Slide 1: Q3 Result Presentation
Q3 RESULT PRESENTATION 28 November 2024
Slide 2: Agenda
AGENDA Q3 highlights Business update Financial update Q3 Summary Q&A 2
Slide 3: Q3 Highlights: Lower sales but improved profitability
Q3 HIGHLIGHTS Lower sales but improved profitability • Net sales decreased by 15.6% to SEK 192.6 • Decrease due to low purchasing power in markets outside the Nordics • Positive sales trend July-September • Adjusted EBITA margin rose to 12.1% (11.0%) - adjusted EBITA SEK 23.4 million (25.1) • Favour
Slide 4: Q3 Highlights: Stable cash position
Q3 HIGHLIGHTS Stable cash position • Operating cash flow from operating activities amounted to SEK 2.3 million (9.1) • Lower sales • Inventory build-up for the high season in Q4 slightly earlier than last year • Net interest payments on the outstanding bond amounted to SEK 24.8 million • Cash and ca
Slide 5: Q3 Highlights: Bondholder dialogue and outlook
Q3 HIGHLIGHTS Continued dialogue with bondholders to arrive at a solution for the refinancing of Desenio Group's issued bond • Desenio Group’s senior secured bond matures in December 2024 Net sales for 2024 expected to be at the lower end of the previously communicated growth range minus 5-10% • The
Slide 6: In Summary Q3 2024
IN SUMMARY Q3 2024 -15,6% 85.2% 12.1% 2.3 MSEK 193 MSEK (83.3%) (11.0%) (9.1) NET SALES GROSS MARGIN Adj. EBITA OPERATIONAL CASH FLOW 6
Slide 7: EBITA margin bridge
Percentage points “ 2 10 11,0 ‘Adj EBITA margin 03 2023 19 Product margin EBITA margin bridge 00 ft -04 4 [| 13 Fulfilment Marketing cost Admin & other Other operating DESENIO GROUP Os ‘One-time items 121 ‘Adj EBITA margin Q3 2024
Slide 8: Agenda
AGENDA Q3 highlights Business update Financial update Q3 Summary Q&A 8
Slide 9: Sales stronger than overall market search trends
SALES STRONGER THAN OVERALL MARKET SEARCH TRENDS DE GROUP* PERFORMANCE UK GROUP* PERFORMANCE *Desenio + Poster Store Data source: Google Trends & FLOW 9
Slide 10: Sales stronger than overall market search trends
SALES STRONGER THAN OVERALL MARKET SEARCH TRENDS SE GROUP* PERFORMANCE US GROUP* PERFORMANCE *Desenio + Poster Store Data source: Google Trends & FLOW 10
Slide 11: Search share of voice positive in DE and slightly down in the UK
0% 10% 20% 30% 40% 50% 60% 80% 90% 100% 70% 2019-01 2019-03 2019-05 2019-07 2019-09 2019-11 2020-01 2020-03 2020-05 2020-07 2020-09 2020-11 2021-01 Desenio Group 2021-03 2021-05 2021-07 Juniqe 2021-09 2021-11 2022-01 2022-03 2022-05 Posterlounge 2022-07 2022-09 2022-11 DE BRAND SEARCH SHARE OF VOICE
Slide 12: Search share of voice Sweden stable since end of 2021
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 2019-01 2019-03 2019-05 2019-07 2019-09 2019-11 2020-01 2020-03 2020-05 2020-07 2020-09 2020-11 2021-01 Desenio Group 2021-03 2021-05 2021-07 Gallerix 2021-09 2021-11 2022-01 2022-03 2022-05 Posterlounge 2022-07 2022-09 2022-11 SE BRAND SEARCH SHARE OF VOI
Slide 13: Search share of voice increasing in the US
0% 10% 30% 40% 50% 60% 70% 80% 90% 100% 20% 2019-01 2019-03 2019-05 2019-07 2019-09 2019-11 2020-01 2020-03 2020-05 Desenio 2020-07 2020-09 2020-11 2021-01 Postery 2021-03 2021-05 2021-07 2021-09 2021-11 Fineartamerica 2022-01 2022-03 2022-05 2022-07 Allposters 2022-09 2022-11 US BRAND SEARCH SHARE
Slide 14: 2024 Gross order intake
2024 GROSS ORDER INTAKE 250 DESENIO GROUP GROSS ORDER INTAKE* Q3 200 150 100 50 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2019 2020 2021 2022 2023 2024 *Desenio + Poster Store Data source: FLOW 14
Slide 15: Q3 YoY growth per segment
Q3 YOY GROWTH PER SEGMENT NET SALES PER SEGMENT (SEKm) -19% -4% -25% -13% 15
Slide 16: Customer highlights
CUSTOMER HIGHLIGHTS ACTIVE CUSTOMERS* (thousands) ORDERS (thousands) * Number of customers who have completed at least one order during the previous 24-month period. 16
Slide 17: Agenda
AGENDA Q3 highlights Business update Financial update Q3 Summary Q&A 17
Slide 18: Financial highlights
FINANCIAL HIGHLIGHTS NET SALES (SEK million) GROSS MARGIN Adj. EBITA (SEK million) 18
Slide 19: Cash flow highlights
CASH FLOW HIGHLIGHTS CAPEX (SEK million) NET WORKING CAPITAL (SEK million) OPERATIONAL CASH FLOW (SEK million) CAPEX is fixed assets and intangible assets. Lease assets excluded. 19
Slide 20: Operating cash flow break down
OPERATING CASH FLOW BREAK DOWN 20
Slide 21: Agenda
AGENDA Q3 highlights Business update Financial update Q3 Summary Q&A 21
Slide 22: Q3 2024 Summary
Q3 2024 SUMMARY • Relatively good profitability despite the negative sales trend and despite the weak market • Increasing operational efficiency and lower cost base • Positive operating cash flow despite lower sales in combination with inventory build-up for the high season in Q4 • Still a tough mar
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