Slides
Page 1
2025/Q2 Report July 15, 2025 Mattias Ankarberg, CEO Toby Lawton, CFO
Page 2
Financials Sales of SEK 3,403m (3,099) +16% vs PY excl. currency effects − Weak market, especially in North Am − Organic growth +1.5% with Europe +4% North Am -3% − Reported growth +9.8%, currency effect -5.9% − Growth driven by new Thule products and new product categories, including acquired Quad Lock Gross margin increased to 46.3% (44.4%) driven by Quad Lock Adj. EBIT margin 21.6% (23.6%) − More product launches ahead of high season shifts SG&A to H1 − Adj. EBIT, excluding North Am restructuring cost, of SEK 734m (732) Cash flow from operations SEK 774m (879) − Working capital returns to the historical seasonal pattern − Inventory reduction target of further SEK 200m in 2025 on track Highlights Strong recognition for product design, 10 new Red Dot awards Winner of ADAC car seat test – also with our second product Changes made in North America are paying off 2025/Q2 – Thule growing in tough market 2
Page 3
2025/Q2 – Continued profitable growth 2025/Q2 LTM Net sales SEK 10.1b EBIT SEK 1.6b EBIT margin 16.0% 0 500 1,000 1,500 2,000 2,500 0 2,000 4,000 6,000 8,000 10,000 12,000 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 LTM Net sales SEK m EBIT SEK m EBITNet sales 3 Note: EBIT adjusted to exclude the one-off transaction costs of SEK 100m related to the Quad Lock acquisition in Q4 2024 and res tructuring costs of SEK 31m related to North America restructuring in Q2 2025 2025/Q2
Page 4
Sport & Cargo Carriers – new Thule products add growth 2025/Q2 Net sales +3%, YTD +1% Growth driven by new Thule products − Good growth from upgraded bestselling bike carrier Thule Easyfold3 − Strong performing North Am bike carriers Thule Verse, Thule ReVert − Good start for lightweight compact bike carrier Thule Outpace − Good momentum in rear-of-car cargo products Challenging market, particularly in North America − North American market continued weak during 2025/Q2 − Cautious retailers and consumers also across rest of world − Growth in Sport & Cargo Carriers continues in Europe RV Products – growth despite weak market development 2025/Q2 Net sales +4%, YTD +3% RV industry continues to go through weak period Decline in sales to OE channel (manufacturers) offset by good growth in aftermarket channel (dealers) New award-winning products add growth 2025/Q2 – New Thule products and categories add growth (1/2) 4 Note: growth numbers indicate organic growth, unless stated otherwise
Page 5
Active with Kids & Dogs – new categories add growth 2025/Q2 Net sales +1%, YTD -2% New Thule product categories perform well and add growth − Continued strong sales trend in dog transportation with premium dog crate Thule Allax and dog trailer Thule Bexey − Good sales development in child car seats Sales decline for bike related products driven by cautious retailers – continued good sales momentum on thule.com Bags & Mounts – growth from performance phone mounts 2025/Q2 Net sales -21%, +169% incl. Quad Lock, YTD -18% Acquired Quad Lock added to Bags & Mounts category as of 2025/Q1 and represents 67% of the category YTD Quad Lock increased sales with more than 15% organically Bags & luggage (organic sales) decline in weak N Am market − North Am market weak and represents large share of bags & luggage − Decline accelerated by legacy products − Continued growth also in bags & luggage on thule.com 2025/Q2 – New Thule products and categories add growth (2/2) 5 Note: growth numbers indicate organic growth, unless stated otherwise
Page 6
Thule impacted by weak North American market North America is app. 25% of Thule sales Weak market particularly following US tariffs announcement 2025/Q1 Thule North Am organic sales -13% in 2025/Q1 Changes made in North America, announced 2025/Q1 New dedicated North Am sales organization − Based on regional head office in Connecticut, co-located with US factory − Closing satellite office that came with acquisition of Case Logic 2007 Focus growth investments on attractive pockets − Increased focus on bike carriers – Thule market leader with more potential − New focus on pick-up trucks Price increases to offset impact from tariffs Changes are paying off Weak market continues Improved Thule sales trend – North Am organic growth -3% 2025/Q2 − Difference to trend in 2025/Q1 driven by strong new North Am bike carriers New truck bed rack Thule Xscape launching 2025/Q4 Both North Am specific bike carriers and truck racks produced in USA Changes in North America are paying off 6
Page 7
German test institute ADAC’s test is Europe’s most recognized car seat test, widely regarded for rigor and high standards Thule Elm RWF, for children 6 months to 4 years old, test winner in the May 2025 test Thule Maple and Thule Alfi, car seat for infant + base, were test winners in the Oct 2024 test Thule recognized as the #1 brand to eliminate misuse Thule wins Europe’s most recognized car seat consumer test – again! 7
Page 8
Ten new awards from Red Dot in June, in addition to the 7 IF Design awards in March 2025 Thule OutPace – lightweight and compact bike carrier Thule Paramount – bags with a wide range of features for commuting Thule Subsola – modular awning panels for vans Thule VeloSwing – swing-away bike carriers for cars and vans Thule Aion – versatile bags, now also for surfboards Thule VeloTrack – van transportation of e-bikes Thule EasyFold 3 – for all types of bikes, including e-bikes Thule Spring 2 – lightweight stroller you can fold with one hand Thule Chariot Air Purifier – clean air environment for bike trailers Thule Glide 3 – jogging stroller for running enthusiasts Thule ReVert – bike carrier for vertical hanging bikes Recognition for product design continues 8 Thule Outpace Thule Paramount Thule Subsola Thule VeloSwing Thule Aion Thule Chariot Air Purifier Thule Glide 3 Thule VeloTrack Thule EasyFold3 Thule Spring 2 Thule ReVert
Page 9
9 Supply chain efficiency to finance growth Extension and automation of current warehouse in Huta, Poland Fully automated warehouse will triple pallet capacity Eliminate costs for external warehousing and reduce inventory Reduce double handling, optimize logistic flows and lower personnel costs Expected to be in operation by 2027 Investment details and expected returns Capex of approximately SEK 450m Expected capex phasing: 30% in 2025, 60% in 2026, 10% in 2027 Annual cash savings of SEK 100m (full effect from 2028) Inventory reduction of SEK 80m (one-off effect) Annual Depreciation of SEK 25m Annual EBIT impact SEK 75m Thule investment program The Huta automation project is part of Thule’s investment program Full capex investment program to remain at approximately 2.5%-3% of Thule’s revenue (excluding leasing)
Page 10
2025/Q2 – Income statement 10 • Continued revenue growth in a challenging market − Growth driven by new products and categories − LTM Revenue now increased to SEK 10.1b (vs SEK 9.5b in 2024) − Q2 growth of 10%, organic growth of 1.5% • Increased Q2 Gross Margin of 46.3% driven by acquisition of Quad Lock • Selling expenses impacted by acquisition of Quad Lock and earlier product launches ahead of high season. Administration expenses impacted by acquisition of Quad Lock • Adjusted EBIT excludes the one-off impact from restructuring costs in North America of SEK 31m • Q2 Adjusted EBIT of SEK 734m vs SEK 732m in Q2 2024 − Adjusted EBIT margin 21.6% vs 23.6% in Q2 2024, impacted by earlier phasing of costs related to product launches • Q2 Net Interest Expense of SEK 39m, effective tax rate of 23% Q1 Q2 Q3 Q4 FY Q1 Q2 YTD YTD SEKm 2024 2024 2024 2024 2024 2025 2025 2024 2025 Net sales 2 420 3 099 2 344 1 678 9 541 2 662 3 403 5 519 6 065 Cost of goods sold -1 425 -1 723 -1 339 -980 -5 467 -1 471 -1 828 -3 148 -3 298 Gross income 996 1 375 1 006 698 4 074 1 192 1 575 2 371 2 767 Gross margin, % 41.2 44.4 42.9 41.6 42.7 44.8 46.3 43.0 45.6 Selling expenses -472 -524 -482 -527 -2 005 -642 -716 -996 -1 359 Administration expenses -112 -119 -110 -206 -547 -148 -157 -232 -304 Operating income (EBIT) 412 732 413 -35 1 522 401 703 1 144 1 104 EBIT margin, % 17.0 23.6 17.6 -2.1 15.9 15.1 20.6 20.7 18.2 Adjusted Operating income (Adjusted EBIT) 412 732 413 65 1 622 401 734 1 144 1 135 Adjusted EBIT margin, % 17.0 23.6 17.6 3.8 17.0 15.1 21.6 20.7 18.7 Net interest expense -19 -26 -15 -15 -75 -49 -39 -44 -87 Taxes -93 -148 -98 14 -325 -87 -152 -241 -239 Net income 300 559 300 -37 1 122 266 512 858 778
Page 11
2025/Q2 – Cash flow 11 • Cash flow from operations SEK 744m for the quarter − Working Capital decreased by SEK 156m − Reduction in inventories of SEK 303m due to seasonality (high sales in the quarter) − Inventory reduction target of further SEK 200m in 2025 on track − Increase in receivables of SEK 282m also due to seasonality • Q2 Capex of SEK 58m • Dividend payment in the quarter of SEK 448m Q1 Q2 Q3 Q4 FY Q1 Q2 YTD YTD SEKm 2024 2024 2024 2024 2024 2025 2025 2024 2025 Cash flow from operations before changes in working capital 390 628 333 190 1 541 226 588 1 018 814 - Changes in inventories 173 318 221 -220 492 -49 303 491 255 - Changes in receivables -585 -176 588 286 112 -674 -282 -761 -956 - Changes in liabilities 112 109 -187 131 165 163 135 221 298 Changes in working capital -301 252 622 196 769 -560 156 -49 -404 Cash flow from operations 89 879 955 386 2 310 -334 744 969 410 Capex (acquistion/divestment fixed assets) -32 -117 -34 -80 -263 -40 -58 -149 -98 Sub total 57 762 921 306 2 048 -374 686 819 312 Acquisitions - - -7 -2 830 -2 837 - - - - Dividend - -502 - -502 -1 004 - -448 -502 -448 Other change in Net Debt -81 17 -30 -66 -162 189 -165 -64 23 Change in Net Debt -24 277 884 -3 092 -1 955 -185 73 253 -113
Page 12
12 2025/Q2 – Net debt and Net debt:EBITDA 1,70 1,51 1,78 1,53 0,22 0,59 1,50 1,14 1,83 1,94 2,00 0,0 0,5 1,0 1,5 2,0 2,5 3,0 3,5 4,0 0 500,000 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000 3,500,000 4,000,000 4,500,000 5,000,000 Q4-16 Q1-17 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Q3-18 Q4-18 Q1-19 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 Q3-20 Q4-20 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Net debt - SEKm Net debt:EBITDA Net debt:EBITDANet Debt Note: Net debt shown in relation to LTM EBITDA (and using proforma LTM EBITDA including the acquired Quad Lock business from Q4-24)
Page 13
Well positioned in a tough market Weak North American market and cautious behavior across the world are expected to continue Thule is well-positioned: global market leaders, premium products, world-leading innovation capabilities, own manufacturing in both Europe and USA, and a financial position that enables long-term investments Investments in product innovation pays off, both short and long term Opportunities to drive supply chain efficiency – extending and automating warehouse in Poland by 2027, annual cash savings SEK 100m Clear priorities for 2025 1. Product development – high pace also 2025, front loaded to capture more of high season, increased focus on attractive pockets in North Am 2. More categories – scale up newly launched dog transportation and child car seats in Europe, grow acquired performance phone mounts 3. Consumer visibility – show more to sell more, expand DTC 4. Supply chain efficiency – increased efficiency funds growth, target to reduce inventory by additional SEK 200m in 2025 Focus 2025 – continue drive long-term growth strategy in a tough market 13
Page 14
Upgraded versions of our best sellers Thule Force 3 – upgrading our best mid-price roof top box Thule Verse – North Am. bike carrier with modern aesthetic Thule Easyfold 3 – updating our most sold bike carrier Thule Glide 3 – our award-winning running stroller gets better Thule Chasm – building out our leading duffel bag collection Thule Aion – extending our luggage collection and including surf Innovations in our core sport & cargo carrier category Thule Santu – rear-of-car innovation combining bike and cargo Thule OutPace – our new best mid-price foldable bike carrier Thule Arcos XL – new solution to transport skis behind car Thule XScape – truck rack with easy install and adjustments Scaling up our newest categories Thule Cappy – our first crash-tested dog harness Thule Palm – high-back booster seat for safety and comfort Thule Allax double door – designed to protect dogs and people High launch pace continues 2025 14
Page 15
15 Thule Palm – high-back booster seat for safety and comfort
Page 16
16 Thule Chasm – building out our leading duffel bag collection
Page 17
Thule Arcos XL – new solution to transport skis behind car 17
Page 18
18 Q&A
Page 19
This presentation has been prepared by Thule Group AB (publ) (the “Company”) solely for use at this presentation and is furnished to you solely for your information and may not be reproduced or redistributed, in whole or in part, to any other person. The presentation does not constitute an invitation or offer to acquire, purchase or subscribe for securities. By attending the meeting where this presentation is made, or by reading the presentation slides, you agree to be bound by the following limitations. Statements in this presentation, which are not historical facts, such as expectations, anticipations, beliefs and estimates, are forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995. Such statements involve risks and uncertainties which may cause actual results to materially differ from those expressed in such forward-looking statements. This presentation may contain various forward-looking statements that reflect management’s current views with respect to future events and financial and operational performance. The words “believe,” “expect,” “anticipate,” “intend,” “may,” “plan,” “estimate,” “should,” “could,” “aim,” “target,” “might,” or, in each case, their negative, or similar expressions identify certain of these forward-looking statements. Others can be identified from the context in which the statements are made. These forward-looking statements involve known and unknown risks, uncertainties and other factors, which are in some cases beyond the Company’s control and may cause actual results or performance to differmaterially from those expressed or implied from such forward-looking statements. These risks include but are not limited to the Company’s ability to operate profitably, maintain its competitive position, to promote and improve its reputation and the awareness of the brands in its portfolio, to successfully operate its growth strategy and the impact of changes in pricing policies, political and regulatory developmentsin the markets in which the Company operates, and other risks. The information and opinions contained in this document are provided as at the date of this presentation and are subject to change without notice. No representation or warranty (expressed or implied) is made as to, and no reliance should be placed on, the fairness, accuracy or completeness of the information contained herein. Accordingly, none of the Company, or any of its principal shareholders or subsidiary undertakings or any of such person’s officers or employees accepts any liability whatsoever arising directly or indirectly from the use of this document. Disclaimer www.thulegroup.com 19