Slides
Page 1
2025 ANNUAL GENERAL MEETING For personal use only
Page 2
IMPORTANT NOTICE AND DISCLAIMER 2 2 This management presentation (“Presentation”) has been prepared by Shaver Shop Group Limited ACN 150 747 649 (“Shaver Shop”) and contains general background information about Shaver Shop, its subsidiaries and their activities which is current at the date of this Presentation. Summary Information The information contained in this Presentation is of a general nature and does not purport to be complete, nor does it contain all the information which a prospective investor may require in evaluating a possible investment in Shaver Shop or that would be required in a prospectus or product disclosure statement prepared in accordance with the requirements of the Corporations Act 2001 (Cth). This Presentation should be read in conjunction with Shaver Shop’s other periodic and continuous disclosure announcements lodged with ASX, which are available at www.asx.com.au (Shaver Shop ASX Code: SSG). This Presentation is not intended to be relied upon as advice to investors or potential investors in Shaver Shop, and does not take into account the investment objectives, financial situation or needs of any particular investor. These should be considered, with or without professional advice, when deciding if an investment is appropriate. Disclaimer Neither Shaver Shop, its related bodies corporate, nor any of their respective officers, directors, employees, advisers and agents (Shaver Shop Parties) warrant the accuracy or reliability of the information contained in this Presentation. To the maximum extent permitted by law, each of the Shaver Shop Parties disclaims any responsibility and liability flowing from the use of the information contained in this Presentation by any party. To the maximum extent permitted by law, the Shaver Shop Parties do not accept any liability to any person, organisation or entity for any loss or damage suffered as a result of reliance on this Presentation. Past performance Past performance, including past share price performance and historical information in this Presentation, is given for illustrative purposes only and cannot be relied upon as an indicator of, and provides no guidance as to, future performance of Shaver Shop, including future share price performance. The historical information contained in this Presentation is not represented as being indicative of Shaver Shop’s views on its future financial condition and/or performance. Forward looking statements This Presentation contains certain forward looking statements and comments about future events, including Shaver Shop’s expectations about the performance of its business. Forward looking statements can generally be identified by the use of forward looking words such as ‘expect’, ‘anticipate’, ‘likely’, ‘intend’, ‘should’, ‘could’, ‘may’, ‘predict’, ‘plan’, ‘propose’, ‘will’, ‘believe’, ‘forecast’, ‘estimate’, ‘target’ and other similar expressions. Indications of and any guidance on future earnings or financial position or performance of Shaver Shop are also forward looking statements. Forward looking statements involve inherent risks and uncertainties, both general and specific, and there is a risk that such predictions, forecasts, projections and other forward looking statements will not be achieved. Shaver Shop’s 2024 Consolidated Financial Report contains details of a number of key risks associated with an investment in Shaver Shop. Many of these risks are beyond the control of Shaver Shop. Should one or more of these or other risks or uncertainties materialise, or should any assumption underlying any forward looking statement contained in this Presentation prove incorrect, Shaver Shop’s actual results may differ materially from the plans, objectives, expectations, estimates, and intentions expressed in the forward looking statements contained in this Presentation. As such, undue reliance should not be placed on any forward looking statement. Shaver Shop is providing the information contained in this Presentation as at the date of this Presentation and, except as required by law or regulation (including the ASX Listing Rules), does not assume any obligation to update any forward looking statements contained in this Presentation as a result of new information, future events or developments or otherwise. Pro-forma and normalised financial information This Presentation may contain pro-forma and normalised financial information. The pro-forma and normalised financial information and past information provided in this Presentation is for illustrative purposes only and is not represented as being indicative of Shaver Shop’s views on its future financial condition and/or performance. This financial information has been prepared by Shaver Shop in accordance with the measurement and recognition requirements, but not the disclosure requirements, of applicable accounting standards and other mandatory reporting requirements in Australia. Shaver Shop uses certain measures to manage and report on its business that are not recognised under Australian Accounting Standards. These measures are referred to as non-IFRS financial information. Shaver Shop considers that this non-IFRS financial information is important to assist in evaluating Shaver Shop’s performance. The information is presented to assist in making appropriate comparisons with prior periods and to assess the operating performance of the business. In particular this information is important for comparative purposes with normalised results across financial periods.. For a reconciliation of the non-IFRS financial information contained in this Presentation to IFRS-compliant comparative information, refer to the Directors Report that forms part of the Shaver Shop Group Limited Consolidated Financial Report that has been lodged with the ASX. All dollar values in this Presentation are in Australian dollars (A$), unless otherwise specified. 2 For personal use only
Page 3
AGENDA Chair’s Address 04 CEO & MD’s Address 09 Items of Business 15 General Questions 25 AGM Presentation 2025 3 For personal use only
Page 4
CHAIR’S ADDRESS 01 For personal use only
Page 5
5 AGM PRESENTATION SHAVER SHOP’S BOARD OF DIRECTORS Brodie Arnhold, Chair Craig MathiesonTrent Peterson Debra Singh Cameron Fox, MD & CEO Independent, non-executive directors Executive director For personal use only
Page 6
SHAVER SHOP IS A LEADING SPECIALTY RETAILER WITH A UNIQUE PERSONAL CARE BUSINESS MODEL IN ANZ AGM Presentation 2025 6 Founded in 1986 Trusted and respected specialty retail brand with high AU brand awareness of c.87% - highly differentiated model with lack of direct competition 126 stores 116 AU stores and 10 NZ stores 100% corporate-owned Differentiated model Exceptional customer service and product knowledge - many key brands and products exclusive to SSG Conservative balance sheet & strong cash flow conversion No debt and $30m undrawn debt facilities Strong dividend yield Fully franked dividends of 10.3 cents/share in FY25 Experienced management team Average tenure of executive leadership team – 11.6 years Omni-channel excellence Online sales c.23% of total sales in FY25 Market leader in growth sector DIY grooming, personal care, hair and beauty appliances for men and women – focussed on premium products For personal use only
Page 7
AGM Presentation 2025 7 STRONG BUSINESS FUNDAMENTALS WITH GROWTH INITIATIVES DELIVERING TO PLAN Store Network Optimisation Range Expansion (category creep into adjacencies, product innovation) Strategic Category Management (Exclusives, leadership in range breadth and depth, private brand) Conservative balance sheet and proven profitability to support investment “Customer obsession” x “scale, experience, data and insights” drive profitability Well-established and consistently profitable store network Market leader and #1 specialist in our core categories Excellence in team training, product knowledge and customer service drive brand loyalty Attractive and growing market – particularly men’s grooming Business Fundamentals 3 Key Growth Strategies Proven omni-channel capability For personal use only
Page 8
SHARE PRICE AND DIVIDEND HISTORY AGM Presentation 2025 8 4.0 4.2 4.5 4.8 8.2 10.0 10.2 10.2 10.3 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 Dividends per share (cents) 0 0.20 0.40 0.60 0.80 1.00 1.20 1.40 1.60 1.80 Jul 16 Jan 17 Jul 17 Jan 18 Jul 18 Jan 19 Jul 19 Jan 20 Jul 20 Jan 21 Jul 21 Jan 22 Jul 22 Jan 23 Jul 23 Jan 24 Jul 24 Jan 25 Jul 25 Closing share price ($) For personal use only
Page 9
CEO & MD’S ADDRESS 02 For personal use only
Page 10
FY2025 KEY HIGHLIGHTS Sales Another solid performance in FY25 with strategic category management and pricing strategies driving record gross margin result of 45.5% and EBIT growth of 2.4% AGM Presentation 2025 10 Gross profit $219m $ 22.5 m45.5% $3.9 m 10.3¢ 89 (up 2.1% or $2.1m) Gross profit margin EBIT up 2.4% to (record high – up 110bps on FY24) Operating cash flow $ 23.6m Net cash (at 30 June 25) per share (100% franked) (out of 100) Dividends Net promoter score (down 0.4% vs FY24) $ 99.5 m For personal use only
Page 11
FINANCIAL TRENDS RELATIVELY FLAT SALES AND INFLATIONARY OPERATING COST PRESSURES HAVE BEEN ABLE TO BE LARGELY OFFSET BY HIGHER GROSS PROFIT MARGINS AGM Presentation 2025 11 194.9 213.7 222.7 224.5 219.4 218.6 FY20 FY21 FY22 FY23 FY24 FY25 41.9% 44.3% 43.9% 44.5% 44.4% 45.5% FY20 FY21 FY22 FY23 FY24 FY25 81.6 94.7 97.7 99.9 97.5 99.5 FY20 FY21 FY22 FY23 FY24 FY25 16.8 26.4 25.9 25.8 21.9 22.5 FY20 FY21 FY22 FY23 FY24 FY25 Total sales ($m) Gross profit dollars ($m) Gross margin (%) Earnings before interest and tax (EBIT) ($m) For personal use only
Page 12
TRANSFORM-UTM SUCCESS DRIVEN BY SHAVER SHOP’S DEEP CUSTOMER KNOWLEDGE AND FILLING GAPS IN OFFERING • Fundamental driver of Shaver Shop launching Transform-UTM private brand was to fill gaps in range (quality, performance and/or price point driven) • These gaps were unable to be effectively sourced from the major global brands • Shaver Shop leveraged (and continues to) its deep domain knowledge of our customers and the sector to develop high quality, value for money products that perform • All products undergo extensive testing to ensure they met our desired expectations • Range has been expanded in time for peak Q2 FY26 trading with additional: – Trimmers – Clippers – Shavers – Nose & ear trimmers – Body groomers – Accessories (e.g. clipper guides) – Bundled offers • Transform-UTM branded products generate higher gross margins (generally speaking) than company average but primary focus is selling customers what they need and offering compelling value for money Key learnings so far • We need to back our understanding of the customer even more • Shaver Shop’s adaptable and entrepreneurial spirit underpins Transform-UTM success • Need to balance higher Transform-UTM gross margin with potential impact on average sale value • Demand forecasting can be challenging – e.g. need to replenishing quickly if initial sell through is strong • Higher stock cover on key lines is required to mitigate supply chain delays • Our approach to testing and validating product quality is working (high product ratings, low return rates) AGM Presentation 2025 12 For personal use only
Page 13
• Accelerate Transform-UTM momentum – Continue to identify and fill gaps in range that meet customer needs • Secure additional exclusive distribution brands for ANZ market (e.g. Mangroomer range secured for Q2 FY25 launch) • Continue category creep with new brands and categories • Further improve social media progress made in FY25 – Higher number of reels and posts – Increased followers across all social channels – Higher engagement with increased sales conversion • Continue store network optimisation program – Store format evolution (e.g. larger footprints) – Relocations – Refits – Selected new stores (3 secured to date) • Drive increased efficiency and extract learnings from Shaver Shop’s first (small) warehouse operation AGM Presentation 2025 13 FY26 KEY PRIORITIES For personal use only
Page 14
Sales results year to date (1 July 25 to 10 Nov 25 – “YTD”) AGM Presentation 2025 14 TRADING UPDATE • Total sales YTD are up 3.3% and like for like sales are up 1.7% over the first19 weeks of FY26 • Higher transaction volumes (supported by higher in-store sales conversion) has more than offset slight reductions in average transaction values • Online sales are up 10.8% and in-store sales are up 1.4% • Gross profit margins continue to trend above last year – noting Transform- UTM did not launch until end of October 2024 • Promotional campaigns for peak trade in Q2 FY26 are finalised with clear priorities established and communicated across the group and strong stock cover for key lines • Cautiously optimistic for the key trading period ahead • Consistent with prior years, and having regard to the materiality of the Black Friday, Christmas and Boxing Day trading periods to Shaver Shop’s half- year and full-year results, it is not appropriate to provide FY26 sales or earnings guidance at this time. Sales growth rate vs FY25 YTD Total sales growth 3.3% Like for like sales growth 1.7% In-store sales growth 1.4% Online sales growth 10.8% For personal use only
Page 15
ITEMS OF BUSINESS 03 For personal use only
Page 16
To receive and consider the Financial Report, Directors’ Report and Auditor’s Report of the Company and its controlled entities for the financial year ended 30 June 2025. Note: There is no vote on this item of business. AGM Presentation 2025 16 1. FINANCIAL AND OTHER REPORTS For personal use only
Page 17
“That pursuant to and in accordance with section 250R(2) of the Corporations Act 2001 (Cth) and for all other purposes, the Remuneration Report (which forms part of the Directors’ Report) in respect of the financial year ended 30 June 2025 be adopted.” AGM Presentation 2025 17 2. ADOPTION OF REMUNERATION REPORT For personal use only
Page 18
2. ADOPTION OF REMUNERATION REPORT The Chair of the Meeting intends to vote all available proxies in favour of this resolution. AGM Presentation 2025 18 Voting Results Proxies Received # votes % votes For 34,227,378 96.66% Open 578,738 1.63% Against 604,136 1.71% Abstain1 103,689 1 Abstain votes are provided for information only and are not included in the calculation of Total Valid Available Votes For personal use only
Page 19
“That Brodie Arnhold, who retires by rotation in accordance with the Company’s Constitution and ASX Listing Rules 14.4 and 14.5 and, being eligible for election, be re- elected as a Director of the Company.” AGM Presentation 2025 19 3. RE-ELECTION OF DIRECTOR – MR. BRODIE ARNHOLD For personal use only
Page 20
3. RE-ELECTION OF DIRECTOR – MR BRODIE ARNHOLD The Chair of the Meeting intends to vote all available proxies in favour of this resolution. AGM Presentation 2025 20 Voting Results Proxies Received # votes % votes For 29,871,289 75.81% Open 578,738 1.47% Against 8,952,041 22.72% Abstain1 194,449 1 Abstain votes are provided for information only and are not included in the calculation of Total Valid Available Votes For personal use only
Page 21
“That, pursuant to and in accordance with exception 13(b) of ASX Listing Rule 7.2, for the purposes of sections 259B(2) and 260C(4) of the Corporations Act 2001 (Cth) and for all other purposes, the employee incentive scheme of the Company known as the Shaver Shop Executive Long Term Incentive Plan and the issue of Securities under that plan, on the terms and conditions described in the Explanatory Notes, be approved.” AGM Presentation 2025 21 4. APPROVAL OF SHAVER SHOP EXECUTIVE LONG TERM INCENTIVE PLAN For personal use only
Page 22
4. APPROVAL OF SHAVER SHOP EXECUTIVE LONG TERM INCENTIVE PLAN (“ELTIP”) The Chair of the Meeting intends to vote all available proxies in favour of this resolution. AGM Presentation 2025 22 Voting Results Proxies Received # votes % votes For 34,015,200 95.96% Open 626,599 1.77% Against 804,893 2.27% Abstain1 67,249 1 Abstain votes are provided for information only and are not included in the calculation of Total Valid Available Votes For personal use only
Page 23
“That for the purposes of ASX Listing Rule 10.14 and for all other purposes, the issue to the CEO and Managing Director of the Company, Mr Cameron Fox, of up to 450,000 Performance Share Rights as a long- term incentive on the terms and conditions described in the Explanatory Notes be approved.” AGM Presentation 2025 23 5. APPROVAL OF ISSUE OF SECURITIES UNDER THE SHAVER SHOP ELTIP TO CEO AND MANAGING DIRECTOR For personal use only
Page 24
5. APPROVAL OF ISSUE OF SECURITIES UNDER THE SHAVER SHOP ELTIP TO CEO AND MD The Chair of the Meeting intends to vote all available proxies in favour of this resolution. AGM Presentation 2025 24 Voting Results Proxies Received # votes % votes For 33,951,495 95.86% Open 656,365 1.85% Against 810,418 2.29% Abstain1 95,663 1 Abstain votes are provided for information only and are not included in the calculation of Total Valid Available Votes For personal use only
Page 25
GENERAL QUESTIONS 04 For personal use only
Page 26
2025 ANNUAL GENERAL MEETING THANK YOU For personal use only