B&S S A : Quarterly financial report Q1 2023 Trading update B&S Group SA

Q1 2023 trading update

B&S Group S.A.

Organic growth across segments drives turnover growth of 16.0% in first quarter 2023

Mensdorf, Luxembourg - May 15, 2023 (07:00 CET)

B&S Group S.A. ("B&S") tech company in the consumer goods industry, today publishes its trading update for the first quarter of 2023 ("Q1 2023").

Highlights Q1 2023 (compared to Q1 2022)

Overall turnover increased by 16.0% to € 525.9 M (13.6% at constant currency), of which 14.7% organically (12.3% at constant currency);

Overall gross profit margin as a percentage of turnover remained stable;

Staff costs increased due to the growth in workforce and wages ;

Other operating expenses increased mainly due to advisory and marketing costs.

B&S Group S.A. - Q1 2023 trading update | 2

Bas Schreuders, CEO: "B&S has gotten off to a good start in 2023. We diligently executed on our strategy, leading to a 16% increase in turnover for the quarter. Whereas turnover in the Food segment was stable, all other segments showed strong increases, with an outperformance in Retail and Personal Care. While inflation continues to impact both our cost base as well as consumer behavior, we were able to keep our gross profit margins.

We continued to grow our workforce compared to last year as a result of the acquisition of the Europe Beauty Group, the opening of new logistic centers for FragranceNet to accommodate further growth and the opening of new airport shops in the Retail segment.

Our balance sheet and liquidity remained healthy in Q1 2023.We will continue to develop new business models and evolve our digital backbone to accommodate for further growth."

Segmental review

The 2023 turnover levels exceeded 2022 levels by 16.0%, which mainly originated from organic growth. All segments, except for Food which remained stable, contributed to increased turnover level.

Turnover split per segment

B&S Liquors

The 16.7% growth in turnover for the Liquor segment when compared to Q1 2022, was mainly driven by increased demand for specialty items in the international market. The gross profit margin however decreased due to increased product availability in the market, a trend which was seen during the latter part of Q4-2022. The wholesale business realized a turnover increase of 2.1%.

B&S Group S.A. - Q1 2022 trading update | 3

B&S Beauty

The B2C business, including Europe Beauty Group, which was acquired in 2022, was the main contributor to the turnover growth for the Beauty segment. In Q1 2023, margin levels remained stable compared to Q1 2022, back to normalised pre-COVID levels, with marketing and shipping expenses at par compared to the same period last year.

B&S Personal Care

Turnover for this segment increased by 31.6% as a result of its well managed stock position in a tight market. The broad variety of in-stock items, including the enhanced Private Label assortment, enabled the segment to meet increased demand of its customers.

B&S Food

Overall turnover was flat compared to Q1 2022. Our Food Service distribution showed a strong turnover increase compared to Q1 2022, as a result of the post-COVID recovery of the business. Within the Brand Distribution services turnover decreased, yet gross margin increased. This resulted from the increased focus on margin development instead of volume growth.

B&S Health

Turnover for the segment increased by 14.3% compared to Q1 last year. This is mainly the result of continued recovery of the travel related vaccine business . Market conditions in Q1 2023 improved slightly compared to 2022, although there continue to be shortages of supplies in the market.

B&S Retail

Compared to Q1 2022, which was impacted by the aftermath of the COVID-19 crisis, turnover increased significantly (+42.8%). Last year, the number of stores opened and the number of flight movements was significantly lower than this year.

B&S Group S.A. - Q1 2022 trading update | 4

Cash flow & financial position

Our balance sheet and liquidity remained healthy in Q1 2023. Working capital and working capital in days decreased when compared to the first quarter last year. This is in line with increased availability (as compared to Q1 2022), increased focus on stock rotation and working capital management.

Outlook

We continue to see uncertainties related to inflation and we expect consumer buying behavior to remain a factor impacting turnover and margin levels in 2023. For the remainder of 2023, B&S projects to continue its topline growth yet at a less steep growth percentage than in 2022, and a slight improvement in gross margin when compared to 2022. This will be driven by focusing on higher-margin business rather than volume-driven sales. Staff costs are expected to continue to increase and we will enhance our focus on cost control management.

Conference call

Our CEO Bas Schreuders and CFO Mark Faasse will host an analyst call at 10:30 CET this morning to discuss the Q1 2023 trading update.

The call will be recorded and archived for playback purposes and will be available on our website shortly after the call.

B&S Group S.A. - Q1 2022 trading update | 5