Lewis Group Limited · JSE:LEW
Lewis — Shareholder Meeting (August 2006)
13 slides from Lewis's shareholder meeting presentation, Aug 4, 2006
Slide 1: Lewis Group Limited Annual General Meeting 4th August 2006
LEWIS GROUP LIMITED ANNUAL GENERAL MEETING 4TH AUGUST 2006 always delivering 1
Slide 2: Financial Highlights FY06
Financial Highlights FY06 R1568m R729m 25.3% R2.25 Up Up Up Up 16% % 22.8% 30.9% 67% % Merchandise Normalised Normalised Total Sales Operating Operating Profit Dividend Profit* Margin* (%) declared (Rands) (LY: 23.6%) per Share * Excludes one-time IFRS 2 share-based payments of R58m always deliverin
Slide 3: CEO update: consumer spending in target market remains strong
AGM : 4TH AUGUST CEO UPDATE FOR THE 4 MONTHS ENDED JULY 2006 Consumer spending in the middle income group which is Lewis’ target market, remains strong. always delivering 3
Slide 4: First quarter retail sales up 17%
AGM : 4TH AUGUST CEO UPDATE FOR THE 4 MONTHS ENDED JULY 2006 The first quarter reflected a retail sales increase of 17% compared to last year with like for like sales increasing 13%. always delivering 4
Slide 5: July sales anticipated to increase 16%
AGM : 4TH AUGUST CEO UPDATE FOR THE 4 MONTHS ENDED JULY 2006 The month of July which in terms of the group’s trading cycle ends on 5th August, is anticipated to reflect a sales increase of 16% compared to last year. always delivering 5
Slide 6: Cash flows remain strong
AGM : 4TH AUGUST CEO UPDATE FOR THE 4 MONTHS ENDED JULY 2006 Cash flows remain strong. always delivering 6
Slide 7: Debtors book increased by R314 million
AGM : 4TH AUGUST CEO UPDATE FOR THE 4 MONTHS ENDED JULY 2006 The debtors book has increased by R314 million over the past year as a result of buoyant trading. The overall condition as measured by the impairment provision (doubtful debt provision) reflects a provision of 13% at the end of June compar
Slide 8: Company has repurchased 6.5% of its shares
AGM : 4TH AUGUST CEO UPDATE FOR THE 4 MONTHS ENDED JULY 2006 The company has repurchased 6.5% of its shares in terms of the general authority granted by shareholders at the last AGM. always delivering 8
Slide 9: New store opening programme progressing toward 25 stores
AGM : 4TH AUGUST CEO UPDATE FOR THE 4 MONTHS ENDED JULY 2006 The new store opening programme has progressed well and we expect to attain our target of 25 new stores for the current financial year. always delivering 9
Slide 10: Outlook: interest rate increase and resilient Lewis model
AGM : 4TH AUGUST CEO UPDATE FOR THE 4 MONTHS ENDED JULY 2006 In looking forward naturally the recent increase in interest rates will be a factor, but the Lewis model has over many years proved to be resilient in a changing interest rate environment. always delivering 10
Slide 11: Customer contact via Re-serve programme and promotions
AGM : 4TH AUGUST CEO UPDATE FOR THE 4 MONTHS ENDED JULY 2006 Our regular customer contact via the Re- serve programme together with strong in store customer promotions and merchandise initiatives will assist us in maximising all sales opportunities. always delivering 11
Slide 12: Confident of continuing to trade well this year
AGM : 4TH AUGUST CEO UPDATE FOR THE 4 MONTHS ENDED JULY 2006 We are therefore confident that we will continue to trade well in the current year. always delivering 12
Slide 13: Questions
Questions Visit our website on: www.lewisgroup.co.za always delivering 13