2. Axfood January-December 2012
Net sales
• Favourable sales:
SEK 36,306 m (34,795) +4.3%
36,306
+4.3%
• Stable earnings: SEK 1,247 m
(1,250) exkl impairment
– Operating margin: 3.4% (3.6) exkl
impairment
• Positive result for all business units
• Impairment of SEK 55 m for the
PrisXtra brand
2
3. Willys – Best result ever
• Stable sales growth: SEK 19,407 m
(18,904), +2.7%
– Like-for-like sales: 0.0% (-1,6)
• Good result: SEK 796 m (775) +2.7%
– Operating margin: 4.1% (4.1)
• High pace in store modernization
– Remaining 20 stores will be modernized
during this year Operating profit
• Developed a customer loyalty program that
will be launched next week 796
+2.7%
4. Hemköp – Best result in 10 years
• Good sales performance: SEK 5,082 m
(4,787), +6.2%
– Like-for-like sales: +2.0% (0,4)
• Best result in ten years: SEK 133 m (94)
– Operating margin: 2.6% (2.0)
• Target 2013: At least 3% operating margin
• Increased marketing activities
Net sales
• Thomas Gäreskog appointed as new CEO
in December
+6.2%
4
5. PrisXtra’s largest store to become Hemköp
• PrisXtras largest store at Norra Station
will become Hemköp in 2013
– Future strategic location
• Remaining four stores will gradually be
converted to Hemköp or Willys
• Impairment of SEK 55 m for the PrisXtra
brand
6. PrisXtra – Continued positive result
• Decrease in sales due to major
road constructions
– Net sales: SEK 502 m (549), -8.6%
• Positive result: SEK 16 m (15)
6
7. Axfood Närlivs – Wholesale operation
Net sales
• Favourable sales growth, SEK 6,336 m (5,516), +14.9%
+14.9%
– Deliveries to new customers and good
development in cash-and-carry business
– New e-commerce site for business-to-business
– Sales affected by bad weather conditions
• Operating profit: SEK 113 m (110)
7
8. Dagab – Efficient logistics
• Stable development
– Efficiency and high delivery reliability
• Operating profit: SEK 163 m (192)
– Increased costs due to implementation of the
new business system
– Will continue to affect the result during 2013
Delivery reliability
97.5%
8
9. Market outlook
• Uncertain development in Swedish
economy but stable food retail market
• Food price inflation initially at low levels
• Competition remains high
• Price conscious customers
9
10. Strategy for profitable growth
• Further stimulate sales growth
– Well operated stores
• High level of private label
• Efficiency and cost control
• Ambitious pace of investment
– High pace in store establishments and
renewals
– Implementation of the new business
system continues
10
11. Axfood’s goal for 2013
Achieve an
operating profit
at the same level as in 2012
11
13. Axfood January-December 2012
• Stable earnings and sales development
• Impairment of SEK 55 m for the PrisXtra brand
Net sales, SEK m
Operating margin, % Key ratios
9,292 9,252
8,914 8,718
9,044 SEK m 2012 2011 Change
Net sales 36,306 34,795 4.3%
Change in like-for-like sales,
0.3% -1.1% 1.4
%
4.1
3.6 3.4 Operating profit 1,192 1,250 -4.6%
2.8 2.8
Operating margin, % 3.3% 3.6% -0.3
Number of stores,
Q4 -11 Q1 -12 Q2 -12 Q3 -12 Q4-12 246 237 9
Group-owned
13
14. Willys January-December 2012
• Best result ever
• High pace in store modernization
Net sales, SEK m
Operating margin, % Key ratios
4,961 4,927 SEK m 2012 2011 Change
4,848 4,701 4,818
Net sales 19,407 18,904 2.7%
Change in like-for-like sales,
0.0% -1.6% 1.6
4.4 4.5
%
4.1 3.9
3.6
Operating profit 796 775 2.7%
Operating margin, % 4.1% 4.1% -
Q4 -11 Q1 -12 Q2 -12 Q3 -12 Q4 -12
Number of stores 174 170 4
14
15. Hemköp January-December 2012
• Good profit and sales performance
• Increased marketing activities
Net sales, SEK m
Operating margin, % Key ratios
1,347 SEK m 2012 2011 Change
1,255 1,271
1,239 1,225
Net sales 5,082 4,787 6.2%
Change in like-for-like sales,
2.0% 0.4% 1.6
%, Group-owned
4.1
Operating profit 133 94 41.5%
2.6
1.9 1.9 1.7 Operating margin, % 2.6% 2.0% 0.6
Number of stores
Q4 -11 Q1 -12 Q2 -12 Q3 -12 Q4 -12 Group-owned 67 62 5
Franchise 114 121 -7
15
16. PrisXtra January-December 2012
• Positive result
• PrisXtra stores will be converted to Hemköp or Willys
Net sales, SEK m
Operating margin, % Key ratios
SEK m 2012 2011 Change
140 132 130 127 Net sales 502 549 -8.6%
113
Change in like-for-like sales,
3.6 3.8 3.5 -8.6% -10.0% 1.4
3.0
2.4
%
Operating profit 16 15 6.7
Operating margin, % 3.2% 2.7% -0.5
Q4 -11 Q1 -12 Q2 -12 Q3 -12 Q4 -12
Number of stores 5 5 -
16
17. Axfood Närlivs January-December 2012
• Good sales mainly driven by deliveries to new
customers and new businesses
Net sales, SEK m
Operating margin, % Key ratios
SEK m 2012 2011 Change
1,673
Net sales 6,336 5,516 14.9%
1,652
1,570
1,382 1,441
3.0 Distributed sales 5,822 4,992 16.6%
Operating profit 113 110 2.7%
1.7 1.7 1.7
Operating margin, % 1.8% 2.0% -0,2
0.6 Number of stores,
20 20 -
Axfood Snabbgross
Q4 -11 Q1 -12 Q2 -12 Q3 -12 Q4 -12
Delivery reliability, % 97.9 97.7 0.2
17
18. Dagab January-December 2012
• Increased costs due to implementation of
the new business system
– Will continue to affect the result during 2013
Net sales, SEK m
Operating margin, % Key ratios
SEK m 2012 2011 Change
6,264 6,000 6,348
6,273 6,022
Net sales 24,634 24,295 1.4%
Distributed sales 17,205 16,981 1.3%
0.9
0.8
0.7
0.6 Operating profit 163 192 -15.1%
0.5
Operating margin, % 0.7% 0.8% -0.1
Q4 -11 Q1 -12 Q2 -12 Q3 -12 Q4 -12
Delivery reliability, % 97.5 97.1 0.4
18
19. Other January-December 2012
• Net sales: SEK 4,521 m (4,156), +8.8%
• Operating profit: SEK -29 m (64)
– Impairment of SEK 55 m for the PrisXtra
brand
– Amortization of new business system of
SEK 55 m (33)
19
20. Key ratios January-December 2012
• Balance sheet, total: SEK 8,798 m (8,278)
• Cash flow operating activity: SEK 1,915 m
(1,384)
• Capex: SEK 932 m (993)
– Investment plan 2013: SEK 900-1,000 m
• Reduced company tax rate had a positive Capital expenditure
effect on profit after tax by SEK 50 m SEK m
1 000
• The Board of Directors proposes a dividend 800
of SEK 12 per share (12) 600
400
200
0
-09 -10 -11 -12
20
21. Financial targets & dividend policy
• Axfood's goal for 2013 is to achieve
an operating profit at the same level
as in 2012
• Equity ratio of at least 25%
• Shareholder dividend of at least 50%
of profit for the year after tax
• Long term target for an operating
margin of 4%
21
22. Summary
• Stable result and sales
performance
• All business units delivered a
positive result
22
