New Risk • May 11
New minor risk - Financial position The company has a high level of debt. Net debt to equity ratio: 48% This is considered a minor risk. Having a high level of debt increases the company's balance sheet risk. The company has a higher interest repayment burden, leading to the need to allocate a greater amount of its earnings towards servicing the debt, potentially limiting growth options or shareholder distributions. It can also increase the risk of bankruptcy if business conditions deteriorate enough that the company can no longer meet its debt obligations. Currently, the following risks have been identified for the company: Major Risks Shares are highly illiquid. High level of non-cash earnings (37% accrual ratio). Minor Risks High level of debt (48% net debt to equity). Market cap is less than US$100m (€19.6m market cap, or US$23.0m). Reported Earnings • Nov 03
Third quarter 2025 earnings released Third quarter 2025 results: Revenue: €6.24m (up 67% from 3Q 2024). Net income: €211.6k (down 83% from 3Q 2024). Profit margin: 3.4% (down from 33% in 3Q 2024). Over the last 3 years on average, earnings per share has increased by 15% per year but the company’s share price has increased by 29% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Oct 14
Investor sentiment improves as stock rises 28% After last week's 28% share price gain to €64.00, the stock trades at a trailing P/E ratio of 14.1x. Average trailing P/E is 20x in the Luxury industry in Europe. Total returns to shareholders of 129% over the past three years. Reported Earnings • Aug 04
Second quarter 2025 earnings released Second quarter 2025 results: Revenue: €5.30m (up 35% from 2Q 2024). Net income: €335.5k (up 17% from 2Q 2024). Profit margin: 6.3% (down from 7.3% in 2Q 2024). New Risk • May 20
New major risk - Revenue and earnings growth Earnings have declined by 1.5% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks Shares are highly illiquid. Earnings have declined by 1.5% per year over the past 5 years. Market cap is less than US$10m (€8.02m market cap, or US$9.05m). Minor Risk Large one-off items impacting financial results. Valuation Update With 7 Day Price Move • May 06
Investor sentiment improves as stock rises 21% After last week's 21% share price gain to €38.80, the stock trades at a trailing P/E ratio of 11.7x. Average trailing P/E is 19x in the Luxury industry in Europe. Total returns to shareholders of 27% over the past three years. Reported Earnings • Mar 03
Full year 2024 earnings released: EPS: €3.32 (vs €3.51 in FY 2023) Full year 2024 results: EPS: €3.32 (down from €3.51 in FY 2023). Revenue: €19.3m (up 13% from FY 2023). Net income: €671.2k (down 11% from FY 2023). Profit margin: 3.5% (down from 4.4% in FY 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 25% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Jan 29
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to €36.00, the stock trades at a trailing P/E ratio of 3.8x. Average trailing P/E is 16x in the Luxury industry in Europe. Total returns to shareholders of 23% over the past three years. Reported Earnings • Nov 04
Third quarter 2024 earnings released Third quarter 2024 results: Revenue: €4.97m (up 38% from 3Q 2023). Net income: €1.24m (up €1.08m from 3Q 2023). Profit margin: 25% (up from 4.4% in 3Q 2023). The increase in margin was driven by higher revenue. New Risk • Mar 02
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 4.2% Last year net profit margin: 6.5% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (7.1% operating cash flow to total debt). Shares are highly illiquid. Market cap is less than US$10m (€6.33m market cap, or US$6.86m). Minor Risk Profit margins are more than 30% lower than last year (4.2% net profit margin). Reported Earnings • May 06
First quarter 2023 earnings released First quarter 2023 results: Revenue: €4.65m (up 68% from 1Q 2022). Net income: €193.0k (up 234% from 1Q 2022). Profit margin: 4.1% (up from 2.1% in 1Q 2022). The increase in margin was driven by higher revenue. Reported Earnings • Mar 06
Full year 2022 earnings released: EPS: Kn29.57 (vs Kn36.97 in FY 2021) Full year 2022 results: EPS: Kn29.57 (down from Kn36.97 in FY 2021). Revenue: Kn106.9m (down 5.6% from FY 2021). Net income: Kn6.65m (down 20% from FY 2021). Profit margin: 6.2% (down from 7.3% in FY 2021). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 1% per year but the company’s share price has increased by 61% per year, which means it is well ahead of earnings. Reported Earnings • Nov 03
Third quarter 2022 earnings released Third quarter 2022 results: Revenue: Kn29.7m (up 10% from 3Q 2021). Net income: Kn2.33m (up 80% from 3Q 2021). Profit margin: 7.8% (up from 4.8% in 3Q 2021). The increase in margin was driven by higher revenue. Reported Earnings • Aug 02
Second quarter 2022 earnings released Second quarter 2022 results: Revenue: Kn31.8m (up 7.2% from 2Q 2021). Net income: Kn417.4k (down 85% from 2Q 2021). Profit margin: 1.3% (down from 9.2% in 2Q 2021). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 40% per year but the company’s share price has increased by 61% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Apr 27
Full year 2021 earnings released: EPS: Kn36.97 (vs Kn41.87 in FY 2020) Full year 2021 results: EPS: Kn36.97 (down from Kn41.87 in FY 2020). Revenue: Kn113.2m (up 3.4% from FY 2020). Net income: Kn8.31m (down 12% from FY 2020). Profit margin: 7.3% (down from 8.6% in FY 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 48% per year but the company’s share price has increased by 66% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Jun 09
Investor sentiment improved over the past week After last week's 36% share price gain to Kn220, the stock trades at a trailing P/E ratio of 3.5x. Average trailing P/E is 28x in the Luxury industry in Europe. Valuation Update With 7 Day Price Move • Apr 27
Investor sentiment improved over the past week After last week's 36% share price gain to Kn102, the stock trades at a trailing P/E ratio of 2.4x. Average trailing P/E is 32x in the Luxury industry in Europe. Total returns to shareholders of 108% over the past year. Valuation Update With 7 Day Price Move • Dec 16
Investor sentiment deteriorated over the past week After last week's 35% share price decline to Kn70.00, the stock is trading at a trailing P/E ratio of 2.2x, down from the previous P/E ratio of 3.4x. This compares to an average P/E of 31x in the Luxury industry in Europe. Total returns to shareholders over the past three years are 35%. Valuation Update With 7 Day Price Move • Nov 11
Market bids up stock over the past week After last week's 47% share price gain to Kn107, the stock is trading at a trailing P/E ratio of 4.4x, up from the previous P/E ratio of 3x. This compares to an average P/E of 30x in the Luxury industry in Europe. Total returns to shareholders over the past three years are 106%.