Slide 1: Reserved Mohito
RESERVED MOHITO
Slide 2: Disclaimer
DISCLAIMER This presentation (the “Presentation”) was prepared by LPP SA (the “Company”) with due care. Still, it may contain certain inconsistencies or omissions. The Presentation does not contain a complete or thorough financial analysis of the Company and does not present its standing or prospect
Slide 3: Summary 2Q24
SUMMARY 2Q24 LPP Very good response to the summer collections by customers in Sinsay and House brands. PLN 5.0bn revenue in the second quarter, up by 9.4% YoY (+13.2% in constant currency). 17.5% YoY growth in offline sales and 12.0% YoY growth in online sales. Gross margin on sales 52.5% (+4.6 pp.
Slide 4: Positive outlook for 3Q24
POSITIVE OUTLOOK FOR 3Q24 LPP The first Autumn/Winter 2024 collections were positively received by customers, resulting in a 32% YoY growth in constant currencies in the Group’s omnichannel sales from 1 August to 20 September, compared to the previous year. Positive LFLs (+10%), the largest increase
Slide 5: Almost 2,500 stores
ALMOST 2,500 STORES Baltics 104 (+9) a As at 31.07.2024 No. of stores YoY LPP GROUP 2,492 + 351 Sinsay 1,132 +292 Eastern Reserved 364 +1 Europe & ME Cropp 382 +19 247 (+52) House 381 +20 Mohito 233 +9 LPP 5 2Q24 PRESENTATION >
Slide 6: LPP
LPP 6 2Q24 PRESENTATION
Slide 7: Double-digit growth in offline and online sales
DOUBLE-DIGIT GROWTH IN OFFLINE AND ONLINE SALES GROUP REVENUES (PLN m) 4,575 5,005 ey 412.0%, |oog 1,079 +175% om a 2923 2024 = Offline Online LPP 9,311 8,215 505, 729 417.3% | 2,866 2,017 419.2% _— 1H23 1H24 Trade agents i Other * In 2Q24, +17.5% YoY growth in offline sales due to 122 new store lau
Slide 8: Foreign revenues higher than revenues from Poland
FOREIGN REVENUES HIGHER THAN REVENUES FROM POLAND SHARE OF OMNICHANNEL SALES BY REGION IN 2Q24 * In 2Q24, omnichannel sales on foreign markets (YoY sales dynamics) were higher than in Poland and accounted for 53.5% of the Group’s omnichannel sales. Eastern Europe & ME; 9% Baltics; 4% +14% YoY) " Dou
Slide 9: Double-digit growth in online sales
DOUBLE-DIGIT GROWTH IN ONLINE SALES ONLINE BY REGION (PLN m) 1,208 1,079 +6.3% 614 578 a +18.6% 594 2923 2924 Poland LPP — +17.3% —_-, 2,017 4,110 908 1H23 Abroad +11.0% +24.9%, 2,366 1,232 1,134 1H24 In 2Q24, +12.0% YoY growth in online sales. In 2Q24, +18.6% YoY growth in online revenues in Poland
Slide 10: Dynamic growth of floorspace
DYNAMIC GROWTH OF FLOORSPACE FLOORSPACE BY REGION * +10.3% YoY floorspace growth in Poland due to development in retail parks in smaller towns. ths. m? 2023 2024 YoY — ; ; * Significantly higher floorspace growth outside LPP GROUP 1,826.7 2,165.4 18.5% the country (+25.0% YoY). Poland 806.7 889.9 10
Slide 11: Quarterly trend 2Q22-2Q24
▪ ▪ ▪ 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24
Slide 12: Rental costs, HR costs, other costs
▪ ▪ ▪ 2Q23 2Q24 Rental costs HR costs Other costs
Slide 13: SG&A/ m²
▪ ▪ 350 45% 40% 300 ▪ 35% 250 30% 200 25% ▪ 20% 150 15% 100 10% ▪ 50 5% 0% 0 2Q23 2Q24 ▪ SG&A/ m² SG&A % sales
Slide 14: EBITDA of PLN 1bn in the quarter
EBITDA OF PLN 1BN IN THE QUARTER PLN m, IFRS16 2Q23 2Q24 YoY " YoY sales increases due to good results in online and offline sales. Revenues 4,575.4 5,005.0 IAS Gross profit margin on 47.9% 52.5% 4.épp. " Higher YoY gross profit margin on sales mainly due SGRA 15798 7.0090 70% to: lower nominal coll
Slide 15: Over PLN 1bn EBIT in the half year
OVER PLN 1BN EBIT IN THE HALF YEAR Revenues 8,214.8 9,311.0 13.3% Gross profit margin on 48.7% 52.3% 3.6pp. SG&A costs 3,127.6 3,832.0 22.5% Other operating activity -35.0 18.0 N/M EBIT 837.7 1,022.0 22.0% EBIT margin 10.2% 11.0% 0.8pp. Net financial activity -126.3 -90.0 N/M Net profit 553.3 720.0
Slide 16: Inventory/ m² (PLN)
▪ 5,000 2,500 ▪ 4,000 2,000 ▪ 3,000 1,500 ▪ 2,000 1,000 ▪ 1,000 500 0 0 2Q23 2Q24 Inventory (PLN m) Inventory/ m² (PLN)
Slide 17: Working capital: receivables, inventory, liabilities
▪ ▪ ▪ ▪ ▪ 2Q23 2Q23 2Q24 2Q24 Trade receivables Inventory Trade liabilities
Slide 18: Net debt
▪ ▪ 4,500 1.4 ▪ 4,000 1.2 3,500 3,000 1.0 ▪ 2,500 0.8 ▪ 2,000 0.6 ▪ 1,500 0.4 1,000 0.2 ▪ 500 0 -0.1 2Q23 2Q24 ▪ Net debt Net debt/ EBITDA (4Q)
Slide 19: Investments in line with the plan
INVESTMENTS IN LINE WITH THE PLAN CAPEX = In 2Q24, CAPEX amounted to PLN 401m, i.e. (PLN m) +51.0% YoY. 421.9% —— " Expenditure on stores amounted to PLN 253m GIG 687 due to dynamic openings of Sinsay brand stores. 401 537 202 * Expenditure on infrastructure and IT amounted 106 to PLN 148m, mainly d
Slide 20: Corporate events in 2Q24
CORPORATEEVENTS IN-2Q24 2Q24 PRESENTATION
Slide 21: Back to School
“BACK TO SCHOOL” = Shopping of the Back to school collection spread over August and September due to the warm weather. = Very good sales of transitional models (t-shirts, shorts, leggings, non-seasonal underwear) and low-season groups (trousers and jeans). = High sales of licence models. = Expected
Slide 22: Positive response to autumn collections in Reserved
POSITIVE RESPONSE TO AUTUMN COLLECTIONS IN RESERVED = Very high interest in models with animal print. The trend well received both in casual and more elegant versions. = Strong sales of the preppy collection, which combines timeless elegance with sports accents. " Comparable store sales (LFLs) +9.7%
Slide 23: Reserved debut in Bahrain
RESERVED DEBUT IN BAHRAIN Opening of the first The store with the Collections f Reserved brand store floorspace of 1,028 m? mel men available in Bahrain in June located in the Marassi om @Risr 2024. Galleria centre. Further development of Reserved in the Middle East. The 15t* brand store in the ME r
Slide 24: Launch of two warehouses for e-commerce service
LAUNCH OF TWO WAREHOUSES FOR E-COMMERCE SERVICE Gdarisk = Pruszez Pruszez 9 Gdarisk Gdaisk —~" @ Brzesé Kujawski BYDGOSZCZ Bydgoszcz (Poland) 9 © = The largest Fulfilled Center in the LPP Logistics network (Biale Btota commune in the Bydgoszcz district) with the floorspace Jasionka of over 100,000 m
Slide 25: Technology and artificial intelligence as a support to logistics
TECHNOLOGY AND ARTIFICIAL INTELLIGENCE AS A SUPPORT TO LOGISTICS The new warehouse facilities use technologies, such as: ARTIFICIAL INTELLIGENCE ALGORITHMS = Management of goods in real time. * Optimisation of the shipment delivery The use of a shipping sorter which, by automating process. The syste
Slide 26: 2024 + Outlook
2024 + OUTLOOK a ~ 4 2Q24 PRESENTATION
Slide 27: Positive outlook for 3Q
POSITIVE OUTLOOK FOR 3Q = 32% YoY growth in the Group’s revenue in constant currencies in the period from 1 August to 20 September 2024. = Positive response to the Back to school and Autumn/Winter 2024 collections. = Planned opening of 140 new stores of all brands in 3Q24. LPP 27 2Q24 PRESENTATION >
Slide 28: Dynamic development of Sinsay store network
DYNAMIC DEVELOPMENT OF SINSAY STORE NETWORK 2023 ._—_ 2024 ._—_ = Sinsay brand store openings in smaller towns, mainly retail parks. = Highest store development in 2024 outside Poland in the countries of South and Central and Eastern Europe. = In 2024, ca 25% YoY growth in floorspace. = Target for 2
Slide 29: Further development of mobile apps
FURTHER DEVELOPMENT OF MOBILE APPS The Sinsay app generates almost 70% of online sales in markets where it is available. Mature countries like Poland and Romania account for as much as 80% of the share. In Reserved, the app generates ca 55% of online sales. Very good i . ‘di response to the Mohito a
Slide 30: 2024 target: growth in revenues
2024 TARGET: GROWTH IN REVENUES = Group revenues PLN 20-21bn. " Gross profit margin on sales 52-53%. = SG&A/ revenues below 40% - maintaining cost effectiveness. = Offline revenues - growth due to higher floorspace +25% YoY and positive LFLs. = Online revenues — double-digit YoY growth. * PLN 1.5bn
Slide 31: Q&A
Slide 32: Glossary
GLOSSARY Poland Retail sales in Poland and other sales of LPP SA. Region including: CEE (Czech Republic, Slovakia, Hungary), Baltic (Lithuania, Latvia, Estonia), SEE (Bulgaria, Romania, Croatia, Serbia, Slovenia, Bosnia and Herzegovina, Northern Other countries Macedonia, Greece), WE (Germany, Unite
Slide 33: LPP discoverlpp
© discoverlpp ©. discoverlpp < LPP 33 2Q24 PRESENTATION