Lindex Group Plc Class B · OMXHEX:LINDEX
Lindex Group Plc Class B — FY2024 Earnings Presentation
32 slides from Lindex Group Plc Class B's earnings presentation, Feb 7, 2025
Slide 1: Financial Statements 2024
Financial Statements 2024 Susanne Ehnbåge, CEO Henrik Henriksson, CFO 7 February 2025 1
Slide 2: Agenda
Agenda • Business update • Financial update • Way forward • Q&A 2
Slide 3: Business update
Business update 3
Slide 4: Key messages
Key messages The fashion market Lindex division: Stockmann division: remained volatile in adjusted operating result consistent profitability the Group’s key increased significantly improvement continued markets during Q4 Successful launch of One disputed Strategic assessment the Lindex division’s cl
Slide 5: Q4: Lindex Group's profitability increased
REVENUE, M€ -0.3 % Q4: Lindex Group’s 300.0 250.0 274.3 273.7 profitability increased 200.0 • Group’s revenue was on par with the comparison 150.0 period, also in local currencies 100.0 Q4 2023 Q4 2024 • Lindex division’s revenue developed well towards the latter part of the quarter due to improved
Slide 6: 2024: Financial performance impacted by challenging market
2024: Financial performance impacted by challenging market Revenue EUR 940.1 (951.7) million Adjusted operating result EUR 74.9 (80.0) million • Lindex division: EUR 628.8 (633.1) million • Lindex division: EUR 82.9 (90.3) million • The revenue was impacted by the fashion market’s • Impacted by lowe
Slide 7: Fashion accounts for close to 80% of the Group's revenue
Fashion accounts for close to 80% of the Group’s revenue Revenue split 2024 in EUR By division By market By categories 4% 4% 18% 5% 33% 35% 8% 14% 67% 79% 33% Stockmann Sweden Fashion Lindex Finland Beauty Home Norway Food Other Other
Slide 8: Strong market position in the Nordics and Baltics, global presence via partnerships
Strong market position in the Nordics and Baltics, global presence via partnerships 442 Lindex fashion stores 8 Stockmann department stores 17 Markets with physical stores 32 Markets with own online stores 18% Share of digital sales Lindex stores Lindex stores, Stockmann Franchise and online store d
Slide 9: Lindex division
Lindex division Good progress in strategic investments and digital transformation Q4 2024 • Improved profitability and sales growth, significant increase of digital sales • Strong commercial assortment with Kidswear as the best performing category, launch of StyleMe pilot • Launch of new highly auto
Slide 10: Lindex's new omnichannel distribution centre enabling future growth
Lindex’s new omnichannel distribution centre enabling future growth • Successful and timely launch in November 2024 • By the end of the year 2024, EUR 96.3 million of the total sum (EUR 110 million) invested • Transition phase planned to continue during the first half of 2025 - planned to be fully o
Slide 11: OCDC
OCDC 11
Slide 12: Stockmann division, 2024
Stockmann division, 2024 Systematic efficiency improvements paid off Q4 2024 • Continued profitability improvement due to systematic efficiency measures, proactive inventory and offering management • Beauty and food categories improved and balanced the impacts of fashion market volatility • Successf
Slide 13: Financial update
Financial update 13
Slide 14: Q4: The Lindex division's result increased significantly
LINDEX DIVISION REVENUE, M€ Q4: The Lindex division’s result 200 +0,5% increased significantly 168.2 169.1 150 • The revenue developed well towards the latter part of 100 the quarter due to improved stock availability and well received commercial offerings 50 Q4 2023 Q4 2024 • In local currencies, r
Slide 15: Q4: Stockmann improved profitability in challenging market
STOCKMANN DIVISION REVENUE, M€ Q4: Stockmann improved 150.0 -1.4% profitability in challenging market 106.1 104.6 100.0 • Revenue decline was impacted by the overall 50.0 fashion market decline in division’s key markets 0.0 • In addition, the lowered volume of clearance sales, Q4 2023 Q4 2024 especi
Slide 16: Q4: Changes in Group revenue and adjusted operating result
Q4: Changes in Group revenue and adjusted operating result CHANGES IN REVENUE, M€ CHANGES IN ADJUSTED OPERATING RESULT, M€ 300 40 274.3 0.9 273.7 1.6 36.1 280 35 4.5 -1.5 -0.1 260 30.2 30 240 Improved Lower 25 220 stock fashion Higher gross Cost efficiency availability sales profit and 200 20 measur
Slide 17: Q4: Group key figures
Q4: Group key figures REVENUE, M€ ADJUSTED OPERATING RESULT, M€ -0.2% 5.9 M€ 300.0 274.3 273.7 40.0 36.1 250.0 30.2 30.0 200.0 20.0 150.0 10.0 100.0 0.0 Q4 2023 Q4 2024 Q4 2023 Q4 2024 33.1 M€ 19.8 M€ 58.1% 0.12 € (28.9) (9.7) (57.5) (0.06) Operating result Net result Gross margin EPS
Slide 18: Full year 2024: Changes in Group revenue and adjusted operating result
Full year 2024: Changes in Group revenue and adjusted operating result CHANGES IN REVENUE, M€ CHANGES IN ADJUSTED OPERATING RESULT, M€ 1000 952 940 950 90 - 04 - 07 00 80 900 80 02 75 850 70 -07 00 800 Fashion 60 Decline in 750 market’s fashion 50 Lower gross Cost efficiency volatility and sales 700
Slide 19: The divisions' profitability levels
The divisions’ profitability levels ADJUSTED OPERATING RESULT ROLLING TWELVE MONTHS, M€ EUR mill. 120 100.0 100 93.3 91.3 90.0 90.0 91.0 90.3 87.3 88.9 80.3 83.5 82.9 78.4 80 70.8 62.1 60 47.1 42.9 39.6 40 36.2 33.5 20 0 -1.8 -5.1 -2.5 -2.3 -5.4 -5.1 -5.8 -5.5 -3.9 -9.9 -7.0 -6.3 -8.7 -20 -12.0 -16.
Slide 20: Full year 2024: Operating free cash flow and capital expenditure
Full year 2024: Operating free cash flow and capital expenditure OPERATING FREE CASH FLOW, M€* CAPITAL EXPENDITURE (EXCL. IFRS 16 ITEMS), M€ 80.0 70.8 80.0 65.1 60.0 60.0 45.7 40.0 40.0 20.3 20.0 20.0 0.0 1-12 2023 1-12 2024 0.0 1-12 2023 1-12 2024 • Inventories were EUR 169.6 (162.9) million • CAPE
Slide 21: Changes in cash position
Changes in cash position CHANGES IN CASH POSITION PER ITEM, M€ 114.7 M€ (137.5) 350 cash 174 300 -17 250 2024 200 -110 1–12 150 100 138 -38 -19 03 115 -10 -02 -04 50 Adjusted Lease Paid/refund Proceeds from Currency Opening Adjusted Change Lease CAPEX Paid/refund Restructuring Proceeds Other Currenc
Slide 22: Good financial position for future growth
Good financial position for future growth NET DEBT EXCL. IFRS 16 ITEMS, M€ Conversion of unsecured debt to senior secured bonds EUR mill. 200 Divestment of the property in Tallinn 100 119 100 73 36 61 36 66 30 32 0 11 -7 -100 -234 -313 -274 -325 -278 Divestment of the property in Helsinki -200 -300
Slide 23: Lindex division's progress on financial targets
Lindex division’s progress on financial targets Target 2024 2023 2022 3–5% annual local currency revenue growth in the mid- term and reaching an annual -0.9 2.7 10.9 revenue of SEK 10 billion by 2030, % 30% digital share of revenue 20.8 19.0 18.5 in the mid-term, % 15% adjusted operating 13.2 14.3 1
Slide 24: Stockmann division's progress on financial targets
Stockmann division’s progress on financial targets Target 2024 2023 2022 Revenue growth in line with market* growth in -2.2 -0.6 10.0 the mid-term, % Reaching a positive free cash flow in the mid-term, -19.4 -12.0 -20.9 EUR mill. 5% adjusted operating -1.3 -2.0 -1.7 margin in the mid-term, % *) Stoc
Slide 25: Financial highlights
Financial highlights Revenue decreased Q4 result increased due Adjusted operating slightly in challenging to higher gross profit result improved market environment and good cost control in Q4 and 1-12 2024 25
Slide 26: Way forward
Way forward 26
Slide 27: Lindex: Clear strategy for value creation
Lindex: Clear strategy for value creation Transform to a Decouple cost Accelerate growth sustainable business from growth
Slide 28: Lindex division - 2025, Geared for growth
Lindex division - 2025, Geared for growth • Leverage the full potential of the major investments for continued global, brand-led and sustainable growth • Ramp up new omnichannel warehouse to achieve full operational capacity and secure long-term growth plans • Focus on growth both with existing mark
Slide 29: Stockmann: Customer-centric strategy to ensure profitability and future growth
Stockmann: Customer-centric strategy to ensure profitability and future growth Elevate offering: Grow and Optimise Improve Increase focus leverage omnichannel operational on premium and loyal customer performance efficiency luxury base
Slide 30: Stockmann division - 2025, Systematic strategy execution
Stockmann division - 2025, Systematic strategy execution with focus on profitability • Secure systematic progress of operational and cost efficiency measures to improve profitability • Digitalisation and leveraging technology • Organisational and process efficiency • Differentiate the offering with
Slide 31: Guidance 2025
Guidance 2025 In 2025, Lindex Group expects its revenue to increase by 0−4% in local currencies compared to 2024. The Group’s adjusted operating result is estimated to be EUR 70−90 million. Foreign exchange rate fluctuations may have a significant effect on the adjusted operating result. 31
Slide 32: Q&A Further information
Q&A Further information lindex-group.com investor.relations@stockmann.com 32