Slide 1: TCM Group A/S Interim Report January-March 2023
TCM Group A/S Interim Report January-March 2023 May 17, 2023
Slide 2: Business update Q1 2023
Business update Q1 2023 ❑ Resilient sales in Q1 due to TCM’s strong B2B position ❑ Organic like-for-like growth of -2.8% ❑ Decline in high margin B2C sales offset by growth in lower margin B2B project sales, resulting in an unfavorable change in sales mix and reduced earnings. ❑ Cost for dealership
Slide 3: Revenue decrease in Q1 of 2.8% in a challenging market
Revenue decrease in Q1 of 2.8% in a challenging market Revenue 274 mDKK (281 mDKK) Cash conversion 2.8% 68.2% revenue decline (60.5%) NWC ratio Adjusted EBIT -2.0% 13 mDKK (-3.4%) (26 mDKK) Adjusted EBIT margin 4.8% (9.3%) 3
Slide 4: Q1: Revenue development
Q1: Revenue development 2023 2022 Jan-Mar Jan-Mar Net revenue (mDKK) 274 281 - Revenue decline 2.8% Q4 comments: 2.7% decrease DK revenue in Q1 ❑ Reported revenue in Denmark decreased by 2.7% - 2023 flat development in Svane Køkkenet. ❑ Growth in private label and ecommerce segments. ❑ Revenue outsi
Slide 5: Income statement highlights
Income statement highlights 2023 2022 Jan-Mar Jan-Mar Net revenue (mDKK) 274 281 - Gross Margin 18.5% 21.3% Adjusted EBIT (mDKK) 13 26 - Adjusted EBIT margin 4.8% 9.3% Q4 comments: ❑ Decline in high margin B2C sales, offset by growth in lower margin B2B project sales leading to negative impact on gr
Slide 6: Increased headroom from renegotiated leverage covenant
Increased headroom from renegotiated leverage covenant 2023 2022 Mar Mar Net working capital (mDKK) -22 -37 NWC ratio -2.0% -3.4% NIBD (mDKK) 315 278 Leverage (incl. IFRS 16) 2.95 1.89 Q4 comments: ❑ Decrease in NWC compared to Q1 LY primarily due to higher trade receivables and lower trade payables
Slide 7: Cash flow
Cash flow 2023 2022 Jan-Mar Jan-Mar Operating profit (mDKK) 11 21 Depreciation and amortization (mDKK) 5 4 Other non-cash operating items 0 0 Change in NWC (mDKK) -34 -43 Tax a.o (mDKK) -11 -8 Capex excl. acquisitions, net (mDKK) -6 -7 Free cash flow excl. acquisitions (mDKK) -35 -33 Cash conversion
Slide 8: Financial outlook 2023
Financial outlook 2023 TCM Group Financial outlook on earnings adjusted: ❑ Net revenue: DKK 950-1,050m (unchanged) ❑ EBIT: DKK 60-90m (previously DKK 70-100m) (EBIT excluding non-recurring items) Revenue development Adjusted EBIT development DKKm DKKm 1146 1108 950-1050 1007 1025 154 140 138 103 60-
Slide 9: Q&A
Q&A