Synsam AB · OMXSTO:SYNSAM
Synsam AB — Q2 2022 Earnings Presentation
24 slides from Synsam AB's earnings presentation, August 2022
Slide 1: Results presentation Q2 & 1H 2022
Results presentation Q2 & 1H 2022
Slide 2: Agenda
AGENDA Business Financial Summary Q&A Update Development |
Slide 3: Synsam Group Q2 & 1H 2022 in short
Synsam Group Q2 & 1H 2022 in short ▪ Very strong growth in a weak market, +15,3% in Q2 2022 o Net sales 1,399 MSEK in Q2, 2,585 MSEK in 1H o Organic growth 13,7% in Q2, 13,1% in 1H o EBITDA margin 24,5% in Q2 and 1H ▪ Continued high establishment rate, 11 new stores in Q2 2022 ▪ Synsam’s subscriptio
Slide 4: Business Update
BUSINESS UPDATE
Slide 5: Positive development of the Synsam Lifestyle Subscription
Positive development Of The Synsam LifestyleTM Subscription Synsam LifestyleTM subscription Lifestyle Represents An Increasing % Of Total Net Sales ▪ Net sales for the Lifestyle Subscription in Q2 2022 amounted to 666 MSEK (526), an increase of 27%. All segments contributed to the development. ▪ Cur
Slide 6: Continued strong growth of the Synsam Lifestyle Customer Base
Continued strong growth of the Synsam LifestyleTM Customer Base Active customer base Synsam LifestyleTM (thousands), at Synsam Group quarterly churn - Synsam LifestyleTM is a the end of the period. The active customer base within measure of the proportion of customers who leave the Synsam Lifestyle
Slide 7: Strong development of Contact Lens Subscription
Strong development Of Contact Lens Subscription Synsam Contact Lens Subscription Fast Growing Lens Subscription Sales (MSEK) ▪ Net sales for contact lens subscription in Q2 2022 +37%* amounted to 56 MSEK (43), an increase of 30% +38% 195 ▪ The active customer base was 116 thousand customers at the e
Slide 8: Grand opening of Synsam's production and innovation center
Grand opening of Synsam’s production and innovation center on Frösön outside Östersund on August 17 ”It’s a big thing for Jämtland, it’s important for Östersund and inspiring for Sweden”, said Prince Daniel. Prince Daniel, Minister for Business, Industry and Innovation Karl-Petter Thorwaldsson and G
Slide 9: Synsam's own production of spectacles provides competitive advantages
Synsam’s own production of spectacles provides competitive advantages ▪ Assortment adapted for the Nordic market ▪ Faster time-to-market ▪ Reduces risks with long logistics chains ▪ Lower capital tie-up The first collection – Jämtö – is available in stores already from September Q2 2022 RESULTS | 9
Slide 10: Emerging Store Concepts Development - Flagship Stores
Emerging Store Concepts Development - Flagship Stores ▪ Flagship – a total of 5 stores at the end of the quarter o In 2019, the first flagship store was opened o The concept features large stores with a vast assortment in central top locations o At forefront of optical retail serving and a destinati
Slide 11: Emerging Store Concepts Development - Mega Stores
Emerging Store Concepts Development - Mega Stores ▪ Mega – a total of 26 stores at the end of the quarter o In 2020, the Mega store concept was launched o The Mega stores have a significantly broader assortment than the regular stores (2700 SKUs compared to 1000 SKUs in regular stores) o The Mega St
Slide 12: Recycling Outlet – now Nordic
Recycling Outlet – now Nordic ▪ Recycling Outlet – a total of 20 stores at the end of the quarter, of which 6 opened during Q2 2022 o Recycling Outlet is the most recent store concept launched in 2020 o The concept covers two strong market trends: sustainability and attractive prices o Assortment ma
Slide 13: Store Network Overview
Store Network Overview The total number of stores at the end of the quarter was 520 (490), of which directly owned Number of stores per quarter stores 487 (451). 33 33 33 During Q2, 11 directly 39 39 owned stores were 38 487 39 38 38 476 40 38 467 42 41 451 456 43 446 opened 44 43 43 442 44 432 436
Slide 14: Q2 Overview
Q2 Overview Q2 Net sales 1,399 MSEK ▪ Net sales amounted to 1,399 MSEK (1,213), an increase of 15,3 % Q2 ▪ Gross margin decreased to 73,7% (75,4) Gross margin 73,7% ▪ Organic growth during Q2 was 13,7% and Q2 growth like-for-like was 9,5% Organic growth +13,7% ▪ EBITDA margin for the quarter was 24,
Slide 15: 1H Overview
1H Overview 1H Net sales 2,585 MSEK ▪ Net sales amounted to 2,585 MSEK (2,248), an increase of 15,0 % 1H ▪ Gross margin increased to 76,2% (75,8) Gross margin 76,2% ▪ Organic growth during 1H was 13,1% and 1H growth like-for-like was 8,9% Organic growth +13,1% ▪ EBITDA margin for the first half-year
Slide 16: Financial Development
F I N A N C I A L D E V E LO P M EN T
Slide 17: Growth and result per segment
Growth and result per segment 1 Organic growth Q2 Like for like Q2 Adjusted EBITDA Q2 +16,6% +13,1% 202 MSEK (179) SWEDEN Organic growth YTD Like for like YTD Adjusted EBITDA YTD +13,8% +10,1% 354 MSEK (347) Organic growth Q2 Like for like Q2 Adjusted EBITDA Q2 2 +3,2% +2,3% 78 MSEK (80) Organic gro
Slide 18: Q2 Financial Overview – Strong organic growth
Q2 Financial Overview – Strong organic growth Q2 MSEK 2022 2021 Δ% ▪ Organic growth: 13,7% Net Sales 1,399 1,213 15,3 Organic growth, %¹ ▪ Like-for-like growth: 9,5% 13,7 44,3 Gross margin, %¹ 73,7 75,4 ▪ The result has been burdened by higher operating Result (EBITDA)¹ 347 340 2,1 costs primarily r
Slide 19: Long term financial development
Long term financial development Net sales development Adjusted EBITDA and EBITA development IFRS -16 +11% 27% +23% +16% +14% 26% 5006 26% 25% 1311 +2% 1274 4669 3741 3806 19% 984 948 3380 858 854 643 593 557 485 2018 2019 2020 2021 LTM Q2 2022 2018 2019 2020 2021 LTM Q2 2022 Net sales (MSEK) YoY gro
Slide 20: Cash Flow and Financial Position
Cash Flow and Financial Position Q2 jan-dec ▪ Cash flow from operating activities amounted to 345 MSEK (236) MSEK 2022 2021 2021 Operating activities for the second quarter Profit/loss before tax 129 39 163 Adjusted for other non-cash items 12 111 271 Depreciation and amortisation 159 137 555 ▪ Net
Slide 21: Summary
oa 2 2 oO E a D
Slide 22: Summary
Summary ▪ Synsam shows very strong growth ▪ We continue to strengthen our market position in a competetive market ▪ Synsam’s subscription continues to win – the subscription is even more attractive and fulfills its function better in times of financial uncertainty ▪ Our store concepts are powerful ▪
Slide 23: Q&A
Q&A
Slide 24: www.synsam.com
www.synsam.com