Action S.a. · GPW:ACT
Action — Q3 2006/2007 Earnings Presentation
13 slides from Action's earnings presentation, 2007
Slide 1: Financial Results for Q3 2006/2007
Financial Results for Q3 2006/2007 Efficient Logistics and Dynamic Sales Growth
Slide 2: Key Achievements of Q3
Key Achievements of Q3* Dynamic increase of turnover (over 45% up) Gross margin up to 6.5% Net profit margin increased by 0.7 percentage pts to 1.2% Distribution contracts signed Microsoft – sale of retail box products Apple IMC Poland – since the beginning of April, all models of iPod a
Slide 3: Key Financial Data
Key Financial Data Revenue (PLN M) Gross Margin (%) 434 528 6,54 500 000 7 298 920 400 000 6 300 000 5 3,81 200 000 4 100 000 3 0 2 III 2005/2006 III 2006/2007 III 2005/2006 III 2006/2007 Operating Profit Profit per Share ROE (%)* (PLN M) (PLN) 17,1 8 033 1,06 10 000 18,0 1,10 16,0 8 000 1,05 6 000
Slide 4: Financial Results in 3rd Quarter
Financial Results in 3rd Quarter Q3 Q3 Q1-Q3 Change [in PLN M] 2005/2006 2006/2007 2006/2007 Sales revenue 298 920 434 528 45.4% 1 374 529 Gross profit on sales 11 399 28 398 149.1% 86 041 Gross margin on sales 3.81% 6.54% 2.7 PP 6.68% Costs of sales and marketing 9 500 18 346 57 957 in relation to
Slide 5: Growth Factors: External
Growth Factors External Condition of households much better than last year Decreasing unemployment, increase of salaries Inflow of EU funding Start of high-ticket tenders
Slide 6: Growth Factors: Internal
Growth Factors Internal Sales structure aimed at SME, whose customers are mainly households Increased efficiency of the Sales Department Increased daily average number of invoices per salesperson by 50% from 39 in 2006 to 58 in 2007, Over 9 product lines per order, 15% more new customers i
Slide 7: Growth Factors: Internal, cont.
Growth Factors Internal, cont. Improved efficiency of the warehouse and logistics base: Over 65% more products offered than in 2006, Modernized warehouse (roller conveyors, automated racks), A 37% increase in the number of items dispatched from the warehouse – approx. 420 thousand/month. P
Slide 8: Implementing the Strategy
Implementing the Strategy Private brands Action in Ukraine Increase of share in total 2 further shops to be opened turnover from approx. 6% to by the end of 2007: 7.5% in Charkov and in Rovne Logistics Roller conveyor system – more than Tenders tripling the warehouse dispatch capacity (5,000 p
Slide 9: Realistic Forecast
Realistic Forecast In fiscal year 2006/2007 we will achieve: BLN 1.75 BN revenue PLN 35.56 MM operating profit PLN 22.89 MM net profit Current forecast target execution: 78% for the revenue 57% for the operating profit Net profit forecast execution 61% for the net profit Quarterly %
Slide 10: Changes on the Market: We Are Ready To Face Them
Changes on the Market: We Are Ready To Face Them The changes on the market drive it towards automation and online sales and increase the role of logistics Online sales and automation EDI Data Exchange Platform Electronic cooperation with large e-commerce sites Enhancing our intranet online s
Slide 11: a.pl, the Online Galleria
a.pl, the Online Galleria The system had a pilot launch in May 2007– at present there are 2000 visits to the Galleria and 20 new customers registrations per day Gradual expansion of the trade offering – currently the online store sells food, other product categories to be introduced in the neare
Slide 12: Action SA on the Stock Exchange
Action SA on the Stock Exchange Price/profit index* 28,7 Market value now close to 29 27 PLN 400 MM 25 22,7 23 21 Increased by 28.3% this year alone, 19 17 17,2 gained a full 100% from the IPO 15 Before results for After results for After execution of Q3 2006/2007 Q3 2006/2007 2006/2007 forecast 26
Slide 13: Thank you for your attention.
Thank you for your attention.