Robinsons Retail Holdings, Inc. · PSE:RRHI

Robinsons Retail — Q1 2019 Earnings Presentation

22 slides from Robinsons Retail's earnings presentation, May 6, 2019

  1. Slide 1: 1Q2019 Unaudited Earnings Results

    JSHIVEIDO 72] ROBINSONS CC ee RETAIL HOLDINGS, INC. 1Q2019 UNAUDITED fal EARNINGS RESULTS MAY 6, 2019 ry 20190506

  2. Slide 2: Agenda

     Financial Highlights  Store Network  Consolidated Results  Business Segments  Working Capital  Capital Expenditure  Recent Developments 2

  3. Slide 3: Financial Highlights

    29.0% yoy lift in consolidated 1,911 net sales 20bps stores plus expansion 1,960 TGP in GP branches Healthy margin nationwide 9.7% yoy blended increase in SSSG of EBITDA 4.1% 27.0% yoy increase in Core net gross floor income of area ₱806M (excl. TGP) 3

  4. Slide 4: 1,911 stores plus 1,960 TGP branches

    1,911 stores plus 1,960 TGP branches 40.9% 37.9% 33.9% 42.3% 10.6%17.7% with gross floor area of 1.46 million sqm 1 5.6% 11.2% Metro Luzon Visayas Mindanao Manila Supermarkets 109 91 37 16 Department Stores 13 17 11 9 DIY Stores 59 87 41 22 Convenience Stores 335 154 23 - Drugstores1 111 326 45 28 S

  5. Slide 5: Net Sales and Same Store Sales Growth

    Net Sales1 (₱ bn) Same Store Sales Growth ∆+15.1% 5.9% 6.4% 4.1% 132.7 2.7% 115.2 16.6 2017 2018 1Q2018 1Q2019 ∆+29.0% 14.2 15.8 14.5 6.2 37.4 5.7 13.9 3.7 29.0 9.7% 12.3 4.4 17.8 1.6 55.5% 3.4 16.1 3.8 3.3 Net Sales 8.8% 1.5 3.6 Breakdown 3.1 4.2% 3.6 62.4 11.8% 52.4 20.7 13.5 10.0% 2017 2018 1Q201

  6. Slide 6: Gross Profit, EBITDA, EBIT and Net Income

    Gross Profit (₱ mm) EBITDA (₱ mm) ∆+15.7% 29,835 ∆+7.7% 25,792 8,378 9,021 ∆+30.1% ∆+9.7% 8,470 1Q19 Highlights: 6,511 1,847 2,026 22.4% 22.5% 22.5% 22.7% 7.3% 6.8% 6.4% 5.4% Gross profit 2017 2018 1Q2018 1Q2019 2017 2018 1Q2018 1Q2019 margin expanded by EBIT (₱ mm) Net Income (₱ mm) 20bps ∆+5.1% 4.

  7. Slide 7: Supermarkets

    Net Sales (₱ mm) Gross Profit (₱ mm) ∆+19.1% Store ∆+20.0% Count 62,363 52,363 12,189 1Q2019 253 ∆+53.1% 10,154 ∆+63.7% 20,732 4,208 2018 252 13,540 2,571 19.4% 19.5% 19.0% 20.3% 2017 154 2017 2018 1Q2018 1Q2019 2017 2018 1Q2018 1Q2019 1Q19 Highlights: Same Store Sales Growth EBITDA (₱ mm) Healthy S

  8. Slide 8: Department Stores

    Net Sales (₱ mm) Gross Profit (₱ mm) Store ∆+10.3% Count 17,781 ∆+12.6% 16,116 50 4,236 4,769 1Q2019 ∆+1.4% ∆-0.3% 2018 52 3,558 3,609 999 996 26.3% 26.8% 28.1% 27.6% 2017 49 2017 2018 1Q2018 1Q2019 2017 2018 1Q2018 1Q2019 1Q19 Highlights: Same Store Sales Growth EBITDA (₱ mm) Minimal increase in ne

  9. Slide 9: DIY Stores

    Net Sales (₱ mm) Gross Profit (₱ mm) Store ∆+12.8% ∆+12.6% Count 13,905 4,445 12,323 3,946 1Q2019 209 ∆+6.4% ∆+9.1% 2018 210 3,103 3,303 1,014 1,106 32.0% 32.0% 32.7% 33.5% 2017 193 2017 2018 1Q2018 1Q2019 2017 2018 1Q2018 1Q2019 1Q19 Highlights: Same Store Sales Growth EBITDA (₱ mm) Increase in net

  10. Slide 10: Convenience Stores

    Systemwide Sales & Net Sales Gross Profit + Royalty Income ∆+4.9% (₱ mm) 39.8% 39.6% (₱ mm) 37.1% 39.2% Store Count 8,640 9,065 ∆+7.8% 1Q2019 512 System-wide sales 2,271 2,448 ∆+2.0% 545 559 ∆+7.7% 2018 499 2,190 2,234 566 609 Net Sales 5,710 6,177 1,726 1,889 1,553 143 424 144 466 2017 496 1,525 20

  11. Slide 11: Drugstores

    Net Sales (₱ mm) Gross Profit (₱ mm) Store ∆+9.0% ∆+13.5% Count 15,824 14,518 3,077 2,712 1Q2019 510 1,960 ∆+15.8% ∆+12.8% 2018 510 1,992 3,814 4,414 758 854 19.4% 19.9% 19.4% 2017 484 2,015 18.7% 2017 2018 1Q2018 1Q2019 2017 2018 1Q2018 1Q2019 1Q19 Highlights: Same Store Sales Growth EBITDA (₱ mm)

  12. Slide 12: Specialty Stores

    Net Sales (₱ mm) Gross Profit (₱ mm) ∆+17.0% Store Count 18,200 ∆+14.2% 15,550 4,797 1Q2019 377 4,200 ∆+12.8% ∆+13.1% 2018 387 3,698 4,172 1,027 1,162 27.0% 26.4% 27.8% 27.9% 2017 342 2017 2018 1Q2018 1Q2019 2017 2018 1Q2018 1Q2019 1Q19 Highlights: Same Store Sales Growth EBITDA (₱ mm) Healthy SSSG

  13. Slide 13: Working Capital

    2017 2018 1Q2019 7.1 8.7 6.7 Receivable days Inventory days 66.1 60.6 60.1 72.5 87.2 69.2 Payable days Cash Conversion Cycle -2.4 -4.8 -12.4 13

  14. Slide 14: Capital Expenditure

    2017 2018 1Q2019 Supermarkets 41% 52% 47% Department stores 24% 14% 12% DIY Stores 11% 10% 8% Convenience Stores 4% 5% 19% Drugstores 8% 3% 4% Specialty Stores 12% 16% 10% Total CAPEX (in ₱ mm) 3,105 4,419 650 % of net sales 2.7% 3.3% 1.7% 14

  15. Slide 15: Online Platform Launches and Investments

    Launch Brand Platform Dec 2018 MetroMart Dec 2018 honestbee Oct 2018 honestbee Sep 2018 honestbee Sep 2018 (convertible note) GrowSari Jun 2018 Zalora May 2018 Shopee Apr 2018 honestbee Apr 2018 Lazada Jan 2018 Lazada Dec 2017 (invested 20% stake) BeautyMNL Oct 2017 Lazada May 2017 honestbee Apr 201

  16. Slide 16: Additional Investment in BeautyMNL

    ADDITIONAL INVESTMENT IN BEAUTYMNL a 2 comennennen Lae] @ Discover what every Filipina wants on the No. 1 homegrown site in the country Beauty Fashion bree Health & Fitness 10) est i y t Wellness int a = Starts at P26: The Big BeautyMNL Flash Sale Ends. PR oiectes capaci SUMMER DEEPER DISCOUNTS ! SU

  17. Slide 17: Robinsons Appliances DC Expansion

    ROBINSONS APPLIANCES DC EXPANSION (AJROBINSONS RETAIL } HOLDINGS, INC.

  18. Slide 18: New Franchises with Emart: No Brand and Scentence

    NEW FRANCHISES WITH EMART: NO BRAND AND SCENTENCE PAROBINSONS RETAIL HOLDINGS, INC.

  19. Slide 19: Thank You!

    a UV aC) & pene JSHIVEIDO Oe, SQ 72 ROBINSONS a RETAIL ait. HOLDINGS, INC. i THANK YOU! _ 1 —_ Elisabah Arden VY Lei) TRUEHOME = A ie 4 BURTON

  20. Slide 20: Income Statement

    Three Months Ended March 31 Years Ended December 31 PHP mm 2019 2018 2018 2017 Sales - net of sales discounts and returns 37,350 28,961 132,681 115,238 Cost of merchandise sold 28,880 22,450 102,845 89,446 Gross Profit 8,470 6,511 29,835 25,792 Royalty, rent and other revenues 625 543 2,422 2,262 Gr

  21. Slide 21: Balance Sheet

    March 31 December 31 PHP mm 2019 2018 ASSETS Current Assets Cash and cash equivalents 11,797 14,788 Trade and other receivables 2,787 3,172 Merchandise inventories 19,280 18,628 Other current assets 3,310 3,160 Total Current Assets 37,174 39,747 Noncurrent assets Debt and equity instrument financial

  22. Slide 22: Cash Flows

    Three Months Ended March 31 Years Ended December 31 PHP mm 2019 2018 2018 2017 CASH FLOWS FROM OPERATING ACTIVITIES Income before income tax 1,414 1,713 7,597 7,303 Adjustments for: Depreciation and amortization 829 572 2,395 2,073 Retirement expense 38 38 156 171 Interest expense 90 27 159 127 Equi

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