Ceconomy : Results Presentation Q2/H1 2023/24

Results Presentation

Q2/H1 2023/24

15 May 2024

1. Business update

1. Financial performance III. Outlook and summary

Agenda

Results Presentation Q2/H1 2023/24 on 15 May 2024	3

Experience highlights: fast-paced innovation and transformation

90 MIN	CHAMPION	ONLINE
DELIVERY	NETHERLANDS	ACCELERATION

Ultra-fast MediaMarktSaturn	Reclaimed leadership position	Broadening omnichannel
delivery in Germany - with	in the Netherlands	capabilities
partner Uber

Results Presentation Q2/H1 2023/24 on 15 May 2024	4

After a strong Q1, we accelerated our momentum in Q2

• 6.5% Sales growth, fueled by strong 5.1% like-for-like
• Market share gains in 8 out of 11 countries
• Strong uplift in profitability

Servi/ Achievinges & Solutionsa new milestone: NPS increased to a new high

S&S business.

+6.5%	+€26 m	+5 points
Q2 Sales	Q2 adjusted	NPS increase
growth1 vs. PY	EBIT1 growth	vs. PY
	vs. PY
€5.3 bn	€5 m	58

Outlook specified for 2023/24: adj EBIT range €290 m-€310 m

1Sales adjusted for fx- and portfolio effects, pre-IAS 29. EBIT at current rate, additionally adjusted for non-recurring effects and excluding associates.

Results Presentation Q2/H1 2023/24 on 15 May 2024	5

Our operating highlights in Q2

Strong top line momentum

/ B&M Sales up +5.8%1 YoY

/ Online Sales up +8.8%1 YoY

/ Online share at 22.9%2, an improvement of +110bp YoY

Profitability strengthened

/ +60bp adjusted gross margin improvement3

/ +50bp increase in adjusted EBIT margin3

Growth businesses

• Marketplace: GMV more than doubled
• Retail media: Fivefold income increase
• Operational S&S income share increased

Earnings per share up

• EPS of €0.17, increase of +€0.27 YoY

Countries

• Strong Sales performance in Spain, Türkiye, the Benelux, and Austria
• Improving profitability in Spain, the Benelux and Germany

FCF up in Q2 YoY

• Ca +€100 m FCF in Q2 YoY
• Leading to neutral FCF in H1

1Sales adjusted for fx- and portfolio effects, pre-IAS 29. Online Sales only include 1P Sales. 2Online share including Marketplace 3Margins at current rate, additionally adjusted for non-recurring effects and excluding associates..

Results Presentation Q2/H1 2023/24 on 15 May 2024	6

Key pledges: good progress across the board

Business fields	KPI	FY 2021/22	FY 2022/23	Target	Progress
FY 2025/26	Q2 23/24
Retail Core	Loyalty members1	34 m	39 m	50 m
Retail Core	Online share	25%	23%	c. 30%
Retail Core	Modernization rate1	30%	50%	> 90%
Retail Core	Stock reach progress1	10.3 weeks	9.1 weeks (-11%)	- 10%
Space-as-a-service	# Lighthouses1	5	8	Up to 20
Services & Solutions	Income in % of total sales2	4.5%	4.5%	c. 5.5%
Marketplace	GMV	€65 m	€137 m	€750 m
Private Label	Private Label share	2.3%	2.4%	c. 5%
Retail Media	Income	c. €5 m	€18 m	c. €45 m

131 March 2024. 2Operational Services & Solutions income in % of total net sales (excluding e.g., Retail Media, Marketplace commissions & fees, deliveries).

Update since Q1

Results Presentation Q2/H1 2023/24 on 15 May 2024	7

Operational Services & Solutions and Online stand out

Operational Services & Solutions	Online & Marketplace
→ Growth in most service categories	→ Momentum continues

• Improved momentum in Telecommunication, Repair and Insurance.
• Successfully addressing customers needs:
• • Strong growth in Trade-in products in Q2
  • Launch of 90-minutes MediaMarkt delivery service in 200 stores across Germany

• Online Sales +8.8%1 YoY
• Doubling Marketplace Sales; rollout Netherlands
• Gaining online market share in 8 countries
• 90% of our Online Sales are now on one technology platform: new digital assets in Q2 in Poland and Switzerland

11P Online Sales adjusted for fx- and portfolio effects, pre-IAS 29.

Results Presentation Q2/H1 2023/24 on 15 May 2024	8

Deep dive Retail Media: our first party data analytics remained a substantial growth driver

			Digital Out Of Home
			(DOOH)	/ Continuous strong growth momentum
			Instore Ads	with income increasing nearly five times
			Reporting	in Q2
		Upcoming
		(Omnichannel)	/ Launching new products and expanding
			Additional	current offerings for marketplace
			Retail Media releases	vendors to fuel future growth.
			in the pipeline1
market				/ New capabilities to be launched by the
Sponsored		Sponsored	end of FY: merger of online and offline
Product Ads (SPA)		Product Ads (SPA)	customers data offering strong data
	A+ Content		A+ Content	analytics and a unique omnichannel
in	Reporting		Reporting	perspective for suppliers
(Online)		(Online)
Live
Ads (SBA)		Ads (SBA)
	Sponsored Brand		Sponsored Brand

1Further information about additional Retail Media products in the pipeline to be found in the appendix.

Results Presentation Q2/H1 2023/24 on 15 May 2024	9

Continued growth for eco friendly products in H1

BetterWay Sales

↗ +3.1%p.

share
10.6%		13.7%

Substantial growth of sustainable Sales share and assortment

• BetterWay sales push across the group

Trade-in products

(in thousands)

72

• +201%

217

Strong progress on sustainable service solutions

• Partnerships and campaigns boost Trade-in and refurbished products

Great leap towards net-zero targets

Refurbished products		+281%
↗
(in thousands)

26

7

2022/23 2023/24

• Already 100% electricity sourced from renewable energy sources

Results Presentation Q2/H1 2023/24 on 15 May 2024	10

Strengthened momentum in Q2 leads to a strong H1 performance

SALES growth1

6.5%4.8%

3.7%

Q1 Q2 H1

Adj. EBIT1 improvement	44
26
18

Q1 Q2 H1

1Sales adjusted for fx- and portfolio effects, pre-IAS 29. EBIT at current rate, additionally adjusted for non-recurring effects and excluding associates.