1. Welcome!
Presentation of
KappAhl’s Q4 report
June – Aug 2009
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2. Q4 Report
• Q4 2009
• Q1-Q4 2008/09 Christian W. Jansson
• Five years summary CEO
• Market situation
• Key conclusion
• Questions?
Håkan Westin
CFO
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3. Highlights – Q4
June to Aug 2009
• Operational and financial
targets are achieved
• Increased market share
• Strong gross margin
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4. Two weeks end Aug 2009 – focusing denim leggings,
40 000 sold
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5. Stores Aug 2009
144 53
• 319 stores
• 2 new stores during Q4 92
• 28 new stores net for the full year
• Significant contribution from
new stores in sales and profit
• 50 new stores under contract –
18 to be opened during Q1
30
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6. Financial
highlights – Q4
June to Aug 2009
• Net sales MSEK 1 226 (1 103), an
increase of 11.2 percent
• Operating profit MSEK 176 (182), excl.
one-offs an increase of 17 percent
• Gross margin 61.4 (61.9) percent and
operating margin 14.4 (13.6 excl. one-
offs) percent
• Net profit MSEK 106 (113), equivalent
to SEK 1.41 (1.51) per share
• Cash flow from continuing operations
MSEK 100 (130)
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7. Income
statement – Q4
June to Aug 2009
MSEK 2008/09 2007/08
Net sales 1226 1103
Cost of goods sold -473 -420
Gross profit 753 683
Selling expenses -549 -480
Administrative expenses -28 -32
Other operating income 0 11
Operating profit 176 182
Financial income 0 0
Financial expense -23 -26
Profit before tax 153 156
Tax expense -47 -43
Net profit 106 113
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8. Cash flow – Q4
June to Aug 2009
MSEK 2008/09 2007/08
Cash flow from continuing operations
195 165
before changes in working capital
Changes in working capital -95 -35
Cash flow from continuing operations 100 130
Cash flow from investment activities -53 -48
Cash flow after investments 47 82
Change bank overdraft facility -40 -82
Dividend / Redemption of shares 0 0
Cash flow for the period 7 0
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9. Sales – Q4
June to Aug 2009
MSEK %
Net sales Q4 2007/08 1 103
New stores net +7.2
Like For Like +2.4
Currency effect +1.6
Net sales Q4 2008/09 1 226 +11.2
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10. Profitability
drivers – Q4
June to Aug 2009
excl. one-offs 2008/09
Sales 111%
Gross profit 110%
Costs 108%
Operating income 117%
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11. Financial
highlights – Q1-Q4
September 2008 to August 2009
• Net sales 4 866 (4 622) MSEK, an
increase of 5.3 percent
• Operating profit 526 (651) MSEK, excl.
one-offs a decrease of 15 percent
• Gross margin 61.1 (62.4) percent and
operating margin 10.8 (14.1) percent.
• Net profit 315 (436) MSEK, equivalent to
SEK 4.20 (5.81) per share.
• Cash flow from continuing operations
MSEK 504 (730).
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12. Income
statement – Q1-Q4
September 2008 to August 2009
MSEK 2008/09 2007/08
Net sales 4 866 4 622
Cost of goods sold -1 893 -1 740
Gross profit 2 973 2 882
Selling expenses -2 315 -2 106
Administrative expenses -132 -136
Other operating income 0 11
Operating profit 526 651
Financial income 1 27
Financial expense -84 -80
Profit before tax 443 598
Tax expense -128 -162
Net profit 315 436
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13. Cash flow– Q1-Q4
September 2008 to August 2009
MSEK 2008/09 2007/08
Cash flow from continuing operations
591 687
before changes in working capital
Changes in working capital -87 43
Cash flow from continuing operations 504 730
Cash flow from investment activities -261 -692
Cash flow after investments 243 38
Change bank overdraft facility 84 759
Dividend / Redemption of shares -338 -825
Cash flow for the period -11 -28
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14. Sales – Q1-Q4
September 2008 to August 2009
MSEK %
Net sales 2007/08 4 622
New net stores +5.8
Like For Like -2.3
Currency effect +1.8
Net sales 2008/09 4 866 +5.3
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15. Profitability
drivers – Q1-Q4
September 2008 to August 2009
excl. one-offs 2008/09
Sales 105%
Gross profit 103%
Costs 110%
Operating income 85%
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16. Present
market situation
• The consumers slightly more
positive
• Growing unemployment
• A strong concept helps us in an
unstable market
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17. Five years summary – Sales growth
8,0%
7,0%
6,0%
5,0%
4,0%
3,0%
2,0%
1,0%
0,0%
04/05 05/06 06/07 07/08 08/09
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18. Five years summary – Gross margin
64,0%
62,0%
60,0%
58,0%
56,0%
54,0%
52,0%
50,0%
04/05 05/06 06/07 07/08 08/09
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19. Five years summary – Operating margin
excl. one-offs
16,0%
14,0%
12,0%
10,0%
8,0%
6,0%
4,0%
2,0%
0,0%
04/05 05/06 06/07 07/08 08/09
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20. Five years summary –
Return on capital/employed
30,0%
25,0%
20,0%
15,0%
10,0%
5,0%
0,0%
04/05 05/06 06/07 07/08 08/09
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21. Key conclusion
• Business concept –
proven long term stability
• Increased market share
• Strong gross margin
• Expansion plans continues
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22. Disclaimer
• These materials may not be copied, published, distributed or
transmitted to third parties.
• 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.
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23. Questions?
23/23