Slide 1: TCM Group A/S Interim Report April-June 2020
TCM Group A/S Interim Report April-June 2020 August 18, 2020
Slide 2: Covid-19 status
Covid-19 status ❑ Store traffic in the beginning of Q2 hard hit, but increased during the quarter ❑ Temporary sales campaigns launched in the early stage of the virus outbreak ❑ Order intake has shown an increasing trend during the quarter ❑ Higher level of discounts has had an adverse impact on mar
Slide 3: Business update Q2 2020
Business update Q2 2020 ❑ Growth primarily driven by the Danish market primarily within Nettoline towards the DIY market as well as a higher share of 3rd party products ❑ Sales to Norway declined. The Norwegian kitchen market influenced by Covid-19, lower oil price, and currency fluctuations ❑ Numbe
Slide 4: Revenue growth in Q2, despite an extraordinary market situation
Revenue growth in Q2, despite an extraordinary market situation Revenue 260 mDKK (258 mDKK) Cash conversion 0.8% 101.8% revenue growth (102.6%) NWC ratio EBIT -8.8% 40 mDKK (-7.1%) (42 mDKK) EBIT margin 15.2% (16.3%) 4
Slide 5: Q2 revenue growth driven by B2C market and export
Q2 revenue growth driven by B2C market and export 2020 2019 2020 2019 Apr-Jun Apr-Jun Jan-Jun Jan-Jun Net revenue (mDKK) 260 258 514 508 - Organic growth 0.8% 1.3% 2.2% growth Q2 comments: in DK revenue ❑ Revenue growth in Denmark was +2.2% ❑ Growth driven by Nettoline towards the DIY market as well
Slide 6: P&L highlights
P&L highlights 2020 2019 2020 2019 Apr-Jun Apr-Jun Jan-Jun Jan-Jun Net revenue (mDKK) 260 258 514 508 - Gross Margin 27.4% 28.6% 26.6% 27.0% EBIT (mDKK) 40 42 69 73 - EBIT margin 15.2% 16.3% 13.5% 14.4% Q2 comments ❑ Gross margin adversely impacted by sales campaigns initiated in the early stage of
Slide 7: NWC ratio up on LY supported by extended credit on VAT/income tax
NWC ratio up on LY supported by extended credit on VAT/income tax – part of the government’s stimulus packages 2020 2019 Jun Jun Net working capital (mDKK) -89 -69 NWC ratio -8.8% -7.1% NIBD (mDKK) 19 151 Leverage (x EBITDA) 0.1 0.8 Q2 comments ❑ NWC impacted favourably by stimulus packages of c. 25
Slide 8: High cash conversion continued
High cash conversion continued 2020 2019 2020 2019 Apr-Jun Apr-Jun Jan-Jun Jan-Jun Operating profit (mDKK) 40 42 69 73 Depreciation and amortization (mDKK) 5 5 11 10 Change in NWC (mDKK) 28 1 -20 -26 Tax a.o (mDKK) 0 0 -6 -5 Capex excl. acquisitions (mDKK) -4 -2 -8 -5 Operating cash flow excl. acqui
Slide 9: Financial outlook 2020
Financial outlook 2020 TCM Group ❑ Full-year guidance for 2020 is reinstated: ❑ Net revenue: 980-1,020mDKK, which is at level on par with 2019 (1,007mDKK) ❑ EBIT: 135-145mDKK, slightly below 2019 (EBIT excluding non-recurring items) Revenue development Adjusted EBIT development DKKm DKKm 1,007 980-1
Slide 10: Q&A
Q&A