Investor & Analyst Presentation€¦ · 25/3/2015 · Investor & Analyst Presentation 20150325 |...

Investor & Analyst Presentation Annual Report 2014

Dr. Cornelius Patt, CEO March 25th, 2015

Investor & Analyst Presentation 20150325 | page 2

This document includes supplemental financial measures that are or may be non-GAAP financial measures. These supplemental financial measures should not be viewed in isolation as alternatives to measures of zooplus’ financial condition, results of operations or cash flows as presented in accordance with IFRS in its Consolidated Financial Statements. Other companies that report or describe similarly titled financial measures may calculate them differently. This document contains statements related to our future business and financial performance and future events or developments involving zooplus that may constitute forward-looking statements. We may also make forward-looking statements in other reports, in presentations, in material delivered to stockholders and in press releases. In addition, our representatives may from time to time make oral forward-looking statements. Such statements are based on the current expectations and certain assumptions of zooplus’ management, and are, therefore, subject to certain risks and uncertainties. A variety of factors, many of which are beyond zooplus’ control, affect zooplus’ operations, performance, business strategy and results and could cause the actual results, performance or achievements of zooplus to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements or anticipated on the basis of historical trends. Further information about risks and uncertainties affecting zooplus is included throughout our most recent annual and interim reports, which are available on the zooplus website, www.zooplus.de. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results, performance or achievements of zooplus may vary materially from those described in the relevant forward-looking statement as being expected, anticipated, intended, planned, believed, sought, estimated or projected. zooplus neither intends, nor assumes any obligation, to update or revise these forward-looking statements in light of developments which differ from those anticipated. Due to rounding, numbers presented throughout this and other documents may not add up precisely to the totals provided and percentages may not precisely reflect the absolute figures.

Safe Harbor Statement


FY 2014: Continued strong sales growth and result before tax (EBT) more than doubled

» Total sales increased by 34% to € 571 m – Market leader position in online retailing sustained

» All-time highs for customer loyalty with 91% sales retention – Price / quality attractiveness for customers further increased

» Further significant efficiency and scaling gains in cost structure – Total cost ratio at 29.6%

» Positive result before tax (EBT) of € 8.8 m – Improved by € 5.0 m compared to prior year

» Balance sheet strengthened by capital increase for continued strong sales growth – Equity ratio increased to 62%


zooplus continues on a strong total sales growth path

Total sales 2011– 2015(e)

257

336

427

571

~ 700

2011 2012 2013 2014 2015 (e)

» Double-digit growth in all major markets

» Active accounts: 3.3 m (+24%)

» Average spend per active account: € 162 (+7%)

» New accounts: 1.8 m (PY 1.4 m)

» International sales share: 69% (PY 65%)

+ 79

+ 91

+ 144

in € m


€ 543 m (2014) 2.6% of total market

5.2% of specialty market (non-grocery)

Net sales / market shares (2014)

HU

Source market size: Euromonitor,market data 2013; zooplus estimation, market growth 2%p p.a., BMF; sales growth 2014 rounded to 5% steps

4.2 bn 47 m 1.1%

4.5 bn 193 m 4.3%

4.3 bn 90 m 2.1%

1.5 bn 29 m 2.0%

2.7 bn 41 m 1.5%

1.5 bn 67 m 4.4%

21 bn 543 m 2.6%

Total market Size of total market online and offline (net sales)

Net sales zooplus

1.1 bn 31 m 2.8%

Market share zooplus

DK, SE, FI

D,A,CH PL, CZ, SK, HU, RO, SI, HR, BG, TR

1.6 bn 45 m 2.8%

ES, PT

zooplus is the online market leader in all geographies of Europe – with the widest possible base for further growth

NL, BE, LU

+40%

+60%

+50%

+50%

+35%

+60%

+15%

+33% Sales growth 2014

+30%


Customer loyalty – the winning factor of the business model – increased to 91% in 2014

Retention rates – Cohort analysis (Net sales in € m)

90 86 85 86

55 46 45 44

100 62 56 55

125 87 79

135 105

174

2011 2012 2013 2014

94% 100%

84% 98%

63% 90%

70%

Ø 79%

+ 6 %p

<=2009 <=2009 <=2009

2010 a+1 2010 a+2 2010 a+3

2011 a

2011 a+1 2011 a+2

2012 a

2012 a+1

2013 a

2014 a

99%

+ 6 %p

Ø 85%

Ø 91%

101%

99%

91%

78%

2010 a+4

2011 a+3

2012 a+2

2013 a+1

Reading example: 2011 a+1= sales of 2011’s new customers in 2012

<=2009


Increased price competitiveness as an act to protect and defend the market position

Gross margin

2013 2014 2013 2014

Product mix 1

» Continued focus on sustainable dog/cat food customers for higher life-time-value

» Ongoing price competition in the markets

» Investment into further growth

1 Share of food on sales

- 3.3 %p + 3 %p

34.5 %

31.2 %

74 % 77 %

In % of total sales


Costs have been significantly reduced in 2014 again which strengthens zooplus assumed cost leadership position

4.8% 4.5% 4.5% 3.7%

7.0% 5.0% 4.8% 4.0%

22.9% 22.9% 21.7%

20.2%

5.8% 4.6%

2.5% 1.7%

2011 2012 2013 2014

33.5% 29.6%

IT/Admin / payment (incl. depreciation & interest)

Advertising/Marketing Logistics Personnel in % of total sales

Cost structure 2011 – 2014

40.5% 36.9%

» Further efficiency gains in marketing and logistics

» Scaling effects in IT/Admin and personnel


Strong sales growth combined with profit before tax (EBT) more than doubled compared to 2013

Total sales

2013 2014

4.9

9.9

2013 2014

3.8

8.8

2013 2014

EBITDA EBT

+ 34 % + 5.0 + 5.0

in € m

543

28

20

407

Other income

Net sales

571

427

In % total sales 1.1 % 1.7 % 0.9 % 1.5 % In % total

sales


zooplus shows largely positive results in repeat customer business, overall result impacted by customer acquisition

Net sales & EBT distribution 2014 (€ m) - unaudited

Net sales

% of total z+

EBT EBT-margin

174 32% - 6 - 3%

Net sales

% of total z+

EBT EBT-margin

369 68% 15 + 4%

New customers (sales in the year of acquisition)

Repeat customers (consecutive year’s sales)

Total zooplus

EBT zooplus 2014: € 8.8 m

» Further efficiency gains especially from continued built-up of pan-European logistics

» Scaling effects in IT/Admin and personnel

» Strategic advantages from size (purchasing power / private label )

Outlook:


Countries with optimized supply chains show EBT-margins for repeat customer business of 5% already today

Net sales

% of total z+

EBT EBT-margin

80 15% - 3 - 3%

94 17% - 3 - 3%

174 32% - 6 - 3%

Net sales

% of total z+

EBT EBT-margin

218 40% 11 + 5%

151 28% 4 + 3%

369 68% 15 + 4%

New customers (sales in the year of acquisition)

Repeat customers (consecutive year’s sales)

Direct / optimized supply chain 1

Indirect / intermediate stage

supply chain 2

Total

EBT zooplus 2014: € 8.8 m 1 DE, AT, CH, NL, BE, PL, CZ 2 Other countries Source: zooplus data (unaudited)

Net sales & EBT distribution 2014 (€ m) - unaudited


Main priorities for 2015

Q2/2013

Q1/2015

Fulfillment center (FC) Potential FC under investigation

2000/2011 2009

» Focus on sales growth and customer retention in existing and new markets with zooplus and bitiba brand

» Increasing logistics capacity − FC in Chalon-sur-Saône started in

Q1/2015

− Capacity increase in FC Wroclaw

− Planned FC in UK by Q1/2016

» Further improvement of cost structure (efficiency and scaling)

» IT infrastructure project


Current guidance and outlook show a strong continuous improvement in sales development

2015e

2016e

2017e

CAGR: 2014 - 2017e

~ 700 ~ 23 %

~ 900 ~ 29 %

> 1100 + 22 %

Total sales (€ m)

2014 571 + 34 %

EBT (€ m)

8 – 12 1)

12 – 18 1)

20 – 35

8.8

1) Pre unforeseen one-offs for migration of IT platforms to SAP and Hybris

~ 25% p.a. ~ 50% p.a.

Guidance

Outlook


zooplus shareholder structure is very much focused on growth and mid-term value creation

March 2015 December 2012

Burda 50.04%

Capital Research

7.99%

The Nomad Investment Partnership 7.98%

Ruane, Cunniff & Goldfarb 5.90%

Wasatch Advisors 5.39%

Management 4.00%

Others 18.70% Burda 29.84%

Capital Research 8.80% Ruane, Cunniff &

Goldfarb 10.01%

Wasatch Advisors 4.99%

Management 5.34%

Others 18.89%

Maxburg Beteiligungen GmbH & Co. KG 14.00%

Deutsche Asset & Wealth 4.23%

Source: information from notification of voting rights and company information; data as of March 20th, 2015

SMALLCAP World Fund 3.90%


zooplus market cap and net sales development since listing in May 2008

Net sales run-rate in € m

Market cap in € m

0.8 0.5 0.5 1.0 0.6 0.6 0.6 Ø Market cap p.a. / net sales

Source: zooplus data; Deutsche Börse, data until Feb. 28th, 2015


Liquidity in the zooplus stock has increased

Ø per day € 176 k

Ø per day vs. 2013

€ 287 k H1 2014 + 63 %

€ 544 k H2 2014 + 210 %

€ 1200 k since 1.1.2015 + 580 %

2013 2014/15 Daily trading volume in €

Source: Deutsche Börse, data until Feb 28th, 2015


In summarizing : zooplus – a sustainable growth story

Attractive market with further growth potential (market volume ~ € 25 bn)

Market leader in e-commerce, closing up on the biggest offliners

Integrated logistics-structure for pan-European sourcing and fulfilment

Growth driven by a large and growing loyal customer base

Cost leadership – online and across all channels

Experienced management team with a share in the company and with a clear and focused strategy

1.

2.

3.

4.

5.

6.

Well prepared for future value creation


Annual report FY2014

Thank you for your attention!


Key Financials 2014

P&L in € m

2014 2013 ∆ abs ∆%p

Total sales 570.9 426.9

abs. 144.0

∆ in % 33.7%

COGS 393.0 68.8%

279.8 65.5%

113.2 3.3%p

Logistics 115.1 20.2%

92.7 21.7%

22.4 -1.5%p

Payment 6.9 1.2%

6.2 1.4%

0.8 -0.2%p

Customer acquisition 9.9 1.7%

10.7 2.5%

-0.8 -0.8%p

Personnel 21.2 3.7%

19.3 4.5%

1.9 -0.8%p

G&A 14.9 2.6%

13.4 3.1%

1.5 -0.5%p

EBITDA 9.9 1.7%

4.9 1.1%

5.0 0.6%p

I&DA 1.1 0.2%

1.1 0.2%

0.0 0.0%p

EBT 8.8 1.5%

3.8 0.9%

5.0 0.6%p

EPS in EUR (basic) 0.83 0.29

Balance Sheet

Total Assets 138.6 83.7 54.9

Equity (Ratio in %) 86.2 62.2%

36.7 43.9%

49.5

Cash Flow

CF from operating acivities 2.8 -3.5 6.3


Profit & Loss 2014

in € m 2014 2013

abs % abs %

Sales 543.1 95.1% 407.0 95.3%

Other income 27.8 4.9% 19.9 4.7%

Total sales 570.9 100.0% 426.9 100.0%

Cost of materials -393.0 -68.8% -279.8 -65.5%

Personnel costs -21.2 -3.7% -19.3 -4.5%

Depreciation -0.7 -0.1% -0.7 -0.2%

Other expenses -146.8 -25.7% -123.0 -28.8%

thereof logistics / fulfillment (-115.1) -20.2% (-92.7) -21.7%

thereof marketing (-9.9) -1.7% (-10.7) -2.5%

thereof payment (-6.9) -1.2% (-6.2) -1.4%

thereof other costs (-14.9) -2.6% (-13.4) -3.1%

Earnings before interest and taxes (EBIT) 9.2 1.6% 4.2 1.0%

Financial income 0.0 0.0% 0.0 0.0%

Financial expenses -0.4 -0.1% -0.4 -0.1%

Earnings before taxes (EBT) 8.8 1.5% 3.8 0.9%

Taxes on income -3.5 -0.6% -2.0 -0.5%

Consolidated net result 5.2 0.9% 1.8 0.4%

Differences from currency translation 0.0 0.0% 0.1 0.0%

Hedge reserve 1.6 0.3% 0.1 0.0%

Items that may be relclassified subsequently to profit or loss 1.6 0.3% 0.2 0.0%

Comprehensive income 6.8 1.2% 1.9 0.5%

Earnings per share in €

basic 0.83 - 0.29 -

diluted 0.80 - 0.80 -


Balance Sheet as of Dec. 31st, 2014

Assets Equity and Liabilities

in € m Dec. 31st, 2014 Dec. 31st, 2013 ∆ abs

A. Non-current assets

I. PP&E 0.8 0.5 0.3

II. Intangible assets 8.6 4.9 3.7

III. Financial assets 0.0 0.0 0.0

IV. Deferred tax assets 4.2 6.9 -2.7

Total non-current assets 13.6 12.5 1.1

B. Current assets

I. Inventories 65.0 43.7 21.3

II. Advance payments 0.5 0.3 0.2

III. Trade receivables 12.1 10.8 1.3

IV. Other current assets 13.1 10.9 2.2

V. Derivative financial instruments

2.3 0.0 2.3

VI. Cash and cash equivalents 32.0 5.6 26.4

Total current assets 125.0 71.3 53.7

138.6 83.7 54.9

in € m Dec. 31st, 2014 Dec. 31st, 2013 ∆ abs

A. Equity

I. Capital subscribed 7.0 6.1 0.9

II. Capital reserves 92.0 50.3 41.7

III. Other reserves 1.7 0.0 1.7

IV. Profit and Loss carried forward -14.5 -19.7 5.2

Total equity 86.2 36.7 49.5

B. Non-current liabilities 1.2 0.5 0.7

C. Current liabilities

I. Trade payables 23.4 16.2 7.2

II. Financial liabilities 0.0 13.0 -13.0

III. Derivative financial instruments 0.0 0.1 -0.1

IV. Other current liabilities 20.1 12.7 7.4

V. Tax liabilites 2.0 0.8 1.2

VI. Provisions 4.1 2.7 1.4

VII. Deferred income 1.5 1.0 0.5

Total current liabilities 51.1 46.5 4.6

138.6 83.7 54.9


Cash Flow 2014

EBT 8.8 3.8

Cash flow from operating activities 2.8 -3.5

Cash flow from investing activities -4.7 -4.6

Cash flow from financing activities 28.1 10.6

Net change of cash and cash equivalents 26.3 2.7

Cash on hand, bank deposits, cheques 32.0 5.6

in € m 2014 2013


Key Financials Q4 2014

P&L in € m

Q4 2014 Q4 2013 ∆ abs ∆%p

Total sales 167.5 120.3

abs. 47.2

∆ in % 39.3%

COGS 117.0

69.8% 78.3

65.1% 38.7

4.7%p

Logistics 33.2

19.8% 25.4

21.1% 7.8

-1.3%p

Payment 2.0

1.2% 1.7

1.5% 0.2

-0.3%p

Customer acquisition 2.8

1.7% 2.4

2.0% 0.4

-0.3%p

Personnel 5.6

3.3% 5.5

4.5% 0.1

-1.2%p

G&A 3.9

2.3% 4.0

3.3% 0.1

-1.0%p

EBITDA 3.0

1.8% 2.9

2.4% 0.1

-0.6%p

I&DA 0.3

0.2% 0.3

0.2% 0.0

0.0%p

EBT 2.7

1.6% 2.7

2.2% 0.0

-0.6%p

Investor & Analyst Presentation€¦ · 25/3/2015 · Investor & Analyst Presentation 20150325 |...

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