Cake Box Holdings Plc · LSE:CBOX
Cake Box — H1 FY2022 Earnings Presentation
23 slides from Cake Box's earnings presentation, November 2021
Slide 1: Results presentation for the six months to 30th September 2021
Final results presentation for the half year to 30th September 2019 Results presentation 1 for the six months to 30th September 2021
Slide 2: Disclaimer
Disclaimer NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES, CANADA, AUSTRALIA OR JAPAN This presentation and its contents may not be reproduced, redistributed or passed on, directly or indirectly, to any other person or published, in whole or in par
Slide 3: Your presenters today
Your presenters today Sukh Chamdal Chief Executive Officer • Opened the first Cake Box concept store in 2008, co-founded the franchise business in 2009 • 35+ years’ experience in the food manufacturing and the food retail industry • Consultant for a food equipment company specialising in high volume
Slide 4: Introduction to Cake Box
Introduction to Cake Box FIRST STORE OPENED IN 2008 • Business conceived in 2008 with a single shop in East London, now headquartered in Enfield, Greater London • 174 franchise stores as of 30th September 2021 • Specialises in making delicious, high quality, bespoke celebration fresh cream cakes in-
Slide 5: Our products
Our products Fruit Gateaux • Freshly hand-made cakes and slices in-store using fresh cream Serves 8 £20.99 • Cakes available to order in-store or online for collection • Hundreds of celebration cake designs to choose from • Cakes can be personalised on the spot with a free message • Personalised pho
Slide 6: Franchisee proposition
Franchisee proposition Potential To own multiple sites Earnings Av. EBITDA £93k pa* No MSF or Marketing Levy Brand Cake Box Know How access Sociable Hours Website Managed website & online ordering system 20 Month Payback on Average B2B One stop ordering Turnkey Package *Based on mature stores - “mat
Slide 7: Store Franchise Application Process
Store Franchise Application Process 1.Application 9. Store Received Opening 2. Application Form Sent 8. Pre-opening Marketing Professional & Seamless Franchise Process 3. Presentation Invite Sent 7. Store Build Start to Finish & Training 4. Second Interview 6. Legal Process 5. Site Selection 7
Slide 8: Financial Highlights
“making celebrations a piece of cake’ Financial Highlights
Slide 9: Record first half performance
Record first half performance 6 Months (Apr-Sep) 4 Months (Jun-Sep) REVENUE £20.0m £12.0m £11.2m £15.0m £9.0m £16.5m £16.5m £10.0m £6.0m £7.4m £5.0m £8.6m £3.0m +92% £0.0m £0.0m YEAR-ON-YEAR H1 FY22 H1 FY21 H1 FY22 H1 FY21 GROSS PROFIT £8.0m £6.0m £6.0m £7.6m £5.5m £7.6m £4.0m £4.0m £3.7m £4.2m £2.0
Slide 10: Record first half performance
Record first half performance EARNING PER SHARE INTERIM DIVIDEND NET ASSETS 7.5p 2.5p £12.6m +116% +35% +30% (H1 FY21: 3.45p) (H1 FY21: 1.85p) (H1 FY21: £9.7m) CASH AT BANK NET CASH NET CASH L4L £5.6m £4.2m £4.2m up £0.3m up £0.4m up £1.6m (H1 FY21: £5.3m) (H1 FY21: £3.8m) (H1 FY21: £2.5m*) * Exclud
Slide 11: Operational highlights
Operational highlights SUPPLY NEW 20 174 ASDA CHAIN PRODUCTS TOTAL NUMBER OF NEW STORES OPENED KIOSK TRIAL RESILENT NAKED CAKE RANGE STORES • 174 franchise stores in operation at 30 September 2021 (30 September 2020: 139) • 20 new franchise stores added in the period (H1 FY21: six new franchise stor
Slide 12: Franchisee operational highlights
Franchisee operational highlights £29.5m 68% 13.3% 32 £93k NUMBER OF MULTIPLE AVERAGE STORE RETAIL CAKE SALES ONLINE SALES GROWTH LIKE-FOR-LIKE** FRANCHISEES EBITDA* • Like-for-like** sales growth of 13.3% in franchise stores in the four months to 30 September 2021 • Franchisee total turnover up 73.
Slide 13: A rapidly growing portfolio of franchise stores
A rapidly growing portfolio of franchise stores Number of Stores 174 174 157 STORES 133 113 19 86 SHOPPING 63 CENTRE KIOSKS Mar-2017 Mar-2018 Mar-2019 Mar-2020 Mar-2021 Sep-21 7 KIOSKS Area Stores Kiosks Asda London With M25 65 4 1 Key: South East 44 2 2 Distribution Centres Bradford North East 5 2
Slide 14: Group income statement
Group income statement 6 months to 6 months to 12 months to 30 September 30 September 31 March 2021 2020 2021 (unaudited) (unaudited) (audited) Notes £k £k £k Revenue 16,472 8,587 21,911 Revenue increase of 92% YoY and over 50% on a four-month basis Cost of sales (8,863) (4,431) (10,979) Gross margi
Slide 15: Strong balance sheet
Strong balance sheet 30-Sep-2021 30-Sep-2020 31-Mar-2021 (Unaudited) (Unaudited) (audited) Notes ASSETS £k £k £k Non-current assets 8,117 7,224 8,003 Inventories 2,111 1,370 1,902 Trade and other receivables 2,862 1,603 2,490 Other financial assets 238 - 383 Cash and cash equivalents 5,566 5,336 5,1
Slide 16: Group cash flow
Group cash flow 30-Sep-2021 30-Sep-2020 31-Mar-2021 (Unaudited) (Unaudited) (audited) Notes £k £k £k Cash from operating activities: Profit before income tax 3,699 1,665 4,209 Adjusted for: Non-cash items (453) 816 1,316 Cash generated by operations 3,246 2,481 5,525 Finance costs 20 22 41 Grant of
Slide 17: Strategic Initiatives
Strategic Initiatives fi , — Bundle of love and Joy.
Slide 18: Partnership with ASDA
Partnership with ASDA • Successful trial of seven kiosks in 2021 • Four further kiosks opened since 30th September 2021 • Intention to open further Asda kiosks in selective locations during FY22 • Fit out costs covered by Asda • All sales go through our franchisee tills 18
Slide 19: Store Rollout programme
Store Rollout programme Deposits held from Potential Franchisees Store rollout 62 47 32 27 28 24 H1, FY19 FY19 H1, FY20 FY20 H1, FY21 FY21 Record number of new franchisee deposits with increased geographical presence from new distribution centres Key: Distribution Centres Bradford Coventry Enfield 6
Slide 20: Investing for growth
Investing for growth • Appointed IT Director and Procurement Manager, created Head of Marketing role and recruiting for senior operations role • Strengthened Food safety team to include Food technician • Appointed 3rd party company to carry out GDPR training for staff at HO office & franchisees • Im
Slide 21: Current Trading and Outlook
Current Trading and Outlook 21
Slide 22: Current Trading and Outlook
Current Trading and Outlook • Three new stores opened in the last five weeks since the half year end • Franchisee like for like sales at 14.4% in October • Franchisee online sales up 46.6% in October • Targeting 32 new franchise store openings in FY22 underpinned by record number of deposits from pr
Slide 23: Q&A
Q&A 23