Gn Store Nord A/s · OMXCOP:GN
Gn Store Nord A/s — Q1 2025 Earnings Presentation
25 slides from Gn Store Nord A/s's earnings presentation, May 1, 2025
Slide 1: GN Interim Report Q1 2025 Conference call presentation
GN Interim Report Q1 2025 Conference call presentation May 1, 2025
Slide 2: Safe Harbor Statement
Safe Harbor Statement The forward-looking statements in this report reflect the management's current expectations of certain future events and financial results. Statements regarding the future are, naturally, subject to risks and uncertainties, which may result in considerable deviations from the o
Slide 3: Agenda
Group highlights Divisional highlights Agenda Financial guidance 3
Slide 4: Group highlights: Growth challenged by market uncertainty
Group highlights Growth challenged by market uncertainty Hearing Enterprise Gaming Strong initial uptake of ReSound Vivia Sell-out growth in North America and Market share gains in a challenged and Savi Rest of World, where Europe is gaming gear market leading to 11% challenged due to economic condi
Slide 5: Navigating in a world with significant uncertainties
Navigating in a world with significant uncertainties -3% Organic growth 8% -395m (excl. wind-down) Free cash flow excl. • -1% in Hearing EBITA margin M&A (DKK) • -9% in Enterprise • 11% in Gaming 5
Slide 6: GN Store Nord: Growth challenged by market uncertainty
GN Store Nord: Growth challenged by market uncertainty Revenue (DKKm) • Organic revenue growth ended at -3% excluding wind-down effect (reported organic growth was -8%), leading to group 4,303 4,096 3,986 revenue of DKK 3,986 million. Total revenue growth was -5% -3% +1% 0% -7% • Gross margin of 54.
Slide 7: Cash flow impacted by traditional seasonality
Cash flow impacted by traditional seasonality Free cash flow excl. M&A (DKKm) • Operational cash flow ended at DKK 647 million in Q1 2025 compared to DKK 783 647 million in Q1 2024 • Negative impact from change in working capital, reflecting traditional seasonality • Step-up in financial items as pl
Slide 8: Agenda
Group highlights Divisional highlights Agenda Financial guidance 8
Slide 9: Hearing: Strong launch of ReSound Vivia in a challenged US market
Hearing: Strong launch of ReSound Vivia in a challenged US market • Hearing delivered -1% organic revenue growth, driven by a DKK million Q1 2025 Q1 2024 Growth strong initial uptake of ReSound Vivia, but offset by a challenged US market as well as some slowdown of existing products in anticipation
Slide 10: Hearing: Vivia success visible in the numbers – strong growth in April
Hearing: Vivia success visible in the numbers – strong growth in April US ReSound snapshot Market share gains across Launch tracking initial plan (8 weeks into launch) launched countries (volume) Awareness: Number of trained customers US ReSound (excl. VA and Costco) February >10% +3%p Commercial Ma
Slide 11: Enterprise: Continued strong margin, despite sell-in pressure
Enterprise: Continued strong margin, despite sell-in pressure due to the global economic uncertainty • -9% organic revenue growth due to challenged European DKK million Q1 2025 Q1 2024 Growth market conditions and selected channels reducing inventory. Total revenue growth was -8% Revenue 1,666 1,811
Slide 12: Enterprise: Revenue impacted by sell-in pressure and traditional seasonality
Enterprise: Revenue impacted by sell-in pressure and traditional seasonality Sell-in vs. sell-out in Q1 2025 Slow start due to seasonality and economic challenges 28% 25% 25% 22% Avg. seasonality past 10 years Q1 Q2 Q3 Q4 • Sell-out growth in North America and Rest of World, while Europe is challeng
Slide 13: Gaming: Continued strong momentum driving 11% organic revenue growth
Gaming: Continued strong momentum driving 11% organic revenue growth and Gaming only Wind-down solid margin improvements DKK million Q1 2025 Q1DKK 2024million Growth Q1 2025 Q1 2024 Growth • The Gaming business experienced 11% organic revenue growth reflecting market share gains in a challenged gear
Slide 14: Agenda
Group highlights Divisional highlights Agenda Financial guidance 14
Slide 15: GN is taking actions to navigate fast-changing trade environment
GN is taking actions to navigate fast-changing trade environment Accelerate diversification of manufacturing footprint Enterprise and Gaming price increases Cost and cash flow initiatives to protect financials 15
Slide 16: Accelerate diversification of manufacturing footprint
Accelerate diversification of manufacturing footprint Revenue Sub-product Manufacturing split of products imported to the US Division share (2024) categories End 2024 June 2025 End 2025 Enterprise Gaming Hearing1 China Germany Vietnam Taiwan China (exempt) Malaysia Thailand US GN will be able to ser
Slide 17: Difficult to quantify the overall demand impact from the trade environment
Difficult to quantify the overall demand impact from the fast-changing trade environment Overall assumption that current tariff levels (and related exemptions) remain throughout the year Hearing Enterprise Gaming • Market to growth in line with • Global macroeconomic uncertainty • Global macroeconom
Slide 18: Cost and cash flow initiatives to protect financials
Cost and cash flow initiatives to protect financials Supply chain Hiring freeze and OPEX challenge Pausing non-time initiatives travel reduction to organization critical projects and activities COGS OPEX OPEX OPEX & CAPEX 18
Slide 19: EBITA: Mitigation program in place to counter negative impact from tariffs
EBITA: Mitigation program in place to counter negative impact from tariffs EBITA margin bridge 2025e (illustrative) 12-14% 11-13% Feb. 7 guidance Direct and indirect Supply chain initiatives Price increases OPEX savings FX Updated guidance effects from tariffs1 incl. diversification Note 1: Direct t
Slide 20: 2025 financial guidance
2025 financial guidance Organic revenue growth EBITA margin FCF excl. M&A (DKKm) excl. wind-down1) GN Store Nord -3% to 3% 11% to 13% ~800 Note 1: The negative impact from the wind-down on group organic revenue growth in 2025 will be around 3 percentage points, while the negative impact specifically
Slide 21: Q&A
Q&A www.gn.com E-mail: investor@gn.com Rune Sandager, Head of Investor Relations, Tel.: +45 4575 9257 21
Slide 22: Appendix
Appendix "s GN
Slide 23: GN Store Nord – five-year performance
GN Store Nord – five-year performance DKK million 2020 2021 2022 2023 2024 GN Store Nord Revenue 13,449 15,775 18,687 18,120 17,985 Organic growth 9% 20% -3% -1% 1% Gross margin 54.3% 55.0% 48.9% 49.4% 53.2% EBITA 1,866 2,619 1,560 1,200 2,153 EBITA margin 13.9% 16.6% 8.3% 6.6% 12.0% Operating profi
Slide 24: All material debt maturities until Q3 2026 fully funded
All material debt maturities until Q3 2026 fully funded Maturity profile – Q1 2025 DKKm 5,952 3,869 2,125 37 722 423 369 369 369 319 451 37 37 -787 Q1 2025 Q2 2025 Q3 2025 Q4 2025 2026 2027 2028 2029 2036 2037 Cash at hand Commercial paper, MM Loan and Overdraft EMTN bond Undrawn RCF Drawn Term Loan
Slide 25: GN Store Nord share overview
GN Store Nord share overview Share price development • GN has a share capital of DKK 603,650,860, which is consisting of 130 150,912,715 shares, each carrying four votes. GN has one share class, 110 and there are no restrictions on ownership or voting rights 90 70 • GN is, among other indices, inclu