Boohoo Grp Plc Unsp/Adr (BHOOY) Q2 2024 Earnings Call

Investor webinar replay

Replay transcript excerpt

Hi, guys. Keep it brief as usual. Joined by Carol, John, Sean. Interesting times, but listen, let me tell you, we're focused on growth. So it's all fun and games and it's all good. Okay, thanks Mahmood. Good morning everyone. So I'm going to give you an update this morning on our financial performance in the first half and then John will give you an update on our back to growth strategy and the key strategic milestones we've delivered in the first half of the year. After that we'll take any questions you might have. So let's start with the financial review and delivering sustainable returns on investments. So we've made substantial progress during the first half, despite the difficult trading conditions. We've improved first half EBITDA margin. We've delivered strong working capital, which we're very pleased with, and we've continued to manage inventory tightly. Our efforts on cost savings and working capital have underpinned the investments we've made across the group. And these initiatives have been delivered on time and on budget. And this is all geared towards ensuring that we're well placed so that the group can rebound quickly and robustly when growth returns. Our medium term EBITDA margin target remains unchanged. As I talked to you about in May, my focus has been on four key areas. Firstly, on stock management. So we've made great progress bringing down inventory significantly, 35% year on year. And we've improved stock turn during the period. We're prudently managing all of the costs in our business, ensuring that the cost base is appropriately lean and right sized for the current environment. We've identified gross annualized savings of over 125 million across FY24 and FY25. And these savings go right across the cost of goods, distribution costs, and admin ...