successfully implements strategic and operational measures in the third quarter

  • Revenues growth of 30% in first nine months of the year, despite delisting of Brands
  • German Shop off to a good start in fourth quarter, with nakiki relaunch and Tmall campaigns
  • Strongly improved operating cash flow due to reduction of inventories
  • Good progress in implementing measures announced late July

Munich, Germany, November 15, 2016 - In the first nine months of 2016, SE, Europe’s leading online retailer for baby and children’s products, realized revenues growth of 30% on the previous year, with revenues of EUR 137.

Implementation of strategic and operational measures influences short-term financial performance

The Company’s financial performance in the third quarter was affected by temporary factors resulting from the focusing of its business model as well as the measures implemented to improve profitability (STAR project). The delisting of almost 400 brands triggered a temporary decline in revenues and a correspondingly lower gross profit margin due to the sell off of products. A reduced price level in China further affected the third quarter. Over the first nine months of the year, the gross profit margin for continuing activities nonetheless increased by 41.0% to EUR 38.3 million, which corr

Overview of the Figures for the nine months of 2016 and the hird quarter of 2016 (excluding discontinued Shopping Clubs business segment)

9M 20169M 2015*Q3 2016Q3 2015*
Revenues (in EUR million)137.6 105.945.738.2
Gross profit (EUR million)38.327.1 11.9 9.4
in % of revenues27.8% 25.6%26.0%24.6%
Adjusted EBIT (in EUR million)-19.3-5.4 -6.6 -3.8
in % of revenues -14.1%-5.1%-14.5%-10.0%
Revenues by business segment (in EUR million)
German Shop97.397.231.432.7
International Shops40.48.814.45.4
Adjusted EBIT contribution by business segment
German Shop (in EUR million)-0.93.9-0.80.5
in % of revenues-0.9%4.0%-2.4%1.4%
International Shops (in EUR million)-8.5-2.6-2.6-1.8
in % of revenues-21.1%-30.2%-17.9%-32.8%
Reconciliation to Group EBIT (in EUR million)-9.9-6.6-3.3-2.5

Discontinued Shopping Clubs business segment

9M 20169M 2015* Q3 2016Q3 2015*
Revenues (in EUR million)14.812.4 5.15.1
EBIT contribution (in EUR million)** -7.2-4.5-4.3 -1.8
in % of revenues -49.0%36.1%-84.8%-35.6%
1Share-based payments were adjusted retroactively in the 9M 2015 comparative period. Please refer to the report for the first nine months of 2015 for details of the adjustment.

2Includes restructuring costs in connection with the closure of the Shopping Clubs business segment. The adjusted EBIT contribution amounted to EUR -4.7 million for the first nine months of 2016 and to EUR -1.8 million for the third quarter of 2016.