Scandinavian Tobacco Group A/s · OMXCOP:STG
Scandinavian Tobacco Group A/s — Q3 2025 Earnings Presentation
26 slides from Scandinavian Tobacco Group A/s's earnings presentation, Nov 12, 2025
Slide 1: Creating Moments of Enjoyment
CREATING MOMENTS OF ENJOYMENT Investor Presentation Q3 2025 Results 12 November 2025
Slide 2: Corporate Summary
A GLOBAL LEADER IN CIGARS CORPORATE SUMMARY* NO. 1 HANDMADE CIGARS IN USA Market cap Share price Shares Outstanding NO. 1 MACHINE-ROLLED CIGARS IN EUROPE DKK 6.8 billion DKK 87 78.7 million GLOBAL CONSUMER BASE STRONG M&A TRACK-RECORD Major Shareholders Investor Shareholding PRODUCT CATEGORIES Chr.
Slide 3: Agenda
AGENDA Highlights and Strategy Update Niels Frederiksen, Chief Executive Officer Product Categories Niels Frederiksen, Chief Executive Officer NIELS FREDERIKSEN MARIANNE RØRSLEV BOCK Commercial Divisions Chief Executive Officer Chief Financial Officer Marianne Rørslev Bock, Chief Financial Officer G
Slide 4: Highlights and Strategy Update
HIGHLIGHTS AND STRATEGY UPDATE NIELS FREDERIKSEN, CEO
Slide 5: Q3 2025 Highlights
Q3 2025 HIGHLIGHTS • Reported net sales impacted by exchange rate developments • Organic net sales growth was 0.3% supported by handmade cigars and nicotine pouches • EBITDA margin continued to recover from previous quarters • Free cash flow before acquisitions on track to reach DKK 800-1,000 millio
Slide 6: Rolling Towards 2025 Coming to an End
ROLLING TOWARDS 2025 COMING TO AN END PURPOSE CRAFT THE RITUALS THAT MAKE US MORE INVESTING IN THE FUTURE Mac Baren integration on track 2 new super stores in Q4 2025 VISION BE THE UNDISPUTED & SUSTAINABLE GLOBAL LEADER IN CIGARS ERP implementation moves forward LARGER GROWING EBITDA OUTSTANDING CAS
Slide 7: Product Categories
PRODUCT CATEGORIES NIELS FREDERIKSEN, CEO
Slide 8: Net Sales Distribution
Q3/9M 2025 RESULTS NET SALES DISTRIBUTION Q3 2025 PRODUCT CATEGORIES* HANDMADE MACHINE-ROLLED CIGARS & NEXT GENERATION PRODUCTS CIGARS SMOKING TOBACCO 37% 48% 5% * Other (accessories, bar sales a.o.) accounts for 10% COMMERCIAL DIVISIONS EUROPE NORTH AMERICA BRANDED & NORTH AMERICA BRANDED REST OF T
Slide 9: Handmade Cigars
Q3/9M 2025 RESULTS HANDMADE CIGARS Q3 2025: 37% OF GROUP NET SALES Organic Net Sales Growth Drivers Net Sales Growth • All four business streams delivered growth in the quarter 6% • Wholesalers and distributors: Recovery versus H1 with low single-digit growth 2% • Online Channel: Low single-digit gr
Slide 10: Machine-Rolled Cigars & Smoking Tobacco
Q3/9M 2025 RESULTS MACHINE-ROLLED CIGARS & SMOKING TOBACCO Q3 2025: 48% OF GROUP NET SALES Organic Net Sales Growth Drivers Net Sales Growth • Machine-Rolled Cigars: -4% 4% • EU-7* total market volume decreased by 0.6% 3% • EU-7 market share decreased to 26.2% • Smoking Tobacco: -5% organic growth -
Slide 11: Next Generation Products
Q3/9M 2025 RESULTS NEXT GENERATION PRODUCTS Q3 2025: 5% OF GROUP NET SALES Net Sales Growth First “clean” quarter without y-o-y impact from ZYN 118% Organic Net Sales Growth Drivers • Double-digit growth driven by XQS 26% 23% 26% • Streamlining of nicotine pouch business continues Market Update -9%
Slide 12: Divisions & Group Financials
DIVISIONS & GROUP FINANCIALS MARIANNE BOCK, CFO
Slide 13: Europe Branded
Q3/9M 2025 RESULTS EUROPE BRANDED Q3 2025: 35% OF GROUP NET SALES Organic Net Sales Growth -3% • Nicotine pouches with double-digit growth driven by XQS Net Sales Growth EBITDA margin • Negative growth in Handmade Cigars and Machine-Rolled 0.6pp Cigars & Smoking Tobacco 22.3% 22.9% EBITDA margin 22.
Slide 14: North America Branded & ROW
Q3/9M 2025 RESULTS NORTH AMERICA BRANDED & ROW Q3 2025: 34% OF GROUP NET SALES Organic Net Sales Growth 0.3% • Handmade cigars: high single-digit growth driven by wholesalers & Net Sales Growth EBITDA margin -3.1pp distributors in the US and international sales 0% 36.1% • Machine-Rolled Cigars & Smo
Slide 15: North America Online & Retail
Q3/9M 2025 RESULTS Q4 & FULL YEAR 2024 RESULTS NORTH AMERICA ONLINE & RETAIL Q3 2025: 31% OF GROUP NET SALES Organic Net Sales Growth 4% • “Clean” quarter without ZYN impacting y-o-y- comparisons • Online channel delivered low-single digit growth Net Sales Growth EBITDA margin • Retail stores: Doubl
Slide 16: Q3/9M 2025 Results
Q3/9M 2025 RESULTS EBITDA before special items DKKm DKK million Q3 2025 Q3 2024 9M 2025 9M 2024 FY 2024 Net sales 2,357 2,431 6,692 6,745 9,202 Performance 2024-2025, 9M Gross profit (before special items) 1,050 1,126 2,980 3,116 4,279 OPEX -550 -567 -1,683 -1,661 -2,248 Other income 19 8 37 28 49 1
Slide 17: Q3 2025 Key KPI's
Q3 2025 KEY KPI´S Q3 2025 Q3 2024 9M 2025 9M 2024 FY 2024 Organic net sales growth 0.3% -0.1% -4.0% 0.9% 0.4% Gross margin 44.6% 46.3% 44.5% 46.2% 46.5% OPEX ratio 23.4% 23.3% 25.1% 24.6% 24.4% EBITDA margin 22.0% 23.4% 19.9% 22.0% 22.6% 17
Slide 18: Net Debt and Leverage
Q3/9M 2025 RESULTS NET DEBT AND LEVERAGE Q3 2025 7 5.5 • Net debt increased by DKK 0.2 billion versus end 2024 5.0 6 5.6 5.4 4.5 • Leverage ratio increased to 2.9x from 2.6x by end 2024, 4.0 5 primarily due to dividend payments in April. 4.1 2.9 3.5 4 3.6 2.6 3.0 3.3 3 2.5 1.9 1.5 1.6 2.0 2 1.5 Leve
Slide 19: Financial Expectations 2025
FINANCIAL EXPECTATIONS 2025 NIELS FREDERIKSEN, CEO
Slide 20: Financial Expectations 2025 Narrowed
Q3/9M 2025 RESULTS FINANCIAL EXPECTATIONS 2025 NARROWED* FULL-YEAR VISIBILITY IMPROVING AS YEAR-END APPROACHES AND TO REFLECT USD-LEVEL NET SALES EBITDA MARGIN FREE CASH FLOW ADJUSTED EPS Before special items Before acquisitions 2025 In the range of In the range of In the range of In the range of DK
Slide 21: Questions and Answers
FIND OUT MORE QUESTIONS AND ANSWERS Annual Report 2024 Our 2024 Annual Report addresses our financial performance, strategic execution and other important aspects of our business operations. We are happy to take any questions from the audience now. Visit our investor site at: www.st-group.com/invest
Slide 22: 2025 Event Calendar & Contact
2025 EVENT CALENDAR & CONTACT JAN-MAR APR-JUN SEPTEMBER JUL-SEP SEPTEMBER OCT-DEC 6 March 2025 9 April 2025 27 AUG 2025 11 NOV 2025 Full year/Q4 2024 results Annual General Meeting H1/Q2 interim report Q3 interim report 20 MAY 2025 20 NOV 2025 Q1 interim report Capital Market Event Torben Sand Eliza
Slide 23: Product Category Performance
Q3/9M 2025 RESULTS PRODUCT CATEGORY PERFORMANCE Q3 2025 9M 2025 Share of Share of Organic Reported Organic Reported Group Net Group Net Growth (%) Growth (%) Growth (%) Growth (%) sales (%) sales (%) Handmade Cigars 37% 6% 0% 36% 0% -3% MRC and Smoking Tobacco 48% -4% -6% 50% -2% 4% Next Generation
Slide 24: Long Term Trend - EBITDA Margins Q3 2019-Q3 2025
LONG TERM TREND - EBITDA MARGINS Q3 2019-Q3 2025 % THE GROUP % NAOR 30 27.5 28.7 26.7 26.5 25 24.7 23.4 25 22.0 20.2 20 17.3 17.7 20 16.2 14.3 14.6 13.7 15 15 10 10 5 5 0 0 Q3 19 Q3 20 Q3 21 Q3 22 Q3 23 Q3 24 Q3 25 Q3 19 Q3 20 Q3 21 Q3 22 Q3 23 Q3 24 Q3 25 EUROPE BRANDED NABROW % % 35 31.1 50 43.7 2
Slide 25: Long Term Trend - EBITDA Margins (FY 2018-FY 2024)
LONG TERM TREND - EBITDA MARGINS (FY 2018-FY 2024) THE GROUP NAOR % % 30 27.1 20 19.4 25.9 17.9 25 22.8 24.1 22.6 15.7 22.5 15.4 14.8 19.9 15 14.5 20 13.3 15 10 10 5 5 0 0 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 % EUROPE BRANDED NABROW % 30 27.6 27.7 39.5
Slide 26: Thank You
THANK YOU
Scandinavian Tobacco Group — Q3 2025 Earnings Presentation on 6ix