home24 SE

Investor Presentation • Nov 10, 2021

home24 Q3 2021 Earnings Presentation

November 10th 2021

Management Summary Q3 2021

Growth trajectory intact, continuing to take market share

All figures preliminary and unaudited

Note: Group & LatAm growth numbers displayed in constant currency

1. Like for Like calculation considers structurally lower cancellation rates due to new order creation logic as of May 2021 in EU

2. Refers to the period of 9 months ending in September 2021

Our mission:

to be the online destination in Home & Living for everyday people

Global Home & Living market1	> €560bn
home24 footprint2 Home & Living market	> €110bn
home24 footprint2 Online Home & Living market	> €11bn

€0.5bn3 (~4-5% mkt. share)

Huge addressable market with low online penetration

All figures preliminary and unaudited Source: Euromonitor International.

1. Home & Living market defined as Euromonitor Passport: Home and Garden categories "homewares" and "home furnishings" (2019).

2. home24 markets consist of Germany, France, Italy, the Netherlands, Belgium, Austria, Switzerland and Brazil.

3. home24 revenue 2020

Demographics, changes in consumer habits and technology boost online penetration further

Source: Euromonitor International (2019); Management Estimates

1. Consists of home24's target markets Germany, France, Italy, the Netherlands, Austria, Belgium, Switzerland and Brazil.

We are a leading pure-play Home & Living e-commerce platform in continental Europe and Brazil

All figures preliminary and unaudited

1. Refers to the period of 12 months ending in September 2021

2. Including VAT, for Europe only.

3. Adjusted for share-based compensation & IPO expenses.

4. Share of Group revenue.

Home & Living mass market has category specific challenges which we have mastered, creating significant barriers to entry

• Products with high basket size / AOV and without established consumer brands in mass market
• 2
• Identify and source relevant assortment in a market with no brands and abundant product variety
• Inventory management: make bulky and high value items available at short delivery times and still remain working capital neutral 3 has cracked the code
• 4
• Scalable online demand largely in short tail generic search without brands

Extremely complex logistics and delivery for multi-component and heavy/bulky products

We have built the best-in-class platform to drive profitable growth

9

home24 has multi-dimensional drivers for sustainable long-term growth

STRUCTURAL GROW	+	MARKET PENETRATION	+		PLATFORM DEVELOPMENT			+	MARKET EXPANSION
Benefit from increasing online penetration in mass market		Accelerate through further international roll-out of "go-to-market" approach		Enhance product offering in existing categories	Introduce new categories e.g. to drive purchase frequency	Enhance shopping journey to increase brand loyalty	Adopt new technologies to foster competitive advantage		Expand into new geographies and capitalize on high market fragmentation

We are uniquely positioned to explore the massive growth opportunity in Home & Living e-commerce

12

Q3 2021 Business Update - Focus on Europe

Q3 2021 complements home24's remarkable topline development in 2021

Focus on Europe

• YTD1 revenue growth in Europe now 43%
• Strong market position, gaining share
• Europe alone L12M revenue run rate of EUR >500m

Revisit: We continuously invest into long term growth drivers

STRUCTURAL GROW	+	MARKET PENETRATION	+		PLATFORM DEVELOPMENT				+	MARKET EXPANSION
Benefit from increasing online penetration in mass market		Accelerate through further international roll-out of "go-to-market" approach		Enhance product offering in existing categories		Introduce new categories e.g. to drive purchase frequency		Enhance shopping journey to increase brand loyalty		Leverage new technologies to foster competitive advantage, esp. vs. brick and mortar retail		Expand into new geographies and capitalize on high market fragmentation

Deliberate, temporary investments into elevated inventory levels & short delivery times

~EUR 18m higher inventory level in 2021

Inventory in EURm

Key benefits:

• High product availability
• Short and reliable delivery times
• Lower influence of global supply chain fluctuations
• Higher customer satisfaction
• Well prepared for upcoming peak season in Q4 and Q1

Investment in customer loyalty by extending the product offering in new and existing categories

Assortment increase YoY by more than 30k SKUs on home24.de (net of deactivations)

Key Benefits:

• Completing offering so that customers can furnish entire rooms
• Merchandising can present more consistently
• Focus on repeat driving categories
• Increase in customer engagement and loyalty over time
• Investment into future growth as new addition fuel next year growth

Continuous investment into shopping fulfillment experience, measured in successful reduction of return rates

Return rates reduced to ~7% despite continuous free cancellations and returns

Return Rate (%) per Month (Jul '19 – Sep '21)

• Proves that long term company focus on customer satisfaction is paying off
• Proves benefits of curated assortment selection and private label business, where we control supply chain
• Despite customer value proposition of free cancellations and returns
• Continuous reduction of already low return rates compared to e-commerce

Investment into unique delivery services

Own last mile delivery share in Germany at above 20% in Q3 2021

Key Benefits:

• Higher customer satisfaction & positive branding effect
• Higher delivery reliability & less transport damages
• Testing of additional services
• Independent of third party capacities as we grow

home24 Group is still at the beginning of a decade+ growth opportunity - well on track to reach €1bn annualized revenue by the end of 2023

Focus on Group

Q3 2021 Financial Update

Further YoY GOV growth in Q3 signals robust online demand even above strong PY levels

GOV in EURm, Active customers and Total gross orders in k, Average order value in EUR

Group	Q3-21	Europe	Q3-21	LatAm
GOV	177.5	GOV	135.6	GOV
GOV Growth CC	0% (6% LfL)1	GOV Growth CC	3% (10% LfL)1	GOV Growth CC
Total Gross Orders	689	Total Gross Orders	354	Total Gross Orders
Total Gross Orders Growth	-12%	Total Gross Orders Growth	-1%	Total Gross Orders Growth
Average Order Value	257	Average Order Value	382	Average Order Value
Average Order Value Growth	16%	Average Order Value Growth	4%	Average Order Value Growth
Active Customers	2,357	Active Customers	1,421	Active Customers
Active Customers Growth	21%	Active Customers Growth	38%	Active Customers Growth

All figures preliminary and unaudited

YTD1 Revenue growth even exceeds last years growth rate, supported by continuous strong growth performance in Q3

Revenue in EURm and Growth YoY in %

Group

YTD¹ further growth acceleration in 2021 to +40% vs. +38% in 2020

Europe

Continuous strong customer demand in Q3 paired with faster faster revenue realization

Latin America

Solid Q3 on high PY comparable. 2Y growth rate close to 100%

All figures preliminary and unaudited

Adj. EBITDA margin remains in line with guidance confirming reinvestment of additional profit into further growth potential

Adj. EBITDA in EURm and in % of Revenue

Group

Structurally lower EBITDA margin in Q3 (as in Q1 vs. Q2 & Q4). YTD¹ still well in line with guidance range

Europe

Structural profitability intact underlining ability to invest into further growth

Latin America

Profitability affected by post IPO investments, such as the new warehouse, but also due to pressure on Gross Margins

Group cash position of EUR 130m remains strong to take further advantage of the market opportunity in future quarters

Group cash flow in EURm

Cash outflow in Q3 mainly related to Working Capital investments, Capex and FX effects

Working Capital increase in Europe EUR 15m related to temporary effects of i) inventory increase combined with a ii) further decrease of customer prepayments resulting from shorter delivery times

Working Capital increase in Latam still results mainly from an increase in trade receivables from installment purchases, as a result of the improved level of capital following the IPO in February 2021. The rationale is to save interest expenses as long as cash levels are comfortable. This can be revised anytime freeing up the cash again

Outlook and Q&A

Outlook

home24 confirms outlook:

• Revenue growth range for FY 2021 narrowed: currency-adjusted sales growth in the range of 28 % to 32 %, compared to 20 % to 40 % at the beginning of the year.
• Unchanged adjusted EBITDA margin range of 0% to +2% for the full year 2021.
• Beyond 2021, we remain focused on best exploiting the decade+ growth opportunity towards EUR 1bn in annualized revenue by the end of 2023, without jeopardizing profitability.

Summary of the financial performance - Group

In EURm and % of Revenue

	Q2-20	Q2-21	Q3-20	Q3-21	YTD2 -20	YTD2 -21
Revenue	119.1	166.1	117.8	138.6	339.5	463.7
Revenue growth CC	49%	41%	54%	17%	38%	40%
Cost of sales	64.4	95.0	62.6	80.1	182.4	261.7
Gross profit	54.7	71.1	55.2	58.5	157.1	202.0
Gross profit margin	46%	43%	47%	42%	46%	44%
Fulfillment expenses1	20.8	27.3	20.6	24.0	59.8	77.9
Fulfillment expenses ratio	17%	16%	18%	17%	18%	17%
Profit contribution	33.9	43.8	34.5	34.5	97.3	124.2
Profit contribution margin	28%	26%	29%	25%	29%	27%
Marketing expenses	12.5	23.5	16.8	21.0	48.2	74.6
Marketing expenses ratio	10%	14%	14%	15%	14%	16%
Adjusted EBITDA	9.2	4.1	4.9	-2.8	10.6	1.9
Adjusted EBITDA margin	8%	2%	4%	-2%	3%	0%

All figures preliminary and unaudited

1. Including impairment losses on financial asset

Summary of the financial performance - Europe

In EURm and % of Revenue

	Q2-20	Q2-21	Q3-20	Q3-21	YTD2 -20	YTD2 -21
Revenue	97.5	138.3	88.9	108.0	265.4	379.5
Revenue growth	52%	42%	42%	22%	34%	43%
Cost of sales	51.5	77.6	45.9	61.5	138.8	210.8
Gross profit	45.9	60.6	43.0	46.5	126.7	168.7
Gross profit margin	47%	44%	48%	43%	48%	44%
Fulfillment expenses1	16.8	23.5	16.0	19.9	47.3	66.2
Fulfillment expenses ratio	17%	17%	18%	18%	18%	17%
Profit contribution	29.2	37.1	27.0	26.6	79.3	102.5
Profit contribution margin	30%	27%	30%	25%	30%	27%
Marketing expenses	10.5	20.1	14.3	17.1	41.7	64.1
Marketing expenses ratio	11%	15%	16%	16%	16%	17%
Adjusted EBITDA	8.9	4.6	2.8	-1.7	8.4	3.4
Adjusted EBITDA margin	9%	3%	3%	-2%	3%	1%

All figures preliminary and unaudited

1. Including impairment losses on financial asset

Summary of the financial performance - LatAm

In EURm and % of Revenue

	Q2-20	Q2-21	Q3-20	Q3-21	YTD2 -20	YTD2 -21
Revenue	21.6	27.8	29.0	30.7	74.1	84.3
Revenue growth CC	39%	39%	88%	4%	49%	28%
Cost of sales	12.9	17.3	16.7	18.6	43.7	50.9
Gross profit	8.7	10.5	12.2	12.1	30.4	33.4
Gross profit margin	40%	38%	42%	39%	41%	40%
Fulfillment expenses1	4.0	3.8	4.7	4.1	12.5	11.6
Fulfillment expenses ratio	19%	14%	16%	13%	17%	14%
Profit contribution	4.7	6.7	7.5	8.0	18.0	21.8
Profit contribution margin	22%	24%	26%	26%	24%	26%
Marketing expenses	2.0	3.4	2.5	3.9	6.5	10.5
Marketing expenses ratio	9%	12%	9%	13%	9%	12%
Adjusted EBITDA	0.3	-0.5	2.1	-1.1	2.2	-1.5
Adjusted EBITDA margin	1%	-2%	7%	-3%	3%	-2%

All figures preliminary and unaudited

1. Including impairment losses on financial asset

Cashflow breakdown by segments

In EURm

Group	Q3-21
Cash BOP	169.7
Adjusted EBITDA	-2.8
Change in Net Working Capital	-23.7
Others	1.0
Cash Flow from operating activities	-25.5
Cash Flow from investing activities	-6.9
Leasing payments	-2.8
Other	-0.5
Cash Flow from financing activities	-3.3
Effect of exchange rate changes on cash and cash equivalents	-3.9
Cash EOP	130.1

Europe	Q3-21
Cash BOP	96.4
Adjusted EBITDA	-1.7
Change in Net Working Capital	-15.2
Others	0.3
Cash Flow from operating activities	-16.7
Cash Flow from investing activities	-1.4
Leasing payments	-2.3
Other	0.0
Cash Flow from financing activities	-2.3
Effect of exchange rate changes on cash and cash equivalents	0.0
Cash EOP	76.0

LatAm	Q3-21
Cash BOP	73.3
Adjusted EBITDA	-1.1
Change in Net Working Capital	-8.5
Others	0.7
Cash Flow from operating activities	-8.8
Cash Flow from investing activities	-5.2
Leasing payments	-0.5
Other	-0.7
Cash Flow from financing activities	-1.3
Effect of exchange rate changes on cash and cash equivalents	-3.9
Cash EOP	54.1

Financial calendar

Upcoming events

DATE	EVENT
December 6th	Berenberg European Conference
December 8th	GBC Münchener Kapitalmarkt Konferenz
February 15th	Trading Update FY 2021
March 31st	Publication annual financial report

KPI definitions

KPI	DEFINITION
Gross order value [in EUR]	Defined as the aggregated gross order value of the orders placed in the respective period, including VAT and without factoring in cancellations and returns as well as subsequent discounts and vouchers
Number of active customers [#]	Defined as the number of customers that have placed at least one non-canceled order in the 12 months prior to the respective date, without factoring in returns
Total gross orders	Defined as the number of orders placed in the relevant period, regardless of cancellations or returns
Average order value [in EUR]	Defined as the aggregated gross order value of the orders placed in the respective period, including VAT, divided by the number of orders, without factoring in cancellations and returns as well as subsequent discounts and vouchers
Growth at constant currency (CC)	Defined as growth using constant BRL/EUR exchange rates from the previous year
Adjusted EBITDA [in EUR]	EBITDA defined as the sum of operating result (EBIT) and depreciation and amortization. Adjusted for share-based compensation expenses and costs incurred in connection with the listing of existing shares and other one-off expenses, mainly service fees for legal and other consulting services associated with the IPO

Disclaimer

This presentation has been prepared by home24 SE (the "Company"). All material contained in this document and the information presented is for information purposes only and does not purport to be a full or complete description of the Company and its affiliated entities. This presentation must not be relied on for any purpose.

This presentation contains forward-looking statements. These statements are based on the current views, expectations, assumptions and information of the management of the Company. Forward-looking statements should not be construed as a promise of future results and developments and involve known and unknown risks and uncertainties. Various factors could cause actual future results, performance or events to differ materially from those described in these statements, and neither the Company nor any other person accepts any responsibility for the accuracy of the opinions expressed in this presentation or the underlying assumptions. The Company does not assume any obligations to update any forward-looking statements.

This presentation contains certain financial measures that are not calculated in accordance with IFRS and are therefore considered "non-IFRS financial measures". The management of the Company believes that these non-IFRS financial measures used by the Company, when considered in conjunction with, but not in lieu of, other measures that are computed in accordance with IFRS, enhance an understanding of the Company's results of operations, financial position and cash flows. A number of these non-IFRS financial measures are also commonly used by securities analysts, credit rating agencies and investors to evaluate and compare the periodic and future operating performance and value of other companies with which the Company competes. These non-IFRS financial measures should not be considered in isolation as a measure of the Company's profitability or liquidity, and should be considered in addition to, rather than as a substitute for, income data or cash flow data prepared in accordance with IFRS. In particular, there are material limitations associated with the use of non-IFRS financial measures, including the limitations inherent in determination of each of the relevant adjustments. The non-IFRS financial measures used by the Company may differ from, and not be comparable to, similarly-titled measures used by other companies.

Certain numerical data, financial information and market data, including percentages, in this presentation have been rounded according to established commercial standards. Furthermore, in tables and charts, these rounded figures may not add up exactly to the totals contained in the respective tables and charts.