Slide 1: Q3 2023 Results
Q3 2023 Results October 26th, 2023
Slide 2: Disclaimer
Disclaimer This document has been prepared by HelloFresh SE (the “Company“ and, together with its subsidiaries, the “Group”). All material contained in this document and information presented is for information purposes only and must not be relied upon for any purpose, and does not purport to be a f
Slide 3: Our Mission and Vision
Our Mission We change the way people eat forever Our Vision The world’s leading, fully integrated foods solution group Q3 2023 Results | 3
Slide 4: Set up for long term sustainable growth: two $1bn++ business lines
Set up for long term sustainable growth: we operate two $1bn++ business lines today and built the infrastructure for more Revenue1 Meal Kits RTE Specialty Meat Pet Food ? (2011) (2020) & Seafood (2023) (2024/25) (2022) 1 Indicative figures for 2023. Graph not at scale Q3 2023 Results | 4
Slide 5: Q3 2023 Highlights
Q3 2023 Highlights Revenue of €1.8bn, a constant currency growth of 3.5%, implying a sequential re-acceleration for the Group and for each segment Exit rates trended positively in September, both in orders and revenue growth, across segments Further increase in average order value to €64.2 (+7.5 % y
Slide 6: We delivered 237m meals in Q3 2023
We delivered 237m meals in Q3 2023 • In Q3, sequential improvement in yoy trends for 2022 Q3 Number of Meals meals and active customers 2023 (in millions) ◦ Q2’23 number of meals (6.0%) yoy (2.7 %) • Number of meals driven by: ◦ customers ordering more meals per box, as recipe choices increase 243.3
Slide 7: Average order value up by 7.5% on a constant currency basis
Average order value up by 7.5 % on a constant currency basis • AOV growth continued in Q3, increasing 7.5 % 2022 Q3 Average Order Value yoy on a constant currency basis 2023 (in €) • Both segments showed meaningful increase in 0.7% CC 7.5 % AOV ◦ NA: 8.2 % (CC) ◦ Intl: 5.9 % (CC) 64.2 63.7 • YoY AOV
Slide 8: Constant currency revenue growth has started to re-accelerate to 3.5%
Constant currency revenue growth has started to re-accelerate to 3.5% for the Group and is on track to further acceleration in Q4 • Positive revenue growth across both Group Revenue segments (YoY CC Revenue Growth) ◦ NA CC growth of +4.3% 7.50% ◦ Intl with a CC growth of +2.0% • Revenue growth had t
Slide 9: Q3 exit rate based on # orders supports topline re-acceleration into Q4
Q3 exit rate based on # orders supports topline re-acceleration into Q4 YoY % change in # of orders (2023 vs 2022) June July August September Source: Company data, Group Q3 2023 Results | 9
Slide 10: Slight increase in relative procurement expenses
Slight increase in relative procurement expenses, primarily due to higher RTE contribution in NA • By segment: 2022 Q3 Procurement Costs ◦ 0.6pp reduction in Intl procurement 2023 (% of revenue) expenses ◦ Offset by 0.9pp increase in NA (0.5pp) • As Factor continues to ramp-up, expect some (34.6)% (
Slide 11: Continued delivery of fulfilment efficiencies, reducing relative expenses by 1.6pp
Continued delivery of fulfilment efficiencies, reducing relative expenses by 1.6pp yoy in Q3 • Significant improvement in fulfilment expenses 2022 Q3 Fulfilment Costs for the 5th straight quarter 2023 (% of revenue) • Key drivers of savings: 1.6pp ◦ relative reduction in pick-and-pack expenses, driv
Slide 12: Q3 contribution margin expanded yoy to 25.6%
Q3 contribution margin expanded yoy to 25.6%, mainly driven by fulfilment efficiencies • Meaningful improvement in both margin and 2022 Q3 Contribution Margin1 absolute terms 2023 (in € millions & as % of revenue) ◦ NA: +1.8pp ◦ Intl: +0.3pp 1.3% 1.1pp 25.6% • Well on track to exceed contribution ma
Slide 13: Marketing spend of 19.5% as back to school season is supportive
Marketing spend of 19.5% as back to school season is supportive of growth marketing investments • Q3 marketing expenses reflect normal 2022 Q3 Marketing 2023 seasonality, with September marking the start (% of revenue) of the ‘back-to-school’ period (1.6)pp • Continued attractive ROI on marketing sp
Slide 14: Q3 AEBITDA of €69.2m, broadly in line with last year
We delivered a Q3 AEBITDA of €69.2m, broadly in line with last year’s level • YoY AEBITDA development driven by: 2022 Q3 AEBITDA Margin ◦ Softer EUR-FX rates 2023 (in € millions & as % of revenue) ◦ Continued contribution margin expansion (3.7%) 3.9% (0.0pp) ◦ Somewhat higher relative marketing 3.8%
Slide 15: Year-to-date free cash flow of €44.5m and additional share buyback
We have further expanded year-to-date free cash flow to €44.5m and launched an additional share buyback • 9M Cash Flow from Operations increased to €280.3m, while reducing 9M capex to €235.8m 9M Cash Position (in € millions) • FCF per diluted share of €0.25 vs. €(0.26) in the comparative period (311
Slide 16: We reiterate our FY 2023 outlook
We reiterate our FY 2023 outlook of 2% – 8% CC revenue growth and €470m - €540m AEBITDA Constant Currency Revenue Growth 2% - 8% AEBITDA €470m - €540m Q3 2023 Results | 16
Slide 17: Appendix
Appendix
Slide 18: Group: Operational and Financial KPIs
Group: Operational and Financial KPIs Q3 22 Q3 23 Active Customers (m) 7.51 7.07 Average Order Rate 3.87 3.96 Average Order Value (€) 63.7 64.2 Average Order Value constant currency (€) 63.7 68.5 3.5% CC4 % YoY revenue growth1 Revenue1 (3.0)% € (€m) 1,860.2 1,804.0 % Revenue 24.5% 25.6% Contribution
Slide 19: North America: Operational and Financial KPIs
North America: Operational and Financial KPIs Q3 22 Q3 23 Active Customers (m) 4.15 3.95 Average Order Rate 4.01 4.06 Average Order Value (€) 75.0 74.9 Average Order Value constant currency (€) 75.0 81.1 4.3% CC4 % YoY revenue growth1 Revenue (3.7)% € (€m) 1247.6 1,201.7 % Revenue 25.6% 27.3% Contri
Slide 20: International: Operational and Financial KPIs
International: Operational and Financial KPIs Q3 22 Q3 23 Active Customers (m) 3.36 3.12 Average Order Rate 3.68 3.83 Average Order Value (€) 48.6 49.7 Average Order Value constant currency (€) 48.6 51.5 2.0% CC4 % YoY revenue growth1 Revenue1 (1.7)% € (€m) 612.6 602.3 % Revenue 23.6% 23.8% Contribu
Slide 21: Profit and Loss Statement
Profit and Loss Statement 3 months ended Change % 9 months ended Change % 30-Sep 23 30-Sep 22 YoY 30-Sep 23 30-Sep 22 YoY Revenue 1,804.0 1,860.2 (3.0)% 5,737.6 5,732.7 0.1% Procurement Expense (634.4) (644.5) (1.6)% (2,005.5) (1,978.1) 1.4% Fulfilment Expense (715.6) (768.0) (6.8)% (2,218.7) (2,337
Slide 22: Balance Sheet & Cash Flow Statement
Balance Sheet & Cash Flow Statement In MEUR As at 30-Sep 23 As at 31-Dec 2022 Assets Non-current assets 1,800.3 1,623.0 Cash and cash equivalents 466.6 504.0 Other current assets 390.7 408.2 Total assets 2,657.6 2,535.2 Equity and liabilities Equity 1,056.4 959.6 Non-current liabilities 656.7 605.1
Slide 23: Share Count
Share Count As of September 30, 2023 Types of share Ordinary shares Stock exchange Frankfurt Stock Exchange Market Segment Regulated Market (Prime Standard) Number of shares issued 172,734,665 Number of shares outstanding 172,494,911 Employee Incentive Plan Options RSU Total Vested (in mn) 8.5 0.3 8
Slide 24: HelloFresh Group
HELLOFRESH GROUP