2015 First Half Results
30 July 2015
SLIDE 2
DISCLAIMER
This presentation has been prepared by YOOX S.p.A. for information purposes only and for use in presentations of the Group’s results and strategies. For further details on the YOOX Group, reference should be made to publicly available information. Statements contained in this presentation, particularly regarding any possible or assumed future performance of the Group, are or may be forward-looking statements based on YOOX S.p.A.’s current expectations and projections about future events, and in this respect may involve some risks and uncertainties. Actual future results for any quarter or annual period may therefore differ materially from those expressed in or implied by these statements due to a number of different factors, many of which are beyond the ability of YOOX S.p.A. to control or estimate precisely, including, but not limited to, the Group’s ability to manage the effects of uncertain current global economic conditions on the business and to predict future economic conditions, the Group’s ability to achieve and manage growth, the degree to which YOOX S.p.A. enters into, maintains and develops commercial and partnership agreements, the Group’s ability to successfully identify, develop and retain key employees, manage and maintain key customer relationships and maintain key supply sources, unfavourable development affecting consumer spending, the rate of growth of the Internet and online commerce, competition, fluctuations in exchange rates, any failure of information technology, inventory and other asset risk, credit risk on the Group’s accounts, regulatory developments and changes in tax laws. YOOX S.p.A. does not undertake any obligation to publicly release any revisions to any forward-looking statements to reflect events or circumstances after the date of this presentation. Any reference to past performance of the YOOX Group shall not be taken as an indication of future performance. This document does not constitute an offer or invitation to purchase or subscribe to any shares and no part of it shall form the basis of or be relied upon in connection with any contract or commitment whatsoever. By attending the presentation you agree to be bound by the foregoing terms.
SLIDE 3
AGENDA
YOOX GROUP FIRST HALF 2015 RESULTS
– RESULTS HIGHLIGHTS AND LATEST BUSINESS DEVELOPMENTS – FINANCIAL ANALYSIS
UPDATE ON INTEGRATION AND MERGER PROCESS
Q&A
SLIDE 4
FIRST HALF ENDED 30 JUNE 2015 - RESULTS HIGHLIGHTS
1.Retail value of sales of all the mono-brand online stores, including the JV online store sales to final customers, net of returns and customer discounts. Set-up, design and maintenance fees for the mono-brand online stores, accounted for within “Not Country Related”, are excluded
2.Adjusted Net Income calculated by adding back to Net Income the costs associated with share-based incentive plans and the non-recurring items related to the merger with The Net-A-Porter Group in each period, net of their related tax effect. Non-recurring items mainly include legal, fiscal, accounting, valuation and strategic advisory consulting fees as well as general administrative costs related to the transaction
Note: Figures as absolute values and in percentages are calculated using precise financial data. Some of the differences found in this presentation are due to rounding of the values expressed in millions of Euro
Group’s Net Revenues at €285m, up 20% (+15% at constant FX) compared
with €238m in 1H 2014
− Acceleration in revenue growth in 2Q 2015 (+23%) driven by both
business lines, Europe and Asia Pacific and supported by FX tailwinds
− Strong performance of both business lines: Multi-brand Net Revenues
up 19%; Mono-brand net revenues up 21% and GMV1 up 30%
EBITDA Excluding Incentive Plan Costs at €19.2m, with a margin of 6.7%
(vs. 7.9% in 1H 2014) reflecting anticipated greater marketing investments
to support increased buying for yoox.com and higher corporate costs
Adjusted Net Income2 excluding non-recurring items related to the merger
and incentive plan costs at €4.4m (vs. €3.2m in 1H 2014)
Net Debt at €8.5m as at June 2015 (vs. Net Cash of €31.0m as at
December 2014)
SLIDE 5
LATEST BUSINESS DEVELOPMENTS
YOOX.COM
New Travel area launched worldwide to complement YOOX’s lifestyle DNA with dedicated editorial content and shopping ideas around travel: an edited
assortment of yoox.com’s off-season fashion and in-season travel essentials that
customers can navigate by destination
Diversified marketing mix across different customer touchpoints
– TV ad in Italy (June) and, for the first time ever, also in the US (July) where
over the first week app downloads increased by 335%1
– Digital billboard in Milan to coincide with EXPO
– Innovative collaboration with Facebook for customised product
recommendations across devices and news feeds based on user’s browsing
and shopping behaviour
– Further enrichment of brand portfolio (Proenza Schouler, Giambattista Valli
and many more)
Hit the 1 million mark of app downloads
THECORNER.COM AND SHOESCRIBE.COM
Further enhancement of brand assortment:
– Alexander McQueen, Chloé and Versace on thecorner.com
– Alexander McQueen, Isabel Marant and Nicholas Kirkwood on shoescribe.com
1.Relates to the first week of the TV ad compared to the week before airing
SLIDE 6
LATEST BUSINESS DEVELOPMENTS
MONO-BRAND
Partnership with Y-3 (Adidas fashion line) renewed for a further 5 years until 2020
Redvalentino.com extended to China in July 2015
PLATFORM INNOVATIONS
Development of new internally engineered automated equipment to photograph
skirts and trousers
Cross channel roll-out ongoing: Buy On Call and Click For Fashion Advice
features added to the suite of services offered
Ship From Store & Same-Day Delivery
Integrated Loyalty Program
Database Integration
Cross-Channel Gift Card
Click & Collect or Reserve
Return In Store
Click From Store
Click & Exchange
Buy On Call Click For Fashion Advice
Book a Tailoring Appointment
Check In-Store Availability Online
Augmented Visual Merchandising
Multi-Channel Delivery
Personalised interactions
across channels
Consistent experience
across channels
Luxury Value Added
Services
Flexible Fulfillment and Return
Options
SLIDE 7
AGENDA
YOOX GROUP FIRST HALF 2015 RESULTS
– RESULTS HIGHLIGHTS AND LATEST BUSINESS DEVELOPMENTS – FINANCIAL ANALYSIS
UPDATE ON INTEGRATION AND MERGER PROCESS
Q&A
SLIDE 8
KEY PERFORMANCE INDICATORS1
Monthly Unique Visitors (m)2 # Orders (‘000) - Group
Active Customers3 (‘000) - Group4
1.Key performance indicators do not include the Joint Venture with Kering 2.Source: SiteCatalyst for yoox.com; Google Analytics for thecorner.com, shoescribe.com and the mono-brand online stores “Powered by YOOX Group” 3.Active Customer is defined as a customer who placed at least one order in the 12 preceding months 4.Includes Active Customers of the mono-brand online flagship stores “Powered by YOOX Group”
1,165
1,344
Average Order Value (€) - Group
7.5 8.7
6.5 9.0
14.0
17.7
Multi-brand Mono-brand excluding JV with Kering
2Q 2015 2Q 2014 1H 2015 1H 2014
1H 2015 1H 2014 LTM JUN 2014 LTM JUN 2015
2Q 2015 2Q 2014 1H 2015 1H 2014
1,542 1,841
700 857
200 204
209 210
2Q 2015 2Q 2014
7.0 8.5
6.2 8.0
13.2
16.5 +25.9%
+36.8%
+16.3%
+24.9%
+28.6%
+21.6%
+19.4% +22.4%
+1.6% +0.8% +15.3%
SLIDE 9
NET REVENUE REVIEW BY BUSINESS LINE
1.Retail value of sales of all the mono-brand online flagship stores, net of returns and customer discounts. Set-up, design and maintenance fees for the mono-brand online flagship stores, accounted for within “Not country related”, are excluded
Net Revenue Performance and Breakdown
Mono-brand Gross Merchandise Value1 Growth
€173.9m €206.8m
€64.1m €77.8m
€284.6m
€238.0m
@constant FX @current FX Group Growth +14.8%
+21.3% +8.5% +29.8%
Mono-brandNet Revenue Growth
Impact of differentbooking for the
JV online store sales
Mono-brand GrossMerchandise Growth
1H 2015 vs. 1H 2014
1H 2014 1H 2015
+21.3%
+18.9%
+19.6%
73.1%
26.9%
72.7%
27.3%
€82.8m €101.6m
€28.7m €35.7m
€137.3m
€111.5m
@constant FX @current FX
+16.3%
2Q 2014 2Q 2015
+24.6%
+22.7%
+23.2%
Multi-brand
Mono-brand
Group Growth
74.3%
25.7%
74.0%
26.0%
+24.6% +8.0% +32.6%
Mono-brandNet Revenue Growth
Impact of differentbooking for the
JV online store sales
Mono-brand GrossMerchandise Growth
2Q 2015 vs. 2Q 2014
SLIDE 10
NET REVENUE REVIEW BY GEOGRAPHY
Net Revenue Performance
Net Revenue Breakdown
1.Not Country Related
6.2% 7.4%
15.9%
43.8%
25.4%
1.3%
21.1%
16.3% 7.7%
5.1%
47.8%
2.1%
1H 2014 1H 2015 2Q 2014 2Q 2015
24.8%
15.4% 7.0%
7.1%
44.7%
1.0% 6.9%
4.9%
16.8%
46.2%
22.6%
2.5%
Italy Rest of Europe North America RoW Japan NCR1
(€m)
Italy 38.7 43.9 13.4% 18.7 21.8 16.2%
Rest of Europe 113.7 127.2 11.9% 16.7% 51.5 60.2 16.8% 18.1%
North America 50.1 70.5 40.6% 15.1% 25.2 34.9 38.2% 12.6%
Japan 18.4 19.9 8.0% 3.2% 7.7 8.5 10.9% 6.4%
Other Countries 12.1 20.2 67.0% 42.2% 5.5 10.2 85.1% 56.5%
Not Country Related 5.0 2.9 (41.6%) 2.8 1.8 (36.6%)
Group Net Revenues 238.0 284.6 19.6% 14.8% 111.5 137.3 23.2% 16.3%
1H 2014 1H 2015 % Growth % Growth Constant FX 2Q 2014 2Q 2015 % Growth % Growth
Constant FX
SLIDE 11
(€m)
Net Revenues 238.0 284.6 111.5 137.3growth 14.7% 19.6% 14.9% 23.2%
COGS (151.8) (179.3) (67.7) (83.3)Gross Profit 86.2 105.3 43.8 54.0
% of Net Revenues 36.2% 37.0% 39.3% 39.3%Fulfillment (21.9) (26.3) (10.8) (13.1)
% of Net Revenues 9.2% 9.2% 9.7% 9.5%Sales & Marketing (26.1) (34.6) (12.5) (17.0)
% of Net Revenues 10.9% 12.1% 11.2% 12.4%General & Administrative (18.8) (23.7) (9.7) (12.5)
% of Net Revenues 7.9% 8.3% 8.7% 9.1%Other Income / (Expenses) (1.6) (2.5) (1.0) (1.4)
EBITDA 17.9 18.2 9.8 10.1% of Net Revenues 7.5% 6.4% 8.8% 7.3%
EBITDA Excluding Incentive Plan Costs 18.7 19.2 9.7 10.1% of Net Revenues 7.9% 6.7% 8.7% 7.3%
Depreciation & Amortisation (11.7) (14.6) (5.9) (7.4)% of Net Revenues 4.9% 5.1% 5.3% 5.4%
Non-recurring Items - (5.2) - (3.6)Operating Profit 6.2 (1.7) 3.9 (1.0)
% of Net Revenues 2.6% (0.6%) 3.5% (0.7%)Income / (Loss) From Investment In Associates (0.5) 0.1 (0.3) 0.0Net Financial Income / (Expenses) (1.3) 1.1 (0.6) (1.5)
Profit Before Tax 4.4 (0.5) 3.0 (2.4)% of Net Revenues 1.9% (0.2%) 2.6% (1.8%)
Taxes (1.9) 0.6 (1.3) 1.4Net Income 2.6 0.1 1.6 (1.1)
% of Net Revenues 1.1% 0.0% 1.5% (0.8%)
Adjusted Net Income 3.2 4.4 1.6 1.4% of Net Revenues 1.3% 1.5% 1.4% 1.0%
YOOX GROUP PROFIT & LOSS YOOX GROUP PROFIT & LOSS
2Q 2014 2Q 2015 1H 2014 1H 2015
Note: Depreciation & Amortisation included in Fulfillment, Sales & Marketing, General & Administrative have been reclassified and grouped under Depreciation & Amortisation EBITDA Excluding Incentive Plan Costs calculated by adding back to EBITDA the costs associated with incentive plans in each period
Adjusted Net Income calculated by adding back to Net Income the costs associated with share-based incentive plans and the non-recurring items related to the merger with The Net-A-Porter Group in each period, net of their related tax effect. Non-recurring items mainly include legal, fiscal, accounting, valuation and strategic advisory consulting fees as well as general administrative costs related to the transaction
SLIDE 12
EBITDA EXCLUDING INCENTIVE PLAN COSTS REVIEW BY BUSINESS LINE
% of Group Net Revenues
% of Mono-brand Net Revenues
€25.5m €29.1m
€14.4m €16.8m
1H2014 1H2015 GAP 2Q 2014 2Q 2015
€(19.6)m
€(25.2)m
€(10.7)m €(13.9)m
1H2014 1H2015 GAP 2Q 2014 2Q 2015
€12.9m €15.3m
€5.9m €7.2m
1H2014 1H2015 GAP 2Q 2014 2Q 2015
Total Group
Multi-brand EBITDA Pre Corporate Costs Corporate Costs Mono-brand EBITDA
Pre Corporate Costs
€9.7m €10.1m €18.7m
€19.2m
% of Net Revenues 7.9% 6.7% 8.7% 7.3%
Note: Multi-brand and Mono-brand EBITDA Pre Corporate Costs include all costs directly associated with the business line, including COGS, Fulfillment, Sales & Marketing (all net of D&A); Corporate Costs include General & Administrative costs (net of D&A) and Other Income / (Expenses)
% of Multi-brand Net Revenues
16.5% 14.7% 14.1% 17.4% 20.1% 20.0% 19.6% 20.7% 10.1% 8.3% 8.9% 9.6%
2Q 2014 2Q 2015 1H 2014 1H 2015
1H 2014
1H 2015
2Q 2014
2Q 2015
1H 2014
1H 2015
2Q 2014
2Q 2015
1H 2014
1H 2015
2Q 2014
2Q 2015
SLIDE 13
€10.1m
€(7.4)m
€(3.6)m €(1.0)m €(1.5)m
€1.4m €(1.1)m
€2.5m €1.4m
ReportedEBITDA
D&A Non-recurring Items EBIT Net FinancialIncome /
(Expenses)
Taxes ReportedNet Income
Non-recurring Itemsnet of related tax
effect
AdjustedNet Income
2Q 2014
2Q 2015
% of Net Revenues 7.3% nm 1.0%
% of Net Revenues 8.7% 8.8 % 1.5% 3.5%
Refer to the 2Q share of extraordinary costs related to the merger with THE
NET-A-PORTER GROUP
€9.7m €0.1m €9.8m
€(5.9)m €3.9m
€(0.3)m €(0.6)m €(1.3)m
€1.6m €0.1m €1.6m
EBITDA Excl.Incentive Plan
Costs
Incentive PlanCosts
ReportedEBITDA
D&A EBIT Income / (Loss)From
Associates
Net FinancialIncome /
(Expenses)
Taxes ReportedNet Income
Incentive PlanCosts net of
related tax effect
Adjusted NetIncome
nm
1.4%
No Incentive Plan Costs in 2Q 2015
FROM EBITDA TO NET INCOME
SLIDE 14
YOOX GROUP CASH FLOW STATEMENT AND NET FINANCIAL POSITION EVOLUTION
Net Financial Position Evolution
€31.0m
€19.2m €1.2m
€(2.7)m
€(25.3)m
€(25.5)m €(3.0)m €(3.6)m €0.2m
€(8.5)m Dec 2014Net Cash
EBITDAExcl. Incentive
Plan Costs
Net FinancialIncome /
(Expenses)& Associates
Taxes Change inNet Working
Capital
CapitalExpenditure
Other Non-recurringItems(M&A)
Proceeds fromStock Option
Exercise
Jun 2015Net Debt
1
1.Mainly refers to deferred tax assets, exchange rate impact resulting from the consolidation of foreign subsidiaries and fair value of derivative contracts
Cash Flow Statement
2Q 2015 2Q 2014 1H 2015 1H 2014
1
(€m)
EBITDA Excluding Incentive Plan Costs 18.7 19.2 9.7 10.1
Net Financial Income / (Expenses) & Associates (1.8) 1.2 (0.9) (1.5)
Taxes (1.9) (2.7) (1.3) (1.3)
Change in Net Working Capital (16.6) (25.3) (11.1) (15.3)
Capital Expenditure (17.2) (25.5) (7.8) (15.7)
Other (1.4) (3.0) (0.7) (2.7)
Free Cash Flow (20.2) (36.0) (12.2) (26.3)
Non-recurring Items (M&A) - (3.6) - (2.5)
Proceeds from Stock Option Exercise 4.8 0.2 3.2 0.1
Change in Net Financial Position (15.4) (39.5) (9.0) (28.7)
SLIDE 15
(€m)
Inventories 186.3 222.8 274.0 (51.1)
Trade Receivables 8.8 14.7 13.4 1.3
Trade Payables (128.6) (164.5) (194.3) 29.8
Other Receivables / (Payables) (21.6) (27.8) (22.5) (5.3)
Net Working Capital 44.9 45.3 70.6 (25.3)
as % of Net Revenues 9.2% 8.6% 12.4%
NET WORKING CAPITAL AND CAPITAL EXPENDITURE EVOLUTION
Net Working Capital
Capital Expenditure
Jun 2014 Dec 2014 1H 2015 Jun 2015
Increase in Inventories mainly due to increased buying and earlier deliveries for the 2015 Fall / Winter season compared to 2014
% of Net Revenues
€17.2m
€25.5m
7.2% 9.0% 7.0% 11.4%
€7.8m
€15.7m
2Q 2014 2Q 2015 1H 2014 1H 2015
Tech Operations Other
Capex increase attributable to investments of the new shoe warehouse
SLIDE 16
AGENDA
YOOX GROUP FIRST HALF 2015 RESULTS
– RESULTS HIGHLIGHTS AND LATEST BUSINESS DEVELOPMENTS – FINANCIAL ANALYSIS
UPDATE ON INTEGRATION AND MERGER PROCESS
Q&A
SLIDE 17
SETTING THE FOUNDATIONS FOR A SUCCESSFUL INTEGRATION
APR MAY JUN JUL AUG SEP OCT
Merger Announcement
Launch of PMI Office with dedicated staff from both companies and definition of planning and execution program with BCG support
Launch of cash-based talent retention plan
Integration work-streams defined across areas (Commercial, Technology, Operations, Marketing, Corporate Functions) mirroring the synergy potential of the merger and relevant “Leaders” appointed
Kick-Off meeting with Integration Team and PMI Office in London
Workshops with Leaders, key managers and PMI Office to set priority deep-dives into synergies and to define preparatory Integration activities for Day 1
Definition of YNAP operating model
Definition of YNAP organisational structure for Day 1
Deeper dive into synergies leveraging “clean teams” due to anti-trust constraints
Implementation of preparation activities for Day 1
**Day 1**
Integration Team update meetings
SLIDE 18
EXPECTED MERGER TIMELINE
APRIL
MAY
JUNE
JULY
AUGUST
SEPTEMBER
Merger Announcement
BoD approval of Merger Plan
EGM approval
Anti-Trust clearance by Japan and UK
OCTOBER **MERGER EFFECTIVE**
Green light by CONSOB
31/03
24/04
21/07
MARCH
NOVEMBER
Anti-Trust clearance by the US, Germany, Austria and Ukraine
26/05
23/06
07/07
15/07
SLIDE 19
AGENDA
YOOX GROUP FIRST HALF 2015 RESULTS
– RESULTS HIGHLIGHTS AND LATEST BUSINESS DEVELOPMENTS – FINANCIAL ANALYSIS
UPDATE ON INTEGRATION AND MERGER PROCESS
Q&A
SLIDE 20
APPENDIX
OUR GLOBAL STRATEGIC PARTNERSHIPS IN THE MONO-BRAND BUSINESS LINE YOOX GROUP PROFIT & LOSS EXCLUDING INCENTIVE PLAN COST REPORTED EBITDA REVIEW BY BUSINESS LINE
FROM EBITDA TO NET INCOME - FOCUS ON 1H 2015
BRIDGE TO ADJUSTED NET INCOME - FOCUS ON 1H 2015
FOCUS ON INCENTIVE PLAN COSTS YOOX GROUP SUMMARY BALANCE SHEET
YOOX GROUP NET FINANCIAL POSITION
EXCHANGE RATES SHAREHOLDER STRUCTURE
SLIDE 21
OUR GLOBAL STRATEGIC PARTNERSHIPS IN THE MONO-BRAND BUSINESS LINE
Online stores “Powered by YOOX Group”
JVCo with Kering
alexanderwang.com
pomellato.com
pringlescotland.com
barbarabui.com
moncler.com
dolcegabbana.com
trussardi.com
armani.com
dodo.it
dsquared2.com
moschino.com
emiliopucci.com
valentino.com
stoneisland.com
marni.com
emporioarmani.com
diesel.com
jilsander.com
bikkembergs.com
brunellocucinelli.com
albertaferretti.com
napapijri.com
robertocavalli.com
y-3store.com
zegna.com
kartell.com
ysl.com mcq.com
bottegaveneta.com
sergiorossi.com alexandermcqueen.com
stellamccartney.com
balenciaga.com
missoni.com
redvalentino.com
lanvin.com
brioni.com
chloe.com OPENING SOON
dunhill.com OPENING SOON
karl.com OPENING SOON
maisonmargiela.com
SLIDE 22
(€m)
Net Revenues 238.0 284.6 111.5 137.3growth 14.7% 19.6% 14.9% 23.2%
COGS (151.8) (179.3) (67.7) (83.3)Gross Profit 86.2 105.3 43.8 54.0
% of Net Revenues 36.2% 37.0% 39.3% 39.3%Fulfillment Excl. Incentive Plan Costs (21.8) (26.3) (10.8) (13.1)
% of Net Revenues 9.2% 9.2% 9.6% 9.5%Sales & Marketing Excl. Incentive Plan Costs (26.0) (34.6) (12.7) (17.0)
% of Net Revenues 10.9% 12.1% 11.4% 12.4%General & Administrative Excl. Incentive Plan Costs (18.1) (22.7) (9.7) (12.5)
% of Net Revenues 7.6% 8.0% 8.7% 9.1%Other Income / (Expenses) (1.6) (2.5) (1.0) (1.4)
EBITDA Excluding Incentive Plan Costs 18.7 19.2 9.7 10.1% of Net Revenues 7.9% 6.7% 8.7% 7.3%
Depreciation & Amortisation (11.7) (14.6) (5.9) (7.4)% of Net Revenues 4.9% 5.1% 5.3% 5.4%
Non-recurring Items - (5.2) - (3.6)Operating Profit Excl. Incentive Plan Costs 7.0 (0.7) 3.8 (1.0)
% of Net Revenues 3.0% (0.2%) 3.4% (0.7%)Income / (Loss) From Investment In Associates (0.5) 0.1 (0.3) 0.0Net Financial Income / (Expenses) (1.3) 1.1 (0.6) (1.5)
Profit Before Tax Excl. Incentive Plan Costs 5.2 0.5 2.9 (2.4)% of Net Revenues 2.2% 0.2% 2.6% (1.8%)
Taxes (2.1) 0.3 (1.3) 1.4Net Income Excluding Incentive Plan Costs 3.2 0.8 1.6 (1.1)
% of Net Revenues 1.3% 0.3% 1.4% (0.8%)Adjusted Net Income 3.2 4.4 1.6 1.4
% of Net Revenues 1.3% 1.5% 1.4% 1.0%
YOOX GROUP PROFIT & LOSS EXCLUDING INCENTIVE PLAN COSTS
2Q 2014 1H 2014 1H 2015 2Q 2015
SLIDE 23
REPORTED EBITDA REVIEW BY BUSINESS LINE
Total Group
Multi-brand EBITDA Pre Corporate Costs Corporate Costs Mono-brand EBITDA
Pre Corporate Costs
€9.8m
€10.1m €17.9m
€18.2m
2Q 2014 2Q 2015
% of Net Revenues 7.5% 6.4% 8.8% 7.3%
1H 2014 1H 2015
Note: Multi-brand and Mono-brand EBITDA Pre Corporate Costs include all costs directly associated with the business line, including COGS, Fulfillment, Sales & Marketing (all net of D&A); Corporate Costs include General & Administrative costs (net of D&A) and Other Income / (Expenses)
1H 2014
1H 2015
2Q 2014
2Q 2015
% of Multi-brand Net Revenues
16.5% 14.6% 14.1% 17.5%
1H 2014
1H 2015
2Q 2014
2Q 2015
20.1% 20.1% 19.6% 21.2% % of Mono-brand Net Revenues
10.1% 8.6% 9.2% 9.6% % of Group Net Revenues
1H 2014
1H 2015
2Q 2014
2Q 2015
€(20.4)m
€(26.2)m
€(10.7)m €(13.9)m
1H2014 1H2015 GAP 2Q 2014 2Q 2015
€12.9m €15.3m
€6.1m €7.2m
1H2014 1H2015 GAP 2Q 2014 2Q 2015
€25.4m €29.1m
€14.4m €16.8m
1H2014 1H2015 GAP 2Q 2014 2Q 2015
SLIDE 24
FROM EBITDA TO NET INCOME
€18.7m
€(0.8)m
€17.9m
€(11.7)m €6.2m
€(0.5)m €(1.3)m €(1.9)m
€2.6m
EBITDA Excl.Incentive Plan
Costs
Incentive PlanCosts
EBITDA D&A EBIT Income / (Loss)From Associates
Net FinancialIncome /
(Expenses)
Taxes Net Income
1H 2014
1H 2015
% of Net Revenues 6.7% 6.4% nm nm
% of Net Revenues 7.9% 7.5 % 1.1%
€19.2m
€(1.0)m
€18.2m
€(14.6)m
€(5.2)m €(1.7)m
€0.1m €1.1m €0.6m €0.1m
EBITDA Excl.Incentive Plan
Costs
Incentive PlanCosts
EBITDA D&A Non-recurringItems
EBIT Income / (Loss)From Associates
Net FinancialIncome /
(Expenses)
Taxes Net Income
2.6%
Refer to the 1H share of extraordinary costs related
to the merger with THE NET-A-PORTER GROUP
SLIDE 25
BRIDGE TO ADJUSTED NET INCOME
€0.1m
€3.6m
€0.7m €4.4m
Net Income Non-recurring itemsnet of related tax effect
Incentive Plan Costsnet of related tax effect
AdjustedNet Income
1H 2014
1H 2015
€1.0m before tax effect
€5.2m before tax effect
€2.6m
€0.6m €3.2m
Net Income Incentive Plan Costsnet of related tax effect
AdjustedNet Income
€0.8m before tax effect
SLIDE 26
FOCUS ON INCENTIVE PLAN COSTS
% of Total
% of Total
2Q 2014
2Q 2015
% of Total
% of Total
1H 2014
1H 2015
(€m)
Fulfillment (21.943) (26.285) (10.797) (13.082)
of which Incentive Plan Costs (0.097) 11.9% - 0.0% (0.043) n.m. - 0.0%
Sales & Marketing (26.052) (34.565) (12.476) (16.980)
of which Incentive Plan Costs (0.004) 0.5% - 0.0% 0.193 n.m. - 0.0%
General & Administrative (18.789) (23.733) (9.717) (12.477)
of which Incentive Plan Costs (0.714) 87.6% (1.014) 100.0% (0.058) n.m. 0.000 100.0%
Incentive Plan Costs (0.815) 100.0% (1.014) 100.0% 0.092 100.0% 0.000 100.0%
EBITDA Reported 17.877 18.160 9.786 10.092
% of Net Revenues 7.5% 6.4% 8.8% 7.3%
Incentive Plan Costs (0.815) (1.014) 0.092 0.000
EBITDA Excl. Incentive Plan Costs 18.692 19.174 9.694 10.091
% of Net Revenues 7.9% 6.7% 8.7% 7.3%
SLIDE 27
(€m)
Net Working Capital 44.9 45.3 70.6 25.3
Non-Current Assets 77.9 82.4 97.3 14.9
Non-Current Liabilities (excl. financial liabilities) (0.2) (0.4) (0.5) (0.1)
Total 122.6 127.3 167.4 40.1
Net Financial Debt / (Net Cash) (5.1) (31.0) 8.5 39.5
Shareholders' Equity 127.7 158.3 158.9 0.6
Total 122.6 127.3 167.4 40.1
YOOX GROUP SUMMARY BALANCE SHEET
Jun. 2014 Dec. 2014 Change Jun. 2015
SLIDE 28
(€m)
Cash and Cash Equivalents 118.0 103.3
Other Current Financial Assets 10.0 21.1
Current Financial Assets 128.0 124.4
Current Financial Liabilities (30.9) (22.1)
Long Term Financial Liabilities (66.1) (110.7)
(Net Financial Debt) / Net Cash 31.0 (8.5)
YOOX GROUP NET FINANCIAL POSITION
Net Financial Position
1H 2015 FY 2014
Overview of Debt Facilities at 30 June 2015
Long average maturity of outstanding debt (~90% of loans due between 1H 2017 and 2020) at an average cost of debt of 150bps over
the 3/6 month Euribor
Available Used Committed
-
(€m)
Overdrafts 8.4 0 8.4
Bank Loans 120.5 85.5 35.0
European Investment Bank 40.6 40.6 -
Financial Leases & Other 6.7 6.7 -
Total 176.1 132.8 43.4
SLIDE 29
EXCHANGE RATES
Period Average End of Period
1H 2014 1H 2015 2Q 2014 2Q 2015 Dec 2014 Mar 2015 Jun 2015
EUR USD 1.370 1.116 1.371 1.105 1.214 1.076 1.119
% yoy appreciation / (depreciation) vs. EUR 22.8% 24.0% 13.6% 28.2% 22.1%
EUR JPY 140.403 134.204 140.001 132.289 145.230 128.950 137.010
% yoy appreciation / (depreciation) vs. EUR 4.6% 5.8% (0.4%) 10.4% 1.0%
EUR GBP 0.821 0.732 0.815 0.721 0.779 0.727 0.711
% yoy appreciation / (depreciation) vs. EUR 12.2% 13.0% 7.0% 13.9% 12.7%
EUR CNY 8.450 6.941 8.544 6.857 7.536 6.671 6.937
% yoy appreciation / (depreciation) vs. EUR 21.7% 24.6% 10.8% 28.5% 22.1%
EUR RUB 47.992 64.641 47.941 58.219 72.337 62.440 62.355
% yoy appreciation / (depreciation) vs. EUR (25.8%) (17.7%) (37.3%) (21.9%) (25.6%)
EUR HKD 10.537 8.652 10.630 8.568 9.417 8.342 8.674
% yoy appreciation / (depreciation) vs. EUR 21.8% 24.1% 13.6% 28.2% 22.0%
EUR KRW 1,382.040 1,277.312 1,410.801 1,214.256 1,324.800 1,192.580 1,251.270
% yoy appreciation / (depreciation) vs. EUR 8.2% 16.2% 9.5% 22.9% 14.9%
EUR AUD 1.499 1.426 1.470 1.421 1.483 1.415 1.455
% yoy appreciation / (depreciation) vs. EUR 5.1% 3.5% 4.0% 5.6% (0.1%)
EUR CAD 1.503 1.377 1.495 1.359 1.406 1.374 1.384
% yoy appreciation / (depreciation) vs. EUR 9.1% 10.0% 4.3% 10.8% 5.4%
SLIDE 30
Federico Marchetti 7,152,653 10.9% 4,760,697 7.7%
Management team and other stock option holders 1,125,748 1.7%
Sub-total 8,278,401 12.6% 4,760,697 7.7%
Renzo Rosso 5,055,321 7.7% 5,055,321 8.1%
Capital Research and Management Company 2,998,469 4.6% 2,998,469 4.8%
Balderton Capital 2,185,145 3.3% 2,185,145 3.5%
OppenheimerFunds 2,224,081 3.4% 2,224,081 3.6%
Market 44,875,519 68.4% 44,875,519 72.3%
Total 65,616,936 100.0% 62,099,232 100.0%
SHAREHOLDER STRUCTURE
Updated as of 30 July 2015 1.The fully diluted column shows the effect on the Company’s shareholder structure calculated assuming that all the stock options granted under the Company’s stock option plans are exercised 2.Excludes Federico Marchetti 3.Includes 17,339 proprietary shares
Shareholders Current Fully Diluted 1
2
3
SLIDE 31
CONTACTS
Investor Relations
www.yooxgroup.com
BOLOGNA - MILANO - NEW YORK - PARIS - TOKYO - SHANGHAI - HONG KONG