Table of contents

  1. Key figures at a glance
  2. The zooplus AG share
    zooplus in the first half of 2021
  3. Macroeconomic environment and the COVID-19 pandemic

3 Pet supplies - a highly attractive operating category

3 Expansion of logistics network

  1. zooplus - the leading online player in Europe
  1. Announcement of an Investment Agreement - Strategic Partnership with Hellman & Friedman

Interim group management report

  1. Group fundamentals, business activities and strategy
  2. Business report
  1. Risks and opportunities, outlook
  2. Subsequent events
    Interim consolidated financial statements
  3. Consolidated balance sheet
  1. Consolidated statement of comprehensive income
  2. Consolidated statement of cash flows
  3. Consolidated statement of changes in equity
  4. Notes to the consolidated financial statements
  1. Responsibility Statement

Service

  1. Glossary
  2. Imprint

Key figures at a glance for H1/Q2 2021 vs. H1/Q2 2020

H1 2021

H1 2020

Change

Q2 2021

Q2 2020

Change

Sales

EUR m

1,002.2

862.5

+139.7

493.6

422.5

+71.1

Share of own brand sales

%

17%

15%

+2%p

17%

16%

+1%p

Revenue retention rate

%

98%

95%

+3%p

98%

95%

+3%p

as of June 30

Gross profit

EUR m

305.4

262.8

+42.6

149.2

133.5

+15.8

Gross margin

%

30.5%

30.5%

-

30.2%

31.6%

-1.4%p

EBITDA

EUR m

42.2

29.4

+12.8

17.7

21.4

-3.7

EBITDA margin

%

4.2%

3.4%

+0.8%p

3.6%

5.1%

-1.5%p

EBT

EUR m

25.8

13.7

+12.0

9.6

13.1

-3.5

Consolidated net profit

EUR m

15.5

7.8

+7.7

5.1

8.4

-3.2

Earnings per share (basic)

EUR

2.16

1.10

+1.06

0.72

1.17

-0.45

Earnings per share (diluted)

EUR

2.11

1.09

+1.02

0.70

1.17

-0.47

Free cash flow

EUR m

66.1

29.6

+36.5

18.0

-10.7

+28.7

Active repeat customers

million

5.4

4.8

+0.6

5.4

4.8

+0.6

as of June 30

Active customers

million

8.8

8.1

+0.7

8.8

8.1

+0.7

as of June 30

1

The zooplus AG share

Although uncertainty surrounding the further development of the COVID-19 pandemic and particularly the spread of the "delta" variant persisted in the initial months of the current financial year, the sentiment that prevailed on the stock market in the first half of 2021 was clearly positive. Contributing to that optimism were factors such as the approval of COVID-19 vaccines, their successful roll-out, falling new infection rates, and continued expansionary policies by major central banks such as the ECB and the Fed. In this environment, the German DAX (+13.2%), MDAX (+10.6%), SDAX (+8.5%) and TecDAX (+10.9%) indices posted significant gains right up until the June 30, 2021 reporting date. The DAXsubsector All Retail Internet index, which is the relevant index for zooplus, improved slightly by +1.8% versus its level at the end of 2020.

Share price development H1 2021

Shareholder structure

The zooplus share, which is listed in the SDAX, trended higher overall in the first half of 2021 and recovered several times from temporary setbacks. In spring, the share's Xetra closing price exceeded EUR 200 for the first time in zooplus' history on the stock exchange. Since the end of March, the zooplus share in Xetra trading has continued to close above this level throughout the second quarter of 2021, and at times reached as high as EUR 270.

The share's Xetra closing price on June 30, 2021 of EUR 273.20 was 60.9% higher than the closing price on December 30, 2020 (EUR 169.80). Based on a total of 7,149,178 shares outstanding as of June 30, 2021, zooplus' market capitalization as of that date equaled more than EUR 1.9 bn.

Analyst coverage

AlsterResearch

267

Baader Bank

320

Barclays

185

Berenberg

155

Credit Suisse

368

Hauck & Aufhäuser

225

Jefferies

260

J.P. Morgan Cazenove

350

Kepler Cheuvreux

233

Liberum

220

Metzler

142

Quirin Privatbank

230

Stifel

141

Warburg Research

230

Buy / Overweight / Outperform

Hold

Sell / Underweight / Reduce

Key data

2

zooplus in the first half of 2021

Macroeconomic environment and the COVID-19 pandemic

The outbreak of the COVID-19 pandemic in the winter of 2019/2020 has globally impacted consumer behavior and the manner in which companies operate. The zooplus Group is continuously monitoring the developments and restrictions taking place in the procurement and sales markets, as well as their potential impact on the business, and responding to these by taking any actions necessary. In this environment, zooplus' business model as a pure online retailer in an essential category once again proved to be crisis- resistant.

Pet supplies - a highly attractive operating category

Numerous studies show that owning a pet is becoming increasingly popular, with an ever- growing number of households opting for pet ownership than seen in previous years. Measured in terms of pet registration numbers, the COVID-19 pandemic has encouraged even more people in Europe to adopt a pet. The number of new dog registrations in Germany, for example, increased in June 2020 by 25% year-on-year.1 This trend, together with the humanization of pets and premiumization of pet supplies, fuels an extremely attractive and growing market.

Expansion of logistics network

After the contract for a new logistics centre with more than 40,000 sqm in Budapest, Hungary, was already signed at the end of May 2021, zooplus AG secured itself additional logistics capacities by signing a warehouse agreement for a new fulfilment centre of the same size in Bratislava, Slowakia in June 2021.

zooplus - the leading online player in Europe and best positioned to seize the opportunities in the growing pet supplies market

With the increasing shift of consumers to online channels, pet supplies are becoming one of the most sought-after product groups in online retailing. zooplus is ideally positioned to benefit from the rising number of households owning pets and the accelerated customer shift across Europe towards more efficient online channels for pet supplies.

Announcement of an Investment Agreement - Strategic Partnership with Hellman & Friedman

On August 13, 2021, zooplus announced to have signed an Investment Agreement with Hellman & Friedman to enter into a Strategic Partnership. This long-term partnership fully supports zooplus' strategy aimed at capturing long-term growth opportunities in the European pet market and strengthening its leadership position in this growing and fast-evolving category in the long run. To this end, Hellman & Friedman announced a voluntary public takeover for all zooplus shares at an offer price of EUR 390 per share in cash, representing a premium of 50 percent to the three-monthvolume-weighted average share price prior to announcement.

1 TASSO E.V. and VDH at https://www.vdh.de/pressemitteilung/artikel/corona-krise-laesst-nachfrage-nach-hunden-steigen-tasso-und-vdh-warnen-vor-wuehltischwelpen/

3

Interim group management report

1. Group fundamentals, business activities and strategy

Founded in 1999, zooplus AG has an operating history spanning more than 20 years and is today's leading online retailer for pet supplies in Europe. In terms of sales volume, zooplus is already number two in the overall European market, comprising both bricks-and-mortar as well as online sales of pet supplies. The company sells around 8,000 products covering all major breeds of pets. The product range features primarily pet food (wet and dry food, and food supplements) as well as accessories (scratching posts, dog baskets, and toys) in all price categories. The zooplus AG business model has been rolled out successfully in 30 European countries to date, making zooplus AG the only truly pan-European online retailer for pet supplies.

The primary sales channels for pet supplies throughout Europe are bricks-and-mortar pet shops, garden centers, DIY stores and traditional supermarkets and discounters. zooplus operates both localized and multi-national online stores in 30 countries across Europe. According to the estimates of zooplus AG's management, the total market volume for 2020 in the European pet segment is in the range of EUR 28 bn to EUR 29 bn. As of June 2021, the company operated a total of 24 localized online shops under the zooplus store brand. This broad presence makes zooplus the dominant online retailer of pet products across Europe, with a clear lead over smaller local and national competitors. Alongside the zooplus store brand, the Group operates in 14 countries under the bitiba shop brand, which is a discount concept with a more limited product range.

Thanks to recurring demand patterns, especially in the pet food segment, the pet supplies market has very low seasonality. At zooplus, for example, around 87% of the total demand from customers relates to food and litter, which, from the Group's perspective, demonstrates a stable medium- and long-term demand structure.

According to the Group's estimate, the online penetration of the pet supplies segment in 2020 was around 17% of the total market, which is still relatively low compared to other product categories.

zooplus continues to anticipate a steady overall increase in online penetration in this category in the years ahead in line with the growth in market volumes in the e-commerce segment. As the European online market leader for pet supplies, zooplus is in an excellent position to continue to benefit in the future from these sustainable shifts in existing sales and retail structures.

With this in mind, the following goals are at the core of the company's activities:

  • Continued sales growth in all European markets
  • Further penetration of existing regional markets
  • Defending and expanding sales-based market leadership
  • Expanding the customer base and securing high customer loyalty in all European markets
  • Further stabilization of the total cost ratio

The overriding priority is to continue generating high growth in order to expand our market position and achieve economies of scale as a basis for ongoing improvements in cost efficiency alongside sustainable operating profitability. Against the background of the Group's further growth opportunities throughout Europe, management considers this strategy to be the right one for the coming quarters and years in the interest of increasing the company's long-term value. The targets in all areas are managed and monitored using key performance indicators that are regularly reviewed and can be adjusted or modified in the short to medium term when necessary. The company places a high importance on clearly communicating its corporate objectives to its employees and the public.

For a more detailed description of the Group's structure, business activities and strategy, including its financial and non-financial performance indicators, please refer to our 2020 Annual Report.

4

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zooplus AG published this content on 17 August 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 17 August 2021 05:42:04 UTC.