FY 2023 Prelims
March 2024
2024
About Portmeirion Group
2024 | 2 |
ABOUT PORTMEIRION GROUP
Who we are
1960 | 6 | 750+ | 80+ | |||
FOUNDED IN | CONSUMER | YEARS OF | MARKETS | |||
STOKE-ON- | HOMEWARE | COLLECTIVE | DISTRIBUTED | |||
TRENT | BRANDS | HERITAGE | TO WORLDWIDE | |||
- We are an omni-channel British homewares manufacturer and retailer
- An unrivalled portfolio of heritage and contemporary brands, comprising tableware, home fragrances and hand & body products
- Global demand across diversified international markets, including key geographies of the US, UK and South Korea
2024 | 3 |
ABOUT PORTMEIRION GROUP
Our brands
Beautiful tableware | Unmistakeable | The premier brand for | UK made home | Iconic mid-century | Refined design and |
taking inspiration from | homeware design | placemats | fragrance and body care | modern design in | heritage for the table |
nature | homewares and giftware | ||||
Since 1960 | Since 1770 | Since 1945 | Since 1980 | Since 1951 | Since 1751 |
2024 | 4 |
ABOUT PORTMEIRION GROUP
Our investment case
01
02
Owner, manufacturer and omnichannel retailer of leading homeware brands globally
Sales model and brand heritage offers worldwide diversification and revenue visibility
03 | Proven capital-light and well developed, self funded | |
growth strategy | ||
04 | Substantial margin improvement opportunity to | |
transform profitability | ||
05 | Strong balance sheet, cash generative and dividend paying |
2024 | 5 |
ABOUT PORTMEIRION GROUP
Confident vision
Significant opportunity for long-term revenue growth
Leveraging brands through global geography and omni-channel routes to market
Medium term operating margin target of 10%
2024 | 6 |
ABOUT PORTMEIRION GROUP
Long term track record
Revenue - £m
120.0
100.0
80.0
60.0
40.0
20.0
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Adj. Pre-tax Profit - £m
10.0
8.0
6.0
4.0
2.0
0.0
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
- LT track record of sales growth and profitability even in toughest of macro conditions
- Opportunity and strategy in place to return to historical levels of operating margin & profitability
2024 | 7 |
ABOUT PORTMEIRION GROUP
High class global customer list
UK | USA | CANADA | GLOBAL | |||
KOREA | CHINA | MEXICO | AUSTRALIA |
MALAYSIA
2024 | 8 |
OVERVIEW
FY 23 overview
- Sales & underlying PBT in line with revised market expectations
- US & Asia markets challenging, but great progress on what we can control:
- Strong ROW market development
- Significant home fragrance sales improvement
- GM% up 130bp in US
- Much improved FCF, reduced net debt
- Significant leaner cost base from 2024 ( 10% /£4m lower)
- Dividends reduced in short term; prioritise debt and interest reduction
- Expect to return to modest growth in UK, US, ROW in 2024 with improving margins but lower South Korean sales in short term will impact H1 2024
- Focus on operating margin growth 2024 through 2026
2024 | 9 |
OVERVIEW
FY 2023 performance
- Sales fall 7% versus record 2022 sales due to stock rebalancing and macro conditions in US & South Korea
- Sales remain 11% ahead of 2019 pre-Covid levels
- 130 bp gross margin improvement in US
- Wax Lyrical sales rebound up 24%
- ROW sales growth continues + 16%
- Net debt reduced 20% driven by ongoing inventory reduction
- Dividend reduced in short term as we prioritise debt and interest cost reduction
2023 | 2022 | 2019 | 2023 v | 2023 v | |
2022 | 2019 | ||||
£m | £m | £m | |||
Change | Change | ||||
Revenue | 102.7 | 110.8 | 92.8 | -7% | +11% |
Headline* profit | 3.0 | 8.0 | 7.4 | -62% | -59% |
before tax | |||||
Headline* | |||||
operating profit | 4.7% | 7.8% | 8.4% | -3.1% | -3.7% |
margin | |||||
Headline* EPS | 21.36p | 46.59p | 56.32p | -54% | -62% |
Dividends | 5.50p | 15.50p | 8.00p | -10.00p | -2.50p |
Net debt | (7.9) | (10.1) | (12.3) | 2.2 | 4.4 |
*Headline numbers exclude exceptional items; acquisition and restructuring costs.
2024 | 10 |
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Portmeirion Group plc published this content on 12 April 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 12 April 2024 12:31:30 UTC.