Slides
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Paris, 11 March 2025 FY 2024 results
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FY 2024 results Disclaimer : Forward-looking statements 2 This presentation contains certain statements that constitute "forward-looking statements", including but not limited to statements that are predictions of or indicate future events, trends, plans or objectives, based on certain assumptions or which do not directly relate to historical or current facts. Such forward-looking statements are based on management's current expectations and beliefs and are subject to a number of risks and uncertainties that could cause actual results to differ materially from the future results expressed, forecast or implied by such forward-looking statements. Accordingly, no representation is made that any of these statements or forecasts will come to pass or that any forecast results will be achieved. Any forward-looking statements included in this presentation speak only as of the date hereof and will not give rise to updates or revision. For a more complete list and description of such risks and uncertainties, refer to Maisons du Monde’s filings with the French Autorité des marchés financiers.
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FY 2024 results Your speakers today 3 François-Melchior de Polignac CEO Denis Lamoureux CFO
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AGENDA FY 2024 HIGHLIGHTS BUSINESS REVIEW FINANCIAL REVIEW Q&A SESSION 1. 2. 3. 4. 5. FY 2025-2026 PERSPECTIVE
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FY 2024 HIGHLIGHTS 1
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E S G e n g a g e m e n t #1 brand committed to social and/or environmental causes & In offering sustainable products vs key market players Source: BVA Decoration & Furniture Study 2024 (France) Best in class gross margin G e o g r a p h i e s Continental Europe O m n i c h a n n e l Unique omnichannel model Share of sales in France Maisons du Monde : A unique set of assets and a diversified business model 6 A LOVE BRAND A WELL-BALANCED MODEL A LEADING ESG PLAYER Good is beautiful products in the offering Climate A list 2024 CDP (Carbon Disclosure Project) Decoration & Furniture Share of Decoration P r o f i t a b i l i t y m o d e lC a t e g o r i e s P a s s i o n a t e e x p e r t s 30 designers 3,000 new products created in house /year #1 inspirational brand vs key market players Source: BVA Decoration & Furniture Study 2024 (France) I n s p i r a t i o n M d M f a n s #1 Instagram & Pinterest communities* 2.6m followers Instagram (France) 500k followers Pinterest (France) Share of digital sales 52% 56% 55% 65% 38% 63% - * Home & Furniture (France) FY 2024 results 1. FY 2024 HIGHLIGHTS Including online and in-stores digital sales
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7 FY 2024 results Macro headwinds keep hitting home & furniture market 1. FY 2024 HIGHLIGHTS Inspirational players like Maisonsdu Monde : • are more sensitive to adverse markets conditions • have greater potential for growth when rebound comes Several years of strong inflation in Europe which is just beginning to soften Adverse macro economic conditions Market in a low cycle France* down by -5,1% in FY 2024 (*) Source: IPEA 2024 Home Furnishing market, France in current prices Consumer confidence index remains negative Decrease of real estate transactions for several consecutive years Savings rate at a historically high level in Europe
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8 FY 2024 results 2024 : year 1 of our in-depth transformation to prepare the return to growth, whilst protecting the cash flow 1. FY 2024 HIGHLIGHTS Investing in the Distribution Model 2 63 revamped stores of which 2 in shopping mall - 14 affiliates stores - Improving NPS(+4pts) …Not yet visible with macro headwinds… First loyalty program - Web TV platform in France - Rebalance Marketing Mix -30% references since 2022 - Expand ranges & new categories Simplified and enhanced product offer While reconnecting with our Customer Decisive organizational changes - Culture and priorities reset - Local decision Transforming MdM Execution of Inspire Everyday Deep transformation of Maisons du Monde… -11.2% vs LY Group net sales €1 .002m -10.2% vs LY Like-for-like net sales …While limiting cost and cash consumption 64% +73bps vs LY Resilient gross margin ratio €15m FCF Positive Free cash flow €45m gross cost savings Optimized NWC and Capex/sales ratio below 2,5% Significant efforts
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BUSINESS REVIEW 2
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FY 2024 results Optimized distribution model : Ongoing store network’s adaptation 10 197 + 14 35 42 3 1 22 13 6 2 338 stores 31 December 2024 Franchised stores in Algeria (1) and La Réunion (2) 17 stores Revamping the network H1 2024 2. BUSINESS REVIEW & 3 franchised of which 14 affiliated Active store network management 349 stores 6% of the network 3 pilot stores FY 2023 3% of network under affiliation/franchise H1 2024 5% of network under affiliation/franchise 338 stores FY 2024 63 stores of which 2 in shopping mall FY 2024 c. 20% of the network
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FY 2024 results Simplified and enhanced product offer 11 2. BUSINESS REVIEW Household linen Selectionneur Optimized store dispatch -30% references since 2022 Simplified offer Expand ranges & add new categories
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12 Reconnecting with our Customer AUTUMN-WINTER 2024 CATALOGUE FIRST LOYALTY PROGRAM & WEB TV PLATFORM IN FRANCE FY 2024 results Available in stores and as a supplement in Fashion & Home Decoration magazines across France 440,000 copies What our Customer is saying “Netflix of Home Decoration” ADVERTISING CAMPAIGNS What our Customer is saying “Easy to understand and appealing” 2. BUSINESS REVIEW
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FY 2024 results Limiting costs & cash spendings 13 SHRINKAGE TRANSPORTATION/ LOGISTICS PAYROLL RENTS MARKETING OTHER EXTERNAL CHARGES • Reduction of our Headquarters premises • Closure of underperforming stores, transfer to affiliation/franchise • Store network management, optimization of working hours in stores • HQ continued optimization • Optimization of marketing investments through local marketing, catalogs, and loyalty initiatives • Store closures, energy savings, and reduced expenses (travel, contract negotiations…) 2. BUSINESS REVIEW • Digital platform to manage products returned by Customers: better traceability, enhanced Customer experience • Transportation: Optimization of filing rate and flows
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FY 2024 results 14 Progress underway on our key Inspire Everyday action plans 2. BUSINESS REVIEW Translation of our actions into selective Key Performance Indicators 4C KPI Status Customer 1 Stores’ conversion rate 2 Repurchasing rate 3 Share of sales outside B2C core business 4 Share of omnichannel customers 5 Furniture quality product notation Cost 6 Cost savings 7 Assortment reduction Cash 8 Share of remerchandised stores 9 Share of retail network under partnership Collaborator 10 Collaborators’ engagement rate R2024 2026 EoY target 2023 2026 Target met Starting point FY23 Action plan underway No progress vs. LY And gap to target Progress vs. LY But gap to target
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FINANCIAL REVIEW 3
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FY 2024 sales evolution (in €m) SALES EVOLUTION 16 3. FINANCIAL REVIEW FY 2024 results (in number of stores) STORE NETWORK EVOLUTION 31 December 2024 Own stores Affiliated stores Franchised stores Openings +1 +2 - Relocations 2 - - Transfers -7 +7 - Closings -13 - -1 Total network 321 14 3 31 December 2023 340 5 4 FY 23 LfL Non Comp FY 24 LfL (10.2%) in FY 2024 1128.0 1001.9 (109.9) (16.2)
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FY 2024 sales breakdown 17 BY CATEGORY BY CHANNEL BY GEOGRAPHY 55.8% DECORATION FURNITURE 44.2% 72.2% STORES ONLINE 27.8% 55.5% FRANCE INTERNATIONAL 44.5% Decoration sales were more affected as customers tend to cut discretionary spendings Furniture resisted better reflecting improved product availability and increased level of promotions Positive trend of online marketplace, especially in Spain, Italy, and Germany Different dynamics by country with international sales outperforming French sales on a like-for-like basis. Spain is our most resilient market while France was unfavorably impacted by the political context €723.0m €278.8m €555.8m €446.0m€558.6m €443.2m -11.7% yoy -10.3% Lfl -9.9% yoy -9.5% Lfl excl .UK -7.3% yoy -14.0% yoy -11.1% yoy -10.8% Lfl -11.2% yoy -9.1% Lfl excl. UK 3. FINANCIAL REVIEW FY 2024 FY 2024 FY 2024 Affiliate and Renewed concept stores have shown encouraging results along FY24 FY 2024 results
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EBIT FY 2023 Volume effect Gross margin rate Logistics costs Operating costs D&A EBIT FY 2024 45.8 1.2 4.1% 4.1% FY 2024 EBIT : Positive thanks to efforts to streamline cost base (in €m) EBIT Evolution Resilient gross margin rate at 64% • Positive effects on purchase, freight costs and relutive effect of marketplace partially passed on to our customers enhancing accessibility Logistics and operating costs reduced by €10m • Cost gross saving plan target achieved • Negative mix effects on logistics costs • Mid single digit inflation in transportation and logistics costs Decrease in D&A • Operating risks led to provisions accruals in FY 2023 • Capex reduction initiated in 2023 gradually flowing through D&A 18 (79.8) 2.7 FY 2024 results 3. FINANCIAL REVIEW 7.6 17.7 0.1% +73bps (159bps) (303bps) (4bps) 7.4
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FY 2023 FY 2024 EBITDA WCR FCF FY 2023 Capex FCF FY 2024 Other 27.4 Disciplined allocation of capital resources • Asset light strategy starts to pay off • Focus on store revamping and key IT tools Optimization of NWC • Extended average payment terms with our suppliers • Decision to replenish inventory to improve product availability Lease Debt (62.3) (in €m) FCF Evolution Capex/Total Sales (in%) FY 2024 results 19 2.9 41.7 7.8 (2.3) 15.2 2.9% 2.3% 3. FINANCIAL REVIEW NWC (€m) FY 2024 Free cash flows : Positive free cash flow generation (18) 24 FY 2023 FY 2024
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Strong liquidity position with around €200m maturing in April 2028 FY 2024 results 20 3. FINANCIAL REVIEWFY 2024 low and reduced net debt 105 90 85 Dec’22 Dec’23 Dec’24 1,0x Leverage ratio (Net debt / LTM EBITDA) € in millions Dec’24 Dec’23 Term loan 75.2 100.0 Revolving Credit Facilities 89.8 (1.0) BPI loan 8.8 13.8 Other debt 1.4 6.3 Gross debt 175.2 119.1 Cash & cash equivalents (90.5) (29.9) Net debt 85.1 90.4 1,1x 3,8x 1,0x Reduced net debt 25 25 25 5 Dec’25 4 Dec’26 0 Dec’27 30 29 25 Only gradual reimbursement to come Term loan BPI Net debt (€m) Adjusted credit agreement for FY24 and H1’25
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FY 2025-2026 perspective 4
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FY 2024 results FY 2025-2026 : Investing for gradual return to growth... 22 4. PERSPECTIVE Deeper connection with customers through Customer events Offline media campaigns & catalogs insert in Europe Add new categories including bathroom, outdoor lighting and pet accessories E n r i c h o u r C u s t o m e r e x p e r i e n c e Open new stores, leveraging on our franchises and affiliates partners Revamped additional stores reach at least 100 revamped stores prioritizing shopping malls Enhance the website, our Brand’s showcase N u r t u r e o u r d i s t i n c t i v e B r a n d
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FY 2024 results ... While simplifying the model and reducing capital employed 23 SIMPLIFICATION SUPPLY CHAIN PAYROLL RENTS MARKETING OTHER EXPENSES • Additional reduction of SKUs by around 10%, and 50% supplier base reduction (vs 2022) to be achieved by 2025 year-end • 1 month inventory optimisation • Logistics: Improving transportation and reducing warehouses footprint • Traceability of transport providers and requests for reimbursement • Full year of Annualization of time worked in stores in France • Roll out new HQ organization • Pursuing negotiation with landlords • Transformation of the store network • Rebalance media mix with refocus on Brand • Accelerate simplification & efficiency gains • Capex/sales ratio below 2,5% “We remain on track to deliver on our objective of generating a cumulative FCF of over €100m during 2024-2026, having generated €15m in 2024.” 4. PERSPECTIVE Saving plan increased to €100m over 3 years vs €85m
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Q&A SESSION 5
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Thank you
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FINANCIAL AGENDA 15 May 2025 Q1 2025 Sales 25 July 2025 Q2 sales and HY 2025 Results 23 October 2025 Q3 and 9-month 2025 sales 26 June 2025 Annual General Meeting
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Appendix
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FY 2024 I SALES to EBIT 28 (In EUR million) FY 2024 FY 2023 % Change Sales 1001.9 1128.0 (11.2)% Cost of goods sold (360.9) (414.6) (13.0)% Gross margin 641.0 713.4 (10.1)% As a % of sales 64.0% 63.2% +0.7pt Store operating and central costs* (332.0) (339.6) (2.2)% Logistics costs (163.6) (166.3) (1.6)% Operating Costs (495.7) (505.8) (2.0)% EBITDA 145.3 207.6 (30.0)% As a % of Sales 14.5% 18.4% (3,9)pt Depreciation, amortization and allowance for provisions (144.1) (161.8) (10.9)% EBIT 1.2 45.8 n.a As a % of sales 0.1% 4.1% (3,9)pt FY 2024 results * Including Marketing expenses
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FY 2024 I Free Cash Flow 30 (In EUR million) FY 2024 FY 2023 EBITDA 145.3 207.6 Change in working capital 15.4 0.2 Change in other operating items 5.0 (19.1) Net cash generated by/(used in) operating activities 165.7 188.7 Capital expenditures (Capex) (22.7) (33.0) Change in Debt on fixed assets (4.9) (2.5) Proceeds from sale of non-current assets 1.6 1.9 Sale of financial assets 0.2 - Decrease in lease debt (111.2) (114.4) Decrease in lease debt/Lease interest paid (13.6) (13.3) Free cash flow 15.2 27.4 FY 2024 results
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FY 2024 I Net Debt & Leverage 31 (In EUR million) 31 Dec’ 24 31 Dec’ 23 Term loan 75.2 100.0 Revolving Credit Facilities (RCFs) 89.8 (1.0) Other debt 10.2 20.1 Gross debt 175.2 119.1 Finance leases 521.2 571.0 Cash & cash equivalents (90.5) (29.9) Net debt (IFRS 16) 605.8 660.2 Less: Lease debt (IFRS 16) (521.2) (571.0) Plus: Lease debt (finance lease) 0.5 1.2 Net debt 85.1 90.4 LTM (Last twelve months) EBITDA(1) 22.3 81.3 Leverage 3.81x 1.11x (1) EBITDA of €22 million is restated in accordance with the senior credit facility agreement dated April 22, 2022 FY 2024 results
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31 December 2024 I Balance sheet (1/2) 32 FY 2024 results (In EUR million) 31 Dec’ 24 31 Dec’ 23 Goodwill 246.0 327.0 Other intangible assets 248.4 247.1 Property, plant and equipment 135.7 158.1 Right-of-use assets related to lease contracts 518.9 568.7 Other non-current financial assets 13.0 13.9 Deferred income tax assets 8.0 8.8 Derivative financial instruments 0.6 - Non-current assets 1,170.6 1,323.6 Inventory 199.7 202.1 Trade receivables and other current receivables 58.4 73.9 Current income tax assets 5.0 17.7 Derivative financial instruments 8.9 - Cash and cash equivalents 90.5 29.9 Current assets 362.5 323.6 Total assets 1,533.1 1,647.2
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31 December 2024 I Balance sheet (2/2) 33 FY 2024 results (In EUR million) 31 Dec’ 24 31 Dec’ 23 Equity 499.5 596.4 Non-current borrowings 53.9 83.9 Medium and long-term lease liability 411.8 450.0 Deferred income tax liabilities 33.9 39.2 Post-employment benefits 10.8 9.2 Provisions 19.0 21.8 Derivative financial instruments 0.3 1.0 Other non-current liabilities - 2.9 Non-current liabilities 529.7 608.0 Current borrowings and convertible bonds 121.3 35.2 Short-term lease liability 109.4 121.0 Trade payables and other current payables 263.5 269.5 Provisions 2.9 3.1 Current income tax liabilities 5.3 2.9 Derivative financial instruments - 9.3 Others current 1.5 1.8 Current liabilities 503.9 442.8 Total liabilities 1,033.6 1,050.8 Total equity & liabilities 1,533.1 1,647.2