S.A.C.I. Falabella 3rd Quarter 2017 / Earnings Presentation

Transcription

1 S.A.C.I. Falabella 3rd Quarter 2017 / Earnings Presentation

2 Disclaimer This presentation contains forward-looking statements, including statements regarding the intent, belief or current expectations of the company and its management. Investors are cautioned that any such forward-looking statements are not a guarantee of future performance and involve a number of risks and uncertainties including, but not limited to, the risks detailed in the company s financial statements, and actual results could differ materially from those indicated by such forward-looking statements. 2

3 CONTENTS MAIN EVENTS CONSOLIDATED STATEMENTS PERFORMANCE BY BUSINESS UNIT Q&A

4 During the third quarter: Main Events during the Period: Continuous development of our digital channels: Promotora CMR Chile and Banco Falabella Chile implemented a quick pay button that allows purchases on our three retail businesses In August, Sodimac launched its online store in Uruguay. New Falabella.com site was launched in Chile, Peru, Colombia and Argentina together with a new website for Promotora CMR business in Argentina During 3Q17 Tottus Chile implemented its "self check out" service system in seven stores in the Metropolitan region of Santiago. S.A.C.I. Falabella was selected to enter the Dow Jones Sustainability Index, an index that evaluates the world's largest companies in terms of economic, social and environmental factors, classifying in DJSI World, DJSI Emerging Markets, DJSI Chile and the newly created DJSI MILA. S.A.C.I. Falabella opened a new mall and four new stores: Mallplaza Los Dominicos was opened in September 2017, in the city of Santiago, Chile, with a GLA of 91,000 m2. At Mallplaza Los Dominicos, Falabella opened a department store with a sales area of 11,800 m2; Sodimac opened a home improvement store with a sales area of 11,100 m2; and Tottus opened a supermarket with a sales area of 4,200 m2. Additionally, Sodimac opened an Imperial store in Chile, in the city of La Serena, with a sales area of approximately 3,500 m2. 4

5 During the third quarter: Main Events after the Period: Bond Issuance On October 23rd, S.A.C.I. Falabella issued an international bond for US$ 400 million, at a 10 year maturity, a 3.75% coupon rate and a 3.875% yield, US Treasury bonds +150 basis points. Proceeds from the operation were used for short term debt refinancing. Acquisition of 50% of Soriban In October 2017, S.A.C.I Falabella, through one of its subsidiaries, purchased 50% of the shares of the Mexican company Servicios Financieros Soriana S.A.P.I de C.V. The cost of the transaction was MXN 643,000,000, equivalent to approximately US $ 35 million. 5

6 CONTENTS MAIN EVENTS CONSOLIDATED STATEMENTS PERFORMANCE BY BUSINESS UNIT Q&A

7 3Q17 Income Statement (Millions of CLP) 3Q16 % Rev. 3Q17 % Rev. Var % 9M16 % Rev. 9M17 % Rev. Var % Revenues of Non-Banking Operations 1,869,558 1,941, % 5,707,941 5,909, % Revenues of Banking Operations 174, , % 510, , % Total Revenues 2,044, % 2,119, % 3.7% 6,217, % 6,453, % 3.8% COGS of Non-Banking Operations (1,234,274) -60.4% (1,281,057) -60.4% 3.8% (3,779,644) -60.8% (3,867,346) -59.9% 2.3% COGS of Banking Operations (79,135) -3.9% (80,000) -3.8% 1.1% (237,528) -3.8% (259,395) -4.0% 9.2% Gross Profit 730, % 758, % 3.8% 2,200, % 2,326, % 5.7% SG&A Expenses (544,388) -26.6% (582,660) -27.5% 7.0% (1,608,155) -25.9% (1,710,876) -26.5% 6.4% Operational Income 186, % 176, % -5.5% 592, % 616, % 4.0% Depreciation + Amortization 66, % 72, % 9.1% 193, % 211, % 9.2% EBITDA 252, % 248, % -1.7% 786, % 827, % 5.2% Other Income / (Expenses) 137,097 (1,262) % 137,611 1, % Net Financial Income / (Cost) (50,204) (46,798) -6.8% (168,646) (145,529) -13.7% Profit / (Loss) in Associates 4,428 2, % 15,877 10, % Exchange Rate Differences (2,947) 1,918 NM 3,494 1, % Non-Operating Profit 88, % (43,446) -2.0% % (11,664) -0.2% (132,939) -2.1% % Profit Before Tax Expenses 274, % 132, % -51.7% 580, % 483, % -16.8% Income Tax (29,659) (36,026) 21.5% (94,871) (120,475) 27.0% Minority Interest (34,983) (11,350) -67.6% (54,716) (33,691) -38.4% Net Profit / (Loss) 210, % 85, % -59.4% 431, % 328, % -23.7% 7

8 Financial Situation Leverage (times) w/o Banking Operations 1,02 1,14 1,07 Net Financial Debt/EBITDA (times) w/o Banking Operations 3,24 3,40 3,36 sep-16 dec 16 sep-17 sep-16 dec 16 sep-17 Debt By Type w/o Banking Operations Debt By Maturity w/o Banking Operations 49% 51% Financial Debt w/o Banks 1 : US$ 5,856 MM 31% 69% Duration: 4.27 years Public Bonds Financial Institutions Short Term Long Term Note: All dollar figures are calculated based on the observed exchange rate as of October 2nd 2017: $/US$. 1. Does not include accrued interests 8

9 CONTENTS MAIN EVENTS CONSOLIDATED STATEMENTS PERFORMANCE BY BUSINESS UNIT Q&A

10 Performance Department Stores Revenue 3Q17 (CLP$ million) Income Statement Chile (CLP million) Var% CLP 3.5% Var Local Curr % 4.8% 4.8% -2.9% -2.1% 6.3% 26.5% Total DS 140,102 74, , ,565 Department Stores 3Q16 3Q17 (%, bps) Revenues 330, , % Gross Profit 101, , % Gross Margin 30.6% 31.0% 44 SG&A (95,614) (106,831) 11.7% SG&A / Revenues -28.9% -30.9% -192 Operating Profit 5, % Operating Margin 1.6% 0.2% -148 EBITDA 12,421 8, % EBITDA Margin 3.8% 2.6% % 11.6% 75,620 Sales Area (m 2 ) Same Store Sales 3Q17 800, , , , , , , , % +0.3% +2.8% +4.5% + 5.9% Total 3Q2016 3Q % - 0.8% % + 0.4% 10

11 Performance Home Improvement Revenue 3Q17 (CLP$ million) Income Statement Chile (CLP million) Var% CLP +1.1% Var Local Curr % -1.9% -1.9% 5.7% 5.9% 3.5% 23.0% -3.2% 0.1% Total HI 151,577 40, , , ,210 Home Improvement 3Q16 3Q17 (%, bps) Revenues 474, , % Gross Profit 141, , % Gross Margin 29.7% 29.2% -51 SG&A (121,388) (129,272) 6.5% SG&A / Revenues -25.6% -27.8% -218 Operating Profit 19,633 6, % Operating Margin 4.1% 1.4% -269 EBITDA 29,572 17, % EBITDA Margin 6.2% 3.7% % 16.0% 51,366 Sales Area (m 2 ) Same Store Sales 3Q17 1,600,000 1,400,000 1,200,000 1,000, , , , , % +27.4% +7.7% +0.0% +0.9% +0.9% +2.6% Total 3Q2016 3Q % + 5.5% % - 4.2% +10.6% Note: Total revenue and sales area does not include Sodimac Colombia (which the Company does not consolidate), nor Uruguay, which is classified in Other Revenue. 11

12 Performance Supermarkets Revenue 3Q17 (CLP$ million) Income Statement Chile (CLP million) Var% CLP 5.5% Var Local Curr % 4.7% 4.7% 6.4% 6.3% Total SM 184, , ,285 Supermarkets 3Q16 3Q17 (%, bps) Revenues 176, , % Gross Profit 43,810 45, % Gross Margin 24.9% 24.6% -23 SG&A (41,544) (43,464) 4.6% SG&A / Revenues -23.6% -23.5% 3 Operating Profit 2,266 2, % Operating Margin 1.3% 1.1% -20 EBITDA 6,772 6, % EBITDA Margin 3.8% 3.6% -20 Sales Area (m 2 ) Same Store Sales 3Q17 500, , % 1.5% 300, , % +1.3% 3Q2016 3Q % 100,000 0 Total 12

13 Performance Financial Services Gross Loans 3Q17 1 Provisions as % loans CMR Chile Total Loan Portfolio (CLP$ million) 3Q16 3Q17 4,289,486 4,455,456 YoY (%) + 3.9% 4.1% 4.3% 4.2% 3.7% 3.7% 3Q16 4Q16 1Q17 2Q17 3Q17 BF y CMR Chile Loan Portfolio (CLP million) 2,942,815 3,165, % 4.9% Banco Falabella Chile 5.1% 4.9% 5.0% 5.0% BF Peru Loan Portfolio (PEN million) 3,873 3, % 3Q16 4Q16 1Q17 2Q17 3Q17 Peru 8.9% 9.0% 9.9% 10.6% 11.5% BF Colombia Loan Portfolio (COP million) 1,913,068 1,935, % 3Q16 4Q16 1Q17 2Q17 3Q17 Colombia 6.7% 7.3% 7.6% 8.1% 8.1% CMR Argentina Loan Portfolio (ARS million) 3,335 4, % 3Q16 4Q16 1Q17 2Q17 3Q17 Argentina 2.3% 2.1% 2.4% 2.5% 2.4% 3Q16 4Q16 1Q17 2Q17 3Q17 1 Gross loan growth in local currency. 13

14 Performance Real Estate Income Statement (CLP million) # Shopping Malls '000 GLA Sep-16 Sep-17 Sep-16 Sep-17 Mall Plaza Open Plaza CHILE AP/Mall Plaza Peru Open Plaza PERU Mall Plaza COLOMBIA TOTAL Real State Free Standing Stores Plaza S.A. 3Q16 3Q17 (%, bps) Revenues 64,481 68, % Gross Profit 48,935 54, % Gross Margin 75.9% 79.8% 388 SG&A (7,637) (10,648) 39.4% SG&A / Revenues -11.8% -15.5% -364 Operating Profit 41,298 44, % Operating Margin 64.0% 64.3% 24 EBITDA 51,151 54, % EBITDA Margin 79.3% 78.6% -77 Total GLA GLA m 2 2,000,000 1,500, % 10.5% 1,000, , % 19.0% Total 3Q2016 3Q AP: Aventura Plaza joint-venture. As of July 2016, SACI Falabella operates Mall Plaza Peru, after the dissolution of Aventura Plaza. 2. Properties owned by the company throughout the region. 14

15 CONTENTS MAIN EVENTS CONSOLIDATED STATEMENTS PERFORMANCE BY BUSINESS UNIT Q&A

16 Q&A 1 6

17 Phone: +56 (2) Andrea González Head of IR Constanza Saver IR Analyst Andrea Jiménez IR Analyst