Answear.com (ANR) investor relations material

Executive summary

• Q1 2026 revenue grew 7.4% year-over-year to PLN 378.7m, led by strong Polish market growth (+21.3%) and effective marketing strategies, despite challenging macro conditions.

• Gross margin improved to 39.9% (+0.4pp YoY), reflecting better product mix, premiumization, and inventory optimization.

• EBITDA declined by one-third year-over-year to PLN 6.6m (1.7% margin), mainly due to higher logistics and marketing costs.

• Net loss of PLN -6.8m, compared to a net profit of PLN 3.7m in Q1 2025, mainly due to negative FX differences and higher financial costs.

• Record investment in brand marketing, with a shift from TV to digital campaigns for greater flexibility.

Financial highlights

• Revenue: PLN 378.7m (+7.4% YoY), with growth reduced by PLN appreciation against CEE currencies.

• Gross profit: PLN 151.2m (39.9% margin, +0.4pp YoY).

• Average order value rose 1.8% YoY to PLN 394; visits up 16% YoY, orders up 5.9% YoY.

• Logistics costs increased to 13.8% of revenue, up from 13.2% YoY, mainly due to higher fuel and labor costs.

• Marketing costs rose to 19.6% of revenue, with a more even distribution planned for 2026 and a shift to digital channels.

• Net loss: PLN -6.8m, impacted by PLN 4.5m in negative exchange rate differences, mostly unrealized.

Outlook and guidance

• Management expects each subsequent quarter in 2026 to outperform Q1 in both sales and profitability, with strong spring/summer collection sales and positive trends expected in Q2.

• The incentive program EBITDA target was lowered from PLN 100m to PLN 90m, considered ambitious but achievable; medium-term goal of PLN 120m EBITDA in 2027 remains.

• Plans to reduce marketing spend in coming quarters through optimization and scaling.

• No major investments planned for 2026 except for AI and marketing tools; logistics automation is planned for 2027.

• Results in coming quarters will depend on execution of premiumization strategy, macroeconomic conditions, and FX trends.