Allegro.eu S.a. · GPW:ALE
Allegro.eu — Q2 2022 Earnings Presentation
21 slides from Allegro.eu's earnings presentation, Sep 29, 2022
Slide 1: Allegro.eu Q2 2022 Results presentation
| 1 Allegro.eu Q2 2022 Results presentation 29 September 2022 customers
Slide 2: Disclaimer
| 2 Disclaimer This presentation (“Presentation”) has been prepared by Allegro.eu, a public limited liability company (société anonyme) incorporated and existing under the laws of the Grand Duchy of Luxembourg, having its registered office at 1, rue Hildegard von Bingen, L – 1282 Luxembourg, Grand D
Slide 3: Agenda
| 3 Agenda 1 3 Initial perspectives Financial results from the New CEO a. Polish operations b. MALL segment c. Group 2 4 Highlights 2022 expectations 5 Q&A
Slide 4: Q2 2022 Highlights: GMV accelerates with Active Buyers returning to growth
| 4 2 Q2 2022 Highlights GMV accelerates in Q2 with Active Buyers returning to growth Q2’22 GMV and revenue growth showing resilience of Allegro Consolidated GMV: 23.5% YoY (+16.0% YoY ex. MALL) everyday shopping selection at attractive prices, despite weakening Consolidated Revenue: +68.9% YoY (+22
Slide 5: Further improvements in retail basics and delivery experience
| 5 2 Further improvements in retail basics and delivery experience Selection growth Price competitiveness Improving convenience Delivery speed progress +6pp Q2’21 Q2’22 % of parcels delivered next day • Broad selection of everyday • Working with merchants to improve • Continuously high rNPS2 level,
Slide 6: Continued progress across key growth levers
| 6 2 Continued progress across key growth levers Smart! Advertising Allegro Pay International development • Expanding the Smart! user base • Advertising revenues up by +26.5% • Excellent performance of Allegro Pay • Preparations for integrated driven by ongoing success of “Smart! YoY and growing as
Slide 7: Update on the MALL Group integration process
| 7 2 Update on the MALL Group integration process • Transaction completed on April 1st 2022 3P platform development on track to launch in Czechia in 2023 • Multiple teams working on integrating • Platform adjusted to Czech market (language, specific consumer needs - MALL Group with Allegro e.g., pr
Slide 8: Q2 2022 key results: Polish operations
Polish operations (ex. MALL) | 8 3 Q2 2022 key results: Polish operations GMV Active Buyers1 GMV per Active Take Rate3 Buyer2 PLN 12,110m Q2’22 13.6m Q2’22 PLN 3,350 Q2’22 10.81% Q2’22 +16.0% YoY +2.1% YoY +13.9% YoY +0.35pp YoY PLN 22,934m H1’22 10.64% H1’22 +14.5% YoY +0.20pp YoY Revenue Adjusted
Slide 9: Active Buyers returning to growth; increasing annual spend per Buyer
Polish operations (ex. MALL) | 9 3 Active Buyers returning to growth. Increasing annual spend per Buyer with rising Smart! penetration as shift to online continues Active Buyers (period end)1 LTM GMV / Active Buyer (period end)1 m PLN 2.1% 13.9% 0.7% 0.7% -0.5% 1.2% 3.4% 2.6% 3.4% 3.8% 13.3 13.4 13.
Slide 10: GMV growth in Poland accelerating in Q2
Polish operations (ex. MALL) | 10 3 GMV growth in Poland accelerating in Q2 GMV1 PLN bn 10.6% 19.9% 16.7% 12.8% 16.0% • LTM GMV up by 16.2%, reaching PLN 45.5bn • Shopping malls were shut down in the base period until 4 May. Growth rate accelerated after lapping the lockdown 12.7 12.1 • Solid growth
Slide 11: Revenue growth driven by marketplace, advertising and retail
Polish operations (ex. MALL) | 11 3 Revenue growth driven by marketplace, advertising and retail Revenue Bridge Take Rate1 PLN m % 19.6% 26.5% 7.9% 59.6% 142.0% 22.3% • Take Rate up by 0.35pp YoY benefiting fully from monetization initiatives introduced in Q1 30.1 3.2 38.5 8.2 1,600.1 212.0 10.46 10
Slide 12: Adjusted EBITDA performance
Polish operations (ex. MALL) | 12 3 Adjusted EBITDA performance Adjusted EBITDA bridge in Q2 2022 PLN m 5.36% 4.55% • GMV acceleration combined with higher Take Rate driving marketplace revenue 42.8% 34.5% acceleration 212.0 29.1 • Growing contribution of margin-accretive 13.9 advertising revenue 55
Slide 13: Investing in platform improvements and One by Allegro
Polish operations (ex. MALL) | 13 3 Investing in platform improvements and One by Allegro to drive future growth and optimize costs Capital expenditures1 by type 141.0% PLN m 369.9 • Other capex driven largely by accelerating 123.3% roll-out of Allegro's own parcel locker (APM3) 215.3 network, inves
Slide 14: Q2 2022 key results: MALL
MALL segment | 14 3 Q2 2022 key results: MALL GMV Adjusted EBITDA Take Rate3 PLN 787.9m Q2’22 - PLN 67.1m Q2’22 11.58% Q2’22 -6.0% YoY pro-forma1 N/A2 N/A Revenue Adjusted EBITDA / 1P Gross margin4 GMV margin PLN 610.7m Q2’22 - 8.52% Q2’22 11.9% Q2’22 -10.8% YoY pro-forma1 N/A N/A 1. Estimates of pr
Slide 15: MALL Group recorded 6.0% pro-forma GMV drop, 3P grew 53.6%
MALL segment | 15 3 In Q2’2022 MALL Group recorded 6.0% YoY pro-forma1 GMV drop, while the 3P business grew 53.6% YoY Income Statement • Pro-forma GMV declined in Q2 2022 by 6.0% YoY, with 1P GMV MALL segment Q2 2021 down by 12.3% YoY PLN m (unaudited)1 pro-forma Q2 2022 GMV 838.1 787.9 • 3P GMV inc
Slide 16: Q2 2022 key results: Group Consolidated
Group Consolidated | 16 3 Q2 2022 key results: Group Consolidated GMV Adjusted EBITDA Take rate PLN 12,898m Q2’22 PLN 484m Q2’22 10.82% Q2’22 +23.5% YoY -13.5% YoY +0.36pp PLN 23,722m H1’22 PLN 947m H1’22 10.65% H1’22 +18.4% YoY -13.6% YoY +0.20pp Revenue Adjusted EBITDA / Cash Conversion1 GMV margi
Slide 17: MALL Group acquisition lifts leverage to 3.5x
Group Consolidated | 17 3 MALL Group acquisition lifts leverage to 3.5x, with decline expected from Q4 PLN m (unaudited) 31.12.2021 Pro-forma 1 Apr-22 30.06.2022 • Key drivers of the Group’s leverage increase from LTM1 Adjusted EBITDA Polish segment 2,068.5 1,995.8 1,987.1 3.26x to 3.54x: o Consolid
Slide 18: Net profit and D&A bridge
Group Consolidated | 18 3 Net profit and D&A bridge [PLN m] H1 2022 H1 2021 Change % Q2 2022 Q2 2021 Change % 1• Includes PLN 58.5m non-cash EBITDA: Group 881.5 1,075.0 (18.0%) 448.9 547.6 (18.0%) revaluation impact on borrowings Amortisation and Depreciation (391.1) (247.1) 0.6% (239.9) (125.8) 0.9
Slide 19: 2022 expectations
| 19 4 2022 expectations 2022 expectations 2022 expectations3 2022 expectations Polish operations MALL segment Group consolidated Allegro-only MALL-only3 Consolidated, 2022E Published May 26th Update Published May 26th Update Published May 26th Update GMV 15-20% 15-17% Near-term Low single-digit 22-
Slide 20: Questions & Answers
| 20 5 Questions & Answers
Slide 21: Thank you
| 21 Thank you