Myer Holdings Limited · ASX:MYR
Myer — Shareholder Meeting (November 2013)
21 slides from Myer's shareholder meeting presentation, Nov 20, 2013
Slide 1: Myer AGM 2013 – CEO and Managing Director presentation
MYER AGM 2013 For personal use only 20 November 2013 BERNIE BROOKES CEO and Managing Director Image: Jayson Brunsdon Black Label (Myer Exclusive Brand) • FY2013 result • Delivering our five-point plan • Our current focus • Current trading and Outlook Image: Wayne by Wayne Cooper (Myer Exclusive Bran
Slide 2: FY2013 - a solid result
MYER AGM 2013 FY2013 - a solid result • Total sales $3.1 billion, up 0.8% For personal use only • Operating gross profit margin +40 bps to 41.7% • Cash CODB $1,007 million, up 3.1% • EBITDA $305 million, EBITDA margin 9.7% • EBIT $215 million, EBIT margin 6.8% • Reported NPAT $127 million, down 8.7%
Slide 3: FY2013 sales performance
MYER AGM 2013 FY2013 sales performance For personal use only Highlights: Sales growth ($) and mix (%) • Myer Exclusive Brands, Concessions, +$40m +$18m new stores, online, new brands 20.0% 15.4% • sass & bide double-digit sales growth • Best states: QLD, WA, VIC, NSW • Top categories: Cosmetics, 64.
Slide 4: Cash cost of doing business
MYER AGM 2013 Cash cost of doing business For personal use only Cash CODB CODB/Sales • Investment in omni-channel, $m % Myer Exclusive Brands, MYER one 1100 35 31.31 32.02 29.95 • New store costs 1050 29.43 29.56 30 • Opex associated with refurbishments 1000 25 • Increased store labour costs 950 20
Slide 5: Progress against five-point plan
MYER AGM 2013 For personal use only • FY2013 result • Delivering our five-point plan • Our current focus • Current trading and Outlook Image: TBC Image: (TBC)by Wayne Cooper (Myer Exclusive Brand) Wayne Progress against five-point plan ① Improve customer service ② Enhance our merchandise offer ③ Str
Slide 6: 1. Improve customer service
MYER AGM 2013 For personal use only DELIVERING OUR PLAN / 11 1. Improve customer service Service initiatives • New training program focused on customer service culture • Engagement program for premium MYER one members • Customer Service Centre technology upgrade and integration v with online service
Slide 7: 1. Improve customer service – efficiency initiatives
MYER AGM 2013 1. Improve customer service For personal use only Efficiency initiatives • Shrinkage further reduced, remains below 1% • Increased compliance by suppliers to „floor ready‟ standards • Stock management processes review to increase speed to floor • Safety record improvement, LTIFR* 8.6 (
Slide 8: 2. Enhance merchandise offer
MYER AGM 2013 2. Enhance merchandise offer For personal use only Myer Exclusive Brands growth continues • Now represent 20.0% of sales mix • Top performing Myer Exclusive Brands in FY2013: • Introduction of new brands in FY2013: fleurette by intimates “Myer Exclusive Brands deliver significantly hig
Slide 9: For personal use only
MYER AGM 2013 For personal use only DELIVERING OUR PLAN / 17 DELIVERING OUR PLAN / 18 20 November 2013 9
Slide 10: 3. Strengthen our loyalty program
MYER AGM 2013 For personal use only DELIVERING OUR PLAN / 19 3. Strengthen our loyalty program • Milestone 5 millionth member joined the program • Represents ~70% of sales • Tier restructure including new premium Platinum tier • MYER one smartphone app launched, >200,000 downloads • $50m Rewards Car
Slide 11: 3. Strengthen our loyalty program – innovating for members
MYER AGM 2013 For personal use only DELIVERING OUR PLAN / 21 3. Strengthen our loyalty program Innovating to delight MYER one members • Offering MYER one members more choice to be rewarded • MYER one Wine Club established and growing • MYER Visa Card delivering loyalty rewards • Commonwealth Bank pa
Slide 12: 4. Build a leading omni-channel offer
MYER AGM 2013 4. Build a leading omni-channel offer For personal use only Key metrics demonstrate solid progress • Online sales growth >200% • Online store continues to climb store rankings • Average monthly website visits doubled • Growth in average basket size and online order value • SKUs online
Slide 13: For personal use only
MYER AGM 2013 For personal use only DELIVERING OUR PLAN / 25 DELIVERING OUR PLAN / 26 20 November 2013 13
Slide 14: 5. Optimise our store network
MYER AGM 2013 5. Optimise our store network For personal use only • Store network integral to omni-channel strategy • New stores opened Fountain Gate, Townsville, Shellharbour • Closures: Forest Hill and Tuggeranong (FY2012), Fremantle (FY2013), Dandenong (FY2014), Elizabeth (February 2014) • Space
Slide 15: sass & bide ownership
MYER AGM 2013 For personal use only Full store refurbishment, completion due April 2014 Centre and mall upgrade also underway New „lifestyle‟ zoned homewares floor Space reduced, 6 to 5 floors DELIVERING OUR PLAN / 29 sass & bide ownership • Acquired remaining 35% stake, resulting in full ownership
Slide 16: Our current focus
MYER AGM 2013 For personal use only • FY2013 result • Delivering our five-point plan • Our current focus • Current trading and Outlook Image: Wayne by Wayne Cooper (Myer Exclusive Brand) Image: TBC (TBC) 32 20 November 2013 16
Slide 17: Myer Christmas App
MYER AGM 2013 Myer Christmas App For personal use only • First retailer in Australia to offer augmented reality • Customers can make in-store Christmas characters “come alive” on their smartphone or tablet • Free to download and will help customers easily connect with in-store experiences they canno
Slide 18: Christmas in the Community / Sustainability focus
MYER AGM 2013 Christmas in the Community For personal use only Power of Give with Salvos images of windows, salvos collection in store 35 Sustainability focus Sustainability at Myer My Customer My Team My Community My Environment My Business Customer service Attraction and Strategic Energy and Corpo
Slide 19: Q1 FY2014 sales result pleasing
MYER AGM 2013 For personal use only • FY2013 result • Delivering our five-point plan • Our current focus • Current trading and Outlook Image: Wayne by Wayne Cooper (Myer Exclusive Brand) Image: TBC (TBC) Q1 FY2014 sales result pleasing • Total sales up 0.44% to $691.1 million • Comparable sales up 0
Slide 20: Competitive advantages and Outlook
MYER AGM 2013 Competitive advantages For personal use only Adapting the business for current and future challenges Investing in growth Myer Exclusive Brands, MYER one, omni-channel, initiatives sass & bide, new stores Leveraging previous IT, supply chain, POS, merchandise system, stores $600m invest
Slide 21: Disclaimer
MYER AGM 2013 For personal use only 20 November 2013 BERNIE BROOKES CEO and Managing Director Image: Jayson Brunsdon Black Label (Myer Exclusive Brand) Disclaimer All numbers are unaudited. This release may contain “forward-looking statements”. Forward-looking statements can generally be identified