Westwing Group Se · XETR:WEW
Westwing — Q1 2025 Earnings Presentation
34 slides from Westwing's earnings presentation, May 8, 2025
Slide 1: Q1 2025 Results
Q1 2025 Results Munich, 8 May, 2025 Copyright © 2023 Westwing. All rights reserved.
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 r
Slide 3: Agenda
Agenda 01 Business update 02 Financial update 03 Investment highlights 04 Q&A 05 Appendix 3
Slide 4: Business update
1. Business update 4
Slide 5: State of Westwing
State of Westwing We improved profitability significantly in absence of scale effects. • Revenue decline of 1% year-over-year (yoy) due to shifts in product assortment. • Adjusted EBITDA of EUR 9 million at 8% margin (+3pp yoy) driven by 2024 complexity reduction and cost discipline. • Free cash flo
Slide 6: We successfully completed the first two phases of our 3-step plan
We successfully completed the first two phases of our 3-step plan Turnaround & Building a Scaling with Strategy Update Scalable Platform Operating Leverage 2022-2023 2024-2025 2025-202x Profitability Organisational rightsizing Complexity reduction Cost discipline levers Westwing Collection share inc
Slide 7: We improved adjusted EBITDA margin by 10 percentage points in 3 years
We improved adjusted EBITDA margin by 10 percentage points in 3 years Adjusted EBITDA [in EUR million, as % of revenue] +10pp -6.3% -1.5% 4.9% 5.8% 8.5% +45% 9 6 5 -2 -4 Q1’19 pre-covid Q1’22 Q1’23 Q1’24 Q1’25 Note: Figures in this section are presented on an adjusted basis, i.e. excluding (i) share
Slide 8: We are advancing in the third phase of our 3-step plan
We are advancing in the third phase of our 3-step plan Turnaround & Building a Scaling with Strategy Update Scalable Platform Operating Leverage 2022-2023 2024-2025 2025-202x Profitability Organisational rightsizing Complexity reduction Cost discipline levers 1 Westwing Collection share increase 2 O
Slide 9: Westwing Collection share continued to increase
1 Westwing Collection share increase Westwing Collection share continued to increase Westwing Collection share [as % of GMV] 100% 38% 54% 49% 69% 63% 79% 75% 62% 46% 51% 31% 37% 21% 25% Q1’19 Q1’20 Q1’21 Q1’22 Q1’23 Q1’24 Q1’25 Westwing Collection 3rd party suppliers Note: All figures unaudited. 9
Slide 10: We are on track to open a mid-single-digit number of offline stores in 2025
2 3 Share gains in existing markets and stronger premium brand positioning We are on track to open a mid-single-digit number of offline stores in 2025 Standalone stores Hamburg Hamburg Leipzig Berlin Munich opening soon Berlin opening soon Leipzig Cologne opening soon Cologne Store-in-stores Stuttga
Slide 11: We just opened our second store-in-store at Printemps in Paris
2 3 Share gains in existing markets and stronger premium brand positioning We just opened our second store-in-store at Printemps in Paris, a leading high-end department store with grand artistic and architectural heritage 11
Slide 12: We brought 3 countries live in 2025 so far
4 Country expansion We brought 3 countries live in 2025 so far, in line SE FI with our full-year goal of 5 to 10 new countries NO Expansion so far in 2025 Planned short-term expansion DK Luxembourg Croatia Norway NL PL BE DE CZ Denmark Finland Romania LU SK AT FR CH HU SI HR RO Sweden Greece Sloveni
Slide 13: Financial update
2. Financial update 13
Slide 14: Revenue declined by 1% in Q1 2025
Revenue declined by 1% in Q1 2025 • GMV decline of 5% year- over-year; smaller decline in Group revenue [in EUR million] revenue driven by positive timing effect of 2024 orders. -1% • As expected, negative topline 109 107 development is due to switch to mostly global and more premium product 45% 44%
Slide 15: Strong improvements across all P&L lines
Strong improvements across all P&L lines before start of 3-step plan Delta Q1 2022 Q1 2024 Q1 2025 [as % of revenue] 25 vs. 24 Gross margin 48.7% 51.4% 51.5% +0.2pp Fulfilment ratio -23.4% -19.6% -19.3% +0.2pp Driven by increased Westwing Collection share, partially offset by Contribution margin 25.
Slide 16: Strong improvement in adjusted EBITDA margin in both segments in Q1 2025
Strong improvement in adjusted EBITDA margin in both segments in Q1 2025 Segment adjusted EBITDA [as % of revenue] DACH segment +3.7pp 9.4% • DACH segment margin 5.8% improved by 3.7pp in Q1, driven by reduced brand awareness investment. Q1’24 Q1’25 International segment • International segment marg
Slide 17: Net working capital remained negative
Net working capital remained negative Net working capital [in EUR million] • Assortment improvement +16 leading to timing effect of inventory build-up for new -2 products in various categories. • Increased availability and higher inventories for major -18 sales event in the beginning of 31 Mar. ‘24
Slide 18: CAPEX in Q1 2025 remained at a healthy level
CAPEX in Q1 2025 remained at a healthy level CAPEX [in EUR million, as % of revenue] 4.9% 2.0% Driven by EUR 3m impact of change of lease contract of logistics centre equipment, • Reduced CAPEX for internally reversal in Q2 2024. -3 developed tech assets year- 5 over-year due to 2024 complexity redu
Slide 19: Strong net cash position of EUR 57 million at the end of March 2025
Strong net cash position of EUR 57 million at the end of March 2025 Net cash [in EUR million] Free cash flow Q1 2025: EUR -9 million 69 0 57 -9 0 -3 Free cash flow after lease payments Q1 2025: EUR -12 million Net cash Operating cash flow Investing cash flow IFRS 16 Other financing Net cash 31 Dec.
Slide 20: We confirm our guidance for FY 2025
We confirm our guidance for FY 2025 FY 2024 Guidance FY 2025 Revenue EUR 444m EUR 425m to 455m (-4% to +2% yoy growth) Adjusted EUR 25m to 35m EUR 24m EBITDA (+6% to +8% margin) Enabling double-digit positive free cash flow Note: Free cash flow is not part of capital market guidance for FY 2025. Fig
Slide 21: Our ambition is to return to significant growth in 2026
Our ambition is to return to significant growth in 2026 while continuously improving profitability Revenue assumptions 2025 2026 Market 2024 change in product assortment Ambition is upper single to double-digit growth rate in 2026. 2025 expansion Profitability assumptions 2025 2026 2024 change in pr
Slide 22: Investment highlights
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Slide 23: Investment highlights
Investment highlights Unique, High relevant margins and Strong Huge market Superbrand customer operating balance potential in design value leverage in sheet proposition scaling • Unique assortment of gor- • Addressing sizeable • Superbrand in design • High margins as a result of • Strong net cash po
Slide 24: Q&A
4. Q&A 24
Slide 25: Appendix
5. Appendix 25
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, in EUR] 1,800 500 1,600 1,400 400 1,200 300 1,000 800 200 600 400 100 200 0 0 Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1 ’13’14’14’14’14
Slide 27: KPI overview
KPI overview Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Group KPIs Unit 2021 2021 2021 2021 2022 2022 2022 2022 2023 2023 2023 2023 2024 2024 2024 2024 2025 Westwing Collection in % of 31% 32% 38% 37% 37% 38% 44% 44% 46% 46% 48% 47% 51% 53% 58% 58% 62% share GMV Active customers in k 1,720 1
Slide 28: Consolidated income statement
Consolidated income statement EUR million, in % of revenue FY 2023 FY 2024 Q1 2024 Q1 2025 Revenue 428.6 444.3 108.6 107.5 Cost of sales -215.7 -218.7 -52.9 -52.1 Gross profit 212.9 225.7 55.8 55.4 Fulfilment expenses -90.3 -85.2 -22.0 -20.8 Marketing expenses -45.6 -57.1 -13.9 -12.8 General and adm
Slide 29: Adjusted income statement
Adjusted income statement EUR million, in % of revenue FY 2023 FY 2024 Q1 2024 Q1 2025 Revenue 428.6 444.3 108.6 107.5 Revenue growth yoy -0.5% 3.7% 5.6% -1.1% Cost of Sales -215.7 -218.7 -52.9 -52.1 Gross Profit 212.9 225.7 55.8 55.4 Gross margin 49.7% 50.8% 51.4% 51.5% Fulfilment expenses -90.3 -8
Slide 30: Segment reporting
Segment reporting DACH in EUR million FY 2023 FY 2024 Q1 2024 Q1 2025 Revenue 236.5 252.2 60.1 60.7 yoy growth (in %) -2.4% 6.6% 7.7% 1.0% Adj. EBITDA 16.1 14.5 3.5 5.7 Adj. EBITDA margin % 6.8% 5.8% 5.8% 9.4% International in EUR million FY 2023 FY 2024 Q1 2024 Q1 2025 Revenue 192.1 192.2 48.5 46.8
Slide 31: Excluding adjustments, Q1 2025 EBITDA of EUR 6.4 million and EBIT of EUR 2.6 million
Excluding adjustments, Q1 2025 EBITDA of EUR 6.4 million and EBIT of EUR 2.6 million FY FY Q1 Q1 EUR million 2023 2024 2024 2025 Adjusted EBITDA 17.8 24.0 6.3 9.1 Adjusted D&A -19.8 -20.3 -5.6 -3.8 Adjusted EBIT -2.0 3.7 0.7 5.3 Share-based compensation expenses -2.3 0.0 0.7 -1.9 Complexity reductio
Slide 32: Issued share capital
Issued share capital Share information as at 31 March 2025 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 Treasury sh
Slide 33: Investor Relations Contact
Investor Relations Contact Teresa Fischer Perez-Lozao Director Corporate Finance ir@westwing.de 33
Slide 34: Events
Events 14 May 2025 Frühjahreskonferenz Equity Forum 17 June 2025 Annual General Meeting 07 August 2025 Publication of half-year financial report 2025 34