Slides
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Nelly Group INVESTOR PRESENTATION Q3 2026 22 October 2026
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Nelly Group Q3 2026 Presentation ir@nelly.com www.nellygroup.com Josefin Dalum CFO Helena Karlinder-Östlundh CEO
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ɀdȵȸƺɀƺȇɎƏɎǣȒȇ Introduction to NELLY O Financial summary Q&A
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ɀdȵȸƺɀƺȇɎƏɎǣȒȇ Introduction to NELLY d Financial summary Q&A
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A mixed quarter with continued focus on structural improvement Net revenue 10.3% (18.4%), supported by end-of-season sale Operating margin 13.5% (15.3%) Operating profit 42.4 MSEK (43.3 MSEK) Work to refine the business model continues
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Active customers Active customers in the Nordics increased on LY & Q2 Growth driven by returning customers & higher marketing intensity New customers & organic traffic have yet to follow Outside the Nordics, customers in Germany continued to grow 1070 1055 1032 973 943 926 911 926928 968 1001 102910271019 1030 900 950 1000 1050 1100 1150 Q1 Q2Q3Q4Q1 Q2Q3Q4Q1 Q2Q3Q4Q1 Q2Q3 202320232023202320242024202420242025202520252025202620262026 Active customers Nordics LTM (000)
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Gross margin 56.5% (56.8%) Higher own brand share contributed positively Increased campaign activity weighed on the margin Currency effects were positive overall 41% 49% 51%50% 49% 55%55% 53% 52% 55% 57% 54% 55% 53% 57% 40% 45% 50% 55% 60% Q1 Q2Q3Q4Q1 Q2Q3Q4Q1 Q2Q3Q4Q1 Q2Q3 202320232023202320242024202420242025202520252025202620262026 Gross margin (%)
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Own brand share 66.9% (62.2%) Own brands continue to resonate, most notably in pants, jeans & knitwear Share helped by category mix, which varies between quarters Curated mix of own & external brands remains strategically important 36% 41% 39% 36% 40% 44%45% 47% 50% 55% 62%62%63%64% 67% 30% 35% 40% 45% 50% 55% 60% 65% 70% Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3 202320232023202320242024202420242025202520252025202620262026 Own brand share (%)
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Return rate 25.6% (26.1%) Helped by category mix, which varies between quarters Also impacted by fashion trends, with certain silhouettes carrying higher returns Preventing unnecessary returns remains a priority, driven cross- functionally 38%38% 34% 33%33% 31% 27% 28% 25% 28% 26% 23% 27%28% 26% 21% 26% 31% 36% 41% Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3 202320232023202320242024202420242025202520252025202620262026 Return Rate (%)
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-14% 3% 5% 8% 1% 10%11%11% 8% 15%15% 13% 3% 9% 14% -20% -15% -10% -5% 0% 5% 10% 15% 20% Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3 202320232023202320242024202420242025202520252025202620262026 Operating margin (%) Operating margin 13.5% (15.3%) Higher gross profit offset by higher operating costs Marketing & distribution costs up as a share of net revenue Reflecting deliberate investments in new roles & Copenhagen store
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ɀdȵȸƺɀƺȇɎƏɎǣȒȇ Introduction to NELLY O Financial summary Q&A
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Financial Summary Net revenue increase driven by higher campaign activity and focus on sell through. Net Revenue, MSEK 222 314 240 318 248 362 284 371 243 346 313 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 Q3 2026 +10.3% Gross Profit, MSEK 109 172 131 170 128 197 161 200 135 184177 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 Q3 2026 +9.8% Sales increase of 10.3% year-over- year (8.9% in local currencies) Campaign driven sales with focus on sell through Gross profit increased by 16 MSEK (9.8%) Gross margin decreased by 0.3 pp, own-brand-share andpositive currencyeffectsoffsetbyhigher discount levels.
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Financial Summary Higher cost base offset gross profit growth, EBIT largely flat. EBIT Increase in total operating expenses of 16.6 MSEK Fulfillmentand distribution increase of 4.9 MSEK Marketing up on increase in paid traffic 4.5 MSEK Admin and other increase 7.2 MSEK due to personnel costs and Copenhagen store (opened in Q4 2025) EBIT declined 0.9 MSEK as higher gross profit was offset by higher cost base 43 42 15.3% Q3 2025 13.5% Q3 2026 118 135 Q3 2025 Q3 2026 +17 Operating expenses, MSEK -15 11 46 698193 112 137 155166155 131131 -5% 0% 5% 10% 15% 20% -40 -20 0 20 40 60 80 100 120 140 160 180 Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3 2023202320242024202420242025202520252025202620262026 Operating profit/loss LTM (SEK million) andOperating margin LTM (%) FULFILMENT / NET REV. 11.6% Last year: 11.0 % MRKT/NET REV. 10.0 % Last year: 9.4%
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Operating cash flow of -30.1 MSEK (-18.5 MSEK) Driven by working capital, mainly inventory build- up Investing cash flow -8.7 MSEK: new Gothenburg office and store Financing cash flow-40.7 MSEK: share repurchase programme and lease amortization Cash balance of 221.4 MSEK, -2.3% year-over- year Equity ratio strengthened to 44.6% (35.7%) Inventory 248.7 MSEK, 19.5% of R12 net revenue (18.8%) Share repurchase completed: 836,000 shares for 30 MSEK, 17 August٫25 September Financial Summary Strong balance sheet despite weaker operating cash flow EQUITY RATIO 44.6% Last year: 35.7% INVENTORY / NET REV. 19.5% Last year: 18.8% -14 50 -5 106 -19 72 -13 104 -19 51 -26 99 -30 Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3 2023202320242024202420242025202520252025202620262026 Cash flow from operations 96 190 160 197 173 260 227 254 215 301 221 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 Q3 2026 -2.3% Cash balance, MSEK
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Summary of 2026 so far ٫ learnings & actions Q3 managed with discipline, but growth required higher marketing & discount intensity Targeted investment in Germany continues to yield good response Assortment appeal & brand positioning still need sharpening Work to increase precision & speed continues
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Our strategy holds firm Offeringa highly sought-after assortment remains central to growing profitably A faster supply chain a key next step New Gothenburg HQ for even closer collaboration Sharper brand position, including a third flagship store in Gothenburg
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Q&A
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Thank you