Moncler Spa · MIL:MONC
Moncler Spa — H1 2020 Earnings Presentation
25 slides from Moncler Spa's earnings presentation, 2020
Slide 1: H1 2020 Financial Results
Slide 2: Push for higher peaks
PUSH FOR HIGHER PEAKS BRING OTHER VOICES IN EMBRACE CRAZY KEEP WARM PLAN BEYOND TOMORROW EMBRACE EXTRAORDINARY AND DISCOVER THE GENIUS WITHIN
Slide 3: Remo Ruffini message on the pandemic
Slide 4: H1 2020 Key Highlights
H1 2020 KEY HIGHLIGHTS“ REVENUES RETAIL REVENUES WHOLESALE REVENUES EUR 403.3M, -29% AT CONSTANT EXCHANGE RATES (-29% REPORTED) Q@2 2020 REVENUES (-52% YOY) SEVERELY IMPACTED BY STORE CLOSURES AND DECLINING TRAFFIC IN ALL REGIONS DUE TO COVID-19 EBIT EUR 300.5M, -32% AT CONSTANT EXCHANGE RATES (-31%
Slide 5: Revenue Breakdown by Region
REVENUE BREAKDOWN BY REGION In H1 2020, Moncler recorded revenues of Euro 403.3m, a 29%© decrease compared to H1 2019 (-52% in Q2 2020) Results in the first half have been severely impacted by the measures adopted by governments worldwide to limit the Covid- 19 pandemic Italy recorded a 39% decline.
Slide 6: Revenue Breakdown by Distribution Channel
REVENUE BREAKDOWN BY DISTRIBUTION CHANNEL In H1 2020 the Covid-19 pandemic affected the performance of both distribution channels Retail declined 32%, with Q2 (-57%) incorporating the effects of more than half of the network being closed for around two months * Comp-Store-Sales down 38% * Online out
Slide 7: Mono-Brand Store Network
MONO-BRAND STORE NETWORK Moncler’s retail network counted 213 mono-brand stores as of 30 June 2020, compared to 209 at 31 December 2019, and in line with 31 March 2020 + At the end of June, 9 stores were still temporarily closed * Total of some 10 new openings expected in 2020 Wholesale mono-brand s
Slide 8: Covid-19 Pandemic Stores Closure Update
COVID-19 PANDEMIC STORES CLOSURE UPDATE Closed at month-end Comments 5 DOS closed (14 mid-month) February Total DOS 2% Total DOS 52% 111 DOS closed Italy 100% All closed March Rest of EMEA 100% All closed Asia & ROW 2% Some stores in China, HK and Korea closed Americas 100% All closed Total DOS 58%
Slide 9: Covid-19 Pandemic Actions Update
COVID-19 PANDEMIC ACTIONS UPDATE Brand and Clients Investments and Costs Communication. Focus on digital with increased attention to Moncler’s values. 7 Moncler Fragment Hiroshi Fujiwara launch with phygita/ event on Weibo. On the first day, Moncler reached a record of 32m viewers, ranking number 1
Slide 10: KLABRBRARBRBAARE p CeCe ert
KLABRBRARBRBAARE p CeCe ert eSMONGLER® AE ////, SS ere ee
Slide 11: Capri store
Slide 12: Income Statement
INCOME STATEMENT EBIT includes: + stock-based compensation of Eur 11.7m in H1 2020 (Eur 16.3m in H1 2019 and Eur 29.4m in FY 2019) * positive IFRS 16 impact of Eur 8.5m in H1 2020 (Eur 8.0m in H1 2019 and Eur 16.4m in FY 2019) Net financial result includes interest on lease liabilities of Eur 10.8m
Slide 13: Net Capex
NET CAPEX Consolidated capex of Eur 36.7m in H1 2020, with an incidence on revenues of 9.1% compared to Eur 41.0m in H1 2019 (7.2% on revenues) Investments in distribution reached Eur 20.4m, broadly in line with H1 2019, including the cost for store openings, relocations and expansions Infrastructur
Slide 14: Net Working Capital
NET WORKING CAPITAL Net working capital reached Eur 99.2m as of 30 June 2020, equal to 6.8% of LTM revenues versus 7.9% as of 31 December 2019 and 5.5% as of 30 June 2019 Inventory of Eur 267.6m compared to Eur 243.1m as of 30 June 2019, including Spring/Summer 2020 excess stock net of the write-dow
Slide 15: Net Financial Position
NET FINANCIAL POSITION “© NET FINANCIAL POSITION (Eur M At 30 June 2020, Moncler’s net financial cEur M) position reached Eur 595.1m of net cash In the first half of 2020 Moncler 662.6 absorbed Eur 74.2m of free cash flow versus a generation of Eur 71.0m in H1 595.1 2019 395.7 At 30 June 2020, lease
Slide 16: Balance Sheet Statement
BALANCE SHEET STATEMENT 30/06/2020 31/12/2019 30/06/2019 Eur m Eur m Eur m Intangible assets 435.4 435.0 426.0 Tangible assets 206.5 212.9 184.8 Right-of-use assets 575.4 593.6 511.5 Other non-current assets/(liabilities) 123.6 90.7 75.6 Total non-current assets 1,341.0 1,332.2 1,197.8 Net working c
Slide 17: Cash Flow Statement
CASH FLOW STATEMENT (*) H1 2020 H1 2019 FY 2019 Eur m Eur m Eur m EBIT (35.5) 102.6 491.8 D&A 39.2 32.7 70.0 Other non cash adjustments 3.2 8.3 13.0 Change in net working capital 29.0 21.5 (25.0) Change in other assets/(liabilities) (87.2) (29.8) 24.9 Capex, net (36.7) (41.0) (120.8) Operating cash
Slide 18: Appendix
APPENDIX
Slide 19: EBITDA Reconciliation
EBITDA RECONCILIATION H1 2020 H1 2019 FY 2019 Eurm % Eur m % Eur m % EBIT (35.5) 68%) 102.6 18.0% 491.8 30.2% D&A 39.2 9.7% 32.7 5.7% 70.0 4.3% Rights-of-use amortisation 61.3 15.2% 47.4 8.3% 101.1 6.2% Stock-based compensation 11.7 2.9% 16.3 2.9% 29.4 1.8% EBITDA ADJ 76.7 19.0% 199.0 349% 692.3 42.
Slide 20: Quarterly Revenue Breakdown by Region and Channel 2020
2020 QUARTERLY REVENUE BREAKDOWN BY REGION AND CHANNEL ai YoY growth a2 YoY growth H1 YoY growth Eurm 2020 2019 Rep. ex FX 2020 2019 Rep. ex FX 2020 2019 Rep. ex FX Italy 34.5 45.8 -25% “25% 74 227 68% -68% 41g 68.5 “59% 59% EMEA (excl. Italy) 101.2 108.1 -6% 7% 28.8 60.8 “55% 52% 130.0 168.9 23% “2
Slide 21: Quarterly Revenue Breakdown by Region and Channel 2019
2019 QUARTERLY REVENUE BREAKDOWN BY REGION AND CHANNEL Ql YoY growth Q2 YoY growth @3 YoY growth a4 YoY growth Eurm 2019 2018 Rep. exFX 2019 2018 =Rep. ex FX 2019 2018 «Rep. ex FX 2019 2018 Rep. ex FX Italy 45.8 43.3 46% +6% 22.7 20.1 +13% 413% 62.1 59.5 +4% +4% 54.4 45.0 421% 421% EMEA (excl. Italy
Slide 22: Quarterly Revenue Breakdown by Region and Channel - YTD
2019 QUARTERLY REVENUE BREAKDOWN BY REGION AND CHANNEL - YTD Ql YoY growth H1 YoY growth 9M YoY growth FY YoY growth Eur m 2019 2018 = Rep. = ex FX 2019 2018 = Rep. ex FX 2019 2018 = Rep. = ex FX 2019 2018 = Rep. ex FX Italy 45.8 43.3 +6% +6% 68.5 63.3 +8% +8% 130.6 122.8 +6% +6% 185.0 167.8 +10% +1
Slide 23: Half-Yearly Consolidated Income Statement 2018 and 2019
2018 AND 2019) HALF-YEARLY CONSOLIDATED INCOME STATEMENT H1 2019 H2 2019 H1 2018 H2 2018 Eur m % Eur m % Eur m % Eur m % Revenues 570.2 100.0% 1,057.5 100.0% 493.5 100.0% 926.6 100.0% YoY growth +16% +14% +21% +18% Gross margin 437.0 76.6% 828.0 78.5% 374.9 76.0% 724.9 78.2% Selling expenses (211.3)
Slide 24: Shareholding Structure, Upcoming Events, IR Contacts
SHAREHOLDING STRUCTURE, UPCOMING EVENTS, IR CONTACTS SHAREHOLDING ? 22.5% Ruffini Partecipazioni S.r.l. 5.0% BlackRock Inc. 3.3% Invesco Ltd. 3.0% Morgan Stanley Asia Limited 2.2% Treasury Shares 64.0% Market Source: Consob, Moncler Last update: 30 June 2020 24 2020 Upcoming Events 22 October 9M 202
Slide 25: Disclaimer
DISCLAIMER 25 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 Company’s management’s current views with respect to future events