Swedencare (SECARE) investor relations material

Executive summary

• CEO announced retirement after 12 years, with a 12-month notice period for a smooth transition and succession planning.

• Europe and Rest of World show strong performance and momentum, while North America remains softer than expected, especially in dermatology and supplements.

• Online channels continue to outperform, with significant growth in supplement sales and new market entries, especially in UK, Germany, Italy, and Spain.

• Strategic focus is shifting from M&A to collaborations, partnerships, and internal capability building.

Trading performance and revenue trends

• North America underperformed, mainly due to NaturVet and medicated liquids, but online growth is recovering and expected to align with targets next quarter.

• ProDen PlaqueOff and other brands show strong growth globally, with Germany emerging as a high-growth market and new markets being added.

• New big box private label customer launched in Q3 in North America, with potential for multimillion sales.

• Rest of World continues to expand, especially in Asia, and export sales remain robust.

• New product launches and private label agreements in pet retail and veterinary channels.

Profitability and margins

• Gross margin expected to be 59%-60%, similar to Q2.

• EBITA/EBITDA margin anticipated to exceed 20%, marking the best quarter of the year for profitability.

• Focus on ROI and profitability over high-cost growth, especially for NaturVet.