Slide 1: Kjell Group Q2 Report 2025
Kjell Group • Q2 Report 2025 • Andreas Rylander (CEO), Thomas Pehrsson (CFO) • 2025-07-18
Slide 2: Disclaimer
Disclaimer The presentation contains forward-looking statements. All statements other than statements of historical fact included in the Information are statements. Forward-looking statements give the Company’s current expectations and projections relating to it forward-lookings financial condition,
Slide 3: Agenda
Agenda Business update Financial development Concluding CEO reflections Q&A 64742 Levitating Lamp
Slide 4: Second quarter 2025
Second quarter 2025 Net sales decreased 10.9% to MSEK 529.7 (594.4) Gross profit decreased 7.7% to MSEK 223.7 (242.4) Gross margin increased 1.5%p to 42.2% (40.8) Adjusted EBITA totalled MSEK -9.2 (0.3) Net profit for the quarter amounted to MSEK -20.9 (-18.4) January 1st – June 30th 2025 Net sales
Slide 5: Short-term cash flow challenges
Short-term cash flow 1 Increased inventory levels challenges ▪ ▪ Lower-than-expected sales. Deliberate effort to secure strong availability of both branded The quarter was marked by significant but short-term and private-label products ahead of the summer. fluctuations in working capital, as well as
Slide 6: Disparities between our markets and down-turn in Denmark
Disparities between our ▪ Challenging integration process. markets and down-turn in ▪ Continued pressure from foreign low-cost retailers. Denmark Unable to convert traffic into the desired level of sales, most notably in Denmark. Norway The transition to the new e-commerce platform has not ▪ Stable
Slide 7: Expanded focus through an accelerated action programme
Expanded focus through an accelerated action programme Key initiatives already launched include: ▪ Appointment of a new CEO. Accelerated ongoing action programme. ▪ Investment in a new integrated and automated A comprehensive review of the business is also central warehouse. underway, aimed at resto
Slide 8: Positive results from ongoing operational improvements
Positive results from ongoing operational improvements ▪ Improvements in operational efficiency contributed to a strengthened gross margin of 1.5 percentage points during the quarter. 64410 Room to improve margin through our supplier base Nothing Ear ▪ and secure the best possible terms and price. ▪
Slide 9: Financial development
Financial development 61409 USB 3.0 Hub
Slide 10: Sales development
Net Sales by segment, Q2 Sales development Denmark 8% Norway 17% Net Sales, MSEK Net Sales rolling 12m, MSEK Net sales LfL Growth % 900 Sweden 2 598 75% 2 572 2 584 773 2 554 800 2 489 700 624 594 600 561 Omnichannel sales Q2 530 500 4% 1% -3% -5% -10% 1% 400 24% 300 200 10% 65% 100 - Q2 24 Q3 24 Q4
Slide 11: Adjusted EBITA
Adjusted EBITA Adjusted EBITA, MSEK 40% ▪ Adjusted EBITA at MSEK -9.2 (0.3) for the quarter. 40 35 33,3 ▪ Adjusted EBITA margin amounted to -1.7 (0.1) percent. 30 30% ▪ Items affecting comparability totalled MSEK 0.8 25 (4.3) for the quarter. 20 21,0 20% ▪ The adjusted EBITA is negatively impacted b
Slide 12: Segment development
Segment development Sweden Norway Denmark ▪ Negative sales growth driven by fewer ▪ A slight positive sales growth in Norway driven ▪ Sales decline in Denmark driven by fewer transactions, primarily through fewer visitors to by an increase in average transaction value, transactions, due to sharp dec
Slide 13: Financial liquidity
Financial liquidity Core working capital, MSEK Cash flow from operating activities, MSEK Financial net debt, MSEK ▪ Core working capital increased by MSEK ▪ Cash flow from operating activities ▪ Financial net debt increased by MSEK 34 128 compared to same quarter last year. amounted to MSEK -136 (13
Slide 14: Concluding CEO reflections
Concluding CEO reflections Big thanks to all of our customers, owners and co-workers. Tough quarter with a result that we are anything but satisfied with. 24279 Nothing Ear (2) Bright future for Kjell with the right navigation ▪ With digitalization through society ▪ Guidance in navigating the right
Slide 15: Q&A
Q&A 61409 USB 3.0 Hub
Slide 16: Kjell & Company
Kjell & Company