Mavi Giyim Sanayi Ve Ticaret A.s. · BIST:MAVI
Mavi Giyim Sanayi Ve Ticaret A.s — Q3 2019 Earnings Presentation
18 slides from Mavi Giyim Sanayi Ve Ticaret A.s's earnings presentation, Dec 3, 2019
Slide 1: Q3 2019 Results Presentation
Q3 2019 RESULTS PRESENTATION December 3, 2019 0
Slide 2: Disclaimer
Disclaimer This document does not constitute or form part of any offer to sell or issue or invitation to purchase or subscribe for, or any solicitation of any offer to purchase or subscribe for, any securities of the Company. The information, statements and opinions contained in this presentation do
Slide 3: Nine Months 2019 Highlights
Nine Months 2019 Highlights GROUP HIGHLIGHTS1 TURKEY RETAIL HIGHLIGHTS • Consolidated revenue increased by 21% to 2,148 TRYm 21% 8% 76% 20.5% Revenue EBITDA % of Turkey LFL Growth • EBITDA grew by 8% to 330 TRYm Growth Growth Revenue resulting in 15.4% EBITDA margin • Net profit grew by 14% and resu
Slide 4: Revenue Growth in All Sales Channels
Revenue Growth in All Sales Channels Global Revenue (TRYm) Turkey Revenue (TRYm) Channel 1,773 Growth 1,448 48 95% 678 25 372 1,778 2,148 97% 572 329 13% 19 89 10 145 1,353 715 808 45 660 12% 147 1,094 590 416 513 24% 20 35 262 245 1,142 1,399 Q3 2018 Q3 2019 9M 2018 9M 2019 434 528 23% Q3 2018 Q3 2
Slide 5: Turkey Retail Operations
Turkey Retail Operations # of Retail Stores Turkey Retail Revenue (TRYm) Net 213 17 29 26 13 8 New Stores 1,353 1,094 287 300 308 2017 2018 9M 2019 9M 2018 LFL Growth New Store Expansion 9M 2019 Gross Selling Space in Turkey (Sqm K) Avg. Sqm/ 498sqm 500sqm Retail With 14 openings and 6 closures, 8
Slide 6: Basket-Driven Like-for-like Growth
Basket-Driven Like-for-like Growth 22.8% 22.5% 20.5% 1 14.7% 14.1% 1 12.0% Transaction2 9.9% # Growth (%) 10.8% -0.4% 2016 2017 2018 9M 2019 2016 2017 2018 9M 2019 • Q3 LFL performance continued to be 21.0% strong at 20.1% LFL with 2.3% transaction growth and17.4% basket size growth Basket Size 9.4%
Slide 7: Sales in Denim & Lifestyle Categories
Sales in Denim & Lifestyle Categories Denim Products (TRYm) Lifestyle Products (TRYm) Denim All Knits Shirts 45% 23% 14% 311 239 193 165 611 501 9M 2018 9M 2019 9M 2018 9M 2019 Jackets 6% Accessories1 6% 84 81 9M 2018 9M 2019 70 63 9M 2018 9M 2019 9M 2018 9M 2019 % Share in 9M 2019 Turkey retail net
Slide 8: Focus on Online Sales Growth
Focus on Online Sales Growth Global Online Sales (TRYm) Turkey Online Sales (TRYm) % Sales 5.9% 7.5% % Sales 2.4% 3.1% 54.8 7.0 35.2 160.4 10.6 -34% 47.9 24.6 95% 105.5 71.0 9M 2018 9M 2019 60.1 18% International Online Sales (TRYm) 89.4 97% % Sales 45.4 21.3% 28.1% 9M 2018 9M 2019 105.6 mavi.com &
Slide 9: Consolidated Financial Metrics
Consolidated Financial Metrics Revenue (TRYm) Gross Profit (TRYm) 52.3% 50.5% 52.4% 49.8% 2,148 1,778 1,069 931 715 808 408 374 Q3 2018 Q3 2019 9M 2018 9M 2019 Q3 2018 Q3 2019 9M 2018 9M 2019 EBITDA (TRYm) Net Income (TRYm) 20.8% 18.8% 26.4% 17.1% 15.4% 23.7% 6.8% 8.6% 7.8% 5.7% 5.4% 4.4% 510 101 11
Slide 10: Cash Conversion and Working Capital Management
Cash Conversion and Working Capital Management Cash Conversion (Exc. IFRS16) Main Working Capital Items TRYm 2018 9M 2018 9M 2019 75% 79% Trade & Other Receivables 188.1 242.0 274.4 % LTM Sales 8.0% 11.0% 10.1% 9M 2018 9M 2019 Inventories 457.2 435.9 515.0 % LTM COGS 39.9% 41.3% 37.4% TRYm 9M 2018 9
Slide 11: Capex and Leverage Ratios
Capex and Leverage Ratios CAPEX Debt Breakdown (31 October 2019) % Sales 2.4% 3.4% 8% Average Cost of Debt 9% 3% TRY TRY 15.7% 8% 73.8 EUR EUR 2.0% 14% USD USD 4.3% 43.0 RUB 66% RUB 13.4% CAD CAD 4.0% 92% Blended 12.3% 9M 2018 9M 2019 Local Currency Foreign Currency Net Debt / LTM EBITDA (exc. IFRS
Slide 12: Updated Management Guidance for 2019FY
Updated Management Guidance for 2019FY Initial Guidance Updated Guidance Consolidated Revenue Growth 25% 21% 15 net new stores 15 net new stores Turkey Retail Stores 10 expansions 10 store expansions Turkey Retail LFL Growth 18% 20% EBITDA Margin 14.5% 14% Net Debt/EBITDA Below 1x 0.1x Up to 4% of U
Slide 13: investorrelations@mavi.com
investorrelations@mavi.com
Slide 14: Financial Statements
Financial Statements Income Statement (2019 figures inc. IFRS 16) TRYm Q3 2018 Q3 2019 Change (%) 9M 2018 9M 2019 Change (%) Rev enue 715.2 808.1 13.0% 1,777.7 2,148.3 20.8% Cost of Sales (340.9) (400.4) 17.4% (846.5) (1,079.2) 27.5% Gross Profit 374.3 407.7 8.9% 931.3 1,069.1 14.8% Gross Margin 52.
Slide 15: Financial Statements
Financial Statements Balance Sheet (2019 figures inc. IFRS 16) TRYm 31 January 2018 31 October 2019 Change (%) Assets Current Assets Cash and Cash Equiv alents 266.6 344.9 29.4% Trade Receiv ables 168.6 258.4 53.3% I nv entories 457.2 515.0 12.6% Other Current Assets 92.9 90.8 (2.3%) Total Current A
Slide 16: Financial Statements
Financial Statements Cash Flow Statement (2019 figures inc. IFRS 16) TRYm 9M 2018 9M 2019 Profit¹ 101.2 95.0 D&A Expense 52.1 206.3 Net Finance Expense / (I ncome) 75.0 175.6 Tax Expense 29.5 27.7 Other Non-Cash I tems 36.8 23.8 Cash Flow from Operating Activ ities 294.6 528.3 Δ in Net Working Capit
Slide 17: Financial Statements – IFRS 16 Impacts
Financial Statements – IFRS 16 Impacts IFRS 16 APPLIED AS OF FEBRUARY 1, 2019 9M 2019 Impact (TRY in millions) Decrease as all non-performance leases are capitalized RENT EXPENSE -180.3 and are subjected to depreciation and interest expense DEPRECIATION & Increase due to depreciation of capitalized
Slide 18: Global Footprint as at 31 October 2019
Global Footprint as at 31 October 2019 Canada Europe Russia # Retail Stores: 4 # Wholesale Doors: c.1,650 # Retail Stores: 2 # Wholesale Doors: c.1,700 # Retail Stores: 18 # Franchise Stores: 16 375 Mono-Brand # Employee: 67 # Employee: 73 Stores in Turkey # Wholesale Doors: 139 # Employee: 133 60 I
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