DGAP-News

Westwing Group AG: Capital Markets Day 2021 - Westwing targets EUR 1 billion in revenue and more than EUR 100 million in Adj. EBITDA profitability by 2024/25 - Seite 2

Next to growth and profitability targets, Westwing's strategy also includes a clear brand ambition: Westwing aims to be the most desirable consumer Home & Living brand for Home Enthusiasts, by creating the most inspiring customer experience and being its customers' most loved brand. This ambition will be underpinned by Westwing's core competencies: creativity and inspiration. To further strengthen this core, Westwing's creative team will grow from currently over 200 team members to over 400 team members by 2045/25.

"After a decade in the market, we are now ready to embark on the next chapter for Westwing," says Stefan Smalla, Founder & CEO of Westwing. "With our strategy and targets 2024/25 we have quantified the exciting opportunity for the coming years and developed a clear strategic pathway to EUR 1 billion in annual revenues. At the same time, we believe that this is only the beginning. Even with our targeted revenue of EUR 1 billion by 2024/25, we will be at less than 1% market share in European Home & Living. The long-term opportunity is massive, and we will invest decisively into profitable future growth".
 

Long-term target profitability raised

Furthermore, Westwing is raising the long-term target profitability to 15% Adj. EBITDA on today's Capital Markets Day, confirming the very attractive profitability of its consumer love brand strategy. The pathway to meet the long-term target profitability is based on three strategic drivers.

Firstly, based on the proven scalability of Westwing's business model, profitability will increase with a growing number of customers and the scale effects those bring. Secondly, Westwing will drive the share of its Westwing Collection from currently 31% of GMV to the strategic target of 50%. The Westwing Collection is the highly profitable own brand of Westwing. Thirdly, Westwing will seize the value opportunity in its International segment, which currently has a significant profitability upside potential compared to the well-established and highly profitable DACH segment.