Bike24 Holding AG

Investor Presentation • Nov 6, 2024

Q3 2024 EARNINGS CALL PRESENTATION
November 6, 2024

This document has been prepared by Bike2A Holding AG (the "Company" and, together with its subsidiaries, the "Group"). All material contained in this document and information presented is for information purposes only and must not be relied upon for any purpose. This document does not purport to be a full or complete description of the Company or the Group. This document does not, and is not intended to, constitute or form part of, and should not be construed as, an offer to sell, or a solicitation of an offer to purchase, subscribe for or otherwise acquire, any securities of the Company, nor shall it or any part of it form the basis of or be relied upon in connection with or act as any inducement or recommendation to enter into any contract or commitment or investment decision or other transaction whatsoever. This document is not directed at, or intended for distribution to or use by, any person or entity that is a citizen or resident or located in any locality, state, country or other jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation or which would require any registration or licensing within such jurisdiction. Persons into whose possession this document comes should inform themselves about, and observe, any such restrictions.

No representation, warranty or undertaking, express or implied, is made by the Company or any other Group company as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or the opinions contained herein, for any purpose whatsoever. No responsibility, obligation or liability is or will be accepted by the Company, any other Group company or any of their officers, directors, employees, affiliates, agents or advisers in relation to any written or oral information provided in this document or in connection with the document. All information in this document is subject to verification, correction, completion, updating and change without notice. Neither the Company, nor any other Group company undertake any obligation to provide the recipient with access to any additional information or to update this document or any information or to correct any inaccuracies in any such information.

A significant portion of the information contained in this document, including market data and trend information, is based on estimates or expectations of the Company, and there can be no assurance that these estimates or expectations are or will prove to be accurate. Where any information and statistics are quoted from any external source, such information or statistics should not be interpreted as having been adopted or endorsed by the Company or any other person as being accurate. All statements in this document attributable to third party industry experts represent the Company's interpretation of data, research opinion or viewpoints published by such industry experts, and have not been reviewed by them. Each publication of such industry experts speaks as of its original publication date and not as of the date of this document.

Certain statements contained in this document may constitute "forward-looking statements" that involve a number of risks and uncertainties. Forward-looking statements are generally identifiable by the use of the words "may", "will", "should", "plan", "expect", "anticipate", "estimate", "believe", "intend", "project", "goal" or "target" or the negative of these words or other variations on these words or comparable terminology. Forward-looking statements are based on assumptions, forecasts, estimates, projections, opinions or plans that are inherently subject to significant risks, as well as uncertainties and contingencies that are subject to change. No representation is made or will be made by the Company that any forward-looking statement will be achieved or will prove to be correct. The actual future business, financial position, results of operations and prospects may differ materially from those projected or forecast in the forward-looking statements. Neither the Company nor any of the underwriters nor any of their respective affiliates nor any other person assume any obligation to update, and do not expect to publicly update, or publicly revise, any forward-looking statements or other information contained in this release, whether as a result of new information, future events or otherwise, except as otherwise required by law.

This document also contains certain financial measures that are not recognized under International Financial Reporting Standards ("IFRS"), including adjusted EBITDA. These non-IFRS measures are presented because the Company believes that they and similar measures are widely used in the markets in which it operates as a means of evaluating the Company's operating performance and financing structure. They may not be comparable to other similarly titled measures of other companies and are not measurements under IFRS or other generally accepted accounting principles.

General Update

Business Update
Outlook
Q\&A

Q3 2024 AT A GLANCE

REVENUE GROWTH OF +3\% AND ADJ. EBITDA MARGIN OF 4.0\%

The strong third quarter of 2023 was outperformed once again in both revenue and adjusted EBITDA, due to a more focused marketing strategy and an increase in the Gross Margin.

SUBSTANTIAL GROWTH IN ALL EUROPEAN MARKETS

The continuous improvement of our offering for our customers leads to growth in all core markets (DACH +3\% / Spain, Italy, France \& BENELUX +6\% / Rest of Europe +13\%). Especially sales growth in BENELUX remains strong at 20\% in the second year of localization.

CORE ASSORTMENT PAC WITH GROWTH AND IMPROVED MARGINS

Revenue growth for Parts, Accessories and Clothing of 2\%, along with an increase in gross profit of $9 \%$, demonstrates the success of the revised pricing strategy and the gradual recovery in the enthusiast bike market.

FULL-BIKE SALES WITH ONGOING STRONG GROWTH OF +6\%

Sales of bicycles are very successful despite strong headwinds in the market.

STRONG FREE CASH FLOW GENERATION OF EUR +6.1m (Q3 2023 4.7m)

Driven by improved EBITDA and continued improved inventory position. Inventory was reduced significantly vs. Q3 2023 (-21\%).

GUIDANCE FOR FY 2024 REITERATEO

Guidance assumes sales growth of 1 - 5\% and adj. EBITDA margin of 0.7 - 4.2\%. The revenue growth is expected to be at the lower end of the guidance.

General Update

Business Update
Outlook
Q\&A

ACTIVE CUSTOMERS MIX CHANGED POSITIVELY

CHANGE IN PRICING STRATEGY LED TO A LOSS OF BARGAIN HUNTERS

INCREASE IN REVENUE ALONG WITH A RISE IN GROSS MARGIN

GROWTH IN FULL-BIKE SALES DESPITE HEADWINDS IN THE MARKET

Q3 REVENUES BY CATEGORY

(IN EUR M)

$+5 \%$

$48.5$

$032023032024$

Q3 GROUP REVENUES
(IN EUR M)

62.9

61.1

Q3 2023

Q3 2024

Bikes PAC

CORE MARKETS LEADING THE WAY

LOCALIZED MARKETS AND REST OF EEA BACK TO GROWTH

Q3 REVENUE BY GEOGRAPHY

(IN EUR M)

CONTINUED SIGNIFICANT INVENTORY REDUCTION

FURTHER PROGRESS TOWARDS 25\% OF ANNUAL SALES IN STOCK

INCOME STATEMENT DETAILS

SM G Q3 AT A GLANCE

in \% of Revenues	YTD 2024	YTD 2023	Change	Q3 2024	Q3 2023	Change	Strategic price adjustments across all segments
Gross Margin	26.9\%	25.0\%	1.9pp	27.5\%	27.1\%	0.4pp
Performance Marketing	$(1.2 \%)$	$(1.4 \%)$	0.2pp	$(1.0 \%)$	$(1.4 \%)$	0.4pp	Concentrated marketing activities
Selling Costs	$(8.7 \%)$	$(9.3 \%)$	0.6pp	$(9.0 \%)$	$(8.8 \%)$	$(0.2 p p)$
Contribution Margin	17.0\%	$14.3 \%$	2.7pp	17.5\%	$16.9 \%$	0.6pp
Personnel Expenses ${ }^{1}$	$(11.1 \%)$	$(10.5 \%)$	$(0.6 p p)$	$(9.9 \%)$	$(9.7 \%)$	$(0.2 p p)$
Miscellaneous Expenses ${ }^{1}$	$(3.8 \%)$	$(3.5 \%)$	$(0.3 p p)$	$(3.6 \%)$	$(3.3 \%)$	$(0.3 p p)$
Adj. EBITDA Margin ${ }^{1}$	2.1\%	$0.2 \%$	1.8pp	4.0\%	$3.9 \%$	0.1pp

${ }^{1}$ Adjustments of €2,685k for YTD 2024 (YTD 2023: €2,837k) and €745k for Q3 2024 (Q3 2023: €573k) are mainly share option-based bonuses and SAP implementation costs, of which €1,029k for YTD 2024 (€730k YTD 2023) and €406k for Q3 2024 (€295 Q3 2023) for personnel expenses and €1,656k for YTD 2024 (€2,107k YTD 2023) and €406k for Q3 2024 (€295k Q3 2023) are adjusted for miscellaneous expenses. Rounding differences may apply.

General Update

Business Update

Outlook

Q\&A

SUMMARY: BACK TO PROFITABILITY

LAST YEAR'S STRONG THIRD QUARTER TOPPED

REFOCUSING ON PROFITABILITY

A significant reduction in discount promotions led to increased profitability in all three quarters, initially impacting revenue growth negatively in the first quarter but contributing to revenue growth in the last two quarters.

STRONG FREE CASH FLOW GENERATION

Driven by focus on lower working capital and improvements in operating business. Basis for reducing BIKE24's debt by EUR 6 million. Further debt reduction of EUR 2 million planned for the last quarter of 2024.

STRATEGIC EXPANSION FUELS BIKE24'S GROWTH

BIKE24's strategic initiatives-expanding the business model across Europe and strengthening the full-bike segment-have been highly successful and are the main drivers of the positive performance over the last three quarters.

FULL YEAR 2024 - GUIDANCE CONFIRMED

THE REVENUE GROWTH IS EXPECTED TO BE AT THE LOWER END OF THE GUIDANCE.

	2024
REVENUE GROWTH (YDY)	$1-5 \%$
ADJ. EBITDA MARGIN	$0.7-4.2 \%$

General Update

Business Update
Outlook
QGA