elumeo SE

Quarterly Report • Nov 13, 2020

Quarterly Release Q3/2020

Table of Contents
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Key Figures Q3/2020 2
Capital Market Information 3
Publication of Results Q3/2020 4
Principles 4
Business Development4
Earnings, Assets and Financial Position5
Supplementary Report 10
Risk and Opportunity Report 10
Forecast Report 10
Condensed Interim Consolidated Financial Statements 12
Consolidated Statement of Income 12
Consolidated Statement of Comprehensive Income13
Consolidated Statement of Financial Position14
Consolidated Statement of Changes in Equity16
Consolidated Statement of Cash Flows18
Group Segment Reporting 20
Imprint 25

Key Figures Q3/2020

TEUR (sofern nicht anders angegeben)	Q3 2020	Q3 2019 *angepasst	QoQ in %	9M 2020	9M 2019 *angepasst	QoQ in %
Umsatzerlöse	10,129 100.0%	10,205 100.0%	-0.7%	30,115 100.0%	33,468 100.0%	-10.0%
Deutschland und übrige Länder Italien	10,132 100.0% -3 0.0%	8,798 86.1% 1,408	15.2% 13.8% -100.2%	30,127 100.0% -12 0.0%	28,711 85.8% 4,757 14.2%	4.9% -100.3%
[nachfolgende Angabe erfolgen: absolut und in % der Umsatzerlöse] Rohertrag Summe Segment-EBITDA Abschreibungen Summe der Segment-EBIT Konzern-Gesamtergebnis Vertriebs- und Verwaltungskosten [vor Nettoverlusten aus Währungsumrechnung] Summe Aktiva 1 Summe Eigenkapital 1 [absolut und in % der Bilanzsumme] Betriebsmittel (Working capital) 1 [absolut und in % der Bilanzsumme]	5,571 55.0% 490 4.8% 228 2.3% 262 2.6% 199 2.0% 5,320 52.5%	4,930 48.3% -1,180 -11.6% 299 2.9% -1,479 -14.5% -1,584 -15.5% 6,443 63.1%	13.0% 141.6% -23.8% 117.7% 112.5% -17.4%	15,698 52.1% -218 -0.7% 700 2.3% -917 -3.0% -1,071 -3.6% 16,683 55.4% 20,779 100.0% 3,064 14.7% 4,381 21.1%	15,011 44.9% -2,988 -8.9% 927 2.8% -3,915 -11.7% -3,742 -11.2% 19,019 56.8% 21,583 100.0% 4,118 19.1% 5,867 27.2%	4.6% 92.7% -24.5% 76.6% 71.4% -12.3% -3.7% -25.6% -25.3%
1 Vorjahresangabe: 31.12.2019 [nachfolgende Angabe erfolgen: [absolut und in % der Umsatzerlöse] Netto-Cashflow aus betrieblicher Tätigkeit Netto-Cashflow aus Investitionstätigkeit Netto-Cashflow aus Finanzierungstätigkeit Absatzmenge [Stück] Durchschnittlicher Verkaufspreis [EUR] Rohertrag pro verkauftem Stück [EUR]	92,137 110 60	169,299 60 2 9	-45.6% 82.4% 107.6%	1,102 3.7% -132 -0.4% -685 -2.3% 347,442 8 7 45	89 0.3% -131 -0.4% -2,018 -6.0% 482,338 69 3 1	>1.000% -0.3% 66.1% -28.0% 24.9% 45.2%
Zusammensetzung der Neukunden (nur DE) [in % der Neukunden] T V Web Sonstige (App, personal Shopper, andere)	20% 64% 15%	22% 61% 16%		21% 65% 14%	18% 68% 13%

* Some of the figures presented here differ from the figures shown in the Quarterly Release for the 9-month period of 2019 due to the adjustment of prior year figures in connection with the discontinued operations PWK and UK.

Capital Market Information

Basic data and key figures on the share of elumeo SE (Status: 30 September 2020)

A11Q05
DE000A11Q059
EUR 0.03
5,500,000
EUR 2.34
EUR 12.9 million

Share price development

(1 January to 30 September 2020: XETRA, in EUR)

Shareholder structure

Shareholder structure (Status: 30 September 2020) Shareholdings

1. Blackflint Ltd.	26.66%
2. Ottoman Strategy Holdings (Suisse) SA	26.23%
3. Universal Investment	9.55%
4. Executive Board members and Directors	12.21%
5. Free float	25.35%

Publication of Results Q3/2020

Principles

The principles and methods of the elumeo Group described in the Annual Report for financial year basically still apply.

General information and comparability of disclosures

The Quarterly Release covers the period from 1 January to 30 changes in the period comparison are referred to as nine-month period to nine-month period .

Explanation of alternative performance indicators

The elumeo publications that are not regulated in the applicable International Financial Reporting Standards tive performance measures, the accounting methods used, and the reconciliations, please refer to http://www.elumeo.com/ir/publications/explanation-alternative-performance-measures.

Business Development

Following the supply difficulties in the first quarter of 2020 and at the beginning of the second quarter of 2020, we shortened our daily live broadcasting time from 18 hours to 12 hours as of 1 April 2020 and introduced short-time working throughout the Group in line with this move. This was mainly in response to the poorer supply of products. In the third quarter of 2020, elumeo SE also adopted farreaching measures aimed at ensuring -term profitability. These also included extensive staff cuts.

Overall, consolidated net income was EUR -1.1 million in the first nine months of 2020 after EUR - 3.7 million in the same period of the previous year. Positive consolidated net income of EUR 0.2 million was achieved in the third quarter of 2020.

The key financial figure earnings before interest, taxes, depreciation and amortisation adjusted for non-operating segment reconciliation items (total segment EBITDA) improved to EUR +0.5 million in the third quarter of 2020 after EUR -1.2 million in the third quarter of 2019 (9M 2020: EUR -0.2 million, 9M 2019: EUR -3.0 million).

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

Earnings, Assets and Financial Position

(1) Revenue

Revenue comprises the following:

EUR thousand % of revenue	Q3 2020		Q3 2019		QoQ in %	1 Jan - 30 Sep 2020		1 Jan - 30 Sep 2019		9Mo9M in %
Revenue from product sales Other revenue	10,123 6	99.9% 0.1%	10,197 8	99.9% 0.1%	-0.7% -23.3%	30,086 29	99.9% 0.1%	33,433 35	99.9% 0.1%	-10.0% -17.2%
Revenue	10,129 100.0%		10,205 100.0%		-0.7%	30,115 100.0%		33,468 100.0%		-10.0%

Overall, revenue in the third quarter of 2020 was at from the site in Rome that has been closed, revenue rose by 15.2% in the third quarter of 2020 and by 4.9% in the nine months of 2020. The margin developed disproportionately positively as planned (QoQ: +13.0% and 9Mo9M: +4.6%). The growth in revenue of the static web shop in the third quarter of 2020 was also around + 55% compared to the same period of the previous year (9Mo9M: around +63%). In terms of gross profit, the growth of the traditional web shop in the third quarter of 2020 amounted to around +83% (9Mo9M: around +77%). The marketing expenses for the static web shop only increased by approx. 20%

(2) Selling expenses

EUR thousand % of revenue	Q3 2020		Q3 2019		QoQ in %	1 Jan - 30 Sep 2020		1 Jan - 30 Sep 2019		9Mo9M in %
Broadcasting and channel rental costs	1,484	14.6%	1,281	12.5%	15.9%	4,419	14.7%	3,962	11.8%	11.5%
Personnel expenses	1,404	13.9%	1,678	16.4%	-16.3%	4,621	15.3%	4,900	14.6%	-5.7%
Expenses for external personnel services	0	0.0%	276	2.7%	-100.0%	0	0.0%	855	2.6%	-100.0%
Sales and marketing expenses	419	4.1%	396	3.9%	5.7%	1,184	3.9%	1,090	3.3%	8.6%
Depreciation and amortization	69	0.7%	83	0.8%	-16.4%	210	0.7%	265	0.8%	-20.6%
Other selling expenses	497	4.9%	803	7.9%	-38.0%	1,644	5.5%	2,566	7.7%	-35.9%
Selling expenses	3,873	38.2%	4,516	44.3%	-14.2%	12,078	40.1%	13,637	40.7%	-11.4%

Selling expenses were significantly lower. The reductions are mainly due to the closure of the site in Rome, the shortened broadcasting times and the resulting cost reductions.

(3) Administrative expenses

EUR thousand % of revenue	Q3 2020		Q3 2019 restated*		QoQ in %	1 Jan - 30 Sep 2020		1 Jan - 30 Sep 2019 restated*		9Mo9M in %
Personnel expenses	653	6.4%	742	7.3%	-12.0%	2,121	7.0%	2,219	6.6%	-4.4%
Depreciation and amortization	159	1.6%	217	2.1%	-26.7%	490	1.6%	662	2.0%	-26.1%
Equity-settled share-based remuneration	3	0.0%	7	0.1%	-56.0%	1 6	0.1%	37	0.1%	-55.8%
Other administrative expenses	631	6.2%	961	9.4%	-34.3%	1,978	6.6%	2,464	7.4%	-19.7%
Administrative expenses	1,446	14.3%	1,927	18.9%	-24.9%	4,605	15.3%	5,382	16.1%	-14.4%

Administrative expenses were also significantly lower. Here, too, we benefitted in particular from the closure of the site in Rome, as well as from the reduction in broadcasting times and the resulting cost savings.

(4) Other operating income

EUR thousand % of revenue	Q3 2020		Q3 2019 restated*		QoQ in %	1 Jan - 30 Sep 2020		1 Jan - 30 Sep 2019 restated*		9Mo9M in %
Net gains from foreign currency translation	0	0.0%	99	1.0%	-100.0%	0	0.0%	108	0.3%	-100.0%
Other income resulting from past reporting periods	0	0.0%	6	0.1%	-100.0%	20	0.1%	9	0.0%	126.6%
Income from deconsolidations	0	0.0%	0	0.0%	100.0%	0	0.0%	722	2.2%	-100.0%
Gains on disposal of non-current assets	0	0.0%	9	0.1%	-100.0%	0	0.0%	9	0.0%	-100.0%
Income from cost recharges to distribution partners	0	0.0%	1 5	0.1%	-100.0%	0	0.0%	1 5	0.0%	-100.0%
Income from the reversal of allowances
for doubtful accounts	0	0.0%	1	0.0%	-100.0%	0	0.0%	2	0.0%	-94.1%
Miscellanous other operating income	8	0.1%	-5	0.0%	269.2%	31	0.1%	22	0.1%	44.7%
Other operating income	8	0.1%	125	1.2%	-93.9%	5 1	0.2%	886	2.6%	-94.3%

Other operating income mainly includes income from reimbursements and benefits in kind. Other operating income in the previous year mainly resulted from the reversal of provisions for the deconsolidated companies in the UK.

(5) Other operating expenses

EUR thousand % of revenue	Q3 2020		Q3 2019 restated*		QoQ in %		1 Jan - 30 Sep 2020		1 Jan - 30 Sep 2019 restated*
Net losses from foreign currency translation Impairment of intra-Group receivables due from deconsolidated companies	70 0	0.7% 0.0%	0 92	0.0% 0.9%	n.a. -100.0%	74 0	0.2% 0.0%	0 277	0.0% 0.8%	n.a. -100.0%
Legal and consulting fees in connection with the deconsolidation of PWK	0	0.0%	6	0.1%	-100.0%	0	0.0%	96	0.3%	-100.0%
Other operating expenses	7 0	0.7%	98	1.0%	-29.2%	7 4	0.2%	373	1.1%	-80.3%

Other operating expenses include net losses from currency translation that resulted in particular from the currency translation of monetary items within the Group or from the consolidation of income. In addition, the 9-month period of 2019 includes legal and consulting fees incurred in connection with the legal dispute in connection with the manufactory in Thailand that was closed. This item also includes write-downs on receivables from deconsolidated companies (UK).

(6) Financial result

The repayment of the credit line from Berliner Sparkasse resulted in an overall reduction in interest expense from financial liabilities (bank loans).

(7) Personnel expenses

EUR thousand % of revenue	Q3 2020		Q3 2019		QoQ in %	1 Jan - 30 Sep 2020		1 Jan - 30 Sep 2019		9Mo9M in %
Wages and salaries Social security contributions	1,736 321	17.1% 3.2%	2,029 391	19.9% 3.8%	-14.4% -17.9%	5,754 988	19.1% 3.3%	5,969 1,149	17.8% 3.4%	-3.6% -14.0%
Personnel expenses	2,057	20.3%	2,420	23.7%	-15.0%	6,742	22.4%	7,119	21.3%	-5.3%

-based payments) fell significantly quarteron-quarter. This is partly due to the closure of the Italian subsidiary (November 2019) and to the fact that Juwelo Deutschland GmbH has applied for short-time working for some of its employees.

The short-time allowance paid by the subsidiary in the third quarter of 2020 amounted to EUR 116 thousand (9M 2020: EUR 277 thousand) and was reported as a transitory item not affecting net income. The claim for reimbursement of the short-time working allowance was capitalised based on the assumption that the personal and operational requirements were met. 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.

In August, the management of the elumeo Group laid the foundation for operating on a lower and profitable cost basis even if short-time work is no longer in place.

(8) Notes to the segment reporting

Segment Continuing operations

The segment Continuing operations consists of the Sales division and Group functions & eliminations.

Revenue from the sales business was at the previous year s level by quarterly comparison (QoQ: - 0.7% and 9Mo9M: -10.0%). The gross profit margin continued to develop positively (QoQ: +13.0% and 9Mo9M: +4.6%).

The closure of the site in Rome resulted in the following adjusted picture:

Sales in Germany and Other (QoQ: +15.2% and 9Mo9M: +4.9%) and gross profit (QoQ: +25.0% and 9Mo9M: +19.0%) were significantly higher. Segment EBITDA excluding the site in Rome improved by EUR 1.0 million in the third quarter of 2020 compared to the third quarter of 2019, resulting in an improvement in total segment EBITDA of EUR +1.3 million for the nine-month period compared to the same period of the previous year.

			9M 2020				9M 2019
IFRS 8: Segmentinformationen in thousand EUR	Segment information (without branch Rom)		Local branch Rome (branch		Segment information (continuing operations)		Segment information (without branch Rom)		Local branch Rome (branch		Segment information (continuing operations)
Revenue		30,127 100.0%		-12 100.0%		30,115 100.0%		28,711 100.0%		4,757 100.0%	33,468 100.0%
Cost of goods sold	14,437	47.9%		-20 166.1%	14,417	47.9%	15,550	54.2%	2,907	61.1%	18,457	55.1%
Gross profit	15,690	52.1%		8 -66.1%	15,698	52.1%	13,161	45.8%	1,850	38.9%	15,011	44.9%
Selling expenses	12,054	40.0%		24 -194.8%	12,078	40.1%	10,544	36.7%	3,093	65.0%	13,637	40.7%
Administrative expenses	4,345	14.4%	244	n.a.	4,589	15.2%	4,620	16.1%	726	15.3%	5,345	16.0%
Other operating income	51	0.2%	0	-3.1%	51	0.2%	53	0.2%	3	0.1%	56	0.2%
Earnings before interest and taxes (EBIT)	-658	-2.2%	-259	n.a.	-917	-3.0%	-1,950	-6.8%	-1,965	-41.3%	-3,915	-11.7%
Financial result	-80	-0.3%	0	0.0%	-80	-0.3%	-137	-0.5%	-28	-0.6%	-165	-0.5%
Depreciation and amortization on property, plant and equipment and intangible assets	700	2.3%	0	-0.5%	700	2.3%	657	2.3%	270	5.7%	927	2.8%
Segment EBITDA	41	0.1%	-259	n.a.	-218	-0.7%	-1,294	-4.5%		-1,695 -35.6%	-2,988	-8.9%

(9) Intangible assets and property, plant and equipment

Investments in the third quarter of 2020 were limited to minor replacement investments.

(10) Inventories

Inventories were down slightly to EUR 12.3 million as of 30 September 2020 (31 December 2019: EUR 13.4 million).

(11)Equity

Issued capital

The issued capital of elumeo SE as of 30 September 2020 amounted to EUR 5,500,000 (31 December 2019: 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 2019.

Capital reserve

The capital reserve of elumeo SE as of 30 September 2020 amounted to EUR 34,439 thousand and increased compared to 31 December 2019 (EUR 34,423 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 31 December 2019.

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.

There were no other significant changes compared to the disclosures as of 31 December 2019.

(12) Financial debt

As of 31 December 2019, elumeo SE had loan liabilities of EUR 0.5 million, which were repaid as scheduled in the first quarter of 2010.

(13) Other financial liabilities

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.

(14) Deferred taxes

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.

(15) 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

On 1 October 2020, elumeo SE was informed that the date for the oral hearing of the lawsuit filed by SWM Treuhand AG against elumeo SE for payment of damages in the amount of EUR 10 million has been postponed to 3 March 2021. This lawsuit was explained in the 2019 Consolidated Financial Statements. The Executive Board continues to consider the aforementioned bases of claim to be insubstantial and legally unenforceable. All other lawsuits filed by OSH Strategy Holding AG and Mr. Don Kogen against elumeo SE were won by elumeo SE. elumeo SE will provide information on the further course of events at https://www.elumeo.com/ir/publications/other-publications.

On 19 October 2020, elumeo SE and Juwelo Deutschland GmbH received legal action brought by former employees of Juwelo Italia srl. These actions allege that the control over the Italian subsidiary was assumed by the management of the parent companies. The management of elumeo considers the lawsuit to be hopeless.

The Executive Managing Director and CFO of elumeo SE, Bernd Fischer, has informed the Executive Board that he would like to resign from his position as of 31 March 2021. On 23 September 2020, Dr. Riad Nourallah was appointed Executive Managing Director of elumeo SE as of 1 November 2020. As CFO, he will take over the areas of responsibility from Bernd Fischer in the future. Dr. Nourallah has worked for the elumeo Group before.

Risk and Opportunity Report

The elumeo Group presented its risk management system in detail in the 2019 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

The still continuing effects of the COVID-19 crisis are preventing elumeo SE from reaching its original goals for 2020. The main reason for this is the delivery delays in the supply chain managed just-intime by elumeo, which the company suffered in the spring of 2020.

Therefore, elumeo already implemented extensive countermeasures at the beginning of March. The supply chains were reorganised, working from home was introduced where possible and, since 1 April 2020, the daily live broadcasting time has been shortened from 18 to 12 hours. In addition, elumeo has introduced short-time working throughout the Group. In August, a company-wide job reduction programme also created the preconditions for being able to operate on a lower and more profitable cost basis in the long term even if short-time working is no longer in place.

This has led to significant cost savings since April. The shortening of the live broadcast time was well received by our customers. From the second quarter of 2020 on, elumeo has been able to significantly reduce its operating costs and improve its margins, both compared to the previous quarter and to the previous year, thanks to the far-reaching measures taken. The web shop, in particular, has performed well above expectations and made a significant contribution to improving operating performance.

The forecast compared to the previous year refers to the segments Sales Germany and Other as well as Group functions & eliminations excluding the closed site in Rome.

elumeo published an ad hoc announcement according to Art. 17 (1) MAR on 17 September 2020. In it, the forecast for financial year 2020 was raised. This was due to the continued positive development in the third quarter of 2020.

On the basis of the development in the second and third quarters of 2020, elumeo continues to assume that overall sales will rise in the low single-digit percentage range compared to the previous year. At the same time, the company expects gross profit to increase in the low double-digit % range. For total segment EBITDA, the management expects a result between a mid-6-digit negative amount and break-even (previous year: total segment EBITDA for 2019: EUR -2.1 million). In particular, recent considerable difficulties in the just-in-time supply chain could impair the previous positive development of margins and earnings.

This forecast is based on the following conditions: Firstly, elumeo assumes that the measures of the Federal Government to overcome the COVID-19 crisis, in particular those concerning short-time work, will be maintained in the form agreed upon. Secondly, it is of crucial importance that elumeo is able to successfully manage its newly configured supply chain in its current form and that no further deterioration occurs. Thirdly, the forecast is based on the assumption that the good demand from customers will remain stable. It cannot be ruled out that the ongoing COVID-19 crisis will again lead to massive bottlenecks in product supply. These could jeopardise an even result (total segment EBITDA).

In order to be able to guarantee the solvency of the Group at all times, it will be necessary to reduce the inventories owned by the elumeo Group in 2020 in line with the course of business. With the corresponding options for reducing inventories, the elumeo Group can react flexibly and at short notice to further economic developments. The Executive Board of the elumeo Group has prepared various scenarios in this context. In all scenarios, the company has sufficient liquidity to service its liabilities as they fall due.

Condensed Interim Consolidated Financial Statements

Consolidated Statement of Income (unaudited)

for the period from 1 July to 30 September 2020 (Q3 2020) and for the period from 1 January to 30 September 2020

EUR thousand % of revenue	Q3 2020		Q3 2019 restated*		QoQ in %	1 Jan - 30 Sep 2020		1 Jan - 30 Sep 2019 restated*		9Mo9M in %
Revenue	10,129 100.0%		10,205 100.0%		-0.7%	30,115 100.0%		33,468 100.0%		-10.0%
Cost of goods sold	4,558	45.0%	5,275	51.7%	-13.6%	14,417	47.9%	18,457	55.1%	-21.9%
Gross profit	5,571	55.0%	4,930	48.3%	13.0%	15,698	52.1%	15,011	44.9%	4.6%
Selling expenses	3,873	38.2%	4,516	44.3%	-14.2%	12,078	40.1%	13,637	40.7%	-11.4%
Administrative expenses	1,446	14.3%	1,927	18.9%	-24.9%	4,605	15.3%	5,382	16.1%	-14.4%
Other operating income	8	0.1%	125	1.2%	-93.9%	5 1	0.2%	886	2.6%	-94.3%
Other operating expenses	70	0.7%	98	1.0%	-29.2%	74	0.2%	373	1.1%	-80.3%
Earnings before
interest and taxes (EBIT)	189	1.9%	-1,485 -14.6%		112.8%	-1,007	-3.3%	-3,496 -10.4%		71.2%
Interest income	0	0.0%	0	0.0%	n.a.	0	0.0%	0	0.0%	n.a.
Interest and similar expenses	-32	-0.3%	-60	-0.6%	46.0%	-105	-0.3%	-202	-0.6%	47.9%
Financial result	-32	-0.3%	-60	-0.6%	46.5%	-105	-0.3%	-202	-0.6%	48.1%
Earnings before income taxes (EBT)	158	1.6%	-1,545	-15.1%	110.2%	-1,112	-3.7%	-3,699	-11.1%	69.9%
Income tax	0	0.0%	0	0.0%	n.a.	0	0.0%	0	0.0%	n.a.
Earnings for the period	158	1.6%	-1,545	-15.1%	110.2%	-1,112	-3.7%	-3,699	-11.1%	69.9%
Earnings of shareholders of elumeo SE	158	1.6%	-1,545	-15.1%	110.2%	-1,112	-3.7%	-3,699	-11.1%	69.9%
Earnings per share in EUR (basic and diluted)	0.03		-0.28		110.2%	-0.20		-0.67		69.9%

* Some of the figures presented here differ from the figures shown in the Quarterly Release for the 9-month period of 2019 due to the adjustment of prior year figures in connection with the discontinued operations PWK and UK.

Consolidated Statement of Comprehensive Income (unaudited)

for the period from 1 July to 30 September 2020 (Q3 2020) and for the period from 1 January to 30 September 2020

EUR thousand % of revenue	Q3 2020		Q3 2019 restated*		QoQ in %	1 Jan - 30 Sep 2020		1 Jan - 30 Sep 2019 restated*		9Mo9M in %
Earnings for the period	158	1.6%	-1,545	-15.1%	110.2%	-1,112	-3.7%	-3,699	-11.1%	69.9%
Differences from foreign currency translation of foreign subsidiaries	41	0.4%	-39	-0.4%	206.1%	41	0.1%	-43	-0.1%	195.5%
Other comprehensive income	41	0.4%	-39	-0.4%	206.1%	41	0.1%	-43	-0.1%	195.5%
Total comprehensive income	199	2.0%		-1,584 -15.5%	112.5%	-1,071	-3.6%	-3,742 -11.2%		71.4%
Total comprehensive income of shareholders of elumeo SE	199	2.0%	-1,584	-15.5%	112.5%	-1,071	-3.6%	-3,742	-11.2%	71.4%

* Some of the figures presented here differ from the figures shown in the Quarterly Release for the 9-month period of 2019 due to the adjustment of prior year figures in connection with the discontinued operations PWK and UK.

Consolidated Statement of Financial Position (unaudited)

as of 30 September 2020 and 31 December 2019

A S S E T S

Note	30 Sep 2020		31 Dec 2019		Change
EUR thousand % of balance sheet total					in %
Non-current assets
(13) Intangible assets	454	2.2%	480	2.2%	-5.4%
(13) Property, plant and equipment	4,122	19.8%	4,483	20.8%	-8.1%
(15) Other financial assets	242	1.2%	177	0.8%	36.8%
(16) Other non-financial assets	236	1.1%	247	1.1%	-4.1%
Total non-current assets	5,054	24.3%	5,386	25.0%	-6.2%
Current assets
(14) Inventories	12,345	59.4%	13,392	62.0%	-7.8%
Trade receivables (14)	1,416	6.8%	1,398	6.5%	1.2%
Receivables due from related parties (14)	2	0.0%	1	0.0%	77.4%
(15) Other financial assets	125	0.6%	198	0.9%	-36.7%
(16) Other non-financial assets	674	3.2%	328	1.5%	105.5%
(16) Cash and cash equivalents	1,164	5.6%	880	4.1%	32.3%
Total current assets	15,725	75.7%	16,197	75.0%	-2.9%
Total assets	20,779	100.0%	21,583	100.0%	-3.7%

Consolidated Statement of Financial Position (unaudited)

as of 30 September 2020 and 31 December 2019

E Q U I T Y & L I A B I L I T I E S

Note EUR thousand % of balance sheet total	30 Sep 2020		31 Dec 2019		Change in %
Equity
(17) Issued capital	5,500	26.5%	5,500	25.5%	0.0%
(17),(18) Capital reserve	34,439	165.7%	34,423	159.5%	0.0%
Accumulated losses	-39,075 -188.1%		-37,963 -175.9%		-2.9%
(12) Foreign currency translation reserve	2,200	10.6%	2,159	10.0%	1.9%
(17) Total equity	3,064	14.7%	4,118	19.1%	-25.6%
Attributable to shareholders of elumeo SE	3,064	14.7%	4,118	19.1%	-25.6%
Non-current liabilities
(19) Other financial liabilities	2,474	11.9%	2,596	12.0%	-4.7%
(20) Provisions	4,553	21.9%	4,528	21.0%	0.6%
(22) Other non-financial liabilities	25	0.1%	25	0.1%	0.0%
Total non-current labilities	7,052	33.9%	7,148	33.1%	-1.3%
Current liabilities
(18) Financial debt	0	0.0%	447	2.1%	-100.0%
(19) Other financial liabilities	383	1.8%	319	1.5%	19.9%
(20) Provisions	669	3.2%	1,400	6.5%	-52.2%
(20) Liabilities due to related parties	0	0.0%	43	0.2%	-100.0%
Trade payables	6,365	30.6%	5,639	26.1%	12.9%
Advance payments received	298	1.4%	248	1.1%	19.9%
(21) Tax liabilities	100	0.5%	100	0.5%	0.0%
(22) Other non-financial liabilities	2,848	13.7%	2,119	9.8%	34.4%
Total current liabilities	10,663	51.3%	10,316	47.8%	3.4%
Total equity & liabilities	20,779	100.0%	21,583	100.0%	-3.7%

Consolidated Statement of Changes in Equity (unaudited)

for the period from 1 January to 30 September 2020

Reason for change	Note Attributable to shareholders of elumeo SE
EUR thousand	Issued 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	(17)	1 6			1 6
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 Changes in Equity (continuation) (unaudited)

for the period from 1 January to 30 September 2019

Reason for change Note	Attributable to shareholders of elumeo SE
EUR thousand │ restated*	Issued capital	Capital reserve	Accumu- lated losses	Foreign currency translation reserve	Total equity
1 January 2019	5,500	34,380	-35,379	2,175	6,677
Equity-settled (17) share-based remuneration		37			37
Other comprehensive income Earnings for the period			-3,699	-43	-43 -3,699
Total comprehensive income			-3,699	-43	-3,742
30 September 2019	5,500	34,416	-39,077	2,132	2,971

Consolidated Statement of Cash Flows (unaudited)

for the period from 1 January to 30 September 2020

Note	1 Jan - 30 Sep 2020	1 Jan - 30 Sep 2019	9Mo9M in %
EUR thousand		restated*
Earnings before taxes (EBT)	-1,112	-3,699	69.9%
+/- Depreciation and amortization
(13) on non-current assets	+700	+927	-24.5%
(20) +/- Increase/decrease in provisions	-672	-432	-55.5%
+/- Increase/decrease in provisions for in terms of nature, amount and utilization uncertain obligations in connection with the
(20) discontinued operation PWK	-59	0	n.a.
(17) +/- Equity-settled share-based remuneration	+16	+37	-55.8%
+/- Other non-cash expenses/income	+42	-768	105.5%
+/- Loss/gain on disposal of non-current assets (13)	0	-9	100.0%
Interest expenses paid related to - prior accounting periods	-1	0	n.a.
Non-cash current interest expenses +	+26	+79	-67.0%
(14) -/+ Increase/decrease in inventories	+1,047	+5,788	-81.9%
-/+ Increase/decrease in other assets	-346	+690	-150.2%
+/- Increase/decrease in other liabilities	+1,460	-2,524	157.9%
(23) Cash flow from operating activities =	+1,102	+89	n.a.

Consolidated Statement of Cash Flows (continuation) (unaudited)

for the period from 1 January to 30 September 2020

	Note EUR thousand	1 Jan - 30 Sep 2020	1 Jan - 30 Sep 2019 restated*	9Mo9M in %
-	Payments for investments in
	(13) intangible assets	-48	-8	-472.2%
-	Payments for investments in
	(13) property, plant and equipment	-84	-132	36.6%
=	(23) Cash flow from investing activities	-132	-131	-0.3%
-	Payments for the redemption of financial debt (18)	-446	-1,500	70.2%
-	Payments (net) for redemption of
	(19) other financial liabilities	-239	-518	54.0%
=	(23) Cash flow from financing activities	-685	-2,018	-66.1%
	+/- Net increase/decrease in
	cash and cash equivalents	+285	-2,060	113.8%
	+/- Effects of foreign currency translation on
	cash and cash equivalents	-1	+3	-129.8%
	+/- Changes in cash and cash equivalents due to
	changes in scope of consolidation in connection
	with the discontinued operation UK under IFRS 5	0	-121	100.0%
+	Cash and cash equivalents at beginning of period	+880	+2,608	-66.3%
=	Cash and cash equivalents at end of period	+1,164	+430	170.9%

Group Segment Reporting (unaudited)

Segment information

The following tables show the development of the segment-specific financial performance indicators of the segment Continuing operations: The determination of opportunity costs, which were determined in previous periods for comparison purposes with financial year 2018 due to the closure of the manufactory in Thailand, will be waived as of 2020, as the effect is no longer significant by comparison.

1 Jan - 30 Sep 2020 EUR thousand % of revenue	Sales division	Group functions & elimi nations	Segment information (continuing operations)
Revenue	30,115	0	30,115 100.0%
Cost of goods sold	14,438	-21	14,417	47.9%
Gross profit	15,677	2 1	15,698	52.1%
Selling expenses	12,078	0	12,078	40.1%
Administrative expenses	3,051	1,538	4,589	15.2%
Other operating income	44	7	51	0.2%
Other operating expenses	0	0	0	0.0%
Earnings before interest and taxes (EBIT)	592	-1,510	-917	-3.0%
Interest income	0	0	0
Interest and similar expenses	-76	-4	-80	0.0% -0.3%
Financial result	-76	-4	-80	-0.3%
Earnings for the period	517	-1,514	-997	-3.3%
Earnings of shareholders of elumeo SE	517	-1,514	-997	-3.3%
Earnings before interest and taxes (EBIT)	592	-1,510	-917	-3.0%
Depreciation and amortization on property, plant and equipment and intangible assets	694	5	700	2.3%
Segment EBITDA	1,287	-1,504	-218	-0.7%

1 Jan - 30 Sep 2019 restated* EUR thousand % of revenue	Sales division	Group functions & elimi nations	Segment information (continuing operations)
Revenue	33,468	0	33,468 100.0%
Cost of goods sold	18,475	-18	18,457	55.1%
Gross profit	14,992	18	15,011	44.9%
Selling expenses	13,637	0	13,637	40.7%
Administrative expenses	3,577	1,768	5,345	16.0%
Other operating income	34	22	56	0.2%
Other operating expenses	0	0	0	0.0%
Earnings before interest and taxes (EBIT)	-2,187	-1,728	-3,915	-11.7%
Interest income	0	0	0	0.0%
Interest and similar expenses	-123	-42	-165	-0.5%
Financial result	-123	-42	-165	-0.5%
Earnings before income taxes (EBT)	-2,310	-1,770	-4,080	-12.2%
Earnings for the period	-2,310	-1,770	-4,080	-12.2%
Earnings of shareholders of elumeo SE	-2,310	-1,770	-4,080	-12.2%
Earnings before interest and taxes (EBIT)	-2,187	-1,728	-3,915	-11.7%
Depreciation and amortization on property, plant and equipment and intangible assets	915	12	927	2.8%
Segment EBITDA	-1,272	-1,716	-2,988	-8.9%

Q3 2020 EUR thousand % of revenue	Sales division	Group functions & elimi nations	Segment information (continuing operations)
Revenue	10,129	0	10,129 100.0%
Cost of goods sold	4,559	-1	4,558	45.0%
Gross profit	5,570	1	5,571	55.0%
Selling expenses	3,873	0	3,873	38.2%
Administrative expenses	989	454	1,443	14.2%
Other operating income	5	2	8	0.1%
Other operating expenses	0	0	0	0.0%
Earnings before interest and taxes (EBIT)	713	-451	262	2.6%
Interest income	0	0	0	0.0%
Interest and similar expenses	-25	0	-25	-0.2%
Financial result	-24	0	-24	-0.2%
Earnings for the period	689	-451	238	2.3%
Earnings of shareholders of elumeo SE	689	-451	238	2.3%
Earnings before interest and taxes (EBIT)	713	-451	262	2.6%
Depreciation and amortization on property, plant and equipment and intangible assets	226	2	228	2.3%
Segment EBITDA	939	-449	490	4.8%

Q3 2019 restated* EUR thousand % of revenue	Sales division	Group functions & elimi nations	Segment information (continuing operations)
Revenue	10,205	0	10,205 100.0%
Cost of goods sold	5,277	-2	5,275	51.7%
Gross profit	4,929	2	4,930	48.3%
	4,267	249	4,516	44.3%
Selling expenses	1,448	472	1,920	18.8%
Administrative expenses Other operating income	9	17	27	0.3%
	0	0	0	0.0%
Other operating expenses
Earnings before interest and taxes (EBIT)	-777	-702	-1,479	-14.5%
Interest income	0	0	0	0.0%
Interest and similar expenses	-39	-8	-47	-0.5%
Financial result	-39	-8	-47	-0.5%
Earnings before income taxes (EBT)	-816	-710	-1,526	-15.0%
Earnings for the period	-816	-710	-1,526	-15.0%
Earnings of shareholders of elumeo SE	-816	-710	-1,526	-15.0%
Earnings before interest and taxes (EBIT)	-777	-702	-1,479	-14.5%
Depreciation and amortization on property,
plant and equipment and intangible assets	298	2	299	2.9%
Segment EBITDA	-480	-700	-1,180	-11.6%

Berlin, 13 November 2020

elumeo SE

The Executive Managing Directors

Bernd Fischer 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 Investor Relations / Publications /

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.