Philippine Seven Corporation · PSE:SEVN

Philippine Seven — Q4 2021 Earnings Presentation

19 slides from Philippine Seven's earnings presentation, Jun 6, 2022

  1. Slide 1: Q4 2021 Investor Briefing

    PHILIPPINE SEVEN CORPORATION (SEVN) Q4 2021 Investor Briefing [email protected]

  2. Slide 2: A Global Brand

    A Global Brand Norway: 149 Sweden: 82 South Korea: 11,173 Canada: 618 United States: 13,250 China: 2,941 Denmark: 172 Japan: 21,120 Taiwan: 6,379 Mexico: 1,841 Vietnam: 64 UAE: 11 77,500+ Philippines: 3,073 STORES Thailand: 13,134 WORLDWIDE Singapore: 455 Malaysia: 2,427 Australia: 711 *Store Counts

  3. Slide 3: Global Recognition

    Global Recognition euiven Philippines; Kazuki Furuya, Chairman of SEJ; Richard Lee, Vice President Marketing & Operations 7-Eleven Philippines; Armi Cagasan, Division Head of Strategic Merchandising, 7-Eleven Philippines Global licensor 7-Eleven, Inc. (SEI) honors PSC with the award for Highest Same

  4. Slide 4: 3,000 Store Milestone

    3,000 Store Milestone th • On 7-11 day, July 11, we opened our 3,000th store in the Philippines located in Meycauayan, Bulacan • This is the pilot of our modular store concept made of prefabricated materials • We also relaunched our freshly brewed coffee brand City Cafe

  5. Slide 5: Shareholding Structure

    Shareholding Structure Present Agus Development Corp. 3% Ownership Structure Others-Foreign 13% Others-Filipino 3% As of December 31, 2021 % ownership Progressive Development Corp. 2% President Chain Store (Labuan) Holdings, Ltd 54.88% Asian Holdings Corp. Others-Foreign 12.62% 6% President Chain St

  6. Slide 6: SEVN Share Information

    SEVN Share Information Price (Dec. 31, 2021) Php 88.00 Hi/Low (YTD) Php 84.50 – Php 121.00 Free Float 30.4% Outstanding Shares 756.42 million Market Capitalization USD 1.30 billion Listing Date Feb. 4, 1998 Dividend 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Payment Stock

  7. Slide 7: Store Network as of Dec. 31, 2021

    Store Network as of Dec. 31, 2021 7-Eleven By Location Store Count % Jan. 1 Opening Closure Dec. 31 Metro Manila 1,010 31 27 1,014 33% Luzon-ex MM 1,251 89 16 1,324 43% Visayas 432 19 15 436 14% Mindanao 285 25 11 299 10% Total 2,978 164 69 3,073 100% 2019 2020 2021 2022 Target + 300 new stores 7-El

  8. Slide 8: New Store Concepts

    New Store Concepts • Store with co-branding alliance with Heineken • Convan store called Project Smol • First 7-Eleven store with drive-thru

  9. Slide 9: 7B Cash Recycler ATM Rollout

    • Innovative solution to 7E cash management requirements 7B CASH RECYCLER • Reduces cash handling risks and allows immediate usage of funds ATM ROLLOUT • Enhances our value proposition and generates incremental revenue (1,248 ATMs as of Dec. 31, 2021) • To add at least 1,500 ATMs in 2022 and partner

  10. Slide 10: Q4 2021 Financial Performance

    Q4 2021 Financial Performance System-wide IFRS IFRS sales P123.0 million P1.6 billion P13.7 billion - 25.8% - 11.9% + 13.7% Non-IFRS Non-IFRS Same-store sales P189.3 million P1.0 billion + 8.5% - 52.7% - 21.1% SALES NET INCOME EBITDA Q4 Net Income 5 Year Trend 900.0 800.0 700.0 600.0 500.0 400.0 300

  11. Slide 11: FY 2021 Financial Performance

    FY 2021 Financial Performance System-wide IFRS IFRS sales - P461.0 million P4.5 billion P47.2 billion + 9.8% - 4.2% + 1.8% Non-IFRS Non-IFRS Same-store sales - P52.7 million P2.4 billion - 4.6% - 148% - 11.3% SALES NET LOSS EBITDA FY Net Income 5 Year Trend 2,000.0 1,500.0 1,000.0 500.0 - 112.2 (500

  12. Slide 12: Sales improved 14% in 4Q while FY reached 84% of pre-COVID level

    Sales improved 14% in 4Q while FY reached 84% of pre-COVID level Mobility restrictions halted solid growth and expansion momentum in 2019 Systemwide Sales (in billion PhP) Same Store Sales Growth 56.3 46.4 47.2 10.3% 8.5% +14% 2.5% 3.4% 14.1 13.7 2019 2020 2021 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 9.9 10.3 12.0

  13. Slide 13: Profitability Ratios

    Profitability Ratios Improvement in sales drive gross margin Gross Margin (Sales and Service) EBIT Margin 27.0% 27.6% 28.5% 25.8% 26.4% 26.4% 26.2% 24.9% 25.7% 24.1% 5.6% 22.7% 4.7% 4.2% 3.0% 1.0% 1.0% 0.8% 2019 2020 2021 1Q 2Q -0.3% 3Q 4Q 1Q 2Q -0.3% 3Q 4Q 2020 2020 2020 2020 -1.6% 2021 2021 2021 2

  14. Slide 14: Margin Computation Guide

    Margin Computation Guide Items Accounts Formula Discussion • IFRS 15 implemented on Jan. 1, 2018 requires identification of distinct performance obligation. • Aggregates revenue from merchandise sales, commission income and franchise revenues. A Revenue from contracts with customers A.1 + A.2 + A.3

  15. Slide 15: Balance Sheet and Cash Flow Highlights

    Balance Sheet and Cash Flow Highlights Financial position remains solid as operating cash flow grew 62% As at December As at December 31, 2021 31, 2020 %Change Cash 5,376.1 5,137.1 -4.5% Current Assets 14,222.7 13,896.8 2.3% Total Assets 28,418.5 29,749.0 -4.5% Loans 1,691.7 2,163.4 -21.8% Total Lia

  16. Slide 16: Wider product assortment

    HoTDoss 15 PCS. (1.25Kg) omy edo EB Wider product assortment ALSO AVAILABLE: FRY-YOUR-OWN PACKS

  17. Slide 17: Partnership with aggregators

    Partnership with aggregators

  18. Slide 18: Continuing franchise support and rental concession

    Continuing franchise support and rental concession

  19. Slide 19: Slide 19

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