Tonies Se Class A · XETR:TNIE
Tonies Se Class A — Investor Presentation (April 2023)
46 slides from Tonies Se Class A's investor presentation, April 2023
Slide 1: Company Presentation tonies SE April 2023
Company Presentation tonies SE | April 2023
Slide 2: Content
Content Introduction to tonies SE FY 2022 Results & Outlook 2023 Appendix tonies® 2
Slide 3: Introduction to tonies SE
Introduction to tonies SE
Slide 4: tonies: the world's largest interactive audio platform
tonies: the world's largest interactive audio platform & creator of jg a multi-billion Euro category in kids entertainment & beyond
Slide 5: Our ecosystem is tailored to the needs of young families
Our ecosystem is tailored to the needs of young families by providing a playful, safe and screen-free audio experience i TFoniebox: Smart, connected audio af player allows for a large installed base, anchoring our proprietary ecosystem Tonies ¢ Extensive and constantly growing choice of over 700 exc
Slide 6: Superior content distribution requires proprietary tech platform
Superior content distribution requires proprietary tech platform gg tonies® 6
Slide 7: Our business model in a nutshell
Our business model in a nutshell [ r Our platform is exponentially = fueling our razorblade ... and adding further high growing with more and more business model with highly margin products to our tonies Tonieboxes... predictable Tonie activations universe P Cumulative Tonieboxes sold Cumulative Ton
Slide 8: Key investment highlights
Key investment highlights Huge market Newly created multi-billion Euro product category tapping into adjacent connected opportunity audio, streaming as well as kids gaming and toys segments Pioneer with category-defining offering as first device in the kid’s room, high Differentiating brand loyalty
Slide 9: We have created a new multi-billion Euro category
Market | Positioning Business model Brand Financial track-record | Growth opportunities We have created a new multi-billion Euro category in the intersection of four huge consumer markets SS 5 et #1 pharket #2 7 ihe mn) we > Gaming and Game, 2a > ea ol wo? Oro a Connected toys market EUR 136bn EUR 7
Slide 10: Toniebox is the first connected device to enter the child's room
Market Positioning Business model Brand Financial track-record | Growth opportunities Toniebox is the first connected device to enter the ts child's room « ae) tonies Streaming Kids First-mover advantage va . —o i? rime tonies® 10 Note(s): Not recommended for kids below the age of 3
Slide 11: Tech-driven, highly scalable D2C platform with proprietary ecosystem
Market Positioning Business model Brand Our business model is based on a tech-driven, highly ¥ scalable D2C platform, leveraging our proprietary ecosystem Financial track-record Growth opportunities 7 ° Toniebox Central platform for the ecosystem ry y Content key and toy for children ghlse Accessori
Slide 12: Proven business model with clear focus on value creation
Market Positioning Business model Brand Financial track-record Growth opportunities Proven business model with clear focus on value creation ts > | | Go-to-market Proprietary Contract Third party content creation manufacturing licensing ae td tong Dioup wPu “if a ornctie OP : Jo, > pottery barn kids
Slide 13: Content-driven flywheel provides comprehensive customer data
Market | Positioning | Business model Brand Financial track-record Growth opportunities | tonies’ content-driven flywheel provides comprehensive ¥ customer data... Thanks to being data-driven, © More Cottle x we understand our users ..What they listen for, where and when ..how often and how long the
Slide 14: Customer feedback and inspiration
Market Positioning inspiration and information about our products (— \ Guys. These tonieboxes are life-changing. We got our four year old one for Christmas, and | have more than I'll admit invested in it. However. My son is 7 and requested one for himselt. | laughed, thinking he wouldn't love it. We
Slide 15: Brand awards and recognition
Market Positioning Business model Brand | Financial | track-recor d | Growth opportunities ' | 2022 © fib epma. : IATIONA\ ira 3 Brana (eb caus? awar AWARDS ball Bott dia EZ. conies!
Slide 16: Loyal and growing customer base drives revenue growth
Market | Positioning | Business model _| Brand | Financial track-record| Growth opportunities | Our highly loyal and continuously growing customer base nd drives sustainable Revenue growth rowth rate Actuals [| Plan 703 38% CAGR (2019A-25E 504 102 2201" ‘ 220258 asa.—lUC ESa.—UlC< ETUC REELUCCUEULOU
Slide 17: Replicate DACH success story globally
Market | Positioning | Business model | Brand | Financial track-record| Growth opportunities | We intend to replicate our proven DACH success e story globally Development of global revenue distribution 40% 35% —_»> Revenue CAGR (2022-25e) Revenue CAGR (2019A-21A) Note(s): 2019: Audited German GAAP f
Slide 18: Strong and highly predictable cohorts drive growth
Market | Positioning | Business model | Brand Financial track-record| Growth opportunities | Strong and highly predictable cohorts drive growth trajectory Cumulative Tonies figurines purchased per Toniebox Sales since launch in Q4 2016 24 4 Our average customer buys 22 4 -20 Tonies figurines z ithi
Slide 19: Strong unit economics are the backbone of our model
Market | Positioning | Business model | Brand Financial track-record| Growth opportunities | Our strong unit economics are the backbone of our nd profitable business model Unit economics in EUR (Box Purchase { Year 1 mit Year 2 mit Year 3 mit Year 4 mit Year 56} Customer lifetime 19 fer to a basket
Slide 20: Scalable business model will drive future profitability
Market Positioning Business model Brand Financial track-record | Growth opportunities Our scalable business model will drive future profitability (slide from IPO) Financial targets overview 2019(HGB) 2020(IFRS) 2021(IFRS) 2022(IFRS) Reb ikem medium-term Wes agin 2S 44.6% 50.1% 54.1% 54.2% ~70% icens
Slide 21: Ready to capture multi-dimensional growth opportunities
Market Positioning Business model Brand Financial track-record | Growth opportunities We are ready to capture multi-dimensional | growth opportunities DACH penetration International Product and platform expansion expansion expansion Future Expand own content offering (“originals”) and extend depth/b
Slide 22: Every second child in DACH uses a Toniebox
Market Positioning Business model Brand Financial track-record | Growth opportunities Every second child in DACH currently uses a Toniebox = =oe ZN 3 Bt ) Tonieboxes sold 22 Note(s): (1) Tonieboxes sold since Q4 2016; (2) Based on total addressable target group for Tonieboxes in Q4 2022; Source(s):
Slide 23: US with continued excellent traction since launch
Market: | Positioning | Business model | Brand Financial track-record | Growth opportunities | US with continued excellent traction since launch ee rv — market lannch 50 states... market penetration We were in the US even before | | Since then, we have conquered all ..and significantly increased our
Slide 24: Onwards and upwards for the US market
Market | Positioning | Business model _| Brand | Financial track-record | Growth opportunities | Onwards and upwards for the US market = wl .. growing our base with .. with already .. and available in >4,200 stores* >620,000 Forseboxes sold >4,100,000 Fonées sold with opportunity to grow _ : BO {| B
Slide 25: Listed with Target nationwide in the US from fall 2023
Market Positioning Business model Brand Financial track-record | Growth opportunities | We will be listed with Target nationwide in the US e starting fall 2023... — iN ww tonies® 25 sentation will vary by loca
Slide 26: Positioning Business mo: del
Market Positioning Business mo: del
Slide 27: Proven product fit in the US and clear channel strategy
Market Positioning Business model Brand Financial track-record | Growth opportunities We have proven product fit in the US and leverage our eu strong growth momentum based on a clear channel strategy [ Growth rate Plan 295 65% CAGR (2023E-25E) Actuals 384% Growth CAGR (2020A-22A) =p wil Ramp-UP Fy 1
Slide 28: Improving platform and product offering is key to strategic roadmap
Market | Positioning | Business model Brand Financial track-record | Growth opportunities | Improving our platform and product offering to satisfy and grow our fanbase is a key element of our strategic roadmap Toniebox Next generation Toniebox and target group expansion Installed Base A Alternative
Slide 29: FY 2022 Results & Outlook 2023
aK ~ FY 2022 Results & Outlook 2023 e
Slide 30: Successful international expansion and major progress on path to profitability
Successful international expansion and major progress on path to profitability Results ry 2022 * Exponential tevenwe growth fueled by international expansion = Group: 37% YoY to EUR 258m = US: 223% YoY to EUR 66m Adjusted EBTJDA at upper end of LL Business 25S update Despite macroeconomic challenges
Slide 31: Driving market penetration despite unstable times
We are driving market penetration despite unstable times » A ~5m Tonieboxes sold Tonies sold 4 +1.4m in last 12 months oe eS fe) a 5 % of revenue already Accessories & Digital >100 countries with activated Tonieboxes* low
Slide 32: First own license brand centered around children's bedtime
Based on data insights, we introduced our first own license brand centered around children's bedtime w o Wo w 5 ° SLEEP C hoo: F3 Sleepy Rabbit Rp is the 2#0 most sold Tonie in 2023 in DACH Highest average weekly flaytimein DACH
Slide 33: Many highlights in 2022
And there have been many highlights in 2022... rv | @ a \SNEp We rolled out the We ti dwith &V-webshopand now Dis - fe raj ‘int ship to 16 European Chretenne a countries i oh We took our first step into Asia pacific with launch in Hong Kong We introduced our & wr ay new sastainability ec) project “P
Slide 34: Exponential revenue growth and step up in margins in FY 2022
Exponential revenue growth and step up in margins in FY 2022 Adjusted EBIFDA margin -2.4% +57 feft Yor mG = Exceeded guidance of EUR 250m = Driven by international markets...: = with rapid US growth of 223% = and Rest of World (111%), driven by UK = growth in mature DACH persisted (5%) = and all pro
Slide 35: Very strong growth driven by international markets
FY 2022 — Very strong growth driven by international v markets... Revenue growth by geography Revenue split by geography ——— - —iry 2021 | Hi Intemational 437% MEY 2022 | Vie A Hy 2583 MI DACH | 188.0 39% | 19% | FY 2021 =FY 2022 —_ a — —_= oe ———_—____—_ tonies® 35
Slide 36: Growth by all product categories
..and by all product categories Revenue growth by product category MBFY 2022 +37% { Accessories __ & Digital” Group Tonieboxes Tonies Gry 2021 Revenue split by product category ——— | 188.0 | 30% FY 2021 258.3 Ml Tonies w BR xe FY 2022 Hl Tonieboxes MW) Accessories & Digital
Slide 37: Adjusted EBITDA margin at upper end of guidance range
Adjusted EBITDA margin at upper end of guidance range Adjusted EBITDA margin bridge {in pp) 0.1% -8.1% Adj. COGS Licensing Fulfilment Marketing Personnel Opex Other Adj. EBITDA | costs ml EBITDA margin Y Y margin 2021 improvement in 2022 contribution margin Other costs ode COGS improvements from mul
Slide 38: P&L: Key numbers and margins (adjusted)
P&L: Key numbers and margins (adjusted) ee ee ny fo revenu: _ Gross profit after ona costs 108.3 41.9% 665 354% 418 +6.5pp a Hlowtatem 70.9 274% 40.0 21.3% 309 46.2pp wee “Marketing «= (sti (tC 1830~C«™: 98% 66 401pp ‘SChAti“‘é‘“CRTSC#*«C BOC MOC 1% 7108p ‘Otherresut 57 ka%SC(ié‘C SSC MKC 200COCS 40
Slide 39: Cash flow reflects investments into international expansion
Cash Flow reflects investments into international expansion — especially in working capital / inventory Cash bridge fin EURm) Majority of FCF related to working capital for international growth s Cash as of Operating CF 31 Dec 2021 Investing CF Financing CF FX effects Cash as of 31 Dec 2022 4 ojo a
Slide 40: Guidance FY 2023 — major milestone towards profitable growth
Guidance FY 2023* — major milestone towards profitable growth Group revenue (EURm) US revenue (EUR) Group adjusted EBITDA in % of revenue ~ Guidance FY 2023 Guidance from IPO FY 2023 258 354 (+37% YoY) 66 116 (477% YoY) -24% “positive” Further year of significant growth ahead with US revenue expecta
Slide 41: Many exciting new products & initiatives planned for 2023
Many exciting new products & initiatives planned for 2023 ig Top launches New Tonies of the most beloved characters among kids storytelling with creative activities fg such as coloring G ssi eis z Guu content Extension of our own bedtime routine offering towards further categories such as healthy da
Slide 42: Recap: Excellent 2022 and on track for 2023
Recap from today: Excellent 2022 and fully on track for strategy and plan delivery in 2023 [ ; 703 ie We delivered on our promises and are fully Revenue (EURm) Vf EF on track in reaching our mid-term ambition GHB Actuais V VA S 504 . . GB Pn 250 258 ~/|_ Successful internat. expansion due to clear t
Slide 43: Appendix
K APPENDIX é
Slide 44: Meet us on conferences and roadshows
Meet us on conferences and roadshows Ty ES MAY 2: GS Europ. Small & Mid Cap Symposium [ APR 17-19 } [mritoraes MAY 16-17: UBS Best of Europe Conference } ) { MAY 23: Berenberg Manhattan Conference ?) } MAY 31: HAIB Stockpicker { MAY: RS-day in the US (tbc) _) { sep 5-7: Corporate Conf. Coba & ODDO B
Slide 45: Investor Relations Contact
Investor Relations Contact Investor Relations Team Contact ir@tonies.com Investor Relations Contact Manuel Bosing Head of Investor Relations Phone: +4915157846012 Mail: manuel. boesing@tonies.com tonies® 45,
Slide 46: Confidentiality and forward-looking statements
Confidentiality All information within these slides is strictly confidential and can only be handed over or published to third persons with the prior written consent of tonies SE. These slides contain forward-looking statements Certain statements included in this document are forward-looking stateme