ANALYST PRESENTATION 9M 2011 November 9, 2011

Transcription

1 ANALYST PRESENTATION 9M 2011 November 9,

2 Disclaimer This document contains forward-looking statements, which are based on the current estimates and assumptions by the management of TOM TAILOR Holding AG. Forwardlooking statements are characterized by the use of words such as expect, intend, plan, predict, assume, believe, estimate, anticipate and similar formulations. Such statements are not to be understood as in any way guaranteeing that those expectations will turn out to be accurate. Future performance and the results actually achieved by TOM TAILOR Holding AG and its affiliated companies depend on a number of risks and uncertainties and may therefore differ materially from the forward-looking statements. Many of these factors are outside TOM TAILOR Holding AG s control and cannot be accurately estimated in advance, such as the future economic environment and the actions of competitors and others involved in the marketplace. TOM TAILOR Holding AG neither plans nor undertakes to update any forward-looking statements. 2

3 9M 2011 development at a glance: Profitable growths continues Sales increased by 19% to 295.3m in 9M; Retail segment grows lfl 5.4% and significantly outperforms the German textile market (-1%) Expansion of controlled distribution areas well on track Gross margin increased up to 47.2% in 9M (+110 bps vs. last year s period) Recurring EBITDA reached 27.2 m in 9M ( 29.3 m) Outlook for 2011 confirmed assuming consumer confidence remains robust in Q

4 Sales overview: growth driven by expansion in the Retail-Segment Sales development TOM TAILOR Group Comments % M M 2011 Sales development Wholesale + 7.2% Share of international sales reaches 34.8% following 30.9% in 9M 2010 Solid growth in all relevant markets Wholesales sales in Russia confirms new strategy in this region 8.1m in 9M (+ 62.4%) Wholesale represents 65% of Group sales 9M M 2011 Sales development Retail % M M additional retail stores in 9M 2011 Sales increase by 46.1% in Q3 despite strong comparative figures and adverse weather conditions Retail represents 35% of Group sales Lfl growth of 5.4% in 9M 2011 (market average: -1%) 4

5 Expansion of controlled distribution areas well on track Controlled distribution Retail / B2C Wholesale / B2B Retail E-commerce Franchise Shop-in-shops Multi-label POS (as of Sept. 30, 2011) tom-tailor.de 221 in Europe tom-tailor.at 155 in Europe in Europe ~6.000 worldwide tom-tailor.nl Highlights 9M stores versus Dec. 31, 2010 Opening of tom-tailor.be tom-tailor.fr 15 store openings shopin-shops versus Dec. 31, 2010 Number of POS remains stable Target 2011 Further expansion to new stores strengthen e new stores commerce presence new shopin-shops Figure to remain stable 5

6 TOM TAILOR: a key winner in the current Spiegel Outfit study criteria brand awareness Puma H&M s.oliver Nike Esprit Jack Wolfskin TOM TAILOR Lacoste Top 10 companies: brand awareness Adidas % 2007 Hugo Boss Source: Spiegel Outfit study 7.0 (2011); Spiegel Outfit study 6 (2007) 6

7 TOM TAILOR: a key winner in the current Spiegel Outfit study criteria brand ownership Adidas H&M s.oliver Esprit Nike Puma Levi s TOM TAILOR Top 10 companies: brand ownership % New Yorker n.a. 38 Reebok Source: Spiegel Outfit study 7.0 (2011); Spiegel Outfit study 6 (2007) 7

8 TOM TAILOR: a key winner in the current Spiegel Outfit study criteria willingness to buy 84 Adidas Puma Nike s.oliver TOM TAILOR Levi s Esprit Top 10 companies: willingness to buy % 2007 H&M Jack Wolfskin Reebok Source: Spiegel Outfit study 7.0 (2011); Spiegel Outfit study 6 (2007) 8

9 TOM TAILOR strenghtens its presence on Asian procurement markets Foundation of TOM TAILOR Sourcing Ltd. with long standing Partner Asmara International From 2012 onwards, TOM TAILOR will benefit from direct access to Asmara s purchasing offices and infrastructure in Indonesia, Hong Kong, China, India, Bangladesh, Vietnam, Cambodia and Pakistan TOM TAILOR holds 51% in TOM TAILOR Sourcing Ltd., Asmara International 49% No agency related black box going forward (direct control of Asian purchasing activities) TOM TAILOR sourcing by fob turnover (country split as of November 2011) Indonesia 12% Others 5% Pakistan 5% Europe 8% India 15% China 32% TOM TAILOR sourcing by volume 2011 (country split as of November 2011) Others 3% Pakistan 4% Europe 8% China 20% Bangladesh 23% + Clear visibility on supplier cost calculation Indonesia 11% + Gross margin improvement expected from 2012 onwards India 17% Banglasdesh 37% 9

10 Gross margin comparison : Margin in Q above Q and % Group Wholesale Retail Q1 Q2 Q Q

11 Seasonality: Quarterly sales and profitability development Sales development Q1 Q2 Q3 9M Q4 FY > Recurring EBITDA development Q sales should benefit from price increases and higher share of retail sales Q1 Q2 Q3 9M Q4 FY ~ Q EBITDA should also benefit from no additional transport cost 11

12 TOM TAILOR profitability: Increasing impact of existing stores on profitability going forward % 100 pre IPO post IPO going forward 19% 16% new stores in % existing stores in % 75 31% 45% 37% % 55% 63% 81% 84% Dec. 31, 09 Dec. 31, 10 Dec. 31, 11e Dec. 31, 12e Dec. 31, 13e number of stores Increasing annual proportion of existing stores as a percentage of total stores will boost profitability going forward 12

13 Outlook for 2011 confirmed Net sales: > 400m EBITDA: approx. 48m TOM TAILOR on track to reach 2011 targets assuming consumer confidence remains robust in Q

14 Differentiation criteria from competitors FINANCIAL HIGHLIGHTS 9M/Q

15 Profit & loss 9M 2011 TOM TAILOR Group: Profitable growth continues Key figures 9M 2011 Comments Sales % Share of international sales increased to 34.8% following 30.9% in 9M M M 2011 Gross profit % M M 2011 Gross profit margin rose from 46.1% to 47.2% mainly due to higher selling prices as of February. Effects partially offset by higher input costs, especially in Q1, and higher level of markdowns in Retail-Segment Recurring EBITDA M % M 2011 Recurring EBITDA below last year s level due to lower gross margin in Q1, opening costs for new stores and a Retail EBITDA below last year s level Recurring net income % 5.7 Recurring net income slightly down mainly due to lower operational result 9M M

16 Profit & loss Q TOM TAILOR Group: Difficult quarter due to adverse weather and strong comparables Key figures Q Comments Sales % Q Q Sales growth in both segments: Wholesale up 6.3%, Retail up 46.1% Sales achieved in core markets represent 88% of Group sales and are up by 14.9% Gross profit % Q Q Gross profit margin strongly increased from 44.4% to 46.7% mainly driven by increase in selling prices as well as shortfall of additional air freight costs. Effects partially offset by higher markdowns in the Retail segment Recurring EBITDA + 8.2% Q Q Recurring EBITDA slightly exceeded last year s recurring EBITDA Recurring net income % Q Q Recurring net income impacted by higher net financials and tax expenses 16

17 Profit & loss Segment Wholesale: Strong increase in profitability in Q Key figures Wholesale Q Comments Sales + 6.3% Q Q Solid sales increase of 6.3%; Wholesale represents 67% of Group sales Sales shift to Retail segment due to take-over of Franchise stores in Austria and Germany Order intake until Dec %, order intake Jan-February % above previous year Gross profit % Q Q Gross margin increased strongly from 38.8% to 42.3% due to higher selling prices and shortfall of additional freight costs. Effects slightly offset by higher salaries in the production countries Recurring EBITDA 12.6 Q % 14.5 Q Strong increase in gross margin led to a rising recurring EBITDA Recurring EBITDA margin reached 18.3% following 16.9% in Q

18 Profit & loss Segment Retail: EBITDA slightly decreases in Q Key figures Retail Q Comments % Strong sales growth of 46.1% Sales Q Q Adverse weather conditions lead to higher level of markdowns in Q3 Segment growths like-for-like 2.3% and once again outperforms the German textile market Gross profit % 21.9 Gross margin reaches 55.8% after 60.0% in Q impacted by difficult situation in Q3 Q Q Recurring EBITDA % 2.6 EBITDA margin reaches 6.6% following 11.8% in Q Q Q

19 Segment Retail: Accelerated growth momentum due to prudent expansion of store portfolio in Q3 m Recurring EBITDA development Lower EBITDA margin due to margin lower gross margin and pre-opening costs 11.8% % Q Q Q Lfl stores New stores 2010 * TOM TAILOR South Eastern Europe Expansion 2011 TT SEE*/ Sagmeister Closings Q

20 Capex 9M 2011: Used for expansion in controlled distribution areas Capex 9M 2011 Comments TOM TAILOR Group M M 2011 Expansion of controlled distribution areas leads to Capex of 17.5m (9M m) Repair & maintenance Capex of 0.9m (9M m) Wholesale M M 2011 Wholesale Capex: 285 additional shop-in-shops 6.0m invested in controlled distribution areas Retail M M 2011 Retail Capex: 63 additional stores in 9M m invested in controlled distribution areas 20

21 Cashflow seasonality: Strong cash inflow in Q4 Operating cashflow 2011 Capex Q1 Q2 Q3 9M Q4 FY FY CAPEX 2011 completely covered by operating cashflow From 2012 onwards, operating cashflow will exceed CAPEX needs 21

22 TOM TAILOR QUESTIONS? ANSWERS! 22

23 Contact details Investor Relations Please do get in touch with us: TOM TAILOR HOLDING AG Garstedter Weg Hamburg Dr. Andrea Rolvering Head of Investor Relations & Corporate Communications Tel: +49 (0) Fax: +49 (0) Mobile: +49 (0)