2Q12 Results Conference Call and Webcast
August 15th, 2012 (Wednesday)
Time: 11:00 a.m. (US EDT) - 12:00 p.m. (Brazil)
Phone: +1 (786) 924.6977 - Code: B2W
Webcast: www.b2winc.com/webcast2Q12
Replay: until August 21st, 2012
Access: +55 (11) 4688.6312 Code: 6560635#
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This presentation contains forward-looking statements relating to the prospects of the business, estimates for operating and financial results, and those related to growth prospects of B2W. These are merely projections and, as such, are based exclusively on the expectations of B2W’s management concerning the future of the business and its continued access to capital to fund the Company’s business plan. Such forward-looking statements depend, substantially, on changes in market conditions, government regulations, competitors’ pressures, the performance of the Brazilian economy and the industry, among other factors and risks disclosed in B2W’s filed disclosure documents and are, therefore, subject to change without prior notice.
The financial statements were prepared and are presented in accordance with the international financial reporting standards (IFRS), norms issued by the Securities Exchange Commission (known locally as CVM), as well as the Novo Mercado listing. Except when otherwise specified, the analyses refer to the Consolidated results of B2W.
BLOCKBUSTER® trademarks are owned by Blockbuster inc, and B2W – Companhia Global do Varejo. has the sublicense to use these trademarks in the activities of video rental on internet.
General Considerations
2Q12 and 1H12 Highlights
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Consolidated Gross Revenues: R$ 1,110.4 million in 2Q12 and R$ 2,230.3 million in 1H12;
Consolidated Net Revenues: R$ 996.9 million in 2Q12 and R$ 1,998.0 million in 1H12;
Submarino Card: 40% of participation in the website’s sales in 2Q12 and more than 730,000 cards issued;
Evolution of the PROCON SP Complaints Rating: In 1H12, the number of complaints registered in the PROCON SP presented a significant reduction of 64%;
Fitch Ratings upgraded B2W’s rating to A+: The credit rating agency Fitch Ratings upgraded B2W’s long-term corporate rating from A to A+, with stable outlook;
Investment Plan: B2W will invest more than R$ 1 billion in the next 3 years, reaffirming the strategy of getting closer to the client.
1,081 1,110
2Q11 2Q12
2,220 2,230
1H11 1H12
Consolidated Gross Revenue (R$ million)
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Consolidated Gross Revenue: R$ 1,110.4 MM in
2Q12 and R$ 2,230.3 MM in 1H12
2,011 1,998
1H11 1H12
983 997
2Q11 2Q12
Consolidated Net Revenue (R$ million)
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Consolidated Net Revenue: R$ 996.9 MM in 2Q12
and R$ 1,998.0 MM in 1H12
32%
40%
2Q11 2Q12
Submarino Finance
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Submarino Card: Increase of 8.0 p.p. of the
participation in website’s sales
+8 p.p.
3,369
1,217
1H11 1H12
12,530
5,569
1H11 1H12
4,375
1,923
1H11 1H12
3,369
1,217
1H11 1H12
12,530
5,569
1H11 1H12
4,375
1,923
1H11 1H12
Evolution of the Complaints Ratings
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3,369
1,217
1H11 1H12
12,530
5,569
1H11 1H12
4,375
1,923
1H11 1H12
PROCON - SP
SINDEC TJRJ
Reputation Good Good Good
Evaluation 5.62 5.23 5.52
Answered 100% 99.9% 99.9%
Solution 82.9% 80.2% 80.0%
Business 56.2% 56.4% 54.0%
Response
Time*2.91 days 4.17 days 3.59 days
Reputation Regular Good Regular
Evaluation 4.99 5.20 4.79
Answered 100% 99.9% 100%
Solution 79.1% 81.3% 76.6%
Business 50.6% 57.1% 46.3%
Response
Time*2.91 days 4.17 days 3.59 days
6 Months
Evolution
6 months x 12 months
12
Months
Reclame Aqui Americanas.com Submarino Shoptime
Subsidiaries
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With the largest volume of DVD and Blu-ray Disc titles in Brazil;
First online rental to rent games.
International expansion: 284 cinema’s rooms in Mexico, 139 in Chile
and 83 in Argentina;
Applications for iPhone, mobile devices with Android operational
system and “Caixa Expresso”.
Start of the operations in Argentina;
Investment in mobile platform for tickets and packages’ sales.
Submarino Card’s participation on sales made on the Submarino
website of 40%;
More than 730,000 cards issued.
Investment Program: 3 Years
2013 – 2015
More than R$ 1 Billion
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Customer File
Largest digital customer file in Brazil and Latin America.
Traffic
Highest trafficked digital retail site in Brazil and Latin America.
Powerful Brands
Most visited and beloved digital retail brand in Latin America – world’s largest twitter following
among digital retailers.
Partnerships with the Most Important Suppliers / Product Depth
Strategic Partnerships with the most important suppliers / Market dominance in 36 product
categories.
Infrastructure
Best technological and logistical e-commerce platform in Latin America.
World Class Team
Best and most successful digital team in Latin America; strong talent recruitment and
development program.
Overview: Competitive Advantages
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Overview: Market Dominance
B2W Ranking:
Assortment B2W Ranking:
Online Sales
Automotive TOP 2 TOP 1
Baby TOP 1 TOP 1
Beauty & Health TOP 1 TOP 1
Bedding & Bath TOP 1 TOP 1
CDs, DVDs and Blu-Ray TOP 1 TOP 1
Camera, Photo & Video TOP 1 TOP 1
Household Appliances TOP 1 TOP 2
Eletronics TOP2 TOP 1
Portable Appliances TOP 2 TOP 1
Sports & Outdoors TOP 1 TOP 1
Tools TOP 1 TOP 1
Games TOP 1 TOP 1
Computer & Appliances TOP 1 TOP 1
Books TOP 1 TOP 1
Luggage & Accessories TOP 2 TOP 1
Furniture TOP 1 TOP 2
Perfumes TOP 1 TOP 1
Watches TOP 1 TOP 1
Phones & Cell Phones TOP 1 TOP 1
Home Utilities TOP 1 TOP 1
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In the Present
3 Technology Platforms
3 Logistics Platforms
3 Inventories
1 Technology Platform
1 Logistic Platform
1 Inventory
In the Past
Overview: Fully Integrated Platform
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Best Shopping
Experience Best Delivery Best Customer
Service
CLIENT
Investment Program: 2013 - 2015
We are ready to grow.
More than R$ 1 Billion of investments in the next 3 years.
We want to get closer to the clients.
4 new DCs in the next 60 days - More than 10 new DCs in the next 3 years.
We want to offer the Best Shopping Experience, Best Delivery Service and Best Customer Service.
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Overview: To Get Closer to the Client
We will Invest to “Get Closer to the Client”:
Mind Best Purchase Experience
Home Best Delivery Service
Heart Best Customer Service
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2Q12 Results Conference Call and Webcast
B2W Investor Relations Team
http://www.b2winc.com
Phone: +55 (21) 2206.6000
BUSINESS TO WORLD
COMPANHIA GLOBAL DO VAREJO
