Leifheit AG · XETR:LEI
Leifheit — FY2018 Earnings Presentation
52 slides from Leifheit's earnings presentation, Mar 28, 2019
Slide 1: Investor and Analyst Meeting 2019
Corporate Design Die neuen Powerpoint Vorlagen Investor and Analyst Meeting 2019
Slide 2: Disclaimer
Disclaimer This presentation contains forward looking statements which are based on the management’s current estimates with regard to future developments. Such statements are subject to risks and uncertainties which are beyond Leifheit’s ability to control or estimate precisely, such as statements o
Slide 3: Agenda
Agenda • Introduction to Leifheit • Financial Figures FY 2018 • Key strategic initiatives • Forecast Financial Year 2019 • Investment Highlights • Annex Investor and Analyst Meeting 28 March 2019 3
Slide 4: Introduction to Leifheit
Introduction to Leifheit
Slide 5: Tradition – Innovation – Vision
Introduction to Leifheit Tradition – Innovation – Vision 2019 1959 Investor and Analyst Meeting 28 March 2019 5
Slide 6: We are your leading experts for solutions that make everyday life at home easier
Introduction to Leifheit “We are your leading experts for solutions that make your everyday life at home more easy and convenient” Leifheit Group Household Wellbeing Private Label • High-quality branded products with a high degree of consumer • Products in mid-price benefit, mid to upper price segme
Slide 7: One of the leading suppliers of household products in Europe
Introduction to Leifheit One of the leading suppliers of household products in Europe Cleaning Laundry care 34 % Turnover share 40 % Turnover share Easy and convenient solution Laundry dryers, ironing boards and storage for every cleaning demand for fresh, clean and well-kept laundry Kitchen goods W
Slide 8: Experienced Management Board
Introduction to Leifheit Experienced Management Board Ivo Huhmann Igor Iraeta Munduate Henner Rinsche CFO & CO-CEO ad interim COO & CO-CEO ad interim CEO ab 01.06.2019 born 1969 born 1974 born 1971 Previous experience Previous experience Previous experience • Many years of management • Many years of
Slide 9: Present in leading distribution channels
Introduction to Leifheit Present in leading distribution channels TOP-10 clients (50 % of turnover) Turnover by distribution channel in € m 80 60 Turnover share E-Commerce 15 % 40 20 0 Discounter Hypermarkets Electro DIY Cash&Carry E-Commerce Retail-/Whole sale, Others Importers/Exporters Department
Slide 10: Operating in more than 80 countries with 15 own branches
Introduction to Leifheit Operating in more than 80 countries with 15 own branches Paris/F (Leifheit/Birambeau) Nassau/D (Leifheit/Soehnle) • About 80 employees • About 320 employees • Marketing, sales • Marketing, sales, development, quality and administration assurance, central administration • Man
Slide 11: Financial Figures FY 2018
Financial Figures FY 2018
Slide 12: Successful implementation of strategic projects
Highlights Financial Year 2018 Successful implementation of strategic projects Solid E-Commerce Significant sales growth New Pan-European growth in Eastern Europe pricing framework Successful launch of Cleaning category grown Turnaround new products significantly in Wellbeing segment Investor and An
Slide 13: At a glance
Highlights Financial Year 2018 At a glance 2017 2018 ∆ Group Turnover €m 236.8 234.2 -1.1 % Gross margin % 46.4 43.6 -2.8 PP Foreign currency results €m -1.5 0.3 >100 % EBIT €m 18.8 13.1 -30.7 % EBIT margin % 8.0 5.6 -2.4 PP Earnings before taxes (EBT) €m 17.7 11.9 -32.7 % Net result for the period
Slide 14: Strong domestic market and growth in Eastern Europe
Financial Figures FY 2018 Strong domestic market and growth in Eastern Europe Group turnover by region Group turnover by region FY 2017 vs FY 2018 in € m FY 2018 120 102.9 3.0 % 97.6 100.7 2017 12.3 % Germany 100 96.9 41.7 % 2018 Central Europe 80 Eastern Europe Rest of the 60 43.0 % world 40 28.9 2
Slide 15: Harmonized go-to-market strategy drives substantial growth in Eastern Europe
Financial Figures FY 2018 Harmonized “go-to-market” strategy drives substantial growth in Eastern Europe Turnover EE region and selected markets Growth 2015 - 2018 in € m 2017 to 2018 30 EE EE EE Eastern Europe 25 EE +4 % 20 EE 15 CZ CZ CZ Czech. Rep. Poland 10 CZ PL PL PL -3% +9 % 5 PL RO RO RO EE
Slide 16: Household: positive development of cleaning cannot compensate decline in laundry care
Financial Figures FY 2018 Household: positive development of cleaning cannot compensate decline in laundry care Results Household segment Turnover Household 2018 compared to 2017 2018 / by region 2017 2018 ∆ 3.3 % 14.5 % Turnover €m 182.9 180.4 -1,4 % Gross profit €m 88.7 82.8 -6.7 % 49.7 % Segment-
Slide 17: Wellbeing – new Soehnle assortment as growth drivers
Financial Figures FY 2018 Wellbeing – new Soehnle assortement as growth drivers Results Wellbeing segment Turnover Wellbeing 2018 compared to 2017 2018 / by region 2017 2018 ∆ 4.7 % 5.3 % Turnover €m 19.6 19.9 +1.2% 39.9 % Gross profit €m 9.8 8.6 -12.4% Segment Germany €m 2.2 -0.3 -<100% Central Eur
Slide 18: Private Label – Focus on international accounts
Financial Figures FY 2018 Private Label – Focus on international accounts Results Private Label segment Turnover Private Label 2018 compared to 2017 2018 / by region 2017 2018 ∆ 0.6 % 4.7 % Turnover €m 34.3 33.9 -1.0% Gross profit €m 11.4 10.7 -6.0% Segment €m 3.3 3.2 -3.1% EBIT Central Europe Easte
Slide 19: Free Cash Flow improved but still too much impacted by working capital
Financial Figures FY 2018 Free Cash Flow improved but still too much impacted by working capital in € m 2017 2018 ∆ Cash flow from operating activities 7.2 10.2 3.0 Cash flow from investment activities -10.7 22.5 33.2 Cash flow from financing activities -13.8 -10.0 3.8 Change in cash and cash equiva
Slide 20: Investments and continuous improvement of the product portfolio
Financial Figures FY 2018 Investments and continuous improvement of the product portfolio Investments vs. depreciation Investments 2018: in € m • 6.3 € m (2017: 6.7 € m) in 10 fixed assets mainly in tools and equipment 7.8 7.8 8 • € 0.3 m (2017: € 1.1 m) in 7.1 6.9 6.6 intangible assets (mainly 6.2
Slide 21: Solid finance structure of the Group
Financial Figures FY 2018 Solid finance structure of the Group Balance sheet ratios in Mio. € Assets Liabilities 250 250 225 222 225 222 Cash and 200 financial assets 200 57 51 56 55 Inventories 150 150 Other provisions 44 46 and liabilities Receivables and 70 65 Pension reserves other current 100 a
Slide 22: Continuous strong capital structure and financial flexibility
Financial Figures FY 2018 Continuous strong capital structure and financial flexibility Equity/-ratio Cash, cash equivalents and short-term 31 December, in € m financial assets 31 December, in € m 70 120 50% 44.9% 45.9% 57.2 43.7% 43.8% 60 69.5 110 42,5% 45% 62.8 68.2 50.9 50 40% 100 104.6 40 106.7
Slide 23: Number of employees on stable level
Financial Figures FY 2018 Number of employees on stable level Employees by segment Employees 31 December 2018 By Region / 31 December 2018 Private 7.3 % 1.200 1,137 1,134 Label 14.3 % Wellbeing 37.0 % Germany 159 158 1.000 48 56 Czech Republic Household 800 France Other Countries 41.4 % 600 930 920
Slide 24: Development Leifheit share
Financial Figures FY 2018 Development Leifheit share Leifheit share price performance Jan. 2018 – March 2019 compared to SDAX in % (indexed to 100 120% 100% 80% 60% 40% 20% 0% Jan Feb Mrz Apr Mai Jun Jul Jul Aug Sep Okt Nov Dez Jan Feb Schlusskurs Leifheit Aktie Schlusskurs SDAX 10-year performance
Slide 25: 1.05 € dividend proposed to the AGM
Financial Figures FY 2018 Committed to shareholder returns - 1.05 € dividend proposed to the AGM Long-term dividend development Dividend yield 2 Dividend per share / in € 2018: 5,9 % 2014: 3,9 % 2017: 3,8 % 2013: 5,3 % 2016: 5,1 % 2012: 5,2 % 2015: 5,6 % 2011: 6,3 % 1,50 2018: 1.05 €1 1,00 0,50 -1 0
Slide 26: Key strategic initiatives 2019
Key strategic initiatives 2019
Slide 27: Trends and market environment offer attractive growth opportunities
Key strategic initiatives Trends and market environment offer attractive growth opportunities Demographic change E-Commerce Convenience More private households, High growth rates Demand-oriented product rising proportion of older for household innovation through systematic population & higher qualit
Slide 28: Strengthening strategy to consistently address growth themes
Key strategic initiatives Strengthening strategy to consistently address growth themes Interlock Online and Drive consumer- International Increased efficiency Offline sales oriented product geographic and speed from channels, establish innovations and expansion, processes and IT Pan-European renewal
Slide 29: Expansion of e-commerce activities through European platform
Key strategic initiatives Expansion of e-commerce activities through European platform Interlocking of Create best in class online/offline consumer communication sales channels and service Launch of new Analysis of customer data Online-Shops to better understand their in core markets needs Investor
Slide 30: New Online-Shops to be launched in 2019
Key strategic initiatives New Online-Shops to be launched in 2019 Investor and Analyst Meeting 28 March 2019 30
Slide 31: Internationalization: Increased investments in Eastern Europe
Key strategic initiatives Internationalization: Increased investments in Eastern Europe • Expansion of brands through targeted sales activities • Focus on selected Eastern European markets with attractive growth opportunities • Increased investments in Poland, Czech Republic, Romania and Slovakia •
Slide 32: Product and Brand Initiatives 2019
Product and Brand Initiatives 2019
Slide 33: Anniversary Colour Edition
Product and Brand Initiatives 2019 Anniversary Colour Edition Investor and Analyst Meeting 28 March 2019 33
Slide 34: Product and Brand Initiatives 2019
Product and Brand Initiatives 2019 Investor and Analyst Meeting 28 March 2019 34
Slide 35: Product and Brand Initiatives 2019
Product and Brand Initiatives 2019 Investor and Analyst Meeting 28 March 2019 35
Slide 36: Product and Brand Initiatives 2019
Product and Brand Initiatives 2019 Investor and Analyst Meeting 28 March 2019 36
Slide 37: Product and Brand Initiatives 2019
Product and Brand Initiatives 2019 Investor and Analyst Meeting 28 March 2019 37
Slide 38: Product and Brand Initiatives 2019
Product and Brand Initiatives 2019 Investor and Analyst Meeting 28 March 2019 38
Slide 39: Soehnle Scales: Colour Editions 2019
Product and Brand Initiatives 2019 Soehnle Scales: Colour Editions 2019 Personal scales Style Sense Compact 200 Kitchen scales Page Compact 300 Investor and Analyst Meeting 28 March 2019 39
Slide 40: Systo Monitor 180
Product and Brand Initiatives 2019 Expansion of blood pressure monitors range Systo Monitor 180 Investor and Analyst Meeting 28 March 2019 40
Slide 41: Expansion of Air treatment range
Product and Brand Initiatives 2019 Expansion of Air treatment range Bari Design Aroma Diffuser Investor and Analyst Meeting 28 March 2019 41
Slide 42: Expansion of Soehnle Connect Scales range
Product and Brand Initiatives 2019 Expansion of Soehnle Connect Scales range Shape Sense Connect Investor and Analyst Meeting 28 March 2019 42
Slide 43: Forecast Financial Year 2019
Forecast Financial Year 2019
Slide 44: 2019: Leifheit targets turnover growth of 3 to 4 %
Financial Forecast 2019: Leifheit targets turnover growth of 3 to 4 % Economic ► Slowdown in growth due to increasing global and economic tensions environment ► Economic slowdown in the EU despite good domestic demand 2019 ► Retail trade growth in Germany weak ► European consumers' propensity to con
Slide 45: Investment Highlights
Investment Highlights Long-standing Excellent Non-cyclical Strong brands Innovation track record product quality business Leifheit and capability For 60 years one of High-quality innovative Leifheit products Soehnle Demand-oriented the leading suppliers products for cleaning, used every day High awa
Slide 46: Annex
Annex
Slide 47: Financial calendar and contact
Annex Financial calendar and contact Dates 2019 Contact 28 March 2019 Petra Dombrowsky Annual Financial Reports 2018 Corporate Communications / Investor Relations Analyst‘s meeting, Frankfurt/Main, Germany Phone: +49 2604 977-218 14 May 2019 Email: [email protected] Quarterly statement Q1 www.leifheit
Slide 48: Long-term financial overview
Annex Long-term financial overview 2014 2015 2016 2017 2018 Group turnover €m 220.7 231.8 237.1 236.8 234.2 Profitability Gross margin % 47.7 46.7 47.5 46.4 43.6 Cash flow from operating activities €m 24.5 20.8 21.8 7.2 10.2 Free cash flow €m 18.4 14.1 14.3 1.5 3.7 EBIT €m 21.5 21.7 22.1 18.
Slide 49: Long-term financial overview
Annex Long-term financial overview 2014 2015 2016 2017 2018 Per Share1 Net result for the period2 € 1.49 1.51 1.53 1.35 0.88 Free cash flow € 1.94 1.48 1.51 0.16 0.39 Dividend € 0.90 1.00 1.05 1.05 1.05 Special dividend € -- 0.38 0.40 -- -- Investments €m 6.2 7.1 7.8 7.8 6.6 Depreciation €m 6.3 5.8
Slide 50: Leifheit – 60 years of passion for housework
Annex Leifheit – 60 years of passion for housework 2010 1984 • Sale of the business unit • IPO of Leifheit AG ‘bathroom’ including the brands Spirella, Kleine Wolke and Meusch 1988 2008 • License agreement for • Takeover of 60% of Dr Oetker Bakeware Herby/F • Acquisition of Spirella and Kleine Wolke
Slide 51: Significant free float and international investors
Annex Significant free float and international investors Shareholder structure March 2018 • MKV Verwaltungs GmbH, Grünwald (GER), 10.03% 10.03% • Joachim Loh, Haiger (GER), 8.26% 8.26% • Leifheit AG Nassau (GER), treasury shares, 4.91% 4.91% 47.63% • Alantra EQMC Asset Management, SGIIC, SA, Madrid
Slide 52: Aktiengesellschaft Postfach 11 65 D-56377 Nassau
Aktiengesellschaft Postfach 11 65 D-56377 Nassau