Boozt AB (publ) (BOOZT) Q1 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Thank you and good morning to all and welcome to the presentation of our Q1 results. Let's turn to the first slide. The operating environment remained challenging in the quarter with consumer confidence in the Nordics declining even further, most likely fueled by the increasingly uncertain geopolitical situation. In terms of top line, we increased revenue with 2% in the quarter or 3% in local currency. Growth was primarily driven by Boostlet.com, which saw a strong 18% increase. As we did during the second half of last year, we have used Boostlet.com to clear inventory in the quarter. Our price initiatives on Boostlet helped keeping our inventory fresh while contributing to building Boostlet's value brand franchise. Revenue from Boost.com declined slightly in the quarter by 1%, but remained flat in local currency. This, we believe, reflects both the current cautious consumer environment as well as the fact that we deliberately are less aggressive on pricing on Boost.com. While this impacts short-term sales, we do this to preserve Boost.com's more premium brand value, a strategy that is supported by Boostlet's ability to clear old inventory. Our customer base continued to expand in the quarter, reaching 3.8 million active customers across both platforms and growing 7%. Furthermore, 52% of Boost.com's customers now purchase from more than one product category, illustrating the continued success of our department store strategy. In the quarter, we maintained our higher levels of customer satisfaction. Our Trustpilot score was 4.2 and our Net Promoter score was 74, indicating continuous strong customer loyalty. In terms of profitability, our adjusted EBIT margin improved to 2.3% compared to 1.2% in the first quarter last year. The positive development was largely driven ...