Fielmann Group Ag · XETR:FIE
Fielmann — Analyst Conference 2024
44 slides from Fielmann's conference presentation, Aug 30, 2024
Slide 1: Analyst Conference
Analyst Conference fielmann 30 August 2024
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by Fielmann Group AG ("Fielmann") and comprises the written materials/slides for a presentation concerning Fielmann. By attending this presentation and/or reviewing the slides you agree to be bound by the following conditions. The distribution of this d
Slide 3: Agenda
Agenda Fielmann Group at a glance Who we are, what makes us special and key figures Recent Financial Performance 2019-2022: Focus on topline — 2023-2025: Focus on margin Guidance & mid-term Outlook Update on Vision 2025 — Profitability drivers visible
Slide 4: Agenda
Agenda O Fielmann Group at a glance Who we are, what makes us special and key figures Recent Financial Performance 2019-2022: Focus on topline — 2023-2025: Focus on margin Guidance & mid-term Outlook Update on Vision 2025 — Profitability drivers visible
Slide 5: Fielmann Group — Who We Are
Fielmann Group — Who We Are Key figures ©) 29m customer @ >24.000 employees Py € 2bn total sales O >90% customer satisfaction rate @ Market leader in Central Europe and 3 US States
Slide 6: Europe's market leader — #3 worldwide
Europe’s market leader — #3 worldwide Group — “The Family” Multi-brand strategy — identical customer-oriented philosophy fielmann Segments Segmentation by region Segmentation by product category — R. Contact Sun- 9 P = Others x J Contect Sun PaAcousticslf Others ff Services — eyewear ff Lenses [J gl
Slide 7: Business Segmentation — Sales Split (HY 1/2024)
Business Segmentation — Sales Split (HY 1/2024) by geographical region” Others North America 5% Spain. Austria | 5% Switzerland Germany *In HY2/2024: ~40% of sales expected from outside Germany due to US-acquisitions (in line with Vision 2025) by product category Others Acoustics A Sunglasses : 6% C
Slide 8: "We help hear and see the beauty in the world."
“We help hear and see the beauty in the world.” © fielmann group
Slide 9: Agenda
Agenda Fielmann Group at a glance Who we are, what makes us special and key figures Recent Financial Performance 2019-2022: Focus on topline - 2023-2025: Focus on margin Guidance & mid-term Outlook Update on Vision 2025 — Profitability drivers visible
Slide 10: Summary — HY1/2024 In A Nutshell
Summary — HY1/2024 In A Nutshell Despite the challenging market environment in Europe, Fielmann with strong development and continued expansion of market position in the first six months of 2024. Group sales grew 11% yoy (6% US-acquisition; 5% organic). Broad growth foundation: all core product cate
Slide 11: Continued Profitable Growth in HY1/2024
Continued Profitable Growth n HY1/2024 9 absolute figures in€ m, margins in % of total sales incl. inventory changes, HY1, Fielmann Group Total Sales (incl. inventory changes) 980 855 HY1/2022 HY1/2023 HY1/2024 EBITDA and EBITDA Margin 208 237 21.2 171 20.1 HY1/2022 HY1/2023 HY1/2024 Operating Cashf
Slide 12: Agenda
Agenda 10 Fielmann Group at a glance Who we are, what makes us special and key figures Recent Financial Performance 2019-2022: Focus on topline — 2023-2025: Focus on margin Guidance & mid-term Outlook Update on Vision 2025 — Profitability drivers visible
Slide 13: Vision 2025 — Quick Review: Where Do We Stand?
Vision 2025 — Quick Review: Where Do We Stand? 11 Customer Success Corporate Success € 2.3bn external sales >90% customer satisfaction & : Y : :
Slide 14: Pillars Of Our Vision 2025 — Recent Achievements
Pillars Of Our Vision 2025 — Recent Achievements 12 Digitisation Internationalisation Profitability Digital sales channels FY2023: +17% yoy >€ 100m International markets’ sales share FY2023:~32% EBITDA margin FY2023: +1.5pp yoy HY1/24: +0.5pp yoy i HY 1/24: +4% yoy ] HY1/24: ~35% HY2/24e: ~40% | 3 |
Slide 15: Business In Europe — What Drives Our Profitability
Business In Europe — What Drives Our Profitability 13 fielmann ‘group
Slide 16: Higher progressive lense share
Higher progressive lense share Remain price leader = (rs share of quality lenses “ Increase efficiency in our stores Improve costs in headquarters Reduction of IT and consulting costs Personnel cost ratio 14
Slide 17: Levers To Improve Profitability
Levers To Improve Profitability 15 1 2 Improve Improve efficiency: product mix Personnel cost ratio 3 Improve efficiency: Decrease structural costs
Slide 18: Levers To Improve Profitability
Levers To Improve Profitability 1 2 3 Improve efficiency: Decrease structural Improve Improve efficiency: product mix Personnel cost ratio costs 16
Slide 19: Focus On Favorable Product Mix
: Focus On Favorable Product Mix 17 Demographic change & strategic focus support increasing progressive lens share Strong private label provides value for customers Training & Technology provide basis for customer-oriented optimisation of lens sell-out (higher value lenses)
Slide 20: Levers To Improve Profitability
Levers To Improve Profitability 1 2 3 Improve efficiency: Improve Improve efficiency: P . P Y Decrease structural ; product mix Personnel cost ratio costs 4 YS 18
Slide 21: #2: Improve Productivity
#2: Improve Productivity 19 Increase efficiency in our stores Optimize workflows in our stores
Slide 22: Levers To Improve Profitability
Levers To Improve Profitability 1 2 3 Improve efficiency: Improve Improve efficiency: prove P ¥ Decrease structural , product mix Personnel cost ratio costs i 4 YS 20
Slide 23: #3: Improvement Of Cost Ratios In Our Headquarters
#3: Improvement Of Cost Ratios In Our Headquarters 21 Improve costs in our/headquarters Reduction of IT and consulting costs
Slide 24: Central Costs Decreasing
Central Costs Decreasing 22 Headquarters costs’ in % of Group sales 18.2 18.2 2018 2019 2020 2021 2022 2023 2024 forecast *Considered costs: headquarters in Hamburg, Sales in DACH region incl. Central Europe 2025 forecast fielmann ‘group
Slide 25: Business In The US — Additional Growth Engine
Business In The US — Additional Growth Engine fielmann group 23
Slide 26: Promising Market Conditions
Promising Market Conditions 24 ~~ io) Attractive market " Largest optical market globally ® Low level of consolidation (Q Unfulfilled customer needs " Long waiting times " Poor frame selection at zero co-pay = Intransparent insurance scheme
Slide 27: Shopko Transaction In Line With Vision 2025
Shopko Transaction In Line With Vision 2025 25 befting sWs i Fielmann VISION B= USA fielmann
Slide 28: Expansion Focus On Midwest
Expansion Focus On Midwest ™ Midwest is our sweet spot #1 ~80m inhabitants (same as GER) #2 Significantly higher AOV than in GER #3 Low market consolidation levels
Slide 29: 2023: SVS-Acquisition A Great Entry Into Target Market
2023: SVS-Acquisition A Great Entry Into Target Market 27 VISION = 82 retail practices (stores) = Market leader in Michigan ‘group
Slide 30: 2024: Shopko-Acquisition Completes The Picture
2024: Shopko-Acquisition Completes The Picture 28 9 sWVs VISION = 82 retail practices (stores) = Market leader in Michigan 9 Shopko Optical. * 44 retail practices (stores) = Market leader in Wisconsin & Nebraska ‘group
Slide 31: Building A Market-Leading US Platform
Building A Market-Leading US Platform 1 2 3 Le Improved offering Realisation of Leverage know-how for customers synergies and process efficiency YS _ 29
Slide 32: Building A Market-Leading US Platform
Building A Market-Leading US Platform 1 2 3 Le Improved offering Realisation of Leverage know-how - for customers synergies and process efficiency Se YS 7 “33 , SS 30
Slide 33: #1: Unmet Customer Needs In The US Market
#1: Unmet Customer Needs In The US Market Customers & Few available appointments with optometrists = Only a few frames at zero co-pay (< 40 models) UO we Wws Poor frame selection Complex insurance system
Slide 34: Eye Exam Speed Pass Works — Strong Growth Trend
Eye Exam Speed Pass Works — Strong Growth Trend Fielmann USA: Eye exams in Q1/2024 compared to 1/2023 32 Eye exams 3.6% Growth doubled 7.1% Q1/2023 Q1/2024 Q1 call fielmann ‘group
Slide 35: Building A Market-Leading US Platform
Building A Market-Leading US Platform 1 2 3 Le Improved offering Realisation of Leverage know-how - for customers synergies and process efficiency Se YS 7 “33 , SS 33
Slide 36: Integration Of The Acquired US Companies
#2: Integration Of The Acquired US Companies 34 Merging of central functions at headquarters Optimisation of core processes — Best of three worlds Targeted US market approach — online & insurances
Slide 37: Building A Market-Leading US Platform
Building A Market-Leading US Platform 1 2 3 Le Improved offering Realisation of Leverage know-how - for customers synergies and process efficiency Se YS 7 “33 , SS 35
Slide 38: Use What Made Us Great In Europe
#3: Use What Made Us Great In Europe 36 Adapting the way we serve our customers and patients Increasing private label share Leverage cost advantages
Slide 39: Building A Market-Leading US Platform
Building A Market-Leading US Platform 1 2 3 Le Improved offering Realisation of Leverage know-how for customers synergies and process efficiency YS _ 37
Slide 40: Initiated Measures Poised to Improve Margin Profile
Initiated Measures Poised to Improve Margin Profile According to IFRS sVs VISION befitting -13% é 2023 * Excluding transaction and integration costs 38 Shopko Optical. Shopk Optical sVs sVs befitting befitting 19% * sVs o,* : befitting 12% 7%* HY1/2024 HY2/2024 2025 UU —_——————“ 10%* fielmann group
Slide 41: On Track With EBITDA Margin Development
On Track With EBITDA Margin Development H1/2024 23.0% ” Excluding transaction and integration costs fielmann 39 arnany
Slide 42: Guidance 2024e Confirmed — Vision 2025 Specified
Guidance 2024e Confirmed — Vision 2025 Specified Updated Guidance (status: July) Outlook 2025 oll ool Increase in sales forecast Group sales of around € 2.3 bn Continue the successful growth path - © oD & | r= EBITDA Margin as similar or slightly higher EBITDA margin Europe: ~25% than 2023 - despite
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Slide 44: Thank you for your attention.
Thank you for your attention. § See you soon. 42