MAISONS DU MONDE’S CAPITAL MARKETS DAY: GROUP TARGETS SALES BETWEEN
1.8 AND 1.9 BILLION EUROS WITH AN EBIT MARGIN OF c. 11% IN 2025 AND
PLANS TO GENERATE c.350 MILLION EUROS FREE CASH FLOW OVER THE NEXT
4 YEARS
PRESS RELEASE
MAISONS DU
MONDE’S CAPITAL MARKETS
DAY:GROUP TARGETS
SALES BETWEEN 1.8 AND 1.9
BILLION EUROSWITH
AN EBIT MARGIN OF
c. 11%
IN 2025
ANDPLANS TO GENERATE
c.350 MILLION
EUROS FREE CASH FLOW OVER THE NEXT 4
YEARS
-
Medium-term financial
performance objectives:
- GMV:
above 2 billion
euros in 2025
- Sales: high
single-digit CAGR
over the
2022-2025 period, to
reach annual sales
between 1.8 and
1.9 billion
euros in 2025
- EBIT
margin: c.
11% by 2025
- FCF:
c. 350 million
euros
cumulated over
the 2022-2025
period
- Dividend
payout ratio: 30% to 40%
over the plan
- 2025 company profile:
- Digital to represent
c. 60% of total
sales, of which c.
40% online and
c. 20%
click-in-store
- International
to account for 48-50% of
total sales
- Taking
ESG to the next level:
- Achieving carbon neutrality in
2022 on scopes 1 & 2
and reducing
carbon intensity of
global footprint by 25% by 2025
- Converting
40% of offering into
responsible products
- Promoting
diversity & inclusion in the
workforce
- Reinforcing supplier
governance
|
NANTES – 08 November 2021, 19:30 CET – Maisons
du Monde (Euronext Paris: MDM; ISIN: FR0013153541), the European
leader in inspirational and affordable home & living, today
held its Capital Markets Day during which it unveiled its
medium-term financial objectives.
Julie Walbaum, Chief Executive Officer of
Maisons du Monde, commented:
“We just held our Capital Markets Day during
which we shared our vision to become the most desirable and
sustainable home and living brand in Europe as well as our ambition
to create sustainable value for all our stakeholders, while
continuing to deliver high growth.
This ambition is served by our
direct-to-consumer love brand, our distinctive omnichannel and
pan-European business model and our robust financial profile that
delivers increasing shareholder returns. In addition, Maisons du
Monde plans to further strengthen its industry leadership on ESG
matters, in line with the company purpose we have just
released.
We are confident we can achieve this ambitious
plan thanks to our growing and loyal customer communities, and to
the talent and commitment of all our teams, of whom I am
particularly proud.”
Capital Markets Day
Highlights
Sales
target: 1.8 -
1.9 billion euros in
2025
Maisons du Monde is targeting full-year 2025
sales of between 1.8 and 1.9 billion euros, through a high
single-digit sales growth CAGR over the 2022-2025 period. The 500
to 600 million euros increase over the period will be equally
weighted between:
- An expanded online
activity (direct sales and marketplace), the GMV of which is
expected to post a 15% to 20% CAGR over the 2022-2025 period,
- Growing store
sales, including 30-50 net store openings over the plan, mostly
outside France.
By channel, we expect that by 2025, digital will
represent c. 60% of total sales, approximately two thirds of which
is coming from online direct sales and the remainder from the
further development of click-in-store purchases. The marketplace is
expected to reach 200-250 million euros of GMV by 2025 and should
represent around 25% of online sales.
In terms of geographical split, approximately
half of the growth is expected to come from France, 30% from our
established international footprint (Italy, Spain, Belgium and
Luxembourg) and the remaining 20% coming from our new markets
(Germany, Switzerland, the UK, the Netherlands, Portugal and
Austria).
Profitability
target: EBIT margin c. 11% by
2025
The Group expects to generate close to 200
million euros of EBIT in 2025, with an associated margin of around
11%. This represents a 150 to 200 basis point increase compared to
the 9.0% to 9.5% of our 2021 EBIT margin guidance range. About half
of this improvement will be reflected in EBITDA thanks to a stable
gross margin, including the accretive effect of the marketplace,
more efficient logistics and SG&A cost optimization. The other
half will be achieved in light of lower D&A via a more digital
model and a disciplined capex plan.
Free Cash Flow: 350 million
euros over the
plan…
The Group expects to deliver c. 350 million
euros of cumulative free cash flow over the 2022-2025 period
through:
- Leveraging its
profitable growth model and low debt level,
- Maintaining strict
discipline on capex allocation, and
- Optimizing its
working capital requirement level.
… funding growth and fueling shareholder
return: 30%-40% payout
ratio over 2022-2025
In the near term, Maisons du Monde plans to
bring its inventory back to a normalized level and to keep
strengthening its organization to secure its capacity to create
sustainable value over time. Over the medium term, the Group will
have the financial ability to explore new revenue streams as
opportunities arise. Cash return to shareholders will remain at a
high level throughout the plan, with a payout ratio between 30% and
40%.
Reinforced ESG commitments
Maisons du Monde has just released its company
purpose: “Inspiring everyone to open up to the world so that we
create unique, heartful and sustainable places, together.” In the
light of this vision, the strategic importance of ESG has been
reinforced and the Group has set several ambitious targets over the
2022-2025 timeframe:
- Achieving carbon
neutrality in 2022 on scopes 1 & 2 and reducing carbon
intensity of its global footprint by 25% by 2025,
- Converting 40% of
its offering into responsible products,
- Promoting diversity
& inclusion in the workforce, and
- Strengthening
supplier governance.
Capital Markets Day 2021
webcast rebroadcast
Maisons du Monde held its Investors Day in Paris today to
present its strategic plan for the period 2022-2025 and its new
financial objectives. The replay of the event is available at:
https://www.yuca.tv/en/maisonsdumonde/mdmcmd2021
The presentation material is posted online in the “Finance”
section on the Maisons du Monde website, accessible from this
link:
https://corporate.maisonsdumonde.com/fr
***
Disclaimer: Forward Looking
Statement
This press release contains certain statements
that constitute "forward-looking statements," including but not
limited to statements that are predictions of or indicate future
events, trends, plans or objectives, based on certain assumptions
or which do not directly relate to historical or current facts.
Such forward-looking statements are based on management's current
expectations and beliefs and are subject to a number of risks and
uncertainties that could cause actual results to differ materially
from the future results expressed, forecasted or implied by such
forward- looking statements. Accordingly, no representation is made
that any of these statements or forecasts will come to pass or that
any forecast results will be achieved. Any forward-looking
statements included in this press release speak only as of the date
hereof and will not give rise to updates or revision. For a more
complete list and description of such risks and uncertainties,
refer to Maisons du Monde’s filings with the French Autorité des
marchés financiers.
***
About Maisons du Monde
Maisons du Monde, a uniquely positioned and
beloved brand across Europe, stands as the European leader in
inspirational and affordable home & living. It offers a wide
and constantly renewed range of furniture and home accessories
across multiple styles. Creativity, inspiration and engagement are
the brand’s core pillars. Leveraging its distinctive
direct-to-consumer omnichannel model, the company generates over
50% of its sales digitally, through its online platform and
in-store digital sales and operates 350 stores across 9 European
countries. End 2020, the Group launched a curated marketplace to
complement its offering and become the reference one-stop shop in
inspirational and affordable home and living. In November 2021,
Maisons du Monde unveiled its company purpose: “Inspiring everyone
to open up to the world, so that we create unique, heartful and
sustainable places, together.”
corporate.maisonsdumonde.com
***
Contacts |
|
Investor Relations |
Press Relations |
Christopher Welton – +33 7 85 70 71 41 |
Fanny Le Gloanic – +33 6 37 55 27 76 |
cwelton@maisonsdumonde.com |
flegloanic@maisonsdumonde.com |
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