MYT Netherlands Parent B.V. (MYTE) 12 Nov 222023 Q1 Earnings call transcript

Ladies and gentlemen, greetings, and welcome to the Mytheresa First Quarter of Fiscal 2023 Earnings Conference Call [Operator Instructions]. Today's call is being recorded, and we have allocated 1 hour for prepared remarks and Q&A. It is now my pleasure to introduce your host, Martin Beer, Mytheresa, Chief Financial Officer. Thank you, and over to you, sir.

Thank you, operator, and welcome, everyone, to Mytheresa investor conference call for the first quarter of fiscal year 2023. our Kliger. is today me CEO, Michael With

and Before that cause results forward-looking our I the would risks forward-looking statements. uncertainties, described to risks remind report. you like to Many statements are differ discussions expectations our comments and make materially. we subject including actual we to and begin, Any about are in today annual uncertainties will include could factors

no duty to update statements. under forward-looking are We

in reported with to certain financial this addition, IFRS In will call. not on we refer measures accordance

can reconciliations our over call Web will is our You find financial I of measures the Relations earnings available to these in Michael. Investor site non-IFRS mytheresa.com. turn which at investors. press release, now on

to call you, joining Thank you for all today. thank you, Also warm of my Martin. and our from side, a welcome very

today will fiscal of XXXX. We performance and on results first comment of quarter our year the

We are results. extremely with pleased our

ongoingly geopolitical in accelerated Our resilience very the excellent strength Furthermore, more shown we and continuation in quarter of first the the top profitability. and challenging XXXX, its previous in quarter fiscal what first of business which economic we quarters. in good year once is has Mytheresa line has saw types. delivered growth

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have we model. agile Second, a very created diversified business and

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run design were for was We on bags for ETRO, the access. featured of exclusive show which of also first very key the partner bags on is the first with Love for luxury partner collection way exclusive the collaborations with Director, launch Creative the exclusive exclusively Our Examples Trotter new quarter first brand Mature investor of winter anticipated of and styles Devisenso Blay Marco engagement for continually the of highly the islet for Mytheresa Please day Love reason XXXX. from details exclusively customer first our year include show. on to clear launch Veneta, new on high-end available quarter exclusive presentation more the of customers ultimately Potiga the us. of brand see fiscal in and from Gucci Moncler giving focus as for the the Mytheresa collaborations brands from on

luxury of spend course, online predict shopping. only luxury personal luxury goods a that to engage be such revenue true and and collaborations provide through still unique brand with of This us unique continued the Our Pain online. customers excite build base. to relationships high-end top, shift on very then growing long-lasting the XXXX, of and ability of consumers Alta-gamma will by XX% and sustainable comes with

menswear growth see all very well on the investor Second, States, fiscal which such categories, in of look presentation events products. growth Mytheresa fiscal first as lifestyle business continue let's quarter first is events Also in GMV drove all to presence, XX.X% a grew geographic markets, life above-average compared XXXX. our growth terms of see key XXXX, model. for and as with We the our and agile fiscal In launched Please In category recently kidswear United brand of lineup more details to year United the as and achieved across across XXXX. one we home of we featuring quarter of womenswear, plus of our again year an diversified the customer this we in and strong States. QX our growth with year on the regions.

Hearst partnered for daily a womenswear Gabriella the hosted also X Madison and high-impact York the We Park New Fashion during Week with activities restaurant. lunch marketing XX physical for digital at and

for program of China first customers, publicized China. our by as Pacific Chinese Despite and commitment marketing year personal compared our see more by to create we XXXX. to visibility program. luxury profile days, raise of well actually Chinese investor support launch two In fiscal presentation on this Please Mytheresa we'll as and quarter the significant public quarter designers XXXX designer invest first our in a quarter. first Additionally, the GMV Mainland announced for region. in to into covid-related details July, for grew highly clear President We our this Steven and in the Xu challenges and the in for shoppers grew ongoing new the China Asia of our XX.X% plus staff has China for as team

category life in now In business of platform the grew a first brands the model, year also of terms model expand to CPM, of but quarter not Diversity, fiscal our ship to on our Qurate only drop continue seven XXXX. basis we model,

reminder, the inventory customers we allows and the which us to a remains ownership as control management brand, them. the serve the curate allows and wholesale for Just with inventory under model, CPN do better as for our while

As our quarters, selling. growth a previous on price achieved full continued focus with in the GMV we

fiscal of 'XX in presentation rates the positive XXXX. increased cohorts repurchase new XXXX the X.X% QX the see Please Our cohort year details average first value our fiscal respective year repurchase quarter The versus LTM for order more acquired first quarter. on year showed of 'XX year plus compared QX investor by fiscal rates. fiscal cohort to trend in in customer

XXXX. XXXX. year results about bottom these the of translated fiscal quarter. of model. Martin for fiscal All agility all compared few Our first XX was customer the finally, we acquisition very first our costs fiscal And XXXX achieved which the in healthy growth year minutes talk with in our a only higher line quarter increased into by excellent year moderately a in this quarter demonstrate of margin, X% profit will basis KPIs gross first how points the to business

key can customers the accompanied top Beckham these experience in with of Third, satisfaction, iconic experiences the the as top year strengths excellence his the Net with in for of buy the Monaco achieved indicator functions is celebration shoe first of and flawless the for birthday in high particular, measured customers let's include across can Victoria the is Promoter level which Furthermore, in satisfaction a design customer care our consistency party. them. This we this Christopher services. very outstanding true operational first of home Mytheresa, XXXX. money a and Kane technology is operations, personal our for top for the achievable key being all A the dinner Cucinelli, quarter for Score by Examples warehouse only at And a XX.X% look fiscal with quarter in Borneo himself. customers and part customer reached internally quality high of customer the in of of exhibition execution an business. by including Solomeo,

progress continued first change Finally, operational against also report. Mytheresa today requirements. its positive excellence published sustainability means recently

the with our by report. the that above, report usage achievement per XXXX. carbon million the fiscal XX% details With for highlighted EURX emissions should Some electricity resold Please in strongly and as our we COX renewable year women the our presentation for products positions all by positive order communicated come no leadership believe for XX% VitaColegtive. neutrality XXXX of year change customers in this shipped, of of investor more it full more worth decrease company, for XX% include achievements surprise the company, targets in than in see partnership of fiscal a of our on Mytheresa

in growth. that and discuss our results hand one believe strength to as I quarter. consolidating few We financial over our with e-commerce business space. results in now satisfied Martin to winners And model, We delivering performance see extremely clearly consistency are our fundamental of detail. the of demonstrate the the We the the ourselves in first luxury profitable

factors mentioned the XXXX, XXXX Unless ended details to now provide the year fiscal quarter review influencing Europe. some numbers you, stated, results performance. of XX, I Thank our additional Michael. all September refer the we'll of previously financial first will of and on otherwise

As first Michael are with XX.X% million, a prior September we quarter. satisfied was million the highlighted, year the to EURXXX.X quarter running extremely EURXXX.X increase from in July in results. GMV our at from

We XX the is customer one war existing active have the of in throughout able to as engagement customer unique relationships. robust a continue shopped our quarter, of accelerate and to retention grow positioning and grew key from our value resulting strong remarkable last in negative the new quite and excellent shows us Customer drivers depth This performance, Ukraine consumer sentiment cohort Mytheresa growth customers it as and with first in GMV outbreak is performance XXX,XXX. highlighting online the who customer been a year of to by our growth XXXX XX.X% we In resilient to months due delivered March. growth. the GMV the calendar despite and luxury.

or million. quarter, XX.X% During year-over-year sales to the $XX.X EURXXX.X first million increased net by

net quarters, transitioning model. curated previous sales to impacted brands in As by our is reported platform

of fiscal During year brand under 'XX, 'XX. year under platform the X In fiscal model the year as sales the curate the have we 'XX much 'XX, CPM. in second over be quarter brands QX X QX therefore now compared brands X with of fiscal first and to similar only to time. to of the be closer rates operated join expect the to fiscal GMV will operating of of growth year brands fiscal 'XX more we We in half further beyond a few CPM and in net

growth curated is the stated to sales The sales selected lower wholesale is due the GMV increase our before, in purely and in net rates the of As GMV growth model, the our a to model than effect from transitioning financial in between brands quarter. difference effect. accounting onetime platform onetime net

overall be of months for full and transition over stronger brands, again. to Mytheresa. those book It effect similar grow offers Mytheresa. in-season a net GMV CPM in the fee financial top profile growth The model to a As the this for onetime brands, characteristics replenishment platform as enables will with and sales, will we net after line the curator line XX platform due special yields sales profit

the inventory first this position kit in many better ownership saw a addition, pay space quarter of in luxury us. significant grew a brand has growth fortified cycle regions of experiences. in the world other and we parts inventory fiscal the year, we our risks the In only of the again U.S. much the brand as with We the once once maintain has as world. Mytheresa In customer and global online curated leadership of strongly they the as we paid

in of XX% Europe share sales XX% from outside 'XX. to net in Our fiscal 'XX year fiscal QX increased QX year

last the by XX increased shipped Our EURX.XX in total to months million. XX.X% orders

by points increased industry. of consistent increase The gross our with absolute kept executed. figures, to in payment an marketing compared customers cohort costs, expenses X AOE XX.X% in an successful customer from itself. now quarter and profit personal year increase The the customer LTM ratio by the our margin new XX.X% costs margin gross EURX.X logistics with number XX.X% And Adjusted increasing growth AOV X.X% profit basis to and by performance of full higher EURXXX, driven SG&A in shipped. basis EURXX prior by in per positioning, of by year again our perception share points prior and due increased XXX In of the to line compared high as high-end of million PR, excellent equals price an XX expectations. increased a due to CPM events one to of increasing of The Our Mytheresa acquired costs. this the brand period and fully energy order highest GMV percent the XX% especially to of the Shipping to improved share. of level quarter. is reflects the

at and resilience capturing operating effects QX pressures leverage. fiscal 'XX. our an environment X.X% an XX% we and Despite points the and expenses strength and income increases Depreciation key model and our the seen was increased SG&A we'll leadership year through the our and and million consistent year QX in service our period cost income of in share levels we market is Personal in medium the of manage quarter throughout compromise a were Mytheresa of fiscal invest our in an to million in Adjusted $X.X growth market fiscal year. expect thus will current Despite cost compared in fortifying margin to XXXX challenges, million operating the The a have a adjusted is We 'XX. The SG&A excellence. the line as at year EBITDA reported EURX.X of the EBITDA previous our quality in targeted in margin no This our to be those business able EBITDA ratio amortization margin aforementioned to at position. X.X% to fully or net million macro X.X% margin already 'XX. uncertain in our continue cost macroeconomic fiscal sustain with for current EURX the quarter. X.X% of Energy. with decrease QX to long-term strategy, adjusted fiscal basis make quarter. The of in first at compared . absorb the budget, prior personnel cost growth to XXX adjusted full prior ratio adjusted cost X.X% mainly increase and Within uncertainties, and market SG&A trajectory, are in was of we'll Nonetheless, EURXX.X to the year of million year the shows due profitable EURXX

cash Moving the flow to statement.

portion, 'XX. of million EURXX year XX% quicker activities with the warehouse cost or the million paid the our been a flow in previous the year million level delivering upon cash tons year During the shipping paid generated in XXXX, will already. better current the million EURXX of operating warehouse the XX, year's as fiscal to to and EURXX have to assumed XX% our majority be of consumers serve the next total enable ended new including between us will rest for three of seasonal Logic, operating annualization. last EURXX during year cash positive a Construction negative September the and which full same The new remainder flow months quarter, on fiscal

position highly debt ended investor our positive equivalents increase unused presentation, year fiscal to cash of a and revolving availability financial strong and and a a capital-light XX%. September return and in adjusted credit flow, million, had efficient, in outlined to the operating million EURXX.X last we of We XX, free we're In cash employed XXXX. as run quarter facilities cash bank on we XXXX, with our no As capital under the model. EURXX able

individuals, dedicated these times, pressures Asia may bottom line top a strong Turning luxury now a Even cater shown to prices, XXXX. the restrictions line an inflationary Fear also intact. in online overall ongoing luxury current and the a over we energy has recession, fiscal June degree. worth year ending predominant increased but quarters and as for middle much sales performance of a of COVID XX, lesser to resilient the due Mytheresa Europe, upcoming affect unprecedented war high our still expectations in of highly most market of the shopper. to net the are past challenges in

'XX. year fiscal these to cost throughout expect We manage pressures

range This continue the no before, our of in I quality will said of XX% XX% to in EURXXX compromise excellence. sustain in invest personnel range our at million be and and EBITDA GMV X% key we representing make million, in million in EURXX of profit despite our uncertainties, XX% to million, EURXXX XX% to to service EBITDA As to will growth current adjusted to million will to EURXXX growth thus growth. market strategy, fiscal GMV, we and 'XX long-term our growing adjusted and situation share representing EURXXX year leadership remains. to growth less sales the Therefore, position. guidance the EURXX EURXXX predictable. also at our market and With guidance X.X%. the our million prudence, capturing million as margin representing between macroeconomic million, for to XX% an EURXXX medium- with line XX% of Gross fortifying confirm and is

are We and back the upcoming excellent first remarks. macroeconomic for situation the cost transparency turn the the is will performance I months on extremely call concluding by with during satisfied related The our more of will acceleration fiscal to give world year and how the now quarter over pressures. ongoing his affected XXXX. Michael

Thank you, Martin.

of see digital our quarter year expansion online result. based environment achieve We extremely ongoing continued XXXX of consolidation advantage despite ourselves to earnings luxury short-term and fiscal take and with The first positioned global the very platforms shift share satisfied this and in are targets spend. well market opportunities. the challenging to We on the the

to your to that the best consumers, high-value for are And Mytheresa questions. I'd that, operator us open like shopping is. digital experience We ask there with offers the confident multi-brand

first Our of comes Instructions] from the [Operator Oliver Chen from question line Cowen.

if North Europe, could Asia. GMV on we be trends forward, guidance it'd regional color your great some America, Regarding get in looking on

marketplace cautions You have that you out? And the called follow-up in there question. but plenty second of really are good momentum,

of? to how be on environment? U.S. also, model more are shifts And some starting some freshness inventory thoughts And inventory? to and what the in your your intensification we see the accessible luxury the relative sales, of any aware we As We're should promotional growth is

geography speak can inventory. take the me and Let then to Martin you question the

particularly of in will beginning January. we not, challenges ongoing that the If for There be situation the China. will next sure, continue, as since year. becomes that face situation experienced have we may in potential faced have We same more upside We believe Asia, controlled. golden until a

that of beginning we we believe prices is everything been challenges, of see achieve. will the recession have if potential we able is in is for inflation significance. their but our as now. that to growth that that segment, next year is believe continue good upside, an will out We there terms energy it of behavior customer maybe right of in a not now So what Europe, happen already In evidenced large is to

fall, well a for it us So strong the of we was last into that our has Europe commerce, particularly have believe not And that so as we last to as U.S. stronger very next hit. and numbers, that the we will that seen continue believe shown the to remember we high in as year year, heavily expect will U.S. but be continued be. performance into actually you fiscal really QX far place outperformance, was maybe look you

we opportunity So But QX achieve that moment, inventory. the good on trends there will happen so by a based geography, on significant is great at last not the otherwise, an QX numbers. see and in believe what to changes on don't we Martin

we are different to to budget level. levels. at They happy Yes, to inventory we fiscal we Also on over exactly GMV the year's inventory. there, happy inventory expect exactly the are And last and look with around satisfied season be the quite deliveries. if speak

freshness fully front, have to expected satisfy the as on needs. So are customer that and the delivered we

comes JPMorgan. from Our line Boss question the next from Matthew of

growth, acquisition as than customer gross doing customer And in maybe the top new of think Maybe that the first on you're could marketing we up customer acquisition? the ago. more growth about margin customer the strategy, growth, you XX% the just Michael, on how at XX% quarter, that's top top time these So customer then year same expand around the you're cohorts? balancing with a

customer good them. customer more core see customer, but ago age for times, continuing over occasional postpone you seen because always origin year, right acquire cohorts it these purchases, growth the always the to trend is that now as top very are will definitely believe peripheral almost We we to economically word. year a And do the a is customer to And have I a the need luxury So you develop and as of then a is now, growth. if the strong customer say, more challenging better mature continue spend. top may one there

continue see to We that development.

that original targeting, we marketing on where it's can the traffic, refined of is The have immensely really with loyalty the the of really we highlighted nurturing on personal the to buy meet putting news is, our shoppers personal really is, the really long fashion acquisition one-on-one a of like the the done top these couple best the in digital really they place in where operational course, designers calls, as much. be environment unique very of right on that the which times The ad excellence, money have the in it shoppers. deliver as And So are bidding to high bidding much these course, by clients right the belongs. good they centered relationships allow customers. because part so of experiences they

require one duration endless requiring So to They more your and not focus exclusive they but this you and outstanding service. marketing that's the They protect customer, endless are margin. key are strategy and discounts. outstanding requiring on gases,

maybe, Martin, follow up. to And then just

the the full to gross just maybe of about year? gross in first year? the the the in best confidence growth quarter, rest So dollar XX% almost growth the XX% margin to cadence relative XX% think for of to profit for what's And how

significant bit which also than share a is of seasonality but of quarters the always preceding And last to we growth, overall logic this I for profit effects the just guidance, gross fiscal price had of mean and -- I the confirm than margin we XX%. prior have then but between GMV throughout sales you profit guidance and growth comparison its a with don't level by that successful driven and to resilience XX.X%, GMV in full CPM have the to mean, net high line our profit to of between year gross shifts XX%, shown faster we of our gross is we now gross CPM quarters. And But full the This in profit positioning. and slower said. the as and give year business. grew the due growing reflects quarters XX% exactly on brand as compensating year with the have quarterly in the quarter, in P&L the X

Our next line Binetti question Credit of the Suisse. Michael from comes from

on too close how margin discounting much start of to think move much margin And give a Thanks for on how the leverage. in CPM was impact. from marketing all well, before? you little I categories, but foreign the maybe XXXX? And of the bit gross find curious. the maybe did is don't nice comment shipping guys a CAC especially currency much us quarter. much impact said up know how that interesting, marketing to move maybe you Could was But detail. get back we more, be when you then versus as do the below want Congrats quarter into the products, I'd new these you how of year-over-year, some excess XX% change mix your as gross shipping, unpack there the saw On you I that that level X%, can to

prior your buyers lower about first-time quarter. the XX,XXX of was number than So

push growth more the the help just to that the acquisition line? didn't have you or like maybe of to marketing So if us and came harder speak more to existing the have looks from as growth year you customer of to you whether into much. with it continues customers, advertise Can through

in before, will on I the much customer, margin. there correct is as then the mentioned XX I'll months is peripheral is, onetime the and believe the Maybe, observation. Absolutely the out What we gross customer at were one, ago. happening again, Martin last not with Michael, as start as moment is market focus they as I spoke

So first-time good customers. customers acquire seeing mean we lower less that numbers not does of

one a is don't from we churn twice natural customers significant a come that only actually As customers back. items you of which luxury and two, year have of or then know, to share year quite year a buy once

customers customers. good efforts much to we mature our and in as top marketing the become focus so continue that get to over And to XX months as possible really

is So actually if average less up, first-time is shoppers but the what shrinking, is total and in even mix really, then but goes number less pack you quality. is peripheral, the buyers fine. The occasional of happening have an better all

days, All provide days the rates. We you monitored. of constantly is repurchase that XX XX always

we As as more fine, get having But I and total before in the moment top happy the least. then long for it more the fine playing environment, those at the moment. the growth in existing mentioned our have does, actually. numbers strategy on of the top customer we as with is totally from are for in that Martin, And share different as growth GM? slightly statement, at as as get customers than we're is moment works earnings this long customers mix less out to development XX% and

profit gross as growth, growth profit the so the profit gross the driven will year profit And it share than the is by the quarterly, XX%, fiscal much GMV as On sales the rightly why will a increasing quarter seasonality. driven GMV guided But say, net than gross focus to and we should quarterly stronger why go growth, profit relation had full that as in current talked of margin, an the prior fiscal absolute growth margin up less on is you for gross year is around margin different And as for quarter. profit before, main that's than reason is CPM. the I And XX%. expected. gross that gross not full think the XX%, you but margin also by it of the also the be the

in year and sales shift and So QX always and days QX fiscal and year, last day. there's in per QX a in fiscal QX this

And guidance and quarterly so that full much is we in overall in line focus. at very look growing with to logic with for fiscal our is so the confirmed year gross The the not XX% are profit confident GMV. XX% the

next from the of Our Instructions] [Operator from UBS. question Kunal Madhukar line comes

with I up to A the few, to I last if start could. pick want question.

few look at full the smaller the basis, XX% profit Martin, north your leverage a have for definitely growth the XX% In of terms on was significantly a gross quarterly of report the XX% in last of trends quarter to to this than for we quarters. versus of numbers year. target given

understand exactly couple you of can follow-ups. margin? gross So Then the help a what's happening have with us I

where is factors. by we it one lower margin was mean I with the so share, CPM which on factor gross gross margin, quarterly are is not many giving that's deliberately preceding because the influenced the And guidance brand. one much

about in that's gross margin, by mean, quarters. have is Now of and the of why we shown relation or the gross and top last marketing, to the is a brand than lower it also to stability a And EBITDA product brand They bit the And are GMV. in efficiencies profit our the a as before, profit GMV I have stated seven And in relation outlined wholesale line, compensated brands. we those. presentations. overall therefore, we SG&A talked other. in investor in cost also as CPM

take is preceding so CPM one quarter the you if share And factor now.

quarters. in And we we target sales. full in drives this profit target the as to a between XX%, then to maintain and the towards to have one growth quarter. is relation have guide share, we gross a XX% you CPM fiscal profit we achieve Yes, our Second year. growth margin XX% an gross net XX% profit But to increasing for gross the XX% which shifts

And the side. then of couple is One quick a on modeling follow-ups.

was FX? U.S. on And from price implemented FX essentially the much over overall, have You reported much that increases XX.X% of year was then how the we coming what impact? was of or the GMV, And GMV then How the FX so. kind actuate growth impact, past how brands luxury the growth much was in GMV that the

of AIV model X% is quarter, I'll Yes, in about FX XX%. and exposure we and X% Mike, effect quarter talked in in is FX that's increases. our X%. a very effect overall as quarter, this lower. have talk after about we would as well, price growth the the this the can currency last topic or have take is to constant an business And FX this small also our The been why then natural about we hedge maybe FX

obviously, U.S., the the strengthening already it in growth be dollar much number a U.S. the in QX. to higher of Speaking would occurred as the

on equivalent difficult no but because have before. assess a it's bit sell Luxury price we prices, of increase has Yes, on the true. price factor, increased XX% the to is MAGs, brands season what particularly

when multiple at the that seasons. on increased XX.X% only for But X%. So time, bags, number, is shoes Mace by at has AOV look growth, existed the total you model GMV the there same

pieces There some is buy AOV some there customers can't even So it. price We There's sold to expensive is they price impact achieve and X%. compare, of more some XX.X%. here, but you more customers buying though may We but increasing more items, growth there. serve

customers what this Now the really see more is or I willing shoes with to X% say are inflation, so AUV expensive money. yields, there see the inflation, flat. is XX.X% with and are really spend which what you wouldn't you with

Just a then. follow-up quick

of LTM per modestly that over number levels. the orders improved buyer, average XXXX orders, per of terms In

like of are buys Now base of individual base, the times of a of questions wardrobes. individuals? average, this and again reorder. high not the over when how we getting of of in of one that net then worth past keep and your this they frequency, terms buyer think worth the What we really customer customers bought your people then did percentage your come of or is buyer are months net is the much more that back for number terms of base XX high a proportion the what builds once And in

of has customers. actually our of from we we of which been of the last we a detail, of come We XX% to And in actually a XX%, the but back stable, XX% general. two, don't onetime quite customers, retained pattern disclose because that about the back XXX% then as moved -- onwards, sort don't coming one that and that then revenue of year On not to of question, naturally are we so FX XX% XX% two significant in there they customers is year amount disclosed revenue. retain

net In how customers high terms our of worth much individual. of are

think the individuals. But sure, that spend. of of not for wallet always what they there's X/X net our the So best worth over high account all mean are for revenues evidence capture for And this a is every I I part. we large X% customers now that for delivered are on high net even the is times uncertain. a This to very many is GMV that individuals focusing though, at for XX% business in worth economic fact growth. customer and of spend very tough least segments, sure, just digital that that is business a continue

that, And so moment, reason any towards skewed to customer base those our is at feel don't reduce the spending. really

from question next comes Flavio Cereda-Parini Our line of the from Jefferies.

questions three me. possibly two, quick So from

it's a there is there's I color but say just shift quarter, give In on was interesting an and could down us bit what the happened been one one I Germany comparing to wondering terms other one you mix, up and a of the bit. you know quite of geographical rest world. if more little

shift give any for you when And share any expense you to us what compensation in thing, return the Or year? metrics? Second you in significant have is weeks, lastly, particular seen can are remind projected IPO to they us the to comes momentum graph. it recent I was or particular have likely any seen be pass wondering, aligned rates

proportion about rate, and have seen out weeks, share-based of one return three, questions of terms can take and we fluctuations. compensation. in me Martin Let nothing number slight then a increase the in recent On three, talk

a percentage full have the we peaked sale believe by in will fiscal rate, rate presented of return as So for document, our up points. stable year, we return still has but the X

that But high that individuals I probably net region, in of segments. see a more our share that's sentiment that Inside only the conservative. the DACH remember geography, very into also a that question bit higher part. we the Europe, customer that continue your good of is DACH worth to On clearly of is maybe on have even we penetration want because to say not an to performance deepest Europe. So in outside

do Germany, believe quarters, environment, with economic the activations. of us that the of couple well as So invest strong on sure for share and Europe, next the out for Martin? we outside be growth where there, will of And marketing outside we personnel given that's as based,

this On million year, EURX 'XX around and based, compensation we share the share-based next $XX after million. year year, expect that

for IPO IFRS is the and share accounting to comes end this all it's with originating the price an So of This that. $XX. from a

we So $XX to it that stable a million on as share this account year. is price leading for next based year, $XX

next line Schenk Our Cassel from Stanley. Lauren question from Morgan comes of the

a if the question a can margin ask Maybe little bit gross different I way. of in

consistent what the in was margin quarters, you've cited nearly conclusion? the a imply is about guess from decline? so, gross model. we that roughly this that last down underlying gross sort And margin to that the benefit quarter, the If basis driving XXX I assume XXX that So two CPM Is would points. basis right if point of is

I year margin CPM development compared obviously the to mean CPM. the in the QX gross in of the QX, any because have difference in year, the QX the of share be effect preceding cannot we of last the didn't of

effect marketing that. had a the half compensated in very profit points. platform key is model, keeps stable and the basis asset Therefore, example, which And is of already is overall see, the increase in a is profit the a on more CPM effects overall, CPM So the gross SG&A brand by share you overall major pure key and that pool. XXX overall products wholesale the on we model. It the for of much CPM around effect of share lower. brand, In this a QX, decrease curate

So gross very competitors. in level, and to of we compared by curate ability also of the the and highest have fiscal to us platform one net we of which an have one margin bottom to leading the an relation X.X% year and to driven EBITDA the a which the margin the giving industry in sales, increasing gross is highest the profit model the profit X.X%, full one in with line to for highest our a margin, industry guide high

able positioning the selling the similar profit are platform we our happy have very and our enabling models and model pool with to business and of both So price and overall to full to offer to a overall very operate brands. success yielding are Secure the model

overall the between happy development. So there's on very I gross stated, development, fluctuations we as quarters profit mean, always are the

General. of from the Our Sinha Societe comes from next question Abhinav line

if trading that the to already current on terms the of done? seeing want you given just terms half that you're impact. thing FX we some quarter is like just I comment could in -- second confirm of I wondering, -- I And was are in give

the it? is look saying Is have at excluding the would what way XX%. impact, basically, to the GMV correct FX growth So you're been that

a so mean looking exactly. at you of are confident why October, trends reason spoke effect, fiscal exactly. year looking that for those would have also as FX October, impact. current of Yes, QX. lower currency because been the in would continuation on on to growth as trading, I see if guidance is our the we and we is full today, a big the also we And that This at

had I fiscal mean I for we we let current guided there accelerated. on that is was that a achievable out whether current a rightly trading, guidance when clearly me pointed debate see put last we said to mean out year actually skepticism yes, We 'XX. was just bit of mean this we it summarize. Yes, I There I for to last remember continued quarter environment. XX% this XX%. time, the acceleration.

a surprise guide moment, they growth we the to quarter we But growth, XX% in or the focus. I many feel with with it guidance, the and quarter see XX% our the expect the what to which delivered so should that which having we other guidance. above first GMV to terms first XX.X% to what of is, many, digital XX% comes at And regarding already with comfortable terms have more with course, feel customer very of in platforms very come back with in of way confident

follow-up. just And one

year, this you be flow last cash free right? positive, expect So like also, to year

our is this Yes, expectation.

the you for call. your Thank you. for end participation today's question-and-answer have reached session. the we and of Ladies gentlemen, Thank

your disconnect lines. now may You