Slide 1: Kid ASA Q1 2018
Kid ASA 09 May 2018 Q1 2018 Presentation available at investor.kid.no
Slide 2: Highlights Q1 2018
Highlights Q1 2018 • Revenues increased by 8.3% compared to Q1 2017 • Gross margin of 58.4% (59.9%) • EBITDA of MNOK 9.9 (MNOK 7.2), representing an EBITDA margin of 3.6% (2.9%) • Two store relocations and one store closing • NIBD/EBITDA of 1.7 (1.5) 2 Kid ASA Q1 2018
Slide 3: Revenues and market share
Revenues and market share Q1 revenues increased by 8.3% (10.1%) Revenue Market growth (LTM) • Like-for-like growth of 3.3% (7.6%) 506 including online sales 9,8 % 9,2 % 9,3 % • Online sales growth of 54.1% (27.7%) 8,2 % 8,3 % • Two store relocations and one store 344 6,8 % closing in the quarter 275
Slide 4: Revenues as of April
Revenues as of April As of April revenues are up 6.6% YTD compared to 2017 • Due to the revenue effect following the timing of Easter, Kid ASA has decided to announce the revenues per April in the Q1 report • There was the same number of shopping days in April as there was in the same period in 2017
Slide 5: Store portfolio
Store portfolio Store portfolio development in Q1: • The stores at Liertoppen Senter (Lier) and Dikeveien (Fredrikstad) were refurbished • The store at Straen Senter (Stavanger) was closed • 139 (134) physical stores at the end of the quarter. 5 Kid ASA Q1 2018
Slide 6: Operational focus
Operational focus Operational focus and sustainability: • “Made to measure sun screening” successfully launched as an online offering during Q1 with positive impact on online revenue growth • The online logistics were improved during the quarter to ensure one day order handling • Marketing expenses
Slide 7: Gross margin
Gross margin Gross margin reduction of 1.5 pp in Q1 (IFRS9) Gross margins in 2017 and 2018 • Gross margin was 58.4% for the quarter, a 59,9% 58,4% 61,6% 60,8% 58,4% reduction of 1.5 pp from Q1 2017 • Gross margin impacted by a change in the campaign plan and availability of campaign items Q1 Q2 Q3 Q
Slide 8: EBITDA
EBITDA EBITDA margin of 3.6% (2.9%) in Q1 EBITDA 2017 and 2018 • Employee benefits-related expenses increased by 2.4% in Q1 2018 125,2 • 2.9 pp due to net new stores • -0.5 pp due to general salary inflation and decreased staffing level in stores driven by store closures during Easter 60,5 • Other O
Slide 9: Income statement
Income statement Income statement Amounts in MNOK Q1 2018 Q1 2017 FY 2017 Revenue 274,9 253,9 1 381,7 COGS -114,3 -101,9 -547,6 Net profit margin of -0.6% (-1.2%) in Q1 Gross profit 160,6 152,0 834,0 Gross margin (%) 58,4 % 59,9 % 60,4 % • Depreciation increased due to last year’s Other operating in
Slide 10: Cash flow
Cash flow Cash flow Amounts in MNOK Q1 2018 Q1 2017 FY 2017 Net cash flow from operations -61,9 -64,0 118,1 Net cash flow from investments -5,1 -6,4 -47,1 Net cash flow from financing -3,4 -3,4 -233,6 NIBD/EBITDA of 1.7 (1.5) per 31.03.2018 Net change in cash and cash equivalents -70,4 -73,8 -162,5
Slide 11: Operational initiatives
Operational initiatives Mid-term objectives unchanged • Well prepared summer assortment and campaigns ready to launch • USDNOK hedged for the period April– October 2018 with weighted exchange rate of 7.76 (8.34) • Expected maintenance CAPEX increased to MNOK 30 for 2018 to speed up successful refurb
Slide 12: Events after the report period
Events after the report period Kjersti Hobøl, CEO of Kid • On May 4th 2018, Kjersti Hobøl decided to pursue opportunities outside the company after 8 years as CEO in Kid • The process was not initiated by the board • The board will immediately initiate a recruiting process of a new CEO • Kjersti Hob
Slide 13: Q&A
QzA Kid INTERIOR