Haypp Group Ab · OMXSTO:HAYPP
Haypp Group Ab — Q4 2024 Earnings Presentation
22 slides from Haypp Group Ab's earnings presentation, Feb 15, 2025
Slide 1: Full Year Report February 13, 2025
— =| x PP GROUP Full Year Report February 13, 2025
Slide 2: Today's presenters
Today’s presenters Ne ' Ww Peter Deli CFO HAYPP GROUP ge 7
Slide 3: Haypp Group
HAYPP GROUP
Slide 4: Operational highlights
Operational highlights – – – – Haypp Group Nicotine pouch volume LFL adj. Base Share of NP 37% 41% 43% 44% 45% 49% 52% 55% 58% 60% 63% 62% 2022 Q1 2022 Q2 2022 Q3 2022 Q4 2023 Q1 2023 Q2 2023 Q3 2023 Q4 2024 Q1 2024 Q2 2024 Q3 2024 Q4 LFL adjustment represent US Zyn and other NPs into closed states
Slide 5: US nicotine pouch market development
US nicotine pouch market development Consumption growth accelerated Key market dynamics • • • • • US NP market size estimate (mn cans) 900 800 25 700 600 500 16 400 818 14 300 11 531 200 3 340 100 257 1 149 0 2019 2020 2021 2022 2023 2024 Offline volume Online volume Source: internal estimates
Slide 6: Takeaways from first FDA nicotine pouch authorization
Takeaways from first FDA nicotine pouch authorization • • • •
Slide 7: US nicotine pouch market development
US nicotine pouch market development • • •
Slide 8: US nicotine pouch market development: fragmentation
US nicotine pouch market development Fragmentation – The last piece of the jigsaw is falling in place • • • • •
Slide 9: Net sales growth Q4 2024 bridge
• • +16% +37% 2023 Q4 US Closed US Zyn 2023 Core Growth 2024 Q4 reported states Q4 L4L
Slide 10: Net sales bridge (mn SEK)
• • (mn SEK) +8% +23% 2023 Q4 US US US Zyn 2023 Q4 Core Growth Emerging 2024 Q4 reported Closed Tobacco L4L states 2024 Q2
Slide 11: Full year and Q4 like-for-like growth
• • 22% 23% 20% 17% 8% 2023 FY 2024 FY 2024 2024 Q4 2024 NP Snus Vape&HNB Q4 2024 FY L4L Q4 L4L L4L
Slide 12: Gross margin as % of net sales
• • • • +38.3% Gross margin as % of Net 157 sales 126 135 135 99 97 113 97 93 75 79 78 12% 13% 12% 14% 12% 13% 13% 13% 14% 14% 14% 17% 2022 Q1 2022 Q2 2022 Q3 2022 Q4 2023 Q1 2023 Q2 2023 Q3 2023 Q4 2024 Q1 2024 Q2 2024 Q3 2024 Q4
Slide 13: Adj. EBIT bridge Q4 2023 to Q4 2024
• • 5.1 0.1 1.1 2.1 4.0 2.6 3.8 4.0 0.3 2.5 2.5 Adj. EBIT Margin Marketing OPEX Depr. Adj. EBIT Adj. EBIT Core and Core and Emerging Adj. EBIT Q4 ’23 Q4 ’24 Q4 ’23 Growth uplift Growth reinvestment Q4 ’24 Q4 ’24
Slide 14: Core Markets
Core Markets * Net sales increased 9 per cent and reached SEK 688.8 m (631.8) for the fourth quarter. In constant currency, net sales increased by 9 per cent + Nicotine pouch volume - which makes up over 50% of our Core volume - grew 24 per cent during the quarter; snus continued to decline as expec
Slide 15: Growth Markets
Growth Markets + Net sales on aLFL basis increased by 75 per cent. (Reported decrease of 8 per cent) to SEK 197.0 m (214.9) for the fourth quarter + Nicotine pouch volume grew by 78 per cent on a LFL basis (reported 3 per cent) during the quarter + The number of active customers decreased by 5 per c
Slide 16: Emerging Markets
Emerging Markets * Net sales for the fourth quarter, amounted to SEK 29.3 m from the vape segment in the UK, Germany and Sweden and HNB in UK * The number of active customers reached 21 thousand. * EBITDA for the business unit was SEK -10.4 m. The EBITDA margin amounted to -35.6 per cent driven by c
Slide 17: Selected KPIs
Selected KPls 2024 2023 Full-Year Full-Year Q4 Q4 2024 2023 Operational Number of orders (thousand) 1,217 1,168 4,946 4,426 Average order value (SEK) 689 679 690 672 Active customers (thousand) 571 531 1146 953 Balance sheet Inventories (MSEK) = - 263.3 Net working capital (MSEK) 4 - 219.5 253.1 Net
Slide 18: Our infrastructure is further improving
Our infrastructure is further improving Fulfilment infrastructure Flexible fulfilment infrastructure serving all Haypp Group’s markets @ In-house warehouse @ 3PL warehouse Inventory turnover ratio 13x LI2M Q4 ‘24 HAYPP GROUP Continued development both on front and backend Building for convenience an
Slide 19: Legal and regulatory update
Legal and regulatory update – –
Slide 20: Haypp Group
HAYPP GROUP
Slide 21: Outlook
Outlook * Long term fundamentals remains robust for risk reduced products, for the online channel and for Haypp * The Group’s operating model continues to deliver increasing value for consumers and suppliers while growing the company’s gross margin. This value creation is reflected in the mutually b
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