Thule Group Ab · OMXSTO:THULE
Thule Group Ab — Q1 2017 Earnings Presentation
17 slides from Thule Group Ab's earnings presentation, April 2017
Slide 1: 2017/Q1 Road Show Thule Group
2017/Q1 Road Show Thule Group Magnus Welander, Lennart Mauritzson April-May 2017
Slide 2: Active Life, Simplified.
Active Life, Simplified. Slide 2 April 26, 2017 Thule Group AB – Interim Report Q1/2017
Slide 3: Our Investment Case
Our Investment Case Attractive Market Attractive Company ▪ Strong user-influenced Innovation and Product Development ▪ Differentiated Premium Brand ▪ Favorable mega-trends ▪ Global Route-to-Market Strategy and Implementation driving market growth ▪ Strong Position in the Value Chain ▪ Sustainable bu
Slide 4: We are a Global Premium Branded Sports&Outdoor Company
We are a Global Premium Branded Sports&Outdoor Company Net Sales by Region and Product Category 2016* Net Sales and Underlying EBIT Breakdown* (MSEK) Sales Region Underlying EBIT Margin*: 5,304 17.6% Region Region (+5.2% vs. 2015) Americas Europe&ROW 935 (+12.0% vs. 2015) 34% 66% Product Category SA
Slide 5: Future top-line growth derived from several sources within Outdoor&Bags
Future top-line growth derived from several sources within Outdoor&Bags Sport&Cargo Carriers Other Outdoor&Bags Bags for El. Devices Share of Thule Group Sales 2016 67% 19% 14% (2014) Growth 2016 vs. 2015 (Constant Currency) +5.3% +25.8% -13.2% Continue to drive growth via Continue to drive growth F
Slide 6: 2017/Q1 Update
2017/Q1 Update
Slide 7: A very good start to the year
2017/Q1 – A very good start to the year ▪ Net sales of SEK 1,599m (1,380) ▪ Thule Group +15.9% (+12.3% excluding currency effects) ▪ Outdoor&Bags +17.2% (+13.8% excluding currency effects) ▪ Specialty -7.6% (-12.4% excluding currency effects) ▪ Underlying EBIT of SEK 280m (235), underlying EBIT marg
Slide 8: Sales growth drives EBIT growth
2017/Q1 – Sales growth drives EBIT growth Reported Net Sales Underlying EBIT and Margin SEKm SEKm 17.0% 17.5% 1 599 1 380 280 235 Thule Group Q1 2016 Q1 2017 Q1 2016 Q1 2017 SEKm SEKm 19.4% 19.4% 1 524 1 300 296 Outdoor 252 & Bags Q1 2016 Q1 2017 Q1 2016 Q1 2017 SEKm SEKm 11.7% 12.4% -1.5% Specialty
Slide 9: Net Sales and EBIT by Segment
2017/Q1 - Net Sales and EBIT by Segment Outdoor&Bags ▪ Strong sales growth in the quarter Jan - Mar Change Full-year ▪ 13.8% growth, currency adjusted, for SEKm 2017 2016 Rep. 1 LTM 2016 segment, incl. acquisition of GMG Yepp Adjust. ▪ Organic 13.1% growth, currency adjusted Net sales 1 524 1 300 17
Slide 10: Key Events
2017/Q1 – Key Events ▪ Region Americas returns to growth (+7%) ▪ Region Europe & ROW strong growth continues (+17%) ▪ Key product launches received well across all markets ▪ Sport&Cargo Carriers - Strong quarter ▪ Strong new product launches in both Regions ▪ More balanced stock levels at US retaile
Slide 11: Key Events: Award Winning Design
2017/Q1 – Key Events: Award Winning Design Slide 11 April 26, 2017 Thule Group AB – Interim Report Q1/2017
Slide 12: Reported Income Statement
2017/Q1 – Reported Income Statement ▪ Gross Margin slightly down in the quarter Q1 Q1 LTM FY SEKm 2017 2016 2016 ▪ Product and customer mix shifts within product categories main reason Net sales 1,599 1,380 5,830 5,611 ▪ Limited impact of rising raw material Cost of goods sold -960 -819 -3,495 -3,35
Slide 13: Operating Working Capital and Operational Cash Flow
2017/Q1 – Operating Working Capital and Operational Cash Flow Operating Working Capital Operating Working Capital ▪ Operating working capital, 31 Mar. 2017: SEKm 24,3% 22,2% ▪ Inventory: SEK 921m (780) 20,5% ▪ Accounts receivables: SEK 948m (860) 1500 1295 20% 1168 1105 ▪ Accounts payable: SEK 574m
Slide 14: Performance vs. Financial Targets
2017/Q1 – Performance vs. Financial Targets Constant Currency Net Sales Growth (excl. Acquisitions) Organic Growth ≥ 5% +11.7% +13.1% -12.4% Thule Group Outdoor&Bags Specialty Underlying EBIT Margin ≥ 17% 17.5% LTM 2017/Q1 at 17.4% Net Debt / EBITDA c. 2.5x 1.6x 1.6x (YE 2016) * Ordinary dividend of
Slide 15: Focus areas for coming months
Focus areas for coming months ▪ Drive profitable sales growth ▪ Continued push of new products ▪ Support retailers to drive sell-through to consumers ▪ Ensure continued good product availability ▪ Build further on strong Thule brand ▪ Focus on new retail channels for new categories ▪ Continued roll-
Slide 16: Disclaimer
Disclaimer ▪ This presentation has been prepared by Thule Group AB (publ) (the “Company”) solely for use at this presentation and is furnished to you solely for your information and may not be reproduced or redistributed, in whole or in part, to any other person. The presentation does not constitute
Slide 17: Thule Group - Active Life, Simplified
Thule Group») ACTIVE LIFE, SIMPLIFIED