Beacon Lighting Group Ltd · ASX:BLX

Beacon Lighting — FY2024 Earnings Presentation

27 slides from Beacon Lighting's earnings presentation, Aug 22, 2024

  1. Slide 1: FY2024 Results Presentation

    FY2024 RESULTS For personal use only PRESENTATION 22 AUGUST 2024

  2. Slide 2: Contents

    CONTENTS 1 RESULTS OVERVIEW 2 FINANCIALS For personal use only 3 STRATEGIC PILLARS OF GROWTH 4 FY2025 OUTLOOK 5 QUESTIONS 6 APPENDIX BEACON LIGHTING GROUP FY2024 RESULTS PRESENTATION 2

  3. Slide 3: Results Overview

    For personal use only 1 RESULTS OVERVIEW

  4. Slide 4: FY2024 Statutory Results

    1 FY2024 STATUTORY RESULTS Statutory Statutory $'000 Change $ Change % FY2023 FY2024 Sales 311,955 323,063 11,108 3.6% Gross Profit 211,333 222,816 11,483 5.4% Gross Profit Margin % 67.7% 69.0% Other Income(1) 1,461 2,270 809 55.4% For personal use only % of Sales 0.5% 0.7% Operating Expenses(2) (12

  5. Slide 5: FY2024 Underlying Result

    1 FY2024 UNDERLYING RESULT Statutory Underlying $'000 Change $ Change % FY2023 FY2024(1) Sales 311,955 317,059 5,104 1.6% Gross Profit 211,333 218,528 7,193 3.4% Gross Profit Margin % 67.7% 68.9% Other Income(2) 1,461 2,256 795 54.4% % of Sales 0.5% 0.7% For personal use only Operating Expenses(3) (

  6. Slide 6: Underlying Financial Highlights

    1 UNDERLYING FINANCIAL HIGHLIGHTS $317.1m 68.9% $85.0m Sales(1) Gross Profit Margin EBITDA(1) For personal use only $29.6m $95.7m $46.2m NPAT(1) Inventory Cash(2) (1) FY2024 52 week underlying result (2) Cash and Cash Equivalents (including Other Financial Assets) BEACON LIGHTING GROUP FY2024 RESULT

  7. Slide 7: Underlying Operational Highlights

    1 UNDERLYING OPERATIONAL HIGHLIGHTS $100m Trade Benefits: 36.5% • Special Prices Trade Sales % Total Trade Sales • Beacon Cash Rebates Exceeded of Relevant Sales(1) For personal use only • Referral Program 47.0% beacontrade.com.au Online Trade Sales Increase(2) 7.7% 7&1 Beacon International 7 New St

  8. Slide 8: Note on 52 week underlying result basis

    For personal use only Please Note: All Profit and Loss Results (including sales comparisons) for the remainder of this presentation will be based on the 52 week underlying result for FY2024

  9. Slide 9: Sales

    2 SALES SALES: Increased to $317.1m up $5.1m • Company store comparative sales were in line with last year • Trade sales through stores increased by 26.8% For personal use only • beacontrade.com.au trade sales increased by 47.0% • Record sales for Beacon Lighting Commercial and Beacon International

  10. Slide 10: Gross Profit

    2 GROSS PROFIT GROSS PROFIT: 68.9% of Sales up 120 BPS • Despite the change in the sales mix towards trade, being vertically integrated and with new product introductions has helped to support the gross profit margins For personal use only • Innovative new products designed and developed in Australi

  11. Slide 11: Operating Expenses

    2 OPERATING EXPENSES $'000 FY2023 FY2024(1) Change $ Change % Other Income 1,461 2,256 795 54.4% % of Sales 0.5% 0.7% OPEX: 42.8% of Sales to $135.8m Marketing 15,558 17,100 1,542 9.9% • Despite the ongoing focus on managing expenses, inflation is impacting upon many operating expenses % of Sales 5.

  12. Slide 12: Balance Sheet

    2 BALANCE SHEET Cash(1) $'000 JUNE 2023 20,682 JUNE 2024 46,206 Receivables 13,200 14,315 • Cash equivalents increased to $46.2 million Inventories 96,936 95,677 • Maintained inventories at $95.7 million Other 2,298 2,751 • Payables increased to $28.1 million Total Current Assets 133,116 158,949 PPE

  13. Slide 13: Cash Flow

    2 CASH FLOW $'000 FY2023 FY2024(1) • Operating cash flow improved due to mix of increased receipts from Cash Flow from Operations customers and support from payables • Continued CAPEX investment in the Group for $9.0 million Receipts from Customers 340,727 354,733 • Dividend payments for $13.5 milli

  14. Slide 14: Dividend

    2 DIVIDEND • The Dividend Reinvestment Plan (DRP) is available to all shareholders • Shares issued pursuant to the DRP will be at a 5% For personal use only discount to the market price • BLX declared a fully franked dividend of 3.8 cents per share for H2 FY2024 • Paid or declared a fully franked di

  15. Slide 15: Strategic Pillars of Growth

    3 STRATEGIC PILLARS OF GROWTH For personal use only CUSTOMER | Underpinning everything we do at Beacon is a deep understanding of our customers’ needs. STORES TRADE eCOMMERCE NEW PROV I D E OU R CU S TO M E R S W ITH A R E WA R D I N G PA RTN E R I N G W ITH E LECTR I CI A N S , BU I LD E R S , PROV

  16. Slide 16: Stores

    3 STORES • Beacon Lighting finished FY2024 with a total of 126 stores, with 124 company stores and 2 franchise stores • Opened new stores in Mount Barker (SA) Mildura (VIC), Devonport (TAS), Warrawong (NSW), Melton (VIC), Gregory Hills (NSW) and Busselton (WA). Relocated the Cranbourne (VIC) store F

  17. Slide 17: Trade

    3 TRADE • Partnering with Electricians, Builders, Architects and Interior Designers with lighting, fans, and electrical accessories for the Australian home continues to be the number one priority for the Beacon Lighting team • Beacon Trade members continue to receive special prices, Beacon Cash reba

  18. Slide 18: eCommerce

    3 eCOMMERCE • Beacon Lighting has 16 dedicated business websites, with the primary websites being beaconlighting.com.au and beacontrade.com.au • beaconlighting.com.au retail sales have increased by 11.2%. Online retail sales have now increased to 11.8% of total retail sales For personal use only • T

  19. Slide 19: New Businesses

    3 NEW BUSINESSES • Beacon International sales increased by 7.7%. Sales in H2 FY2024 increased by 18.8% INTERNATIONAL • Beacon International achieved strong sales growth in Hong Kong, moderate sales growth in Europe and a sales decline in the USA For personal use only • Tmall Global continues to enjo

  20. Slide 20: Sustainability

    3 SUSTAINABILITY • The current Beacon Lighting sustainability goals concentrate on three focus areas: People, Product and Planet For personal use only • The People highlights include through team member development and training, Beacon Lighting was able to achieve 138 internal promotions • The Produ

  21. Slide 21: FY2025 Outlook

    For personal use only 4 FY2025 OUTLOOK

  22. Slide 22: FY2025 Outlook

    4 FY2025 OUTLOOK • Trading momentum from FY2024 has continued into FY2025 • Partnering with Electricians, Builders, Architects, and Interior Designers continues to be the number one priority. The trade sales positive momentum has continued into FY2025 • Conduct “Trade Sales Immersion” training throu

  23. Slide 23: Questions

    For personal use only 5 QUESTIONS

  24. Slide 24: Appendix One: Other Information - Disclaimer

    6 APPENDIX ONE: OTHER INFORMATION DISCLAIMER The presentation contains “forward-looking statements”. All statements other than those of historical facts included in the presentation are forward-looking statements. Where the Group expresses or implies an expectation or belief as to future events or r

  25. Slide 25: Appendix Two: Impact of AASB on NPAT Reconciliation

    6 APPENDIX TWO: IMPACT OF AASB 16 ON NPAT RECONCILIATION Statutory Statutory $'000 53rd Week FY2023 FY2024 Property Expenses 537 538 - AASB 16 Depreciation Expenses 25,132 27,579 504 For personal use only AASB 16 Interest Expenses 4,736 5,950 117 Total Property Statutory Expenses 30,405 34,067 621 A

  26. Slide 26: Appendix Three: FY2024 Underlying Profit Reconciliation

    6 APPENDIX THREE: FY2024 UNDERLYING PROFIT RECONCILIATION Statutory Less Underlying $'000 FY2024(1) 53rd Week(2) FY2024(3) Sales 323,063 6,004 317,059 Gross Profit 222,816 4,290 218,526 Gross Profit Margin % 69.0% 71.5% 68.9% For personal use only Other Income(4) 2,270 14 2,256 % of Sales 0.7% 0.2%

  27. Slide 27: www.beaconlighting.com.au

    For personal use only www.beaconlighting.com.au

Beacon Lighting Group — FY2024 Earnings Presentation on 6ix