Q4 2025 Westwing Group SE Earnings Call Transcript
Key Points
- Westwing Group SE (XTER:WEW) increased its adjusted EBITDA by 84% year over year, reaching €44 million with a margin of 9.8%.
- Free cash flow more than doubled year over year to €34 million, with a net cash position of €92 million at the end of 2025.
- The company successfully launched its website and app in 10 new countries and opened 7 new stores.
- Westwing's Western collection business grew by 17% year over year, strengthening its premium brand positioning.
- The company made significant progress in sustainability, reinforcing climate targets and social standards with suppliers.
- Revenue growth was modest at 1.1% year over year, which is below the initial guidance range of 4 to 2%.
- The changes in product assortment led to negative topline effects, impacting growth in the DA segment.
- There are concerns about weaker consumer sentiment and increased competition, particularly in Germany, the company's largest market.
- The geopolitical situation, including the conflict in the Middle East, is expected to negatively impact top-line growth in the near term.
- The company anticipates margin and cost pressures, especially in the first half of the year, due to the current macroeconomic environment.
Good morning everyone and thank you for joining us for our earnings call on the full year of 2025.
My name is Andreas King. I'm the CEO of West Wing. I'm hosting the call together with Sebastian Westrich, our CFO.
Looking at today's agenda, I will begin by providing key updates on our business for the full year 2025, after which Sebastian will share the details of Westwing's financial performance. We will then walk you through a financial recap of the first two phases of our three-step value creation plan and share what we will focus on in 2026. Sebastian will then present how strategy and current expectations translate into our guidance for 2026.
After our investment highlight summary, we will be happy to take your questions.
Let's take a look at Westwing's key achievements of 2025.
We were able to increase our adjusted FDA by 84% year over year, reaching â¬44 million at an adjusted FDA margin of 9.8%. Revenue increased by 1.1% year by year. GDP growth was slightly stronger at +2% year
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