N A N C I A L I N F O R M A T I O N SEK million Apr – Jun Apr – Jun 2020 2019 2020 Net sales 1 314.5 1 689.0 • Gross profit margin amounted to 39.2 (46.5)% Goods for resale -799.7 -903.3 ― Larger share of trading shipments Gross profit 514.8 39.2% 785.7 46.5% • External costs and personne
Slide 14: Operating Result by Segment, Q2
NWG // F I N A N C I A L I N F O R M A T I O N 2020 120.0 112.0 Corporate ― Higher net sales, several major trading Q2 - 2020 100.0 orders 94.9 ― Increased sales in Southern Europe and Q2 - 2019 80.0 Other countries, decreases in other regions ― Lower gross profit margin 60.0 ― Cost savings 30.8 40.
Slide 15: Cash Flow April-June
NWG // F I N A N C I A L I N F O R M A T I O N SEK million Apr – Jun Apr – Jun 2020 2019 Cash flow from operating activities before changes in working capital 176.0 143.8 Change in working capital 75.5 -134.8 Cash flow from operating activities 251.4 9.0 Investing activities -11.1 -35.6 Cash flow af
Slide 16: January - June
NWG // F I N A N C I A L I N F O R M A T I O N January - June x
Slide 17: Financial Information: Sales January-June 2020
NWG // F I N A N C I A L I N F O R M A T I O N 2020 3 500 • Sales amounted to SEK 2,755.4 3 000 (3,193.9) million 2 500 1,252.0 • Sales decreased by 14 % (15% in local 915.8 currencies) 2 000 • Promo sales channel decreased 5 %, 1 500 retail 27 % 1 000 1,941.8 1,839.6 500 0 Jan - jun 2020 Jan - jun
Slide 18: Sales by Segment, January-June
NWG // F I N A N C I A L I N F O R M A T I O N 1 800 9.5 30.1 1 600 1 400 1 200 1 000 800 961.8 1,531.9 1,505.1 600 672.0 400 200 368.0 234.3 260.2 251.8 0 55.8 68.7 Jan - jun 2020 Jan - jun 2019 Jan - jun 2020 Jan - jun 2019 Jan - jun 2020 Jan - jun 2019
Slide 19: Net Sales by Region and Segment, Jan-Jun
NWG // F I N A N C I A L I N F O R M A T I O N Corporate Sports & Leisure Gifts & Home Total Furnishings SEK million Jan - Jun Jan – Jun Jan – Jun Jan – Jun Jan – Jun Jan – Jun Jan – Jun Jan – Jun Change 2020 2019 2020 2019 2020 2019 2020 2019 % USA 81.8 105.9 429.6 707.1 23.5 22.0 534.9 835.0 -36%
Slide 20: Income Statement January-June
NWG // F I N A N C I A L I N F O R M A T I O N SEK million Jan – Jun Jan – Jun 2020 2019 2020 Net sales 2 755.4 3 193.9 • Gross profit margin amounted to 41.6 (46.8)% Goods for resale -1 609.9 -1 698.6 ― Larger share of trading shipments Gross profit 1 145.5 41.6% 1 495.3 46.8% ― Lower gross profit
Slide 21: Operating Result by Segment, Jan-Jun
NWG // F I N A N C I A L I N F O R M A T I O N 2020 200.0 Corporate ― Net sales in line with the previous year 137.0 149.9 ― Several major trading orders 150.0 ― Increased sales in Southern Europe and Jan-Jun 2019 Jan-Jun 2020 Other countries, decreases in other regions 100.0 ― Lower gross profit ma
Slide 22: Cash Flow January-June
NWG // F I N A N C I A L I N F O R M A T I O N SEK million Jan - Jun Jan – Jun 2020 2019 Cash flow from operating activities before changes in working capital 113.0 193.1 Change in working capital 253.0 -249.2 Cash flow from operating activities 366.0 -56.1 Investing activities -41.7 -73.9 Cash flow
Slide 23: Key Ratios
NWG // F I N A N C I A L I N F O R M A T I O N Apr – Jun Apr – Jun Jan – Jun Jan – Jun 2020 2019 2020 2019 Net sales growth, % -22.2 10.9 -13.7 14.2 Number of employees 2 152 2 597 2 152 2 597 Gross profit margin, % 39.2 46.5 41.6 46.8 Operating margin before depreciations, % 12.8 10.2 7.4 8.4 Opera
Slide 24: CEO Comments
NWG // C E O C O M M E N T S April – June • Decreased demand due to the COVID-19-crisis. Shutdowns in several countries, but increase of trading orders. • Operating result decreased to SEK 110.1 (119.6) million, but improved operating margin. • Concrete and swift actions regarding cost savings and l
Slide 25: Message to investors
NWG // We strive to make everyone who buys our products a happy customer. [f you choose to incest in New Wave Group we want you to know that we promise to take care of your investment in the best possible way we can through long term thinking, growth, stability and hard work!
Slide 26: NWG //
NWG //