Migros Ticaret A.s. · BIST:MGROS
Migros Ticaret A.s — 9M 2016 Earnings Presentation
20 slides from Migros Ticaret A.s's earnings presentation, 2016
Slide 1: Migros Ticaret A.Ş. 9M 2016 Financial Results
Migros Ticaret A.Ş. 9M 2016 Financial Results
Slide 2: Disclaimer Statement
Disclaimer Statement Migros Ticaret A.Ş. (the “Company”) has prepared this presentation for the sole purpose of providing information about its business, operations and financial results. The informaation in this presentation is subject to updating, revision and amendment. The information in this pr
Slide 3: Contents
CONTENTS Market Share Sales Evolution Financial Expansion Overview Ataşehir Migros Key Financial Guidance Metrics Financial Format Results Summary 2
Slide 4: Consolidated Sales in 9M 2016
Consolidated Sales in 9M 2016 Consolidated sales reached TL 8,159 million in 9M 2016, with an increase of 16.4% versus last year, Resilient domestic sales growth of 18.5% despite macroeconomic headwinds and challenges in the market in 3Q 2016 Quarterly Sales (TL million) Sales (TL million) 2,668 3,0
Slide 5: Market Share Evolution
Market Share Evolution Domestic Sales Growth of Migros FMCG Market Share Evolution Migros’ Domestic Sales Growth Y-o-Y (%) Migros Market Share (%) 18.5% 14.4% 16.9% 13.9% 13.9% 5.7% 5.5% 9M 2014 9M 2015 9M 2016 9M 2015 9M 2016 Domestic Sales Growth In total FMCG market In modern FMCG market Note : M
Slide 6: Expansion
Expansion Net Sales Area Split By Banner - 3Q 2016 New store openings in 3Q16 52 New store openings in 9M16 194 Small/mid/large supermarkets New store openings in 2015 257 Number of Stores as of 9M16 1,575 Compact hypermarkets Number of Stores - Total Mid/large supermarkets 1,575 1,352 +223 +224 1
Slide 7: Consolidated Gross Profit in 9M 2016
Consolidated Gross Profit in 9M 2016 Solid Gross Profit Generation Gross profit grew by 17.5% y-o-y to TL 2,205 million in 9M 2016, Gross profitability sustained, despite stiff competition. Furthermore, price competitiveness and Migros’ price perception improved noticeably in the eyes of customers,
Slide 8: Consolidated EBITDA(R) in 9M 2016
Consolidated EBITDA(R) in 9M 2016 Solid EBITDA(R) Generation EBITDA rose by 14.6% and reached TL 519 million, where EBITDAR increased by 14.8% y-o-y in 9M 2016, EBITDA margin increased back to 6.9% in 3Q 2016, in spite of high employee cost pressures this year Quarterly EBITDA* (TL million) EBITDA*
Slide 9: Key Financial Metrics
Key Financial Metrics Accelerated growth, where EBITDA margin sustained Domestic Sales Growth Y-o-Y (%) Consolidated EBITDA Margin (%) Growth accelerated Sustainable EBITDA margin: 6.0-6.5% 18.5% 16.9% 6.6% 6.5% 6.4% 13.9% 9M 2014 9M 2015 9M 2016 9M 2014 9M 2015 9M 2016 Stable Negative Cash Conversi
Slide 10: Expectations and Guidance
Expectations and Guidance Management Message Domestic growth has been soaring this year albeit tough market conditions (9M 2016: 18.5%) Improved EBITDA margin of 6.9% in 3Q 2016, despite the negative impact of 30% minimum wage hike, Consolidated sales growth in FY 2016 is expected to be parall
Slide 11: Financials & Format Summary
Financials & Format Summary - Financials - Operations
Slide 12: Summary of Income Statement – 9M 2016
SUMMARY OF INCOME STATEMENT – 9M 2016 IFRS Consolidated Income Statement Summary (TL Million) 9M 2016 9M 2015 Net Sales 8,158.5 7,011.5 Cost of sales -5,953.8 -5,134.9 Gross Profit 2,204.7 1,876.7 Operating Expenses -1,875.1 -1,592.6 Other Operating Income / (Expense) -62.3 -68.4 Operating Profit 26
Slide 13: Summary of Balance Sheet – 9M 2016
SUMMARY OF BALANCE SHEET – 9M 2016 IFRS Consolidated Balance Sheet Summary (TL Million) 9M 2016 2015 Current Assets 2,418.0 2,035.5 Non-current Assets 3,746.8 3,725.2 Total Assets 6,164.8 5,760.7 Current Liabilities 3,069.7 2,725.7 Non-current Liabilities 2,630.9 2,519.1 Total Liabilities 5,700.6 5,
Slide 14: Migros Today
Migros Today Since 1954 Largest national supermarket operator − Operates 1,575 stores across 72 cities in Turkey as well as in Kazakhstan and Macedonia, as of September 30, 2016 − 14.4% market share in organized grocery FMCG retail sales in Turkey¹ Turkey’s largest integrated red meat facility p
Slide 15: Migros, Largest National Supermarket Chain
Migros Migros, Largest National Supermarket Chain Number of stores: 1,498 including 566 Migros Jet and 23 5M stores, Penetration: 72 cities ─ (40*-4,500) sqm / (1,800* – 18,000) SKUs ─ Broad variety of fresh food products ─ Wide branded assortment of FMCG products ─ Modern, fashionable, compleme
Slide 16: Macrocenter
Macrocenter Exclusive shopping Number of stores: 38 400 - 2,500 sqm / 10,000 SKUs ─ Upscale gourmet store serving with strong brand loyalty ─ Wide product range in delicatessen, appetizers and spirits. Premium quality in fresh products ─ Complementary and premium non-food Customized service su
Slide 17: Wholesale & Food Service
Wholesale & Food Service Focus on Horeca Penetration Currently operating in 7 regions through dedicated sales team. Dedicated warehouses and customer delivery 14 Wholesale stores Penetration: 7 regions 16
Slide 18: Online Business
Online Business Turkey’s first and leading e- commerce web site in food retail Top-line growth is 2-3x higher than the Company average Improved operational efficiency through picking automation Direct delivery from stores (103 stores in 24 cities across Turkey) 17
Slide 19: International Operations
International Operations Kazakhstan Macedonia 1.8% of consolidated sales from Kazakh operations 1.2% of consolidated sales from Macedonian operations Number of stores: 19, including 3 hypermarkets, 15 Number of supermarkets: 20 supermarkets and 1 Macrocenter. Owns 1 shopping mall in Almaty
Slide 20: Ownership Structure
Ownership Structure JV Structure between BC Partners & Anadolu Group with 40.25% Migros shares each Current Shareholding Structure Anadolu Moonlight Endüstri Capital S.A. Holding A.Ş. 19.50% 80.50% MH Kenan Moonlight Free Float Perakendecilik Investments S.A. Capital S.A. ve Ticaret A.Ş. 19.49% 15.3