Canadian Tire Corporation, Limited · TSX:CTC
Canadian Tire — Q2 2018 Earnings Presentation
16 slides from Canadian Tire's earnings presentation, Aug 9, 2018
Slide 1: Canadian Tire Corporation Second Quarter Financial Results
Canadian Tire Corporation Second Quarter Financial Results| August 9, 2018
Slide 2: Forward Looking Information
Forward Looking Information Caution regarding forward-looking statements This document contains forward-looking statements that reflect Management’s current expectations relating to matters such as future financial performance and operating results of the Company. Forward-looking statements provide
Slide 3: Executive Participants
Executive Participants Stephen Wetmore, President and CEO, Canadian Tire Corporation Dean McCann, Executive Vice President and Chief Financial Officer Allan MacDonald, Executive Vice President, Retail Mahes Wickramasinghe, Executive Vice President and Chief Corporate Officer Greg Hicks, Pr
Slide 4: Second Quarter Highlights
Second Quarter Highlights SECOND QUARTER RESULTS SECOND QUARTER COMPARABLE SALES SECOND QUARTER PERFORMANCE AT FINANCIAL SERVICES • Consolidated revenue, excluding • Consolidated up 1.6% • Gross average credit card receivable Petroleum, increased $27.2M or growth of 10.4% • Canadian Tire up 2.0% 0.9
Slide 5: Normalizing Items
Normalizing Items: The table below summarizes the pre-tax amount for the previously listed normalizing items that were included in results for the 13 and 26 weeks ended June 30, 2018: The results of operations include two normalizing items in the current year. These items include: • One-time costs r
Slide 6: Selected Normalized Metrics Consolidated
Selected Normalized Metrics Consolidated: 1 Refer to section 4.1.1 of the Q2 2018 MD&A for a description of normalizing items. SECOND QUARTER FINANCIAL RESULTS | SELECTED NORMALIZED METRICS 6
Slide 7: Selected Normalized Metrics Retail and Financial Services
Selected Normalized Metrics Retail: 1 Refer to section 4.1.1 of the Q2 2018 MD&A for a description of normalizing items. Financial Services: 1 Refer to section 4.1.1 of the Q2 2018 MD&A for a description of normalizing items. SECOND QUARTER FINANCIAL RESULTS | SELECTED NORMALIZED METRICS 7
Slide 8: Consolidated Financial Results
Consolidated Financial Results Reported diluted EPS was $2.38 in the quarter, a decrease of $0.43 per share, or 15.1 percent. Normalized diluted EPS in the quarter was $2.61, a decrease of $0.20 per share or 7.2 percent In Q2, as retail revenue and gross margin (excluding Petroleum) were relatively
Slide 9: Retail Segment Results
Retail Segment Results 1. Revenue, gross margin and selling, general and administrative expenses were restated as a result of IFRS 15 adjustments. Refer to Note 2 of the Q2 condensed interim consolidated financial statements for additional information. 2. Retail sales is a key operating performance
Slide 10: CT REIT Segment Results
CT REIT Segment Results In Q2 income before income taxes increased by $0.5 million, or 0.6 percent, primarily due to an increase in earnings attributable to the income generated from properties acquired and intensification activities completed during 2018 and 2017, offset by an increase in interest
Slide 11: Financial Services Segment Results
Financial Services Segment Results In Q2 income before income taxes of $71.4 million decreased $29.8 million, or 29.4 percent. Normalized income before taxes was $84.9 million, a decrease of $16.3 million or 16.1 percent over the prior year’s earnings. The decline on income before taxes was primaril
Slide 12: Appendix: Adjusted Normalized EBITDA and Adjusted EBITDA
Appendix Adjusted Normalized EBITDA and Adjusted EBITDA (C$ in millions) Q2 2018 Q2 2017 YTD 2018 YTD 2017 Adjusted normalized EBITDA $ 393.9 $ 433.2 $ 675.1 $ 717.6 Less normalizing item: The roll-out of the Triangle Rewards program and associated credit cards $ 17.3 $ - $ 17.3 $ - Acquisition of H
Slide 13: Appendix (cont'd): Retail Segment normalized EBITDA and EBITDA
Appendix (cont'd) Retail Segment normalized EBITDA and EBITDA (C$ in millions) Q2 2018 Q2 2017 YTD 2018 YTD 2017 Normalized EBITDA $ 239.2 $ 270.4 $ 356.5 $ 396.9 Less normalizing item: The roll-out of the Triangle Rewards program and associated credit cards $ 3.8 $ - $ 3.8 $ - Acquisition of Helly
Slide 14: Appendix (cont'd): Consolidated and Retail Revenue Excluding Petroleum Revenue
Appendix (cont'd) Consolidated and Retail Revenue Excluding Petroleum Revenue Consolidated Revenue excluding Petroleum Revenue (C$ in millions) Q2 2018 Q2 2017 Change YTD 2018 YTD 2017 Change Revenue $ 3,480.8 $ 3,374.1 3.2% $ 6,295.7 $ 6,095.5 3.3% Petroleum Revenue 537.4 457.9 17.4% 997.1 866.5 15
Slide 15: For more information
For more information: http://investors.canadiantire.ca SECOND QUARTER FINANCIAL RESULTS | CONTACT US 15
Slide 16: Thank You
Thank You