Ekornes QM Holding Group – Third quarter 2025 results

30 Oct 2025 09:03 CET

Q3 2025 Highlights (Q3 2024 / first nine months 2024 in brackets)

• Operating revenues of NOK 858 million (852), up 1% year-over-year with higher
prices offsetting lower sales volume

• Gross operating earnings (EBITDA) of NOK 110 million (115), slightly down due
to increased investments in marketing including studio upgrades and digital
communication

• Year-to-date gross operating earnings (EBITDA) of NOK 436 million (284),
driven by improved gross margin of 73% (71%) and gains on currency forward
contracts (NOK 17 million realized, NOK 69 million unrealized)

• Net cash flow from operating activities negative at NOK 24 million (26),
mainly due to marketing investments and changes in other time limited records

• Solid financial position, with cash of NOK 823 million as at 30 September 2025
(832)

• Order intake of NOK 878 million, down 1% year-over-year, leaving the order
reserve at NOK 456 million as at 30 September 2025 (480)

Navigating increased uncertainty
The third quarter 2025 continued the trend seen in the previous quarter with
increased uncertainty and high sales volatility. Soft order intake from the
second quarter and seasonally lower activity led to low production output during
summer holidays, reducing third quarter revenues by 9% from the previous
quarter. Compared to the third quarter 2024, revenues grew 1% with increased
product prices offsetting the lower volumes.

Order intake grew 7% from the second quarter 2025 to NOK 878 million, although
with large monthly variations, and order intake for the first nine months of
2025 indicates a continued soft development with market visibility remaining
low. The Group is monitoring the situation closely and is prepared to adapt to
prevailing market conditions as required.

“Adding to high cost of living, changes to regulatory framework have materially
impacted the furniture industry in recent months, increasing uncertainty and
impacting retailer and consumer confidence. Addressing the challenges, we are
evaluating short-term mitigating actions, primarily within operational
adjustments and cost reductions. Longer term, we are considering larger supply
chain adjustments, although this will take time to execute and requires more
clarity on framework conditions”, says Tine Hammernes Leopold, CEO of Ekornes.

Amid challenging markets, Ekornes maintains a strong financial position, with
the leverage ratio well within the bond covenant and solid liquidity. The
company has initiated preparations to refinance and optimize its capital
structure in the coming quarters.

Entering the remainder of the year, Ekornes has several planned marketing
activities for the important Black Friday campaigns and Christmas season. The
organization is modernizing its brands, including updated retail studios and
increased digital marketing for Stressless® and product portfolio development
and store upgrades for IMG, expected to support sales going forward.

The complete financial statements for the third quarter and first nine months
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 31 October 2025 at 09.00 a.m. CET.

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:
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658298_Ekornes QM Holding Group - Financial statements for the third quarter 2025.pdf