MYEP-Myer百货集团财报2019（英文）-2020.5-102页_2mb

Myer Holdings Limited Annual General Meeting Summary (2019)

Core Content

Myer Holdings Limited held its tenth Annual General Meeting on 30 October 2019. The report highlighted the company's ongoing focus on strengthening the business through the Customer First Plan, improving efficiency, and enhancing the customer experience both in-store and online.

Main Points

1. Customer First Plan

• Myer is committed to placing customers first in all decisions and actions.
• The plan includes:
  • Enhancing store layouts and brand adjacencies in 34 stores.
  • Introducing and expanding new brands across core categories.
  • Improving the digital shopping experience through features and improvements.
  • Closing the gap between in-store and online product ranges.

2. Store Portfolio and Refurbishments

• Myer operates 61 department stores across Australia, including Sass & Bide, Marcs, and David Lawrence (MDL).
• Refurbishments were completed at Castle Hill and Maroochydore, and plans were announced for Cairns and Belconnen.
• Some stores were closed, including the Logan store and Hornsby store by January 2020, and the exit from Emporium level four by May 2020.
• The 'My Store' campaign was relaunched in October 2018 to highlight Myer's role in Australian culture and its evolution.

3. Brand Expansion

• Over 50 new brands were added in 2019, with plans to increase this to 90 by Christmas.
• Notable brands include:
  • Selected Femme & Selected Homme: Modern fashion from Denmark.
  • Vero Moda: Expanded to all stores from July 2019.
  • Jack London: Exclusive menswear brand now available in 12 stores and online.
  • Twisted Tailor: Offers younger customers an alternative to traditional tailoring.
  • Name It: Popular childrenswear brand available in 20 stores and online.
  • Aesop: Exclusive Australian beauty brand in 18 stores.
  • Radley: High-quality British handbag brand available in all stores from August 2019.
  • Karl Lagerfeld Paris: Launched in March 2019, expanded to 30 stores.

4. Online Growth

• Total digital sales increased by 21.9% to $292.1 million, now representing 9.8% of total sales.
• Online sales (excluding in-store iPads) rose by 25.6% to $262.3 million.
• The new website, launched in September 2018, was enhanced based on customer feedback and improved mobile experience.
• Myer Market continued to grow with over 145 sellers and 58,000 products available.
• The Myer Product Enrichment Portal was implemented, improving product registration and online availability.

5. Financial Performance

• Total Sales: Down 3.5% to $2,991.8 million.
• Comparable Store Sales: Down 2.9%, with a 1.3% decline when excluding Apple products.
• Operating Gross Profit (OGP): Declined by 1.9% to $1,162.4 million, but margin improved by 65 basis points to 38.9%.
• Cost of Doing Business (CODB): Reduced by 3.1% to $1,002.4 million, due to improved efficiencies and cost savings in IT, occupancy, and marketing.
• EBITDA: Increased by 7.2% to $160.1 million.
• Net Profit After Tax (NPAT): Increased by 2.2% to $33.2 million, excluding implementation and significant items.
• Operating Cash Flow: Increased by $8 million to $138 million.
• Net Debt: Reduced by $69 million to $39 million, reflecting continued deleveraging.

6. Efficiency Measures

• The Support Office was reduced by one floor and now occupies 30% less space.
• The company continues to simplify structures and reduce duplication.
• RFID smart labels were trialed to improve inventory management and reduce product loss.

7. Community and Social Responsibility

• Myer's Community Fund supported over 55 charities, disbursement of over $1.9 million in 2019.
• The Precious Metal Ball, now in its 15th year, raised over $200,000 for the Australian Childhood Foundation.
• Myer also raised $240,000 to support flood and drought affected communities.

8. Leadership and Governance

• The Board was significantly refreshed, with five of eight members joining within the last three years.
• An equal split of female and male directors was achieved, demonstrating commitment to gender diversity.
• Directors are encouraged to "have skin in the game" through a Shareholding Policy, with collective ownership of over two million shares.
• Key appointments included:
  • Geoff Ikin: Chief Customer Officer, responsible for online, marketing, PR, and customer engagement.
  • Tabitha Pearson: Executive General Manager People and Culture.
  • Paul Goodall: Executive General Manager Store Design and Development.

9. Customer Satisfaction

• Myer won the Roy Morgan Annual Customer Satisfaction Award for Department Store of the Year for the fourth consecutive year.
• Customer feedback through the Voice of Customer program was used to improve the shopping experience.
• Team member satisfaction scores averaged above 85% in several stores.

Key Information

• Digital Sales: Represented 9.8% of total sales and became the largest store by sales.
• Loyalty Program (MYER one): Over five million members, earning $20 Reward Cards for every $1,000 spent.
• Marketing Campaigns: Myer's Santaland won global awards for its innovative design and concept.
• Corporate Structure: The company is focused on efficiency, with a simplified Support Office and a restructured management team.
• Future Goals: To continue transforming the business for customer and shareholder value, with a focus on growth, innovation, and profitability.

Summary of Financial Highlights

Conclusion

Myer continues to focus on customer-centric strategies, brand expansion, and operational efficiency to drive sustainable growth and profitability. The company's commitment to innovation, community support, and financial discipline positions it well for the future.