Loewe Investor Presentation.
October 2012.
Loewe
Company Presentation
Oct. 2012
Chart 2
Loewe – Concise profile.
Innovation with tradition.
Loewe offers premium home media and home
entertainment systems with award-winning design,
innovative technology and maximum ease of use.
Core markets for Loewe are Germany and other
key European countries. Approximately 65% of
sales revenues are generated in the domestic
market.
Founded in 1923, Loewe is based in Kronach,
Germany, and employs approx. 1,000 persons
mainly in its R&D, production, marketing and
sales department.
From the very beginning Loewe has been
a value-oriented company.
Loewe
Company Presentation
Oct. 2012
Chart 3
Loewe – Concise profile.
Today the Loewe brand is unique due to:
Loewe +Specialist
retail trade
Innovation
Competence
System
Competence
Individuality
Specialist
Trade Concept
Loewe
Company Presentation
Oct. 2012
Chart 4
Loewe – Concise profile.
Loewe shareholder structure.
Since the most recent capital increase in October
2005, Sharp Corporation, Osaka, Japan, continues
to hold its 28.83% stake in Loewe.
Loewe corporate bodies, committees and families
holding another 14.00%
28.83%
46.00%
14.00%
11.17%
Since November 7, 2011, the French storage and
network specialist LaCie has held 11.17% of the
voting rights of Loewe AG.
Analyst coverage:
- Deutsche Bank
- DZ Bank
- equinet Bank
Sharp (28.83%)
Management & Corporate Bodies (14.00 %)
LaCie (11.17%)
Freefloat (46,00%)
- Goldman Sachs
- Matelan Research
Since July 1999, Loewe has been a listed
company.
Loewe
Company Presentation
Oct. 2012
Chart 5
Loewe - Concise profile.
Analysts` Consensus.
Name
Date
SALES
2012
2013
equinet,
Ingbert Faust
Oct 12, 2012
252,0
260,0
-5,0
0,0
-0,47
DZ Bank,
Thomas Maul
Oct 08, 2012
249,6
262,1
-7,2
-3,7
Matelan Research, Oct 02, 2012
Dr. Anne Gronski
260,6
260,6
-7,8
Deutsche Bank,
Michael Kuhn
Jun 26, 2012
293,0
303,0
Goldman Sachs,
Rudolf Dreyer
Jan 27, 2012
281,9
267,4
Average
EBIT
2012
2013
EPS
2012
2013
Target Price
Rating
-0,13
4,70
HOLD
-0,47
-0,28
3,80
SELL
-4,8
-0,50
-0,50
4,80
NEUTRAL
0,1
4,3
-0,10
0,14
n.a.
HOLD
292,4
-8,5
-6,6
-0,47
-0,36
4,30
NEUTRAL
275,6
-5,7
-2,2
-0,40
-0,23
Oct 12, 2012
Loewe
Company Presentation
Oct. 2012
Chart 6
Development Market Share LCD-TV.
Top Ten in Europe (10). All Electrical Retailers.
Based on Turnover Electrical Retailers
Source: GfK
Loewe
Company Presentation
Oct. 2012
Chart 7
Basis of the premium strategy:
A clear mission.
Leading premium brand
for individual home
entertainment systems.
Loewe
Company Presentation
Oct. 2012
Chart 8
Basis of the premium strategy:
A special perceived value to differentiate
when competing with volume brands.
Minimalistic
Design
Innovative
Technology
Exclusive
Individuality
Loewe
Company Presentation
Oct. 2012
Chart 9
Basis of the premium strategy:
A premium market segment with future potential.
Market share development (value).
Premium brands and market leaders continue to enjoy preferences.
28,7%
28,7%
High-quality
Top-class products
40,1%
34,9%
34,9%
Mid-range
32,8%
36,4%
36,4%
Entry segment
27,1%
2005
2006
2007
2008
2009
2010
2011
Loewe
Company Presentation
Oct. 2012
Chart 10
Product & Pricing.
Loewe relevant distribution channels are
changing.
The German specialist retail trade loses sales share:
since 2006 shift of approx. 10%-points to technial super stores and other distribution channels.
Hyper Markets
/ Others
17%
Technical
Super Stores
47%
Classic
retail trade
36%
2006
21%
48%
23%
46%
21%
20%
48%
49%
28,7%
26%
34,9%
48%
31%
31%
31%
31%
2007
2008
2009
2010
26%
2011
Loewe
Company Presentation
Oct. 2012
Chart 11
Product & Pricing.
Loewe TV product line up.
Individual
Connect
Art
Reference ID
Individual
Connect ID
„Art ID“
2012 / 2013
Status 2011
Reference
Loewe
Company Presentation
Oct. 2012
Chart 12
Product & Pricing.
Strategic expansion of the product line up in 2012.
Core segment Loewe TV:
Introduction of the TV-line Connect ID which is
unique in terms of individuality options, at a price
range starting from EUR 1,500.
Conceptual redesign of the Xelos product line as
well as expansion to the large screen segment.
Audiodesign:
− New product category
− New target groups
− New retailers
− New distribution channels (Apple, Online)
Audiodesign faciliates the entry into the Loewe
premium world
Loewe meets the requirements of a significantly
broader and younger target group.
Loewe
Company Presentation
Oct. 2012
Chart 13
Product & Pricing.
Loewe Individual Design.
Individualization = more value = more customers.
Top customer benefits:
Individualization is the central principle of the
Loewe range and opens up possibilities for unique,
tailor-made home entertainment solutions.
This is due to our modular production concept,
which offers a variety of personalization potential
for every product line.
The opportunities for individualization are growing:
now the customer can choose from a range of
finishes or even personalize every aspect of the
individual design.
This is how Loewe ID distinguishes between its
product lines: the higher valued the product line,
the greater the possibilities for personalization.
Loewe
Company Presentation
Oct. 2012
Chart 14
Product & Pricing.
Loewe Individual Design.
Individualization = more value = more customers.
ID Counter
ID Highlight Presentation
ID Process
Loewe
Company Presentation
Oct. 2012
Chart 15
Product & Pricing.
Loewe Connect ID.
− Very successful market launch
− Good sell-through performance
− Best-in-class marketing
− New and younger target group
(Variety of colors, price term)
Competivite advantage individuality.
Loewe
Company Presentation
Oct. 2012
Chart 16
Masterful
Loewe Connect
ID.
Product
& Pricing.
Loewe Connect ID.
Elegant
Contemporary
Expressive
Artistic
Loewe
Company Presentation
Oct. 2012
Chart 17
Product & Pricing.
Loewe Individual.
Top customer benefits:
With the new Loewe Individual each customer can
configure their home entertainment system.
Technical Overview:
Full-HD-400Hz technology with E-LED backlight
DVB-T/T2/C/S/S2, analog incl. 2x CI+ V.1.3.
2x40 watts music power
3D Active Shutter Technology incl. 2D/3D conversion
DR+ with 750 GB harddisc and DR+ Streaming
GUI 2012 incl. new control unit and Home screen
MediaHome via USB/LAN/WLAN (DLNA)
iPad control
4xHDMI, 2x CI+, LAN/WLAN, 3x USB
Loewe
Company Presentation
Oct. 2012
Chart 18
Product & Pricing.
Loewe Reference ID.
Top selling points:
Every premium brand earns its name by offering a
relevant added value that no other brand does.
The Loewe added value is individual design.
Every premium brand has to prove that they truly
are premium. And this has to be done in the right
segment: in the absolute top class.
BMW has the 7 series, Mercedes the S class and
Audi the A8. The new Loewe Reference ID
powerfully illustrates Loewe’s genuine mastery
of personalization.
The Loewe Reference ID is a true high-end model.
It is a device that will win design prizes and dazzle
in communication. In other words, a beacon of
light.
Reference ID - the high-end product for highend requirements.
Loewe
Company Presentation
Oct. 2012
Chart 19
Product & Pricing.
Loewe GUI & AssistEasy Remote Control.
New Loewe GUI:
Joy of use with the new user interface:
- customizable Home Screen
- semitransparent menus
- musicplayer with Coverflow
- photoviewer with collages
- HD animations
- system user interface design
New AssistEasy:
- operation of the important functions via cursor
navigation
- for TVs, SoundBox, SoundVision and AirSpeaker
- available from 11/2012
Loewe
Company Presentation
Oct. 2012
Chart 20
Product & Pricing.
Loewe at the IFA 2012 in Berlin.
Loewe
Company Presentation
Oct. 2012
Chart 21
Product & Pricing.
Loewe at the IFA 2012 in Berlin.
Cooperation Reference Fazioli
Limited Edition Connect ID Strenesse
Cooperation Individual Gottschalk
Audio Design
Loewe
Company Presentation
Oct. 2012
Chart 22
Product & Pricing.
Prizes and design awards.
Loewe
Company Presentation
Oct. 2012
Chart 23
Placement – Premium Distriubtion.
Development of Loewe Galeries.
Loewe
Company Presentation
Oct. 2012
Chart 24
Placement – Premium Distribution.
Distribution / Sales Channels.
Country-specific distribution strategy:
Different retail structure in Europe
− Qualified retailers
− Technical superstores + chains
− Trade cooperations
− Online sales
Online sales:
1. Step: Apple online stores
2. Step: Audiodesign at Amazon + Otto July 2012
3. Step: Partial selection of TV assortment at Otto
since Sep 1, 2012
Loewe
Company Presentation
Oct. 2012
Chart 25
Placement – Premium Distribution.
Distribution / Sales Channels.
Growth markets:
− First payoffs in Russia
− Precise steps in India
− Veryfying and evaluating China
China:
− Subsidiary founded in Hong Kong
− Company in Shenzhen founded
− Purchasing department + showroom
− Chinese team: 10 – 15 people
− Target: to be faster, more innovative and
more cost-effective
Loewe
Company Presentation
Oct. 2012
Chart 26
Promotion - Premium Communication.
The role of Loewe communication is to bring
systematic individuality to life.
Loewe
Company Presentation
Oct. 2012
Chart 27
Outlook 2012.
Market forecast.
Further growing large (>37“) and super large (>60“)
screen segment of the LCD-TV market in Europe.
Growth impulse by new features like super high
resolution panels and Hybrid-TVs,
e.g. Smart TVs, they will have a similar positive
development than Smartphones.
Loewe
Company Presentation
Oct. 2012
Chart 28
Outlook.
Mid-term upside potential.
Loewe has great potential in international markets.
Loewe offers the most individual home
entertainment systems with growing audio segment.
Loewe is the leading premium brand
of the European consumer electronics industry.
Loewe Investor Relations.
Ticker symbol: LOE +++ Security code: 649410 +++ ISIN Code: DE 0006494107.
Loewe shares are traded in the Prime Segment of the German Stock Exchange.
Loewe AG +++ Investor Relations +++ Industriestrasse 11 +++ 96317 Kronach +++ Germany
Please feel free to contact: Axel Gentzsch +++ Anja Fröba
Phone: +49 9261 99-984 +++ Fax: +49 9261 99-994
Mail: ir@loewe.de +++ Web: www.loewe.tv/de
Follow: https://twitter.com/#!/Loewe +++ Like: http://www.youtube.com/loewe