New Wave Group Ab Class B · OMXSTO:NEWA_B
New Wave Group Ab Class B — Q1 2013 Earnings Presentation
25 slides from New Wave Group Ab Class B's earnings presentation, May 2013
Slide 1: Interim report Q1 January – March 2013
Interim report Q1 January – March 2013
Slide 2: This is New Wave Group
This is New Wave Group « New Wave Group is a growth company. We design, acquire and develop brands and products in the corporate promotion, gifts and home furnishings sectors. « Our three operating segments are: Corporate Promo; promowear, promotional gifts and workwear, Sports & Leisure and Gifts
Slide 3: Our brands
British football brand Umbro is one of New Wave Group’s four licensed brands. Our brands
Slide 4: Operating segments and markets
Corporate Promo Operating segments and markets New Wave Group distributes more than 40 different brands, 4 of which are licensed brands. The rest are fully owned. Sport & Leisure Each brand is categorised according to which of our three operating segments it belongs to; Corporate Promo, Sports & Lei
Slide 5: Corporate Promo
New Wave Group covers all three corporate promo segments; promowear, promotional gifts and workwear. Corporate Promo Corporate Promo is divided into three additional segments; promowear, promotional gifts and workwear. The segment’s domestic market is the Nordic countries which also answer for most
Slide 6: Corporate Promo promowear
Corporate Promo promowear New Wave Group offers clothes adapted for printing and embroidery which, in addition to price and quality, also cover all application areas and sizes – from favourably priced basic garments to detailed garments made of exclusive textiles, leisure, work and sports clothes, c
Slide 7: Corporate Promo promotional gifts
Corporate Promo promotional gifts The promotional gifts concept is broad and the segment covers a multitude of products and price classes. New Wave Group can offer everything from pens, USB flash drives and digital picture frames to handbags, bed linen and towels. « Lord Nelson classic high-quality
Slide 8: Corporate Promo workwear
There is a vast need for personal protection in some work areas. In Sweden, the issue is intensely promoted by trade Corporate Promo unions. workwear New Wave Group can offer workwear for such professional categories as construction and installation, painters and plasterers, transport and service, a
Slide 9: Corporate Promo vision
Promowear brand James Harvest Sportswear helps companies create a winning team-spirit. Corporate Promo vision The vision for the Corporate Promo operating segment is to become the leading supplier in Europe and one of the leading suppliers in the USA of promotional products by offering retailers a b
Slide 10: Sports & Leisure
Sports & Leisure Sports & Leisure consists of 14 different brands. Two licensed brands – Speedo and Umbro – are sold alongside the company’s own brands. Sports & Leisure answered for 46 % of the Group’s sales in 2012. Most of the sales relate to the retail market (sports retail sector) but some sale
Slide 11: Sports & Leisure vision
Sports & Leisure vision The vision for the Sports & Leisure operating segment involves establishing the wholly owned brands Craft and Seger as international functional sportswear brands, and making Cutter & Buck a world-leading golf apparel brand. The vision also entails strengthening Umbro in the S
Slide 12: Gifts & Home Furnishings
Gifts & Home Furnishings The Gifts & Home Furnishings operating segment includes 11 strong brands. In total, the segment’s brands are established in 15 countries. Gifts & Home Furnishings was responsible for 15 % of the Group’s sales figures in 2012. While the brands are mainly sold in the retail ma
Slide 13: Gifts & Home Furnishings vision
Joyful and innovative gifts from Sagaform, here represented by ‘Happy Days’ by Matz Borgström. Gifts & Home Furnishings vision The vision for the Gifts & Home Furnishings operating segment area is to make Orrefors and Kosta Boda world- leading glass and crystal suppliers. Part of the vision also inv
Slide 14: Financial information
Financial information
Slide 15: January – March 2013
January – March 2013 « Sales amounted to SEK 877 million (SEK 975 million), -10% « of which currency effect SEK 28 million (3 %). « calendar effect « Operating result amounted to SEK 16.1 million (SEK 2.6 million) « Result after tax amounted to SEK 0.1 million (SEK -8.2 million) « Cash flow fr
Slide 16: January – March 2013
January – March 2013 « Sales -10%, SEK 877 million (SEK 975 million) « Sales in local currencies -7%. « Corporate Promo -10%, Sport & Leisure -9%, Gifts & Home -15%. « Weak market conditions « Sales weak primarily in the promo sales channel « Operating segments « Corporate Promo -10% to SEK 3
Slide 17: Sales per region
January – March 2013 Sales per region JAN-MAR Part of JAN-MAR Part of Change % 2013 sales 2013 sales SEK million Sweden 213 24% 244 25% -31 -13 USA 223 26% 244 25% -21 -9 Nordic countries 139 16% 147 15% -8 -5 Central Europe 178 20% 199 20% -21 -11 South Europe 78 9% 92 10% -14 -15 Other countries 4
Slide 18: Income statement
January – March 2013 Income statement 3 months 3 months Jan-Mar Jan-Mar SEK Million 2013 2012 Income 877.3 975.4 Goods for resale -456.8 -531.2 Gross profit 420.5 444.2 Other operating income 8.6 8.5 External costs -223.0 -247.2 Personnel costs -174.7 -186.3 Depreciation/amortization -11.7 -11.9 Oth
Slide 19: EBITDA per operating segment
Promowear brand James Harvest Sportswear helps companies create a January – March 2013 winning team-spirit. EBITDA per operating segment « Corporate promo amounted to SEK 8.9 million (SEK 12.9 million) « Lower sales but higher operating margin due to savings « Sports & Leisure amounted to SEK 25.
Slide 20: Sales
Sales 1500 1200 900 600 300 0 Q1 Q2 Q3 Q4 2008 2009 2010 2011 2012 2013
Slide 21: Result before tax
Result before tax 150 100 50 0 -50 -100 -150 -200 Q1 Q2 Q3 Q4 2008 2009 2010 2011 2012 2013
Slide 22: Cash flow
January - March 2013 Cash flow 3 months 3 months Jan-Mar Jan-Mar SEK Million 2013 2012 Cash flow from operating act. before changes in working capital -18.7 -12.8 Changes in working capital 124.8 57.8 Cash flow from operations 106.1 45.0 Investing activitites -9.7 -10.8 Cash flow after investing act
Slide 23: Financial highlights - summary
Financal highlights - summary 3 months 3 months 12 months 12 months 12 months 12 months 12 months Jan-Mar Jan-Mar Jan-Dec Jan-Dec Jan-Dec Jan-Dec Jan-Dec 2013 2012 2012 2011 2010 2009 2008 Sales growth, % -10.0 5.2 1.0 -0.2 3.8 -11.2 9.8 Number of employees 2 250 2 440 2 258 2 470 2 196 2 203 2 562
Slide 24: CEO summary – Q1
CEO summary – Q1 « Market conditions and sales « Tougher than we thought « Calendar and weather effect « Result « Relatively strong gross profit margin « Good cost control and savings « Cash flow and working capital « Much better than py « Satisfied with the balance sheet but will endeavour
Slide 25: Final words
Final words We strive to make everyone who buys our products a happy customer. If you choose to invest in New Wave Group we want you to know that we promise to take care of your investment in the best possible way we can — through long-term thinking, growth, stability and hard work!