Anora Group (ANORA) investor relations material

Updated Strategy and Financial Targets

• Launched a new 'Fit, Fix, Focus' strategy, replacing previous 2030 goals, with a focus on profitability, margin restoration, and operational efficiency through 2028.

• Targets 6–7% annual comparable EBITDA growth, aiming for EUR 85–90 million by 2028, with a EUR 50 million EBITDA uplift expected from cost reductions, operational improvements, and growth initiatives.

• No specific net sales target, but aims to outgrow the market; leverage target remains below 2.5x net debt/EBITDA, and dividend payout policy is unchanged at 50–70% of net profit.

• Strategy is more execution-driven and organic than previous plans, with disciplined M&A considered only to fill portfolio gaps or expand in chosen growth areas.

• Buffers for market headwinds and inflation are built into targets, assuming a -2% to -3% annual volume decline in core categories.

Operational Transformation and Segment Focus

• Organization to become leaner and faster by combining wine and spirits commercial teams, reducing SKUs, and streamlining sourcing and supply chain.

• Industrial segment to deliver cost savings via product harmonization, supplier reduction, and digitalized sourcing, targeting a 10% reduction in raw material SKUs and 30–70% fewer suppliers by 2028.

• Spirits segment focuses on regaining market share in core markets, growing vodka and liqueurs, expanding RTDs, and internationalizing key brands like Koskenkorva.

• Wine segment aims to leverage scale, expand successful products across Nordics, and focus on high-volume, low-alcohol, and sustainable packaging categories.

• Travel retail and grocery channels are prioritized for growth, with RTDs and no/low alcohol products as key innovation areas.

Financial Performance and Guidance

• Comparable EBITDA rose to EUR 18.0 million, up 13.1% from last year, with improvements across all segments due to strong gross margin and lower operating expenses.

• Net sales declined by 3.7% to EUR 156.7 million, mainly from lower volumes in Wine filler services and changes in the Spirits partner portfolio.

• Gross margin improved by 190 basis points to 43.9% compared to the previous year.

• Guidance for 2025 comparable EBITDA is set at EUR 70–75 million.

• Liquidity reserves increased to EUR 262 million, and leverage improved to 3.0x from 3.3x last year.