elumeo SE

Quarterly Report • Nov 11, 2021

Quarterly Release Q3/2021

	Table of Contents

Key Figures Q3/2021
Capital Market Information
Publication of Results Q3/2021
Principles
Business Development
Earnings, Assets and Financial Position
Supplementary Report
Risk and Opportunity Report
Forecast Report
Condensed Interim Consolidated Financial Statements
Consolidated Statement of Income and Comprehensive Income
Consolidated Statement of Financial Position
Consolidated Statement of Changes in Equity
Consolidated Statement of Cash Flows
Imprint

Key Figures Q3/2021

Q3 2021		Q3 2020		QQQ in %	9M 2021		9M 2020		QOQ in %
11.675		10.129	100,0%	15,3%			30.115	100,0%	25,3%
6.432 573 ୧୧୧ 244 329 290 6.132	55,1% 4,9% 5,7% 2,1% 2,8% 2,5% 52,5%	5.571 417 489 228 189 199 5.320	55,0% 4,1% 4,8% 2,3% 1,9% 2,0% 52,5%	15,5% 37,3% 35,9% 7.0% 73,8% 45,9% 15,3%	20.744 2.299 2.501 726 1.573 1.469 19.294	55,0% 6,1% 6,6% 1,9% 4,2% 3,9% 51,1%	15.698 -307 -218 700 -1.007 -1.071 16.683	52,1% -1,0% -0,7% 2,3% -3,3% -3,6% 55,4%	32,1% 848,8% >1.000% 3,7% 256,2% 237,2% 15,7%
					21.933 5.822 4.782	58,1% 15,4% 12,7%	21.164 4.346 4.142	70,3% 14,4% 13,8%	3,6% 34,0% 15,5%
					15/8 -271 -292	4,2% -0,7% -0,8%	1.102 -132 -685	3,7% -0,4% -2,3%	43,2% -105,3% 57,4%
141.867 82 45 181 15% 456 1.036		107.800 94 52 214 9% રેસ્વે સ્ટેવ્સે 1.091		31,6% -12,4% -12,3% -15,7% 5,4 p.p. -18,5% -5,0%	430.535 88 48 195 15%		296.747 101 રે રે 215 10%		45,1% -13,7% -8,9% -9,6% 5,4 p.p
25% 10% 36% 8% 21%		32% 14% 22% 8% 23%		-7,2 p.p. -4,1 p.p. 13,2 p.p. 0,2 p.p.	26% 11% 37% 7% 19%		32% 14% 22% 6% 26%		-5,4 p.p. -3,7 p.p. 15,2 p.p. 1,1 p.p. -7,1 p.p
10.292 1.958		6.561 1.751		56,9% 11,8%	33.316 6.391		18.187 4.977		83,2% 28,4% 103,8%
	8.334	100,0%	4.810		-2,1 p.p. 73,3%	26.925	37.725 100,0%	13.210

¹ Prior year disclosure: 31.12.2020
² Change of prior year numbers from sent pieces
Change of prior year numbers from sent pieces

3 Average basket before cancellations and returns
4 Based on rolling cohorts

Capital Market Information

Basic data and key figures on the share of elumeo SE (Status: 30 September 2021)

A11Q05
DE000A11Q059
EUR 0.06
5,500,000
EUR 6.30
EUR 34.7 million

Share price development

(1 January to 30 September 2020: XETRA, in EUR) 10,00 9,00 8,00 7,00 6,00 5,00 4,00 3,00 2,00 1,00 0,00 -1-Jan-2021 31 02 31-191-2022 2112: 2027 1781-2027 11/31-502 30 11/202 30 10/202 30 10/202 202 202 202 202

Shareholder structure

Shareholder structure (Status: 18 October 2021)

Shareholdings

1. Blackflint Ltd.	26.66%
2. Executive Board members and Directors	10.89%
5. Free float	62.44%

Publication of Results Q3/2021

Principles

The principles and methods of the elumeo Group described in the Annual Report for financial year 2020 that ended on 31 December ("2020 Annual Report") basically still apply.

General information and comparability of disclosures

The Quarterly Release covers the period from 1 January to 30 September 2021 ("9M 2021"). The quarterly reporting period covers the period from 1 July to 30 September 2021 ("Q3 2021"). The changes in the period comparison are referred to as nine-month period to nine-month period ("9Mo9M") or quarter to quarter ("QoQ").

Explanation of alternative performance indicators

The elumeo Group uses alternative performance measures ("APM") in its regulatory and mandatory publications that are not regulated in the applicable International Financial Reporting Standards ("IFRSs"). For further information on the definition, use and limitations of the alternative performance measures, the accounting methods used, and the reconciliations, please refer to http://www.elumeo.com/ir/publications/explanation-alternative-performance-measures.

Business Development

Fortunately, the growth of the first two quarters of 2021 continued. Revenues rose by 15.3% in Q3 2021. The main driver was the classic web shop, but the development in the TV business also improved. The growth is due to the intensive growth in new customers.

The gross profit increased by 15.5% to EUR 6.4 million. The gross profit margin was 55.1% in Q3 2021 (55.0% in Q3 2020) - the effect of the reduction in VAT in Q3 2020 was offset.

Investments in online marketing were successfully scaled for the acquisition of new customers and led to an increase in sales costs. Due to the non-use of the short-time allowance, personnel costs increased slightly.

For the further development of the video shopping app Jooli, expenses of EUR 0.3 million were incurred in the first three quarters. Development expenses were not capitalized. Earnings before interest, taxes, depreciation and amortization (EBITDA) amounted to EUR 0.6 million in Q3 2021. Adjusted for expenses for the video shopping app Jooli of EUR 127 thousand, for the stock option program 2015, aperiodic expenses and exchange rate effects, the key financial figure, adjusted earnings before interest, taxes, depreciation and amortization (adjusted EBITDA), improved in Q3 2021 to EUR 665 thousand after EUR 490 thousand in Q3 2020.

Explanations of the individual key financial figures are provided in the following sections.

Earnings, Assets and Financial Position

(1) Revenue

The elumeo Group increased sales in Q3 2021 compared to the previous						year.
EUR thousand % of revenue	Q3 2021	Q3 2020	QoQ in %	01-01- 30.09.2021	01.01. - 30.09.2020	9Mo9M in %
Revenue from product sales Other revenue	11.661 99.9% 14 0,1%	10.123 0.1% 0	99.9% 15,2% 128.3%	37.676 99.9% 50 0.1%	30.086 99.9% 29 0.1%	25.2% 71.4%
Revenue	11.675 100,0%	10.129 100,0% 15,3%		37.725 100.0%	30.115 100,0% 25,3%

(2) Selling expenses

EUR thousand % of revenue	Q3 2021		Q3 2020		QQQ in %	01.01. - 30.09.2021		01.01. - 30.09.2020		9Mo9M in %
Broadcasting and channel rental costs Personnel expenses Sales and marketing expenses Depreciation, amortization and impairment loss Other selling expenses	1.655 1.201 654 106 576	14.2% 10.3% 5.6% 0,9% 4,9%	1.484 1.404 419 69 497	14.7% 13.9% 4.1% 0.7% 4.9%	11.5% -14,5% 56.0% 53.1% 15.9%	4.914 4.154 2.056 305 1.839	13.0% 11,0% 5.5% 0.8% 4,9%	4.419 4.621 1.184 210 1.644	14,7% 15,3% 3.9% 0,7% 5.5%	11.2% -10,1% 73.7% 45,3% 11.9%
Selling expenses	4.191 35,9%		3.873 38,2%		8.2%	13.269	35.2%	12.078	40.1%	9.9%

Selling expenses increased in Q3 2021 compared to the previous year, driven by increased investments in online marketing and increased TV broadcasting costs.

(3) Administrative expenses

EUR thousand % of revenue	Q3 2021		Q3 2020		QQQ in %	01.01. - 30.09.2021		01.01. - 30.09.2020		9Mo9M in %
Personnel expenses Depreciation, amortization and impairment loss Equity-settled share-based remuneration Other administrative expenses	916 138 885	7.8% 1.2% 0.0% 7.6%	653 159 ﺔ 631	6.4% 1.6% 0.0% 6.2%	40.2% -13.0% -22.6% 40.2%	2.847 421 2.751	7,5% 1,1% 0.0% 7,3%	2.121 490 16 1.978	7.0% 1.6% 0.1% 6.6%	34.2% -14.1% -56.5% 39.1%
Administrative expenses	1.941 16.6%		1.446 14.3% 34.2%			6.025	16.0%	4.605 15.3% 30.8%

Administrative expenses rose also due to increased other administrative expenses – increased rental expenses and increased postage expenses for marketing campaigns.

With regard to the effects of the economic short-time working allowance of the federal government on personnel expenses in Q3 2020, we refer to section (7).

(4) Other operating income

EUR thousand % of revenue	Q3 2021		Q3 2020		QoQ in %	01.01 - 30.09.2021		01.01. - 30.09.2020		9Mo9M in %
Gains from foreign currency translation Income resulting from past reporting periods Miscellanous other operating income	19	0.2% 0,0% 9 0,1%	C C	0,0% 0,0% 8 0,1%	n.a n.a 7.5%	50 5 188	0.1% 0.0% 0.5%	O 20 31	0.0% 0.1%	n.a -76,4% 0.1% 507.8%
Other operating income	29	0,2%			8 0,1% 256,4%	243	0.6%	51		0.2% 375.9%

(5) Other operating expenses

EUR thousand % of revenue	Q3 2021		Q3 2020		QQQ in %	01.01. - 30.09.2021		01.01. - 30.09.2020		9Mo9M in %
Net losses from foreign currency translation Miscellanous other operating expenses		0 0.0% 0 0.0%	o	0.0%	70 n.a	0 120	0.0% 0.3%	74 0	0.0%	0.2% -100.0% n.a
Other operating expenses		0,0%			70	120	0.3%			74

(6) Financial result

Interest and similar expenses include interest expenses from lease liabilities from usage rights (operate leases of real estate contracts) in accordance with IFRS 16.

The interest expenses from the compounding of long-term provisions relate to obligations that are uncertain in terms of type, amount and utilization in connection with the discontinued PWK business area.

(7) Personnel expenses

EUR thousand % of revenue	Q3 2021		Q3 2020		QoQ in %	01.01. - 30.09.2021		01.01. - 30.09.2020		9Mo9M in %
Wages and salaries Social security contributions	1.731 14,8% 385	3.3%	1.736 321	17.1%	-0.3% 3.2% 20.0%	1.134	5.868 15,6% 3.0%	5.754 988	19,1%	2.0% 3.3% 14.8%
Personnel expenses			2.117 18,1% 2.057 20,3% 20,3% 2,9%			7.002	18.6%	6.742 22,4%

The elumeo Group's personnel expenses increased slightly quarter-on-quarter. This is partly due to the fact that Juwelo Deutschland GmbH applied for short-time working for some of its employees in Q3 2020. The short-time allowance paid by the subsidiary in the third quarter of 2020 amounted to EUR 116 thousand (9M 2020: EUR 277 thousand). In addition, income from the reimbursement of social security contributions of EUR 87 thousand (9M 2020: EUR 216 thousand) was recognised in the third quarter of 2020 as a deduction from personnel expenses.

(8) Intangible assets and property, plant and equipment

Investments in the third quarter of 2021 were limited to minor replacement investments.

(9) Inventories

Inventories increased slightly to EUR 12.6 million as of 30 September 2021 (31 December 2020: EUR 12.1 million).

(10) Equity

Issued capital

The issued capital of elumeo SE as of 30 September 2021 amounted to EUR 5,500,000 (31 December 2020: EUR 5,500,000) and is divided into 5,500,000 no-par value shares with a notional value of EUR 1.00 per share.

There have been no changes compared to the figures reported on 31 December 2020.

Capital reserve

The capital reserve of elumeo SE as of 30 September 2021 amounted to EUR 34,448 thousand and increased compared to 31 December 2020 (EUR 34,441 thousand) due to share-based payment commitments in accordance with IFRS 2.

Authorised Capital, Contingent Capital, convertible bonds and bonds with warrants

There were no changes compared to the disclosures as of 30 June 2021.

Share-based remuneration

As of the reporting date, no option rights are exercisable as either the performance target criterion or the service period criterion has not been met.

Other financial liabilities (11)

In addition to minor leasing liabilities (finance leases) for the semi-automated picking, storage and conveyor systems (technical equipment), these relate in particular to the (current and non-current) leasing liabilities from rental agreements for office premises (real estate contracts) recognised in connection with the first-time application of IFRS 16.

Deferred taxes (12)

Deferred taxes are generally recognised for differences between the carrying amount recognised in the IFRS Consolidated Interim Financial Statements and the tax base, as well as for tax loss carryforwards, to the extent that their recoverability appears sufficiently certain in the near future.

(13) Notes to the Consolidated Statement of Cash Flows

The Consolidated Statement of Cash Flows has been prepared in accordance with IAS 7 Cash Flow Statement and shows the change in cash and cash equivalents of the elumeo Group during the reporting period through inflows and outflows.

Supplementary Report

The administrative board of elumeo SE decided on October 11, 2021 to issue a total of 60,000 stock options under the stock option plan A to the managing directors and 94,500 under the stock option plan D to executives from the existing stock option plan 2021.

Risk and Opportunity Report

The elumeo Group presented its risk management system in the 2020 Annual Report. The Executive Board is not currently aware of any significant changes to the risks and opportunities described in detail in the Annual Report.

Forecast Report

Management also expects high volatility in 2021 depending on the development of the COVID-19 pandemic. As a result, the forecast is based on a cautious approach to future development and takes into account possible further negative influences from slumps in demand and supply bottlenecks. Based on the development in the first half of 2021, the management assumes that sales growth in the low double-digit % range can be achieved in 2021. The gross profit margin is expected to continue to develop stably > 50%, and the gross profit as a whole is expected to increase slightly disproportionately. Adjusted EBITDA is expected to be in the low to mid-single-digit million range.

Due to the positive business performance, investments in working capital are necessary. However, in order to be able to guarantee the Group's solvency at all times, the elumeo Group can react flexibly and at short notice to negative economic developments with the appropriate options for reducing inventories. The elumeo Group's Executive Board has drawn up various scenarios in this regard and has sufficient liquidity in all scenarios for financial years 2021 and 2022 to service liabilities as they fall due.

Condensed Interim Consolidated Financial Statements

Consolidated Statement of Income and Comprehensive Income (unaudited)

for the period from 1 July to 30 September 2021 (Q3 2021) and for the period from 1 January to 30 September 2021

	Q3 2021		Q3 2020		QQQ	01.01- 30.09.2021		01.01-		9M09M in %
EUR thousand % of revenue					in %			30.09.2020
Revenue Cost of goods sold	11.675 5.243	100,0% 44,9%	10.129 4.558	100,0% 45,0%	15,3% 15,0%	37.725 16.981	100.0% 45,0%	30.115 14.417	100,0% 47,9%	25,3% 17,8%
Gross profit	6.432	55,1%	5.571	55,0%	15,5%	20.744	55,0%	15.698	52,1%	32,1%
Selling expenses Administrative expenses Other operating income Other operating expenses	4.191 1.941 29 0	35,9% 16,6% 0,2% 0,0%	3.873 1.446 8 70	38,2% 14,3% 0,1% 0,7%	8,2% 34,2% 275,1% -100,0%	13.269 6.025 243 120	35,2% 16,0% 0,6% 0,3%	12.078 4.605 51 74	40,1% 15,3% 0,2% 0,2%	9,9% 30,8% 372,2% 62,9%
Earnings before interest and taxes (EBIT)	329	2,8%	189	1,9%	73,8%	1.573	4,2%	-1.007	-3,3%	256,2%
Interest income Interest and similar expenses Financial result	0 23 -23	0,0% 0,2% -0,2%	O -32 -32	0,0% -0,3% -0,3%	-100.0% 171,5% 27,8%	0 70 -69	0,0% 0,2% -0,2%	O -105 -105	0,0% -0,3% -0,3%	n.a. 166,3% 34,1%
Earnings before income taxes (EBT)	306	2,6%	158	1,6%	94,2%	1.503	4,0%	-1.112	-3,7%	235,2%
Earnings for the period	306	2,6%	158	1,6%	94,2%	1.503	4,0%	-1.112	-3,7%	235,2%
Earnings of shareholders of elumeo St	306	2,6%	158	1,6%	94,2%	1.503	4,0%	-1.112	-3,7%	235,2%
Earnings per share in EUR (undiluted and diluted) applied to:	0,06		0,03		94,2%	0,27		-0,20		236,6%
- undiluted	0,06		0,03		94,2%	0,27		-0,20		236,6%
- diluted	0,06		0,03		92,7%	0,27		-0,20		235,7%
Average number of shares outstanding - undiluted - diluted	5.500.000 5.542.059		5.500.000 5.500.000		0,0% 0,8%	5.500.000 5.539.189		5.500.000 5.500.000		0,0% 0,7%
Differences from foreign currency translation of foreign subsidiaries	-15	-0.1%	41	0.4%	-137,8%	-34	-0.1%	41	0,1%	-182,0%
Other comprehensive income	-15	-0,1%	41	0.4%	-137,8%	-34	-0,1%	41	0,1%	-182,0%
Total comprensive income	290	2,5%	199	2,0%	46,3%	1.469	3,9%	-1.071	-3,6%	237,2%
Total comprehensive income of shareholders of elumeo SE	290	2,5%	199	2,0%	46,3%	1.469	3,9%	-1.071	-3,6%	237,2%

Consolidated Statement of Financial Position (unaudited)

as of 30 September 2021 and 31 December 2020

A S S E T S

10 |

	30.09.2021		31.12.2020		Abw.
EUR thousand % of balance sheet total					in %
Non-current assets
Intangible assets	359	1,6%	429	2.0%	-16.3%
Property, plant and equipment	3.585	16,3%	3.965	18,7%	-9,6%
Other financial assets	75	0,3%	77	0,4%	-1,6%
Other non-financial assets	216	1,0%	225	1,1%	-4,0%
Total non-current assets	4.236	19,3%	4.696	22,2%	-9,8%
Current assets
nventories	12.559	57,3%	12.147	57,4%	3.4%
Trade receivables	1.000	4,6%	1.230	5,8%	-18,7%
Other financial assets	257	1,2%	276	1,3%	-6,9%
Other non-financial assets	559	2,5%	507	2,4%	10,1%
Cash and cash equivalents	3.322	15,1%	2.307	10,9%	44,0%
Total current assets	17.697	80,7%	16.468	77,8%	7,5%
Total assets	21.935	100%	21.164	100%	3.6%

Consolidated Statement of Financial Position (unaudited)

as of 30 September 2021 and 31 December 2020

EQUITY & LIABILITIES

	30.09.2021		31.12.2020		Abw.
EUR thousand % of balance sheet total					in %
Equity
Issued capital	5.500	25.1%	5.500	26,0%	0.0%
Accumulated losses	34.448	157.1%	34.441	162.7%	0.0%
Retained losses	-36.306 -165,5%		-37.809	-178.6%	4,0%
Foreign currency translation reserve	2.181	9,9%	2.214	10,5%	-1,5%
Total equity	5.822	26,5%	4.346	20,5%	34,0%
Attributable to shareholders of elumeo SE	5.822	26,5%	4.346	20.5%	34,0%
Non-current liabilities
Other non-current financial liabilities	2121	9,7%	2.413	11.4%	-12,1%
Provisions	3.995	18,2%	3.972	18.8%	0,6%
Other non-financial liabilities	25	0.1%	25	0.1%	0,0%
Total non-current labilities	6.140	28,0%	6.410	30,3%	-4,2%
Current liabilities
Other financial liabilities	378	1,7%	389	1.8%	-2,8%
Provisions	1.054	4.8%	1 113	5.3%	-5.2%
Trade payables	6.503	29,6%	6.775	32,0%	-4,0%
Advance payments received	133	0.6%	133	0.6%	0.0%
Tax liabilities	100	0,5%	100	0,5%	0,0%
Other non-financial liabilities	1.802	8,2%	1.899	9.0%	-5,1%
Total current liabilities	9.970	45,5%	10.408	49,2%	-4,2%
Total equity & liabilities	21 933	100,0%	21.164	100,0%	3,6%

Consolidated Statement of Changes in Equity (unaudited)

for the period from 1 January to 30 September 2021

12 |

Reason for change	Attributable to shareholders of elumeo SE
EUR thousand	lssued capital	Capital Reserve	Retained losses	Foreign currency translation reserve	Total equity
01.01.2021	5.500	34.441	-37.809	2.214	4.346
Equity-settled share-based remuneration		7			7
Other comprehensive income Earnings for the period			1.503	-34	-34 1.503
I otal comprehensive income			1.503 -34		1.469
31.09.2021	5.500	34.448	-36.306	2.181	5.822

Consolidated Statement of Changes in Equity (continuation) (unaudited)

for the period from 1 January to 30 September 2020

Reason for change	Attributable to shareholders of elumeo SE
EUR thousand	ssued capital	Capital reserve	Accumu- lated losses	Foreign currency translation reserve	Total equity
1 January 2020	5,500	34,423	-37,963	2,159	4,118
Equity-settled share-based remuneration		16			16
Other comprehensive income Earnings for the period			-1,112	41	41 -1,112
Total comprehensive income			-1,112	41	-1,071
30 September 2020	5,500	34,439	-39,075	2,200	3,064

Consolidated Statement of Cash Flows (unaudited)

14 |

for the period from 1 January to 30 September 2021

FUR thousand Earnings before interest and taxes (EBIT) 1.573 -1.112 Earnings before taxes (EBT) +700 +/- Depreciation and amortisation on non-current assets +726 +/- Increase/decrease in provisions -58 -672 +/- Increase/decrease in provisions from obligations resulting from the orderly liquidation of the Group owned factory +23 -59 +7 +/- Equity-settled share-based remuneration +16 +/- Other non-cash expenses/income - / 4 +42 Interest expenses paid related to prior accounting periods O - 1 O + Non-cash current interest expenses +26 +1.047 -/+ Increase/decrease in inventories -405 Increase/decrease in other assets - / + +221 -546 -432 + / - Increase/decrease in other liabilities +1.460 +1.578 Cash flow from operating activities +1.102 O Payments for investments in intangible assets -48 Payments for investments in property, plant and equipment -271 -84 -132 -271 Cash flow from investing activities O Payments for the redemption of financial debt -446 Proceeds from increase in financial liabilties -292 -239 + -292 Cash flow from financing activities -685 +/- Net increase/decrease in cash and cash equivalents +285 +1.015 +/- Effects of foreign currency translation on cash and cash equiva - 1 +0 + Cash and cash equivalents on beginning of reporting period +2.307 +880 Cash and cash equivalents on end of reporting period +5.522 +1.164		01.01 - 30.09.2021	01.01 - 30.09.2020
Reconciliation of cash and cash equivalents
+1.164 +3.322 Cash and cash equivalents Cash and cash equivalents at end of period +3.322 +1.164

Berlin, 11 November 2021

elumeo SE

The Executive Managing Directors

Bous line Dr. Plad Voursleh

Florian Spatz

Boris Kirn

Dr. Riad Nourallah

Imprint

Publisher

elumeo SE Erkelenzdamm 59/61 10999 Berlin Germany

Investor Relations

Phone: +49 30 69 59 79 - 231 Fax: +49 30 69 59 79 - 650 email: ir@elumeo.com www.elumeo.com

Photos

elumeo SE

This Quarterly Release is also available in German. In case of discrepancies, the German version takes precedence. A digital version of this elumeo SE Quarterly Release and other financial publications are available on the Internet at www.elumeo.com in the column entitled "Investor Relations / Publications / Financial Reports."

Disclaimer

This release contains forward-looking statements. These statements are based on current experience, presumptions and projections of the Executive Board and the information it currently has available. These forward-looking statements are not to be considered guarantees of the future developments and events described in them. Future developments and results are dependent on a variety of factors. These involve various risks and uncertainties and are based on assumptions that may prove to be incorrect. We assume no obligation to update the forward-looking statements made in this release.