Amer Sports, Inc. · NYSE:AS
Amer Sports — FY2009 Earnings Presentation
24 slides from Amer Sports's earnings presentation, Feb 4, 2010
Slide 1: Full-year 2009 and Q4/09 results
Full-year 2009 and Q4/09 results February 4, 2010
Slide 2: Disclaimer
Disclaimer • Statements in this presentation, which are not historical facts, such as expectations, anticipations, beliefs and estimates, are forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995. Such statements involve risks and uncerta
Slide 3: 2009 Highlights
2009 Highlights • Net sales fell by 4% to EUR 1,533 million (1,577) – Americas -12%, EMEA +3%, Asia Pacific -3% – Winter and Outdoor 0%, Ball Sports -7%, Fitness -15% • EBIT was EUR 43.8 million (78.9) – Challenging operating environment in North America – Results include a one-time charge of EUR 5
Slide 4: Q4/09 Highlights
Q4/09 Highlights • Net sales fell by +1% to EUR 482.8 (495.3) – Americas -6%, EMEA +8%, Asia Pacific -4% – Winter and Outdoor +3%, Ball Sports -8%, Fitness +10% • EBIT was EUR 39.4 million (35.2) and EPS was EUR 0.37 (0.20) • Winter and Outdoor net sales +3%, EBIT grew to EUR 42.5 million (36.7) – L
Slide 5: Winter and Outdoor in 2009
Winter and Outdoor in 2009 MEUR Net sales MEUR EBIT 50 350 40 300 30 250 20 200 10 0 150 -10 100 -20 50 -30 0 -40 Q1/08 Q2/08 Q3/08 Q4/08 Q1/09 Q2/09 Q3/09 Q4/09 Q1/08 Q2/08 Q3/08 Q4/08 Q1/09 Q2/09 Q3/09 Q4/09 • Winter Sports Equipment net sales of EUR 371.7 million at last year’s level – Growth in
Slide 6: Winter and Outdoor outlook 2010
Winter and Outdoor outlook 2010 • Apparel and Footwear continues to extend its direct- to-consumer program and its profitability is expected to remain at a good level • Within Winter Sports Equipment, Cycling and Sports Instruments the focus is on improving gross margins while maintaining tight cost
Slide 7: Ball Sports 2009
Ball Sports 2009 Net sales EBIT MEUR MEUR 160 20 140 18 120 16 14 100 12 80 10 60 8 6 40 4 20 2 0 0 Q1/08 Q2/08 Q3/08 Q4/08 Q1/09 Q2/09 Q3/09 Q4/09 Q1/08 Q2/08 Q3/08 Q4/08 Q1/09 Q2/09 Q3/09 Q4/09 • Racquet Sports net sales of EUR 222.7 million fell by 5% – Sales of tennis rackets fell by 9% whereas
Slide 8: Ball Sports outlook 2010
Ball Sports outlook 2010 • A slight recovery is expected – Retail distribution gains – Assumed restocking due to low trade inventory levels ¾ Ball Sports’ profitability is expected to improve mainly due to gross margin improvements and tight cost control
Slide 9: Fitness 2009
Fitness 2009 MEUR Net sales MEUR EBIT 5 70 4 60 3 50 2 40 1 0 30 -1 20 -2 10 -3 0 -4 Q1/08 Q2/08 Q3/08 Q4/08 Q1/09 Q2/09 Q3/09 Q4/09 Q1/08 Q2/08 Q3/08 Q4/08 Q1/09 Q2/09 Q3/09 Q4/09 • The commercial business (clubs and institutions) fell by 14% – Tightened credit markets and uncertain consumer spendi
Slide 10: Fitness outlook 2010
Fitness outlook 2010 • Near-term the outlook for the industry is uncertain • Sales have became more predictable • Precor has strengthened its position during the downturn through – Continued market penetration of the AMT® – Launch of two new lines of strength equipment – New key international hospit
Slide 11: Financials
Financials he,
Slide 12: Key ratios
Key ratios EUR million Q4/09 Q4/08 Ch % Ch %*) 2009 2008 Ch % Ch %*) Net sales 482.8 495.3 -3 1 1,533.4 1,576.6 -3 -4 Gross profit 196.5 184.3 7 11 620.0 633.0 -2 -4 EBIT 39.4 35.2 12 16 43.8 78.9 -44 -46 Of net sales 8.2 7.1 2.9 5.0 Financing income and expenses -7.1 -11.3 -18.4 -33.3 Earnings befo
Slide 13: Net debt
Net debt 700 600 500 400 Hybrid 300 bond 200 100 -
Slide 14: Gearing, %
Gearing, % 140 120 100 80 60 Hybrid 40 bond 20 - *) FAS
Slide 15: Outlook
Outlook
Slide 16: Outlook for 2010
Outlook for 2010 • Amer Sports does not anticipate a quick recovery of the sporting goods market • Key priority is to improve profitability through gross margin improvements and continued tight cost control • Continued focus on strict working capital management • Capital expenditures and other inves
Slide 17: Q&A Thank you!
AMER SPORTS Q&A Thank you!
Slide 18: Appendix
Appendix
Slide 19: Quarterly sales and EBIT breakdown
Quarterly sales and EBIT breakdown Q4/ Q3/ Q2/ Q1/ Q4/ Q3/ Q2/ Q1/ SALES 2009 2008 2009 2009 2009 2009 2008 2008 2008 2008 Winter and Outdoor 862.6 860.8 329.2 262.4 106.6 164.4 326.6 267.6 104.6 162.0 Ball Sports 476.7 495.5 94.7 103.4 135.7 142.9 110.0 110.6 130.9 144.0 Fitness 194.1 220.3 58.9 44
Slide 20: Business area information
Business area information Q4/ Q4/ Ch Ch Ch Ch MEUR 09 08 % %*) 2009 2008 % %*) Winter Sports Equipment 203.7 196.7 4 6 371.7 378.9 -2 -1 Apparel and Footwear 73.8 73.9 0 2 304.7 277.9 10 11 Racquet Sports 40.9 45.1 -9 -5 222.7 227.0 -2 -5 Fitness Equipment 58.9 58.7 0 10 194.1 220.3 -12 -15 Team Spo
Slide 21: Balance sheet
Balance sheet MEUR Dec. 31, 2009 Dec. 31, 2008 Goodwill and other intangible non-current assets 483.7 486.8 Tangible non-current assets and other non-current assets 209.3 201.2 Inventories and work in progress 234.6 346.0 Receivables 475.4 555.8 Cash and cash equivalents 121.6 72.1 Shareholders’ equ
Slide 22: Debt breakdown as of December 31, 2009
Debt breakdown as of December 31, 2009 Debt EUR 404.1 million Commer. Synd. credit Pension Type of debt Other Bank loan Bond Other papers facility*) loan EUR million 112 9 69**) 110 75 26 3 Share of debt, % 28 2 17 27 19 6 1 Maturity < 6 months 2010 2011, 2012 2011, 2012 2011 < 1 year > Committed cr
Slide 23: Contact information
Contact information • Mr Pekka Paalanne, Acting President and CEO tel. +358 9 7257 8212 • Mr Tommy Ilmoni, Vice President, IR and Corporate Communications tel. +358 9 7257 8233, tommy.ilmoni@amersports.com ¾ www.amersports.com
Slide 24: AMER SPORTS
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