Bhg Group Ab · OMXSTO:BHG
Bhg Group Ab — Investor Day (March 2026)
49 slides from Bhg Group Ab's investor day presentation, Mar 19, 2026
Slide 1: BHG in brief & strategy
Z: iA e BHG in brief & strategy @ \-—. 4)
Slide 2: BHG is through the restructuring phase and now ideally positioned for sustained profitable growth
BHG is through the restructuring phase and now ideally positioned for sustained profitable growth 1 2 3 Strategy is delivering Market tailwind New financial targets • Five quarters of organic • Market conditions • Time to raise the bar with growth – last two double digit significantly stronger new f
Slide 3: The leading consumer E-commerce company in the Nordics with clear strategy in place
The leading consumer E - commerce company in the Nordics with clear strategy in place Active on the Home & Household market – DIY, Furniture and Home Furnishing SEK 10bn Three Decentralised Net Sales 2025 Business Areas Structure Covering complementary Empowering local customer segments with decisio
Slide 4: Built to lead the next phase of e-commerce
Built to lead the next phase of e - commerce Market leader in DIY, Furniture and Home Furnishing • Core strength in the Nordics, expanding in Europe 100+ destinations • Tech and data -driven operating model • Positioned to capture structural shift from offline to online 1.5m+ • AI integrated across
Slide 5: The Home & Household market is large and growing
The Home & Household market is large and growing The Home & Household market Key demand drivers support continued recovery in 2026, with Sweden leading the way European Total Market Rising Disposable Income More Money for Families (SEK ~6,500bn) Real disposable income expected A Swedish two -child f
Slide 6: All retail is about price, choice and convenience – online offers superior customer value
All retail is about price , choice and convenience – online offers superior customer value in all three amplified by AI Price Choice Convenience Lower prices Wider assortment Always available Lower fixed costs from online model Not limited by physical shelf space Bulky products delivered to your doo
Slide 7: Online penetration back on pandemic peak – structural drivers supporting further growth
Online penetration back on pandemic peak – structural drivers supporting further growth Nordic Home & Household online Better Logistics & Faster Delivery penetration back at pandemic peak 1 Logistics infrastructure closing the last -mile gap – removing a key barrier to online adoption AI Shopping To
Slide 8: BHG's strategy: Three layers of growth on top of a structurally growing market
BHG’s strategy: Three layers of growth on top of a structurally growing market 3. Disciplined and proactive bolt -on acquisition process M&A to accelerate growth and strengthen our platforms 2. Strategy to grow ✓ Unique assortment ✓ Cost Structure more than the Strategic Initiatives ✓ Additional rev
Slide 9: The group exists to support the platforms in delivering on the customer needs
The group exists to support the platforms in delivering on the customer needs Strategy, target setting Best -practice sharing & M&A sourcing and execution & financial control cross -portfolio initiatives Appoint platform CEOs Setting & co -driving Centres of excellence (e.g. strategic initiatives on
Slide 10: Why we win in our categories across business units
Why we win in our categories across business units Home Improvement Value Home Premium Living Value • Unbeatable range of DIY • Unbeatable value in furniture • Scaling Scandinavian proposition products (~1m SKUs) design globally • Short delivery times • Best prices through to customers • Best prices
Slide 11: AI will reshape customer interactions
AI will reshape customer interactions BHG can leverage AI to drive growth, improve CX, and enable a low -cost structure Increasing convenience and conversion BHG is well positioned to benefit Online - First DNA Securing AI Readiness 100% pure - play e - in Platforms commerce since 2006. Embedding AI
Slide 12: We are ready for the next phase of value creation
We are ready for the next phase of value creation Financially stronger Operationally scalable • 5 quarters of organic growth – last two • Category leadership in core verticals double digit • Asset - light , decentralised structure • Profitability improved Nine • AI accelerating productivity and conv
Slide 13: Financial Perspective & Target
Financial Perspective & Target
Slide 14: What has happened since last CMD in 2024
What has happened since last CMD in 2024 The market has normalised – but it took longer than expected Profit has increased substantially despite pressure on product margin from price transparency, driven by cost reductions that exceeded our initial plan – SEK 555m Leverage ahead of financial target
Slide 15: What has happened since last CMD in 2024
What has happened since last CMD in 2024 Sharp decline in 0.9% 3.7% leverage – now below 4,0% 4.01x financial target 3,5% 1.6% 3.33x 3,0% 2,5% 2.39x 2,0% 1.0% 1,5% 0.8% 20 20 20 - 0.6% 1,0% 23 24 25 0,5% 0,0% Adj. EBIT GM1 DSC SG&A D&A Adj. EBIT margin 2023 margin 2025 Profitability Leverage 15 Stra
Slide 16: We have an attractive financial profile
We have an attractive financial profile 1 2 3 Scalable model in Capital efficient Structurally growing place to improve business model with market fueled by AI profitability strong cash generation Net sales +6% 25’ vs 24’ 0.9% 0.9 p.p. average annual SG&A + D&A +1% 25’ vs 24’ Net working capital to
Slide 17: Online penetration on the rise
Online penetration on the rise 500 Historical a nnual increase of 0.9 p.p. - 2025 back at pandemic levels If historical trend continues 30% 450 Pandemic 25% 400 24% 23% 22% 21% 350 21% 20% 20% 20% 19% 18% 19% 300 18% 250 15% 14% 12% 13% 200 10% 150 100 5% 50 0 0% 2017 2018 2019 2020 2021 2022 2023 2
Slide 18: BHG seasonality – Q2 and Q4 main yearly drivers
BHG seasonality – Q2 and Q4 main yearly drivers Relative Net Sales Size Cash Flow from Operating Activities Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2024 2025 2024 2025 18 Strategy Financial Perspective & Target Operational Excellence Strategic Initiatives M&A
Slide 19: We are confident in our plans to reach our updated financial targets
We are confident in our plans to reach our updated financial targets Net Sales EBIT Capital structure Dividend policy 10–15% annual growth An adjusted EBIT margin A net debt/EBITDA below When free cash flow over a business cycle of 5% in the short term, 2x measured at the end of exceeds available th
Slide 20: Clear roadmap to reach 7% profitability
Clear roadmap to reach 7% profitability 2025 Target Movement SEK 10-15% Net Sales SEK 10.6bn 10.6bn CAGR SEK GM1 (%) 37.4% 10.6bn 37.9-38.4% 0.5 -1p.p. SEK DSC (%) -12.0% 10.6bn -11.5-11% +0.5 -1 p.p. SEK SG&A (%) -18.5% 10.6bn -16.5-17% +1.5-2 p.p. SEK D&A (%) -3.2% 10.6bn -2.7-3.2% +0 -0.5 p.p. SE
Slide 21: BHG growth formula
BHG growth formula Annual growth contr. Underlying market growth combined with SEK 3% Online penetration expansion and BHG 18bn Expanding total market market share capture SEK + 3- 5% 10bn Online penetration expansion + 4-7% BHG market share capture Operational excellence Strategic initiatives M&A =
Slide 22: Clear initiatives to reach target EBIT
Clear initiatives to reach target EBIT We are just over halfway toward our target of a 7 percent 7.0% EBIT margin – continued improvement will come through Adj. EBIT initiatives across the entire income statement. Target D&A + 0 -0.5 p.p. SG&A + 1.5-2 p.p. 3.7% Adj. EBIT Direct Selling Costs Invento
Slide 23: Forward looking – Cash Conversion
Forward looking – Cash Conversion Cash flow available to fund growth through acquisitions 10% Working Capital Capex - 0.9% - 1.3% 78% Cash Conversion EBITDA Margin Cash Flow From Free Cash Based on 2025 Working Capital & CAPEX Operations Flow 23 Strategy Financial Perspective & Target Operational Ex
Slide 24: Strategy deep dive – Operational Excellence
Strategy deep dive 1 – Operational Excellence
Slide 25: One operating playbook, scalable economics across leading online destinations
One operating playbook, scalable economics across leading online destinations Shared value levers across all BHG How BHG captures value as a Group: platforms • Group specialists, supporting operating entities • Customer acquisition / Customer retention • Benchmarking and Best Practise across a wide
Slide 26: Customer Focused Operating Targets for BHG
Customer Focused Operating Targets for BHG Price Choice Convenience Competitive pricing Outstanding offering Best shopping experience Guiding • Efficient operations through • Category expertise and • Online Experts Principals automation and scale superior supplier access • Highly Invested in systems
Slide 27: Where we grow, Category and Geography
Where we grow , Category and Geography Operational Growth focus Category Expansion Geography Core, Adjacent and New Data Driven Future Focus Category Expansion Northern Europe Nordics Multiplying Roll out Bathroom Nordics Furniture Customer Touch Home Decoration Points Garden Windows & Utilising cos
Slide 28: Cross platform product development in BHG
Cross platform product development in BHG BHG is pulling ahead by combining unique assortment with market leading destinations at superior scale Customer driven product development cycle 1. Data driven market insight 4. Customer 2. Product access development 3. Brand building & logistic setup 28 Str
Slide 29: Bygghemma and Hafa: modern approach to customer driven product development
Together, Bygghemma and Hafa have found a modern way to approach customer driven product development 1. Data driven market insight ( Bygghemma ) 2. Product Development (Hafa) • Market leader within Bathroom, with an unbeatable range from small to larger renovations including installation services. M
Slide 30: Our combined core capabilities enable us to rapidly present an attractive offering
Our combined core capabilities enable us to rapidly present an attractive offering to the market 3. Brand building & logistics (Hafa) 4. Customer access ( Bygghemma ) • 60+ years experience in bathroom brand building • Market leading digital sales channel with supporting showrooms • Marketing team s
Slide 31: The model enables new types of commercial synergies
In addition, the model enable us to unlock new types of commercial synergies New coherent design concept for BHG direct sales model Product development bathroom and kitchen launched benefit all • Full control over the customer Brand building proposition • More competitive pricing vs. traditional ret
Slide 32: Strategy Deep dive – Strategic initiatives
Strategy Deep dive 2 – Strategic initiatives
Slide 33: Group identifies and co-drives strategic initiatives to increase competitiveness
Group identifies and co - drives strategic initiatives to increase competitiveness of our platforms Strategic areas to improve competitiveness | Initiatives identified and led by Group | Focus areas vary over time 2019 –2021 2022 –2025 2026 – • M&A • Strategy • Increased Share of Unique assortment •
Slide 34: Four strategic priorities to strengthen platform competitiveness
Four strategic priorities to strengthen platform competitiveness 1 2 3 4 Unique assortment AI & Data Cost structure Additional revenue Improve pricing power Further leverage AI and An efficient cost streams and ensure uniqueness – our large amounts of structure enables the Several potential addition
Slide 35: Unique assortment drives pricing power, protects margins and builds competitive advantage
Unique assortment drives pricing power, protects margins and builds lasting competitive advantage Benefits of Unique Assortment 1 2 3 No middlemen – better pricing Avoid direct price competition Differentiation through Direct sourcing improves pricing Unique assortment not directly uniqueness and ma
Slide 36: AI & Data: Leveraging six focus areas to drive growth, efficiency and customer experience
AI & Data: Leveraging six focus areas to drive growth, efficiency and customer experience Focus area Value drivers Use case examples Customer Service Automation Efficiency, CX AI chatbots, automated returns handling Automation & Agents Efficiency Product & supplier onboarding automation Conversion o
Slide 37: Group structure enables multi-brand AI piloting with rapid scaling
Group structure enables multi - brand AI piloting with rapid scaling of proven solutions 1 2 3 Build Test Scale Brands develop AI Validated in real Most value -adding agents independently, markets across brands solutions deployed as co -funded by Group best practice Group -wide 37 Strategy Financial
Slide 38: Cost structure is a core competitive advantage
Cost structure is a core competitive advantage – enabling best - in- class customer offers while protecting margins Example Initiatives Price pressure demands discipline Low cost is a critical competitive advantage in a market AI in HQ & admin with continuous price pressure Customer efficiencies ser
Slide 39: Case study: Transforming customer service through AI
Case study: Transforming customer service through AI Up to 20% cost reduction AI - powered tools Always - on, scalable in Customer service Chatbots, co -pilots and support ~SEK 200m cost base with virtual assistants boost Flexible outsourcing and AI significant efficiency potential agent productivit
Slide 40: Several potential additional revenue streams to explore
Several potential additional revenue streams to explore – leveraging BHG’s traffic Monetising scale and ecosystem strengths 250m+ annual visits and deep supplier network enable high -margin revenue beyond product sales Example Diversification reduces margin dependency Additional revenue streams lowe
Slide 41: Strategy deep dive – M&A
Strategy deep dive 3 – M&A
Slide 42: We have long and proven track-record in acquisitions
Share acquired organic revenue 2025 Illustrative We have long and proven track - record in acquisitions – in 2025, acquisitions made since 2012 accounted for 84% of sales Bygghemma Growth during BHG ownership Acquired entities sales the year prior to BHG acquisition 42 Strategy Financial Perspective
Slide 43: M&A strengthens our platforms by adding assortment, own brands and scale
M&A strengthens our platforms by adding assortment, own brands and scale – directly supporting the path to 7% EBIT margin Assortment Own brands Platform breadth & margin scale Fill white spots in Acquire brands that Integrate into existing product range through improve gross margin infrastructure to
Slide 44: A proven strategy in the bathroom category
A proven strategy in the bathroom category 4 >30% Online Market 3 Share 2 LEADING THE Category Leadership ONLINE CATEGORY 1 NORDIC MARKET LEADERSHIP EXPANSION FOUNDATION Past execution of M&A in the bathroom category 44 Strategy Financial Perspective & Target Operational Excellence Strategic Initiat
Slide 45: BHG M&A playbook Criterias
BHG M&A Criterias playbook Strategic Operational Sweden or Nordics Online first Focus on bolt - on acquisitions to existing Category Align with platform infrastructure platforms that Expand and strengthen leadership Leverage existing tech & operations strengthens our offering with limited risk Uniqu
Slide 46: Our M&A approach has evolved – we have learnt from the past
Our M&A approach has evolved – we have learnt from the past 2014 2017 2020 2024 Geographic Expansion Assortment Broadening Large Platforms Targeted Bolt - ons Established Added product Built scale, Lower risk, faster Nordic footprint categories complex integration value creation Key learning: smalle
Slide 47: Concluding remarks
Concluding remarks
Slide 48: We are ready for the next phase of value creation
We are ready for the next phase of value creation Financially stronger Operationally scalable • 5 quarters of organic growth – last two • Category leadership in core verticals double digit • Asset - light , decentralised structure • Profitability improved Nine • AI accelerating productivity and conv
Slide 49: plas
plas Pao tinltie len aelia ee dl