QVC Group, Inc. · NASDAQ:QVCG
QVC — Qurate Retail — Q4 2020 Earnings Presentation
13 slides from QVC's earnings presentation, Feb 26, 2021
Slide 1: Q4 2020 Earnings Presentation
Q4 2020 Earnings Presentation
Slide 2: Safe Harbor and Non-GAAP Measures
Safe Harbor and Non-GAAP Measures This presentation includes certain forward-looking statements within the This presentation includes non-GAAP financial measures including adjusted meaning of the Private Securities Litigation Reform Act of 1995, including OIBDA, adjusted OIBDA margin, free cash flow
Slide 3: Key Highlights
Key Highlights → FY 2020 continued overall progress toward our long-term plan • Strong revenue and profit growth, margin expansion and cash flow generation • Robust new customer growth • Expanded reach across new digital platforms → Our performance enabled us to increase shareholder capital return •
Slide 4: Revenue & Adjusted OIBDA Growth - Q4 2020
Revenue & Adjusted OIBDA Growth Business Segment Contribution Q4 2020 6% 8% 1% 11% 23% 20% Revenue Adjusted OIBDA $4.5B $0.7B +7% +14% Cornerstone 70% 61% Zulily QVC International QxH eCommerce Revenue +12% to $2.9B Note: Percentages within the stacked bars exclude intersegment eliminations and unal
Slide 5: Revenue & Adjusted OIBDA Growth - Fiscal 2020
Revenue & Adjusted OIBDA Growth Business Segment Contribution Fiscal 2020 4% 8% 4% 11% 23% 21% Revenue Adjusted OIBDA $14.2B $2.2B +5% +8% Cornerstone 69% 60% Zulily QVC International QxH eCommerce Revenue +11% to $8.9B Note: Percentages within the stacked bars exclude intersegment eliminations and
Slide 6: Broad-Based FY 2020 Revenue & Adjusted OIBDA Growth
Broad-Based FY 2020 Revenue & Adjusted OIBDA Growth Year-on-Year Quarterly Comparative REVENUE 2019 2020 Q1 Q2 Q3 Q4 FY 2019 Q1 Q2 Q3 Q4 FY2020 QxH -4% -1% -4% -3% -3% -4% 7% 7% 1% 3% QVC International -5% -2% 2% 1% -1% -1% 11% 11% 16% 10% QVC International A 1% 1% 3% 1% 1% 0% 12% 8% 10% 8% Zulily -
Slide 7: QxH Category Performance
QxH Category Performance Prior-Year Comparative CATEGORY 2019 2020 Q1 Q2 Q3 Q4 FY 2019 Q1 Q2 Q3 Q4 FY 2020 Home Electronics Flat Apparel Beauty Accessories Jewelry 2020 Trend: Strength in Home, Weakness in Fashion Notable Brands QURATE RETAIL, INC. 7
Slide 8: QxH Category Mix Shift to Home
QxH Category Mix Shift to Home Category % of Revenue 2% 2% 4% 3% 9% 10% 14% 13% 9% 11% Electronics Mix 18% Q1 Q2 Q3 21% 10% 11% 10% 45% 39% Q4-19 Q4-20 Home Electronics Apparel Beauty Accessories Jewelry Other Fashion Categories: Apparel, Beauty, Accessories and Jewelry QURATE RETAIL, INC. 8 Home Ca
Slide 9: QxH Customer Profile
QxH Customer Profile Trailing Twelve Months Ended December 2020 Existing 48% Existing 85% Reactivated 7% Reactivated 22% New 8% Percentage of Percentage of All Customers Shipped Sales New 30% Existing Customers Annual Purchases: 27 Items purchased $1.4K Spend Existing Customer Annual Purchases and S
Slide 10: QxH Customer Growth
QxH Customer Growth Number of Customers Year-on-Year Comparative 11,602 +9% 3,492 +25% 7,032 +6% 2,568 +12% +18% 1,379 +13% 1,039 5,542 0% +2% 4,614 Q4-20 LTM December Existing Reactivated New New: Never purchased previously Reactivated: Purchased in past, but not in last 12 months Existing: Made a
Slide 11: QxH: Strong Q4 Adjusted OIBDA Margin Expansion
QxH: Strong Q4 Adjusted OIBDA Margin Expansion Basis Point Change Year Over Year Basis Point Change Fiscal 2020 Q4 Trend Driver Year over Year Q1 Q2 Q3 Q4 FY Prior Year 19.0% 21.1% 18.7% 16.5% 18.6% Strategic Sourcing, Promotional Pullback, Returns, Pricing to Offset Freight Product Margin1 5 (25) 2
Slide 12: Qurate Retail, Inc. Free Cash Flow
Qurate Retail, Inc. Free Cash Flow US$ Millions Twelve Months Ended December 31 2019 2020 Net Cash Provided by Operating Activities 1,284 2,455 Less: Capital Expenditures (325) (257) Less: Expenditures for Television Distribution Rights (134) (56) Less: Investments in and Loans to Cost and Equity In
Slide 13: Qurate Retail, Inc.
qu rate RETAIL, INC. QVC | fest] | zubily | BALLARD DESIGNS | FRONTGATE | Garnet Hill | grandinroad.