Beauty Community Pcl · SET:BEAUTY
Beauty Community Pcl — Investor Presentation (March 2017)
37 slides from Beauty Community Pcl's investor presentation, March 2017
Slide 1: Year 2016
Year 2016 1
Slide 2: Beauty Story
BEAUTY STORY Founded by Dr.Suwin Kraibhubes M.D. in 1998 at the time Thailand was under financial crisis. Key Success - Unique concept of multi-brand cosmetic shop in Thailand - Standout shop decoration - Variety & trendy product assortment - Difference from other cosmetic retails - Reasonable price
Slide 3: Business Approach
BUSINESS APPROACH Business Strategy To meet various and To cover all customers’ To reach broadest different need of all needs with a wide price base of customers target markets. range to fit different through multiple lifestyles. distribution channels. Business Policy Our Philosophy 3
Slide 4: Business Policy & Strategy 2017
Business Policy & Strategy 2017 4
Slide 5: Business Overview
BUSINESS OVERVIEW BEAUTY is the leading in the retail distribution of cosmetics and skincare. BEAUTY under the following 5 concepts (1) Beauty Buffet Shop (2) Beauty Cottage Shop operates 329 stores and 40 stores in oversea * (3) Beauty Market Shop *as of 27.02.2017 (1) Made in Nature Brand Is avail
Slide 6: Business Overview: Store Concepts and Brands
BUSINESS OVERVIEW es BEAUTY lof cosmetic shop and the fun of lwith vintage inspired design lconvenience of supermarket and Tove all Binge gia . MADE IN . 3° Business BEAUTY, BUFFET, NATURE Girly girt DY don Supermarket, Hypermarket, {Traditional trade and Convenience Store, Traditional Channel Retai
Slide 7: Shop Expansion Highlight
Shop Expansion Highlight os BEAUTY © Beauty Market (BM) Beauty Cottage (BC) Beauty Buffet (BB) Total . 382 | 332 310 | 279 27 4 232 227 = 204 | 179 179 148 so « | 2] 2] -@ 1 au 3 10 13 13 18 2012 2013 2014 2015 2016 F2017 EEBEAUTY BUFFET SG Beauty 2/ The Most Delicious Beavty Shop In Town ! Mazurak
Slide 8: Private Label
PRIVATE LABEL Brand character / Brand positioning / Brand target GINO McCRAY THE BAKERY professional makeup young & trendy makeup No. of shops: 246 @ March 2017 Shop size : Average 35 sqm. Location : Super center Shopping plaza Hyper market SCENTIO LANSLEY Local department stores natural skincare fu
Slide 9: Shop Concept: Number of Shops
No. of shops :70 @ March 2017 Shop size : Average 35 sqm. Location : Super center Shopping plaza Hyper market Local department stores 9
Slide 10: Product Category and Coverage
Product Category Product Coverage • No. of shops @ March 2017 : 13 Shops 1. Make up - General Brands • Beauty Specialty Store 2. Facial Care - Alternative Brands • Our Largest Format Shop 3. Body Hygiene - Exclusive Brands • Average Area 100 Sqm. 4. Body Care - Private Brands • Almost 100 Suppliers
Slide 11: Consumer Product Channel
Consumer Product Channel Premium mass vs imported brand Fighting brand SKU: 14 SKU: 11 Ingredient from Korea Formulated from Japan 2017 New 3rd Party Retail Channels: King Power Ingredient from Japan (Suvarnabhumi / Donmueang / Srivaree ) Consumer Product Plan 2017 - Modern Trade : Expand from 473 s
Slide 12: Oversea Store Expansion
Oversea Store Expansion Independent Shops No. of shops 2014 : 19 Shops No. of shops 2015 : 32 Shops No. of shops 2016 : 40 shops VIETNAM 36 SHOPS Shop In Shop 2016 : 138 Shops -Indonesia : 19 shops -Hong Kong : 100 shops CAMBODIA -Taiwan : 19 shops 10 SHOPS 2017 New Distributor : Philippines @Ayala
Slide 13: Year 2016
Year 2016 13
Slide 14: Industry Outlook
INDUSTRY OUTLOOK Opportunities in Thailand. High Market Growth. -Increasing personal appearance concerns -More innovation & fashionable cosmetics -Urbanization - Rapid growth of major cities across the country -More cosmetics outlets -Expansion of market into new segments : men and the younger age -
Slide 15: Industry Outlook: Competitive Advantage
INDUSTRY OUTLOOK Competitive Advantage LOCAL BRAND BEAUTY IMPORTED BRAND Beauty Buffet ,Beauty Cottage and Lacal Brand Korea,Japan,UK,France Brands etc. Beauty Market More products and Brand Variety - Less product variety- Single Brand Mostly Single Brand multibrand, multiconcept Offer best products
Slide 16: Industry Outlook: Marketing Strategies
INDUSTRY OUTLOOK Marketing Strategies Traditional Media Digital Media Integrated Marketing Strategy Viral Marketing Word-Of-Mouth Social Media 16
Slide 17: Customer Relationship Management (CRM) Program Improvement
CUSTOMER RELATIONSHIP MANAGEMENT (CRM) PROGRAM IMPROVEMENT CRM Activities: Workshop CRM Activities: Surprise Gift Micro Agencies Bloggers Social Media Community 17
Slide 18: Traditional PR 2015: Awards
Traditional PR 2015 : 16 outstanding awards in different areas from International & Local Magazines Cleo Beauty Hall of Fame 2015 Cleo Beauty Hall of Fame 2015 Cleo Beauty Hall of Fame 2015 Cleo Beauty Hall of Fame 2015 Best Funky Lipstick in a Budget : Best Eye Palette in a Budget for nude Best Pow
Slide 19: Thailand Zocial Awards 2016 and Other Awards
AWARD Traditional PR 2015 : 16 outstanding awards in different areas from International & Local Magazines Cleo Beauty Hall of Fame 2015 Cleo Beauty Hall of Fame 2015 Cosmopolitan Beauty Awards Sudsabda Beauty Awards 2015 Best Eye Brown : Beauty Buffet Best Eye Brown : Beauty Buffet 2015 Best Daily U
Slide 20: Growth Plan: How to Increase Market Share?
GROWTH PLAN How to Increase Market Share? - Shop Expansion - Same-Store Sales Growth - New Product Concept - New Channels Shop Expansion 20
Slide 21: Growth Plan: Same Store Sales Growth
GROWTH PLAN : Same Store Sales Growth - Increasing Transactions and Basket Size - Effective Marketing Campaign - Customer Relationship Management ( CRM ) Program Improvement - Effective New Product Launching - Beauty Advisor’s Product Knowledge Improvement Marketing Strategies 21
Slide 22: People: Motivation & Reward
PEOPLE : MOTIVATION & REWARD The Power Of Change Seminar Quarterly & Yearly Reward Campaign Beauty The Star Trip To Korea Make Up Artist Team Network Building & Young Make up Artist Contest 22
Slide 23: Sales Promotion & Training Activities
SALES PROMORTION & TRAINING ACTIVITIES OVERSEA TRAINING , VIETNAM BEAUTY OPENHOUSE ASEAN BEAUTY SOUTH EAST COSMOPROF ASIA HK 2015 ASIA’S 2015 23
Slide 24: Growth Plan: New Product Concept
GROWTH PLAN : New Product Concept - Offer a wider range of products for the tourists. - Add more Food Supplement products to the line. - Add Health-Concerned products to the product line. - Add Herb products to the product line. 24
Slide 25: Growth Plan: New Channels
GROWTH PLAN : New Channels E-COMMERCE New Oversea Distributor On 3rd Party Websites ASIA Launching: April 2014 Facebook:beauty plaza Shopping Online Launching: Q3 2015 www.beautyplazaonline.com 25
Slide 26: 26
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Slide 27: Profit & Loss Highlight
PROFIT & LOSS HIGHLIGHT MB. Years Total revenue target growth F20% for Y2017. 27
Slide 28: P&L 4Q16 Highlight (QTD)
P&L 4Q16 HIGHLIGHT(QTD) «> BEAUTY (— ~\ > (~ > ( ~~ > Profit & Loss 4Q16 4Q15 YoY 3Q16 QoQ (MB.) (%) (%) REVENUE 701.81 574.01 22.3% 738.90 -5.0% NPAT 177.81 130.97 35.8% 210.25 ||-15.4% % NPAT 25.34% 22.82% 2.52% 28.45%)| -3.11% % GP 67.37% 66.00% 1.37% 67.42%)|| -0.05% % SG&A 35.91% 37.67% -1.76%
Slide 29: P&L Y2016 Highlight
P&L Y2016 HIGHLIGHT o> BEAUTY foi. > fi Profit & Loss 2016 2015 YoY (MB.) (%) REVENUE 2,558.84 1,792.03 42.8% NPAT 656.01 402.49 63.0% % NPAT 25.64% 22.46% 3.18% % GP 67.19% 66.93% 0.26% % SG&A 35.35% 39.22% -3.87% % EBITDA / \ 34.36% 30.97% \ 3.39% / Live a Beautiful Life Me
Slide 30: Balance Sheet Snapshot
BALANCE SHEET SNAPSHOT «> BEAUTY [ ASSETS | [ 31/12/2016 2 + /- | Cash and cash equivalents fO 216.87 82.22% * Temporary investments 680.00 9.68% Inventories 373.89 28.88% Total current assets 1,312.53 22.66% Property, plant and equipment 303.80 3.85% Total non-current assets 438.02 3.58% Fotaanen S
Slide 31: Financial Ratio
FINANCIAL RATIO orRrN WwW Sf WU 60% 50% 40% 30% 20% 10% 0% Liquidity Ratio & D/E ° 4.55 3.20 + 0.18 0.30 2014 2015 + Liquidity Ratio D/E ROA & ROE 36.01% 28.87% 0 . ° °° 28.96% 24.83% 2014 2015 ROA 2016 30% @ 20% 10% 2016 oe BEAUTY Inventory Days (Finish Goods) 141 137 110 2014 2015 2016 % Same Stor
Slide 32: Sales Structure By Channel
Sales Structure By Channel 32
Slide 33: Sales Structure 2016 By Product and Geographic
Sales Structure 2016 By Product By Product By Product By Geographic By Geographic By Geographic 33
Slide 34: CAPEX 2017
CAPEX 2017 CAPEX 2017 Summary CAPEX Y2017 1. Shop expansion 110 mb 2. Infrastructure & Equipment 50 mb Total CAPEX 2017 160 mb 34
Slide 35: Infrastructure: Open House New Building (BEAUTY2)
Infrastructure: Open House New Building ( BEAUTY2) Board of Directors, Managements and Staffs of Beauty Community PCL celebrated grand opening of new training center and warehouse along with distinguished quests and business partners on June 23, 2016 35
Slide 36: Corporate News
CORPORATE NEWS 2. xury COMMUNITY PUBLIC COMPANY LIMITED Forbes Asia's 200 Best Under A Billion hitp://www.forbes.com/asia200. BEAUTY “ maitidyiniilay 200 Best Under a Billion udavliinutanummilumsmiaann mins sumuttinisz@niam Tanrahamamsiuituteus ut HAM sAMUNUAUTAlAAIAN LarahananovUMiltun fomludaniiga
Slide 37: Thank You
e BEAUTY QkaA Thank You BEAUTY COMMUNITY PUBLIC COMPANY LIMITED 10/915 NUANCHAN 34, NUANCHAN, BUNGKUM, BKK.THAILAND 10230 Tel : 66 2946 0700-6, 66 2946 1446-9 Fax : 66 2946 1571 contact@beautycommunity.co.th_ WWW.BEAUTYCOMMUNITY.CO.TH This Presentation (The “Presentation”) has been prepared by Beaut
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