Cashbuild Limited · JSE:CSB
Cashbuild — FY2023 Earnings Presentation
24 slides from Cashbuild's earnings presentation, 2023
Slide 1: Final Results Presentation for the year ended 25 June 2023
2023 Final Results Presentation for the year ended 25 June 2023
Slide 2: Contents
Contents Financial Review 5 Product Categories 16 Store Landscape and Summary 25 Annual Results 34 Corporate Information 35
Slide 3: Disclaimer
Disclaimer This presentation differs from the presentation available on the website as a result of industry sensitive information contained therein. The financial information pertaining to Cashbuild Limited’s (Cashbuild’s) results are based on the results published on SENS in terms of the JSE Limite
Slide 4: Financial Key Statistics
Financial Key Statistics Revenue Operating profit Headline earnings Net asset value per share (excl goodwill impairment) R10.7bn R389m R271m R80.68 4% 56% 38% 14% 14 1200 700 120 Rbn Rm Rm Rand 110 12 1000 600 100 90 10 500 800 80 8 (5%) 400 70 600 60 6 300 50 400 (36%) 40 4 (67%) 200 30 (4%) 2 200
Slide 5: Financial Review
01 Financial Review CASHBUILD FINAL RESULTS PRESENTATION FOR THE YEAR ENDED 25 JUNE 2023 5
Slide 6: Income Statement
Income Statement Statutory Audited Audited 25 Jun 2023 26 Jun 2022 R’m (52 Weeks) (52 Weeks) % variance Revenue 10 653 11 145 (4) Gross profit 2 705 2 928 (8) Gross profit % 25.4 26.3 Operating expenses (2 472) (2 052) 20 Operating expenses % 23.2 18.4 Operating profit 233 876 (73) Operating profit
Slide 7: Operating Expenses
Operating Expenses Existing stores# % of % of % variance R’m revenue total Jun 2023 Jun 2022 % variance June 2023 Total 23.2 2 472 2 052 20 19 Looted stores (1) (208) (183) Insurance income from looting 17 151 Goodwill impairment (2) (156) - Total excl looting and goodwill impairment 19.9 2 125 2 02
Slide 8: Average Basket Size; Segmental Disclosure
Average Basket Size Rand All Stores Growth Q1: 4% Q2: 3% Q3: 3% Q4: 2% 780 760 740 720 700 680 660 640 620 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun FY2024 FY2023 FY2022 FY2022 has been smoothed for comparative 5 weeks and 4 weeks 10 NOTES Segmental Disclosure Cashbuild Botswana, Cashbuild P&L
Slide 9: Gross Profit and EBIT Margin; EPS and DPS
Gross Profit and EBIT Margin 28% 10% 27% 27,4% 9% 26,6% 26% 26,4% 26,0% 8% 25% 8,2% 25,3% 25,5% 25,2% 25,2% 7,9% 25,1% 24,8% 7% 24% 23% 6% 22% 5,2% 5% 5,2% 21% 4% 20% 3% 19% 18% 2,2% 2% FY 2019 FY 2020 FY 2021 FY 2022 FY 2023 1HY 2HY FY EBIT margin EBIT margin excluding the looting and goodwill impa
Slide 10: Statement of Financial Position; Cash Flow
Statement of Financial Position Statutory Audited Audited R’m 25 June 2023 26 June 2022 % variance Assets Property, plant and equipment 1 243 1 266 (2) Right-of-Use assets 1 141 1 177 (3) Intangible assets 271 425 (36) Inventories 1 698 1 520 12 Trade and other receivables 90 136 (34) Cash resources
Slide 11: Product Categories
02 Product Categories CASHBUILD FINAL RESULTS PRESENTATION FOR THE YEAR ENDED 25 JUNE 2023 16
Slide 12: Group Sales per Week; Cement Sales
Group Sales per Week R’million Q1 Q2 Q3 Q4 270 230 190 150 W1 W3 W5 W7 W9 W11 W13 W15 W17 W19 W21 W23 W25 W27 W29 W31 W33 W35 W37 W39 W41 W43 W45 W47 W49 W51 FY2022 FY2023 FY2024 17 NOTES Cement Sales Pockets Q1 Q2 Q3 Q4 750 700 650 600 550 500 450 400 350 300 W1 W3 W5 W7 W9 W11 W13 W15 W17 W19 W21
Slide 13: Cement Unit Sales; Total Timber Sales
Cement Unit Sales Per Supplier Jun 2022 Dec 2022 Jun 2023 5% 6% 6% 10% 4% 12% 4% 14% 5% 5% 6% 6% 8% 6% 5% 27% 28% 26% 21% 25% 27% 13% 14% 17% AFRISAM PPC LAFARGE NPC SEPHAKU MAMBA CEMZA OTHER 19 NOTES Total Timber Sales R’million Q1 Q2 Q3 Q4 21 19 17 15 13 11 9 W1 W3 W5 W7 W9 W11 W13 W15 W17 W19 W21
Slide 14: Total Brick Sales; Total Roof Covering Sales
Total Brick Sales R’million Q1 Q2 Q3 Q4 17 15 13 11 9 7 W1 W3 W5 W7 W9 W11 W13 W15 W17 W19 W21 W23 W25 W27 W29 W31 W33 W35 W37 W39 W41 W43 W45 W47 W49 W51 FY2022 FY2023 FY2024 21 NOTES Total Roof Covering Sales R’million Q1 Q2 Q3 Q4 24 20 16 12 W1 W3 W5 W7 W9 W11 W13 W15 W17 W19 W21 W23 W25 W27 W29
Slide 15: Total Opening Sales; Total Decorative Sales
Total Opening Sales R’million Q1 Q2 Q3 Q4 23 21 19 17 15 13 11 W1 W3 W5 W7 W9 W11 W13 W15 W17 W19 W21 W23 W25 W27 W29 W31 W33 W35 W37 W39 W41 W43 W45 W47 W49 W51 FY2022 FY2023 FY2024 23 NOTES Total Decorative Sales R’million Q1 Q2 Q3 Q4 50 40 30 20 W1 W3 W5 W7 W9 W11 W13 W15 W17 W19 W21 W23 W25 W27
Slide 16: Store Landscape and Summary
03 Store Landscape and Summary 25 CASHBUILD FINAL RESULTS PRESENTATION FOR THE YEAR ENDED 25 JUNE 2023
Slide 17: Competitor Landscape; Sales by Province
Competitor Landscape Corporate Competitors c. R50 billion market Owned by Independent Competitors c. R30 billion market 26 NOTES Sales by Province 2500 1.2% (5.4%) 2000 (7.8%) (5.1%) 1500 (5.5%) 1000 0.3% (1.7%) (10.7%) 500 (8.9%) (11.5%) 66 65 67 65 44 44 38 39 29 31 23 24 19 18 15 15 7 7 10 10 0 G
Slide 18: Stores by Location; Store Development
Stores by Location Number of stores Jun 2023 (Jun 2022) Location Town- Town Rural Metro (% of total) ship 86 (86) 2023 Stores 32% 32% 27% 9% 100 (98) 29 (29) 2023 Sales 36% 28% 25% 11% 103 (105) 2022 Stores 33% 31% 27% 9% 2022 Sales 37% 29% 23% 11% 28 NOTES Store Development Total Cashbuild Stores T
Slide 19: New Stores FY2023; P&L Hardware Branding
New Stores FY2023 Gauteng Western Cape ▪ Mabopane ▪ George North West Eastern Cape ▪ Hebron Mall ▪ Queenstown Dunbar Street South Africa Malawi Limpopo ▪ Mamaila Mall ▪ Tafelkop Botswana Namibia eSwatini South Africa Lesotho Cashbuild P&L Hardware 30 NOTES P&L Hardware Branding Extensive market rese
Slide 20: Summary and Thank You
Summary Market expected to remain tough as trading and economic Sales outlook remain subdued conditions continue to deteriorate P&L Hardware’s goodwill partially Focus on delivering Strong focus on impaired - our strategy store expansion Cashbuild Group remains one major clear out completed of south
Slide 21: Annual Results
Annual Results Annual Results and Dividend Declaration for the year ended 25 June 2023 Revenue Headline earnings Net asset value per share Final Dividend R10.7 BILLION R271 MILLION 8 068 CENTS 332 CENTS down 4% down 38% down 14% down 51% COMPANY PROFILE Cashbuild is southern Africa’s largest retaile
Slide 22: Corporate Information
Corporate Information Cashbuild Limited (Incorporated in the Republic of South Africa) Registration number: 1986/001503/06 ISIN: ZAE000028320 Cashbuild JSE code: CSB Directors AGW Knock* (British) (Chairman) W de Jager (Chief Executive Officer) M Bosman (Mr)* M Bosman (Ms)* Dr DSS Lushaba* AJ Mokgwa
Slide 23: Maxx
Maxx
Slide 24: Slide 24