2008 06-27 q3 2007/2008 results
DESCRIPTION
TRANSCRIPT
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Third Quarter ReportMarch 1 to May 31, 2008
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� These materials may contain forward-looking statements. If so, such statements are based on our current expectations and are subject to risks and uncertainties that could negatively affect our business. Please read our earnings report and our most recent annual report for a better understanding of these risks and uncertainties.
� These materials do not constitute or form part of any offer or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe for, any securities, nor shall part, or all, of these materials or their distribution form the basis of, or be relied on in connection with, any contract or investment decision in relation to any securities. These materials and the information contained herein are not an offer of securities for sale in the United States and are not for publication or distribution to persons in the United States.
Disclaimer
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Håkan Westin, CFO
Christian W. Jansson, President & CEO
Third Quarter ReportMarch 1 to May 31, 2008
Agenda� Introduction� Q3 2007/08
� Highlights � Income Statement� Sales� Profitability drivers
� Q1-Q3 2007/08� Highlights � Income Statement� Sales� Sales breakdown� Profitability drivers� Cash flow
� Property acquisition� Future approach� Key conclusions
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Håkan Westin, CFO
Christian W. Jansson, President & CEO
Third Quarter ReportMarch 1 to May 31, 2008
� Consistent development� Net sales MSEK 1140 (1106)� Operating profit MSEK 145 (132)
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86
135 45
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� 285 operating stores (+ 13) � 56 new stores under contract
Stores
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Advert used in e.g. daily press during Q3, 2008
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� Net sales MSEK 1 140 (1 106), an increase of 3.1 percent.
� Operating profit MSEK 145 (132). Excluding one-offs, an increase of 12.4 percent.
� Gross margin 63.8 (62.3) percent and operating margin 12.7 (11.9) percent.
� Profit after taxes MSEK 112 (79), equivalent SEK 1.49 (1.05) per share.
� Cash flow from continuing operations MSEK 221 (136).
Financial Highlights Q3March 1 to May 31, 2008
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07/081 140-413-727
-521-36
118
3-18103
-2974
0
79112Net profit-32-36Tax expense111148Profit before tax-32-21Financial expense1124Financial income
132145Operating profit3Other operating income
-32-35Administrative expenses-528-547Selling expenses689727Gross profit
-417-413Cost of goods sold11061140Net sales
2006/072007/08MSEK Mar-May
Income Statement Q3
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� End of period stronger than beginning
� Successful product launch for Number One and Comp.
� Successful relaunch of Kaxs
+3.11 140Net sales Q3 2007/08
-0.5Like For Like
+2.0New net stores
+1.6Currency effect
1 106Net sales Q3 2006/07
%MSEKMar-May
Sales Q3
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� Solid Inventory Control
112%Operating income
104%Costs
106%Gross profit
103%Sales
2007/08(excl. One-offs)
Profitability drivers Q3
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Advert used in e.g. daily press during Q3, 2008
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� Net sales MSEK 3 519 (3 383), an increase of 4.0 percent.
� Operating profit MSEK 469 (435). Excluding one-offs, an increase of 11.9 percent.
� Gross margin 62.5 (60.8) percent and operating margin 13.3 (12.9) percent.
� Profit after taxes MSEK 324 (540), equivalent SEK 4.32 (7.20) per share.
� Cash flow from continuing operations MSEK 600 (449).
Financial Highlights Q1-Q3September 1, 2007 to May 31, 2008
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Income statement Q1-Q3
540324Net profit163-118Tax expense377442Profit before tax-81-57Financial expense2330Financial income
435469Operating profit16Other operating income
-109-104Administrative expenses-1 529-1 626Selling expenses
20572199Gross profit-1 326-1 320Cost of goods sold3 3833 519Net sales
2006/072007/08MSEK Sep-May
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+4.03 519Net sales Q3 2007/08+0.7Like For Like+1.3New net stores+2.0Currency effect
3 383Net sales Q3 2006/07%MSEK
Sales Q1-Q3
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Finland12% (11%)
Sweden55% (57%)Norway
28% (28%)
Poland5% (4%)
1,315
679278
107
4,0%3 3833 519Totalt
18,5%29,8%131170Polen
6,7%8,6%383416Finland
-0,1%5,1%938986Norway
0,8%0,8%1 9311 947Sweden
Local currency
SEK
2006/072007/08MSEK Growth
Sales breakdown Q1-Q3
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� Further improved operating margin
112%Operating income106%Costs107%Gross profit104%Sales
2007/08(excl. One-offs)
Profitability drivers, Q1-Q3
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Cash flow, Q1-Q3
45-28Cash flow for the period-66166Other from financial activities
-188-825Redemption of shares /Dividend60675Change bank overdraft facility
239-44Cash flow after investments-210-644Cash flow from investment activities449600Cash flow from continuing operations-1578Changes in working capital
464522Cash flow from continuing operations before changes in working capital
2006/072007/08MSEK Sep-May
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Advert used in e.g. Magazines during Q3, 2008
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Property Acquisition
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� Maintain gross margin
� Strong store expansion program
� Establish additional markets
Future approach
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� Strong gross margin
� Excellent cash flow
� Contribution from new stores will increase
� 24th consecutive quarter with improved profit
Key conclusions
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Advert used in e.g. Magazines during Q3, 2008
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