windeln.de SE — Management Reports 2018

Jun 25, 2018

Bericht des Vorstands

windeln.de SE Hauptversammlung, München 25. Juni 2018

Geschäftsjahr 2017 Dr. Nikolaus Weinberger – CFO

windeln.de im Überblick

Onlinehändler für Baby- und Kleinkinderprodukte für Kunden in Europa und China

6 europäische Länder + China	700.000+	50.000+
Deutschland, Österreich, Schweiz, Spanien, Portugal, Frankreich und China	Aktive Kunden in Europa und China	Produkte im Sortiment
1 Million+	12 Millionen+	rd. 180 Mio. Euro
Bestellungen in den letzten 12 Monaten	Seitenaufrufe in den letzten 12 Monaten	Umsatz in den letzten 12 Monaten

Umsatz	211,9 Mio. Euro (+8,8% gegenüber dem Vorjahr)
Deckungsbeitrag	10,1 Mio. Euro (Marge 4,8%)
Bereinigtes EBIT	-24,9 Mio. Euro (Marge -11,8%)
Liquidität	25,7 Mio. Euro (31.12.2017)

Wesentliche Finanzzahlen in der Übersicht

	Mio. Euro % von Umsätzen	2016	2017	Q1 2017*R	Q1 2018*	Fokus
	Umsätze	194,8	211,9	46,6	32,2	Nachhaltig profitabler Umsatz vor Umsatzwachstum
n e st Ko e	Bruttoertrag1	26,6%	24,7%	23,8%	24,7%	Steigerung Bruttoertragsmarge
	Logistik- und Versandkosten2	(17,4)%	(14,7)%	(15,7)%	(15,9)%	Lagerumzug aktuell pausiert
bl a Vari	Marketingkosten3	(7,0)%	(5,3)%	(5,6)%	(4,6)%	Marketingeffizienz steigern
	Deckungsbeitrag	4,6	10,1	1,2	1,3	Deckungsbeitrag soll in jedem
	Deckungsbeitrag	2,4%	4,8%	2,5%	4,1%	Land positiv sein
n- ei n e m	Sonstige Vertriebs- und Verwaltungskosten4	(31,3)	(35,1)	(7,7)	(6,5)	Reduzierung Vertriebs- und
st e o g k All	Sonstige Vertriebs- und Verwaltungskosten4	(16,1)%	(16,5)%	(16,6)%	(20,3)%	Verwaltungskosten
s nis e v b	Bereinigtes EBIT	(26,7)	(24,9)	(6,6)	(5,2)	EBIT als wesentlicher Faktor für
erati e g Er p O	Bereinigte EBIT-Marge	(13,7)%	(11,8)%	(14,1)%	(16,2)%	Cash Outflow
h s a C	Liquidität	55,7	25,7	48,2	14,4	Cash Outflow reduzieren

* ohne Feedo

R: Vorjahreszahlen angepasst wegen Erstanwendung IFRS 9 und dem nicht fortgeführten Geschäftsbereich Feedo Definitionen 1-4 im Appendix

Umsatzwachstum im Vorjahr und im ersten Quartal

Kapitalbeschlüsse

Sachkapitalerhöhung

Übernahmerelevante Angaben

windeln.de Aktienkurs

Jan 17 Feb 17Mrz 17 Apr 17 Mai 17 Jun 17 Jul 17 Aug 17 Sep 17 Okt 17 Nov 17 Dez 17 Jan 18 Feb 18Mrz 18 Apr 18 Mai 18 Jun 18

In 2018:

• Signifikante Verbesserung des operativen Deckungsbeitrags, der bereinigten EBIT-Marge und des Free Cash-Flows
• Profitabilitätsverbesserung mit Vorrang vor Umsatzwachstum

Ausblick Matthias Peuckert - CEO

In 2018 Fokus auf Restrukturierung des Geschäfts

Wir straffen das Geschäft und schaffen eine schlankere Organisation, um den Grundstein für ein strukturell profitables Geschäft und nachhaltiges Wachstum zu legen

	windeln.de Gruppe Eine Shop-Plattform, ein ERP-System, Shared Services und Management
• Effiziente Organisation in Bezug auf Prozesse und Kosten werden Prioritäten 2018 • Entwicklung des richtigen Produktmix, um Kundenbedürfnisse und Wirtschaftlichkeit zu erfüllen • Investment von internen Ressourcen, um Kundenerlebnis zu verbessern, z.B. Shop-Suche und Preisgestaltung • Inventar aufräumen
Region (Umsatzsplit)	China (53%)	DACH (22%)	Restliches Europa (25%)
Prioritäten 2018	Kundenerlebnis verbessern
	Reorganisation
		Sortimentsüberprüfung (Produktmix)
		Direkten Traffic stärken
	• Erweiterung der Kanäle/Plattformen • Einrichtung eines permanenten Zollagers	• One-domain Strategie (windeln.de, windeln.ch)	• Ausschöpfung Bebitus Integrationseffekte • Schließung des italienischen Geschäfts pannolini.it • Veräußerung Feedo

Kosteneinsparungen durch umgesetzte Maßnahmen in 2018

Verbesserung des operativen Ergebnisses

Die zukünftige Kostenbasis ist bereits niedriger, mit Ausnahme der einmaligen Bestandsausschreibung und der bereits realisierten Personalkosteneinsparungen

-7,3 -5,2 0,5 0,9 -3,8 Q1 2017 ber. EBIT Q1 2018 ber. EBIT (ohne Feedo) Abschreibungsbestand Personalkosteneinsparungen geringere Kostenbasis ber. EBIT Bereinigtes EBIT

In EURm

Ziel: Wir wollen der bevorzugte Onlineshop für junge Familien werden

Shareholder structure

Shareholder structure1)		Basic share data
Free Float*: 12,208,705 shares (38.2%)	MCI Capital: 4,747,982 shares (15.3%)	WKN	WNDL11
	DN Capital: 3,327,084 shares	ISIN	DE000WNDL110 DE000WNDL1J7
	(10.7%)	Market place	Frankfurt Stock Exchange
	Acton Capital: 3,126,172 shares (10.1%)	Type of share	No-par value bearer shares
Schroders: 2,063,323 shares		Initial listing	May 6, 2015
(6.6%)	Founders**: 2,289,419 shares (7.4%)	Designated Sponsor	Equinet AG
Goldman Sachs: 1,721,491 shares (5.5%)	Deutsche Bank: 1,958,399 shares	Number of shares as of June, 2018	31,100,743
Supervisory Board members	(6.3%)	Share capital	EUR 31,100,743
Willi Schwerdtle (Chairman)	Petra Schäfer (Globus)
Dr. Christoph Braun (Acton Capital)	Tomasz Czechowicz (MCI Capital)

Dr. Edgar Carlos Lange (Lekkerland) Nenad Marovac (DN Capital)

As of June 1, 2018

Disclaimer: The shareholder structure pictured above is based on the published voting rights announcements and company information. windeln.de SE assumes no responsibility for the correctness, completeness or currentness of the figures. Total number of shares: 31,100,743

*Free float according to the definition of Deutsche Börse

** Aggregate shareholding of the founders (Alexander Brand & Konstantin Urban)

Key performance indicators quarter over quarter (continuing operations)

	Q1 '14	Q2 '14	Q3 '14	Q4 '14	Q1 '15	Q2 '15	Q3'15	Q4'15	Q1'16	Q2'16	Q3'16	Q4'16	Q1 '17	Q2 ´17	Q3 '17	Q4 ´17	Q1 `18*
Site Visits (in thousand) ¹ 4	5,089	6,261	7,463	8,798	9,897	10,524	12,771	18,532	21,346	22,106	23,030	27,507	26,037	21,884	21,843	20,747	12 12,255
Mobile Visit Share (in % of Site Visits) 2	37.7%	45.4%	49.4%	50.0%	55.5%	57.4%	54.1%	55.2%	58.6%	62.0%	65.3%	66.7 %	68.6%	69.8%	72.4%	72.1%	72.3%
Mobile Orders (in % of Number of Orders) 3	27.2%	32.3%	35.0%	36.0%	39.9%	40.3%	38.4%	39.0%	42.6%	43.9%	46.2%	48.7 %	46.3%	47.3%	48.7%	47.4%	53.3%
Active Customers (in thousand) 4	302	332	382	442	496	546	670	859	928	965	998	1,065	1,073	1,103	1,126	1,051	742
Number of Orders (in thousand) 5	231	257	301	349	365	377	459	603	594	532	537	674	630	580	561	586	330
Avg. Orders per Active Customer (in number of Orders) 6	2.5	2.5	2.5	2.6	2.6	2.5	2.5	2.4	2.4	2.3	2.3	2.2	2.2	2.2	2.2	2.2	2.0
Orders from Repeat Customers (in thousand) 7	176	198	232	270	284	293	349	432	440	391	387	458	468	442	501	436	302
Share of Repeat Customer Orders (in % of Number of Orders) 8	80.9%	81.8%	82.1%	82.1%	81.9%	81.8%	80.7%	77.6%	77.4%	76.9%	76.2%	76.6 %	75.6%	76.2%	83.2%	76.2%	87.0%
Gross Order Intake (in € thousand) 9	20,642	23,489	28,116	34,265	35,446	37,677	41,649	56,363	54,522	47,886	47,066	55,022	52,210	52,773	50,320	50,990	29,774
Average Order Value (in €) 10	89.5	91.3	93.5	98.2	97.2	99.9	90.8	93.5	91.9	90.0	87.6	81.6	82.9	91.0	89.8	87.1	90.2
Returns (in % of Gross Revenues from orders) 11	4.0%	4.3%	5.8%	3.5%	4.1%	5.1%	4.8%	3.6%	6.3%	5.8%	5.1%	3.9 %	3.9%	2.9%	2.9%	2.9%	3.4%

Definitions of key performance indicators

• 1) We define Site Visits as the number of series of page requests from the same device and source in the measurement period and include visits to our online magazine. A visit is considered ended when no requests have been recorded in more than 30 minutes. The number of site visits depends on a number of factors including the availability of the products we offer, the level and effectiveness of our marketing campaigns and the popularity of our online shops. Measured by Google Analytics.
• 2) We define Mobile Visit Share (in % of Site Visits) as the number of visits via mobile devices (smartphones and tablets) to our mobile optimized websites divided by the total number of Site Visits in the measurement period. We have excluded visits to our online magazine. Until the end of 2016 we have also excluded visits from China because the most common online translation services on which most of our customers who ordered in our German shop for delivery to China relied to translate our website content were not able to do so from their mobile devices, and therefore very few of such customers ordered from their mobile devices. As we have started a customized website for our Chinese customers in December 2016 we include visits from China from Q1 2017 onwards. Measured by Google Analytics.
• 3) We define Mobile Orders (in % of Number of Orders) as the number of orders via mobile devices to our mobile optimized websites divided by the total Number of Orders in the measurement period. From Q1 2017 onwards we include orders from China. Measured by Google Analytics.
• 4) We define Active Customers as the number of unique customers placing at least one order in one of our shops in the 12 months preceding the end of the measurement period, irrespective of returns.
• 5) We define Number of Orders as the number of customer orders placed in the measurement period irrespective of returns. An order is counted on the day the customer places the order. Orders placed and orders delivered may differ due to orders that are in transit at the end of the measurement period or have been cancelled. Every order which has been placed, but for which the products in the order have not been shipped (e.g., the products are not available or the customer cancels the order), is considered ''cancelled''. Cancelled orders are not included in the Number of Orders.
• 6) We define Average Orders per Active Customer as Number of Orders in the last twelve months divided by the number of Active Customers.
• 7) We define Orders from Repeat Customers as the number of orders from customers who have placed at least one previous order, irrespective of returns.
• 8) We define Share of Repeat Customer Orders as the number of orders from Repeat Customers divided by the Number of Orders in the last twelve months.
• 9) We define Gross Order Intake as the aggregate Euro amount of customer orders placed in the measurement period minus cancellations. The Euro amount includes value added tax and excludes marketing rebates.
• 10) We define Average Order Value as Gross Order Intake divided by the Number of Orders in the measurement period.
• 11) We define Returns (in % of Gross Revenues from Orders (until Q1 2017 in % of Net Merchandise Value)) as the returned amount in Euro divided by Gross Revenues from Orders in the measurement period. From Q2 2016 onwards including Bebitus and Feedo returns. Gross Revenues from Orders are defined as the total aggregated Euro amount spent by our customers minus cancellations but irrespective of returns. The Euro amount does not include value added tax. As the Gross Revenues from Orders do not exclude returns and include all marketing rebates it is more reasonable to use this KPI for the return rate calculation than the Net Merchandise Value. The change of the calculation logic has no material impact on the reported return rate. Therefore, the calculation has been changed accordingly from Q2 2017 onwards.

* ohne Feedo

R: Vorjahreszahlen angepasst wegen Erstanwendung IFRS 9 und dem nicht fortgeführten Geschäftsbereich Feedo

• 1 Schließt Erträge und Aufwendungen im Zusammenhang mit aktienbasierten Vergütungen und der Schließung von pannolini.it aus
• 2 Besteht aus Logistik- und Mietaufwendungen, die innerhalb der Vertriebskosten in der Konzern Gewinn- und Verlustrechnung erfasst werden. In den bereinigten Fulfillmentkosten sind Erträge und Aufwendungen im Zusammenhang mit der Neuorganisation von Lagern nicht enthalten.
• 3 In Gesamtergebnisrechnung in den Vertriebskosten ausgewiesen; enthalten im Wesentlichen die Kosten für Werbung , inkl. Suchmaschinenmarketing, Online- und sonstige Anzeigen sowie Kosten für die eigenen Marketinginstrumente des Konzerns
• 4 Beinhalten die Vertriebskosten, bezüglich der Marketing- und Fulfillmentkosten, die Verwaltungskosten sowie die sonstigen betrieblichen Erträge und Aufwendungen. Die bereinigten sonstigen VVG-Kosten sind bereinigt um Aufwendungen und Erträge im Zusammenhang mit anteilsbasierter Vergütung, Expansion, Reorganisation und im Zusammenhang mit Aufwendungen für erworbene immaterielle Vermögenswerte. Im GJ 2016 wurden zudem Aufwendungen für gesellschaftsrechtliche Umstrukturierung und die ERP-Systemumstellung bereinigt

Income statement (continuing operations)

kEUR	FY2017	FY2016	Q1 2018**	Q1 2017*
Revenues	211,899	194,756	32,823	46,585
Cost of sales	-159,564	-142,984	-24,953	-35,479
Gross profit	52,335	51,772	7,870	11,106
% margin	24.7%	26.6%	24.0%	23.8%
Selling and distribution expenses	-75,021	-68,413	-12,330	-14,559
Administrative expenses	-21,421	-18,804	-2,584	-4,508
Other operating income	1,306	971	162	73
Other operating expenses	-782	-839	-105	-26
EBIT	-43,583	-35,313	-6,987	-7,914
% margin	-20.6%	-18.1%	-21.3%	-17.0%
Financial result	1,616	864	-21	-26
EBT	-41,967	-34,449	-7,008	-7,940
% margin	-19.8%	-17.7%	-21.4%	-17.0%
Income taxes	4,053	-16	-3	2
Profit or loss from continuing operations	-37,914	-34,465	-7,011	-7,938
% margin	-17.9%	-17.7%	-21.4%	-17.0%
Profit or loss from discontinued operations	-	-7,508	-8,877	-1,097
PROFIT OR LOSS FOR THE PERIOD	-37,914	-41,973	-15,888	-9,035
EBIT	-43,583	-35,313	-6,987	-7,914
Share-based compensation	8,128	5,597	85	1,313
Acquisition, integration and expansion costs	121	633	-	118
Reorganization	94	984	1,056	-79
Intangible assets	10,294	-	-	-
Closure pannolini.it	-	-	640	-
Costs of restructuring under corporate law	-	139	-	-
One-time costs of ERP system change	-	1,248	-	-
Adjusted EBIT	-24,946	-26,712	-5,206	-6,562
% margin	-11.8%	-13.7%	-16.2%	-14.1%

Restated for presentation of discontinued operations in connection with the planned divestiture of Feedo Group, and restated for the effects of the first application of IFRS 9

** continuing operations (excluding Feedo)

Balance sheet and cash flow statement

Consolidated statement of financial position
kEUR	December 31, 2017	December 31, 2016 R3
Total non-current assets	22,714	35,520
Inventories	19,174	21,645
Prepayments	332	374
Trade receivables	2,298	2,508
Miscellaneous other current assets1	11,052	10,326
Cash and cash equivalents	26,465	51,302
Total current assets	59,321	86,155
Total assets	82,035	121,675
Issued capital	28,472	26,318
Share premium	168,486	159,993
Treasury shares	-	-370
Accumulated loss	-143,387	-105,473
Cumulated other comprehensive income	-298	-233
Total equity	53,273	80,235
Total non-current liabilities	2,289	7,004
Other provisions3	315	424
Financial liabilities	3,575	64
Trade payables	14,779	17,517
Deferred revenues3	3,057	4,555
Miscellaneous current liabilities2	4,747	11,876
Total current liabilities	26,473	34,436
Total equity & liabilities	82,035	121,675

Consolidated statement of cash flows
kEUR	FY 2017	FY 2016	Q1 2018	Q1 2017
Net cash flows from/used in operating activities	-27,963	-31,224	-16,214	-7,139
Net cash flows from/used in investing activities	-201	-6,113	503	-706
Net cash flows from/used in financing activities	3,339	-39	1,571	24
Cash and cash equivalents at the beginning of the period	51,302	88,678	26,465	51,302
Net increase/decrease in cash and cash equivalents	-24,825	-37,376	-14,140	-7,821
Cash and cash equivalents at the end of the period	26,465	51,302	12,3244	43,487

1 Miscellaneous other current assets include income tax receivables, other current financial assets and other current non-financial assets.

2 Miscellaneous other current liabilities include income tax payables, other current financial liabilities and other current non-financial liabilities.

3 Restatement of 2016 comparative numbers from adoption of IFRS 15: recognition of loyalty bonuses within deferred revenues as part of contract liabilities.

4 Restated for the effects of the first application of IFRS 9