BHG

Profitability despite challenging environment
– Long-term investments in the technology and customer platform continue – in order to take advantage of unchanged, long-term growth trends – while focus on profitability is prioritised

HIGHLIGHTS

1 April-30 June
· Net sales increased 10.1% to SEK 3,908.5 million (3,550.6). Organic growth was -8.1% and pro-forma organic growth was -7.4%
· Gross profit increased 3.4% to SEK 975.6 million (943.2), with a gross margin of 25.0% (26.6)
· Adjusted EBIT amounted to SEK 162.2 million (278.0), corresponding to an adjusted EBIT margin of 4.2% (7.8)
· Cash flow from operating activities amounted to SEK -161.8 million (336.1)
· Earnings per share amounted to SEK 1.44 (1.63) before dilution and SEK 1.43 (1.62) after dilution

1 January-30 June
· Net sales increased 14.7% to SEK 7,019.1 million (6,118.4). Organic growth was -4.5% and pro-forma organic growth was -3.0%
· Gross profit increased 10.7% to SEK 1,817.3 million (1,641.0), with a gross margin of 25.9% (26.8)
· Adjusted EBIT amounted to SEK 296.4 million (461.8), corresponding to an adjusted EBIT margin of 4.2% (7.5)
· Cash flow from operating activities amounted to SEK -40.1 million (455.6)
· Earnings per share amounted to SEK 2.34 (2.61) before dilution and SEK 2.33 (2.58) after dilution

Key events during and after the period
· BHG Group AB received SEK 1,000 million via a directed issue of 16,393,443 shares on 4 May. The issue was oversubscribed, and a large number of Swedish and international institutional investors as well as certain shareholders participated in the issue. The aim of the issue was to increase BHG’s financial preparedness for future growth initiatives, primarily organically and through acquisitions, as well as to maintain financial flexibility.

CONFERENCE CALL IN CONNECTION WITH PUBLICATION OF THE QUARTERLY REPORT
Adam Schatz, President and CEO, and Jesper Flemme, CFO, will hold a conference call at 10:00 a.m. on Wednesday 20 July in connection with the publication of the interim report. The call will be held in English. To participate, please call +46850516386 (PIN 9149078#) or visit https://tv.streamfabriken.com/bhg-q2-2022. The presentation will be available from the Group’s website: https://www.wearebhg.com/investors/presentations/.

QUARTERLY REPORTS ON WWW.WEAREBHG.COM
The full quarterly report for the period January-June 2022 and previous quarterly and year-end reports are available at https://www.wearebhg.com/investors/financial-reports/