B&S Group S.A.

Quarterly Report • May 15, 2023

Q1 2023 trading update B&S Group S.A.

Organic growth across segments drivesturnover growth of 16.0% in first quarter 2023

Mensdorf, Luxembourg – May 15, 2023 (07:00 CET)

B&S Group S.A. ("B&S") tech company in the consumer goods industry, today publishes its trading update for the first quarter of 2023 ("Q1 2023").

Highlights Q1 2023 (compared to Q1 2022)

• Overall turnover increased by 16.0% to € 525.9 M (13.6% at constant currency), of which 14.7% organically (12.3% at constant currency);
• Overall gross profit margin as a percentage of turnover remained stable;
• Staff costs increased due to the growth in workforce and wages ;
• Other operating expenses increased mainly due to advisory and marketing costs.

Bas Schreuders, CEO: "B&S has gotten off to a good start in 2023. We diligently executed on our strategy, leading to a 16% increase in turnover for the quarter. Whereas turnover in the Food segment was stable, all other segments showed strong increases, with an outperformance in Retail and Personal Care. While inflation continues to impact both our cost base as well as consumer behavior, we were able to keep our gross profit margins.

We continued to grow our workforce compared to last year as a result of the acquisition of the Europe Beauty Group, the opening of new logistic centers for FragranceNet to accommodate further growth and the opening of new airport shops in the Retail segment.

Our balance sheet and liquidity remained healthy in Q1 2023.We will continue to develop new business models and evolve our digital backbone to accommodate for further growth."

Segmental review

The 2023 turnover levels exceeded 2022 levels by 16.0%, which mainly originated from organic growth. All segments, except for Food which remained stable, contributed to increased turnover level.

€ million	Q1 2023 reported	Q1 2023 organic	Q1 2023 acquisitive	Q1 2023 FX	Q1 2022 reported	Δ (%) reported	Δ (%) constant
							currency
B&S Liquors	164.0	19.6	-	3.9	140.5	16.7%	14.0%
B&S Beauty	169.8	8.5	6.0	5.4	149.9	13.3%	9.7%
B&S Personal Care	89.1	21.4	-	-	67.7	31.6%	31.6%
B&S Food	70.3	(1.2)	-	1.3	70.2	0.1%	(1.7%)
B&S Health	12.0	1.5	-	-	10.5	14.3%	14.3%
B&S Retail	20.7	6.1	-	0.1	14.5	42.8%	42.1%
TOTAL TURNOVER	525.9	55.9	6.0	10.7	453.3	16.0%	13.6%

Turnover split per segment

B&S Liquors

The 16.7% growth in turnover for the Liquor segment when compared to Q1 2022, was mainly driven by increased demand for specialty items in the international market. The gross profit margin however decreased due to increased product availability in the market, a trend which was seen during the latter part of Q4-2022. The wholesale business realized a turnover increase of 2.1%.

B&S Beauty

The B2C business, including Europe Beauty Group, which was acquired in 2022, was the main contributor to the turnover growth for the Beauty segment. In Q1 2023, margin levels remained stable compared to Q1 2022, back to normalised pre-COVID levels, with marketing and shipping expenses at par compared to the same period last year.

B&S Personal Care

Turnover for this segment increased by 31.6% as a result of its well managed stock position in a tight market. The broad variety of in-stock items, including the enhanced Private Label assortment, enabled the segment to meet increased demand of its customers.

B&S Food

Overall turnover was flat compared to Q1 2022. Our Food Service distribution showed a strong turnover increase compared to Q1 2022, as a result of the post-COVID recovery of the business. Within the Brand Distribution services turnover decreased, yet gross margin increased. This resulted from the increased focus on margin development instead of volume growth.

B&S Health

Turnover for the segment increased by 14.3% compared to Q1 last year. This is mainly the result of continued recovery of the travel related vaccine business . Market conditions in Q1 2023 improved slightly compared to 2022, although there continue to be shortages of supplies in the market.

B&S Retail

Compared to Q1 2022, which was impacted by the aftermath of the COVID-19 crisis, turnover increased significantly (+42.8%). Last year, the number of stores opened and the number of flight movements was significantly lower than this year.

Cash flow & financial position

Our balance sheet and liquidity remained healthy in Q1 2023. Working capital and working capital in days decreased when compared to the first quarter last year. This is in line with increased availability (as compared to Q1 2022), increased focus on stock rotation and working capital management.

Outlook

We continue to see uncertainties related to inflation and we expect consumer buying behavior to remain a factor impacting turnover and margin levels in 2023. For the remainder of 2023, B&S projects to continue its topline growth yet at a less steep growth percentage than in 2022, and a slight improvement in gross margin when compared to 2022. This will be driven by focusing on higher-margin business rather than volume-driven sales. Staff costs are expected to continue to increase and we will enhance our focus on cost control management.

Conference call

Our CEO Bas Schreuders and CFO Mark Faasse will host an analyst call at 10:30 CET this morning to discuss the Q1 2023 trading update.

The call will be recorded and archived for playback purposes and will be available on our website shortly after the call.

Financial calendar

May 22, 2023	Annual General Meeting (09:30 CET)
May 24, 2023	Ex-dividend date
May 25, 2023	Record date
July 4, 2023	Payment date
August 21, 2023	Half Year 2023 results (07:00 CET)
November 6, 2023	9M 2023 trading update (07:00 CET)

Annual General Meeting 2023

B&S Group S.A. holds its Annual General Meeting on May 22, 2023. More information can be found in the convening notice that is published on the corporate website.

Appendix 1: Non-IFRS Financial Measures Glossary

Gross profit margin	Gross profit margin is defined as realised turnover minus purchase value of items sold
EBITDA	EBITDA is defined as earnings before interest, taxes, depreciation and amortisation
EBITDA Margin	EBITDA Margin is defined as EBITDA as a percentage of turnover
Working capital	Working capital is defined as Inventory plus Trade receivables minus Trade payables
Net Debt	Net debt is defined as interest bearing liabilities minus cash and cash equivalents
ROIWC	Return on invested working capital defined as the LTM EBITDA divided by Working Capital

Contact Investor Relations

Uneke Dekkers / CFF Communications M: +31(0) 650261626 E: uneke.dekkers@cffcommunications.nl /investor.relations@bs-group-sa.com

About B&S

B&S exists to make premium consumer goods available to everyone, anywhere. We believe that getting access to consumer products that bring joy and comfort into everyday lives, should be easy around the globe. With our ever-growing international network and physical local presence, we bring suppliers, brand owners, logistics partners, wholesalers, retailers and consumers all over the world together that are in many ways difficult to connect.

We work with the world's premium consumer brands in beauty, liquors, personal care, food, health and consumer electronics to serve millions of consumers daily - either directly or through our wholesaler and reseller partners. Powered by our high-tech platform and arising from supply chain expertise, we provide sourcing, warehousing, distribution, digital commerce, marketing and brand development solutions that enhance choice, speed up delivery, drive conversion and increase reach.

Additional information can be found on our website and on LinkedIn.

Forward Looking Statement

This press release includes forward-looking statements. Other than reported financial results and historical information, all statements included in this press release, including, without limitation, those regarding our financial position, business strategy and management plans and objectives for future operations, are, or may be deemed to be, forward-looking statements. These forward-looking statements may be identified by the use of forward-looking terminology, including the terms ''believes'', ''estimates'', ''plans'', ''projects'', ''anticipates'', ''expects'', ''intends'', ''may'', ''will'' or ''should'' or, in each case, their negative or other variations or comparable terminology, or by discussions of strategy, plans, objectives, goals, future events or intentions. These forward-looking statements are based on our current expectations and projections about future events and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements. Many of these risks and uncertainties relate to factors that are beyond B&S's ability to control or estimate precisely, such as future market conditions, the behaviour of other market participants and the actions of governmental regulators. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release and are subject to change without notice. Other than as required by applicable law or the applicable rules of any exchange on which our securities may be traded, we have no intention or obligation to update forward-looking statements.