NewPrinces (NWL) investor relations material

Executive summary

• Q1 2026 consolidated revenues reached €1.5 billion, up 122.5% year-over-year, driven by acquisitions, portfolio expansion, and integration of new businesses.

• Adjusted EBITDA rose 21.3% to €76.5 million, with margin improving to 5.1% from 3.9% year-over-year.

• Net loss narrowed to €22.6 million from €34.8 million, reflecting improved operational efficiency and early synergy benefits.

• Free cash flow (excluding real estate) was €41.4 million, with a 41% conversion rate; underlying FCF was €31.4 million.

• Strategic real estate investments of €26.9–27 million in Q1 are expected to enhance long-term returns and reduce lease liabilities.

Financial highlights

• Revenues reached €1,496.6 million in Q1 2026, up 122.5% year-over-year; underlying demand remained stable despite deflation.

• Adjusted EBITDA increased to €76.5 million, margin up to 5.1% from 3.9%.

• EBIT loss reduced to €4.4 million from €12.8 million loss last year.

• Net cash position (excluding IFRS 16) at €317.5 million, stable versus year-end.

• Gross profit margin improved to 10.4% from 9.2%, supported by procurement and cost optimization synergies.

Outlook and guidance

• FY2026 retail EBITDA guidance upgraded to €110–120 million, reflecting strong Q1 performance.

• Margin improvement anticipated in H2, driven by further integration, procurement strategies, and synergy capture.

• No significant disruptions expected from commodity price volatility due to skilled procurement.

• M&A pipeline active, with at least one deal expected in the next 1–2 months.

• Focus on operational efficiency, economies of scale, and logistics optimization to support margin recovery.