DGAP-News: tonies delivers very strong performance in the first half-year with continued momentum in international markets and confirms guidance for full-year 2022

tonies delivers very strong performance in the first half-year with continued momentum in international markets and confirms guidance for full-year 2022

• Group revenue growth of +36.7% YoY to EUR 84.4 million driven by all regions
• Significant revenue growth in strategically important US market of more than +400% YoY driven by successful retail penetration
• Adjusted EBITDA margin increased slightly to -7.8% despite challenging situation in raw material markets and global supply chains
• Guidance confirmed: group revenue at EUR 250 million (+33% YoY), US revenue at EUR 52 million (+156% YoY) and slightly improved Adjusted EBITDA margin compared to full-year 2021 (2021: -8.1%)
• tonies SE admitted to the Prime Standard of the Frankfurt Stock Exchange, the standard with the highest transparency requirements in Europe

LUXEMBOURG, 25 August 2022 // tonies SE ("tonies"), a leading international digital audio platform for children, announced results for the first half-year 2022, ended on 30 June 2022. Following a successful start to the year, tonies continued its very strong performance over the course of the first half-year with customer growth across all markets and an improved Adjusted EBITDA margin compared to previous year period.

Marcus Stahl, Co-Founder and Co-CEO, says: "We are very happy with the team´s performance in the first half of the year and it clearly shows that we are on the right track with our strategy. In a macroeconomic environment characterized by drastic raw material price increases, tense supply chains and deteriorating global consumer sentiment, we once more achieved significant revenue growth and improved our Adjusted EBITDA margin compared to the previous year period. This outcome is even ahead of our ambitious plan, and I am very proud of all tonies employees and their great commitment during these challenging times.

Group revenue increased by +36.8% YoY to EUR 38.5 million in the second quarter (Q2 2021: EUR 28.1 million) and for the first half-year 2022 revenue grew by +36.7% YoY to EUR 84.4 million (H1 2021: EUR 61.8 million). All regions contributed with at least double-digit revenue growth. On a regional basis, the strongest growth contribution was achieved in the US market, where revenue rose by more than +400% YoY. This performance was driven across all channels as we successfully continued to execute our growth strategy, including an ongoing strong brand build-up. Revenue in the profitable DACH market grew by +12.9% YoY driven by new product launches of Tonies figurines and new accessory categories. In Rest of World, revenue increased significantly by +172.6% driven mainly by UK and France. Beyond that, we further increased our presence in Europe via our newly launched European Webshop. Overall, the regional share of revenues outside of DACH increased from 9% in H1 2021 to 25% in H1 2022.

On the product side, Tonieboxes revenue was up by +39.0% YoY in the first half-year 2022 to EUR 20.6 million and Tonieboxes have now been activated in more than 100 countries. The revenue of Tonies figurines also showed a significant growth of +33.4% YoY to EUR 60.1 million driven by blockbusters such as Paw Patrol and Disney´s Rapunzel. The Accessories & Digital revenue increased by +94.8% YoY to EUR 3.7 million. Here, we expanded our portfolio by adding new categories including backpacks and wooden Tonie shelves.

Contribution margin (i.e. revenue after all revenue-related costs), increased from 24.3% of revenue in H1 2021 to 28.2% of revenue in H1 2022. We faced the expected headwinds on gross margin (H1 2022: 57.9% versus H1 2021: 60.9% in) due to higher material and logistics costs. However, we were able to supply our customers with planned product volumes and secured alternative sources of supply for scarce semiconductor chips. Additional benefits of our multiple-source procurement strategy as well as lower licensing costs, efficient fulfillment and mix effects had a positive impact on the contribution margin.

In accordance with our profitability strategy and driven by the improvement of contribution margin, we achieved an increased Adjusted EBITDA margin of -7.8% in H1 2022 compared to -8.6% in the previous year period.

tonies confirms its guidance with expected revenue of EUR 250 million for the group and of EUR 52 million for the US. This corresponds to a group revenue growth of +33% YoY and for the US of +156% YoY. tonies still expects a slightly improved Adjusted EBITDA margin compared to the previous year (2021: -8.1%).

As of August 25, the shares of tonies SE will be traded in the Prime Standard segment of the Frankfurt Stock Exchange a sub-segment of the Regulated Market, which represents the transparency standard with the highest requirements on the Frankfurt Stock Exchange and even throughout Europe. With this change, tonies underlines its claim to transparency and further increases the attractiveness of its shares for investors.

tonies SE will hold a presentation on its first half-year 2022 results on Thursday, 25 August at 11 am CET. All details can be found under https://tonies.com/en-gb/ir/?tab=financial-calendar.

Including tonies SE first half-year 2022 report, all publication documents are available on tonies Investor Relations Website. On 24 November 2022, tonies publishes its Q3 2022 results.

About tonies

tonies is the creator and publisher of tonies®, the innovative and award-winning audio system for children aged three and up. Consisting of the Toniebox and the matching audio figurines - called Tonies - the system makes audio content touchable and enables a completely new kind of listening experience: audio play. Launched in 2016 in Germany, Austria, and Switzerland, tonies® is now available in twelve different countries on two continents and offers a portfolio of over 600 Tonies. tonies employs over 300 people and has been listed on the Frankfurt stock exchange through tonies SE since 2021.

Investor Relations Contact

Manuel Bösing

Head of Investor Relations

Phone: +4915157846012

Mail: ir@tonies.com

This document contains forward-looking statements

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 Disclaimer

By their nature, forward-looking statements involve several risks, uncertainties and assumptions that could cause actual results or events to differ materially from those expressed or implied by the forward-looking statements. These risks, uncertainties and assumptions could adversely affect the outcome and financial effects of the plans and events described in this document. These forward-looking statements speak only as of the date of this announcement. Except as required by any applicable mandatory law or regulation, the tonies SE expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained in this document to reflect any change in the tonies SE's expectations with regard thereto or any change in events, conditions, or circumstances on which any such forward-looking statements are based. Neither tonies SE nor any other person accepts any responsibility for the accuracy of the opinions expressed in this document or the underlying assumptions.