Slides
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1 Q3 2025
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2 Today’s presenters Karin Lidén CFO Johan Andgren CEO
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3 Continued organic growth Q3 2025 • Sales growth of 2%, including +5% organic growth and -3% from exchange rates. • Organic growth in 4 out of 5 brands. • Continued growth in the Manufacturing. • Gross Margin 60.6% (60.7) in line with last year effected positively by product and channel-mix and negatively by brand and segment mix. • EBITA Margin 13.6% (15.1). Increased costs from strategic initiatives to drive long-term growth in targeted channels with additional staff and improved technology platforms for Direct to Consumer, international sales and hospitality • R12 EBITA Margin increased to 14.3% (14.0). Net sales, MSEK 174 (170) EBITA, MSEK 24 (26) EBITA Margin 13.6% (15.1)
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4 Segment highlights Q3 2025 Brands (0%) • Organic growth 4%; offset by negative currency effect. • Organic growth in for 4 out of 5 brands. • Continued focus on Direct-to- Consumer, increased international sales and growth within Hospitality Net sales, MSEK 152 (151) Net external sales, MSEK 22 (19) Manufacturing (+17%) • Increased market share • Growth continues, with sales driven by increased demand from existing customers 4
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5 Sales by Brands and Manufacturing Q3 2025 MSEK July- Sep. 2025 July- Sep. 2024 ∆ Jan.- Sep. 2025 Jan.- Sep. 2024 ∆ R12 FY 2024 BRANDS 152 151 0% 498 515 -3% 675 693 Boråstapeter 62 61 1% 208 200 4% 280 273 Cole & Son 30 33 -7% 104 105 -1% 139 141 Wall&decò 20 20 2% 66 70 -5% 90 94 Pappelina 11 11 1% 34 36 -7% 44 46 Artscape 28 27 4% 86 104 -16% 122 139 MANUFACTURING 22 19 17% 72 61 19% 96 85 EMBELLENCE GROUP 174 170 2% 569 576 -1% 771 778 Manufacturing (Sales growth +17%) • Strong growth continues, with increased sales primarily driven by existing customers. Brands (Organic growth 4%, offset in part by currencies) • Boråstapeter: Continued growth for the third consecutive quarter, with contributions from Sweden, Germany and UK. • Cole & Son: Decrease in sales mainly due to FX effects and soft demand in the UK market. Continued positive sales development in the US and Italy. • Wall&decò: Returned to growth, supported by Hospitality projects and positive sales development in the Italian retail market. • Pappelina: Early signs of stabilization. Sales through the new e-commerce platform had a good start. • Artscape: Strong sales development during the quarter despite a significant negative FX effect. Tougher comparison period ahead.
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• Broadened offer within our Direct to consumer digitally on demand printed portfolio with • Launch of larger pattern formats (Grand) of some of the most iconic designs • Offer of 4 material types for the designs • Introduction of traditionally printed Anno II a tribute to our wallpaper heritage since 1905 BT 120-årsjubileum Anno II Skeninge Anno II Tullgarn Studio AW2025 Dahlia Garden Grand
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Classics Collection Vol.II Chinese Branch Cole & Son celebrates 150 years and launches two collections that captures its heritage and future • Classics Collection vol.II showcasing heritage designs that are reborn in fresh palettes that captures the brand’s ethos of living art and living history • Cole & Son X Ardmore Boabab Collection- a design collaboration collection with world renowned Ardmore ceramics which showcases richly colored and immersive designs Ardmore Narina
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• Launch of new design collection in the brand’s hospitality sector focused waterproof wallpaper offer Aquabout Wet SystemTM and outdoor wallpaper portfolio (Out System) Cinnamon Shadows Arundo
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9 Continued organic growth Q3 2025 FINANCIALS MSEK July-Sep. 2025 July-Sep. 2024 ∆ Jan.-Sep. 2025 Jan.-Sep. 2024 ∆ R12 FY 2024 Net sales 174 170 2% 569 576 -1% 771 778 Gross profit 105 103 2% 350 343 2% 473 466 Gross margin (%) 60.6% 60.7% -0.1 p.p. 61.5% 59.6% 1.9 p.p. 61.3% 59.9% EBITA 24 26 -8% 82 84 -2% 110 112 EBITA margin (%) 13.6% 15.1% -1.5 p.p. 14.4% 14.6% -0.2 p.p. 14.3% 14.4% Net profit for the period 13 16 -19% 52 45 16% 64 57 Operating Cash flow 30 17 77% 49 74 -34% 88 113 Gross margin 60.6% EBITA Margin 13.6% Op. Cash Flow 30 MSEK Sales growth +2%
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10 0,0 0,5 1,0 1,5 2,0 2,5 0 25 50 75 100 125 Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Operating cash flow R12 Net debt/EBITDA R12 Operating cash flow and net debt Q3 2025 FINANCIALS 10 Operating Cash Flow (MSEK) & Net Debt/EBITDA • Operating Cash flow for Q3 at 30 MSEK (17), driven by lower working capital. • Net Debt/EBITDA at 0.7x (1.0) 1.5 1.0 0.0 0.5 2.0 2.5
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11 Q3 2025 FINANCIALS Net sales and Net sales R12 (MSEK) EBITA (MSEK) & EBITA Margin (%) Net sales and EBITA development 0 200 400 600 800 1000 0 50 100 150 200 250 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Net sales R12 0% 4% 8% 12% 16% 20% 0 8 16 24 32 40 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 EBITA EBITA margin
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1212 Summary & Looking ahead 12 12 Q3 2025: Continued organic growth and strategic initiatives • Organic growth in 4 out 5 brands • Strong SEK causes negative impact from currency • New Direct to Consumer platforms implemented for Artscape and Pappelina with positive effect. • Focus on strengthening organization, sales and platforms • New collections launched and brand initiatives with the aim of continuing to build our strong brands Looking ahead • Continued focus on product innovation and quality designs within the Brands • Increased efforts in DtC across the group with systems, improvements and additional staffing • As a reminder Artscape had exceptional sales period 2024 Q4 and hence tough comparison period
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13 Q&A