Beacon Lighting Group Ltd · ASX:BLX
Beacon Lighting — H1 FY2022 Earnings Presentation
24 slides from Beacon Lighting's earnings presentation, Feb 17, 2022
Slide 1: H1 FY2022 Results Presentation
H1 FY2022 RESULTS PRESENTATION 17 FEBRUARY 2022 Beacon Lighting Group Limited
Slide 2: Contents
CONTENTS 1 RESULTS OVERVIEW 2 FINANCIALS 3 STRATEGIC PILLARS OF GROWTH 4 H2 FY2022 OUTLOOK 6 QUESTIONS 6 APPENDICES H1 FY2022 RESULTS PRESENTATION 2
Slide 3: Results Overview
1 RESULTS OVERVIEW
Slide 4: Financial Highlights
1 FINANCIAL HIGHLIGHTS $151.3m +150 bps $49.3m Sales Gross Profit Margin Record EBITDA $22.6m $83.4m 4.3 cents Record NPAT Record Inventory Declared fully franked dividend per share H1 FY2022 RESULTS PRESENTATION 4
Slide 5: Operational Highlights
1 OPERATIONAL HIGHLIGHTS 3&3 20.4% 48,000 3 New Stores Trade sales Trade Club 3 Relocated Stores growth customers 41.0% 65.0% B2C USA Online sales Beacon International Launched B2C growth sales growth website in the USA H1 FY2022 RESULTS PRESENTATION 5
Slide 6: H1 FY2022 Result
1 H1 FY2022 RESULT Statutory Statutory $'000 Change $ Change % H1 FY2021 H1 FY2022 Sales 151,343 151,305 (38) (0.0%) Gross Profit 103,601 105,961 2,360 2.3% Gross Profit Margin 68.5% 70.0% Other Income (1) 544 426 (118) (21.7%) % of Sales 0.4% 0.3% Operating Expenses (2) (56,669) (57,085) (416) 0.7%
Slide 7: Financials
“FINANCIALS au
Slide 8: Sales
2 SALES GROUP SALES: $151.3m in line with H1 FY2021 Sales H1 FY22 vs H1 FY21 H1 FY22 vs H1 FY20 Group Sales 0.0% 23.0% • Company store comparative sales declined by 7.1% versus last year, but the two year increase versus H1 FY2020 was 15.9% • Comparative sales were significantly impacted by the NSW
Slide 9: Gross Profit
2 GROSS PROFIT GROSS PROFIT: Increased to $106.0m • Gross profit dollars increased by $2.4 million to $106.0 million • Beacon Lighting has designed and developed 231 exciting new products • Exciting product range continues to offer great value to our customers Gross Profit $m (1) Gross Profit % (1)
Slide 10: Operating Expenses
2 OPERATING EXPENSES OPEX: Increased by 0.3% of Sales to $57.1m $'000 H1 FY2021 H1 FY2022 Change $ Change % • Increased investment in marketing Marketing Expenses 6,805 7,322 517 7.6% • Increased investment in selling and distribution expenses and % of Sales 4.5% 4.8% depreciation to support the bus
Slide 11: Cash Flow
2 CASH FLOW • Some of the operating cash flows have been invested in additional $'000 H1 FY2021 H1 FY2022 inventory to support future sales Cash Flow from Operations • Capital expenditure of $6.2 million to support further growth Receipts from Customers 168,921 165,813 • Investment of $4.2 million i
Slide 12: Balance Sheet
2 BALANCE SHEET • Record inventory levels at $83.4 million $'000 H1 FY2021 H1 FY2022 • Continued investment in receivables and property, plant and equipment Cash 50,700 34,169 Receivables 6,583 8,320 • Total investment in (property) associates at $19.4 million Inventories 68,761 83,438 Other 6,115 1
Slide 13: Strategic Pillars of Growth
3 STRATEGIC PILLARS OF GROWTH Customer | Underpinning everything we do at Beacon is a deep understanding of our customers’ needs. Retail Trade eCommerce New Business A R E WA R D I N G I N DU S TRY LE A D I N G E N G AG I N G W E B S ITE S E M E RG I N G BU S I N E S S E S CU S TO M E R E X PE R I E
Slide 14: Strategic Pillars of Growth: Retail Update
3 STRATEGIC PILLARS OF GROWTH STRATEGIC PILLAR H1 FY2022 RETAIL UPDATE • Lockdowns in NSW and VIC significantly impacted the sales volumes in those states during Q1. Encouraging recovery in sales in Q2 FY2022 • Company store comparative sales for H1 FY2022 decreased by 7.1%. Two years comparative sa
Slide 15: Strategic Pillars of Growth: Trade Update
3 STRATEGIC PILLARS OF GROWTH STRATEGIC PILLAR H1 FY2022 TRADE UPDATE • Improving service to our Trade Customers continues to be the number one growth priority for the Beacon Lighting Group • Trade sales have increased by 20.4% • Trade Club customers have increased to 48,000 compared to 39,800 in De
Slide 16: Strategic Pillars of Growth: Ecommerce Update
3 STRATEGIC PILLARS OF GROWTH STRATEGIC PILLAR H1 FY2022 ECOMMERCE UPDATE • Online sales increased by 41.0% to now be $20.3 million • Online sales are now 15.4% of Group retail sales • Online Trade Club customer visits have increased by 73.4% while online Trade Club transactions have increased by 81
Slide 17: Strategic Pillars of Growth: New Business Update
3 STRATEGIC PILLARS OF GROWTH STRATEGIC PILLAR H1 FY2022 NEW BUSINESS UPDATE • Beacon International sales increased by 65.0% to $8.1 million • Established a new USA sales channel with the launched of the Beacon Lighting America B2C website • In 2021, customer numbers for Beacon Lighting America incr
Slide 18: Sustainability
3 SUSTAINABILITY • Beacon Lighting has installed 61 solar systems on our stores generating electricity during peak operating periods throughout the day • In November 2021, the Australian Packaging Covenant Organisation (APCO) awarded Beacon Lighting with the Outstanding Achievement Award in Sustaina
Slide 19: H2 FY2022 Outlook
4 yj 2 FY2022 OUTLOOK '
Slide 20: H2 FY2022 Outlook
4 H2 FY2022 OUTLOOK • Company store comparative sales have made an encouraging start to H2 FY2022 • Development of new trade products, delivery of the enhanced trade marketing program and the continued development of the Trade Loyalty Club will continue to improve the Trade Club customer experience
Slide 21: Questions
5 QUESTIONS
Slide 22: Appendices
6 APPENDICES
Slide 23: Appendix 1: Other Information
6 APPENDIX 1: OTHER INFORMATION DISCLAIMER The presentation contains “forward-looking statements”. All statements other than those of historical facts included in the presentation are forward- looking statements. Where the Group expresses or implies an expectation or belief as to future events or re
Slide 24: Appendix 2: AASB 16 Leases Disclosure
6 APPENDIX 2: AASB 16 LEASES DISCLOSURE AASB 16 AASB 16 $'000 H1 FY2021 H1 FY2022 Sales - - Gross Profit - - Gross Profit Margin Other Income - - % of Sales Operating Expenses (1) (13,318) (14,774) % of Sales EBITDA (2) (13,318) (14,774) EBITDA Margin % EBIT (2) (2,803) (3,214) EBIT Margin % Net Pro
Beacon Lighting Group — H1 FY2022 Earnings Presentation on 6ix