Highlights Strategy Update 2021-2025:
- Growth strategy structured around three areas: 1. digitalisation, 2. development of store network, and 3. roll-out of B2B and wholesale activities.
- Supported by a scalable, digitised backbone.
- Well-positioned to take advantage of major global trends shaping the industry.
- New set of medium-term objectives to underline ambition; leading to best-in-class cash generation to build equity, fund investments and resume dividends.
During the AGM,
BBH’s growth agenda 2025 is structured around three areas:
- Further digitalisation of the organisation and its online activities with a continuous acceleration of sales through our websites as well as through third-party platforms.
- Continuous development of store network in order to accommodate the changing customer needs.
- Further roll-out of the B2B and wholesale activities through expansion, both geographical and of assortment, and the development of a subscription model for B2C and B2B customers.
These three areas will be supported by a scalable, digitised backbone. Based on predictive data analytics, the back office will drive improvements throughout BBH and support smart and efficient business decisions.
New medium-term objectives 2025
As part of the strategy update, BBH shared the following company outlook towards 2025:
- Aim to double the business over the next 5 years.
- Accelerate online sales to achieve a channel share of at least 25% of total sales.
- EBITDA margin target to increase to 16-19%.
- Average annual CAPEX ~ 3% of
Net Sales over the period; not equally distributed over the
5 years (slightly higher in year 1-2). - Best-in-class cash generation to build equity, fund investments and resume distribution of dividends.
Dividend policy
BBH’s dividend policy focuses on maximising shareholder returns whilst maintaining a healthy capital position. BBH is confident that the strong positioning and favourable market trends will allow the company to return to distribution of dividends in line with its dividend policy. Subject to stable financial conditions, including solvency above 30% and a net-interest bearing debt-EBITDA ratio of below 2, the Company aims to pay a dividend of at least 50% of the net profit to shareholders.
CEO
Investor presentation
Later today a separate presentation will be held for the analysts’ community. The accompanying slide presentation can be accessed by visiting the Investor Relations page on BBH’s website www.beterbedholding.com following the presentation.
About
We believe that the better we sleep, the happier, healthier and more productive we are. And we won’t rest until everyone gets the high-quality sleep they deserve.
At year-end 2020, Beter Bed Holding’s 151 stores generated revenue of over € 222 million, with approximately 15% share of online revenue.
For more information
Press enquiries: Uneke Dekkers /
T +31 (0)20 575 4010 or M +31 (0)6 50261626
E uneke.dekkers@cffcommunications.nl
Please click below for the Pdf version of the press release. Press photos can be downloaded here.
Attachment
- press release
12-05-2021 AGM - voorbeurs
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