Elumeo : Q3 Quarterly Release 2023

Quarterly statement

Q3/2023

elumeo SE | Quarterly statement Q3/2023 | Table of contents	| 1
Table of contents
Group key figures Q3/2023	2
Capital market information	3
Earning release Q3/202 3	4
Basics	4
Business performance	4
Results of operations, net assets and financial position	5
Risk and opportunity report	8
Forecast report	8
Condensed consolidated interim financial statements	9
Consolidated income statement g and consolidated statement of comprehensive income ....9
Consolidated balance sheet	10
Consolidated statement of changes in equity	12
Consolidated cash flow statement	14
Imprint	16

2 |	elumeo SE | Quarterly statement Q3/2023 | Group key figures Q3/2023

Group key figures Q3/2023

EUR thousand	Q3 2023	Q3 2022	QoQ
[unless indicated otherwise]			in %

Revenue	11,003		10,930		0.7%
Gross profit	5,572	50.6%	6,050	55.4%	-7.9%
EBITDA	-53	-0.5%	326	3.0%	-116.1%
Adjusted-EBITDA	526	4.8%	710	6.5%	-25.9%
Depreciation and amortisation	224	2.0%	215	2.0%	4.2%
EBIT	-277	-2.5%	110	1.0%	-351.5%
Total comprehensive income	-292	-2.7%	116	1.1%	-351.5%
Selling and administrative expenses	6,145	55.8%	6,058	55.4%	1.4%
Total assets 1	22,834		25,919		-11.9%
Total equity1	10,193	44.6%	13,422	51.8%	-24.1%
Working capital 1	7,192	31.5%	8,318	32.1%	-13.5%
Net cash flow from operating activities	-129		82		-257.3%
Net cash flow from investing activities	-50		-13		-284.6%
Net cash flow from financing activities	135		-93		245.7%
Items sold [pieces in t]	162		139		16.9%
Number of active customers (in t)	39		33		15.8%
Average number of items sold
per active customer [pieces]	4.2		4.2		0.9%
Average sales price (ASP) [EUR]	68		79		-13.8%
Gross profit per item sold [EUR]	34		44		-21.2%
Average basket [EUR]²	172		184		-6.5%
Share marketing expenses of revenue webshop	21.0%		19.5%		1.5 p.p.
Customer Value after one year³	310		309		0.3%
Customer Value after five years³	814		892		-8.7%
Web traffic breakdown
[in % of channel]
Organic	16.7%		21.4%		-4.7 p.p.
Direct	10.4%		12.5%		-2.1 p.p.
Paid	47.7%		41.4%		6.3 p.p.
Mail	6.2%		8.3%		-2.2 p.p.
Other	19.0%		16.4%		2.6 p.p.
New customers breakdown
TV	1,802		1,746		3.2%
Web	9,325		6,448		44.6%

9M 2023

33,323

17,165 -340 607 689 -1,029-1,091 18,580

-456-3 129

477

72

6.6

70

36

176

20.9%

16.8%

10.4%

48.5%

6.0%

18.3%

5,437

25,124

	9M 2022		QoQ
			in %
	34,453		-3.3%
51.5%	18,420	53.5%	-6.8%
-1.0%	421	1.2%	-180.7%
1.8%	1,868	5.4%	-67.5%
2.1%	668	1.9%	3.1%
-3.1%	-247	-0.7%	-316.6%
-3.3%	-343	-1.0%	-218.1%
55.8%	19,290	56.0%	-3.7%

1,498	-130.4%
-36	91.6%
-276	147.0%

41116.1%

1. 9.3%

6.26.2%

1. -16.7%

45-19.7%

194-9.3%

18.8%

2.1 p.p.

22.5%	-5.7 p.p.
11.3%	-1.0 p.p.
39.9%	8.6 p.p.
7.9%	-1.9 p.p.
18.4%	-0.1 p.p.
5,326	2.1%
20,983	19.7%

• In absolute terms and as % of total assets; previous year's figure: 31.12.2022 ² Average basket before cancellations and returns
  ³ Based on rolling cohorts

elumeo SE | Quarterly statement Q3/2023 | Capital market information

| 3

Capital market information

Master data and key figures for the share of elumeo SE

(as of September 30, 2023)

WKN	A11Q05/
A2GSYM
ISIN	DE000A11Q059/
DE000A2GSYM8
Earnings per share in Q3 2023	EUR -0.05
Number of shares outstanding	5.677.420
XETRA closing price on the balance sheet	EUR 2,62
date
Market capitalization	EUR 14.9 million

Development of the share price

(January 1 to September 30, 2023: XETRA, in EUR)

Shareholder structure

Shareholder structure (as at September 30, 2023)	Shareholdings
1. blackflint Ltd.	25,83%
2. members of the Board of Directors and Directors	11,86%
3. free float	62,31%

4 |	elumeo SE | Quarterly statement Q3/2023 | Earnings release Q3/2023

Earning release Q3/202 3

Basics

The principles and methods of the elumeo Group described in the Annual Report for financial year 2022 ended December 31, 2022 ("Annual Report 2022") continue to apply in principle.

General information and comparability of information

The quarterly statement covers the period from January 1 to September 30, 2023 ("9M/2023"). The quarterly reporting period covers the period from July 1 to September 30, 2023 ("Q3/2023"). The changes in the period comparison are referred to as the nine-month period compared to the nine- month period of the previous year ("9Mo9M") or the quarter compared to the quarter of the previous year ("QoQ").

Business performance

After two quarters of declining sales due to persistently high inflation and ongoing consumer uncertainty, elumeo was able to achieve slight sales growth in the third quarter.

The company responded to customers' continued reluctance to buy in the face of persistently high inflation rates by changing its product mix. To this end, the proportion of jewelry with a lower sales price and a lower gross profit margin was increased.

Selling and administrative expenses were reduced by 3.7% due to lower personnel costs. Online marketing costs were successfully scaled and were a driver for the significant increase in active customers.

As expected, jooli launched the jooliPay payment function in the Indian market in August 2023. At the beginning of the launch, jooli provided a small volume of advertising to test the various marketing channels against each other and determine the optimal marketing mix. From September to October, sales grew very quickly from a low base. So far, only cash on delivery, by far the most important payment function in India, has been activated in India. In the coming weeks, the focus will be on expanding the payment methods to include credit cards and UPI (the most important digital payment function in India). On the other hand, the onboarding of new customers, i.e. the user experience when using the app for the first time, will be completely redesigned by the end of the year. The basis for this is an extensive focus group analysis that jooli conducted in the five most important Indian metropolitan areas.

Adjusted for expenses for jooli, out-of-period expenses and currency effects, the elumeo Group's key performance indicator, adjusted earnings before interest, taxes, depreciation and amortization (adjusted EBITDA), amounted to EUR 0.5 million.

Detailed explanations of the individual key financial figures are provided in the following sections.

elumeo SE | Quarterly statement Q3/2023 | Earnings release Q3/2023

| 5

Results of operations, net assets and financial position

1. Sales revenue

		Q3 2023			Q3 2022			QoQ	01.01. -		01.01. -			9Mo9M
EUR thousand | % of revenue								in %	30.09.2023	30.09.2022		in %
Revenue from product sales	10,892	99.0%	10,820	99.0%	0.7%	32,973	98.9%	34,065	98.9%	-3.2%
Proceeds from shipping costs	83	0.8%	101	0.9%	-18.3%	294	0.9%	356	1.0%	-17.4%
Other revenue		29	0.3%		9	0.1%		223.8%	56	0.2%	32	0.1%		73.4%
Revenue		11,003	100.0%		10,930	100.0%		0.7%	33,323	100.0%	34,453	100.0%		-3.3%

(2)	Distribution costs
			Q3 2023			Q3 2022			QoQ	01.01. -		01.01. -			9Mo9M
EUR thousand | % of revenue								in %	30.09.2023	30.09.2022		in %
Broadcasting and channel rental costs	1,377	12.5%	1,411	12.9%	-2.4%	4,145	12.4%	4,400	12.8%	-5.8%
Personnel expenses	1,149	10.4%	1,297	11.9%	-11.4%	3,705	11.1%	4,102	11.9%	-9.7%
Moderators, producers and translators	163	1.5%	227	2.1%	-28.2%	479	1.4%	589	1.7%	-18.8%
Payment costs	157	1.4%	169	1.5%	-7.3%	483	1.4%	449	1.3%	7.5%
Sales and marketing expenses	948	8.6%	785	7.2%	20.8%	2,782	8.3%	2,623	7.6%	6.1%
Expenses from share-based remuneration	6	0.1%	12	0.1%	-49.1%	22	0.1%	46	0.1%	-51.5%
Depreciation, amortization and impairment loss	79	0.7%	81	0.7%	-2.8%	162	0.5%	178	0.5%	-8.8%
Other selling expenses		248	2.3%		276	2.5%		-10.1%	943	2.8%	985	2.9%		-4.3%
Selling expenses		4,127	37.5%		4,259	39.0%		-3.1%	12,721	38.2%	13,372	38.8%		-4.9%

As part of the cost performance program launched in Q2/2023, eleumeo succeeded in reducing distribution costs in almost all areas. These include personnel costs and TV broadcasting costs in particular. By contrast, online marketing expenses were deliberately increased in order to scale the acquisition of new customers.

(3)	Administrative costs
			Q3 2023			Q3 2022			QoQ	01.01. -		01.01. -			9Mo9M
EUR thousand | % of revenue								in %	30.09.2023	30.09.2022		in %
Personnel expenses	812	7.4%	952	8.7%	-14.7%	2,559	7.7%	2,933	8.5%	-12.7%
Depreciation, amortization and impairment loss	145	1.3%	134	1.2%	8.4%	448	1.3%	409	1.2%	9.4%
Equity-settledshare-based remuneration	22	0.2%	42	0.4%	-48.8%	78	0.2%	159	0.5%	-51.1%
Legal advice costs	175	1.6%	178	1.6%	-2.0%	567	1.7%	414	1.2%	36.8%
Postal, telecommunication, IT costs	128	1.2%	112	1.0%	14.3%	410	1.2%	357	1.0%	15.0%
Rent and lease expenses	12	0.1%	5	0.0%	141.5%	40	0.1%	36	0.1%	12.1%
Repairs and maintenance	9	0.1%	31	0.3%	-70.1%	68	0.2%	116	0.3%	-41.7%
Expenses for third-party services and fees	121	1.1%	193	1.8%	-37.6%	385	1.2%	358	1.0%	7.6%
Travel expenses	44	0.4%	39	0.4%	12.6%	117	0.4%	114	0.3%	2.9%
Reporting, accounting and auditing	160	1.5%	42	0.4%	281.0%	178	0.5%	127	0.4%	40.2%
Other administrative expenses		391	3.5%		70	0.6%		460.7%	1,009	3.0%	896	2.6%		12.7%
Administrative expenses		2,018	18.3%		1,799	16.5%		12.2%	5,859	17.6%	5,919	17.2%		-1.0%

(4)	Financial result
			Q3 2023			Q3 2022			QoQ	01.01. -		01.01. -			9Mo9M
EUR thousand | % of revenue								in %	30.09.2023	30.09.2022			in %
Interest expenses from cash financing	12	0.1%	0	0.0%		n.a	12	0.0%	0	0.0%		n.a
Interest expenses from leasing		14	0.1%		13	0.1%		3.6%	73	0.2%	40	0.1%		80.1%
Int Interest expenses and other financial result		26	0.2%		13	0.1%		97.5%	85	0.3%	40	0.1%		110.9%
Financial result		-26	-0.2%		-13	0.1%		97.5%	-85	0.3%	-41	0.1%		108.9%

Interest and similar expenses include interest expenses for a credit line and for lease liabilities from right-of-use assets (operating leases of real estate contracts) in accordance with IFRS 16.

6 |	elumeo SE | Quarterly statement Q3/2023 | Earnings release Q3/2023

1. Personnel expenses

		Q3 2023			Q3 2022			QoQ	01.01. -		01.01. -			9Mo9M
EUR thousand | % of revenue								in %	30.09.2023	30.09.2022		in %
Wages and salaries	1,572	14.3%	1,931	17.7%	-18.6%	5,105	15.3%	5,926	17.2%	-13.9%
Social security contributions		388	3.5%		318	2.9%		22.0%	1,160	3.5%	1,109	3.2%		4.6%
Personnel expenses		1,960	17.8%		2,249	20.6%		-12.8%	6,264	18.8%	7,035	20.4%		-10.9%

1. Intangible assets and property, plant and equipment

In Q3/2023, investments were limited to minor replacement investments.

1. Inventories

Inventories remained constant at EUR 13.0 million as at September 30, 2023 (December 31, 2022: EUR 13.0 million).

1. Equity

Subscribed capital

The subscribed capital of elumeo SE amounted to EUR 5,677,420 as of 30 September 2023 (31 December 2022: EUR 5,500,000). It is divided into 5,677,420 no-par value shares with a notional interest in the subscribed capital of EUR 1.00 per share. With the approval of the Board of Directors, the capital increase resolved in 2022 was successfully carried out in the first quarter of 2023. The share capital was increased by EUR 177,420.00 from EUR 5,500,000.00 to EUR 5,677,420.00. The entry in the commercial register was made on February 17, 2023.

Capital reserve

The capital reserves of elumeo SE as of 30 September 2023 amounted to EUR 35,293 thousand and increased compared to 31 December 2022 (EUR 34,821 thousand) due to the premium from the capital increase and share-based payment commitments in accordance with IFRS 2.

Authorized capital, conditional capital, convertible bonds and bonds with warrants

There have been no changes compared to the figures as at June 30, 2023.

1. Other financial liabilities

In addition to lease liabilities (finance leases) for the semi-automated picking, storage and conveying systems (technical equipment), these are in particular the (current and non-current) lease liabilities from rental agreements for office space (real estate agreements) capitalized in accordance with IFRS 16.

(10) Deferred taxes

Deferred taxes are generally recognized for differences between the carrying amount recognized in the IFRS consolidated interim financial statements and the tax carrying amount as well as for tax loss carryforwards, provided that their realizability in the near future appears sufficiently certain.

elumeo SE | Quarterly statement Q3/2023 | Earnings release Q3/2023

| 7

(11) Information on the consolidated cash flow statement

The consolidated cash flow statement was prepared in accordance with IAS 7 Statement of Cash Flows and shows the change in cash and cash equivalents of the elumeo Group during the reporting period as a result of cash inflows and outflows.

Cash flow from operating activities increased due to the increase in trade payables. The elumeo Group invested primarily in replacement investments. The cash flow from financing activities results from the payments made as part of the share program to implement the planned capital increase, the capital increase carried out, the repayment of financial liabilities from leases and the taking up of the UniCredit credit line.

Cash and cash equivalents as at the balance sheet date consist exclusively of freely available cash and cash equivalents.

8 |elumeo SE | Quarterly Statement Q3/2023 | Supplementary Report, Report on Risks and Opportunities, Outlook

Risk and opportunity report

The elumeo Group presented its risk management system in detail in the Annual Report 2022. The Executive Board is currently not aware of any significant changes to the risks and opportunities described in detail there.

Legal disputes from the former group of shareholders have an insignificant impact on the development of elumeo. On September 26, 2023, elumeo SE was informed by the Kreuzberg District Court of the intention to formally serve a new lawsuit filed by Kat Florence LLC, Miami, Florida. The lawsuit essentially corresponds to the lawsuit already filed and finally dismissed in Florida. This time, the lawsuit was filed in the district court in Atlanta, Georgia. From elumeo SE's perspective, this new lawsuit, which does not present any new facts, is also absolutely insubstantial and will be dismissed like the first lawsuit. elumeo SE has filed an objection to the intended formal service of process and will defend itself both against the service of process before the Court of Appeals in Berlin and against the action itself before the District Court in Atlanta, Georgia.

Forecast report

The management expects volatility to remain high for the remaining weeks of 2023. This results in particular from the further development of inflation and persistently gloomy consumer sentiment as well as the uncertain impact of the wars in Ukraine and the Middle East on global economic devel- opment. As a result, the forecast is based on a cautious approach to future development and takes into account possible further negative influences from slumps in demand and supply bottlenecks.

Management confirms the forecast for 2023 and assumes that revenue and adjusted EBITDA will remain stable. Overall, the management expects revenue to develop in a corridor between a mid- positive and a mid-negativesingle-digit percentage range. Revenue growth for the web store is expected to be in the low single-digit percentage range in 2023. The gross profit margin is expected to remain stable at > 50% (50% - 60%). Adjusted EBITDA is expected to be in the low single-digit million range.

elumeo SE | Quarterly statement Q3/2023 | Earnings release Q3/2023

| 9

Condensed consolidated interim financial statements

Consolidated income statement g and consolidated statement of comprehensive income

(unaudited)

		Q3 2023			Q3 2022		QoQ	01.01. -		01.01. -		9Mo9M
								in %	30.09.2023	30.09.2022	in %
EUR thousand | % of revenue
Revenue	11,003	100.0%	10,930	100.0%	0.7%	33,323	100.0%	34,453	100.0%	-3.3%
Cost of goods sold		5,432	49.4%		4,880	44.6%		11.3%	16,158	48.5%		16,033	46.5%	0.8%
Gross profit		5,572	50.6%		6,050	55.4%		-7.9%	17,165	51.5%		18,420	53.5%	-6.8%
Selling expenses	4,127	37.5%	4,259	39.0%	-3.1%	12,721	38.2%	13,372	38.8%	-4.9%
Administrative expenses	2,018	18.3%	1,799	16.5%	12.2%	5,859	17.6%	5,919	17.2%	-1.0%
Other operating income	332	3.0%	118	1.1%	180.2%	450	1.4%	649	1.9%	-30.7%
Other operating expenses		-35	-0.3%		0	0.0%		n.a.	-65	-0.2%		-26	-0.1%	-150.9%
Earnings before interest and taxes (EBIT)		-277	-2.5%		110	1.0%		-350.4%	-1,029	-3.1%		-247	-0.7%	-317.0%
Interest and similar expenses		26	0.2%		13	0.1%		97.5%	85	0.3%		41	0.1%	108.9%
Financial result		-26	-0.2%		-13	-0.1%		-97.5%	-85	-0.3%		-41	-0.1%	-108.9%
Earnings before income taxes (EBT)	-303	-2.8%	97	0.9%	-411.3%	-1,114	-3.3%	-288	-0.8%	-287.5%
Earnings after income tax
from continuing operations		-303	-2.8%		97	0.9%		-411.3%	-1,114	-3.3%		-288	-0.8%	-287.5%
Earnings of shareholders of elumeo SE	-303	-2.8%	97	0.9%	-411.3%	-1,114	-3.3%	-288	-0.8%	-287.5%
Earnings per share in EUR
(basis and diluted)
applied to earnings of shareholders
total
- undiluted	-0.05		0.02		-401.6%	-0.20		-0.05		-287.5%
- diluted	-0.05		0.02		-401.7%	-0.20		-0.05		-287.5%
Earnings after tax
from continuing and discontinuing operations		-303			97				-1,114			-288
	-2.8%	0.9%		-411.3%	-3.3%	-0.8%	-287.5%
Earnings of shareholders of elumeo SE	-303	-2.8%	97	0.9%	-411.3%	-1,114	-3.3%	-288	-0.8%	-287.5%
Earnings per share in EUR
(basis and diluted)
applied to earnings of shareholders
total
- undiluted	-0.05		0.02		-401.6%	-0.20		-0.05		-287.5%
- diluted	-0.05		0.02		-401.7%	-0.20		-0.05		-287.5%
Average number of shares outstanding
- basic	5,677,420		5,500,000		3.2%	5,500,000		5,500,000		0.0%
- diluted	5,712,810		5,535,390		3.2%	5,535,390		5,535,390		0.0%
Other comprehensive income that may be reclassified
to profit or loss in subsequent periods
Differences from foreign currency
translation of foreign subsidiaries		11	0.1%		19	0.2%		-42.1%	23	0.1%		-55	-0.2%	141.8%
Other comprehensive income		11	0.1%		19	0.2%		-42.1%	23	0.1%		-55	-0.2%	141.8%
Total comprehensive income		-292	-2.7%		116	1.1%		-351.0%	-1,091	-3.3%		-343	-1.0%	-218.5%