presentación roadshow 1 script 2 - investor...
TRANSCRIPT
25/07/2008 10:39 skiron\Roadshow\Presentación Roadshow Script 2.ppt
1
2
Agenda
4Business Unit Operating and Financial Results 2Q08
4Consolidated Financial Results 2Q08
4Q & A
3
Grupo Famsa achieved Sales and EBITDA growth during the second quarter
2Q08 Same Store Sales (SSS): Famsa Mexico 2.1%, Famsa USA 2.4%
EBITDA Margin: Pressured by consumption slowdown in Mexico, operating expenses related to Banco Ahorro Famsa ($250M 2008E), 36 new stores in MX and USA
* Constant pesos of June 30, 2007(1) Nominal figures, SSS 2Q08 real: -2.5%
$413 $435
$749 $789
2Q07 * 2Q08 2007 * 2008
+5.5%
+5.4%
12.1% 11.7% 11.8% 11.2%
$3,406 $3,710
$6,337$7,048
2Q07 * 2Q08 2007 * 2008
+8.9%
+11.2%Same Store Sales 2Q08 (1)
+2.1%
Same Store Sales 2008 (1)
+2.0%
Peso
s (M
illio
ns)
Consolidated Net Sales Consolidated EBITDA
Peso
s (M
illio
ns)
4
Recent inflationary pressure in Mexico has had an impact on consumer confidence
Source: Banco de México, INEGI
Mexico: Annual Inflation
-16%
-14%
-12%
-10%
-8%
-6%
-4%
-2%
0%
2007
/06
2007
/07
2007
/08
2007
/09
2007
/10
2007
/11
2007
/12
2008
/01
2008
/02
2008
/03
2008
/04
2008
/05
2008
/06
Mexico: Annual Consumer ConfidenceIndex Growth
0%1%2%3%4%5%6%7%8%9%
10%
2007
/01
2007
/02
2007
/03
2007
/04
2007
/05
2007
/06
2007
/07
2007
/08
2007
/09
2007
/10
2007
/11
2007
/12
2008
/01
2008
/02
2008
/03
2008
/04
2008
/05
2008
/06
Food Inflation
General Inflation
5
Famsa Mexico works to overcome the effects of the current situation on its performance
Our three major categories have been impacted by the consumption slowdownFamsa Mexico’s Net Sales grew 7.8%1 2
Traffic generation through door-to-door sales (Gran Crédito)Operating efficiency through detailed cost analysis and control Enhanced shopping experience through customer service indicator trackingDiversifying durable good exposure through personal loans
Famsa Mexico mantains the implementation of targeted initiatives to compensate the effects of the current environment
3
* Constant pesos of June 30, 2007(1) Nominal figures, SSS 2Q08 real: -2.7%
$2,687 $2,895
$5,074$5,421
2Q07 * 2Q08 2007 * 2008
+7.8%
+6.8%VMT 2008
+1.0%
18.1 16.7
18.2 16.6
19.416.5
44.3 50.2
2Q07 2Q08
Other
Electronics
Furniture
VMT 2T08 (1)
+2.1%
White Goods
Peso
s (M
illio
ns)
% o
f Sal
es
6
Our store network in Mexico increased with the opening of 3 stores during the second quarter
CenterACTOPAN, HIDALGOPacificGUADALAJARA, JAL.
NortheastALLENDE, N.L.RegionCity
Famsa Mexico: New Store Location 2Q08
406,824
359
Total
6,127
3
2Q08
36,152Retail area (m2)
23Stores
LTM (1)
Famsa Mexico: Retail Area Growth
Allende, Nuevo Leon. MX
(1) Last Twelve Months (LTM)
7
Banco Ahorro Famsa now operates 267 branches and continues obtaining solid implementation results
Banking Branches
63
267
176184
3Q07 4Q07 1Q08 2Q08
83 new bank branches 2Q08
$132
$272
$603
$929
$315$268
$175
$92
3Q07 4Q07 1Q08 2Q08
Savings Loans
Savings and Loans through Bank Branches
Accounts●Savings: 218,084●Loans: 62,019
Market funding
BAF funding
300 - 400 bps spread
Peso
s (M
illio
ns)
8
In addition, important progress is being made to achieve the synergies between Famsa MX and BAF
Funding Technological Platform
Famsa Credit through Banco Ahorro Famsa
+ =
Successful “Pilot”emission of banking debt through financial intermediaries
Successful “Pilot”migration of consumer credit accounts from Famsa MX to Banco Ahorro Famsa
9
Famsa USA continues expanding its footprint and achieving sales growth
Famsa USA’s net sales grew 12.0%
* Constant pesos of June 30, 2007(1) Nominal figures, SSS 2Q08 real: -1.6%(2) Last Twelve Months (LTM)
$704$789
$1,214
$1,583
2Q07 * 2Q08 2007 * 2008
+12.0%
+30.4%
% Famsa -to-
Famsa11.4% 10.9% 11.2% 9.0%
120,140
51
Total
23,946
13
LTM (2)
5,043
2
2Q08
Retail area (m2)
Stores
Famsa USA opened 2 stores in northern California
SSS 2008+6.5%
SSS 2Q08 (1)
+2.4%
Peso
s (M
illio
ns)
10
Increased demand in Electronics compensates recent slowdown in Furniture and White Goods
% o
f Sal
es
43.9 37.0
21.0 26.5
9.3 7.9
25.8 28.6
2T07 * 2T08
Electronics
White Goods
Furniture
Other
During 2Q08, Electronics grew significantly and Chicago related expenses pressured EBITDA
2.1%
3.5%
5.7%
8.8% 8.5% 8.4%
2004 2005 2006 2007 Ene-Jun2007
Ene-Jun2008
Chicago expenses and slowdown in operating leverage impacted EBITDA margin expansion
11
Agenda
4Business Unit Operating and Financial Results 2Q08
4Consolidated Financial Results 2Q08
4Q & A
12
16.3 4.3 5.0
2007
6.5 1.0 2.0
2008
19.3 2.4 Famsa USA1.0 2.1 Famsa Mexico2.7 2.1 Total
2Q072Q08
Other
Electronics
White Goods
Furniture
Famsa USA: Share of Consolidated Net Sales
Same Store Sales (%)
79.3% 78.7%
20.7% 21.3%
2Q07 2Q08
24.5 20.9
18.8 18.7
16.314.8
40.4 45.6
2Q07 2Q08
$3,406 $3,710
$6,337$7,048
2Q07 * 2Q08 2007 * 2008
+8.9%
+11.2%
% o
f Sal
es
Peso
s (M
illio
ns)
Consolidated Net Sales Consolidated Product Mix
Famsa Mexico
Famsa USA
Net Sales
% o
f Sal
es
* Constant pesos of June 30, 2007
13
Credit Sales (1) % Credit Sales over Consolidated Net Sales (1)
* Constant pesos of June 30, 2007(1) Retail sales
$2,775$3,126
$5,070$5,898
2Q07 * 2Q08 2007 * 2008
81.8% 84.9% 80.6% 84.2%
2Q07 * 2Q08 2007 * 2008
+12.7%
+16.3%
Peso
s (M
ilion
s)
Credit Sales
14
Profitability
$1,565$1,805
$2,909
$3,412
2Q07 * 2Q08 2007 * 2008
$413 $435
$749 $789
2Q07 * 2Q08 2007 * 2008
$168$229
$292
$430
2Q07 * 2Q08 2007 * 2008
$97 $108
$253$219
2Q07 * 2Q08 2007 * 2008
+17.3%
+36.2%
+5.5%
+12.0%
+15.3%
+46.9%
+5.4%
-13.4%
45.9% 48.6% 45.9% 48.4% 12.1% 11.7% 11.8% 11.2%
4.9% 6.2% 4.6% 6.1% 2.8% 2.9% 4.0% 3.1%
Gross Income EBITDA
Comprehensive Financing Expense Net Income
Pes
os (M
illion
s)
* Constant pesos of June 30, 2007
15
$8,311
$10,882
2Q07 * 2Q08
$4,774
$6,094
2Q07 * 2Q08
$2,327$2,551
2Q07 * 2Q08
$6,118$6,620
2Q07 * 2Q08
+30.9%
+27.6%
+9.7%
+8.2%
2.8% 4.5%
Main Balance Sheet Accounts
% Write-Off over Credit
Sales
Trade Accounts Receivable Inventories
Net Debt Stockholder’s Equity
Peso
s (M
illio
ns)
* Constant pesos of June 30, 2007
16
Agenda
4Business Unit Operating and Financial Results 2Q08
4Consolidated Financial Results 2Q08
4Q & A