Slide 1: Kamux Annual Results Presentation 2019
Kamux — Kamux — Quarterly Results Annual Results Presentation Presentation 2019 January―September 2019 February 28, 2020 CEO Juha Kalliokoski CFO Marko Lehtonen
Slide 2: Table of Contents
Table of Contents Annual Results Presentation 2019 Outlook and Financial Q4 and 2019 in Brief Financial Development Summary Targets
Slide 3: Kamux Vision: #1 used car retailer in Europe
Kamux Vision #1 used car retailer in Europe
Slide 4: Kamux Q4 2019 in Brief
Kamux Q4 2019 in Brief 1. 3. 5. Like-for-like Revenue increased by Adjusted operating profit showroom revenue 33.8% increased by 25.2% growth was to EUR 175.4 million (131.1) to EUR 5.4 million (4.3) 14.6% (0.7%) Gross profit increased Internationalization proceeded strongly. We opened a new by 25.6
Slide 5: The Used Car Market is Stable, Large and Fragmented
The Used Car Market is Stable, Large and Fragmented USED CAR SALES IN EUROPE NEW CAR SALES 2x IN EUROPE CONSUMER- SMALL, LOCAL NEW CAR TO- USED CAR “There are virtually CONSUMER DEALERSHIPS RETAILERS no other strongly TRADE digital, Kamux-like international chains on the market specializing in used
Slide 6: Kamux's Market Position Strengthened in Used Car Market during Q4
Kamux’s Market Position Strengthened in Used Car Market during Q4 Market Kamux’s Market Kamux’s position and size market development development during Market (2019) share during Q4 Q4 * In 2019, new car registrations in European Union region Finland ~0.5 ~8.0% We estimate that Kamux maintained its
Slide 7: Kamux Q4 2019 — Very Strong Revenue Growth 33.8%
Kamux Q4 2019 — Very Strong Revenue Growth 33.8% Revenue (EUR million) Adjusted Operating Profit (EUR million) 200 +33,8% 9 2017 2017 180 8 2018 2018 160 2019 7 2019 +25,2% 140 6 120 5 100 4 80 3 60 40 2 20 1 0 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 The growth was fully organic and it was based on the • Adjusted
Slide 8: Number of Cars Sold Grew by 28.3% during Q4 2019
Number of Cars Sold Grew by 28.3% during Q4 2019 Sold Cars (pcs) +28,3% 16 000 15 409 14 395 14 000 13 441 12 564 12 187 12 000 11 379 11 433 11 220 11 083 10 294 9 698 9 882 10 000 12 213 10 888 8 000 10 615 10 328 9 688 9 246 9 337 9 486 9 066 6 000 8 325 8 522 8 255 4 000 2 000 2 132 2 385 1 753
Slide 9: Integrated Services Revenue Grew Q4 2019
Integrated Services Revenue Grew Q4 2019 MEUR Integrated Services Revenue 6,0% % 12 6 5,3% 5,4% 5,0% 5,1% 5,0% 5,0% 5,0% 4,7% 4,7% 4,8% 4,7% 10 9,4 5 8,6 7,8 7,9 8 4 7,1 6,8 6,1 6,4 6,1 6 5,6 5,8 3 5,4 4 2 2 1 0 0 Q1 17 Q2 17 Q3 17 Q4 17 Q1 18 Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Finance fees a
Slide 10: Kamux in 2019: Very Strong Growth and Internationalization
Kamux in 2019: Very Strong Growth and Internationalization 1. 3. 5. Revenue increased by Adjusted operating profit Internationalization proceeded strongly and EUR +130.7million increased by 16.1 % revenue increased in Sweden by 55.5% or 24.8% to EUR 25.4 (21.9) to EUR 158.5 million, and in Germany b
Slide 11: Kamux in 2019 — Growth Accelerated, Concurrently Strong Profit Growth
Kamux in 2019 — Growth Accelerated, Concurrently Strong Profit Growth Revenue (EUR million) Adjusted Operating Profit (EUR million) MEUR % +24,8% 8,0 700 30 650 +16,1% 600 7,0 +16,0% 25 +17,5% 550 +12,4% 6,0 500 +3,4% 450 20 4,4% 5,0 400 4,1% 4,1% 3,9% 350 15 4,0 300 250 3,0 10 200 2,0 150 100 5 1,0
Slide 12: Number of Sold Cars Grew by 19.0% in 2019
Number of Sold Cars Grew by 19.0% in 2019 Sold Cars (pcs) +19,0% 60 000 55 432 55 000 +13,8% 50 000 +12,9% 46 596 45 000 40 957 40 000 36 290 35 000 43 404 30 000 38 217 25 000 34 348 20 000 31 375 15 000 10 000 8 263 5 000 4 784 6 133 4 098 3 765 0 817 1 825 2 246 2016 2017 2018 2019 Finland Sweden
Slide 13: Integrated Services Revenue Continued to Grow in 2019
Integrated Services Revenue Continued to Grow in 2019 MEUR Integrated Services Revenue % 40 6 32,9 5,0% 5,1% 5,0% 35 4,8% 5 30 27,1 4 25 22,8 20 19,3 3 15 2 10 1 5 0 0 2016 2017 2018 2019 Finance fees and insurance commissions Kamux Plus Integrated services % of Revenue
Slide 14: Kamux is taking advantage of the digital disruption for the benefit of the customer
Kamux is taking advantage of the digital disruption for the benefit of the customer Cross-selling in 2019: 33% in Finland 29% in the Group Over 800,000 monthly web site visits on kamux.fi/se/de
Slide 15: Showrooms 28 February 2020
Showrooms 28 February 2020 2019 FIN SWE GER OPENINGS 2019 Limingantulli Karlskrona Q1 Kajaani 5 Norrtälje Klaukkala Q2 Forssa Helsingborg 2 Stade Q3 2 Heide Q4 Halmstad 1 Openings 2019 by Segment 4 4 2 10 Openings Q1 2020 Espoo Niittykumpu 1 Showrooms total 28 Febr 2020 49 17 6 72 Göteborg >> Sundsv
Slide 16: Financial Development
Financial Development Marko Lehtonen, CFO
Slide 17: More Efficient Use of Capital
More Efficient Use of Capital • Inventory turnover 44.5 days (49.6 days) • Earnings per share 0.48 EUR, growth We Created 29.8% Added Value • Return on Equity (ROE) was 25.3% for (22.9%) • Net cash inflow from operating Shareholders activities was EUR 33.3 million (2.7)
Slide 18: Key Figures 2019
Key Figures 2019 10−12/ 10−12/ 1−12/ 1−12/ (MEUR) 2019 2018 Change, % 2019 2018 Change, % Revenue 175.4 131.1 33.8% 658.5 527.8 24.8% Gross profit 20.0 16.0 25.6% 79.6 64.9 22.8% as percentage of revenue, % 11.4% 12.2% 12.1% 12.3% Operating profit (EBIT) 5.4 3.9 36.8% 25.3 18.9 33.8% as percentage o
Slide 19: Very Strong Revenue Growth Q4 2019
Very Strong Revenue Growth Q4 2019 Revenue (EUR million) 200 +33,8% • The number of used cars sold by Kamux in 180 the fourth quarter grew by 28.3% 160 and totaled 14,395 cars (11,220). 140 • Kamux’s revenue grew by 33.8% in Q4 2019. 120 100 • The increase in revenue was driven by new 80 showrooms a
Slide 20: Kamux Finland — Very Strong Revenue Growth in Q4 2019
Kamux Finland — Very Strong Revenue Growth in Q4 2019 Revenue (EUR million) +23,0% 140 • Revenue grew by 23.0 % compared to the previous year 120 100 and was EUR 125.8 million (102.3). 80 • Gross margin increased to EUR 15.3 million (13.4), or 60 40 12.1% (13.1%) of revenue. 20 0 • Operating profit
Slide 21: Kamux Sweden — Very Strong Revenue Growth Continued and Profit Grew Q4 2019
Kamux Sweden — Very Strong Revenue Growth Continued and Profit Grew Q4 2019 Revenue (EUR million) +63,8% 50 • Total revenue grew 63.8% compared to the previous 40 year and was EUR 44.2 million (27.0). 30 • Operating profit grew compared to the previous year 20 and was EUR 0.2 million (-0.2) and 0.4%
Slide 22: Kamux Germany — Very Strong Revenue Growth Continued and Operating Loss Decreased Q4 2019
Kamux Germany — Very Strong Revenue Growth Continued and Operating Loss Decreased Q4 2019 Revenue (EUR million) +97,6% 17,5 • Total revenue grew by 97.6% compared to the 15,0 12,5 previous year and was EUR 16.1 million (8.2). 10,0 7,5 • Operating loss decreased compared to the 5,0 previous year and
Slide 23: Despite a very strong growth in revenue, net working capital decreased
Despite a very strong growth in revenue, net working capital decreased Net Working Capital (EUR million) Inventories (EUR million) -1,0% 80 80 -9,7% 70 70 60 60 50 50 40 40 30 30 20 20 10 10 0 0 Q1 17 Q2 17 Q3 17 Q4 17 Q1 18 Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Q1 17 Q2 17 Q3 17 Q4 17 Q1 18 Q2
Slide 24: Very Strong Growth in Cash Flow from Operations
Very Strong Growth in Cash Flow from Operations Cash Flow from Operations (EUR million) Change (EUR million) to Comparison Period 20 20 18 16 15 14 12 10 10 0 8 6 5 4 13 2 0 0 -2 -4 2 -5 -6 -5 Q1 17 Q2 17 Q3 17 Q4 17 Q1 18 Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Cash flow from Adjustments Changes
Slide 25: Strategic Investments Continued
Strategic Investments Continued Investments (EUR million) • In line with our strategy, we have systematically invested in growth. 1,0 • Kamux seeks to gain a significant competitive advantage by investing in leading with knowledge as 0,5 well as digital customer and business processes. • Investments
Slide 26: We Support Company's Growth by Investing in Leading with Knowledge and Intelligence
We Support Company’s Growth by Investing in Leading with Knowledge and Intelligence We invest in digital development: • Seamless integration of supply and demand in European level • Automation of basic processes
Slide 27: Dividend Proposal and Annual General Meeting
Dividend Proposal and Annual General Meeting • The Board of Directors will propose to the AGM a dividend of EUR 0.23 per share (0.16) to be distributed for the year 2019 • Earnings per share in 2019 was EUR 0.48 (0.37) • The proposed dividend is 48% (44%) of net profit • The Annual General Meeting w
Slide 28: Outlook and Financial Targets
Outlook and Financial Targets
Slide 29: Outlook and Financial Targets
Outlook and Financial Targets € € € Revenue growth of EBIT margin of Distribute dividends of Kamux does not over 10% annually at least 4% in at least 30% of net publish a short-term 2019-2022 2019-2022 profits outlook Revenue Profitability Dividend Policy Outlook 2019: Revenue 2019: Adjusted 2019: 4
Slide 30: Summary
Summary
Slide 31: Summary Q4/2019
Summary Q4/2019 Revenue increased by Adjusted operating 33.8% profit increased by to EUR 175.4 million 25.2% (131.1) to EUR 5.4 million (4.3) Gross profit increased Like-for-like by 25.6% showroom revenue growth was to EUR 20.0 million (16.0) 14.6% (0.7%)
Slide 32: Questions?
Questions?
Slide 33: Disclaimer
Disclaimer It should be noted that Kamux and its Since these statements are based on current business are exposed to various risks and plans, estimates and projections, they uncertainties, and certain statements involve risks and uncertainties that may herein which are not historical facts, cause ac