Leejam Sports Co. · TADAWUL:1830
Leejam Sports — Q1 2022 Earnings Presentation
26 slides from Leejam Sports's earnings presentation, 2022
Slide 1: Leejam Sports Company Investor Presentation Q1 2022
Leejam Sports Company Investor Presentation Q1 – 2022
Slide 2: Disclaimer
DISCLAIMER Leejam Sports Company makes no representation or warranty of any kind, express, implied or statutory regarding this document or the materials and information contained or referred to on each page associated with this document. The material and information contained on this document is pro
Slide 3: Agenda
Leejam’s Profile & Overview Financial Performance Strategic Report Outlook FY 2022 Q&A
Slide 4: Leejam's Profile & Overview
Leejam’s Profile & Overview
Slide 5: Our Values
Our Vision To be the people’s favourite and most accessible wellness club. Our Mission To steer society towards a healthy lifestyle and encourage people to exercise daily. “More than just a gym” From its humble beginnings, Leejam has continued in its path of evolution, fast becoming the region’s lar
Slide 6: Leejam Brands
Leejam Brands Leejam prides itself on its international and professional Fitness Team, designed to make Fitness Time the gym of choice. Leejam currently operates the following fitness brands: Situated in strategically selected locations to provide an accessible fitness centre to the fitness communit
Slide 7: Key Highlights
Key Highlights Q1 2022 Q1 2021 Q1 2022 Q1 2021 Item (SAR M) Q1 2022 Q1 2021 Change % Total Members Revenue 148.5 56.0% Female members 231.6 Gross profit 85.7 30.5 181.3% 245K 250K 47K 46K Operating Profit 58.7 4.6 1,182.7% EBITDA 114.2 55.1 107.2% Net Profit (Loss) (7.0) - Female centres 46.0 Season
Slide 8: Highlights
Highlights Best 1st Quarter Net Profit • Delivered highest Net Profit for Q1, 2022 comparing first quarter prior years Seasonality Effect • Fitness Time net profit decreased by about 46% in Q1 2022 compared to Q4 2021 mainly due to the seasonality effect. As the highest sales season for the company
Slide 9: Strategic Report
Strategic Report
Slide 10: Business Model
Business Model Leejam’s business model looks at the ways in which the Company is able to generate value for its stakeholders, along with the resources used to achieve all strategic objectives. These are built taking consideration towards the Company’s vision to be the people’s favourite and most acc
Slide 11: Business Model (continued)
Business Model (continued) Services and Features The Facilities Leejam’s Value Creation • Half Olympic Sized Pools • Cardio • Membership growth, retention • Jacuzzi • Strength and loyalty • Sauna • Personal Training • Sustainable returns for • Steam shareholders • CrossFit Style • Soccer, Basketball
Slide 12: Strategy
Strategy Growth Leejam has carefully crafted its 3-year strategy to enable the To increase the rate of expansion of fitness centres through: Company to continue its upwards trajectory built on rapid growth, expansion, • Traditional new clubs diversification and evolution. Every step of the Company’s
Slide 13: Strategy Framework
Strategy Framework For Leejam to achieve on its strategic objectives, a clear and concise framework is required outlining the way in which the Company plans to execute its strategy and achieve its goals. To lead by example To manage business performance To ensure structure and process • Portray the
Slide 14: Risk Management
Risk Management Leejam strives to ensure that its stakeholders, its reputation and the value of its assets are protected through effective risk assessment, identification and mitigation. The Company is committed to continually developing a risk management culture through its Risk Management Policy,
Slide 15: KSA 143 Centers Locations
Locations KSA 143 Centers UAE 7 Centers Key Features Target audience Males 25+ Males 16+ Males 16+ Males 16+ Females Females Females Total 16+ 16+ 16+ No. of Centers – As of Q1 4 53 35 17 32 5 4 150 2022
Slide 16: Financial Performance
Financial Performance LEELA
Slide 17: Profitability – Q1 2022
Profitability – Q1 2022 Amounts in million (SAR) Revenue Gross profit 148.5 231.6 30.5 85.7 Q1 2021 Q1 2022 Q1 2021 Q1 2022 EBITDA Operating income Net income 46.0 55.1 114.2 -7.0 4.6 58.7 Q1 2021 Q1 2022 Q1 2021 Q1 2022 Q1 2021 Q1 2022 17
Slide 18: QoQ Growth
QoQ Growth Average revenue/center & Net income/center is impacted by adding Amounts in million (SAR) 12 centers since October-21 which is still under ramp up period Revenue per center 2.0 1.8 300 .0 2.5 1.9 1.8 1.7 1.8 1.6 1.7 1.5 1.6 1.6 250 .0 1.7 1.5 2.0 200 .0 1.5 1.6 1.1 1.5 150 .0 1.0 100 .0 0
Slide 19: Revenue Break-Down Q1 2022
Revenue Break-Down Q1 2022 Amounts in million (SAR) Revenue, % of Total Revenue Rental, 3, 1% Other Service, 3, 1% PT, 23, 10% 56, 24% Corporate, 28, 12% 175, 76% Individual Male Female Membership, 175, 76% 19
Slide 20: Q1 2022 P&L
Q1 2022 P&L Key Messages: SR M Q1 2022 Q1 2021 ∆ ∆% Revenue 231.6 148.5 83.1 55.93% Revenue increased by SR 83.1 M representing 55.9% due to: Cost of revenue (145.9) (118.1) (27.8) 23.57% Gross profit 85.7 30.5 55.2 181.30% o Membership revenue, Personal Training (PT) revenue, rental Gross profit
Slide 21: Q1 2022 COR & SG&A
Q1 2022 COR & SG&A Amounts in million (SAR) Key Messages: 160 1.2 11% increase in average COR / center is mainly driven by: 140 More operating days in current quarter compared to similar quarter of 1.1 1.0 120 1.0 the previous year. 0.9 0.8 100 80 0.6 60 0.4 40 0.2 146 118 146 20 0 0.0 Q1 2020 Q
Slide 22: Loans & Finance Charges
Loans & Finance Charges Amounts in million (SAR) Key Messages: 600 8 7 7 Overall bank loan decreased by SR 134M comparing with Q1 2021, Cash 500 6 also decreased by SR 79M comparing with Q1 2021. 400 5 Weighted average cost of borrowings approximate 2.7% during Q1 2022 300 4 comparing 2.2% at th
Slide 23: Cash Generation
Cash Generation Amounts in million (SAR) 72 263 41 321 92 276 Q1 2020 Q1 2021 Q1 2022 Cash Flow from Operating Activites Deferred Revenue 23
Slide 24: 2022 Outlook
2022 Outlook
Slide 25: 2022 Outlook
2022 Outlook Tentative Guidance: Current Expected 2022 growth will be driven by: Category 31-Mar-22 31-Dec-22 • Further openings of 1 – 5 Xpress Clubs Female – Xpress 4 5–6 • Further openings of 5 – 10 Big Box centers Female - Big Box 37 42 – 44 • Expanding corporate & PT business Male - Big Box 92
Slide 26: Q&A Thank You
Q&A Thank You For enquires, please contact the Investor Relations Department at: investor.relations@leejam.com.sa
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