Safilo Group S.p.a. · MIL:SFL
Safilo — Q1 2025 Earnings Presentation
18 slides from Safilo's earnings presentation, May 7, 2025
Slide 1: Q1 2025 Trading Update
Q1 2025 TRADING UPDATE MAY 7, 2025
Slide 2: Disclaimer
DISCLAIMER This presentation may contain forward looking statements based on current expectations and projects of the Group in relation to future events. Due to their specific nature, these statements are subject to inherent risks and uncertainties, as they depend on certain circumstances and facts,
Slide 3: Return to sales growth and solid financial performance despite market uncertainty
RETURN TO SALES GROWTH AND SOLID FINANCIAL PERFORMANCE DESPITE MARKET UNCERTAINTY "We began 2025 with encouraging momentum, particularly in January, when North America built on the positive recovery trends seen at the close of 2024. During the quarter uncertainty increased with escalating geopolitic
Slide 4: Q1 2025 Highlights
Q1 2025 HIGHLIGHTS • Total sales at 285.8€M, +3.1% reported/+2.2% @cFX • Europe was our main positive driver, confirming broad-based growth • North America showed a recovery, thanks to sports and prescription frames • Smith, Carrera, David Beckham, Polaroid, Tommy Hilfiger, Carolina Herrera, BOSS, H
Slide 5: Sales Performance: Europe
SALES PERFORMANCE Europe 128.9 €M, +2.9% reported +2.8% @cFX • Solid growth across all home brands and key licenses • Standout performance by Carrera, David Beckham, Tommy Hilfiger, Marc Jacobs and BOSS • Continued momentum in France and Eastern Europe • Across channels, independent opticians contin
Slide 6: Sales Performance: North America
SALES PERFORMANCE North America 118.8 €M, +3.8% reported +1.0% @cFX • Smith delivered cross category double-digit growth, gaining market share in goggles • Prescription frames drove positive momentum in the wholesale business • Blenders declined due to a more promotional environment in the entry-lev
Slide 7: Sales Performance: Asia & Pacific
SALES PERFORMANCE Asia & Pacific 14.4 €M, +21.2% reported +18.5% @cFX • Growth of Carrera in Australia boosted by co-branding activities and women’s collection rollout • In Asia, favorable shipping timing for some key account and distributor orders contributed to sales growth Q1 2025 Trading Update
Slide 8: Sales Performance: Rest of the World
SALES PERFORMANCE Rest of the World 23.7 €M, -7.4% reported -2.9% @cFX • Continued weakness in India and soft trading in Mexico • Middle East and Brazil remained positive Q1 2025 Trading Update 8
Slide 9: Economic Performance
ECONOMIC PERFORMANCE Gross margin Adjusted1 EBITDA 60.5%, +50 bps 12.0%, +50 bps • Positive brand mix supported by absence of dilutive phase-out sales • Supportive pricing offsetting unfavourable channel mix • Improved operating leverage, sustaining the increase in marketing investments to support b
Slide 10: Financial Performance
FINANCIAL PERFORMANCE Free Cash Flow Net Debt atMarch ‘25 14.4 €M vs1.7€MinQ1‘24 68.4 €M vs82.7€M at31Dec.‘24 • Solid operating performance and effective management of working capital, driven by inventory normalization Q1 2025 Trading Update 10
Slide 11: Tariff Mitigation Measures
TARIFF MITIGATION MEASURES • Acceleration of supply chain diversification • Selective price adjustments in the US Q1 2025 Trading Update 11
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Slide 13: Appendices
Appendices
Slide 14: Notes to the Presentation
NOTES TO THE PRESENTATION 1 In Q1 2025, the adjusted EBITDA excludes non-recurring costs of Euro 1.1 million due to some restructuring expenses In Q1 2024, adjusted EBITDA excludes non-recurring costs of Euro 3.9 million mainly due to the potential costs related to a terminated license agreement. Q1
Slide 15: Q1 2025 Sales by Geographical Area
Q1 2025 SALES BY GEOGRAPHICAL AREA Change at Change at (Euro million) Q1 2025 % Q1 2024 % current forex constant forex North America 118.8 41.6 114.5 41.3 +3.8% +1.0% Europe 128.9 45.1 125.3 45.2 +2.9% +2.8% Asia Pacific 14.4 5.1 11.9 4.3 +21.2% +18.5% Rest of the world 23.7 8.3 25.6 9.2 -7.4% -2.9%
Slide 16: Q1 2025 Trading Update
Q1 2025 TRADING UPDATE (Euro million) Q1 2025 % Q1 2024 % % Change Net sales 285.8 277.2 +3.1% Gross Profit 173.0 60.5% 166.2 60.0% +4.1% EBITDA 33.3 11.6% 28.1 10.1% +18.4% 1 Adjusted EBITDA 34.3 12.0% 32.0 11.5% +7.3% IFRS 16 impact on EBITDA 3.2 3.0 Q1 2025 Trading Update 16
Slide 17: Exchange Rates
EXCHANGE RATES (Appreciation)/ (Appreciation)/ As of Average for Depreciation Depreciation March 31, December 31, Currency Code % Q1 2025 Q1 2024 % 2025 2024 US Dollar USD 1.0815 1.0389 4.1% 1.0523 1.0858 -3.1% Hong-Kong DollarHKD 8.4130 8.0686 4.3% 8.1872 8.4912 -3.6% Swiss Franc CHF 0.9531 0.9412
Slide 18: Strong Brand Portfolio
STRONG BRAND PORTFOLIO • The right offer for all distribution channels, for all customer types • Centered on contemporary segment where the highest demand of eyewear is • Broad based offer across genders, ages, categories & price segments • Appealing to the most fashion- driven consumers and functio