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LOVISA HOLDINGS LIMITED FY26 FULL YEAR RESULTS JOHN CHESTON GLOBAL CHIEF EXECUTIVE OFFICER CHRIS LAUDER GROUP CHIEF FINANCIAL OFFICER
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CONTENTS 1. FULL YEAR OVERVIEW 2. FINANCIAL OVERVIEW 3. TRADING PERFORMANCE – SALES & GROSS MARGIN 4. EARNINGS 5. CASHFLOW & BALANCE SHEET 6. STORE GROWTH 7. TRADING UPDATE 8. SUMMARY 9. APPENDICES
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FY26 FULL YEAR OVERVIEW • Total Revenue +17.6% on FY25 with Americas +29.6% and Europe +29.5% • 160 new stores opened for the financial year • Global comparable store sales for the financial year +2.0% • Gross Margin +60bps to 82.6% • Continued investment into growing the global business • EBIT +14.1% to $158.2m, NPAT of $95.6m, +10.7% • Cash flow from operations +21.0% to $294.5m • Final dividend +22.2% on LY to 33 cents with full year dividends 86 cents +11.7% • 1,136 stores at financial year end • First 8 weeks global comparable store sales +3.0%, with improving momentum in the month of August 3
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FINANCIAL OVERVIEW Profit growth continues • Revenue +17.6% on FY25 with comparable store sales +2.0% for the year • Gross Margin +60 basis points to 82.6% • EBITDA $301.1m +20.9% on prior year • EBIT $158.2m, NPAT of $95.6m • Strong balance sheet and cashflow generation resulting in full year dividends of 86 cents, +11.7% on LY, representing 100% payout of NPAT 4 ($000) FY26 FY25 Variance Revenue 938,763 798,133 +17.6% Gross profit 775,333 654,670 +18.4% EBITDA 301,145 249,032 +20.9% EBIT 158,222 138,701 +14.1% NPAT 95,590 86,332 +10.7% EPS (cents) 86.3 78.1 +10.5% Dividends (cents) 86.0 77.0 +11.7%
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TRADING PERFORMANCE – SALES Global sales growth continues • Sales Revenue +17.6% to $ 938.8m , with continued store network growth driving this outcome • 160 new stores opened in FY26 • Gross Margin +60 bps to 82.6% • Comp sales +2.0% for the financial year • Americas region sales +29.6% on last year • Europe region sales +29.5% on last year • Long runway of new store growth in Europe, USA and Canada • Constant focus on product, sourcing and retail execution to drive growth 5 Region ($AUD '000) FY26 FY25 Variance Australia / NZ 193,373 204,958 -5.7% Asia 36,744 38,208 -3.8% Africa/Middle East 65,747 58,286 +12.8% Europe 364,261 281,208 +29.5% Americas 275,932 212,968 +29.6% Franchise 2,706 2,505 +8.0% Total 938,763 798,133 +17.6% $288 $459 $596 $699 $798 $939 $0 $100 $200 $300 $400 $500 $600 $700 $800 $900 FY21 FY22 FY23 FY24 FY25 FY26 Sales ($AUDm) TOTAL SALES (A$M)
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TRADING PERFORMANCE – GROSS MARGIN Continued Gross Margin growth • Gross profit increased 18.4% to $775.3m • Gross Margin +60 basis points to 82.6% • Gross Margin +270bps on FY23 6 76.7% 78.9% 79.9% 81.0% 82.0% 82.6% 65.0% 67.0% 69.0% 71.0% 73.0% 75.0% 77.0% 79.0% 81.0% 83.0% 85.0% FY21 FY22 FY23 FY24 FY25 FY26 Historical Gross Margins
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EARNINGS • EBIT +14.1% to $158.2m • Ongoing investment made in technology, supply chain and global retail operations to support global store expansion and ongoing Jewells 7 store UK trial • Strong cash flow funding all investment required and allowing payment of 100% of NPAT as dividends, +11.7% for the full year to 86 cents 7 $43.5 $82.7 $105.7 $128.2 $138.7 $158.2 $0.0 $50.0 $100.0 $150.0 $200.0 FY21 FY22 FY23 FY24 FY25 FY26 EBIT GROWTH $m $24.8 $58.4 $68.2 $82.4 $86.3 $95.6 $0.0 $20.0 $40.0 $60.0 $80.0 $100.0 $120.0 FY21 FY22 FY23 FY24 FY25 FY26 NPAT GROWTH $m
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CASH FLOW Continued strong cash generation • Cash flows fully funding all global new store investment required • Cash flow from operating activities +21.0% to $294.5m , with working capital continuing to be well managed • Capital expenditure of $58.5m includes 148 new company owned stores built for the period as the store rollout maintained momentum 8 (A$000s) FY26 FY25 Cash from operating activities 294,496 243,284 Net interest paid (24,139) (20,517) Tax paid (37,593) (14,854) Net cash from operations 232,764 207,913 Property Plant & Equipment (58,337) (54,852) Key Money (141) (317) Net cash used in investing activities (58,478) (55,169) Capital contributions 0 862 Proceeds from borrowings 10,000 23,000 Payment of lease liabilities (89,152) (70,604) Dividends paid (88,589) (96,323) Net cash used in financing activities (167,741) (143,065) Net movement in cash 6,545 9,679 Opening cash 42,633 30,520 Effect of movement in exchange rates (2,443) 2,434 Closing cash 46,735 42,633
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BALANCE SHEET Balance Sheet remains strong • Continued investment in global new store growth comes fully funded from operations • Final dividend of 33c +22.2%, 50% franked, approved to be paid in October 2026 • 100% of NPAT dividend payout of 86 cents per share for the full year, +11.7% on LY • Inventory well managed • Net Debt at period end of $40.3 million, reflects strong cash flow management while funding investment in the business • Debt facilities extended for 3 years with committed cash term debt facilities of $120 million enabling funding for all global expansion 9 (A$000s) FY26 FY25 Cash 46,735 42,633 Receivables 29,682 27,090 Current Tax Receivables 4,223 3,404 Inventories 70,733 81,137 Total current assets 151,373 154,264 Property Plant & Equipment 159,763 157,150 Lease Right of Use Assets 356,846 359,739 Intangibles 4,816 4,978 Deferred Tax Asset 23,239 22,302 Total assets 696,037 698,433 Payables 67,717 78,813 Lease Liabilities 87,829 82,869 Derivatives 413 840 Provisions 29,495 26,500 Total current liabilities 185,454 189,022 Lease Liabilities 331,166 339,774 Loans and borrowings 87,000 77,000 Deferred Tax Liability 1,163 1,711 Provisions 13,293 12,375 Total liabilities 618,076 619,882 Net assets 77,961 78,551
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STORE GROWTH Acceleration of global expansion with 160 new stores opened • 160 new stores opened in the financial year • 43 underperforming stores closed in FY26 • Continued rollout momentum during the year • Americas region saw continued momentum in both the US and Canadian markets • Strong base in Europe delivered the largest share of new store growth for the year with 76 new stores opened with highlights 34 new stores in the UK and 20 in Germany • 6 new franchise markets opened in the period in Reunion, Mauritius, Ghana, Kenya, Burkina Faso and Iraq • Trading from over 50 markets at year end, with a long runway for new store growth 10 Store number growth Country FY26 FY25 New Stores Relocations Closures Var YOY Australia 185 182 11 (4) (4) 3 New Zealand 32 32 3 (3) 0 0 Singapore 12 16 1 0 (5) (4) Malaysia 38 42 2 (1) (5) (4) Hong Kong 8 8 1 0 (1) 0 Taiwan 1 1 0 0 0 0 China 2 2 0 0 0 0 Vietnam 2 1 1 0 0 1 South Africa 89 87 5 (1) (2) 2 Namibia 4 4 0 0 0 0 Botswana 3 3 1 0 (1) 0 Zambia 2 1 1 0 0 1 United Kingdom 111 81 34 (2) (2) 30 Ireland 17 10 7 0 0 7 Spain 7 4 3 0 0 3 France 92 92 5 (1) (4) 0 Germany 80 64 20 0 (4) 16 Belgium 18 17 1 0 0 1 Netherlands 20 17 3 0 0 3 Austria 8 9 0 0 (1) (1) Luxembourg 3 3 0 0 0 0 Switzerland 9 8 1 0 0 1 Poland 19 22 0 0 (3) (3) Italy 12 13 1 0 (2) (1) Hungary 2 2 1 0 (1) 0 Romania 1 1 0 0 0 0 United Arab Emirates 5 5 2 0 (2) 0 USA 250 229 24 0 (3) 21 Canada 52 32 20 0 0 20 Mexico 5 5 0 0 0 0 Middle East/Africa Franchise 32 21 12 0 (1) 11 South America Franchise 15 17 0 0 (2) (2) Total Stores 1,136 1,031 160 (12) (43) 105
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STORE FITOUT UPGRADE CONTINUING • Continued investment in the store network • New Series 5 concept being rolled out globally • 53 Series 5 stores opened to date, 28 already scheduled for 1H FY27 Store in store piercing studio - Implementing a new fun customer experience Dynamic digital screens integration Refined and elevated stainless -steel finishes Optimised high efficiency lighting Enhanced aesthetics and ambiance 11
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12 Bullring Birmingham UK
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13 Eaton Centre Canada
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14 Glatt Switzerland
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15 Riccarton NZ
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16 Sydney Airport Australia
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TRADING UPDATE • Trading for the first 8 weeks of FY27 saw Total Sales for this period +16.4% (on a constant currency basis) on the same period in FY26. Comparable store sales for this period were +3.0% , with improving momentum in August • We continue to focus on opportunities for expanding both our physical and digital store network, with structures in place to drive this growth in existing and new markets and formats, with a long new store runway supporting continued store rollout momentum • Our balance sheet remains strong with available cash and debt facilities supporting continued investment in growth 17
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SUMMARY • Total Global Sales +17.6% on FY25 with Europe +29.5% and Americas +29.6% • 60bp improvement in Gross Margin to 82.6% • Global expansion continued with 160 new stores opened during the financial year, and a total network of 1,136 stores at year end • EBITDA +20.9% to $301.1m • EBIT +14.1% to $158.2m, with NPAT +10.7% to $95.6m • Cash flow from operations +21.0% to $294.5m • Final Dividend +22.2% to 33 cents per share to be paid in October • Solid start to FY27 with total sales (on a constant currency basis) +16.4% and comparable store sales +3.0% for the first 8 weeks , with improving momentum in August 18
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APPENDICES
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Some of the information contained in this presentation contains “forward-looking statements” which may not directly or exclusively relate to historical facts. These forward-looking statements reflect the current intentions, plans, expectations, assumptions and beliefs about future events of Lovisa Holdings Limited (LOV) and are subject to risks, uncertainties and other factors, many of which are outside the control of LOV. Important factors that could cause actual results to differ materially from the expectations expressed or implied in the forward-looking statements include known and unknown risks. Because actual results could differ materially from LOV’s current intentions, plans, expectations, assumptions and beliefs about the future, you are urged to view all forward-looking statements contained herein with caution. The financial information contained in this document is extracted from the audited financial statements of the company. APPENDIX 1
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ASIC Regulatory Guide 230 Disclosing non-IFRS financial information In December 2011 ASIC issued Regulatory Guide 230. To comply with this Guide, Lovisa Holdings Limited is required to make a clear statement about the non-IFRS information included in the Profit announcement and presentation for the financial year ended 28 June 2026. In addition to statutory report amounts, the following non-IFRS measures are used by management and the directors as the primary measures of assessing financial performance of the Group and Individual Segments: Non-IFRS measures used in describing the Business Performance include: • Earnings before interest tax (EBIT) • Earnings before interest, tax, depreciation, amortisation, impairment and loss on disposal (EBITDA) • Comparable Store Growth • Cost of Doing Business (CODB) In addition to the above the following non-IFRS measures are used by management and the directors to assess the underlying performance of the Group for the period. • Constant Currency Margin The directors consider that these performance measures are appropriate for their purposes and present meaningful information on the underlying drivers of the continuing business. Many of the measures used are common practice in the industry within which Lovisa operates. The Profit Announcement and presentation has not been audited or reviewed in accordance with Australian Auditing Standards. Definitions • EBITDA - Result from operating activities before Depreciation, Amortisation, Impairments and loss on disposal • EBIT - Result from operating activities • Comparable Store Growth - Sales performance compared to last periods for stores trading in the retail network greater than one year before foreign currency movements. • CODB – Cost of Doing Business, represents the difference between Gross Profit and EBITDA, excluding Other Income • Net Cash - Cash on hand less overdraft and borrowings
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THANK YOU