BasicNet (BAN) investor relations material

Executive summary

• Consolidated revenues increased by 2.5% year-over-year to €303.4 million, with a strong Q3 recovery and robust commercial activity.

• Aggregate sales of group brands products rose 7.3% year-over-year to €909.0 million, with Europe up 13.2% and now representing 80.8% of aggregate sales.

• Direct sales reached record levels in Q3, with Q3 and Q4 being the most significant quarters due to wholesale and retail seasonality.

• Retail network expansion focused on K-Way and Sebago, while Kappa underwent rationalization with a reduction of 18 stores.

• Net financial position with banks improved to zero from -€108.6 million at 9m 2024, supported by proceeds from the K-Way transaction.

Financial highlights

• Adjusted EBITDA for 9m 2025 was €39.8 million, compared to €40.6 million in 2024, after accounting for extraordinary items and K-Way transaction costs.

• Royalties from commercial and productive licensees reached €49.9 million, up 12.4% year-over-year.

• Labor costs rose due to retail expansion and K-Way transaction-related hires; sponsorship and marketing costs increased, mainly for Kappa.

• Operating cash flow saw an absorption of roughly €19 million, mainly from trade working capital and advance purchasing for inventory.

• Inventory increased by €10 million and trade payables decreased by €12 million year-over-year as of September.

Outlook and guidance

• Early Q4 sales are in line or better than last year, with strong market appetite; November and December are key months.

• The Q1Q2 2026 order book shows a positive trend compared to the previous year, indicating continued commercial momentum.

• Never-out-of-stock program launched for key K-Way items to avoid inventory shortages.

• Focus remains on sustainable growth and brand value development amid uncertain geopolitical and macroeconomic conditions.

• Expansion plans include new store openings in the UK and Benelux, and further direct retail growth for K-Way.