Slides
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1 Q3 2026
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2 Today’s presenters Karin Lidén CFO Johan Andgren CEO Wall&decò: Astral Echoes 2
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3 Continued focus on channel diversification Q3 2026 • Total sales increase 3% whereof 2% organic sales increase and 1% from exchange rates • 4 out of 5 brands reported growth in the quarter • Strong growth in Direct-to-Consumer channel (lead by Pappelina and Artscape) • Cole & Son returns to growth under new MD • Gross Margin improved with 1.8 p.p to 62.4% (60.6), primarily driven by increased Direct to Consumer sales and product mix. • EBITA Margin 13.2% (13.6) affected by one-off costs related to management change in Wall&decò. • Operating Cash Flow improved to 39 MSEK (32). Net sales, MSEK 178 (174) EBITA, MSEK 24 (24) EBITA Margin 13.2% (13.6) Boråstapeter: Luktärt
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4 A strong organization in line with our strategic plan Q3 2026 • Leadership strengthened across the Group, with MD transitions in 4 out of 5 Brands • Christian Benini, returns as MD of the company he created, Wall&decò, bringing strong product, creative and commercial capabilities • Henrik Andersson appointed MD of Boråstapeter, following strong development at Pappelina • Capabilities strengthened below MD level, aligned with our strategic growth priorities • E-commerce organizations upgraded across the brands, with key positions now filled at Boråstapeter and Cole & Son • Necessary steps to ensure mid-term strategy deployment and financial targets, while short-term one-off costs taken already Pappelina: Mimi Burgundy
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5 Sales Q3 2026 • Boråstapeter +2%. Challenging traditional physical retail market, offset by growth in online retail and Direct to Consumer sales. • Cole & Son +3%. Impact from the sales channel restructuring continued to ease, with sales levels stabilising during the quarter. • Wall&decò -13%. Continued weakness in traditional retail. New Managing Director appointed, while the Group continues to actively support commercial efforts to return to growth. • Pappelina +29%. Strong development continued, driven by growth in Direct-to-Consumer sales and continued strong performance in the US. • Artscape +4%. Direct to Consumer sales continued to develop well. • Borås Tapetfabrik +3%. Growth during the quarter was driven by existing customers. 5 Cole & Son: Inlay MSEK July-Sep 2026 July-Sep 2025 ∆ Jan-Sep 2026 Jan-Sep 2025 ∆ R12 FY 2025 Boråstapeter 63 62 2% 207 208 0% 286 287 Cole & Son 31 30 3% 93 104 -10% 123 134 Wall&decò 17 20 -13% 58 66 -13% 78 87 Pappelina 15 11 29% 41 34 22% 51 44 Artscape 29 28 4% 81 86 -7% 107 113 Borås Tapetfabrik 23 22 3% 81 72 13% 110 101 EMBELLENCE GROUP 178 174 3% 561 569 -2% 756 765
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6 Strategic investments starting to translate into growth Q3 2026 Accelerating DTC growth across all brands Continue to expand internationally Investments in hospitality offering to drive growth and diversification • Strong DTC growth continued in Q3 reflecting the impact of investments in new e-commerce platforms, enhanced capabilities and a more commercial approach. • Pappelina and Artscape, where new platforms and ways of working were implemented first, delivering fastest growth. • Boråstapeter starting to gain momentum. New team fully in place in Q3. • Focus shifting towards driving growth through enhanced consumer experience, assortment development and data-driven conversion efforts. • Positive international development across several of our brands, with the US continuing to grow in importance • Continued focus on markets with the strongest growth potential and on optimizing our network of distributors, retailers and agents • Mexico and Canada challenging for Artscape • Active development of new products and solutions specifically suited for the hospitality and contract market • Continued investments in new materials, print technologies and expanded design offerings strengthen our ability to serve larger and more complex hospitality projects • Increased collaboration across brands broadens the customer base and supports a more diversified sales portfolio
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Tailor´s Tweed Grand Herrgård: Sophia Magdalena Flowers: Persikoträd • Continued focus on the premium segment, with two exclusive collections launched during Q3: Flowers and Herrgård. • Premium offering driving sales and growing brand interest outside the Nordic region • Continued expansion of our made-to- measure offering, supporting creativity and a distinctive design identity 7
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Formation: Design Process Formations: Angled Planes Flagship & Head Office • Formations collection launched during the London Design Festival, reinterpreting Cole & Son’s geometric archive through contemporary craft, colour and printmaking • Strong reception and significant media attention, including coverage in the Financial Times and World of Interiors
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• AW26 launched with MIMI and NILS, introducing new textures and weaving techniques. • Continued international momentum, supported by brand-building activities, campaigns and increased editorial visibility across key markets. AW26: MIMI Burgundy SHOPPE OBJECT AW26: Nils Rust 9
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10 Organic growth and strong Operating Cash Flow Q3 2025 FINANCIALS MSEK July-Sep. 2026 July-Sep. 2025 ∆ Jan.-Sep. 2026 Jan.-Sep. 2025 ∆ R12 FY 2025 Net sales 178 174 3% 561 569 -2% 756 765 Gross profit 111 105 6% 351 350 0% 471 471 Gross margin (%) 62.4% 60.6% 1.8 p.p. 62.5% 61.5% 1.0 p.p. 62.4% 61.9% EBITA 24 24 0% 74 82 -9% 100 108 EBITA margin (%) 13.2% 13.6% -0.4 p.p. 13.3% 14.4% -1.1 p.p. 13.3% 14.1% Net profit for the period 16 13 25% 48 52 -7% 65 69 Operating Cash flow 39 32 21% 74 55 33% 116 98 Gross margin 62.4% EBITA Margin 13.2% Op. Cash Flow 39 MSEK Sales growth +3% Boråstapeter: Alnarp 10
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11 Cole & Son: Angled Planes 0% 20% 40% 60% 80% 100% 0 25 50 75 100 125 150 Q4 24 Q1 25 Q2 25 Q3 25 Q4 25 Q1 26 Q2 26 Q3 26 Operating cash flow R12 Cash Conversion R12 Operating Cash Flow & Cash Conversion Q3 2026 FINANCIALS 11 Operating Cash Flow R12 (MSEK) & Cash Conversion • Operating Cash flow for Q3 at 39 MSEK (32). • The working capital development was positive with 8 MSEK (8). • Inventory decreased with 14 MSEK, partly thanks to seasonality. The raw material inventory which was consciously increased due to a key supplier exchange early in 2026, is now back on normal levels. • Operating Cash Flow R12 was 116 MSEK (95) and Cash conversion 92% (70%)
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12 Artscape: Sunshine Net debt & Leverage Q3 2026 FINANCIALS 12 Net Debt (MSEK) & Leverage (Net Debt/EBITDA) • Net debt was 53 MSEK (99) • Leverage (Net Debt/EBITDA) 0.4 (0.7) • After a temporary increase in Net Debt following the dividend in May, the financial position continues to strengthen. 0,0 0,5 1,0 1,5 2,0 2,5 0 20 40 60 80 100 120 140 Q4 24 Q1 25 Q2 25 Q3 25 Q4 25 Q1 26 Q2 26 Q3 26 Net debt Net Debt/EBITDA
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1313 Summary & Looking ahead 13 Q3: Continued focus on channel diversification • Sales increase 3% whereof 2% organic sales increase. 4 out of 5 brands reported growth in the quarter • Channel focus and management changes are starting to pay off Looking ahead • Focus continues with new management in place to drive a more commercially driven organization, utilizing our fantastic brand driven design heritage • Continued challenges in traditional physical retail channel • Accelerate Direct-to-Consumer growth, with increasing focus on traffic, conversion and consumer experience as the platforms and capabilities are now largely in place. • Continue international expansion, prioritizing markets with the strongest growth potential and further developing our commercial network. • Strengthen our position in Hospitality, through a broader product and service offering and closer collaboration with architects and interior designers. Pappelina: Mimi Beige
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14 Q&A Wall&decò: Gallery Mediatem