Ekornes QM Holding Group – Second quarter 2025 results

29 Aug 2025 11:50 CEST

Q2 2025 Highlights (Q2 2024 in brackets)

• Operating revenues of NOK 942 million (975), down 3% year-over-year and 15%
quarter-on-quarter mainly on a weaker development for IMG
• Gross operating earnings (EBITDA) of NOK 109 million (132), slightly down due
to increased marketing activities
• Net cash flow from operating activities of NOK 125 million (79), with the
increase mainly reflecting reduced trade receivables
• Solid financial position, with cash of NOK 910 million as at 30 June 2025
(882)
• Order intake of NOK 819 million, down 5% year-over-year, leaving the order
reserve at NOK 444 million as at 30 June 2025 (451)

RESILIENT PERFORMANCE IN VOLATILE MARKETS
After a strong first quarter with revenue growth and improved profitability, the
second quarter started off with increased volatility and large regulatory
uncertainties caused by the US tariffs introduced in the beginning of April.
This affected quarterly revenues where Stressless® revenues ended 1% down from
the second quarter 2024 to NOK 717 million, while IMG revenues declined 13% to
NOK 165 million.

The order intake also showed a particularly weak April as retailers became
hesitant to place orders, before sales gradually recovered through June.
Developments to date in the third quarter indicate a continued sideways trend,
and markets are expected to remain volatile going forward.

“Our operating model is resilient, delivering solid financial performance also
under challenging market conditions. Regulatory uncertainty persists with
rapidly changing trading conditions and low visibility. However, leveraging
Ekornes’ track record of navigating uncertainty, we will continue to adapt as
required, utilizing our international footprint to strengthen competitiveness
and flexibility across markets”, says Tine Hammernes Leopold, CEO of Ekornes.

Ekornes maintains a solid financial position with cash holdings of NOK 910
million and a leverage ratio well below covenant requirements. This provides
financial flexibility to support ongoing strategic initiatives, as well as
preparing the company for a refinancing and optimization of its capital
structure in the coming quarters.

In parallel, the strategic transformation of Ekornes is progressing according to
plan. Modernizing the organization continues with a new matrix structure
launched in June, designed to drive efficiency, strengthen collaboration and
foster innovation across brands and markets. Combined with continued product
portfolio optimization, brand modernization and targeted operational
improvements, these initiatives reinforce Ekornes’ competitiveness and position
the company to create long-term value as the preferred furniture producer for
Nordic quality, comfort and style.

The complete financial statements for the second quarter 2025 for Ekornes QM
Holding Group is attached hereto and is also available at
www.ekornes.com/en/investorrelations.

The company will host a conference call for investors, analysts and other
stakeholders on 1. September 2025 at 09.00 a.m. CEST.

To join the event, use one of the following access numbers:
NO: +47 2195 6342
DK: +45 7876 8490
UK: +44 203 769 6819
US: +1 646 787 0157
SE: +46 406 82 0620
CH: +86 10 8783 3196
Hong Kong: +852 3 018 4836

Participant code: 676485

For more information, please contact:
Fredrik Ødegård Nilsen, EVP and CFO Ekornes
fon@ekornes.com
Tel: +47 48 09 00 96

Kjetil Iversen, VP Group Finance
kjetil.iversen@ekornes.com
Tel: +47 90 60 24 54

About Ekornes QM Holding Group
Ekornes QM Holding AS was founded in 2018 in connection with the delisting of
Ekornes from the Oslo Stock Exchange. The Ekornes Group is the only operational
part of the Ekornes QM Holding Group. Ekornes was established in 1934 and is the
largest furniture producer in Norway, owning the brand names Ekornes®,
Stressless®, Svane® and IMG. Stressless® is one of the world’s most well-known
furniture brands. Production takes place at the Group’s eight factories, five of
which are in Norway, one in USA, one in Thailand and one in Lithuania. Ekornes
sells its products in more than 4,000 outlets in 40 countries globally, either
through own sales companies or via importers.

Norwegian ultimate parent company Ekornes QM Holding AS is a subsidiary of Qumei
Home Furnishings Group. Qumei Group owns 94,12% of the shares in Qumei Runto S.à
r.l and Hillhouse investment owns 5,88% of the shares in Qumei Runto S.à.r.l.
Qumei Runto S.à.r.l. owns 100% of the shares in Ekornes QM Holding AS.

More information:
Access the news on Oslo Bors NewsWeb site

654250_Ekornes QM Holding Group - Financial statements for the second quarter 2025.pdf