Action S.A. · GPW:ACT
Action — H1 2011 Earnings Presentation
20 slides from Action's earnings presentation, Sep 21, 2011
Slide 1: Presentation of Financial Results January 2011 – June 2011
PRESENTATION OF FINANCIAL RESULTS January 2011 – June 2011
Slide 2: Agenda
ACTION GROUP IN 1ST HALF-YEAR OF 2011 AGENDA 1. Financial results 2. ACTION value building 3. Achievements of ACTION Group companies 4. Forecast fulfillment 5. Directions of development 2011-09-21 2
Slide 3: Financial Results: Sales Revenue
FINANCIAL RESULTS Sales revenue (PLN M) Sales revenue (PLN M) 572,061 1,150,000 1,112,156 580,000 1,100,000 560,000 +14.6% 1,050,000 540,000 +17.4% 970,671 520,000 1,000,000 487,425 500,000 950,000 480,000 900,000 460,000 850,000 HY1 2010 HY1 2011 440,000 Q2 2010 Q2 2011 Sales dynamics increased in
Slide 4: Financial Results: EBIT and Net Profit
FINANCIAL RESULTS EBIT (PLN M) Net Profit (PLN M) 22,677 17,285 25,000 18,000 +92.1% 16,000 20,000 +114% 14,000 15,000 11,805 12,000 8,077 10,000 10,000 8,000 6,000 5,000 4,000 2,000 0 HY1 2010 HY1 2011 0 HY1 2010 HY1 2011 A clearly better performance in Quarter 2 of 2011 compared to the same period
Slide 5: Financial Results
FINANCIAL RESULTS [in PLN M] Q2 2010 Q2 2011 Change HY1 2010 HY1 2011 Change Sales revenue 487,425 572,061 17.4% 970,671 1,112,156 14.6% Gross profit on sales 43,941 39,885 -9.2% 81,367 77,315 -5.0% Gross margin on sales 9.0% 7.0% -2.0% 8.4% 7.0% -1.4% Cost of sales and -25,320 -28,151 11.2% -50,402
Slide 6: PLN Exchange Rate in Comparable Periods
PLN EXCHANGE RATE IN COMPARABLE PERIODS USD / PLN in HY1 2010 USD / PLN in HY1 2011 2011-09-21 6
Slide 7: Financial Results: Liquidity Ratios, Low Debt
FINANCIAL RESULTS LIQUIDITY RATIOS, LOW DEBT HY1 2010 HY1 2011 Change Current Ratio 1.1 1.2 0.1 Quick Ratio 0.5 0.6 0.1 Interest Debt / Assets 0.16 0.20 0.04 Interest Debt / EBITDA 1.88 2.17 * 0.29 Maintaining safe ratios to ensure timely ongoing settlement of the Group's liabilities Substantial cap
Slide 8: Agenda
ACTION GROUP IN 1ST HALF-YEAR OF 2011 AGENDA 1. Financial results 2. ACTION value building 3. Achievements of ACTION Group companies 4. Forecast fulfillment 5. Directions of development 2011-09-21 8
Slide 9: Significant Events
SIGNIFICANT EVENTS HALF-YEAR 1 OF 2011 Performance of contracts with telecom operators: T-Mobile, NETIA and TP S.A. Executing new distribution and sub-distribution contracts in IT, consumer electronics, household appliances and mobile sectors Deliveries of products following the telco tenders won Fu
Slide 10: Cost Optimisation
COST OPTIMISATION HALF-YEAR 1 OF 2011 Optimisation of costs of logistics: renegotiating forwarding contracts moving to the new external warehouse Suspended implementation of the new ERP system Continued e-invoicing implementation project Reducing the receivables insurance costs 10
Slide 11: Awards and Certificates
AWARDS AND CERTIFICATES HALF-YEAR 1 OF 2011 Intel award for strongest contribution to growth of sales market in EMEA in 2010 Top Marka 2011 (Top Brand Award) for ActiveJet consumables Consumers confirmed ActiveJet to be among most popular brands with the Golden Laurel Award: Złoty Laur Klienta 2011
Slide 12: Agenda
ACTION GROUP IN 1ST HALF-YEAR OF 2011 AGENDA 1. Financial results 2. ACTION value building 3. Achievements of ACTION Group companies 4. Forecast fulfillment 5. Directions of development 2011-09-21 12
Slide 13: Sferis Highlights
SFERIS HIGHLIGHTS 137 retail points of sale, including: - 46 partner retailers - 31 own stores - 60 ‘isle’ stalls Launch of b2b.sferis.pl platform for Sferis Partners Development of e-commerce projects relying on Sferis know-how and tools (sferis.pl, outletsferis.pl, komputerswiat.pl, swiatobrazu.pl
Slide 14: Gram.pl Highlights
GRAM.PL HIGHLIGHTS • The gram.pl online shop broke the Polish preordering record: close to 10,0000 copies of Witcher 2 Collector's Edition PC game sold and shipped within 2 days • Total sale of all Witcher 2 releases and related merchandise nearly reached 20,000 pcs • Dynamic growth of hardware sale
Slide 15: Agenda
ACTION GROUP IN 1ST HALF-YEAR OF 2011 AGENDA 1. Financial results 2. ACTION value building 3. Achievements of ACTION Group companies 4. Forecast fulfillment 5. Directions of development 2011-09-21 15
Slide 16: Projection of Group Results for 2011
PROJECTION OF GROUP RESULTS FOR 2011 2011 financial forecast published - projected increase of revenue to PLN 2,426,482 M and net profit to PLN 34,082 M After close of 1st half-year of 2011 the Group accomplished 45.8% of projected revenue and 50.7% of projected net profit figures The Management Boa
Slide 17: Agenda
ACTION GROUP IN 1ST HALF-YEAR OF 2011 AGENDA 1. Financial results 2. ACTION value building 3. Achievements of ACTION Group companies 4. Forecast fulfillment 5. Directions of development 2011-09-21 17
Slide 18: Directions of Development
ACTION GROUP IN 1ST HALF-YEAR OF 2011 DIRECTIONS OF DEVELOPMENT Favourable market trends Winning new major customers New distribution contracts Sale of consumer electronics, household appliances and mobile products Expanding co-operation with TELCO partners in new areas 18
Slide 19: Directions of Development
ACTION GROUP IN 1ST HALF-YEAR OF 2011 DIRECTIONS OF DEVELOPMENT Further growth of export operations (due to technological development and increase of share in nonlocalised products market) Development of e-commerce projects (abroad) Market consolidation Performance of corporate tenders Cost optimisa
Slide 20: Thank You for Your Attention
THANK YOU FOR YOUR ATTENTION Contacts for the press and representatives of the capital market Anna Bielińska – Chief Communications Officer +48 22 332 16 96, email: anna.bielinska@action.pl Dominika Lenkowska – Martis CONSULTING +48 22 244 57 09, email: dominika.lenkowska@mc.com.pl 20