Samsonite Group S.a. · HKEX:1910
Samsonite — FY2024 Earnings Presentation
56 slides from Samsonite's earnings presentation, Mar 13, 2025
Slide 1: 2024 Annual Results
2024 ANNUAL RESULTS MARCH 13, 2025 Samsonite Group S.A. Stock Code: 1910 JOURNEY BEYOND LIMITS
Slide 2: Disclosure Statement
DISCLOSURE STATEMENT This presentation and the accompanying slides (the “Presentation”), which have been prepared by Samsonite Group S.A. (“Samsonite” or the “Company”), do not constitute any offer or invitation to purchase or subscribe for any securities, and shall not form the basis for, or be rel
Slide 3: Agenda
AGENDA 01 BUSINESS UPDATE 02 FINANCIAL HIGHLIGHTS 03 OUTLOOK 04 Q&A All net sales growth rates throughout the presentation are presented on a constant currency basis, unless stated otherwise. 3
Slide 4: Business Update
BUSINESS UPDATE 4
Slide 5: Delivered top line growth in Q4 2024 with improving sequential sales trends
Delivered top line growth in Q4 2024 with improving sequential sales trends in all regions from Q3 2024 • Net sales were US$942 million in Q4 2024, an increase of 1.0%(1) compared to Q4 2023, and up 21.2%(1) vs. Q4 2019(2). Our top line sales growth was in-line with our outlook and improved across a
Slide 6: Improving YoY net sales growth trends in Q4 2024 as compared to Q3 2024
Improving YoY net sales growth trends in Q4 2024 as compared to Q3 2024… Excluding India, which was impacted by a continued promotional environment, Q4 2024 constant currency net sales for Asia would have been down only -1.6% compared to prior year. Q3 Q4 Q3 Q4 Q3 Q4 Q3 Q4 Constant Currency Growth ‘
Slide 7: Core brands showed sequential improvement, particularly Samsonite and TUMI
… also core brands showed sequential improvement, particularly Samsonite and TUMI Excluding India, +1.3%(1) growth vs. PY. Q3 Q4 Q3 Q4 Q3 Q4 Constant Currency Growth ‘24 vs ‘23 -2.2% +4.6% -8.9% +4.4% -15.1% -6.9% • Samsonite brand delivered strong performance • TUMI brand returned to growth despite
Slide 8: The Samsonite brand posted solid Q4 constant currency growth
The Samsonite brand posted solid Q4 constant currency growth, led by strong performance in North America North America – Samsonite net sales Asia – Samsonite net sales Consolidated – Samsonite net sales A strong holiday season, and a shift in the flow of order timing for wholesale customers created
Slide 9: Net sales growth for our TUMI brand in Q4 2024
Net sales growth for our TUMI brand in Q4 2024 North America – TUMI net sales Asia – TUMI net sales Consolidated – TUMI net sales Europe – TUMI net sales Latin America – TUMI net sales (1) Stated on a constant currency basis. 9
Slide 10: American Tourister year-over-year Q4 net sales decline improved relative to Q3
American Tourister year-over-year Q4 net sales decline improved relative to Q3, but India remained a challenging market North America – American Tourister net sales Asia – American Tourister net sales Consolidated – American Tourister net sales Excluding India, +1.8%(1) growth vs. PY. Weaker consume
Slide 11: Continued to drive sales across our non-travel category
Continued to drive sales across our non-travel category, with growth of 2.0%(1) in 2024, to engage our core consumers and reach a new customer base Core Brands Complementary Brands Voyageur Urban Groove Move 5.0 Lost in Berlin Cam Large Backpack Backpack Rhune 22 Mini Exile Tote Backpack (1) Stated
Slide 12: Delivered strong profitability and cash flow in 2024
Delivered strong profitability and cash flow in 2024 • Achieved net sales of US$3,589 million in 2024, which was approximately flat to 2023 (-0.2%(1) compared to 2023). 2023 marked an exceptionally strong year for the company driven by strong revenge travel demand and consumer spending, as well as l
Slide 13: Maintained near level of record 2023 net sales
Maintained near level of record 2023 net sales that were driven by revenge travel FY Net Sales Evolution • In 2024, we achieved net sales of US$3,589 million, comparable to the record performance of 2023. This result reflected resilience in the face of: • Year-over-year comparisons against a record
Slide 14: Net sales at 2019 FX rates
Excluding the impact of FX, our 2024 net sales would have been greater than US$4.2 billion, or up almost US$800 million to 2019, at 2019 exchange rates FY Net Sales Evolution @ 2019 FX rates 14 (1) Stated on a constant currency basis.
Slide 15: The Samsonite brand was the strongest performer amongst our core brands in 2024
The Samsonite brand was the strongest performer amongst our core brands in 2024 (2) (2) (2) • Samsonite brand delivered strong • TUMI brand net sales were approximately • American Tourister brand net sales performance due to strong product offerings flat, or down 0.8%(1), compared to prior decreased
Slide 16: Net sales growth correlated to travel growth, and travel outlook remains strong
Our net sales growth has historically been strongly correlated to growth in travel, and outlook for travel remains strong Samsonite Net Sales vs. Global Passenger Traffic (2) Revenge Travel ~6% ‘23-’28E Annualized Growth in Global Passenger Travel (1)(2) (1)(2) (1) (1) (1) (1) (1) (1) Global Travel
Slide 17: Worldwide air travel has accelerated beyond pre-pandemic levels
Worldwide air travel has accelerated beyond pre- pandemic levels, and our net sales growth has outpaced the growth in global passenger totals 2024 Relative to 2019 Levels (1) 123% +15% +16% 112% U.S. Leisure Hotel Airline Revenues (2) Revenue (’24E vs. ’19A) 2019A (’23A vs. ’19A) Levels 100% 83% +18
Slide 18: Evolving Consumer Preferences are Driving Greater Use Frequency
Evolving Consumer Preferences are Driving Greater Use Frequency 2024 40% Notes: (1) IPSOS 2024 Brand Study Commissioned by the Samsonite Group; target for survey was men and women aged 18+ who tend to travel (with overnight stay) once per year and/or have purchased in the past 3 years or 18 intend t
Slide 19: Full year net sales growth in DTC channels
Full year net sales growth in DTC channels, led by DTC e-commerce and new store openings Comparison of net sales by channel • Total full year DTC growth of 2.7%(1) vs prior year. 2024 DTC Total = 39.8% • Full year DTC e-Commerce growth of +5.8%(1) vs. prior year. • Full year retail growth of +1.5%(1
Slide 20: Continued to drive growth in our DTC e-commerce business
Continued to drive growth in our DTC e-commerce business across all our regions • We continued to invest in DTC e-commerce across all our regions and brands. • Net sales from our DTC e-commerce channel represented 11.4% of total net sales for 2024, up from 10.8% in 2023. • DTC e-commerce net sales g
Slide 21: Selectively expanded our global retail footprint
Driving DTC growth: Selectively expanded our global retail footprint Net new store openings in 2024 by Region • Strategically NORTH EUROPE AMERICA TUMI: 7 selected store TUMI: 5 Samsonite/ Samsonite/ Other: 13 openings in key Other: 4 markets, with a particular focus on Asia and Europe, to enhance b
Slide 22: Brand elevation through brand enhancing store openings
Continued to invest in brand elevation through brand enhancing store openings across our regions 22 TUMI Store @ Dubai Mall
Slide 23: Concept store in One Bangkok, Thailand
An inspiring concept store in One Bangkok, Thailand – blending local culture, sustainability, and innovation Samsonite Store @ One Bangkok, Thailand 23
Slide 24: TUMI Ginza store renovation and expansion
Continued to elevate our TUMI brand in Asia with the renovation and expansion of our TUMI Ginza store in Japan TUMI Store @ Ginza, Tokyo, Japan (the largest TUMI store in Japan) 24
Slide 25: New Samsonite store in Cologne
Opened a new Samsonite store on one of Cologne’s prime retail streets in October 2024 Samsonite Store @ Cologne, Germany 25
Slide 26: First TUMI store in Switzerland
Expanding our reach: Opened our first TUMI store in Switzerland on Bahnhofstrasse, one of the world's most expensive and exclusive shopping avenues TUMI Store @ Zurich, Switzerland (1st TUMI store in Switzerland) 26
Slide 27: 2025 marks the 50th anniversary of TUMI
2025 marks the 50th anniversary of our TUMI brand: 50 Years of Perfecting the Journey 27
Slide 28: Launched the Made for You Since 1975 campaign
Launched the “Made for You Since 1975” campaign to celebrate TUMI’s milestone 50th anniversary • For 50 years, TUMI has been crafting world-class lifestyle and travel products designed to elevate journeys for travelers everywhere. • TUMI will celebrate its 50th anniversary throughout the year with e
Slide 29: Launched TUMI's lightest luggage, 19 Degree Lite
Launched TUMI’s lightest luggage, 19 Degree Lite, to kickoff TUMI’s 50 years of innovation anniversary LIGHTNESS WITH STRENGTH 19 DEGREE LITE • TUMI’s newest innovation, and lightest luggage in market, 19 Degree Lite blends the luxurious design elements of the iconic 19 Degree line with the function
Slide 30: Progress on Our Responsible Journey – 2024 Highlights
We’ve made remarkable progress on “Our Responsible Journey” – 2024 Highlights PRODUCT PLANET PEOPLE 40% 100% One Year Early of net sales approximately came renewable electricity used across our own Achieved our professional development from products that incorporate some and operated retail stores,
Slide 31: Recognition
Being recognized for the tremendous progress we have made on “Our Responsible Journey”, and more to come RECOGNITION World’s Best Companies in Sustainable Growth 2025 #40 of 500, #2 in Retail, Wholesale & Consumer Goods Upgraded from A Look out for our 2024 Report on Our Responsible Journey for more
Slide 32: Financial Highlights
FINANCIAL HIGHLIGHTS 32
Slide 33: Q4 2024 Results Highlights
Q4 2024 Results Highlights • Net sales increased by 1.0%(1) • Gross margin increased by • Adjusted EBITDA margin was • Adjusted net income from a very strong Q4 2023 that 30bp from Q4 2023 driven up 160bp from Q4 2023 due increased by US$20 was up 15.8%(1) from Q4 2022. Q4 primarily by ongoing large
Slide 34: Other Financial Highlights
Other Financial Highlights • Combined Q4 2024 distribution and G&A expenses of US$332 million, a US$2 million decrease compared to Q4 2023, despite adding 67 net new stores in 2024, reflecting ongoing disciplined expense management. • Advertising spend of US$54 million in Q4 2024 (5.7% of net sales)
Slide 35: YoY gross margin increase driven by promotional discipline and channel mix
YoY gross margin increase driven by ongoing discipline on promotional discounts, brand elevation efforts, and channel mix Q4 Gross margin % Evolution • Achieved strong gross margins above historical levels across all regions. • Q4 2024 gross margin increased by 30 basis points from Q4 2023 driven pr
Slide 36: Tightly managed distribution and G&A expenses
Tightly managed our distribution and G&A expenses despite inflationary pressure and adding 67 net new stores in 2024 and the full year impact of 67 net new stores added during 2023 Distribution and G&A expenses trend Our combined distribution and G&A expenses in Q4 2024 decreased by US$1.7 million c
Slide 37: FY 2024 Results Highlights
FY 2024 Results Highlights • Net sales were approximately flat(1) • Gross margin increased by 70bp • Maintained strong adjusted EBITDA • Adjusted net income decreased against a strong base in 2023. to 60.0% from 59.3% in 2023 margin of 19.0% despite slightly lower by US$23 million mainly due to driv
Slide 38: Solid full year net sales performance across regions
Solid full year net sales performance across regions in light of comping strong prior year net sales drove roughly flat consolidated net sales performance Excluding India, which was impacted by a more promotional environment, FY 2024 constant currency sales growth for Asia would have been down only
Slide 39: 2024 net sales impacted by headwinds in China, India, and luxury
Our 2024 net sales were impacted by headwinds in China, India, and the luxury segment China India North America TUMI • China saw exceptionally strong growth of • A continued promotional environment in • North America represented the biggest +88.4%(1) from 2022 into 2023 driven by India driven mainly
Slide 40: Diversifying category mix towards non-travel products
We continued to diversify our category mix towards non-travel products Comparison of travel vs. non-travel net sales 2023 2024 US$3,682.4 million US$3,588.6 million - Travel growth of -1.3%(1) - Non-Travel growth of +2.0%(1) Travel Non-Travel (1) Stated on a constant currency basis. 40
Slide 41: Adjusted EBITDA margin exceeded 2019 levels
Structurally improved 2024 adjusted EBITDA margin exceeded 2019 levels due to efficient cost structure FY adjusted EBITDA margin evolution 41
Slide 42: Balance Sheet
Balance Sheet US$m December 31, December 31, $ Chg Dec-24 % Chg Dec-24 2023 2024 vs. Dec-23 vs. Dec-23 • Net debt was down US$5 million year over year due to Cash and cash equivalents 716.6 676.3 (40.3) -5.6% Trade and other receivables, net 319.6 325.3 5.7 1.8% strong cash flow generation, Inventor
Slide 43: Working Capital
Working Capital US$m December 31, December 31, $ Chg Dec-24 % Chg Dec-24 • Net working capital was managed 2023 2024 vs. Dec-23 vs. Dec-23 very well, ending the year below our Working Capital Items Inventories $ 695.9 $ 651.4 $ (44.5) -6.4% 14% target level largely due to timing Trade and Other Rece
Slide 44: Actions in the U.S. to mitigate potential increased tariffs
We have taken significant actions in the U.S. to mitigate the impact of potential increased tariffs U.S. Product Sourcing Consolidated Gross Margin % 56.5% 55.4% 60.0% Levers to mitigate potential tariff increases: • Continue to source a significant majority of our products for the U.S. outside of C
Slide 45: Capex investments focused on store remodels, new stores and strategic initiatives
Capex investments focused on retail store remodels, new stores, and investment in core strategic initiatives Capital Expenditures by project type • Retail capex of US$58 million in 2024 US$m 2023 2024 consisted primarily of US$27 million for store remodels and relocations and US$25 million for new s
Slide 46: Outlook
OUTLOOK 46
Slide 47: Outlook
Outlook • Travel trends are expected to remain robust over the next several years, which we believe will support long-term growth in our business. • Our year-over-year constant currency net sales performance improved sequentially across our regions in Q4 2024 relative to Q3 2024, however the macroec
Slide 48: Q&A
Q&A 48
Slide 49: Thank You
THANK YOU. 49
Slide 50: Appendix
APPENDIX 50
Slide 51: Non-IFRS Financial Measures
Non-IFRS Financial Measures In addition to the Company's results determined in accordance with IFRS Accounting Standards, management reviews certain non-IFRS financial measures, including constant currency net sales growth, adjusted EBITDA, adjusted EBITDA margin, adjusted net income, adjusted basic
Slide 52: Adjusted EBITDA and Adjusted EBITDA Margin Reconciliation
Adjusted EBITDA and Adjusted EBITDA Margin Reconciliation Adjusted EBITDA eliminates the effect of a number of costs, charges and credits and certain other non-cash charges. Adjusted EBITDA is defined as profit for the period/year, adjusted to eliminate income tax expense, finance costs (excluding i
Slide 53: Adjusted EBITDA and Adjusted EBITDA Margin Reconciliation
Adjusted EBITDA and Adjusted EBITDA Margin Reconciliation For the Year Ended December 31, 2024 Adjusted EBITDA for the year ended December 31, 2024 decreased by US$26.3 million, or 3.7%, to US$683.0 million, from US$709.3 million for the year ended December 31, 2023. Adjusted EBITDA margin was 19.0%
Slide 54: Adjusted Net Income and Adjusted Net Income Margin Reconciliation
Adjusted Net Income and Adjusted Net Income Margin Reconciliation Adjusted net income eliminates the effect of a number of costs, charges and credits and certain other non-cash charges, along with their respective tax effects, that impact the Company's reported profit attributable to equity holders,
Slide 55: Adjusted Net Income and Adjusted Net Income Margin Reconciliation
Adjusted Net Income and Adjusted Net Income Margin Reconciliation For the Year Ended December 31, 2024 Adjusted net income decreased by US$22.6 million, or 5.8%, to US$369.8 million for the year ended December 31, 2024 compared to US$392.4 million for the year ended December 31, 2023. The decrease i
Slide 56: Adjusted Free Cash Flow Reconciliation
Adjusted Free Cash Flow Reconciliation Adjusted free cash flow is defined as cash generated from operating activities, less (i) purchases of property, plant and equipment and software and (ii) principal payments on lease liabilities. The Company believes adjusted free cash flow provides helpful addi