Unaudited Pro Forma Results

RNS Number : 4786P

ASOS PLC

25 October 2012

 



25 October 2012                                                                                                                                                           

ASOS plc

Global Online Fashion Store

Unaudited pro forma results for the year ended 31 August 2012

On 26 April 2012, ASOS plc announced that it had changed its accounting reference date from 31 March to 31 August. This announcement contains unaudited pro forma consolidated financial information for the Company for the years to 31 August 2012 and 31 August 2011.

Unaudited summary results table

£'000	Year to 31 August 2012	Year to 31 August 2011	Change
Group revenues1	552,854	403,008	37%
Retail sales	537,887	389,094	38%
UK retail sales	205,258	186,748	10%
International retail sales	332,629	202,346	64%
Gross profit	282,857	197,622	43%
Retail gross margin	49.8%	47.2%	260bps
Gross margin	51.2%	49.0%	220bps
Profit before tax and exceptional items	44,473	31,696	40%
Profit before tax	40,010	12,631	217%
Diluted underlying earnings per share2	39.6	27.9	42%
Diluted earnings per share3	35.6	10.9	227%
Net funds4	27,884	4,183	567%

¹Includes retail sales, delivery receipts and third party revenues

²Underlying earnings per share has been calculated using profit after tax but before exceptional items

³Earnings per share has been calculated using profit after tax including exceptional items of £4.5m (2011: £19.1m)

⁴Cash and cash equivalents less bank borrowings

Split of pro forma group revenues by quarter

a) Year ended 31 August 2012

£'000s		Q1		YOY%		Q2		YOY%		Q3		YOY%		Q4		YOY%		YTD 2011/12		YOY%
UK retail sales		49,942		5%		59,025		12%		46,437		8%		49,854		15%		205,258		10%
US retail sales		12,144		190%		10,993		73%		13,351		78%		13,097		65%		49,585		91%
EU retail sales		28,911		55%		27,935		18%		30,224		27%		30,678		22%		117,748		29%
ROW retail sales		36,123		233%		37,848		113%		43,912		71%		47,413		53%		165,296		94%
International retail sales		77,178		129%		76,776		61%		87,487		54%		91,188		42%		332,629		64%
Total retail sales		127,120		57%		135,801		35%		133,924		34%		141,042		31%		537,887		38%
Group revenues		130,692		53%		139,234		34%		137,760		34%		145,168		31%		552,854		37%

b) Year ended 31 August 2011

£'000s		Q1		YOY%		Q2		YOY%		Q3		YOY%		Q4		YOY%		YTD 2010/11		YOY%
UK retail sales		47,383		23%		52,857		20%		43,087		20%		43,421		1%		186,748		16%
US retail sales		4,186		254%		6,365		227%		7,480		176%		7,919		144%		25,950		186%
EU retail sales		18,647		79%		23,576		105%		23,714		68%		25,110		77%		91,047		81%
ROW retail sales		10,847		241%		17,778		265%		25,703		363%		31,021		295%		85,349		298%
International retail sales		33,680		128%		47,719		161%		56,897		154%		64,050		153%		202,346		151%
Total retail sales		81,063		53%		100,576		62%		99,984		71%		107,471		58%		389,094		61%
Group revenues		85,151		49%		104,201		56%		102,960		65%		110,696		52%		403,008		56%

Unaudited pro forma Consolidated Statement of Comprehensive Income

	Year to 31 August 2012				Year to 31 August 2011
	Before exceptional items	Exceptional items	Total	Before exceptional items		Exceptional items	Total
	£'000	£'000	£'000	£'000		£'000	£'000
Revenue	552,854	-	552,854	403,008		-	403,008
Cost of sales	(269,997)	-	(269,997)	(205,386)		-	(205,386)
Gross profit	282,857	-	282,857	197,622		-	197,622
Distribution expenses	(79,076)	-	(79,076)	(48,107)		(2,258)	(50,365)
Administrative expenses	(158,199)	(4,463)	(162,662)	(117,446)		(16,807)	(134,253)
Operating profit	45,582	(4,463)	41,119	32,069		(19,065)	13,004
Share of post tax losses of joint venture	-	-	-	47		-	47
Finance income	-	-	-	12		-	12
Finance expense	(1,109)	-	(1,109)	(432)		-	(432)
Profit before tax	44,473	(4,463)	40,010	31,696		(19,065)	12,631
Income tax (expense)/credit	(11,576)	1,103	(10,473)	(9,204)		5,338	(3,866)
Profit for the period and total comprehensive income attributable to owners of the parent	32,897	(3,360)	29,537	22,492		(13,727)	8,765
Earnings per share1
Basic			38.1				11.7
Diluted			35.6				10.9
Underlying earnings per share2
Basic	42.5			30.0
Diluted	39.6			27.9

¹ Earnings per share is calculated in accordance with IAS 33 'Earnings per share' and includes exceptional items

² Underlying earnings per share excludes exceptional items

Unaudited pro forma Segmental Analysis

	Year to 31 August 2012
	UK		USA	EU	RoW	Total
	£'000		£'000	£'000	£'000	£'000
Retail sales	205,258		49,585	117,748	165,296	537,887
Delivery receipts	7,119		1,047	1,610	1,832	11,608
Third party revenues	3,288		13	29	29	3,359
Total revenue	215,665		50,645	119,387	167,157	552,854
Cost of sales	(113,042)		(19,960)	(59,926)	(77,069)	(269,997)
Gross profit	102,623		30,685	59,461	90,088	282,857
Distribution costs	(19,531)		(14,729)	(18,666)	(26,150)	(79,076)
Segment result	83,092		15,956	40,795	63,938	203,781
Administrative expenses before exceptional items						(158,199)
Operating profit before exceptional items						45,582
Exceptional items						(4,463)
Finance expense						(1,109)
Profit before tax						40,010
		Year to 31 August 2011
	UK		USA	EU	RoW	Total
	£'000		£'000	£'000	£'000	£'000
Retail sales	186,748		25,950	91,047	85,349	389,094
Delivery receipts	7,277		596	2,089	1,895	11,857
Third party revenues	2,057		-	-	-	2,057
Total revenue	196,082		26,546	93,136	87,244	403,008
Cost of sales	(104,610)		(11,567)	(46,930)	(42,279)	(205,386)
Gross profit	91,472		14,979	46,206	44,965	197,622
Distribution costs before exceptional items	(16,360)		(7,372)	(11,233)	(13,142)	(48,107)
Segment result						149,515
Administrative expenses before exceptional items						(117,446)
Operating profit before exceptional items						32,069
Exceptional items						(19,065)
Share of post tax losses of joint venture						47
Finance income						12
Finance expense						(432)
Profit before tax						12,631

Unaudited pro forma Analysis of Operating Expenses (excluding exceptional items)

	31 August 2012 £'000	31 August 2011 £'000
Distribution costs	(79,076)	(48,107)
Payroll and staff costs	(50,070)	(38,574)
Warehousing	(32,702)	(27,155)
Marketing	(21,233)	(14,680)
Production	(3,780)	(3,015)
Technology costs	(8,023)	(8,355)
Other operating costs	(32,167)	(19,656)
Depreciation	(10,224)	(6,011)
Total operating costs	(237,275)	(165,553)

Unaudited pro forma Analysis of Exceptional Items

		31 August 2012 £'000	31 August 2011 £'000
Dual site decollation costs1		(228)	(7,245)
Pre go-live occupancy and employee costs		-	(8,795)
Vacant property costs		(1,435)	-
Impairment of assets		(2,800)	(3,025)
Total exceptional items		(4,463)	(19,065)

¹Included within dual site decollation costs for the year to 31 August 2012 are delivery costs of £nil (2011: £2.3m) which have been

classified within distribution expenses in the statement of comprehensive income. The remaining exceptional costs have been included within administrative expenses

Unaudited Key Performance Indicators

a) KPIs as at 31 August 2012

		Year to 31 August 2012 International
KPIs	UK	USA	EU	RoW	Total	Group Total
Average basket value1	£64.57	£57.53	£60.85	£59.16	£59.58	£61.89
Growth	-	(4%)	(11%)	(15%)	(12%)	(6%)
Average units per basket	2.29	2.27	2.39	2.47	2.41	2.35
Growth	(2%)	(1%)	(10%)	(15%)	(11%)	(5%)
Average selling price per unit1	£28.16	£25.30	£25.44	£23.90	£24.75	£26.29
Growth	1%	(3%)	-	(1%)	(1%)	(1%)
Number of orders ('000)	6,279	1,216	2,984	3,071	7,271	13,550
Growth	11%	107%	58%	131%	91%	43%
Unique visitors ('000)2						18,800
Growth						69%
Total visits ('000)2	12,864	5,947	12,867	13,568	32,382	45,246
Growth	5%	52%	34%	47%	42%	29%
Active customers ('000)3	2,254	573	1,217	952	2,742	4,996
Growth	6%	89%	57%	105%	78%	36%

¹Including VAT

²During August

³As at 31 August, defined as having shopped with ASOS during the last 12 months

b) Historic unique visitors and active customer information

	At 28 February 2011	At 31 August 2011	At 29 February 2012	At 31 August 2012
Unique visitors ('000)1	9,200	11,100	15,600	18,800
Active customers ('000)2	3,026	3,661	4,272	4,996

¹During the relevant month

²As at the end of the relevant month, defined as having shopped with ASOS during the last 12 months

Unaudited pro forma Analysis of Earnings per Share

	31 August 2012	31 August 2011
	No. of shares	No. of shares
Weighted average share capital
Weighted average shares in issue for basic earnings per share	77,488,212	74,967,953
Effect of dilutive options	5,551,275	5,695,825
Weighted average shares in issue for diluted earnings per share	83,039,487	80,663,778

	31 August 2012	31 August 2011
	£'000	£'000
Earnings
Underlying earnings attributable to shareholders	32,897	22,492
Exceptional items net of related taxation	(3,360)	(13,727)
Earnings attributable to shareholders	29,537	8,765
	31 August 2012	31 August 2011
	pence	pence
Basic earnings per share
Underlying earnings per share1	42.5	30.0
Exceptional items net of taxation	(4.4)	(18.3)
Earnings per share2	38.1	11.7
	31 August 2012	31 August 2011
	Pence	pence
Diluted earnings per share
Underlying earnings per share1	39.6	27.9
Exceptional items net of taxation	(4.0)	(17.0)
Earnings per share2	35.6	10.9

¹Underlying earnings per share has been calculated using profit after tax but before exceptional items

²Earnings per share has been calculated using profit after tax and exceptional items

Unaudited pro forma Consolidated Statement of Financial Position

	31 August 2012	31 August 2011
	£'000	£'000
Non-current assets
Goodwill	1,060	1,060
Other intangible assets	22,176	12,426
Property, plant and equipment	27,293	26,212
Deferred tax asset	8,111	16,346
	58,640	56,044
Current assets
Inventories	100,263	66,561
Trade and other receivables	19,066	14,991
Derivative financial assets	-	192
Current tax asset	425	4,903
Cash and cash equivalents	27,884	14,183
	147,638	100,830
Assets of disposal group classified as held-for-sale	-	2,800
Current liabilities
Trade and other payables	(100,291)	(75,796)
Revolving credit facility	-	(10,000)
	(100,291)	(85,796)
Net current assets	47,347	17,834
Net assets	105,987	73,878
Equity attributable to owners of the parent
Called up share capital	2,854	2,672
Share premium	6,105	5,634
Employee Benefit Trust reserve	(2,464)	(2,389)
Hedging reserve	-	192
Retained earnings	99,492	67,769
Total equity	105,987	73,878

Unaudited pro forma Analysis of Fixed Asset Additions

	31 August 2012 £'000	31 August 2011 £'000
IT	14,832	12,883
Office fixtures and fit-out	2,437	1,324
Warehouse	3,786	18,270
Total	21,055	32,477

Unaudited pro forma Consolidated Statement of Cash Flows

	31 August	31 August
	2012	2011
	£'000	£'000
Operating profit	41,119	13,004
Adjusted for:
Operating exceptional items	4,463	19,065
Depreciation of property, plant and equipment	5,743	3,502
Amortisation of other intangible assets	4,481	2,509
Increase in inventories	(33,702)	(12,621)
(Increase)/decrease in trade and other receivables	(4,075)	412
Increase in trade and other payables	27,901	26,954
Share-based payments charges	953	1,105
Income taxes received/(paid)	1,883	(3,930)
Net cash generated from operating activities before exceptional items	48,766	50,000
Cash outflow relating to exceptional operating items	(1,695)	(16,008)
Net cash generated from operating activities	47,071	33,992
Investing activities
Payments to acquire other intangible assets	(14,500)	(21,996)
Payments to acquire property, plant and equipment	(7,154)	(10,481)
Finance income	-	12
Net cash outflow used in investing activities	(21,654)	(32,465)
Financing activities
Proceeds from issue of ordinary shares	463	1,094
Purchase of shares by Employee Benefit Trust	(1,337)	(1,349)
(Repayment)/drawdown of revolving credit facility	(10,000)	10,000
Finance expense	(842)	(432)
Net cash (used in)/generated from financing activities	(11,716)	9,313
Net increase in cash and cash equivalents	13,701	10,840
Opening cash and cash equivalents	14,183	3,343
Closing cash and cash equivalents	27,884	14,183

Unaudited pro forma Analysis of Net Debt

		31 August  2012  £'000	31 August  2011  £'000
Net movement in cash and cash equivalents		13,701	10,840
Repayment/(drawdown) of revolving credit facility		10,000	(10,000)
Net movement in net funds		23,701	840
Opening net funds		4,183	3,343
Closing net funds		27,884	4,183
Closing net funds comprises:
Cash and cash equivalents		27,884	14,183
Drawings under revolving credit facility		-	(10,000)
Net funds		27,884	4,183

Unaudited pro forma Consolidated Statement of Changes in Equity

		Called up share capital	Share premium	Hedging reserve	Retained earnings1	Employee Benefit Trust reserve	Total equity
		£'000	£'000	£'000	£'000	£'000	£'000
Balance as at 1 September 2010		2,633	4,579	57	47,329	(2,187)	52,411
Shares allotted in the year		39	1,055	-	-	-	1,094
Net purchase of shares by Employee  Benefit Trust		-	-	-	-	(1,349)	(1,349)
Transfer of shares from Employee Benefit Trust  on exercise		-	-	-	(1,147)	1,147	-
Share based payments charge		-	-	-	1,105	-	1,105
Profit for the year and total comprehensive income		-	-	-	8,765	-	8,765
Deferred tax on share options		-	-	-	5,760	-	5,760
Current tax on items taken                  directly to equity		-	-	-	5,957	-	5,957
Derivative financial assets		-	-	135	-	-	135
Balance as at 31 August 2011		2,672	5,634	192	67,769	(2,389)	73,878

Shares allotted in the year		182	471	-	-	-	653
Net purchase of shares by Employee Benefit Trust		-	-	-	-	(1,337)	(1,337)
Transfer of shares from Employee Benefit Trust  on exercise		-	-	-	(1,262)	1,262	-
Share based payments charge		-	-	-	953	-	953
Profit for the year and total comprehensive income		-	-	-	29,537	-	29,537
Deferred tax on share options		-	-	-	(8,047)	-	(8,047)
Current tax on items taken     directly to equity		-	-	-	10,542	-	10,542
Derivative financial assets		-	-	(192)	-	-	(192)
Balance as at 31 August 2012		2,854	6,105	-	99,492	(2,464)	105,987

¹Retained earnings includes the share-based payments reserve

 

END

 

 

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