Slide 1: Kid ASA Q2 2018
Kid ASA 16 August 2018 Q2 2018 Presentation available at investor.kid.no
Slide 2: Highlights Q2 2018
Highlights Q2 2018 • Revenues increased by 1.1% compared to Q2 2017 • Gross margin of 61.5% (61.6%) • EBITDA of MNOK 20.1 (MNOK 21.6), representing an EBITDA margin of 7.1% (7.7%) • One store opening, two store relocations and five store refurbishments • NIBD/EBITDA of 2.1 (2.2) 2 Kid ASA Q2 2018
Slide 3: Revenues and market share
Revenues and market share Q2 revenues increased by 1.1% (4.9%) Revenue Market growth (LTM) • Like-for-like growth of -2.7% (2.8%) including online sales 506 9,8 % • Revenues from seasonal spring and summer 9,3 % products increased by 16%, while the full-year 8,2 % 8,3 % assortment showed negative gr
Slide 4: Store portfolio
Store portfolio Store portfolio development in Q2: • A new store opened at Forus (Stavanger) • The stores at Sortland and Rosenlund (Lillehammer) were relocated • The stores at Mosenteret (Mo i Rana), AMFI Borg (Sarpsborg), AMFI Namsos (Namsos), Horisont (Bergen) and AMFI Svolvær (Svolvær) were refu
Slide 5: Operational focus
Operational focus Operational focus and sustainability: • Healthy inventory situation heading into Q3 and Q4 • September BI implemented as a new app-based reporting and store operations tool • Started to use recyclable paper bags for our online orders • GDPR implemented successfully. Managed to main
Slide 6: Gross margin
Gross margin Gross margin reduction of 0.1 pp in Q2 (IFRS9) Gross margins in 2017 and 2018 • Gross margin was 61.5% for the quarter, a 59,9% 58,4% 61,6% 61,5% 60,8% 58,4% reduction of 0.1 pp from Q2 2017 • Gross margins historically high in Q2 due to increased share of seasonal full-price assortment
Slide 7: EBITDA
EBITDA EBITDA margin of 7.1% (7.7%) in Q2 EBITDA 2017 and 2018 • Employee benefits-related expenses decreased by -0.3% in Q2 2018 125,2 • 2.4 pp due to net new stores • 1.2 percentage points due to general salary inflation and decreased staffing level in stores driven by lower sales • -3.9 percentag
Slide 8: Income statement
Income statement Income statement Amounts in MNOK Q2 2018 Q2 2017 H1 2018 H1 2017 FY 2017 Revenue 281,5 278,4 556,4 532,3 1 381,7 COGS -108,5 -107,0 -222,8 -208,9 -547,6 Net profit margin of 1.9% (2.8%) in Q2 Gross profit 173,0 171,4 333,6 323,4 834,0 Gross margin (%) 61,5 % 61,6 % 60,0 % 60,8 % 60,
Slide 9: Cash flow
Cash flow Cash flow Amounts in MNOK Net cash flow from operations Q2 2018 Q2 2017 -12,6 -32,3 H1 2018 H1 2017 -74,5 -96,3 FY 2017 118,1 Net cash flow from investments -13,9 -24,3 -18,9 -30,7 -47,1 Net cash flow from financing 43,3 -84,2 39,9 -87,6 -233,6 NIBD/EBITDA of 2.1 (2.2) per 30.06.2018 Net c
Slide 10: Operational initiatives
Operational initiatives Mid-term objectives unchanged • Back-to-school campaign launched in August • USDNOK hedged for the period July– December 2018 with weighted exchange rate of 7.76 (8.35) 10 Kid ASA Q2 2018
Slide 11: Kid INTERIOR
Kid INTERIOR