HelloFresh SE — Earnings Release 2019

Nov 5, 2019

HELLOFRESH SE Q3 2019 RESULTS
November 5^th, 2019

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This document includes certain financial measures not presented in accordance with IFRS, including, but not limited to, AEBITDA. These financial measures are not measures of financial performance in accordance with IFRS and may exclude items that are significant in understanding and assessing the Company's financial results. Therefore, these measures should not be considered in isolation or as an alternative to result for the period or other measures of profitability, liquidity or performance under IFRS. You should be aware that the Company's presentation of these measures may not be comparable to similarly titled measures used by other companies, which may be defined and calculated differently. See the appendix for a reconciliation of certain of these non-IFRS measures to the most directly comparable IFRS measure.

2 important Management announcements, effective 1 Jan, 2020

Edward Boyes CCO Management Board Uwe Voss US CEO

Q3 Revenue in $\epsilon$ m

Biggest Revenue quarter ever, despite typically slow seasonality in Q3

Strong yoy growth in both segments during the summer and especially in September

Accelerating growth in the US is a key driver

% of Revenue

Seasonally down, but strong yoy expansion

Continued yoy expansion in both segments

COGS efficiencies continue to drive margin expansion

$+1.6$ pp

25.9%

O3

2018

27.5%

$Q₃$

Source: Q3 2019 Financial Statement 1. Excluding Share Based Compensation expenses

Q3 Marketing¹

% of Revenue

Significant marketing leverage, despite strong customer growth

Attractive CACs achieved during Q3 across most markets

Mix shift from paid marketing to price investments

Meaningfully positive AEBITDA despite seasonality

AEBITDA positive on Group level as well as in both segments

Operating cash flow has already turned positive YTD

2019 full year guidance update

	Initial Guidance (Mar. 2019)	Narrowed Guidance (Aug. 2019)	Increased Guidance (Nov. 2019)
Const. Currency Rev. growth	$25\% - 30\%$	28% - 30%	$31\% - 33\%$
Contribution margin	$> 27.0\%$	28.0% - 29.0%	28.0% - 29.0%
AEBITDA margin	$(2.0)\% - 1.0\%$	$(1.0)\% - 1.0\%$	$0.50\% - 1.75\%$
			$10 -$

	Q3 18	Q3 19
Active Customers (m)	1.05	1.48
Average Order Rate	3.2	3.4
Average Order Value (€)	49.4	49.4
Average Order Value constant currency (€)	49.4	47.2
Revenue1	29.5%	CC4 38.4%
(€m)	29.7%	44.9% €
% YoY revenue growth1
Contribution margin2	25.8%	27.5%
(€m) %
Revenue
AEBITDA3 (€m)	(10.7)%	2.6%
% Revenue

1.Revenue post promotional discounts, customer credits, refunds and excluding VAT; YoY stands for year on year and compares the respective quarter with the same quarter of the previous year

2.Contribution margin is defined as revenue less cost of goods sold and fulfilment expenses, excluding share-based compensation expenses

3.AEBITDA is calculated by adjusting EBITDA for special items and share-based compensation expenses; AEBITDA margin is defined as % of revenue

4.Based on constant currency

	Q3 18	Q3 19
Active Customers (m)	0.78	1.13
Average Order Rate	3.7	3.6
Average Order Value (€)	45.2	47.0
Average Order Value constant currency (€)	45.2	47.3
Revenue1	59.0%	47.1% CC4
(€m)	54.5%	46.8% €
% YoY revenue growth1
Contribution margin2 (€m)	26.5%	27.7%
% Revenue
AEBITDA3 (€m)	1.2%	10.7%
% Revenue

1.Revenue post promotional discounts, customer credits, refunds and excluding VAT; YoY stands for year on year and compares the respective quarter with the same quarter of the previous year

2.Contribution margin is defined as revenue less cost of goods sold and fulfilment expenses, excluding share-based compensation expenses

3.AEBITDA is calculated by adjusting EBITDA for special items and share-based compensation expenses; AEBITDA margin is defined as % of revenue

4.Based on constant currency