Slide 1: Kamux – Half Year Results Presentation
Kamux – Half Year Results Presentation January―June 2018 August 23, 2018 CEO Juha Kalliokoski CFO Tapio Arimo
Slide 2: Table of Contents
Table of Contents Half Year Results Presentation 2018 Outlook and Financial Q2/2018 in Brief Financial Development Targets Summary
Slide 3: Kamux Vision
Kamux Vision #1 used car retailer in Europe
Slide 4: Kamux Q2 2018 in Brief
Kamux Q2 2018 in Brief 1. 3. 5. Revenue Adjusted operating profit Internationalization proceeded as planned increased to EUR increased by 36.2 % and revenue increased in Sweden by 128.0 million to EUR 6.1 million (4.5) 38.0 % to EUR 23.3 million and in (109.2) Germany by 21.6 % to EUR 7.1 million Gr
Slide 5: Operating Environment was Stable
Operating Environment was Stable Market Market size Kamux’s market Market development during Q2 Kamux’s position and development (2017) share during Q2 Finland ~0.5 million ~7.0% The Finnish market situation Kamux maintained its market cars #1 was relatively unchanged, we leader position, and we est
Slide 6: Kamux in Q2 2018 — Improving Profitability
Kamux in Q2 2018 — Improving Profitability Revenue (EUR million) Adjusted Operating Profit (EUR million) +17.2% 140 7 36.2% 120 6 100 5 80 4 60 3 40 2 20 1 0 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2016 2017 2018 2016 2017 2018 • Revenue growth in Q2 2018 was on good level • Adjusted operating profit grew in Q2 2
Slide 7: Number of Cars Sold Grew by 15.7%
Number of Cars Sold Grew by 15.7% Sold Cars (pcs) +15.7% 12,000 11,379 11,433 11,083 10,294 9,833 9,698 9,882 10,000 9,258 8,523 8,676 8,000 9,337 9,486 9,246 6,000 8,522 8,452 8,255 8,325 7,933 7,419 7,571 4,000 2,000 1,346 1,290 1,547 1,448 1,107 1,162 1,025 1,123 933 896 171 218 219 209 418 434 4
Slide 8: Integrated Services Revenue Continued to Grow
Integrated Services Revenue Continued to Grow MEUR Integrated Services Revenue % 12 6 5.3% 5.3% 5.0% 5.1% 5.0% 10 4.7% 4.7% 4.7% 4.7% 5 4.3% 8 4 6.1 6.4 6.1 6 5.6 5.8 3 5.2 5.4 4.9 5.0 4.2 4 2 2 1 0 0 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3 17 Q4 17 Q1 18 Q2 18 Finance fees and insurance commissions
Slide 9: Financial Development
Financial Development Tapio Arimo CFO
Slide 10: Key Figures
Key Figures 4-6/ 4-6/ 1-6/ 1-6/ 1−12/ (MEUR) Change, % Change, % 2018 2017 2018 2017 2017 Revenue 128.0 109.2 17.2 % 256.7 218.4 17.5 % 454.9 Gross profit 16.3 13.0 25.7 % 30.9 25.5 21.2 % 53.8 as percentage of revenue, % 12.8 % 11.9 % 12.0 % 11.7 % 11.8 % Operating profit (EBIT) 3.6 3.5 4.6 % 8.4 6
Slide 11: Kamux’s Revenue Grew Strongly
Kamux’s Revenue Grew Strongly 140 17.2% • The number of used cars sold by Kamux in the second quarter grew by 15.7 % and 120 totaled 11,433 (9,882). 100 • Kamux’s revenue grew by 17.2 % in Q2 2018. 80 • The increase in revenue was driven by new 60 showrooms and strong like-for-like revenue growth. 4
Slide 12: Kamux Finland — Growth Continued to Accelerate
Kamux Finland — Growth Continued to Accelerate Revenue (EUR million) +14,3% 120 • Revenue grew by 14.3 % compared to the 100 80 previous year and was EUR 102.7 million 60 (89.8). 40 • Gross margin increased to EUR 13,6 million 20 0 (11,3) and 13,2 % (12.6 %) of revenue. Q1 Q2 Q3 Q4 Operating profit
Slide 13: Kamux Sweden — Very Strong Revenue Growth Continued
Kamux Sweden — Very Strong Revenue Growth Continued Revenue (EUR million) +38,0% 25 • Revenue grew by 38.0% compared to the 20 15 previous year and was EUR 23.3 million 10 (16.9). 5 0 Q1 Q2 Q3 Q4 • Operating profit was EUR 0.4 million (0.0) 2016 2017 2018 and 1.9% (0.2%) of revenue. Operating Income
Slide 14: Kamux Germany — Operating Income Improved Significantly
Kamux Germany — Operating Income Improved Significantly Revenue (EUR million) +21,6% 8 • Revenue grew by 21.6% compared to the 6 previous year and was EUR 7.1 million (5.8). 4 2 • Operating loss decreased significantly and was 0 EUR -0.2 million (-0.5). Q1 Q2 Q3 Q4 2016 2017 2018 • Development of Ka
Slide 15: Net Working Capital and Inventories Grew
Net Working Capital and Inventories Grew Net Working Capital (EUR million) Inventories (EUR million) 60 70 12.8% 17.4% 60 50 50 40 40 30 30 20 20 10 10 0 0 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3 17 Q4 17 Q1 18 Q2 18 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3 17 Q4 17 Q1 18 Q2 18
Slide 16: Cash Flow from Operations Positive in Q2
Cash Flow from Operations Positive in Q2 Cash Flow from Operations (EUR million) 8 6 4 2 0 -2 -4 -6 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3 17 Q4 17 Q1 18 Q2 18 Cash Flow from Operations Special Items Net Working Capital Change Cash Flow from Operations excluding Special Items and Net Working Capital
Slide 17: Investments into Future Growth Continue According to Strategy
Investments into Future Growth Continue According to Strategy Investments (EUR million) 1,5 In line with our strategy, we have systematically 1,0 invested in our future • Personnel: recruitment and training 0,5 • Internationalization: the necessary resources 0,0 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q
Slide 18: Outlook and Financial Targets
Outlook and Financial Targets
Slide 19: Outlook and Financial Targets
Outlook and Financial Targets € € € Revenue of at least EUR EBIT margin of 4–5% in Distribute dividends of Kamux does not 700 million in 2019 2019 and at least 5% in at least 30% of net publish a short-term the long term profits(1) outlook Revenue Profitability Dividend Policy Outlook 1) When decidi
Slide 20: Summary
Summary
Slide 21: Summary Q2/2018
Summary Q2/2018 Revenue grew to EUR Profitability improved – 128.0 million adjusted operating profit (109.2) EUR 6.1 million (4.5) Like-for-like showroom revenue Internationalization continued strongly growth 9.3 % (-11.6)
Slide 22: Questions?
Questions?
Slide 23: Disclaimer
Disclaimer It should be noted that Kamux and its Since these statements are based on current business are exposed to various risks and plans, estimates and projections, they uncertainties, and certain statements involve risks and uncertainties that may herein which are not historical facts, cause ac