Elektroimportøren : Elektroimportøren's results for 3rd quarter 2022

Quarterly report Q3 2022

AS

elektroimportoren

elektroimportoren

#QuarterlyreportQ32022 #elektroimportoren

Q U A R T E R L Y R E P O R T Q 3 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

We have managed to grow our business in every month of the 3rd quarter. September having the greatest growth, and August just ahead of last year. Compared to the 2nd quarter we see improvements in our gross margin, online sales starting to recover, and B2C sales increasing in share of business. In Sweden we had growth in July, but in August and September we fall behind last year.

Total sales of 398 MNOK (360), which is up 10.6% from last year. B2B continue to drive growth, but decline in B2C sales is at a lower level than previous quarters of 2022.

Gross profit of 150 MNOK (139) giving us a gross margin percentage of 37.6% (38.5%), which is up 1.6 pp from Q2. Price increases have come through during the quarter, and we improve GM % across all customer groups.

Cost control is good, but we did spend more on customer events and internal training this quarter compared to last year, resulting in a opex to sales ratio at 26.3% compared to 25.3% last year.

We had an EBITDA of 44.8 MNOK compared to 47.8 MNOK in Q3 last year.

During the quarter we have gathered all our store employees for product and sales training. This is an annual event where we give our employees an update on the latest product news, and prepare for coming product launches in the coming year, together with our suppliers.

We have had a major event for our partner customers within B2B. This was not conducted during the pandemic, but this year we were able to once again gather our most important customers for a few days to discuss future opportunities, and strengthen our relationship.

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Q U A R T E R L Y R E P O R T Q 3 2 0 2 2 E L E K T R O I M P O R T Ø R E N A S

In September we started to move our warehouse in Sweden and implement a new WMS (Warehouse Management System). This was needed to make us able to supply our future stores with products. We will use these facilities for 12 months before we move to a new permanent warehouse. Relocating the warehouse and implementing WMS have gone according to plan, but not without some disruption in supply to our customers.

Conversion rate in our stores is at 62%, and basket size is up 7%. Namron share of business is at 32%, which is slightly up from Q2, but 1% down from last year.

Spoton continues its positive development, and we had over 1.000 installations and 9.4 MNOK in turnover, up from 3.9 MNOK last year.

Given the market conditions, especially in B2C, we believe our performance in the quarter have been good. We continue to grow our business, we have increased our gross margins, our stores have good cost control, and we deliver on our strategic objectives. My greatest thanks go to all our fantastic employees, who with their knowledge and their wish to improve every day, continues to deliver the best customer service there is. Now we look forward to what we as a team can deliver in peak season.

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 3 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 Q3

• Revenue of 398.1 MNOK (359.8 MNOK) up 10.6%.
• Like-for-likesales have been reduced with 1.4% (Reduction in Q2 was 2.4%).
• Online share of total sales (excluding pick up in store, but including Elbutik) 17.2%.
• B2B sales (Norway) increased with 9.8% compared to last year while B2C sales including Elbutik increased with 11.4%. B2C sales in Norway reduced with 3.4%.
• B2B share of total sales in Norway was 51.4% (48.2%).
• Sale of Electrical Vehicle chargers in Norway of 50.7 MNOK (39.9 MNOK).
• Sale of full service product offer Spoton continues with positive development with 9.4 MNOK (3.9 MNOK).
• Gross margin percentage is higher in Q3 than for Q2 with 37.6% (35.1%). For Norway we have a gross margin of 38.6 % compared to 38.5 % in Q3 last year. Margin percentage in Elbutik is still lower than for the Norwegian operation with 24.5%. Key drivers for positive development in margin percentage since Q2;
• • Increased share of sales to B2C
  • Price increases
  • Campaign management

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Q U A R T E R L Y R E P O R T Q 3 2 0 2 2 E L E K T R O I M P O R T Ø R E N A S

• 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
  26.6% (25.3%).
• Reported EBITDA of 44.8 MNOK (47.8 MNOK).
  EBITDA margin percentage is 11.3% (13.3%).
• Last part of dividend for 2022 paid during September (30 MNOK).

Revenue, MNOK

550
450
										58
350		11								27
			32			42		41
	51	44
		45	36
250
									327	398
150	292	310	273	288			316
50
	2021	2022		2021	2022			2021		2022		2021	2022
	Q1			Q2					Q3					Q4
				Stores	Online Norge	Elbutik	SUM

Like for Like growth %

Reported EBITDA

80.0							77.3
70.0
60.0			52.8
			48.8	47.8
50.0	44.5	42.9		44.8
40.0
30.0
20.0
10.0
-	2021	2022	2021	2022	2021	2022	2021	2022
		Q1		Q2		Q3		Q4

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