Slide 1: Exceptionally strong profitability improvement driven by broad product portfolio
Exceptionally strong profitability improvement driven by broad product portfolio Interim report Q1/2025
Slide 2: Agenda
Agenda 1. Cloetta in brief 2. New strategic priorities and financial targets 3. Quarterly update 4. Financials 5. Q&A 2
Slide 3: Northern Europe's leading confectionery company creating joy through iconic brands
Northern Europe’s leading confectionery company creating joy through iconic brands for over 160 years Candy & Chocolate Profitability Net sales Powered 10.6% 8,6 by Joy Operating profit SEKbn margin, adj. 10 Superbrands of net sales >50% Pastilles & Gum Countries with Joined the Employees operations
Slide 4: Our vision
Our vision To be the winning confectionery company, inspiring a more joyful world 4
Slide 5: Broad portfolio across categories and segments
Broad portfolio across categories and segments Sales split per category and segment Net sales per business segments 28% Pick & mix 43% 72% Candy Branded packaged products 5% 28% Gum 9% 15% Pick & mix Pastilles Chocolate All numbers are FY2024 5
Slide 6: Our core markets
Our core markets 30% 6% Sweden 20% Finland Norway 11% 14% Denmark The Netherlands 19% Outside core markets Net sales by country, 2024 6
Slide 7: Market leading positions across our core markets
Market leading positions across our core markets Market Candy Chocolate Pastilles Gum Pick & Mix Sweden 1 2 1 - 1 Finland* 2 3 1 1 1 Norway 2 6 3 - 1 Denmark 2 6 1 - 1 The Netherlands 2 - 5 2 - * Estimated market position based on data from specific customer. 7 Source: Kesko, SOK and Nielsen
Slide 8: Agenda
Agenda 1. Cloetta in brief 2. New strategic priorities and financial targets 3. Quarterly update 4. Financials 5. Q&A 8
Slide 9: In focus for new President and CEO
In focus for new President and CEO Vision Strategy work Strategy execution June 2024 September 2024 March 2025 April 2025 Appointed CEO Greenfield reassessment Investor Day Plans to change the organisational structure and Group Management to support new strategic priorities announced • Creating a mo
Slide 10: Strategic framework to drive profitable growth
Strategic framework to drive profitable growth Vision To be the winning confectionery company, inspiring a more joyful world 1 2 3 Win Grow Excel Strategic priorities with our beyond core in marketing and Superbrands markets innovation Accelerator Selective M&A Enhancing the operating model Enablers
Slide 11: Our new long-term financial targets
Our new long-term financial targets Organic sales growth Adjusted EBIT margin Net debt /EBITDA¹ Dividend policy 3-4% 14% <1.5x >50% long-term of profit ≥12% by 2027 Previous target 1-2% 14% long-term Around 2.5x 40-60% ¹ Net debt / EBITDA target may be temporarily exceeded in the event of acquisitio
Slide 12: Summary
Summary • Northern Europe’s leading confectionery company with the vision to be the winning confectionery company, inspiring a more joyful world • A non-cyclical market with stable consumer demand outgrowing Food FMCG • Market-leading positions in core markets with iconic brands across diverse categ
Slide 13: Agenda
Agenda 1. Cloetta in brief 2. New strategic priorities and financial targets 3. Quarterly update 4. Financials 5. Q&A 13
Slide 14: Exceptionally strong profitability improvement
Exceptionally strong profitability improvement Q1/2025 • Yet another quarter of profitability improvement driven by the strength of our Q1 Net sales broad confectionery portfolio and despite continued high raw material costs -1.1% Organic • Exceptionally strong profitability improvement delivered de
Slide 15: Agenda
Agenda 1. Cloetta in brief 2. New strategic priorities and financial targets 3. Quarterly update 4. Financials 5. Q&A 15
Slide 16: Sales growth affected by phasing to Q2 due to later Easter
Sales growth affected by phasing to Q2 due to later Easter Net sales -2.6% 2 094 -1.1% -1.0% -0.5% 2 039 Branded packaged: -3.4% Pick & mix: +4.6% Q1/24 Organic Structural FX Q1/25 growth changes 16
Slide 17: Sales development
Sales development Q1 share of net sales and organic sales growth by quarter Branded packaged products 20.5% 14.8% 10.2% 10.9% 11.1% 8.2% 6.1% 2.5% 3.6% 1.2% 1.4% 1.6% 70% -3.4% Q1/22 Q2/22 Q3/22 Q4/22 Q1/23 Q2/23 Q3/23 Q4/23 Q1/24 Q2/24 Q3/24 Q4/24 Q1/25 Pick & mix 32.7% 30% 23.8% 24.4% 22.4% 21.0%
Slide 18: Exceptionally strong profitability improvement
Exceptionally strong profitability improvement Operating profit, adjusted • Improvement mainly driven by recovery 9.2% 11.0% from prior year’s lag in input-cost pricing 60 -2 225 192 -25 • Profitability further strengthened by portfolio rationalisation and lower promotional spend on account of Easte
Slide 19: Profitability strengthened across both segments
Profitability strengthened across both segments Operating profit, adjusted, by segment 10.0% 11.7% 15 167 152 Branded packaged Q1/24 var. Q1/25 6.9% 9.6% 18 58 40 Pick & mix Q1/24 var. Q1/25 19
Slide 20: Investments in core brands and inflation drive SG&A
Investments in core brands and inflation drive SG&A SG&A 21.6% 23.7% +31 33 484 453 1 -3 Q1/24 Items FX Net SG&A Q1/25 affecting comparability 20
Slide 21: Free cash doubled vs LY
Free cash doubled vs LY Cash flow Q1/2025 27 -32 204 199 -16 183 • Free cash flow doubled compared to last year driven Cash flow before Changes Investments Free cash in working in PP&E and flow Other investing Cash flow from Cash flow for the by stabilised working capital changes capital intangible
Slide 22: Strong financial position: Net debt/EBITDA 1.1x
Strong financial position: Net debt/EBITDA 1.1x Financial position • Another successive all-time low Net debt/EBITDA, well below long-term target of 1.5x • Net debt also at an all-time low of SEK 1.3bn driven by both profitability and cash generation • Unutilised access to cash of SEK 2,7bn excludin
Slide 23: Q&A
Q&A
Slide 24: Thank you!
Thank you! We hope the rest of your day is filled with many moments of joy Upcoming IR events 2025 June 3-4 Handelsbanken Nordic Small & Mid Cap Seminar Stockholm June 12 Plant visit to Ljungsbro (Sweden), arranged by DnB Carnegie June 22 Silent period starts July 17 Interim report Q2
Slide 25: Appendix
Appendix
Slide 26: Greenfield facility – Pro forma profit and loss Q1
Greenfield facility – Pro forma profit and loss Q1 Q1/2025 Pro-forma Other items Reported Greenfield excl. affecting Adjusted greenfield comparability Net sales 2.039 2.039 2.039 Cost of goods sold -1.205 129 -1.334 -1.334 Gross profit 834 129 705 - 705 Selling expenses -283 -283 -283 General and ad
Slide 27: Important information
Important information • This presentation has been prepared by Cloetta AB (publ) (the “Company”) solely for use at this presentation and is furnished to you solely for your information and may not be reproduced or redistributed, in whole or in part, to any other person. The presentation does not con