Moncler Spa · MIL:MONC
Moncler Spa — FY2018 Earnings Presentation
38 slides from Moncler Spa's earnings presentation, February 2019
Slide 1: FY 2018 Financial Results
FY 2018 Financial Results
Slide 2: Company Overview
COMPANY OVERVIEW
Slide 3: Our story is made of heritage, uniqueness, quality, consistency, energy
OUR STORY IS MADE OF HERITAGE UNIQUENESS QUALITY CONSISTENCY ENERGY
Slide 4: Our story: more than 65 years of unique heritage
OUR STORY: MORE THAN 65 YEARS OF UNIQUE HERITAGE 1952 2013 2018 The company is founded Moncler supplies products Moncler is listed on the Moncler launches a new in Monestier-de-Clermont, for important expeditions Milan Stock Exchange creative project near Grenoble (France) and for the Winter Moncler
Slide 5: A new era begun in 2018
A NEW ERA BEGUN IN 2018 1700 1417 Revenues +24% (Eur M) 1133 2003 2018 CAGR 850 567 283 0 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2003 2007 2008 2017 2018 and beyond: 5 years2003 of re-engineering 2007 10 years of2008 expansion 2017 The era of digita
Slide 6: One house, different voices
MONCLER GENIUS: A UNIQUE AND INNOVATIVE PROJECT ONE HOUSE, DIFFERENT VOICES Different projects defining the unity of Moncler Genius 0 Moncler Richard Quinn 1 Moncler Pierpaolo Piccioli 2 Moncler 1952 3 Moncler Grenoble 4 Moncler Simone Rocha 5 Moncler Craig Green 6 Moncler 1017 Alyx 9SM 7 Moncler Fr
Slide 7: Moncler collections launch plan
MONCLER COLLECTIONS LAUNCH PLAN MONCLER GENIUS LAUNCHES JAN FEB MAR MAY JUN JUL AUG SEP OCT NOV DEC JAN CRAIG GREEN 1952 (MAN) SIMONE FRAGMENT NOIR PALM ANGELS SIMONE ROCHA 1952 (MAN) RICHARD FRAGMENT GRENOBLE POLDO CRAIG ALYX PIERPAOLO 1952 (WOMAN) ROCHA 1952 (WOMAN) QUINN GREEN PICCIOLI MONCLER MA
Slide 8: Product evolution: focus on core and adjacent categories
PRODUCT EVOLUTION: FOCUS ON OUR CORE AND ADJACENT CATEGORIES OUTERWEAR MAIN COLLECTION KNITWEAR FOOTWEAR & LEATHER GOODS Main collection, our milestone, Further enhancement in design Design team and organisation in continuous evolution & merchandise reinforcement Continue to increase visibility in s
Slide 9: Retail: still unexploited potential from organic and expansion
RETAIL: STILL UNEXPLOITED POTENTIAL FROM ORGANIC AND EXPANSION Selected new openings and to drive revenues Strong focus on new clients while continuing to increase loyalty value, repurchase rate and UPT Reinforced focus on organic growth Our goals: • enter c.2 new countries per year • at least 10 ne
Slide 10: Digital commerce is our outperforming channel
DIGITAL COMMERCE IS OUR OUTPERFORMING CHANNEL • Moncler.com our first flagship store • Online revenues have been growing strong double-digit over the past 3 years DIGITAL DIGITAL • EMEA omnichannel roll-out completed in 2018, Japan MARKETING EXPERIENCE and US to be implemented in 2019 • Launch of di
Slide 11: Travel retail channel increasingly important
Travel retail channel increasingly important also to attract Next-Gen 10 locations at YE 2018 c. 10 locations expected to open in 2019 Our focus: Existing locations at 31/12/2018 Expected openings in 2019 • Expand Moncler airport stores to reach c.30 locations by 2020 • Develop dedicated products •
Slide 12: Wholesale: strong focus on SiS and e-tailers
WHOLESALE: STRONG FOCUS ON SIS AND E-TAILERS SiS development and e-tailers to continue to drive results Some 8-10 new SiS p.a. expected, including stores in important high-traffic airports All regions to contribute to the SiS network development Expected to increase penetration on selected top e-tai
Slide 13: Retail Excellence 2.0: our client is our main focus
RETAIL EXCELLENCE 2.0: OUR CLIENT IS OUR MAIN FOCUS EVERYWHERE TO DRIVE ORGANIC GROWTH 2008-2014 2015-2017 2018-2020 INITIAL RETAIL DEVELOPMENT: RETAIL EXCELLENCE 1.0: RETAIL EXCELLENCE 2.0: FOCUS ON NEW STORES FOCUS ON EXISTING CLIENTS. FOCUS ON OMNICHANNEL AND NEW CUSTOMERS INITIAL INTEGRATION AMO
Slide 14: Supply chain: obsessed with quality, focused on time to market
SUPPLY CHAIN: OBSESSED WITH QUALITY, FOCUSED ON TIME TO MARKET OUR MISSION Moncler wants to continue to deliver the best in class products with the highest quality standards and the most innovative design at the planned time FOUR KEY FOCUS AREAS MONCLER GENIUS PROCESSES OPTIMISATION KNITWEAR, SHOES
Slide 15: Sustainability is a long journey with one goal
SUSTAINABILITY IS A LONG JOURNEY WITH ONE GOAL: CONTINUOUS IMPROVEMENT OUR MISSION: • Down traceability: continue to enhance our DIST protocol as point of reference RESPONSIBLE SOURCING • Stringent ethical requirements for all suppliers • Pursuing a philosophy of continuous improvement, sharing and
Slide 16: Know-how, creativity and simplicity. Stay tuned!
Know-how to make it work Creativity and multiplicity to make it magic Simplicity to make it happen Stay tuned!
Slide 17: FY 2018 Results
FY 2018 RESULTS
Slide 18: ze is at the hi
ze is at the hi ‘A sha’ Long can only be di and respons
Slide 19: Only 15 years ago, I acquired a small brand
Only 15 years ago, I acquired a small Brand I believed a lot in. In 2018, this Brand generated more than 1.4 billion euros in revenues, reached 500 million euros of EBITDA and had more than 450m euros of net cash
Slide 20: Vision without execution is just hallucination
vision without execution is just hallucination. I believe we should be really proud of what we have achieved. Moncler Genius has been a success
Slide 21: FY 2018 results key highlights
FY 2018 RESULTS KEY HIGHLIGHTS(*) CONSOLIDATED REVENUES RETAIL REVENUES CSSG EUR 1,420.1M, +22% EUR 1,086.5M, +26% +18% COMPARABLE STORE SALES AT CONSTANT EXCHANGE RATES AT CONSTANT EXCHANGE GROWTH (+19% REPORTED) RATES (+22% REPORTED), WITH STRONG RESULTS IN ALL REGIONS WITH OUTSTANDING DOUBLE-DIGI
Slide 22: Revenue breakdown by region
REVENUE BREAKDOWN BY REGION In FY 2018 Moncler posted an outstanding REVENUE ANALYSIS (Eur M) 22% growth in revenues(*) YoY Growth YoY Growth The Group continued to record superior Reported Const. FX revenue results also in Q4 (+20%) with all regions growing double-digits +19% +22% notwithstanding t
Slide 23: Revenue breakdown by distribution channel
REVENUE BREAKDOWN BY DISTRIBUTION CHANNEL REVENUE ANALYSIS (Eur M) In FY 2018 Moncler posted double-digit YoY Growth YoY Growth Reported Const. FX growth in both distribution channels(*) +19% +22% Notwithstanding the challenging base of 1,420.1 comparison, the retail division continued to deliver ou
Slide 24: Monobrand stores network
MONOBRAND STORES NETWORK In line with business management, starting from method with regard to multiple stores (man/woman/enfant) located at the same address (department store/mall). These stores are no longer reported separately given that, from a business stand point, they are managed as a single
Slide 25: Mongee
MONGEE
Slide 26: Q Zz < wn q oo < < < = SINGAPORE —
Q Zz < wn q oo < < 4 < = SINGAPORE —
Slide 27: Income statement
INCOME STATEMENT FY 2018 FY 2017 Eur m % Eur m % Revenues 1,420.1 100.0% 1,193.7 100.0% YoY growth +19% +15% Cost of sales (320.2) (22.6%) (276.2) (23.1%) Gross margin 1,099.8 77.4% 917.5 76.9% Selling expenses (428.9) (30.2%) (365.1) (30.6%) General & Administrative expenses (127.8) (9.0%) (108.6)
Slide 28: Net capex
NET CAPEX NET CAPEX ANALYSIS (Eur M) Consolidated capex reached Eur 91.5m in (%) on revenues FY 2018 equal to 6.4% of revenues compared to 6.1% in FY 2017 6.1% 6.4% Retail investments were equal to Eur 51.0m, or 56% of total capex, including 91.5 relocations and expansions 72.5 32.6 10.8 Corporate i
Slide 29: Net working capital
NET WORKING CAPITAL NET WORKING CAPITAL ANALYSIS (Eur M) Net working capital remained stable (%) on revenues at around 7% of revenues 7.5% 7.3% Receivables increased to Eur 155.0m also reflecting the excellent results, in 103.2 December, of the concessions business 89.7 155.0 Inventory largely inclu
Slide 30: Net financial position
NET FINANCIAL POSITION At 31 December 2018, net financial NET FINANCIAL POSITION (Eur M) position was positive for Eur 450.1m The Group net cash generation remained 450.1 strong. In FY 2018, Moncler generated Eur 145.2m of cash after Eur 70.5m dividends payment and two shares buy back programs for E
Slide 31: Balance sheet statement
BALANCE SHEET STATEMENT 31/12/2018 31/12/2017 Eur m Eur m Intangible Assets 424.4 426.3 Tangible Assets 177.0 138.1 Other Non-current Assets/(Liabilities) 35.9 22.1 Total Non-current Assets/(Liabilities) 637.2 586.5 Net Working Capital 103.2 89.7 Other Current Assets/(Liabilities) (108.2) (47.0) Tot
Slide 32: Cash flow statement
CASH FLOW STATEMENT FY 2018 FY 2017 Eur m Eur m EBITDA Adjusted 500.2 411.6 Change in Net Working Capital (13.6) 18.5 Change in other curr./non-curr. assets/(liabilities) 48.4 (22.2) Capex, net (91.5) (72.5) Operating Cash Flow 443.6 335.4 Net financial result (1.9) (5.2) Taxes (79.7) (85.9) Free Ca
Slide 33: IFRS 16 revision
IFRS 16 REVISION(*) Starting from 1 January 2019 IFRS 16 FY 2018 Estimated FY 2018 requires companies to recognise in their reported impacts restated accounts the right-to-use of any leased asset and the related liability Eur m Eur m Eur m corresponding to the obligation to make Revenues 1,420.1 - 1
Slide 34: Appendix
Appendix
Slide 35: Quarterly revenue breakdown by region and channel 2018
2018 QUARTERLY REVENUE BREAKDOWN BY REGION AND CHANNEL Q1 YoY growth Q2 YoY growth Q3 YoY growth Q4 YoY growth Eur m 2018 2017 Rep. ex FX 2018 2017 Rep. ex FX 2018 2017 Rep. ex FX 2018 2017 Rep. ex FX Italy 43.3 39.2 +10% +10% 20.1 19.0 +5% +5% 59.5 55.7 +7% +7% 45.0 35.5 +27% +27% EMEA (excl. Italy
Slide 36: Quarterly revenue breakdown by region and channel 2017
2017 QUARTERLY REVENUE BREAKDOWN BY REGION AND CHANNEL Q1 YoY growth Q2 YoY growth Q3 YoY growth Q4 YoY growth Eur m 2017 2016 Rep. ex FX 2017 2016 Rep. ex FX 2017 2016 Rep. ex FX 2017 2016 Rep. ex FX Italy 39.2 36.6 +7% +7% 19.0 17.5 +9% +9% 55.7 55.5 +0% +0% 35.5 33.6 +6% +6% EMEA (excl. Italy) 82
Slide 37: Shareholding structure, upcoming events, IR contacts
SHAREHOLDING STRUCTURE, UPCOMING EVENTS, IR CONTACTS SHAREHOLDING 2019 Upcoming Events 16 April 2019 9 May 2019 Q1 2019 Interim Management Statement Investor Relations Team [email protected] Paola Durante Investor Relations and Strategic Planning Director 26.2% Ruffini Partecipazioni S.
Slide 38: Disclaimer
DISCLAIMER This presentation is being furnished to you solely for your information and may not be reproduced or redistributed to any other person. This presentation might contain certain forward-looking statements that reflect the current views with respect to future events and financial and operati