Good morning, ladies and gentlemen. My name is Seb, and I'll be your conference operator today. At this time, I would like to welcome you to About You Holding SE's earnings conference call for the financial year 2024 and 2025. At our customer's request, this call will be recorded. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be an opportunity to ask questions. If you'd like to ask a question during this time, simply press star followed by the number one on your telephone keypad. If you would like to withdraw your question, press star two. Thank you. Frank Böhme, Head of Investor Relations and Communications, you may begin your conference. Good morning, everyone, and welcome to our full year 2024-2025 results presentation. Today's conference call will be hosted by Hannes Wiese, Co-founder and Co-CEO of About You. Hannes will walk you through our Q4 and full year results in just a second. The corresponding slides to his presentation have been published on our IR website under the publications section this morning. After his presentation, Hannes will be happy to answer your questions. With this, I hand it over to you, Hannes. Yeah, thanks, Frank, and good morning to everyone also from my side. Today, as usual, we're focusing on the following topics: the short business update and review of 2024-2025, followed by our Q4 and full year financials, the outlook of FY 2025-2026, and we'll close this call with Q&A. Let's directly jump into the business update, starting on page four with the key takeaways of the financial year 2024-2025. We achieved our guidance with top-down growth of 3.4% year on year and a further improvement in profitability with an adjusted EBITDA of EUR 28.1 million. Commerce LTM active customers and AOV reached record levels. LTM active customers increased by 4.8% to 12.9 million, driven by improved retention and new customer acquisition. The average order value for commerce increased further to EUR 60.1 over the last 12 months due to the positive effects of new economic measures and higher selling prices. Scale delivered another successful year with revenue growth of 11.5%, driven by strong ARR growth of 23%. Scale's adjusted EBITDA margin remains on a healthy level of 47% despite targeted growth investments. Our group gross margin increased by 170 basis points to 40.4% in FY 2024-2025. The increase was driven by a growing share of high-margin tech revenues, an improved inventory position, and a lower promotional intensity in the fashion industry. We have generated a positive IFRS free cash flow of EUR 55.5 million for the group, driven by the improved EBITDA and reduced inventory levels. This resulted in a solid cash balance of EUR 154.5 million at the end of FY 2024-2025. This means that cash remained broadly at the same level as at the end of FY 2023-2024. For FY 2025-2026, we are guiding for a moderate increase in group revenue and a strong increase in adjusted EBITDA versus the prior year period. We'll get back to our guidance later, but let's first focus on our business and financial update. Let's start with a recap of our performance in the past financial year versus our guidance as shown on page five. We achieved all targets we set to ourselves in FY 2024-2025. Our priorities were to accelerate top-down growth and improve profitability. Top-down came in around the midpoint of the narrowed range and adjusted EBITDA in the upper half of our previously raised guidance. CapEx was in line with the guided range, and net working capital was significantly negative as we successfully lowered inventories and further optimized other net working capital drivers. Next to our good financial 2024-2025 results, we've also made strong progress on our strategic priorities. Let's take a look at these, starting with our operating model extension on page six. As a quick reminder, we want to grow the 3P shares of our business. Amongst others, this is achieved by extending our 3P models to enable partners to sell directly to our About You customers in a typical marketplace model. This business model extension was successfully rolled out in H2 2024-2025. Marketplace business volumes are not yet material, but are expected to ramp up significantly in 2025-2026, contributing to GMV growth expectations. Next to the marketplace rollout, we are also pleased with the development of our existing 3P revenue streams. As you can see on the right-hand side of this slide, we've grown our 3P revenues by almost 20% in FY 2024-2025. This increase is particularly driven by our fulfilled About You model, which is intended to improve customer experience and margins. We believe we have a great basis now to further scale our 3P business, and we are very bullish on the resulting future potential for our commerce business. Let's move on to page seven and discuss our co-created celebrity brands. In FY 2024-2025, in addition to our proven playbooks, we focused particularly on local celebrities that resonate well in a specific market or audience. For example, in the Czech Republic and Slovakia, we co-created numerous locally focused collections, amongst others with lifestyle influencer Camila Seikel. Or in Romania, where we also had two well-performing local celebrity brand launches in FY 2024-2025. Results of these local influencer drops are very promising, so stay tuned as there are many more co-created celebrity collections in the pipeline for FY 2025-2026. Another event highlight took place just two weeks ago, as shown on slide eight. The About You Fashion Week returned with a new edition called the About You Fashion Mania. The U.A.E.'s music hall in Berlin was transformed into an electrifying arena where fashion meets the energetic world of live sports entertainment. The brand lineup included well-known brands such as Adidas, Champion, Levi's, Lacoste, Puma, and Tommy Jeans, as well as an exclusive selection of celebrity brands from About You. As usual, we also had a large crowd of content creators at the event, and significant reach and engagement was created via social media. Once again, regular storytelling created positive spillover effects for the About You brand, and we are looking forward to further leverage this strong channel in the future. Stay tuned for more events to come in 2025. Moving on to Scale on slide nine, where we can proudly announce that the strong operating performance continued in FY 2024-2025. As you can see on the left-hand side, we have grown the external transaction volume powered by Scale to EUR 4.5 billion in FY 2024-2025. Growth was largely driven by the growth of new clients, also visible in the increasing number of online stores, to 275 powered by Scale. This marks an increase of 75 shops compared to the end of FY 2023-2024. Let's now take a look at key financial metrics for Scale in FY 2024-2025. Scale has generated EUR 52 million in revenue and an adjusted EBITDA of EUR 24 million, translating in an adjusted EBITDA margin of 47%. Around 90% of Scale's revenues are annual recurring revenues or ARR. This revenue stream has grown by 23%, offsetting the declines in service revenue. This is in line with our strategy to focus on high-margin revenue streams for Scale. Positive to note here is also that the gross margin on these ARRs continued to be above 85%. This enabled growth investments while keeping a strong adjusted EBITDA margin. Let's now move on to slide 10 and take a deeper look at recent new customer profiles for Scale. Around 65% of new customer wins were generated outside of Germany, showcasing that Scale is having great traction outside of its home market. We've also seen strong traction of Scale in new category verticals. Around 85% of our 24-25 new customer wins are outside of fashion, reflecting the great value which Scale adds for customers also in various non-fashion verticals. Our growth strategy of expanding Scale geographically into other verticals worked out very well in FY 24-25. Speaking of customer wins, one of our top priorities for Scale is to win our first customers in the US market. To further increase the awareness in that market, we have launched a dedicated marketing campaign, as shown on slide 11. The campaign dramatizes the daily struggles of operating outdated e-commerce platforms while contrasting these frustrations with the pain relief that Scale can provide. We are very happy with the results of the campaign, both in terms of reach and lead generation, as well as branding and awareness effects. This gives us even more confidence that we are on a very good track to succeed also in the U.S. market. Let's move on to our 2024-2025 group ESG review on page 12. Here, we want to give you another update on the progress made and the initiatives which are closest to our hearts. Let's start with the advances made in our science-based targets shown on the left-hand side. By incorporating these targets into our business processes, we've already achieved most of our FY 25-26 targets by the end of FY 24-25. We will, of course, continue to push much further towards a more sustainable fashion industry. We've also significantly increased the share of more sustainable product revenue and exceeded our FY 24-25 target by 3 percentage points. 28% of our revenue is now coming from more sustainable products. We are proud that these are having such a strong traction amongst our About You customers. As shown on the right-hand side, also our GSG emissions intensity from total e-commerce operations decreased significantly, reaching 0.7 kilograms in carbon dioxide equivalents per order. Here, we are continuing our strong advances in reducing our CO2 footprint. Moving on to the financial update, where we focus the commentary on our performance in Q4. Starting with our top line on page 14 and our group revenue on the left-hand side. Group revenues increased by 8.7% to EUR 474 million in Q4. Next to a solid underlying momentum, this growth was driven by revenue shift effects. As a reminder, we've seen around EUR 25 million in revenues shifted from our financial Q3 into Q4 as that Friday was scheduled at the very end of our financial Q3. Let's take a closer look at our segments to analyze top line dynamics, because here revenue is recognized upon order, and hence we don't see these shift effects in Q4. Starting with DACH, where revenues increased by 3.3% in the fourth quarter. This development was particularly driven by Austria and Switzerland. Also, Germany grew in the fourth quarter, but not on the high levels seen in Q3. In the rest of Europe segment, revenue increased by 3.2%. We again observed a relatively broad range of growth rates due to different impacts of efficiency measures and marketing steering priorities on country level. Moving on to our TMI segment, where revenues increased by 1.7% in the fourth quarter. Picture here is similar as in previous quarters. We see growth in higher margin revenue streams such as Scale through current tech revenues or media visibility orcharding. On the other hand, lower margin revenue streams such as implementation and production services are declining. This is fully in line with our strategy to focus on high margin revenue streams in TMI. Let's move on to our customer engagement metrics in the commerce segments shown on page 15. The number of active customers increased by 4.8%, reaching an all-time high of 12.9 million in the last 12 months. This increase was primarily driven by improved retention and an increased focus on new customer acquisition and marketing steering. The average order frequency per active customer declined by 3.4% to 3.0 transactions over the last 12 months. This can be attributed mainly to unit economics measures introduced to increase the profitability of existing customers. The average order value, however, increased by 3.6% year on year to EUR 60.1 per order in the last 12 months. The increase is largely due to the positive effects of these unit economics measures, as well as higher gross selling prices and a lower promotional intensity. With that, let's move on to our bottom line on page 16, starting on the left-hand side of this chart, which shows our group adjusted EBITDA. As promised, and like in every other quarter in FY 24-25, our adjusted EBITDA showed another improvement versus last year. We record an increase in the adjusted EBITDA margin of 80 basis points year on year and reached a negative 1% margin in the fourth quarter of 2024-2025. Let's take a closer look at the key EBITDA drivers from a segment perspective. In our DACH business, profitability increased by 70 basis points year on year, reaching an adjusted EBITDA margin of 3.2% in Q4. The increase was mostly driven by lower fulfillment costs. Moving on to our ROE segment, where we increased our adjusted EBITDA margin by 110 basis points year on year. Also here, the improvement was mainly driven by reduced fulfillment costs stemming from network maturity and efficiency effects. On B2B, the margin in our TMI segment remains on a high level of 20.3% in Q4 versus 25.7% last year. While we continue to see positive mix effects within TMI, we have also increased our growth investments, particularly into Scale, which have more than offset the related profitability gains in Q4. Let's now move on to page 17 and take a closer look at the key cost lines of the group, starting with the gross margin, which declined by 170 basis points to 37.6% in Q4. The decline is driven by revenue mix and also comp effects resulting from positive one-offs in the prior year quarter and the Black Friday shift effects this year. Further to this, we've also used the end-of-season sale in Q4 this year to get to the healthy inventory position we see today. For the full year 2024-2025, however, we are still seeing the healthy gross margin increase as expected, and we also expect continued improvements going forward. Next, our fulfillment cost ratio, which declined by 140 basis points to 23.2% in Q4. The decrease was primarily attributable to unit economics measures and optimizations in the logistics network. Let's move on to our marketing costs, which declined slightly by 40 basis points to 11.5% in Q4. The focus of marketing measures was on performance marketing and promotional campaigns to further drive new customer acquisition, as well as on selected media campaigns. Lastly, our admin other cost ratio declined by 70 basis points to 4%. The decline is largely due to operating leverage, as well as continued efficiency measures. All these factors combined resulted in the increase of our group adjusted EBITDA margin by 80 basis points to a negative 1% margin in Q4 2024-2025. Let's now take a look at our cash flow drivers on page 80. Our net working capital improved significantly year on year, and it's at a negative EUR 109 million at the end of Q4 2024-2025. This is a decrease of more than EUR 90 million versus last year, which largely results from a reduction in own stock inventories. CapEx amounted to EUR 10.7 million in the fourth quarter, and the increase mainly relates to working capital loans granted to investments in influencers and incubators. Moving on to our cash position for FY 2024-2025 on page 90. Let's first look at our operating cash flow, which is at a positive EUR 100.2 million in FY 2024-2025. This development largely resides from the increase in EBITDA, as well as the decline in net working capital, as discussed on the previous slide. Investing cash flow is at a negative EUR 44.7 million, and hence our IFRS 3 cash flow is significantly positive for the year, reaching EUR 55.5 million in FY 2024-2025. Financing cash flow is at a negative EUR 64.9 million, largely due to payments for leasing agreements relating to our logistics network. This slight increase versus last year is largely due to higher leasing rates for the German warehouse, driven by investments into automation. Further, our returns warehouse in Czechia was capitalized for the first time in 2024-2025. Driven by the strong free cash flow, we ended FY 2024-2025 with a cash and equivalence balance of EUR 154.5 million. This cash position, in combination with the undrawn backup loan facility of up to EUR 97.5 million, creates a comfortable liquidity position for us and enables us to flexibly develop the business going forward. Let's now move on to the final section of this presentation, the financial outlook, as discussed on page 21. Our guidance for this year is provided in a qualitative comparative format. This is, as we do not yet have full visibility on the impacts of the closing of the Zalando transaction, which we continue to expect in summer 2025. In terms of group revenue, we expect a moderate increase in FY 2025-2026. Our ambition is to deliver another acceleration in growth versus 2024-2025, driven by market growth in online fashion and the continued successful execution of our strategic initiatives, as already visible in FY 2024-2025. GMV growth is expected to be higher than revenue growth, which is due to the expansion of the marketplace model and the corresponding revenue recognition effects. In terms of group profitability, we expect strong growth in the adjusted EBITDA in absolute terms in FY 2025-2026. This will be driven by a further gross margin uplift, as well as efficiency improvements and operating leverage across major cost lines. Our expectations for FY 25-26 are also supported by our strong current trading. We had a good start into the new financial year with healthy top and bottom line improvements so far. Next to our own strategic initiatives, these were supported by helpful weather conditions and a relatively stable consumer sentiment. Moving on to our segments, where we will change the reporting structure in FY 25-26, as already announced at the Scale Capital Markets event. In the future, the existing segments DACH, ROE, and TMI will be replaced by the segments Commerce and Scale. Commerce includes the About You stores and the related B2B revenue streams. Scale corresponds to the unit spun off in FY 23-24, as discussed at the Scale Capital Markets event. For Commerce, we expect moderate revenue growth and a strong growth in the adjusted EBITDA in FY 25-26. For Scale, we expect strong growth for both revenue and adjusted EBITDA. Let's close our 2025-2026 outlook with our group cash flow drivers. Both CapEx and net working capital are expected to be around the level reported in FY 2024-2025, so no major swings expected here. Let's now move on to page 22 and close our presentation with the intended team-up between Zalando and About You. The transaction continues to progress as planned, and Zalando has secured more than 90% of all About You shares, excluding treasury shares. Closing of the transaction continues to be expected in summer 2025. We are very much looking forward to working more closely with the Zalando team to capture an even larger share of the European fashion and lifestyle market. Let me close my presentation by saying thank you for your trust and support since the listing of About You in 2021. Following closing of the transaction, About You will be a consolidated entity of Zalando. We will hence discontinue to host earnings calls and rather on the mandatory reporting requirements for the time About You remains a listed company. Thanks again for supporting us in this process. I'm now looking forward to answering your questions. Moderator, handing it back to you. Thank you. At this time, I would like to remind everyone in order to ask a question, please press Star followed by the number one on your telephone keypad to enter the queue. Once your name has been announced, you can ask your question. If you find your question is answered before it's your turn to speak, you can press Star two to withdraw from your question from the queue. We will pause just a moment to compile the Q&A roster. Our first question on the line is from Sarah Roberts at Barclays. Please go ahead. Hi, good morning. Thank you for taking my question. Just three from me, if that's okay. Firstly, you'd previously pointed towards double-digit growth expectations for FY 2025-2026, and now you're kind of pointing towards moderate growth, which suggests a slight shift in tone versus what had previously been communicated. Just want to understand what has changed since you last reported. Appreciate you don't have perfect visibility given the Zalando transaction, but would like to understand if the moderate growth guidance is baking in a potential slowdown in the underlying consumer versus your previous expectations. Secondly, on cost per clicks, you'd previously mentioned that you'd seen these coming down over recent quarters, suggesting some slight easing in Chinese competition. Would just be curious as to whether you've seen any change in this over recent weeks, particularly given that we've seen headlines that some of the Chinese competitors are spending more on advertising in Europe. Thirdly, could you just talk us through what you're seeing in terms of the Scale pipeline? Would just be curious to know as well, based on the conversations you're having and obviously concerns around US macro, are you starting to see any potential partners delay decision-making or any weakness in that pipeline? Thank you. Yeah, sure. Many thanks for the questions. Starting with the first one on the 2025-2026 outlook, we are not seeing any major changes to consumer sentiment. Rather, we would say consumer sentiment to us seems relatively stable as of now. We are guiding for revenue growth in 2025-2026. Here, you have to keep in mind two factors. On the one hand side, we are expecting our GMV to grow faster than revenues because of revenue recognition effects due to the role of the marketplace model. That is one factor or uncertainty that we have to back in here. The second one, as discussed in the presentation, is the Zalando closing, which also induces some uncertainties, for example, on steering of the business. Hence, we guide for moderate revenue growth in 2025-2026. Second piece on cost per click, we do not see changes at present versus what we have seen in the last quarters. We are aware that there is a discussion around a potential step-up in aggressiveness of especially Asian players following the tariff discussions. That is not what we currently observe. Rather, we see online marketing behavior as relatively stable compared to the last quarters. Lastly, on the Scale pipeline, that develops healthy and is also in line with what we've outlined at the Scale Capital Markets event. Of course, also here, there is uncertainty to your point when it comes to, for example, geopolitical tensions and so on and so on. We are aware of this, but currently, we do not see this negatively affecting our Scale pipeline or the operating business. Great. Thank you. Our next question is from Yashraj Rajani from UBS. Please go ahead. Hi. Thank you for taking my questions. Before I ask them, I wanted to say a sincere thank you to everybody from the team for being helpful throughout the previous quarters. The questions are as follows. The first one is your market share, how you are trading versus competitors. Just wanted to understand as to whether your growth is in line with the online market, ahead of the online market, and if it is ahead, which other players you are taking share from and how sustainable is that share again. That's the first one. The second one is, can you remind us on your distribution network as to the current distribution centers you have? What are the leases that are associated with these distribution centers? How early can they be closed? What is the cost benefit that you'd get if you move your inventory to Zalando warehouses? That's the second one. The last one is just on your commerce operating profit. It seems like that's still in negative territory. When do you think realistically on the commerce business we'll get to an operating profit that's positive? Thank you. Sure. Thanks for the questions. First one on market share. In our core markets, we see ourselves growing slightly above market average, at least from the data that we can observe. Who are we taking share from? I think that's the mix. That's probably partly multi-channel retailer models. There's also partly smaller players. There's definitely also consolidation in the market where revenue traffic is shifted more like towards bigger platforms. We see ourselves currently slightly outgrowing the market, and we also would expect this to be the case in the future, driven by the successful execution of our strategic initiatives. On the second question, we had said in the past that most of our distribution center contracts are having a term of around five years. We could then look back into the balance sheet development. When have these been capitalized? Most around 2022 and 2023. We can calculate backwards from that the expected expiration of these contracts and how we will go about this going forward. This is something that we cannot comment on at this point. This would have to be answered in conjunction with the synergy discussion with Zalando from the Zalando side. The last piece on commerce, we expect strong increases in the adjusted EBITDA also for commerce, and we're also very positive that we're going to reach a net commerce positive adjusted EBITDA in the near term. Keep in mind in the future segment reporting for commerce, we will also include some of the adjacent B2B revenue streams, media, for example, which will also give another uplift on the then reported commerce adjusted EBITDA versus the segments that we see today. Thanks, Sadik. Just a small follow-up. When you say net commerce positive operating profit for the coming terms, do you sort of refer to that on a standalone calculation ex synergies, or do you assume some synergy benefit in there from Zalando? When we talk about the current guidance, that's on a standalone basis, so excluding synergies and more details, more color on the respective synergy plans would then have to be given from the Zalando side. Awesome. That's super helpful. Thank you so much. Thank you. As a reminder to ask a question, please press Star one on your telephone keypad. Our next question is from Nisla Nayza from Deutsche Bank. Please go ahead. Thank you. I also wanted to wish you and the team all the best, Hannes, going forward. Thank you for your time so far. I have two remaining questions from my end. The first is on sort of the current behavior of your Asian competitors in an environment where tariffs have been announced, etc. Has there been a step-up over the last month in the activity in Europe, trying to sort of maybe push more products into the market? Some color there would be great. Secondly, growth in rest of Europe seems to have accelerated on an underlying basis in Q4 versus Q3. Before that, could you give us some color maybe as to what's driving this and how you'd expect those rest of European markets to perform in the coming year? Thank you. Yeah, sure. Thanks, Nisla. Thanks for the questions as well. Let's start with the first one on current behavior of Asian players. We do not see currently any changes induced by the tariff discussions. When we look at aggressiveness in online marketing channels, that has not changed, at least in our view, over the past months. Similarly, also the pricing of the offering or the offering itself has not changed, at least as far as how we can monitor this. We would say, at least as of now, there is no significant impact from any change in behavior from Asian players. The second one on growth development in ROE, yeah, certainly that is developing positively, I think, driven by two main factors. One being that, as discussed in previous calls, we had reduced our commitments in some ROE markets. We called out Spain, for example, or Norway as being markets where we are reducing our commitments, which has led to negative revenue development in these markets, which will then also attract for the rest of Europe segment as a whole, inducing a relatively broad spread in growth rates within rest of Europe. This is now slowly fading out, of course, because the decline in revenue somewhat comes to an end over time. As a second positive effect, we are seeing improvements in the underlying growth rates in some of our large rest of Europe markets. I would call out some of our CE markets here that are growing healthily, profitably at scale, which is driven on the one hand side, I think, by stable or in some cases even slightly improving consumer sentiment, and also by a somewhat stabilizing competitive environment where we had witnessed many entrants of competitors into the markets over the last one or two years. This is now somewhat stabilizing. Also for ROE and especially for some of our strategic key markets, we're very positive that these are going to continue to develop positively in the future. Thank you. Thank you. Our next question is from Georgina Döhanen from JP Morgan. Please go ahead. Hi everyone. Thanks for taking my question. Just a very quick one from me, please. When you look at the Scale business and you talked about how the majority of the wins were outside of fashion, can you just give us some recent examples of the types of product categories that those clients are playing in? Also, of course, this widens the opportunity, but are you actually still seeing demand from fashion players for Scale as well? Are you starting to actually think that over the long term, the majority of the business might be supporting partners that are actually outside of the fashion category? Just how you're thinking about that at the moment and in terms of client feedback on that, please. Thanks so much. Yeah, sure. Thanks for the questions. First one on Scale mix. What have we acquired? There were new partners from food retailing. There are also opticians. There is car piece equipment, online fashion, online stores, sorry. It is really a broad range. There is not a particular vertical also that we are targeting because the Scale technology, as discussed in previous calls, is really vertical agnostic, and we are relatively opportunistic to just extending the footprint of Scale when it comes to category verticals. Does that mean as a second piece of the question that we are reducing our focus or the runway in fashion? No, that is not the case. I think fashion still is somewhat the sweet spot for Scale when it comes to heritage, when it comes to special features that are being built. I will also expect that going forward with the team up with Zalando, there will be strong support on the fashion and lifestyle side from leveraging the joint network and so forth. Fashion definitely remains focused and sort of the sweet spot also in terms of brand recognition for Scale in Europe attached to the About You group. Yeah, we're happy that we are now also seeing strong successes outside of fashion. Great. Thank you. Thank you. There are no further questions at this time. Mr. Böhme, I will turn the call back to you for final remarks. Let me close our presentation by saying thank you for your support and for joining us today on our conference call for FY 2024-2025. If there are any further questions, please feel free to contact the IR team directly. Bye-bye. Ladies and gentlemen, thank you for your attendance. This concludes today's conference call, and you may now disconnect.