Pet Valu Holdings Ltd. · TSX:PET

Pet Valu — Q4 2023 Earnings Presentation

14 slides from Pet Valu's earnings presentation, March 2024

  1. Slide 1: Q4 2023 Financial & Operating Review

    Q4 2023 Financial & Operating Review For 13-week period ended Dec. 30, 2023

  2. Slide 2: Disclaimers

    Disclaimers Forward-Looking Information This presentation contains forward-looking information. Forward-looking information is provided as of the date of this presentation and is based on management’s opinions, estimates and assumptions in light of its experience and perception of historical trends,

  3. Slide 3: Today's Presenters

    Today’s Presenters Richard Maltsbarger President & Chief Executive Officer Linda Drysdale Chief Financial Officer This presentation and any information contained herein may not be used, copied, reproduced, published, transmitted or redistributed, in whole or in part, without the prior written consen

  4. Slide 4: Our Mission

    Our Mission To be Canada’s preferred pet retailer delivering the products, care, expertise, and memorable moments that devoted pet lovers want…locally in stores and everywhere online. This presentation and any information contained herein may not be used, copied, reproduced, published, transmitted o

  5. Slide 5: Q4 2023 Highlights

    +8% 17 Revenue New Store Q4 2023 Growth (to $287 million) Openings (39 year-to-date) Highlights +20% 11 Adjusted EBITDA Renovations, Expansions Growth or Relocations (to $71 million) (40 year-to-date) +26% First Adjusted Net Income ESG Report Growth Published (+11% Net Income) Note: Adjusted EBITDA

  6. Slide 6: Our Key Focuses

    Our Key Focuses Local & Everywhere Best Pet Customer Strong Wholesale & Pet Specialty Retailer Experience in Canada Retail Fundamentals • Opening new stores across Canada • Offering compassionate, expert • Transforming our supply chain in-store customer service • Continual renovations, expansions •

  7. Slide 7: Q4 2023 Key Financial Metrics

    Q4 2023 Key Financial Metrics Q4 2023 vs. PY2 Drivers System-Wide Sales $379.0 +5.1% • Positive SSSG, 39 new stores in last 12 months Same-Store Sales Growth +1.9% --- • Basket1 +3.0% and Traffic1 (1.1%) Revenue $286.9 +7.8% • Similar to system-wide sales growth • +30 bps excluding supply chain tran

  8. Slide 8: Q4 2023 Key Financial Metrics

    Cash Free Cash Flow Q4 2023 $28.4M $34.3M Key Financial plus $130M revolver capacity vs. $25.0M in Q4 2022 Metrics Long-term Debt Net Leverage Ratio1 $293.2M 2.3x (-13%) vs. Q4 2022 vs. 2.2x to Q3 2023 Inventory Net Capital Expenditures $122.1M $11.4M +3% vs. Q4 2022 $52.3M year-to-date 1Net Leverag

  9. Slide 9: Outlook

    2024 Growth from 2024 FY 2023 Outlook Revenue …supported by… $1.11-1.14B +5 to +8% Same-Store Sales Growth +2-5% --- New Store Openings 40-50 +5 to +6%1 Adjusted EBITDA $248-254M +7 to +10% Adjusted Net Income $1.57-1.63 (2%) to +1% per Diluted Share Net Capital Expenditures ~$55M +$3M 1 Represents

  10. Slide 10: Appendix

    Appendix This presentation and any information contained herein may not be used, copied, reproduced, published, transmitted or redistributed, in whole or in part, without the prior written consent of Pet Valu Canada Inc. © 2023 Pet Valu Canada Inc. 10

  11. Slide 11: Reconciliation of Adjusted EBITDA

    Reconciliation of Adjusted EBITDA Quarters Ended Dec. 30, 2023 Dec. 31, 2022 (13 weeks) (13 weeks) Net income $28,765 $25,881 (1) Represents discrete, project-based implementation costs associated with new information technology systems and discrete Software-as-a-Service ("SaaS") arrangements for tr

  12. Slide 12: Reconciliation of Adjusted Net Income

    Reconciliation of Adjusted Net Income Quarters Ended Dec. 30, 2023 Dec. 31, 2022 (13 weeks) (13 weeks) Net income $28,765 $25,881 (1) Represents discrete, project-based implementation costs associated with new information technology systems and discrete SaaS arrangements for transformational initiat

  13. Slide 13: Reconciliation of Free Cash Flow

    Reconciliation of Free Cash Flow Quarters Ended Dec. 30, 2023 Dec. 31, 2022 (13 weeks) (13 weeks) Cash provided by operating activities $55,214 46,940 Cash (used in) provided by investing activities (1,676) (11,429) Repayment of principal on lease liabilities (13,876) (7,371) Interest paid on lease

  14. Slide 14: Thank You

    Thank You Contact Us: [email protected] (289) 806-4559 This presentation and any information contained herein may not be used, copied, reproduced, published, transmitted or redistributed, in whole or in part, without the prior written consent of Pet Valu Canada Inc. © 2023 Pet Valu Canada Inc. 1

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