Viva Goods Company Limited · HKEX:933
Viva Goods — FY2023 Earnings Presentation
19 slides from Viva Goods's earnings presentation, Mar 21, 2024
Slide 1: Viva Goods Company Limited (0933.HK) 2023 Annual Results Presentation
Viva Goods Company Limited (0933.HK) 2023 Annual Results Presentation March 2024 STRICTLY PRIVATE AND CONFIDENTIAL
Slide 2: Results Highlights
Results Highlights Financial Highlights 1. The Group implemented the international brand operation strategy, and recorded a revenue of HKD11.2 billion in 2023, a YoY increase of 62.6%. 2. Despite the high inflation and high interest rate in Europe and the U.S. that weakened the consumer demands, the
Slide 3: Financial Review
Financial Review
Slide 4: Revenue Analysis: YoY Growth of 62.6%
Revenue Analysis Revenue by Segment Overall revenue of HK$11.2 billion YoY Growth of 62.6% Consumer Goods HK$10.68 billion ︳95.2% Group's overall revenue in the last five years HK$11.2 billion +62.6% HK$6.9 billion Sports Experience HK$540 million ︳4.8% HK$1.38 billion HK$630 million HK$820 million
Slide 5: Revenue of major brands – By Sales Channel
Revenue of major brands – By Sales Channel 2023 2022 Revenue Revenue Revenue Revenue By sales channels (HK$’000) contribution (%) (HK$’000) contribution (%) Clarks DTC 4,286,745 44.4% 2,496,510 46.3% Wholesale and others 4,052,344 42.0% 2,097,030 38.9% Online 1,307,403 13.6% 793,343 14.8% Total 9,64
Slide 6: Gross Profit Margin Analysis
Gross Profit Margin Analysis Group’s gross profit margin in the last five years Overall gross profit margin maintained at 45.7% 41.4% 45.8% 45.7% 40.4% Clarks offered relatively higher retail discount during economic downturn, resulting in decreased gross profit 19.7% margin. The impact of the decli
Slide 7: Profit and Loss Analysis
Profit and Loss Analysis The Group recorded a loss attributable to equity holders, mainly due to: 1) one-off restructuring expenses for Clarks in 2023, which certain positions were cut to streamline the business and improve its profitability; and 2) worse-than-expected performance of directly operat
Slide 8: Operating Expenses Analysis
Operating Expenses Analysis % Operating Expenses Ratios Selling and distribution expenses %* 60.0% 55.3% Increased by 1.6 p.p. to 40.9% • Excluding the provision on fixed assets and right-of-use 50.0% assets, the ratios would be 35.9% and 34.4% for 2023 43.7% 41.4% 40.9% and 2022, respectively. 39.3
Slide 9: Liquidity and Financial Resources Analysis
Liquidity and Financial Resources Analysis The Group's cash and cash equivalents and current assets decreased compared to last year due to the payment of cash consideration to increase stakes in Clarks. However, the Group maintained a steady and effective liquidity position, with the current ratio m
Slide 10: Business Review
Business Review
Slide 11: Business Updates – Clarks
Business Updates – Clarks Rebuilt the e-commerce platform for the European and the U.S. markets, comprehensively enhancing the consumer 1 experience, and complementing marketing promotions and community interactions, in order to drive future online sales Mid to high-end footwear brand and increase t
Slide 12: Business Updates – bossini.X
Business Updates – bossini.X Incorporated elements of cycling sports and developed new 1 products with a focus on sporty outerwear and light outdoor Casual Lifestyle brand that designs incorporates cycling sport elements Adjusted sales channels according to new product 2 positioning, closed ineffici
Slide 13: Business Updates – TESTONI
Business Updates – TESTONI Opened a flagship store in Milan for men collection, A century-old 1 reaffirming the heritage of the century-old Italian brand. Italian luxury leatherwear brand 2 Collaborating with French designers to launch a new women collection in 2025. 12
Slide 14: Business Updates – Sports Experience
Business Updates – Sports Experience ◼ LNG reached top eight in the League of Legends ◼ 3 Li-Ning Sports Park and 2 ice-skating rinks opened during 2023 World Championship 12 sports parks/sports centres in operation Jiangshan Li Ning Sports Park Guangzhou Li Ning Sports Centre Ningbo Hangzhou Bay Li
Slide 15: Prospects
Prospects
Slide 16: Mission, Vision and Values
Mission, Vision and Values Vision To become a Leading International brand Operator Mission To serve the public and guide the pursuit of elegant, enjoyable, healthy, and leisurely lifestyles. Values • Uncover brand value. • Pursue product quality. • Individuals and teams collaborate to create value.
Slide 17: Group Development Strategies
Group Development Strategies 1 Rebranding brands with legacy or growth potential to improve operational efficiency and increase brand premiums 2 Implementing brand strategies tailored to the local preferences and characteristics of each market, such as “China for China” strategy in Greater China Str
Slide 18: Market Growth Potential and Opportunities
Market Growth Potential and Opportunities Growth of the Global Footwear Market (2023-2030) Rapid growth opportunities in the Global Apparel Market USD 626 billion Enhancing product design and procurement: Stay informed about industry trends and adapt USD 421 billion product designs to align with cha
Slide 19: Investor Relations
Investor Relations Email: vivagoods@dlkadvisory.com Tel: (852) 3796 1111