Online Brands Nordic (OBAB) Q2 2024 earnings summary

Executive summary

• Achieved record net sales of 77.9 MSEK in Q2 2024, up 31.9% year-over-year, with 32% organic growth.

• Gross margin improved to 62.6% from 56.2% year-over-year, driven by unique products and efficient marketing.

• EBITDA rose to 4.3 MSEK (5.5% margin), up 164% adjusted for prior year one-time effects.

• Net result for the quarter was -1.6 MSEK, an improvement from -5.2 MSEK in Q2 2023.

• All portfolio companies contributed to growth, with Bread and Boxers exceeding 50% growth and other brands over 25%.

Financial highlights

• Net sales: 77.9 MSEK (Q2 2024) vs 59.2 MSEK (Q2 2023), +31.9%.

• Gross profit: 48.9 MSEK (Q2 2024) vs 33.3 MSEK (Q2 2023); gross margin 62.6% (56.2%).

• EBITDA: 4.3 MSEK (Q2 2024) vs 2.5 MSEK (Q2 2023); EBITDA margin 5.5% (4.2%).

• EBIT: -0.7 MSEK (Q2 2024) vs -3.2 MSEK (Q2 2023); EBIT margin -0.9% (-5.4%).

• Earnings per share: -0.07 SEK (Q2 2024) vs -0.23 SEK (Q2 2023).

Segment performance

• Camagruppen (Trendcarpet, Hatshop) contributed 57.5% of Q2 sales; Bread & Boxers 18.1%; KitchenLab 18.5%.

• Bread and Boxers grew over 50% in Q2; Trendcarpet, Hatshop, and KitchenLab each grew over 25%.

• Sales outside Sweden increased, with Europe (ex-Nordics) at 32.4% and other Nordics at 23.5% of Q2 sales.

• E-commerce accounted for 78.9% of Q2 sales, up 31.2% year-over-year.