Boozt AB (publ)

Q2 revenue grew 13% year over year, and EBIT margin nearly doubled to 6.5%. Gross margin reached 40.1%, up 1 percentage point year over year, driven by better product margin, less discounting on Boozt.com, and a mix shift toward Boozt.com versus Booztlet. Other revenue grew 6% in the quarter. Adjustments totaled SEK 39 million, including SEK 28 million in share-based payments and SEK 11 million tied to closing the B2B shop initiative. Cash generation over the last 12 months was more than SEK 600 million, and Q2 cash was just above cash breakeven. Management confirmed the outlook upgrade announced on 29 June, said full-year sales guidance implies 7% to 13% growth for the second half, and noted CapEx expectations moved toward the high end of prior guidance because of extra investments at the Copenhagen headquarters.

Hermann Haraldsson framed the quarter as proof that the 2025 transition work is paying off and said Boozt is now entering its main season from a position of strength. He emphasized three strategic drivers: a broader, more inspirational assortment, AI-led improvements to the customer journey, and a stronger local commercial organization built around the Copenhagen headquarters. He also said the company is narrowing its focus on the core business, closing the B2B gift shop, and going into autumn/winter with more and better inventory than last year.

Michael Bjergby highlighted that growth was broad-based and stronger among both new and existing customers, which he said points to higher-quality earnings. He pointed to a gross margin of 40.1%, up 1 percentage point year over year, and said the improvement came from real product margin, less discounting, and a mix shift toward Boozt.com. He also discussed SEK 39 million of quarterly adjustments, more than SEK 600 million of cash generated over the last 12 months, Q2 cash just above breakeven, and a buyback expansion that takes expected repurchases to around SEK 400 million this year and around SEK 850 million over the last 2 years.

Analysts focused on how much of Q2's 13% growth came from better demand versus easier comparisons, and management said it was mainly driven by Boozt's own structural changes, though consumer optimism improved somewhat during the summer. Questions also centered on AOV, with management explaining Boozt.com AOV fell because new customers bought fewer items per basket initially, while returning cohorts are spending more over time. Analysts pressed on margin sustainability, marketing efficiency, and capital allocation; management said pricing discipline should hold in H2, marketing efficiency should improve over the long term but with less immediate benefit in H2, and buybacks are appropriate because the company still has a strong balance sheet after funding inventory growth.