Ellos Group (ELLOS) investor relations material

Executive summary

• Q2 2026 net sales increased by 5.9% year-over-year to SEK 848.3m, with organic growth of 5.0%.

• Own brands drove growth, now representing 65% of sales, with strong performance in both fashion and home categories.

• Gross margin expanded by 2.0 percentage points to 46.3% in Q2 2026, supported by improved pricing, discounting, and supplier consolidation.

• Cash flow from operations improved significantly, reaching SEK 90.7m in Q2, up 46% year-over-year, enhancing financial flexibility post-IPO.

• Nasdaq Stockholm listing completed in July 2026, raising SEK 300m in new equity.

Financial highlights

• Adjusted EBITA for Q2 2026 was SEK 41.8m, with a margin of 4.9%.

• LTM net sales reached SEK 3,541m, with an adjusted EBITA margin of 6.2%.

• Gross margin for Q2 2026 was 46.3%, up from 44.3% in Q2 2025.

• Active customers reached 2.1 million LTM Q2 2026.

• Marketing cost ratio increased to 19.7% of sales in Q2 to support growth.

Outlook and guidance

• New financial targets: organic net sales growth in line with or above the market, adjusted EBITA margin above 8% medium term, and net debt/EBITDA below 2.0x.

• Focus on margin-accretive growth, sharper pricing, enhanced customer experience, and efficiency gains from automation and AI.

• Continued investment in strategic categories and customer acquisition.

• Cautious outlook due to geopolitical and macroeconomic uncertainties, but well-positioned for further growth.