Bang & Olufsen A/s · OMXCOP:BO
Bang & Olufsen A/s — Q1 2025 Earnings Presentation
18 slides from Bang & Olufsen A/s's earnings presentation, Oct 10, 2024
Slide 1: Q1 2024/25 Webcast presentation
10 October 2024 Q1 2024/25 - June-August 2024 Webcast presentation
Slide 2: Disclaimer
Disclaimer This presentation does not constitute or form part of and should not be construed as an offer to sell or issue or the solicitation of an offer to buy or acquire securities issued by Bang & Olufsen a/s in any jurisdiction, including the United States of America, Canada, Australia, Japan or
Slide 3: Agenda
Agenda # Key Highlights # Business review # Financial review # Outlook 24/25 3|
Slide 4: Key highlights - Q1 in line with our plans and expectations
Key highlights - Q1 in line with our plans and expectations Q1 2024/25 Revenue • Decline in revenue mainly due to a strong comparable first DKK 544m quarter last year. -12% growth in local currencies • Improved gross margin to record-high 55.2%, which shows the progress we are making in building a m
Slide 5: New Brand ambassador and new partnership
New Brand ambassador and new partnership Charles Leclerc, New brand ambassador Partnership with Riva In June, we introduced our new Brand Partnership with the luxury yacht brand ambassador for 2024 and 2025, the Riva. Two product collaborations, Formula 1 driver for Ferrari, Charles Beosound A5 and
Slide 6: Channel development progressing
Channel development progressing EMEA Americas APAC Opening of shop-in- Significant reduction New store in Wuhan, shop in department in number of third store in a SKP store Le Printemps in multibrand doors luxury shopping mall Paris. since Q1 of last year. in China. Monobrand * Multibrand Custom inst
Slide 7: License business – new partnership
License business – new partnership New Partnership with TCL electronics In July, we announced our six-year licensing partnership with TCL. Through this partnership we bring elevated audio experiences to TCL’s premium TV portfolio with our “Audio by Bang & Olufsen” proposition, distributed globally v
Slide 8: Product launch of Beoplay H100
Product launch of Beoplay H100 Luxury Timeless Technology
Slide 9: Financial Review Q1
te Wtissciit: wie: | Financial Review Q¥?: 1 wi ee Ny %. ’ ’ WY Ya \ \ \
Slide 10: Like-for-like sell-out growth in branded channels
Like-for-like sell-out growth in branded channels Regions Product Categories Regions -2% 19% • EMEA: Excluding EOL deals, like-for- like sell-out grew year-on-year. EMEA Staged Company-owned stores and -2% monobrand grew. Multibrand and eTail declined. -7% -19% • Americas: Company-owned stores and m
Slide 11: Group revenue declined 12% in local currencies in line with our expectations
Group revenue declined 12% in local currencies in line with our expectations DKKm Group revenue Product sales Brand partnering & other activities -12% -11% 700 542 -22% 655 484 On the go 144 77 619 614 109 60 544 Flexible Living 107 95 Staged 291 280 Q1 23/24 Q1 24/25 Q1 23/24 Q1 24/25 • Decline in
Slide 12: Growth in branded channels in Americas and APAC, decline in EMEA
Growth in branded channels in Americas and APAC, decline in EMEA due to high comparables. Improved gross margins across regions EMEA Americas APAC DKKm DKKm DKKm -17% 342 303 311 +1% -4% 293 78 211 251 72 70 67 68 180 172 165 163 Q1 Q2 Q3 Q4 Q1 Q1 Q2 Q3 Q4 Q1 Q1 Q2 Q3 Q4 23/4 Q1 23/24 23/24 23/24 23
Slide 13: Record-high gross margin. EBIT margin bsi impacted by lower revenue level
Record-high gross margin. EBIT margin bsi impacted by lower revenue level % Gross margin % EBIT margin bsi* -5.7 pp 2.6 pp 55.2 3.0% 2.6% 54.3 1.8% 1.8% 53.2 53.1 52.6 -3.1% Q1 Q2 Q3 Q4 Q1 Q1 Q2 Q3 Q4 Q1 23/24 24/25 2023/24 2024/25 *Before special items 13 |
Slide 14: Capacity costs increased mainly due to an one-off positively impacting last year
Capacity costs increased mainly due to an one-off positively impacting last year Capacity costs Net working capital DKKm DKKm Administration costs Distribution and marketing Development costs +4% 380 311 +7% 354 297 37 286 282 38 317 321 263 309 31 29 36 263 246 206 215 217 63 70 71 80 79 Q1 23/24 Q
Slide 15: Free cash flow improved DKK 25m year-on-year
Free cash flow improved DKK 25m year-on-year Free cash Flow CAPEX Capital resources DKKm DKKm DKKm Intangible 43 Tangible 344 24 323 318 310 299 71 5 57 11 48 42 19 40 15 10 6 60 -36 38 32 33 34 -61 Q1 Q2 Q3 Q4 Q1 Q1 Q2 Q3 Q4 Q1 Q1 Q2 Q3 Q4 Q1 23/24 24/25 23/24 24/25 23/24 24/25 • Q1 free cash flow
Slide 16: Outlook for 2024/25
Outlook for 2024/25 Mid-term financial ambitions Revenue growth in EBIT margin bsi* Free cash flow Organic growth local currencies 8% CAGR** 25/26-27/28 DKK Outlook -3% to 3% -2% to 1% EBIT margin bsi* -100m to 0m FY 2024/25 8% in 27/28 Free cash flow, DKK Actuals DKK 250m -12% -3.1% DKK -36m Q1 202
Slide 17: Q&A
Q&A
Slide 18: Investor Relations Contact
INVESTOR RELATIONS CONTACT Cristina Rønde Hefting +45 41 53 73 03 crrh@bang-olufsen.dk