Slide 1: MIPS' presentation of the Year end report 2020
11 FEBRUARY 2021 MIPS’ presentation of the Year end report 2020
Slide 2: Key highlights
Key highlights • Strong performance in the quarter with 60% net sales growth (77% organic). Despite challenging start of the year, we manage to deliver 36% net sales growth (43% organic) • Good consumer demand in Bike continues. Record amount of customer projects, strong increase of customers and mo
Slide 3: We continue to expand our customer base
We continue to expand our customer base 121 • We now have 121 active brands all over the world 121 103 78 active 60 45 • We grew with all our key customers, in all categories and brands 15 28 4 8 8 all geographies we are present in (2020) 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 • We have d
Slide 4: Bike – Good demand continue
Bike – Good demand continue • High demand for MIPS solutions in bike helmets • Sales to bicycle helmets has been the main part of the sales for the fourth quarter • Industry expectations is that inventory levels will not normalize prior to mid 2021, which means that there will be bike helmets being
Slide 5: Snow – Different situation around the world
Snow – Different situation around the world • High interest for winter sports around the world but restrictions limits possibilities • Nordic and US ski resorts are to large extent open. Still limited possibilities to ski in South and Central Europe • The uncertainty of winter holiday season remains
Slide 6: Moto – Strong sales continue
Moto – Strong sales continue • Strong sales in MOTO continues, mainly through increased penetration with existing customers • MX still the key driver, but Road motorcycle is gaining traction • Several initiatives launched to improve our position in Motorcycle • Good consumer demand expected coming q
Slide 7: Safety – International expansion started
Safety – International expansion started • Good interest in Safety category from both helmet manufacturers and construction companies • First larger customer onboard. Centurion, key PPE supplier for the UK market • New harness solution developed, bring possibilities for MIPS also in harness equipped
Slide 8: Launch of Product ranges
Launch of Product ranges • Simplified product range makes it easer to choose and diversify our offering • Focus on educating consumers, empowering them to make more informed decisions when buying a helmet • MIPS has previously been a B2B-focused company. The launch is another step towards more consu
Slide 9: Team Mips
Team Mips LEADING WORLD CLASS ATHLETES HENRIK HARLAUT BRANDON SEMENUK Most decorated x-games Most ever RedBull skier of all time Rampage wins 2020 | Year end report 9
Slide 10: Development in our different categories
Development in our different categories SPORTS MOTO MOTO SAFETY Fourth quarter/YTD 2020 Fourth quarter/YTD 2020 Fourth quarter/YTD 2020 Revenue, SEKm 130 / 341 Revenue, SEKm 10 / 24 Revenue, SEKm 0/0 Growth, % 59 / 36 Growth, % 79 / 42 Growth, % -/- No. of brands 107 (96) No. of brands 26 / (20) No.
Slide 11: Development in the fourth quarter
Development in the fourth quarter • Net Sales increased by 60%, organic growth was 77% Organic • Gross profit up 57%, gross margin down 160 bps to 73.3% growth • OPEX – continue to invest in strategic priorities 77% • EBIT up 96% to SEK 76m (39), EBIT margin 54.4% (44.6) • Cash flow – strong increas
Slide 12: Development full year 2020
Development full year 2020 • Net Sales increased by 36%, organic growth was 43% Organic • Gross profit up 34%, gross margin down 130 bps to 72.8%. Adjusting growth for acquisitions, gross margin down 100 bps to 73.1% • OPEX – continue to invest in strategic priorities 43% • Adjusted EBIT was SEK 168
Slide 13: Balance sheet and cash flow
Balance sheet and cash flow CASH FLOW FROM OPERATING ACTIVITIES • Strong improvement of Cash flow from operating (SEKm) 49 activities with SEK 49m (20) in the quarter 31 29 24 24 23 20 15 12 10 12 • Cash and Cash Equivalents at SEK 272m (192) 3 4 6 8 6 8 0 1 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
Slide 14: Summary
Summary Net sales and adjusted EBIT-margin 12 • Strong quarter mainly driven by good demand for months rolling bike helmets 400 46% 50% 350 41% 41% 41% 41% 42% 45% 39% 37% 365 38% 40% • The strong consumer demand is expected to 300 34% 312 35% 250 continue, assuming no dramatic change to current 26%
Slide 15: Q&A
Q&A
Slide 16: Disclaimer
DISCLAIMER Important message from MIPS AB This presentation has been prepared by MIPS AB (publ) (the “Company”) solely for use at this presentation and is furnished to you solely for your information and may not be reproduced or redistributed, in whole or in part, to any other person. The presentati