Bang & Olufsen A/s · OMXCOP:BO
Bang & Olufsen A/s — Q3 2010/11 Earnings Presentation
19 slides from Bang & Olufsen A/s's earnings presentation, Apr 13, 2011
Slide 1: Bang & Olufsen a/s Interim report Q3 2010/11
Bang & Olufsen a/s Interim report Q3 2010/11 Tue Mantoni CEO & President Henning Bejer Beck CFO
Slide 2: Agenda Q3 2010/11
Agenda Q3 2010/11 INTRODUCTION – Tue Mantoni, CEO & President THE FINANCIAL RESULT FOR THE FIRST THREE QUARTERS OF 2010/11 – Henning Bejer Beck, CFO THE EXPECTATIONS FOR 2010/11 AND OBSERVATIONS/REFLECTIONS – Tue Mantoni, CEO & President QUESTIONS/ANSWERS 2
Slide 3: Introduction Q3 2010/11
Introduction Q3 2010/11 Third quarter • The Group increased turnover by 10 per cent from DKK 749 million to DKK 820 million. The increase in turnover is primarily driven by Automotive achieving a turnover increase of DKK 63 million or 123 per cent. • The result before tax was positive at DKK 30 mill
Slide 4: Turnover development per market in the first three quarters
Turnover development per market in the first three quarters Q3 2010/11 350 • Automotive continues the strong performance. 300 • The Asian markets recorded an increase of 250 30.7 per cent in the first three quarters of the 200 2010/11 financial year compared to the corresponding period last year. 15
Slide 5: Turnover development per market in the third quarter
Turnover development per market in the third quarter Q3 2010/11 120 • During the third quarter the Asian markets recorded an increase of 58.2 per cent. 100 • North America and France saw increases of 80 40.6 and 8.7 per cent compared to the same period last year, while Russia recorded an 60 increase
Slide 6: Distribution development
Distribution development Q3 2010/11 1.000 • The movement in the B1 segment for the first three quarters of the financial year 2010/11 was minus 17 shops. 822 Number of shops 777 758 • During the third quarter the movement was 725 703 750 686 minus one shop divided into 13 openings and 672 637 14 clo
Slide 7: Number of B1 shops per market February 2011
Number of B1 shops per market February 28 2011 Q3 2010/11 ∆ Q4 Expansion Markets 96 Market 2009/10 Asia Pacific 75 Expansion Markets 6 United Kingdom 70 Germany Asia Pacific -1 65 Italy 57 United Kingdom -3 Spain/Portugal 47 Germany -3 Denmark 46 Italy 1 France 48 Spain/Portugal -3 North America 49
Slide 8: Agenda Q3 2010/11
Agenda Q3 2010/11 INTRODUCTION – Tue Mantoni, CEO & President THE FINANCIAL RESULT FOR THE FIRST THREE QUARTERS OF 2010/11 – Henning Bejer Beck, CFO THE EXPECTATIONS FOR 2010/11 AND OBSERVATIONS/REFLECTIONS – Tue Mantoni, CEO & President QUESTIONS/ANSWERS 8
Slide 9: Development in turnover and result before tax
Development in turnover and result before tax Q3 2010/11 900 50 • The third quarter showed an increase in turnover of 10 per cent. 800 0 • The Group’s gross margin for the third quarter 700 was 39.8 per cent against 38.9 per cent for the same quarter of the 2009/10 financial year. The 600 -50 higher
Slide 10: Development in turnover and result before tax – 12 months rolling
Development in turnover and result before tax – 12 months rolling Q3 2010/11 3500 100 • During the last 12 months the Group has experienced a turnover increase of 13 per 3000 0 cent and a positive result before tax of DKK 54 million against a negative result of DKK 2500 -100 180 million in the previ
Slide 11: Cost level under control
Cost level under control Q3 2010/11 450 • During the first three quarters of the 2010/11 financial year, the Group reduced its capacity costs by DKK 12 million from DKK 846 million 400 for the same period last year to DKK 834 million this year. 350 • Distribution and marketing costs fell during the
Slide 12: Development costs
Development costs Q3 2010/11 2010/11 Development costs incurred before capitalisation 325,7 • The incurred development costs were DKK Amount hereof capatilised -178,1 326 million from which DKK 178 million have Total amortisation and impairment losses on development projects 81,2 been capitalised. D
Slide 13: Launch products' share of audio/video turnover
Launch products’ share of audio/video turnover Q3 2010/11 40% • In the 2010/11 financial year the Group expects 35% around 25 per cent of the Group’s turnover within 35% the audio and video business to derive from new products. 30% 28% 25% 26% (expected) 25% 20% 16% 15% 11% 10% 5% 0% 05/06 06/07 07/
Slide 14: Net working capital
Net working capital Q3 2010/11 600 30,0% • Net working capital has been reduced. 500 • Net working capital in 25,0% percentage of turnover 400 has been reduced from 18 per cent to 13 per 300 20,0% cent over the last 12 months. 200 15,0% 100 0 10,0% Q3 08/09 Q4 08/09 Q1 09/10 Q2 09/10 Q3 09/10 Q4 09/
Slide 15: Debt has been reduced
Debt has been reduced Q3 2010/11 600 • The net interest bearing debt has been reduced by DKK 90 million from the second quarter of 500 the 2010/11 financial year to the third quarter of the 2010/11 financial year. 400 • Compared to the third quarter of the 300 2009/10 financial year, the net interes
Slide 16: Agenda Q3 2010/11
Agenda Q3 2010/11 INTRODUCTION – Tue Mantoni, CEO & President THE FINANCIAL RESULT FOR THE FIRST THREE QUARTERS OF 2010/11 – Henning Bejer Beck, CFO THE EXPECTATIONS FOR 2010/11 AND OBSERVATIONS/REFLECTIONS – Tue Mantoni, CEO & President QUESTIONS/ANSWERS 16
Slide 17: Expectations for the 2010/11 financial year
Expectations for the 2010/11 financial year Q3 2010/11 Product portfolio The Group’s objective for the 2010/11 financial year is to support the growth ambitions for the branded business through a continuing high activity level within product development. The Group, therefore, expects 25 per cent of
Slide 18: Observations and reflections
Observations and reflections Q3 2010/11
Slide 19: Agenda Q3 2010/11
Agenda Q3 2010/11 INTRODUCTION – Tue Mantoni, CEO & President THE FINANCIAL RESULT FOR THE FIRST THREE QUARTERS OF 2010/11 – Henning Bejer Beck, CFO THE EXPECTATIONS FOR 2010/11 AND OBERSERVATIONS/REFLECTIONS – Tue Mantoni, CEO & President QUESTIONS/ANSWERS 19