Fiskars Oyj Abp · OMXHEX:FSKRS
Fiskars Oyj Abp — Fiskars Group — Q3 2019 Earnings Presentation
19 slides from Fiskars Oyj Abp's earnings presentation, Oct 31, 2019
Slide 1: Interim report January–September 2019
Interim report January–September 2019
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements that reflect management’s current views with respect to certain future events and potential financial performance. Although Fiskars Group believes that the expectations reflected in such forward- looking statements are reasonable, no a
Slide 3: Key takeaways for Q3 2019
Key takeaways for Q3 2019 • Challenging quarter with a decrease in comparable net sales, comparable EBITA and cash flow • Good momentum in the Functional business in Europe continued, challenges in Americas • Performance improved in the Living segment, driven by the English & Crystal Living business
Slide 4: Fiskars Group comparable net sales
Fiskars Group comparable net sales in Q3 2019 Net sales, EUR million Net sales bridge, EUR million Comparable change* -3.5% 400 Change -2.8% 4.7 -2.9 255.8 -5.1 319 324 -3.8 0.0 248.7 300 270 266 273 269 265 256 249 200 100 0 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q3 FX Divest- SBU SBU Other Q3 2017 2017 2018 2
Slide 5: Fiskars Group comparable EBITA
Fiskars Group comparable EBITA in Q3 2019 Comparable EBITA, EUR million Comparable EBITA margin Comparable EBITA* -50.2% EBITA -73.0% 48.8 50 16% 15.1% 40 35.4 14% 29.1 12% 10.8% 11.1% 30 27.0 10.6% 25.9 9.7% 23.6 22.3 10% 8.9% 8.2% 20 16.1 8% 13.4 6.1% 6% 5.4% 10 4% 1.3 0 -4.9 -1.6 -2.1 -0.3 -5.2 -
Slide 6: Functional marketing highlights
Functional marketing highlights in Q3 2019 The Fiskars brand took steps forward in growing the direct retail channel. During the quarter, the brand opened its first cooking shop-in-shop in Oslo. Fiskars continued to build its direct consumer contact by attending several crafting events in the U.S. T
Slide 7: Living marketing highlights
Living marketing highlights in Q3 2019 Royal Copenhagen launched a new tableware collection called HAV, available exclusively in Royal Copenhagen stores and online. Wedgwood presented an exclusive gift to Her Majesty Queen Elizabeth II. The hand-painted bowl was presented in conjunction with a crick
Slide 8: Fiskars Group strategic priorities
Fiskars Group strategic priorities Growing business • Growing the core Exciting • Expanding in China and e-commerce consumers • Exploring services Inspiring Improving people performance ⓒ Fiskars Group. 31.10.2019 8
Slide 9: Q3 2019
Q3 2019 ⓒ Fiskars Group.
Slide 10: Functional in Q3 2019
Functional in Q3 2019 Comparable change* Q1-Q3 Q1-Q3 EUR million Q3 2019 Q3 2018 Change Change 2019 2018 -3.8% Net sales 129.8 134.6 -3.6% 449.9 446.8 0.7% Comparable EBITA 6.3 19.1 -67.0% 53.0 66.4 -20.2% 159 157 163 153 135 130 135 138 130 Capital expenditure 4.7 6.1 -22.1% 11.8 13.2 -11.0% • Comp
Slide 11: Living in Q3 2019
Living in Q3 2019 Comparable change* Q1-Q3 Q1-Q3 EUR million Q3 2019 Q3 2018 Change Change 2019 2018 -3.1% Net sales 117.9 120.0 -1.8% 329.7 344.9 -4.4% 188 185 Comparable EBITA 9.5 8.8 7.7% 12.2 14.5 -16.0% 134 Capital expenditure 3.7 5.4 -31.4% 12.5 16.5 -24.1% 112 112 120 118 111 101 • Comparable
Slide 12: Update on the Transformation program in the Living business
Update on the Transformation program in the Living business The Transformation program focuses primarily on: Targeted annual cost savings app. EUR 17 million • The English & Crystal Living business, to improve its profitability • Subject to the full implementation of the program • Planned actions in
Slide 13: Net sales by geography
Net sales by geography in Q3 2019 Comparable Comparable EUR million Q3 2019 Q3 2018 Change Q1-Q3 2019 Q1-Q3 2018 Change change* change* Europe 114.3 119.4 -4.2% -1.4% 365.2 369.1 -1.1% 0.9% Americas 100.4 104.1 -3.6% -7.6% 321.0 332.4 -3.4% -8.9% Asia-Pacific 33.8 29.1 16.0% 12.8% 95.9 93.0 3.1% 0.8
Slide 14: Earnings per share
Earnings per share in Q3 2019 0.34 0.34 0.33 0.21 0.21 0.20 0.13 0.12 0.04 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019 ⓒ Fiskars Group. 31.10.2019 14
Slide 15: Cash flow decreased from previous year’s level
Cash flow decreased from previous year’s level Cash flow from operating activities before Working capital, EUR million financial items and taxes, EUR million 300 150 252 258 250 242 227 232 226 218 100 196 197 200 150 50 104 92 Impact from 43 41 48 IFRS 16 : 100 25 EUR +6.1 million 0 11 -26 50 -39 -
Slide 16: Net debt excluding the impact from IFRS 16 close to previous year’s level
Net debt excluding the impact from IFRS 16 close to previous year’s level Net debt, EUR million Equity ratio and net gearing 350 322 317 80% 70% excluding 69% 69% 69% 70% 300 70% 68% 68% impact from 278 Impact from 65% IFRS 16 –impact IFRS 16 (yoy): and Wärtsilä 250 EUR 100 million 60% 56% 55% share
Slide 17: Outlook for 2019 updated
Outlook for 2019 updated (October 16, 2019): In 2019, Fiskars expects the Group's comparable net sales and comparable EBITA to be below the previous year’s level. The outlook is influenced by the company’s investments in growth initiatives that are expected to add sustainable value in the long- term
Slide 18: Long-term financial targets unchanged
Long-term financial targets unchanged Growth Profitability Capital Dividend The average annual net sales EBITA margin structure Fiskars aims to distribute a growth to exceed 5%, through a to reach 12% stable, over time increasing combination of organic growth and Net gearing* below 100% dividend, to
Slide 19: Making the everyday extraordinary
Making the everyday extraordinary ⓒ Fiskars Group. 31.10.2019 19