Elektroimportøren : Elektroimportøren's results for 2nd quarter 2022 (PDF)

Quarterly report Q2 2022

AS

elektroimportoren

elektroimportoren

#QuarterlyreportQ22022 #elektroimportoren

Q U A R T E R L Y R E P O R T Q 2 2 0 2 2 E L E K T R O I M P O R T Ø R E N A S

To our shareholders

Q2 became more challenging than expected. We started off well, with sales growth in both B2B and B2C in April. As we moved into May and June B2C sales declined, but B2B continued to grow. In Sweden, Elbutik experienced an opposite development where April was the most challenging month, and June the best compared to last year.

Total sales of 358 MNOK (321 MNOK) generating a growth of 11.6%. Our greatest challenge has been to grow our online business on top of extraordinary growth last year.

Total gross margin of 126 MNOK (120 MNOK) generating a gross margin percentage of 35.1% (37.4%). Margin dilution is due to increased B2B share of business and lower margins in Sweden compared to the Norwegian operation.

Cost control have been good. With 3 new stores and doubling the size of our central warehouse we managed to keep a cost to sales ratio of 21.5% compared to 21% last year. EBITDA of 48.8 MNOK (52.8 MNOK).

Based on audited figures for 2021 the cash part of the purchase price for Elbutik Scandinavia AB was reduced with 19 MSEK.

During the quarter we have continued the integration of Elbutik. Migrating IT systems, setting up a new management structure and project teams. We are expanding the warehouse capacity, and setting up more efficient logistics with the target to have our Swedish business fully integrated by the end of the year. We are finalizing an agreement for a new central warehouse and head office, and plans are to move into new facilities Q3 2023.

We have signed a lease agreement for our first Swedish store which will open Q1 2023 in the greater Stockholm area (Barkarby/Veddesta).

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Q U A R T E R L Y R E P O R T Q 2 2 0 2 2 E L E K T R O I M P O R T Ø R E N A S

There are still some suppliers that are facing supply difficulties on certain products, but overall we have good availability. We do not foresee any major supply chain issues going forward. Conversion rate in stores continues to be good and landed at 61% for the quarter. Basket size is up 3% compared to last year, and Namron share of business was at 30.8 % which is a slight increase from last year.

Spoton continues its good development and we delivered 740 installations in Q2 generating 7.4 MNOK turnover compared to 4.3 MNOK last year.

Q2 has been a challenging quarter in terms of growth, but we believe that the most challenging comparable numbers are behind us. During July we have taken further actions to protect our gross margins, our business integration in Sweden is going according to plan, and we have our peak season coming up in the months to come. In the coming weeks, all our employees will be making the final preparations for peak season, and in August we will gather all our teams for product and sales training. I look forward to meeting them all and personally thank each and every one of them for the great job they are doing.

Yours sincerely

Andreas Niss, CEO Elektroimportøren

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Q U A R T E R L Y R E P O R T Q 2 2 0 2 2 E L E K T R O I M P O R T Ø R E N A S

Summary of key financials in Q2

• Revenue of 358.3 MNOK (320.8 MNOK) up 11.6%
• Like-for-likesales have been reduced with 2.4%
• Online share of total sales (excluding pick up in store) 18.9%
• B2B sales increased with 8.4% compared to last year while B2C sales including Elbutik increased with 15.3%.
• B2B share of total sales was 50.7% (52.2%).
• Sale of Electrical Vehicle chargers have continued to increase significantly. Total sales Q2 with
  47.6 MNOK (34.4 MNOK).
• Sale of full service product offer Spoton continues with positive development with 7.4 MNOK (4.3 MNOK)
• The overall Gross margin percentage of 35.1% (37.4%). Key drivers for reduced margin percentage development are;
• • Increased share of sales to B2B
  • Sales mix (EV chargers. Spoton)
  • Share of sales Elbutik
  • Development in freight costs

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Q U A R T E R L Y R E P O R T Q 2 2 0 2 2

• As we have three more stores compared to last year and a small negative like-for-like sales growth we see an increase in Opex to sales ratio 21.5% (21.0%).
• Reported EBITDA of 48.8 MNOK (52.8 MNOK). EBITDA margin percentage is 13.6% (16.5%)
• We are utilizing 45.7 MNOK of our overdraft facility. Main drivers for net cash development in Q2 are payment of dividends, tax payment, and vacation allowances.

E L E K T R O I M P O R T Ø R E N A S

Like for Like growth %

Adjusted EBITDA

Market growth B2B

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