Retail Australian Community

Business Model Drop-shipping model whereby products are sent directly to customers by suppliers Reduces the need to hold inventory, allowing for a larger product range Complemented by a private label range sourced directly by Temple & Webster from overseas suppliers Catalysts Profitable in FY24 26% increase in revenue year-on-year (yoy) at $500m. Target of $1b+ yearly on track Market share is increasing (2.5% up 31% yoy) Profitability means cashflow generated is used to fund growth External economic Conditions Consumer confidence and disposable income levels will impact demand for discretionary items Rising interest rates or a slowdown in housing dampens demand.

Narrative on Purchase Strong revenue growth supported by expansion into Europe & US, particularly through online channels Increasing size of outdoor clothing & equipment market should buoy the company Purchased at approx $1.42 in 2022 Update on Narrative Retail environment has been challenging over the last few years Kathmandu Brands have seen approx 10% - 15% declines in sales over the last year Sales are continuing to be weak as compared to last year Why has it been challenging? Cost of living pressures make the retail environment challenging, particularly for the types of clothing Kathmandu sells Mostly high priced gear for outdoor activities.

Key Takeaways Strategic diversification and focus on e-commerce are improving market position, operational efficiency, and revenue potential through efficient sales channels. New models and electric vehicle expansion present significant growth opportunities, supported by interest rate cuts and improved customer spending.

Key Takeaways Expanding Kogan Marketplace and Mighty Ape initiatives drives customer engagement and scalability, supporting future revenue and earnings growth. Strategic marketing and loyalty program enhancements boost customer acquisition, expected to improve net margins and sustain revenue growth.

Key Takeaways Expanding store network and strategic product mix shift towards general merchandise can drive revenue and enhance profit margins. Effective cost management amidst inflation and strong balance sheet support financial stability and potential shareholder value through dividends and buybacks.

Key Takeaways Strategic acquisitions, inventory management, and cost reduction initiatives are expected to enhance earnings, profitability, and revenue growth. Diversification in service and finance, along with Chinese partnerships, seeks to counter new car margin pressures and boost profitability.

Key Takeaways Strategic focus on efficient customer acquisition and marketing reduces costs and could enhance net margins and profitability. Expansion across indirect channels and international markets is set to boost revenue and market presence.

Key Takeaways Exclusive product launches and store expansions aim to boost market share, enhance revenue, and improve gross margins. Operational improvements, including supply chain efficiency and cost reductions, are set to enhance net margins and profitability in New Zealand.

Key Takeaways Aggressive expansion in home improvement and AI integration are expected to boost future revenue growth and improve net margins. The asset-light model, brand-building, and private-label focus enhance potential earnings growth and increase pricing power.