Seb Sa · EURONEXT:SK
Seb Sa — Groupe SEB — 9M 2022 Earnings Presentation
30 slides from Seb Sa's earnings presentation, Oct 24, 2022
Slide 1: 2022 Nine-Month Sales and Financial Data
2022 NINE-MONTH SALES AND FINANCIAL DATA October 24, 2022 Listen to the live webcast click here
Slide 2: Disclaimer
2022 Nine-month sales and financial data DISCLAIMER Some of the statements contained in this document may be forward- looking statements concerning Groupe SEB's financial position, results, businesses, strategy or projects. Groupe SEB considers that such statements are based on reasonable assumption
Slide 3: Contents
CONTENTS 1. Group sales review 2. ORFA, net financial debt 3. Consolidation of the Group’s businesses in the DACH region 4. Outlook 5. Appendix
Slide 4: Group Sales Review
01 GROUP SALES REVIEW
Slide 5: YTD resilient sales vs record 2021 and above 2019 level
YTD resilient sales vs record 2021 and above 2019 level 9 months 2018 – 2022 YTD sales (€m) €5,560m 5,570 5,560 5,114 -0.2% -4.3% LFL 4,712 +8.7% vs 2019 4,628 CAGR ~ 5% Q3 €1,894m 9M-2018 9M-2019 9M-2020 9M-2021 9M-2022 -3.4% -8.1% LFL +6.6% vs 2019 5 24/10/2022 2022 Nine-month sales and financial
Slide 6: Consumer and professional performances
Consumer and professional performances 9-months 9-months €5,056m €504m -1.2% -5.2% LFL +10.7% +6.0% LFL Q3 Q3 €1,720m €174m -4.2% -8.8% LFL +5.6% -0.2% LFL 6 24/10/2022 2022 Nine-month sales and financial data
Slide 7: 9-month sales bridge 2021 to 2022
9-month sales bridge 2021 ➔ 2022 In €m 5,570 5,560 - 239 229 Organic Currency growth effect -4.3% +4.1% - 0.2% Reported growth 9m 2021 9m 2022 7 24/10/2022 2022 Nine-month sales and financial data
Slide 8: 9-month sales bridge 2021 to 2022: more insight on contrasted performance
9-month sales bridge 2021 ➔ 2022: more insight on contrasted performance In €m 5,570 49 -30 5,560 - 188 216 - 57 France/Germany Russia/Ukraine China Professional Other countries -3.4% -1.0% +3.9% +0.9% -0.5% - 0.2% Reported growth NB: the respective percentages of each category indicated in the brid
Slide 9: France & Germany currently weighing on Group's performance
France & Germany currently weighing on Group’s performance (focus on Consumer) ▪ High exposure of Groupe SEB to France & Germany : > 20% of Group sales • Sales down 17% after record growth in 2021 (+21% YTD) • Market down 7% YTD vs resilient total market ▪ Non-repeated large 2021 LPs ➔ - €61m in 202
Slide 10: Major sales decline in Russia & Ukraine
Major sales decline in Russia & Ukraine ▪ FY 2021 Consumer sales = €384m ➔ ~5% of Group sales ▪ YTD sales down 23% (€57m) or 33% LFL (~€80m) vs +31% in 2021 10 24/10/2022 2022 Nine-month sales and financial data
Slide 11: Groupe SEB continues to show positive momentum in China
Groupe SEB continues to show positive momentum in China… ▪ YTD sales up 5.5% in a changing ▪ Supor continues to significantly outperform macroeconomic environment, driven by: the market • E-commerce ➔ 67% of total Supor • Innovation and product offering extension sales • Online sales development, wi
Slide 12: Supor strengthening its market positions
… with Supor strengthening its market positions ▪ Kitchen Electrics ▪ Cookware • Supor # 1 online, widening the gap • Supor undisputed leader both online with #2 and offline • Strengthened #2 position offline, • Strengthened leadership, YTD reducing the gap with #1 • Supor holding almost half of the
Slide 13: Sustained dynamic and good prospects in the Professional Business
Sustained dynamic and good prospects in the Professional Business… ▪ Lower roll-out of major contracts compared to 2021 in the US and UK ▪ LFL growth in Core business: +6.1% in Q3, +15.4% YTD • Larger and steadier customer base • Service revenue up double digit yoy • Wilbur Curtis achieving double d
Slide 14: Enhanced by the recent acquisition of Zummo
… enhanced by the recent acquisition of Zummo ▪ World leader in the design, manufacture and distribution of automatic juicing machines ▪ Recognized expertise : 130 skilled employees (15% in R&D), one factory in Valencia ▪ Revenue of around €25 million in 2021 ▪ Penetration of a new segment in the pr
Slide 15: ORFA, Net Financial Debt
GROUPE SEB ORFA, NET FINANCIAL DEBT
Slide 16: 9-month/Q3 performance
9-month/Q3 performance 9 months Q3 €5,560m €1,894m Sales -0.2% -4.3% LFL -3.4% -8.1% LFL +8.7% vs 2019 +6.6% vs 2019 Operating Result €319m €120m from Activity €528m in 2021 €208m in 2021 Net financial debt €2,581m* at 30/09/2022 + €630m vs 30/09/2021 *incl. an IFRS 16 impact of €337m 16 24/10/2022
Slide 17: 9-month ORFA bridge
9-month ORFA bridge + 481 - 271 In €m 528 - 266 - 68 - 45 359 - 40 319 Volumes Price-mix COGS Growth drivers Administrative Currencies & commercial expenses ORfA Margin 9.5% 6.7% 5.7% 9-months 2021 9-months 2022 9-months 2022 LFL 17 24/10/2022 2022 Nine-month sales and financial data
Slide 18: Net financial debt update
Net financial debt update Net financial debt €2,581m* at 30/09/2022 €1,951m at 30/09/2021 ▪ Slightly positive FCF generation in Q3 vs. H1 at -€680m ▪ High level of debt mainly driven by: • WCR ➔ Inventories (+€630m vs 30/09/2021) linked to stock build-up in 2021 ➔ Sharp reduction in purchases leadin
Slide 19: Consolidation of the Group's Businesses in the DACH Region
03 CONSOLIDATION OF THE GROUP’S BUSINESSES IN THE DACH REGION
Slide 20: Groupe SEB consolidates its business in the DACH region
Groupe SEB consolidates its business in the DACH region ▪ DACH is the first European market for Groupe SEB, with Groupe SEB DACH and WMF Consumer’s activities ▪ To foster growth and deliver further synergies in the region, Groupe SEB has announced today the decision to consolidate its activities ▪ T
Slide 21: Outlook
04 OUTLOOK
Slide 22: Revised FY 2022 Financial Guidance
Revised FY 2022 Financial Guidance New Guidance Previous Guidance ▪ Sales ▪ Sales Around €7.9bn Stable vs. FY 2021 (€8.059bn) ▪ Operating Margin from Activity ▪ Operating Margin from Activity Between 7.0% and 7.5% Between 8.0% and 8.5% Assumptions: Q4 sales trend and mix in line with Q3 Stepped-up d
Slide 23: Conclusion
Conclusion ▪ Perfect storm in 2022 • Huge 2021 comps • Ongoing headwinds • Difficult situation in some key markets ▪ Confidence in the promising nature of our markets, Consumer and Professional ▪ Confidence in the strength of the Group’s business model 23 24/10/2022 2022 Nine-month sales and financi
Slide 24: Appendix
GROUPE 7 me z APPENDIX
Slide 25: 9-month 2022 currency impact on sales
9-month 2022 currency impact on sales : + €229m In €m 200 + €229m 150 Q1: + €56m Q2: + €81m Q3: + €92m 100 50 0 - 50 - 100 CNY ARS JPY CHF VND SGD TRY USD RUB BRL CAD AUD MXN PLN COP GBP Others 25 24/10/2022 2022 Nine-month sales and financial data
Slide 26: 9-month 2022 sales by region
9-month 2022 sales by region In €m 9 months 9 months 9 months Q3 2022 As reported 2021 2022 2022 LFL LFL EMEA 2,597 2,302 -11.4% -10.6% -13.7% Western Europe 1,843 1,625 -11.8% -12.0% -17.8% Other countries 755 677 -10.3% -7.2% -3.3% AMERICAS 773 804 +4.0% -6.1% -12.5% North America 550 557 +1.3% -9
Slide 27: Q3 2022 sales by region
Q3 2022 sales by region In €m Q3 2022 vs. Q3 Q3 2021 Q3 2022 As reported LFL 2019 EMEA 936 809 -13.6% -13.7% +3.8% Western Europe 671 553 -17.6% -17.8% -0.4% Other countries 264 256 -3.3% -3.3% +14.3% AMERICAS 293 289 -1.3% -12.5% +7.9% North America 202 199 -1.6% -14.8% +13.1% South America 91 90 -
Slide 28: 9-month 2022 sales by region
9-month 2022 sales by region Total sales Consumer sales Professional Consumer Other Asia 9% 91% 8% Western Europe 32% China €5,560m 31% €5,056m -4.3% LFL -5.2% LFL South America Other EMEA 5% 13% North America 11% 28 24/10/2022 2022 Nine-month sales and financial data
Slide 29: Glossary
Glossary On a like-for-like basis (LFL) – Organic Net debt The amounts and growth rates at constant exchange rates and consolidation scope in a This term refers to all recurring and non-recurring financial debt minus cash and cash given year compared with the previous year are calculated: equivalent
Slide 30: Contacts
Investor/Analyst Relations Media Relations Groupe SEB Groupe SEB Financial Communication Corporate Communication Dept and Investor Relations Dpt Isabelle Posth Cathy Pianon C O N TA C T S Olivier Gernandt Marie Leroy iposth@groupeseb.com cpianon@groupeseb.com ogernandt@groupeseb.com mleroyi@groupese