Slide 1: FY 2022 Results
FY 2022 Results Munich, March 30, 2023
Slide 2: Disclaimer | Forward looking statements
Disclaimer | Forward looking statements Certain statements in this communication may constitute forward looking statements. These statements are based on assumptions that are believed to be reasonable at the time they are made and are subject to significant risks and uncertainties. You should not re
Slide 3: Agenda
AGENDA • Business Update • Financial Update • Q&A 3
Slide 4: Business Update
Business Update
Slide 5: State of Westwing
State of Westwing • Positive Adj EBITDA of EUR +4m and strong Free Cash Flow of EUR +12m in Q4 2022 1 Q4 2022 results • Cash at EUR 76m per end of Q4 2022 (EUR +12m vs Q3 2022) • The macro environment remains challenging, but we are confident to return to growth in the Clear focus on financial secon
Slide 6: GMV and Active Customer increasing at a CAGR of +13% and +12% vs. Q4 2019
1 GMV and Active Customer increasing at a CAGR of +13% and +12% vs. Q4 2019 Group GMV [in EUR m] Active Customers LTM [in k] CAGR Q4 19 to Q4 22: CAGR Q4 19 to Q4 22: +12% +13% -23% 175 -14% 1,705 166 1,529 142 1,320 98 949 Q4 2019 Q4 2020 Q4 2021 Q4 2022 Q4 2019 Q4 2020 Q4 2021 Q4 2022 Note: All fi
Slide 7: We continue to deliver against our financial priorities
1 We continue to deliverer against our financial priorities Protecting unit economics • Increasing high-margin Westwing Collection share • Retail price increases • Further shipping fee introduction • Implementing fulfillment efficiencies Q4 2022 results Strong cost discipline • Progressing as planne
Slide 8: Our clear focus is on financial stability in FY 2023
2 Our clear focus is on financial stability in FY 2023 Guidance FY 2023 FY 2022 FY 2023 FY 2023 financial priorities • The macro environment remains challenging, but we are confident to return to Revenue EUR 431m EUR 390 to 440m growth in the second half of 2023 (-9% to +2% yoy growth) • The 2022 ba
Slide 9: Driving clear short-term priorities in 2023 to support the path towards our long-term target
Driving clear short-term priorities in 2023 to support the path towards our long-term 2 target of 10-15% Adj. EBITDA and strong cash conversion FY 2023 guidance Long-term target P&L Revenue EUR 390m to 440m Attractive profitability (-9% to +2% yoy growth) Adj. EBITDA margin: 10-15% Adj EBITDA Strong
Slide 10: Our high-margin Westwing Collection and scalable platform will result in attractive long-term profitability
Our high-margin Westwing Collection and scalable platform will result in a very 2 attractive long-term profitability FY 2023 Long-term FY 2022 expected target P&L [in % of revenue] Westwing Collection share Contribution margin 25% +25 to +27% +30 to +32% gains and logistic scale Consumer love brand
Slide 11: Rating improvement confirms our ESG strategy
3 Rating improvement confirms our ESG strategy 2022 sustainability highlights and data Westwing MSCI ESG rating 2022 Supplier engagement of our non-EU Westwing >95% Collection suppliers have been audited on social aspects Materials & Packaging 8% FY 2021 60% FY 2022 use of FSC®- certified wood in ou
Slide 12: OneWestwing is on track: next milestones
“OneWestwing” is on track, as we roll-out the better and more intuitive customer 4 experience across the European markets “OneWestwing” pilot “OneWestwing” webpage in NL with positive results rolled-out in all countries Next milestones Merging Shop and Club mobile apps Consolidate back-end Technolog
Slide 13: Westwing Collection well on track to target share of +50% of GMV
4 Westwing Collection well on track to target share of +50% of GMV Westwing Collection share [as % of GMV] +50% 44% 37% 28% 25% Q4 2019 Q4 2020 Q4 2021 Q4 2022 Strategic Target Note: All figures unaudited. 13
Slide 14: Financial Update
Financial Update
Slide 15: We delivered on our updated FY 2022 guidance
We delivered on our updated FY 2022 guidance 2022 guidance 2022 results EUR 410 to 450m EUR 431m -22% to -14% -18% yoy growth yoy growth Revenue EUR -15 to 0m EUR -4m -4% to 0% -1% margin margin Adj. EBITDA Note: Figures in this section are presented on an adjusted basis. For details regarding the e
Slide 16: Westwing remains significantly larger compared to pre-pandemic FY 2019 baseline
Westwing remains significantly larger compared to pre-pandemic FY 2019 baseline Group Revenue [in EUR m] DACH Segment Revenue [in EUR m] CAGR 19 to 22: +17% CAGR 19 to 22: CAGR 19 to 22: +12% +17% 297 242 151 -18% 52 87 74 522 FY 2019 FY 2021 FY 2022 Q4 2019 Q4 2021 Q4 2022 431 57% CAGR 19 to 22: +1
Slide 17: Income statement details
Income statement details Delta Delta [in % of revenue] FY 2019 FY 2021 FY 2022 Q4 2019 Q4 2021 Q4 2022 22 vs. 21 22 vs. 21 Cost increases and stock sell- offs mostly compensated by Gross margin 44.6% 49.1% 48.1% -1.1%pts 47.1% 47.6% 47.3% -0.3%pts higher Westwing Collection share and price increases
Slide 18: Group profitability at 3.3% Adj. EBITDA margin in Q4 2022
Group profitability at 3.3% Adj. EBITDA margin in Q4 2022 Group Adj. EBITDA [in % of revenue] DACH Segment Adj. EBITDA [in % of revenue] 13.1% 12.2% 7.1% 7.0% EUR -10m EUR 40m EUR -4m EUR 3m EUR 10m EUR 4m 3.3% -0.3% FY 2019 FY 2021 FY 2022 Q4 2019 Q4 2021 Q4 2022 7.7% 7.0% International Segment Adj
Slide 19: Net Working Capital back to FY 2021 levels; CAPEX ratio remains at only 3%
Net Working Capital back to FY 2021 levels; CAPEX ratio remains at only 3% in FY 2022 Net Working Capital Capex ratio [in EUR m and % of LTM revenue] [in EUR m and as % of revenue] EUR -3m EUR 4m EUR 3m EUR 9m EUR 15m EUR 14m 3.5% 3.2% 2.9% 0.8% 0.6% -1.3% FY 2019 FY 2021 FY 2022 FY 2019 FY 2021 FY
Slide 20: We reduced Net Working Capital back to healthy levels
We reduced Net Working Capital back to healthy levels Net Working Capital [in EUR m] -90% Decisive Net Working Capital management 24 • Clear focus on selling existing stock and reordering conservatively 16 • Lower order volumes and supplier negotiations 14 resulted in reduced supplier prepayments •
Slide 21: Strong cash balance of EUR 76m; EUR 91m in liquidity available
Strong cash balance of EUR 76m; EUR 91m in liquidity available per end of Q4 2022 Cash and cash equivalents Q3 2022 vs. Q4 2022 [in EUR m] Available liquidity bridge Q4 2022 [in EUR m] 10 91 5 12 1 76 76 -0 64 Cash & cash Free Cash Flow Financing FX Effects Cash & cash Cash & cash Available trade Re
Slide 22: Investment Highlights
Investment Highlights
Slide 23: Investment highlights
Investment highlights The opportunity is massive Huge Home & Living market of EUR 130bn very early in eCommerce The differentiating creative and inspirational core of Westwing drives Customer loyalty at the core superior loyalty for our love brand with >80% repeat order share(1) Our Westwing Collect
Slide 24: Q&A
Q&A
Slide 25: Appendix
Appendix |
Slide 26: Continuously expanding share of wallet with customers
Continuously expanding share of wallet with customers Active Customers and average GMV per Active Customer [in #k and EUR] Average GMV per Active Active Customers [k] Customer LTM (EUR) 1,800 400 1,600 1,400 300 1,200 1,000 200 800 600 400 100 200 0 0 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3
Slide 27: KPI overview
KPI overview Group KPIs Unit Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Westwing Collection share in % of GMV 21% 22% 27% 25% 25% 22% 26% 28% 31% 32% 38% 37% 37% 38% 44% 44% Active Customers in k 927 909 926 949 986
Slide 28: Consolidated income statement
Consolidated income statement EUR m, in % of revenue FY 2021 FY 2022 Q4 2021 Q4 2022 Revenue 522.5 430.8 149.1 128.4 Cost of Sales -265.7 -228.1 -78.2 -72.0 Gross profit 256.8 202.7 71.0 56.4 Fulfilment expenses -107.1 -94.2 -29.8 -23.3 Marketing expenses -49.3 -40.6 -14.2 -9.3 General and administr
Slide 29: Adjusted income statement
Adjusted income statement EUR m, in % of revenue FY 2021 FY 2022 Q4 2021 Q4 2022 Revenue 522.5 430.8 149.1 128.4 Revenue Growth yoy 20.7% -17.5% -4.2% -13.9% Cost of Sales -265.7 -223.8 -78.2 -67.7 Gross Profit 256.8 207.1 71.0 60.7 Gross Margin 49.1% 48.1% 47.6% 47.3% Fulfillment expenses -107.1 -9
Slide 30: Segment reporting
Segment reporting DACH in EUR m FY 2021 FY 2022 Q4 2021 Q4 2022 Revenue 296.8 242.4 86.7 73.5 yoy Growth (in %) 22.4% -18.3% -4.8% -15.1% Adj. EBITDA 38.8 7.9 10.5 5.1 Adj. EBITDA Margin % 13.1% 3.3% 12.2% 7.0% International in EUR m FY 2021 FY 2022 Q4 2021 Q4 2022 Revenue 225.7 188.4 62.5 54.9 yoy
Slide 31: Net Working Capital
Net Working Capital Net Working Capital (NWC) breakdown as of December 31, 2022 [in EUR m] 13 4 45 -34 -8 -17 3 Inventories Prepayment Trade & other Trade and other Contract liabilities Trade financing Net Working Capital on inventories receivables payables (1) liabilities Note: (1) Includes accrual
Slide 32: Issued share capital
Issued share capital Share Information as of December 31, 2022 Type of Shares Ordinary bearer shares with no-par value (Stückaktien) Stock Exchange Frankfurt Stock Exchange Market Segment Regulated Market (Prime Standard) Number of Shares issued 20,903,968 Issued Share Capital EUR 20,903,968 Treasur
Slide 33: Upcoming Events
Upcoming Events May 11, 2023 Publication of first quarter results 2023 May 16, 2023 Annual General Meeting August 10, 2023 Publication of half-year financial report 2023 September 18-20, 2023 Berenberg and Goldman Sachs Twelth German Corporate Conference September 18-22, 2023 Baader Investment Confe
Slide 34: 34
34