Slide 1: FY2016 Results
FY2016 RESULTS February, 27th 2017
Slide 2: 2016 Key Business Highlights
I 2016 KEY BUSINESS HIGHLIGHTS
Slide 3: 2016: Continued Strong Performance
I. 2016 KEY BUSINESS HIGHLIGHTS 2016: CONTINUED STRONG PERFORMANCE SOLID growth / resilient margins / STRONG CASH FLOW GENERATION Net sales of €540m up 22% vs.2015 with an acceleration in Q4 €28.3m EBITDA EBITDA margin stable at 5.4% excluding Saldi Privati (5.2% reported) Very strong cash generatio
Slide 4: Strong growth and cash flow generation, with resilient margins
STRONG GROWTH AND CASH FLOW GENERATION, WITH RESILIENT MARGINS I. 2016 KEY BUSINESS HIGHLIGHTS Recurring cash from operating Net revenue & growth EBITDA & margin activities before tax post Capex € million € million € million 5.4% 5.4% 5.2% +22% 126% OF EBITDA +20% +22% 35.5 531.3 539.7 28.8 28.3 442
Slide 5: Always more engaged customers
I. 2016 KEY BUSINESS HIGHLIGHTS ALWAYS MORE ENGAGED CUSTOMERS A growing community… …always more loyal and engaged 3.7M 91% New members Free traffic (+15%) 1.2M 75% NEW buyers Revenue FROM REPEAT BUYERS1 3.2M +5.8% Buyers REVENUE/BUYER2 (+13%) (€159.9) Notes: Data for FY 2016 as of 31/12/2016; Growth
Slide 6: Strengthened brand portfolio
I. 2016 KEY BUSINESS HIGHLIGHTS STRENGTHENED BRAND PORTFOLIO A large and fashion oriented offering… …supported by loyal partners… 80% Sales Sport from Recurring Shoes Ready-to-wear Brands2 Fashion …always growing their business with us… accessories Beauty 53% sales1 +14% Sales growth From fashion fr
Slide 7: Took customer experience to the next level
I. 2016 KEY BUSINESS HIGHLIGHTS TOOK CUSTOMER EXPERIENCE TO THE NEXT LEVEL Relift of all BETTER E-shopping Offering our platforms experience EXPANSION New look & feel Navigation Ticketing (partnership with Easier & faster (search engine, product France Billet) recommendation) Reinforce travel offeri
Slide 8: More than ever a mobile first company
I. 2016 KEY BUSINESS HIGHLIGHTS MORE THAN EVER A MOBILE FIRST COMPANY! 6th APP AMONG FRENCH 10M DOWNLOADS +2.2M DOWNLOADS E-TAILERS1 IN TOTAL2 IN 2016 2 77% TRAFFIC 55% SALES3 +50% MORE ORDERS (5.1 orders per year vs. 3.4 for desktop users) Notes: Data for FY 2016 as of 31/12/2016 1 Mediametrie Inte
Slide 9: Successfully rolled out our international strategy
SUCCESSFULLY ROLLED OUT OUR INTERNATIONAL STRATEGY I. 2016 KEY BUSINESS HIGHLIGHTS Expanding International footprint SOLID FOUNDATIONS… 8 countries and a multi-currency website French headquarter + 4 international offices More than 110 FTEs o/w 55% dedicated to sourcing … BENEFITING TO THE ENTIRE GR
Slide 10: Q4 2016 and FY2016 Results
II Q4 2016 AND FY2016 RESULTS
Slide 11: Another year of strong growth
ANOTHER YEAR OF STRONG GROWTH Revenues breakdown II. Q4 2016 AND FY2016 RESULTS € million FY 2016 H2 2016 22% growth reported 23% growth reported (20% excl. SP) (20% excl. SP) 531.3 539.7 442.8 290.9 299.4 243.4 453.7 370.0 248.2 207.6 63.2 63.3 31.7 34.4 FY15 FY16 excl. FY16 incl. FY15 FY16 excl. F
Slide 12: Strong acceleration in growth in Q4
STRONG ACCELERATION IN GROWTH IN Q4 SUPPORTED BY BOTH FRANCE & INTERNATIONAL II. Q4 2016 AND FY2016 RESULTS Net revenues & net revenues growth by quarter € million Incl. Saldi 27.1% Privati contribution Excl. Saldi Quarter 21.6% Privati contribution growth vs. 22.6% last year 195 18.6% 16.1% 186 153
Slide 13: Growth underpinned by increasing customer engagement
GROWTH UNDERPINNED BY INCREASING CUSTOMER ENGAGEMENT II. Q4 2016 AND FY2016 RESULTS Strong customer KPIs million FY 2016 Average internet revenues Average orders Basket size (€) Buyers per buyer per buyers +13% + +6% +3% + +3% New buyers 151.1 159.9 1.2 1.2 Retained 4.1 4.2 36.9 38.0 1.7 2.0 buyers
Slide 14: We keep attractive margins and invest for the future
WE KEEP ATTRACTIVE MARGINS AND INVEST FOR THE FUTURE II. Q4 2016 AND FY2016 RESULTS Gross margin evolution € million 207.7 Infinity success already materialised by: +16% 100k members +35% purchases Stable basket size 179.2 40.5% (0.35)pt (0.15)pt 40.0% (1.00)pt (0.50)pt 38.5% Conversion investments
Slide 15: Strong operating leverage
II. Q4 2016 AND FY2016 RESULTS STRONG OPERATING LEVERAGE Opex evolution Marketing costs In € million and as % of net revenues (as % of net revenues) Part of marketing budget reallocated in price and free delivery initiatives -1.3% PT -2.0% PT -1.8%PT -2.2%PT 6.1% 7.8% 5.8% 4.8% FY2015 FY2016 H2-2015
Slide 16: Continued growth in EBITDA
II. Q4 2016 AND FY2016 RESULTS CONTINUED GROWTH IN EBITDA EBITDA € million FY 2016 H2 2016 +22% 28.8 28.3 23.7 13.1 12.5 11.4 FY2015 FY16 excl. FY16 incl. H2-2015 H216 excl. H216 incl. Saldi Privati Saldi Privati Saldi Privati Saldi Privati EBITDA margin 5.4% 5.4% 5.2% EBITDA Bridge FY16 % €28.8m €3
Slide 17: A highly cash generative business model
II. Q4 2016 AND FY2016 RESULTS A HIGHLY CASH GENERATIVE BUSINESS MODEL EBITDA to net change in cash bridge – 2016 € million 126% Gross Cash Position 31/12/2016 97 2.0 35.5 (8.4) 13.6 28.3 (31.8) (2.3) (7.4) (6.0) EBITDA Recurring Capex Non-Cash Items Recurring M&A Income Tax Other1 Net Change in cha
Slide 18: Strategy and Outlook
III Strategy AND OUTLOOK
Slide 19: Our vision
III. STRATEGY AND OUTLOOK OUR VISION AFFORDABILITY RE-INVENTING THE WAY WOMEN DISCOVER & SHOP for HIGH STREET FASHION WITH A SMART AND INNOVATION ENGAGING E-SHOPPING EXPERIENCE 19
Slide 20: Doubling our revenues by 2020
DOUBLING OUR REVENUES BY 2020 c. €1.1Bn III. STRATEGY AND OUTLOOK Business + Expansion Superior + value IRL, our own private label proposition New businesses / ATTRACTIVE Verticals (e.g. Beauty) MARKET Market share gains (vs New countries DRIVERS offline & online players) 2020 Increasing customer en
Slide 21: We are at the forefront of new consumption trends
WE ARE AT THE FOREFRONT OF NEW CONSUMPTION TRENDS III. STRATEGY AND OUTLOOK Opportunities E-shopping versus real needs as a leisure Mobile shopping: Pleasure WITH DIGITAL, Intentionality Whenever & and reward, has decreased to let wherever I want hedonism impulse and opportunity buying take the lead
Slide 22: Creating a perfect e-shopping platform for members and brands
OUR STRATEGY: CREATING A PERFECT E-SHOPPING PLATFORM FOR MEMBERS AND BRANDS III. STRATEGY AND OUTLOOK 01 02 ATTRACTIVE OPERATIONAL VALUE PROPOSITION EXCELLENCE Great deals & experience Drive quality for our members of services Holistic solutions Best-in-class for our brand partners Customer experien
Slide 23: Smart shopping satisfaction to digital women
1 WE OFFER SMART SHOPPING SATISFACTION TO DIGITAL WOMEN III. STRATEGY AND OUTLOOK Brand lovers and fashion addicts Digital women Searching for pleasure and opportunities Offering are… Always connected with their mobile digital women THE BRANDS AND Kids-job-family-friends PRODUCTS THEY WANT, Digital
Slide 24: A holistic solution to our brand partners
1 WE BRING A HOLISTIC SOLUTION TO OUR BRAND PARTNERS III. STRATEGY AND OUTLOOK 1 2 MANAGE EXCESS INVENTORY Media booster / INCREASE 35m items sold in 2016 awareness Customized solutions 56m visitors per month high quality production (in house media agency & production studio) 3 4 Brand content Custo
Slide 25: Focused on operational excellence
III. STRATEGY AND OUTLOOK 2 WE ARE FOCUSED ON OPERATIONAL EXCELLENCE CONTINUE TO INVEST in our platforms’ desirability and reliability Sales factory Maintain highest standards of performance and security INCREASE CLIENTS SATISFACTION & QUALITY Reduce shipping lead times KEEP OPTIMIZing COSTS Lean ma
Slide 26: Continue to lead with innovation
III. STRATEGY AND OUTLOOK 3 CONTINUE TO LEAD WITH INNOVATION LOYALTY PERSONALISATION PROGRAM INNOVATION INTERNAL UX AND INNOVATION CONVERSION EMPOWERMENT IMPROVEMENT LOOK FORWARD SECOND YEAR (OUR FASHION TAKING MOBILE TECH INCUBATOR) EXPERIENCE TO DROP SHIPMENT THE NEXT LEVEL 26
Slide 27: Accelerate our international expansion
III. STRATEGY AND OUTLOOK 4 ACCELERATE OUR INTERNATIONAL EXPANSION DEPLOYEMENT REINFORCEMENT ACCELERATION Opening of local Continue to reinforce the Empower local teams sourcing offices (Madrid international team Improve profitability and Dusseldorf) Adapt offerings to local needs Deployment of inno
Slide 28: Guidance summary
III. STRATEGY AND OUTLOOK GUIDANCE SUMMARY 2017 2020 NET REVENUES €690-720m c. €1.1Bn (y-o-y growth) (+28% – +33%) EBITDA MARGIN >6% >7.5% Excluding Saldi Privati CASH FLOW >100% CASH CONVERSION(1) 1 Excluding exceptional items 28
Slide 29: Appendices
IV APPENDICES
Slide 30: We convert members into buyers and drive repeat purchases
WE CONVERT MEMBERS INTO BUYERS AND DRIVE REPEAT PURCHASES INCREASINGLY QUICKLY APPENDICES Our members convert to buyers increasingly A significant share of first-time buyers become rapidly and in greater proportion repeat buyers…increasingly quickly Member to buyer conversion (France) First-time buy
Slide 31: Selected key performance metrics
SELECTED KEY PERFORMANCE METRICS 2015 2016 % Growth H2-15 H2-16 % Growth APPENDICES CUSTOMERS METRICS Total Members (in thousands) 24,568 28,282 15.1% 24,568 28,282 15.1% France 16,787 19,553 16.5% 16,787 19,553 16.5% International 7,781 8,729 12.2% 7,781 8,729 12.2% Cumulative Buyers (in thousands)
Slide 32: Profit & loss statement
PROFIT & LOSS STATEMENT (€ thousands) 2015 2016 % Growth H2-15 H2-16 % Growth APPENDICES Net revenues 442,832 539,704 21.9% 243,414 299,373 23.0% Cost of goods sold 263,679 332,027 25.9% 145,180 187,202 28.9% Gross margin 179,153 207,676 15.9% 98,234 112,171 14.2% Gross margin as % of revenues 40.5%
Slide 33: Segmental information
SEGMENTAL INFORMATION Revenues APPENDICES (€ thousands) 2015 2016 % Growth H2-15 H2-16 % Growth INTERNET REVENUES France 370,012 453,729 22.6% 207,589 248,230 19.6% International 63,236 71,709 13.4% 31,664 42,801 35.2% Total Internet revenues 433,248 525,438 21.3% 239,253 291,031 21.6% Other revenue
Slide 34: Cash flow statement
CASH FLOW STATEMENT (€ thousands) 2015 2016 H2-15 H2-16 APPENDICES Net income for the period 5,143 -250 85 -955 Adjustments for non-cash items 8,640 18,228 6,308 7,017 Cash flow from operations before finance costs and income tax 13,783 17,978 6,393 6,062 Elim of accrued income tax expense 5,470 2,7
Slide 35: Balance sheet
BALANCE SHEET (€ thousands) 2015 2016 APPENDICES NON-CURRENT ASSETS Goodwill 81,576 102,782 Other intangible assets 28,861 39,289 Tangible assets 14,833 15,626 Other non-current assets 1,180 6,902 Total non-current assets 126,450 164,599 Current assets Inventory 57,068 82,638 Accounts receivable 24,
Slide 36: Bridge of gross to net sales
BRIDGE OF GROSS TO NET SALES (€ thousands) 2015 2016 H2-15 H2-16 APPENDICES Total gross Internet sales1 591,674 721,606 329,092 405,136 VAT2 -93,515 -113,472 -55,456 -64,374 Revenue recognition impacts3 -68,900 -87,497 -36,388 -52,128 Non-interest revenue and other4 13,573 19,067 6,163 10,740 Net re
Slide 37: Disclaimer
DISCLAIMER This presentation contains only summary information and does not purport to be comprehensive. This document may contain forward-looking information and statements about the Group and its subsidiaries. These statements include financial projections and estimates and their underlying assump
Slide 38: Thank you
THANK YOU Investor.relations@showroomprive.com