half year report 2015 - amazon s3 · 4 euromonitor international ltd., analysis of baby and toddler...

Half Year Report 2015January - June 2015

windeln.de AG - Half Year Report 2015

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Table of Contents

windeln.de Group at a Glance

Interim Group Management Report

Basic Information on the Group

Economic Report

Subsequent Events

Risks

Opportunities

Outlook

Consolidated Interim Financial Statements

ConsolidatedStatementofProfitandLossandotherComprehensiveIncome

Consolidated Statement of Financial Position

Consolidated Statement of Changes in Equity

Consolidated Statement of Cash Flow

Condensed Notes to the Consolidated Financial Statements

Service

Glossary

Financial Calendar

Imprint


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windeln.de Group at a Glance


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InterimGroupManagementReportasofJune 30,2015

1.BasicInformationontheGroup

1.1OrganizationalStructureoftheGroup

windeln.deAG(“windeln.de”)istheparentcompanyofthewindeln.degroup.OnApril16,2015windeln.dechanged

its legal form from windeln.de GmbH to windeln.de AG.

1.2BusinessModel

windeln.de isoneof the leadingand fastestgrowingonline retailers forbaby, toddlerandchildrenproducts in

Germany,Austria,SwitzerlandandItaly.Windeln.deprovidesaconveniente-commerceofferingservicetheneeds

ofyoungfamilies.Windeln.deoffersmorethan100,000productsfromover1,000brands,whichyoungparentscan

comfortablyorderonline.Theofferrangesfromdiapersandbabyfoodtochildfurniture,toys,clothing,strollers

andcarseats,makingwindeln.deaone-stopshopforparents.

Windeln.depursuestwodistinctbusinessmodels.Throughthewebsites‘‘windeln.de’’,‘‘windeln.ch’’,‘‘kindertraum.

ch’’,‘‘toys.ch”and“pannolini.it”,windeln.deoffersabroadrangeofimmediatelyavailableproducts.Theseareheld

onstock inorder topermit fastdelivery. Theonlineshop“windelbar.de” isanonlineshoppingclubthatoffers

registeredclientsafast-changingassortmentofproductsatsignificantdiscountstoregularretailprices.Deliveryof

theseproductstakes2-3weeksafterordering.

The company also sells baby products to customers China. To provide a convenient shopping experience to Chinese

customers,windeln.dehasi.a.integratedAlipayin2013andlaunchedaChinesetranslationofthewebsitein2014.

TheGroupservesitscustomersfromthreewarehouses(Grossbeeren,MunichinGermanyandUsterinSwitzerland).

Deliverytocustomers ishandledbynationaland internationalparceldeliveryservices.Windeln.dealsorunsan

offlineshopinGrünwaldandandashowroominUster/Switzerland.

1.3Strategy

windeln.de’sgrowthstrategyisgearedtowardsbecomingtheleadingpure-playonlineretailerservicingtheneeds

of young families in Europe and for Chinese customers. To achieve this objective the Group pursues the following

strategies:

• GrowshareoftotaladdressablemarketinDACHregionandChinabygrowingthecustomerbaseinthese

regions as well as increasing the order volume per customer.

• ExpandregionalfootprintintootherEuropeancountriesthroughacombinationoftargetedacquisitionsof

locally established businesses with a compelling market position and organic growth in such markets.

• Expandproductofferingbyaddingnewmerchandiseinordertofurtherincreasetheattractivenessofour

offeringtocustomersaswellastocross-sellintohigher-marginnon-consumableproducts.IntheDACH

region windeln.de focuses on products for young mothers, whereas in China German quality non-

consumable products for babies and toddlers will be added.


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2. Economic Report

2.1GeneralEconomicConditions

Beingapureonlineretailerforbaby,toddlerandchildrenproducts,theGroupisstronglyinfluencednotonlyby

thegeneraleconomicdevelopmentandconsumersentimentbutalsobythedevelopmentofe-commerceandmail

order.

Germany’seconomyisstillontheupside.TheKielInstitutefortheWorldEconomy(IfW),forecastedaGDPincrease

of1.8%forthecurrentyear,acceleratingto2.1%in2016.Duetothepersistentlyfavourablemonetaryconditions

private consumption and the upturn in investment continued to be the most important drivers of the economy.

Apartfromthat,exportswerestimulatedbythedeclineinthevalueoftheEuro.Theinflationisontheriseagain

andisexpectedtoreach2%intheupcomingyear1.Therisksofaneconomicdownturn,resultingfromadeepening

oftheGreekcrisis,arethoughttobemuchsmallerthanpredictedafewyearsago.

Netretailsalesare5.1%higherincomparisonwiththesameperiodinthepreviousyear,accordingtotheFederal

StatisticalOffice(Destatis).Ecommerceandmailorderevenachievedgrowthratesof16.8%2. The positive outlook

forGermany isonly lessenedbyaslightdecreaseof the ifobusinessclimate index in June from108.5 to107.4

points3.

Incontrast,theglobaleconomyisperformingpoorlywithworldproduction,measuredintermsofpurchasing-power

parities,expectedtoriseonly3.4percentin2015–amoderatepaceofexpansioninhistoricalcomparison.Especially

economicdynamicsinChinaremainedverysubdued.Despiteanupturninindustrialoutputandincreasingretail

sales,theIfWexpectsafurthereconomicslowdown.Initsfirsttwoquarterstheeconomygrewbyonly1.4%and1.7

%respectively,comparedto7.4%lastyear.

2.2IndustryrelatedEconomicConditions–Marketforbabies,toddlersandchildren

German and European Market Characteristics

Thetotaladdressablemarketforbaby,toddlerandchildrenproductsinGermanyisestimatedtobeworthEUR 4.2

billionin2014forbabiesintheagegroupof0to3yearsandaccordingtotheGroup’sownestimatesEUR 8.4billion

in2014forbabiesandchildrenintheagegroupof0to6years4. Customer demand in this market exhibits limited

cyclicality,supportedbyrelativelystablebirthratesandhighlypredictablecustomerneedsandshoppingpatterns.

From2009to2013,thecrudebirthrate5inGermanyincreasedby4.9%from8.1to8.56.

TheEuropeanmarketforbaby,toddlerandchildrenproductsisveryfragmented.AccordingtotheGroup’sown

estimates,theEuropeanmarket(excludingGermany)forbaby,toddlerandchildrenproducts(agegroupof0to3

years)hadatotalsizeofEUR 28.2billionin2014andatotalsizeofEUR 56.5billionin2014forbabiesandchildrenin

theagegroupof0to6years.Thus,theEuropeanmarketisabout7timeslargerthanthetotaladdressablemarket

in Germany7.

1IfW20152FederalOfficeofStatisticsGermany,(https://www.destatis.de/DE/PresseService/Presse/Pressemitteilungen/2015/07/PD15_275_45212.html)3ifoInstitut20154EuromonitorInternationalLtd.,AnalysisofBabyandToddlerProductsRetailinGermany,Februar2015(commissionedbythecompany)(„Euro-monitor“)5Thecrudebirthraterelatestothenumberofbirthsduringtheyeartotheaveragepopulationinthatyear.Thevalueisexpressedper1,000inhabitants.6EurostatDataEuropeanCommission,January2015,Crudebirthrate:http://ec.europa.eu/eurostat/tgm/download.do?tab=table&plugin=1&lan-guage=en&pcode=tps001127CompanyestimatesextrapolatedfromdataprovidedbyEurostat


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GermanandEuropeanE-CommerceMarket

The growth of the e-commercemarket for baby consumables and other baby and toddler products is of key

importance to the Group.

Consumers have increased their online retail spend on baby consumables and other baby and toddler products

fromEUR 265.8million in2011 toEUR 392.8million in2014.Hence, theGroupbelieves that theonlinemarket

shareofthetotalmarketforbaby,toddlerandchildrenproductsinGermanyislikelytoincreaseoverthemid-term.

Euromonitorexpectstheonlinemarketsharetoexpandfrom9.3%in2014to12.1%in2017.Thiscorrespondstoa

marketvalueofEUR 4.4billionin20178.

The Group believes that the online channel is highly suitable to market baby consumables given similar

characteristics to product categories such as consumer electronics, consumer appliances or fashion (including

apparelandfootwear)thatalreadyshowsignificantonlinepenetrationrates.Baby,toddlerandchildrenproducts

aretypicallybranded,non-perishableandarepurchasedwithhighfrequency.Thisoffersasignificantopportunity

for theonlinepenetration to increaseover time.Moreover,demand forbaby, toddlerand childrenproducts is

highlypredictablewhileexhibitinglowcustomizationrequirements.Inaddition,theabilitytoshopatanytimefrom

anywhereandhavingtheproductsdeliveredincreasesconveniencesignificantlycomparedtothetraditionaloffline

retail shopping experience.

TheGermanonlinemarketforbaby,toddlerandchildrenproductsremainslargelyunderpenetratedcomparedto

otherproductcategoriessuchasconsumerelectronics,consumerappliances,fashion(apparelandfootwear)or

beauty and personal care.

Acrossallproductcategories,Germanonlineretailpenetrationisexpectedtoincreasefrom6.1%in2013to11.2%

in2018,butwillstill lagbehindtheUKandNorway9.OthermajorEuropeanmarketssuchasFrance,Spainand

Italy lag behind even further and are expected to grow with roughly the same momentum. The Group believes that

e-commercepenetrationaswellasonlineinfrastructureandusagewillcontinuetogrowthroughoutEurope.

ChineseCross-BorderE-CommerceMarket

windeln.de also serves the Chinese cross-border e-commerce market where Chinese consumers access and

purchasedirectlyfromforeignonlineretailers.ThetotalmarketvalueisestimatedatEUR18.4billion10. Concurrent

to thecontinuous increasedisposable income,demand for foreignhigh-qualityproducts isalso increasing.The

productcategoriesprimarilypurchasedonlinefromoverseasarecosmeticsandpersonalcareitems(56.8%)aswell

asmaternalandchildproducts(55.3%)11.TheChinesecross-bordere-commercemarketisexpectedtogrowfrom

currentlyCNY128.4billion(approximatelyEUR 18.4billion)tooverCNY372.2billion(approximatelyEUR 53.5billion)

in2017.

In2014,thecross-borderonlineshoppingmarketformaternalandchildrenproductsreachedatotalofCNY53.2

billion(EUR 7.6billion),accountingfor41.5%ofthetotalcross-borderonlineshoppingmarketinChina12.

8SeeFn4,Euromonitor9eMarketerInc.,RetailSalesWorldwideWillTop$22TrillionThisYear,http://www.emarketer.com/Article/Retail-Sales-Worldwide-Will-Top-22-Tril-lion-This-Year/1011765#sthash.ijARW0lp.dpuf10IResearchConsultingGroup,2015Chinacross-borderonlineshopperbehaviourreport,January2015,statisticalmodelandonlinesurveycon-ductedoniClick,(erstelltimAuftragdesKonzerns)(“IResearch”)11SeeFn10,IResearch12SeeFn10,IResearch


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Theriseofcross-borderonlinebabyproductshoppingisdrivenbyseveralstructuraltrends.Withmorethan16.9

millionbirths in2014anda forecasted increase to17.9millionbirths in201513, theChinesebabymarket is set

togrowsubstantially.ThistrendisaidedbytherelaxationoftheChineseone-childpolicythatbecameeffective

inNovember2013.Additionally,anincreasingnumberofbabiesarebeingfedwithinfantmilkformulainlieuof

breast-feeding.TheChinesemilkformulaconsumptionhasincreasedby110%from346.6ktonsin2009to727.8k

tons in201414. The rising demand for foreign high quality products is also due to past scandals with local baby

formulaproducts.FurthermorethemiddleclassinChinaisrising,withaforecastedCAGRof7.9%GDPpercapita

from2014to201915.Forthesereasons, theGroupbelievesthattheChinesebabymarketwillcontinuegrowing

substantially in the coming years.

2.3BusinessDevelopmentandSignificantEvents

2.3.1BusinessDevelopment

Inthefirsthalfof2015,theGroupwasabletosuccessfullyachieveitsgrowthobjectives.

Thecustomerbasegrewfurtherinthesecondquarterof2015.TheGrouphad613kactivecustomerswhomadeat

leastonepurchasefromwindeln.deinthelasttwelvemonths(556kinthefirstquarterof2015).

TheGroupcontinuedtowidenitsrangeofproducts,i.e.byintroducingthewell-knownbiobrandAlnatura.

InMay2015,theItaliansubsidiaryPannolini.itS.r.l.launchedthewebshop“pannolini.it”.Simultaneously,“Cashon

Delivery”,whichisfrequentlyusedbyItaliancustomers,wasintroducedasanewpaymentmethod.

In thefirsthalfof2015,windeln.dealso introducedthefirstprivate label “Dimbo-World”.Thebrandoffershigh

qualityleathershoes,producedbyexternalpartners.Theshoesaresoldthroughtheshoppingclubwindelbar.de

and have a comparably high margin potential.

2.3.2SignificantEvents

IPO

OnMay6,2015,windeln.deshareshavestartedtradingontheregulatedmarket(PrimeStandard)oftheFrankfurt

stock exchange.

Theofferingrelatedtothesaleof11,404,899ordinarybearersharesofthecompanywithno-parvalue(Stückaktien),

eachsuchsharerepresentinganotionalvalueofEUR1.00andwithfulldividendrightsfromJanuary1,2015,consisting

of5,400,000newly issuedordinarybearershareswithno-parvalue (Stückaktien) fromthe IPOcapital increase,

4,517,304ordinarybearershareswithno-parvalue(Stückaktien)fromtheholdingsofthesellingshareholdersand

1,487,595ordinarybearershareswithno-parvalue(Stückaktien)inconnectionwithapotentialover-allotment.

13ChinaPopulationAssociationreadonChinaInternetInformationCenter,January2015,http://www.china.org.cn/china/2015-02/10/con-tent_34781027.htm14EuromonitorInternationalLtd.,PackagedFood2015edition15InternationalMonetaryFund,October2014,http://www.imf.org/external/pubs/ft/weo/2014/02/weodata/weorept.aspx?pr.x=24&pr.y=7&sy=2010&ey=2019&scsm=1&ssd=1&sort=country&ds=.&br=1&c=924&s=NGDPDPC&grp=0&a=


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TheperiodduringwhichinvestorscouldsubmitpurchaseordersfortheoffersharesinthepricerangefromEUR

16.50toEUR20.50beganon23April2015andendedon5May2015.Thehighdemandfrominvestorssignificantly

exceededthenumberofsharesofferedforpurchase.TheCompanysettheofferpriceatEUR18.50on5May2015.

windeln.degeneratedcashflowofEUR97millioninthecourseoftheIPO,afterdeductingthebasefeewithheldby

banks and not considering the proceeds from the preferential allocation program for employees (see below). The

Greenshoe option granted by the underwriters was not exercised.

InconnectionwiththeIPO,windeln.desetupapreferentialallocationprogramforthebenefitofallemployeesof

the group to allow them to participate even more in the development of its business. Employees had the opportunity

toacquiresharesfreeofcharge,sharesatadiscountpriceandsharesatfullpricewithaguaranteedallocation.The

preferentialallocationprogramwasverywellreceived,270employeesparticipated.

AcquisitionofFeedoSp.zo.o.

OnApril17,2015,theCompanyenteredintoanacquisitionagreementregardingtheacquisitionofFeedoSp.zo.o.

withitsonlineshops‘‘www.feedo.cz’’,‘‘www.feedo.sk’’,‘‘www.feedo.pl’’.FeedoSp.zo.o.isafastgrowingpure-play

onlineretailerfocusingonbabyandtoddlerproducts.IttargetscustomerslocatedintheCzechRepublic,Poland

and Slovakia.

Inthefinancialyear2014,FeedoSp.z o.o.generatedconsolidatedrevenuesofapproximatelyEUR 6malmostallof

whichweregeneratedfromCzechcustomers.Withthisacquisition,theGroupintendstoexpandintotheEastern

European market.

Astheacquisitionwassubject todifferentclosingconditions,whichwerenot fullymetasof June 30,2015,and

windeln.deAGdidnothavecontrolovertheFeedoGroup,theFeedoGroupwasnotconsolidatedasofJune 30,

2015.

Formation of a further Group Company

AsofApril 24,2015windeln.deAGhasestablishedpannolini.itS.r.l.asa100%subsidiary.Asaservicecompany,the

company will provide intercompany services in connection with the access to the Italian market.

In the secondquarter 2015,windeln.deworkedonbuilding up the Italian online shop. After translation of the

productoffering,thewebsite“pannolini.it”wentliveinMay.

Management Board

Themanagingdirectorsofwindeln.deGmbH,AlexanderBrandandKonstantinUrban,havebeenappointedas

membersofthemanagementboardofwindeln.deAG.Inaddition,Dr. NikolausWeinbergerhasbeenappointedas

a member of the management board.

Supervisory Board

Thefollowingsixpersonswereappointedasmembersofthefirstsupervisoryboardofwindeln.deAG:Dr.Christoph

Braun,FaustoBoni,NenadMarovac,DavidReis,FrancescoRigamontiandWilliSchwerdtle.WilliSchwerdtleisthe

chairman of the supervisory board.

AsofApril 21,2015therehasbeenachangeinthesupervisoryboard.FaustoBonihasleftthesupervisoryboardat

hisownrequestandDr.EdgarCarlosLangehasbeenappointedasmemberofthesupervisoryboard.


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CreditLine

OnApril 9,2015windeln.deAGenteredintoasecuredcreditframeworkagreementwithDZBANKAGDeutsche

Zentral-GenossenschaftsbankintheamountofEUR 4m.TheCreditFrameworkAgreementissecuredbyinventory

and assignment of receivables (Globalzession). It is subject to customary covenants, for example themonthly

compliancewithcertainliquidityratiosbytheCompany.TheagreementterminatesonMarch 31,2016.

Thetotalcreditlineofwindeln.deamountedtoEUR14masofJune30,2015.

2.4Netasset,financialandincomepositionofthewindeln.deGroup

Financial Position

ConsolidatedStatementofProfitandLoss

Inthefirsthalfof2015,theGroupgeneratedrevenuesofEUR 75,026kequalinganincreaseof85%comparedtothe

firsthalfof2014(EUR 40,637k).TheGroupwasabletosignificantlyincreaserevenuesinallregions,onlineshopsas

well as across all product categories. The increase in revenues is also attributable to a growing number of orders as

well as a larger base of active customers that placed at least one order within the past twelve months.

Themargin (grossprofit in relation to revenues) increased in thefirsthalf of 2015by3% to26%compared to

thepriorperiod.Comparedtothesecondquarterof2014themarginincreasedevenby4%.Thepositivemargin

development is primarily attributable to the increase in sales of higher-margin products as well as improved

purchasing conditions with suppliers.

Inthefirsthalfyearof2015,sellinganddistributionexpensesincreased.However,with103%relativetogrossprofit

theywerelowerthaninthepreviousperiod(124%).Thisispartlyattributabletoloweraveragetransportcostsdue

to improved rates.


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Administrativeexpensesinrelationtogrossprofitrosedisproportionallyfrom43%to50%.Ontheonehand,this

wasduetoagrowingnumberofemployees.Inparticular,thedepartmentsIT-administration,finance,legal,strategy

&expansionhiredadditionalemployeesinordertorealizemajorcurrentandplannedprojectssuchastheIPO,

acquisitionsand the further (organic) internationalization (e.g. Italy).Additionally, in thefirsthalfof 2015, stock

optionswereissuedtoadditionalmembersofthemanagementteamandthemanagementboard,thathadpartially

beenvested in thepast.Becauseof thehighercompanyvalue in thefirstquarterof2015,additionalexpenses

wererecognizedforcash-settledshared-basedcompensation.Ontheotherhand,theincreaseinadministrative

expensescanbeexplainedbyexpensesrelatedtotheIPO,mostlyintermsofcostsforlegal,consultingandauditing

services.Inthefirsthalfof2015,EUR 1,561kwererecognizedinsuchcontext.

Inthefirsthalfof2015,otheroperatingincomeandexpensesincreasedbyEUR 2,471respectiveEUR 290kcompared

to the prior year period. Other operating income includes internal and external costs passed on to shareholders in

connectionwiththeIPOintheamountofEUR 2,059k.

Furthermore,highercurrencygainsofEUR 308kstoodagainstcurrencylossesofEUR 288k.Thegroupincreased

its business in different currencies than the functional currency. The group recorded an increasing volume of

receivables inSwissFrancs. Inaddition,thevolumepurchasedfromforeignsuppliersoutsidetheEuroareahas

grown,especiallyrelatedtowindelbar.

Inthefirsthalfyear2015,earningsbeforeinterestandtaxes(EBIT)decreasedfromminusEUR 6,105kby31%to

minusEUR 8,021k.RelativetorevenuesEBITimprovedfrom-15 %to-11%.

ThefinancialresultdecreasedfromEUR 2,613kinthefirsthalfof2014tominusEUR 96kforthefirsthalfof2015.

Inthepreviousperiod,thevaluationofaderivativeinstrument(theconditionalpurchasepricereimbursementin

connectionwiththeacquisitionofwindeln.chAG)atfairvalueresultedinanincomeofEUR 2,661kwhileinthefirst

halfof2015,expensesofEUR 86kwererecorded.

The increase in taxexpenses fromEUR 88ktoEUR 1,528k ismostlyattributable to thewrite-offofdeferredtax

assetsofwindeln.deAGasthecompanydoesnotrecognizedeferredtaxassetsduetoalackingprofithistory.

TheprofitorlossfortheperiodchangedfromminusEUR 3,580kinthefirsthalfof2014tominusEUR 9,645kinthe

firsthalfof2015.Thisismainlyattributabletotheoverproportionalincreaseinadministrativeexpensesaswellas

thenegativefinancialresultinthefirstquarterof2015incomparisontothepositivefinancialresultinthesame


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timeperiodin2014.

OtherConsolidatedFinancialData

Earningsbeforeinterestandtaxes(EBIT)isadjustedforgroupmanagingpurposesbyexpensesrelatedtoshare-

basedpayments,byexpensesrespectivelyincomeconsideredasextraordinaryand/ornon-recurringinconnection

withtheIPO,acquisitionsandintegrationofnewsubsidiariesaswellasexpensesinconnectionwiththeexpansion

of the group.of the group.

TheadjustedEBITincreasedfromminusEUR4,453kinthefirsthalfof2014tominusEUR3,965kinthefirsthalfof

2015.Theimprovementmainlyresultedfromtheincreasinggrossprofitin%ofrevenues(26,2 %inthefirsthalf

of2015comparedto22.7%inthefirsthalfof2014)aswellasthedisproportionalincreaseoffulfilmentcostsand

adjusted other selling and distribution and administrative expenses compared to the revenue increase.


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Income Position of the Segments of windeln.de Group

ThegrowthoftheGrouphasbeenconsistentacrossallsegments.Inthefirsthalfof2015,thesegment

windeln.deachievedgrowthinrevenuesof80%,thesegmentwindelbarof113%andthesegmentwindeln.chof

124 %comparedtopreviousyearperiod.

Forassessing theoperational resultof thesegments, thecompanyalsoconsidersEBITandEBITmarginbefore

expenseswith respect to share-basedpayments aswell as extraordinaryornon-recurringexpensesor income

relatedtotheIPO,acquisitions,theintegrationofnewsubsidiariesandexpansion.ThecalculatedKPIsarenamed

adjustedEBITandadjustedEBIT-margin.

ThepositivedevelopmentoftheadjustedEBITwasmainlyduetothesegmentwindeln.de.Inthefirsthalfof2015,

windeln.dewasabletoachieveanadjustedEBITmarginof5.2%comparedto-0.1%inpreviousyearperiod.Windeln.

chwasabletoimprovetheadjustedEBITmarginfrom-70.1%to-31.3%.

Income Position of the Regions of windeln.de Group

TheGroupsubstantiallyincreaseditsrevenuesacrossallregions.Inthefirsthalfof2015,revenuesincreasedby

88%intheDACHregion,82%intheChinaregion,and90%in“other/restofEurope”,comparedtotherespective

prior year period.


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Financial Position

In the first half of 2015, the group generated a negative cash flow from operating activities in the amount of

EUR 3,817,whichisanimprovementof26%comparedtothepreviousyearperiod.Thepositivedevelopmentcan

be explained by the increase of current liabilities.

CashflowfrominvestingactivitiesincreasedtominusEUR 1.209k(prioryearperiod:minusEUR 447k).Thecash

outflowresultsfromincreasinginvestmentsintothewebshopwhichisinlinewiththeincreaseofintangibleassets.

Cashflow fromfinancingactivitieswas significantlypositivewith EUR 93,761k. This ismainlydue to the IPO in

May2015. In thefirstquarterof2014,cashflowfromfinancingactivitieswaspositiveduetoafinancinground

(EUR 9.388k).

Theequityratiohasincreasedfrom61%asofDecember 31,2014to86%asofJune 30,2015.Thisisprimarilydue

tothecapitalincreaseinconnectiontotheIPO(EUR99,823k).

Inaddition,asofJune 30,2015,obligationsinconnectionwithsharebasedpaymentarrangementswererecorded

inthesharepremiumaccount(EUR 9,814k)duetomodificationsdonetotheprograminthefirstquarter2015.

OppositeeffectsresultedfromtheoveralllossofEUR -9,645kandcostsinconnectionwiththeissuanceofcompany’s

equityintheamountofEUR -3,259k,whichwererecordedinequity.

Inthefirsthalfof2015,threenewcontractsforcreditlineswereclosedwithinthegrouptoprovidefurtherfinancing

possibilitiesbesidesequityfinancing.

On March 18, 2015 windeln.de AG entered into a secured borrowing base credit framework agreement with

CommerzbankintheamountofEUR 5m.TheborrowingBaseCreditAgreementissecured,inparticular,byinventory

andassignmentofreceivables(Globalzession). It issubjecttocustomarycovenants,forexamplethecompliance

withcertainliquidiyratiosbytheCompany.TheBorrowingBaseCreditAgreementterminatesonMarch 18,2016.

OnMarch 20,2015windeln.deAGenteredintoasecuredrevolvingcreditfacilityagreementwithDeutscheBank

intheamountofEUR 5m.TheRevolvingCreditFacilitywasenteredintoforanindefinitetermandissecuredby

inventoryandassignmentofreceivables(Globalzession).

OnApril 9,2015windeln.deAGenteredintoasecuredcreditframeworkagreementwithDZBANKAGDeutsche


andassignmentofreceivables(Globalzession)andissubjecttocustomarycovenants,forexamplethecompliance

withcertainliquidiyratiosbytheCompany.TheagreementterminatesonMarch 31,2016.

AsofJune 30,2015theoverdraftfacilityinconnectionwiththisagreementwasdrawnbyEUR 5k.


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Financial Status

Asof June 30, 2015 total non-current assets increased to EUR 5,337k (December 31, 2014: EUR 4,523k). This is

primarilyattributabletoadditionallycapitalizeddevelopmentcostsfortheonlineshops,whichexceedamortization

in the same period.


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CurrentassetsamountedtoEUR 147,775kincomparisontoEUR 52,521konDecember 31,2014andhavetherefore

risenby181%.

Thisismainlyduetothestrongincreaseofcashandcash-equivalentsbyEUR 88,735kduetotheIPOoftheparent

Group company.

Inventories increasedbyEUR 3,380k in linewith thegroup’sgrowth toensureeven fasterdelivery. Since2015,

windeln.de additionally purchases full containers of products in order to get better supplier conditions due to larger

volumes.

CurrentfinancialassetsincreasedbyEUR2,622k.ThisismainlyduetothereimbursementofIPOcostsasofJune

30,2015,resultinginclaimsagainstthesellingshareholdersofEUR2,222k.

Asof June 30,2015equityamountstoEUR 131,619kandsignificantlyexceededthe levelofDecember 31,2014

(EUR 34,621k).Forfurtherexplanation,seechapter“FinancialPosition”.

Non-current liabilitiesdecreasedbyEUR 6,205kincomparisontoDecember 31,2014.Thismainlyresultedfrom

themodificationoftheexistingshare-basedpaymentagreementstoequity-settlement.AsofDecember 31,2014,

theobligationswererecognizedascash-settledsharebasedpaymentsundernon-currentliabilities(EUR 6,349k).In

thefirstquarterof2015,theseobligationswerereclassifiedintosharepremium.AsofJune 30,2015,equitysettled

share-basedpaymentsintheamountofEUR 11,249karerecognizedinsharepremium.

Inthefirsthalfof2015,currentliabilitiesincreasedbyEUR 5,275kcomparedtotheendof2014,duetoincreased

accountspayablesbyEUR 4,753k.Ontheonehandinventorywasbuiltupwhichcausedahighernumberofinvoices

fromsuppliers.Ontheotherhand,therewerehigherliabilitiesduetotheIPOinrelationtolegalandprofessional

fees. There is anopposing effect that the grouphasdrawnonly EUR 5kof the facility line as of June 30, 2015

(December 31,2014:EUR 1.505k).

AsofJune 30,2015theamountofthetotalassetsamountedtoEUR 153,112k,whichissignificantlyabovethevalue

asofDecember 31,2014(EUR 57,044k).

ConclusionThefirsthalfof2015waspositiveforthewindeln.degroupasrevenuesincreasedandEBITmarginimproved.


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2.5Non-financialPerformanceIndicators

In a prior-year comparison the key performance indicators for our corporate management show a positive

development.Thenumberofactivecustomersincreasedfrom372thousandasofJune 30,2014to613thousand

asofJune 30,2015.Thenumberoforderssignificantlygrewcomparedtothepreviousyearperiodby59%to913

thousand(575thousandinprioryearperiod).Both,thegrowingnumberofcustomersaswellasthe increasing

numberofordersweredrivenbysignificantlyhigherwebsitetraffic.Thenumberofsitevisitsgrewby84%from

15,807thousandasofJune 30,2014to29,084thousandasofJune 30,2015.InMay2015ournewItalianonlineshop

pannolini.it went live.

2.6Employees

Thenumberofemployeesgrewfrom398asofMarch31,2015to440asofJune30,2015(bothnumbersincluding

the employees outside of Germany). This increase is mainly due to additional personal hired in the administrative

area as well as in IT.

3. Subsequent Events

3.1AcquisitionofBebitusRetailS.L.

On10August2015,theCompanyenteredintoanacquisitionagreementregardingtheacquisitionofBebitusRetail

S.L.(“bebitus”).Bebitusisafastgrowingpureplayonlineretailerspecializedinbaby-andtoddlerproducts.Basedin

Barcelona,bebitustargetscustomerslocatedinSpain,PortugalandFrance.In2014,revenuesamountedtoapprox.

EUR7m.

TheaggregatepurchasepriceamountstoapproximatelyEUR5millionplusadditionalpurchasepricepayments

which are subject to thebusiness reaching certain revenue targets for the years until 2017. The closing of the

acquisitionissubjecttoconditions,thattodatearenotyetallfullymet.


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3.2AcquisitionofFeedoSp.z o.o.

WiththeapprovalofthetransactionbythesupervisoryboardonJuly 3,2015,thelastclosingconditionmentioned

intheacquisitionagreementregarding100 %ofthesharesinFeedoSp.z o.o.,datedonApril 17,2015,wasmet.

AsofJuly 3,2015,thefollowingcompaniesareina100 %ownershipofthegroupandthereforetheyhavetobe

fullyconsolidatedasofthisdate.:FeedoSp.z o.o.(Warsaw,Poland),MyMedias.r.o.,(Prague,CzechRepublic)and

MyMediaSp.z o.o.(Warsaw,Poland).

3.3 Capital Increase

After balance sheet date the company performed two capital increases relating to the acquisition of Feedo (partly

paidinshares),andtheemployeestockoptionprogram.Thereby,thesharecapitalwasraisedtoEUR25,745,826.

4. Risks

4.1StrategicRisks

Negative developments in general economic conditions could adversely impact consumer spending for some of

the group’s product categories. The future success ofwindeln.de further depends on the continued growth of

e-commerce.

The group is subject to intense competition that presents a constant threat to the success of the business. Failure

to provide customers with an attractive online shopping experience could limit growth and prevent the group from

achievingormaintainingprofitability.

TheplantoexpanditsbusinessinternationallywillexposetheGrouptoavarietyofdifferentlocallegal,regulatory,

tax and cultural standards which it might fail to comply with. The company aims to counter this risk by the necessary

legal consultation.

In order to expand the offering across Europe and into newproduct categories,windeln.de expects to pursue

acquisitionsofothercompanies,businessesorassets,anyofwhichcouldresultinsignificantadditionalexpenses,

failtoachieveanticipatedbenefits,orfailtobeproperlyintegrated.

ThegroupisheavilydependentonthesalesofbabyfoodproductstocustomersinthePeople’sRepublicofChina.

Ifthebusinessenvironmentshouldchange,thiscouldhaveanegativeeffectontheresultsofoperationsandnet

assets of the group.

Futuresuccesswilldependontheabilityofwindeln.detocross-sellnewandhigher-marginproductstoitscustomers.

4.2 Operative Risks

The Group is dependent on a limited number of suppliers of baby nutrition and diapers and there is a risk that the

supplierscoulddiscontinuesellingtowindeln.deonfinanciallyviableterms,failtosupplyitwithhigh-qualityand

compliantmerchandise,orfailtocomplywithapplicablelawsorregulations.Bymaintainingclosecooperationwith

suppliersandthroughon-goingqualitycontrolofthegoodsthegroupaimstominimizethisrisk.

InordertoexpandtheofferingacrossEuropeandintonewproductcategories,theCompanyexpectstopursue

further acquisitions of other companies. The future success of windeln.de is dependent on the successful integration

of said acquisitions.

Anyfailuretooperate,maintain,integrateandscalenetworkandmobileinfrastructureandothertechnologycould

haveamaterialadverseeffectonthegroup’sbusiness,financialconditionandresultsofoperations.Afailureto

adopt and apply technological advances in a timely manner could limit growth and prevent from achieving or

maintainingprofitability.


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windeln.dedependsonkeymanagementandmaybeunabletoattractsuitablyqualifiedpersonnel.Also,thereis

theriskthatexecutivemanagersleavethecompanyandasuitablereplacementcan’tbefoundintime.Thegroup

countersthisriskbyofferinglong-termremunerationmodels.

5.Opportunities

Theonlineshareinthemarketforbaby,toddlerandchildrenproductsinGermanyisrelativelylowcomparedto

otherproductcategories(i.e.consumers’electronics,shoes,etc.),whichofferspotentialforgrowth.Studiesexpect

ayearlygrowthoftheonlinemarketshareof12.1%intheyears2014to201716.

TheGrouphasgreatpotentialtoexpandintoothermarketsoutsideofGermany.InEuropethee-commercemarket

showshighgrowthratesasitdoesinGermany.InmostEuropeancountriestheonlineshareinthemarketforbaby,

toddlerandchildrenproducts isstillsignificantly lower than inGermanyandthereforeoffersadditionalgrowth

potential.

TheEuropeanmarketsarefragmentedwithnodistinctmarketleaderinmostEuropeancountries,whichprovides

the opportunity for consolidation. windeln.de AG was able to successfully integrate windeln.ch AG (formerly

KindertraumAG)afteracquisition–oneofthefastestgrowingonlineretailersforbabyandchildrenproductsin

SwitzerlandinthefirstQuarterof2014.Goingforward,theGroupplanstomakefurtheracquisitionsinordertoto

take advantage of inorganic growth in addition to its organic growth.

windeln.de believes that, as in the past, further economies scale can be achieved in logistics and technology

infrastructures.

Tomosteffectivelyaddresstheneedsofyoungfamilies,thegroupaimstofurtherwidenitsproductassortmentby

addingnewcategories.Withover100,000productsfromover1,000brandswindeln.dealreadyoffersitscustomers

awideandappealingselectionofproductsforyoungfamilies.Bysignificantlyincreasingtheshareofproductswith

highermarginsinthepast3years,windeln.dehasshownthatitisabletoadvanceintoproductareaswithhigher

margins.

The successful growth of the group relies on the expertise and motivation of its employees. windeln.de needs to

continuouslyreinforceit’steam.Thereforetherecruitingofnewemployeesaswellaskeepingexistingemployees

motivated is a priority.

6.Outlook

The positive development in online retail is expected to continue. Total online retail market volume in Germany

isforecastedatEUR43.6bnin2015(EUR39.0bnin2014)17.Thetotalmarketvolumeforbaby,toddlerandkids’

productsisexpectedatEUR4.3bn.Theonlineshareisassumedat10.3%,whichtranslatesintoavolumeofthe

relevantmarketatEUR439.6.18LookingatcountriesoutsideofGermany,themarketpotentialine-commerceretail

isevengreater,astheonlineshareisestimatedtobelowerthaninGermany.

16SeeFn4:Euromonitor17TradeAssociationGermany:DevelopmentofE-CommerceSalesinthePastFewYears,November201418SeeFn4:Euromonitor


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TheGroupaimstocontinueorganicgrowthintheDACHregion.In2015,growthintheDACHregionaswellasin

otherEuropeanmarketsislikelytobemoderatelyslowerthaninthepast.Inthemediumterm,however,windeln.

deexpectstogrowabovetheforecastrateforthebabyconsumablesonlinemarketinGermany(26.7%CAGRfor

2014to201719).TheGroupaimstoachievethisgrowthbyincreasingthecustomerbase,thenumberofordersand

the value of orders per customer.

Furthermore,thegroupintendstocontinuetoselectivelyexpandthescopeofthebusinessintermsofgeography

andproductcategories.TopursuetheEuropeanexpansionstrategyandbyusingtheproceedsof theOffering,

theGroupintendstofurtherraisethelevelofinvestmentoutsidetheDACHregion,throughtargetedacquisitions

oflocallyestablishedbusinesseswithacompellingmarketpositionand,oralternatively,throughorganicgrowth

intosuchmarkets. In2015,thefocuscountriesforamarketexpansionareItaly,EasternEuropeand–afterthe

successfulcompletionoftheacquisitionofbebitus–alsoSpain,FranceandPortugal.

InChina,thecompanyintendstogroworganicallyandaimstoachieveapproximatelythesameannualgrowth(in

absoluteEURterms)inthemediumtermthatwasachievedinthefiscalyearendedDecember31,2014.

Inallofthesemarkets,theGroupcontinuestoexpandtheproductandserviceofferinginordertofurtherincrease

attractivenesstocustomersandtocross-sellintohigher-marginnon-consumableproducts.

Inthemediumterm,weintendtofurtherenhanceprofitabilityinparticularby:

• focusingonreducingcostofsalesasapercentageofrevenuestoahigh60spercentrangethroughleveraging

ourstrongpartnershipswithbrandstonegotiatemorefavorablepurchasingterms,continuingtoimprove

ourpricingalgorithmandcontinuingtocross-sellfromconsumablebaby,toddlerandchildrenproducts

intohigher-marginnon-consumableproductsforbabies,toddlers,childrenandyoungmothersbyfurther

broadeningourproductoffering;

• maintaining fulfilment costs low as a percentage of revenues at approximately previous year’s levels

throughcontinuousefficiencyimprovements;

• maintainingattractivemarketingcostsasapercentageofrevenuesbyfocusingonincreasingourshareof

wallet for our existing and returning customers.

• implementinghigherdegreesofprocessoptimization,scaleeffectsandacquisitionsynergieswiththeaim

tolowerAdjustedOtherSG&AExpensesasapercentageofrevenues.

Strongrevenuegrowth,aswellassignificantimprovementoftheadjustedEBITmargininthefirsthalfof2015are

agoodbasisforthefurtherbusinessdevelopmentandachievingsetgoalsforthefullyear2015witharound+70%

organic revenues growth year over year plus additional revenue contribution from expansion as well as further

improvement of the adjusted EBIT margin.

19SeeFn4:Euromonitor


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Consolidated Interim Financial Statements

ConsolidatedStatementofProfitandLossandotherComprehensiveIncome


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Consolidated Statement of Financial Position


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Consolidated Statement of Changes in Equity


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Consolidated Statement of Cash Flow


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CondensedNotestotheInterimConsolidatedFinancialStatementsasofJune 30,2015

1.GeneralInformation

windeln.de AG is the parent company of the windeln.de Group. The company has been converted from windeln.de

GmbHintowindeln.deAGasfromApril 16,2015.

The condensedandunaudited interim consolidatedfinancial statements asof June 30, 2015were released for

publicationbyresolutionofthemanagementboardonAugust 21,2015.

InitialPublicOffering-IPO

Windeln.deshareshavebeentradedontheregulatedmarket (PrimeStandard)oftheFrankfurtStockExchange

sinceMay 6,2015.

Thelistingwasprecededbyanofferforthesaleof11,404,899no-parvalueordinarybearershares(shareswithno-

parvalue)withanimputedshareinsharecapitalofEUR 1each.Theoffercomprised5,400,000new,no-parvalue

ordinarybearershares(shareswithno-parvalue)fromtheIPOcapitalincrease,4,517,304no-parvalueordinary

bearershares(shareswithno-parvalue)fromtheparticipationofdispensedshareholdersand1,487,595nopar

valuebearershares(shareswithno-parvalue)inconnectionwithapotentialover-allotment.

InvestorshadtheoptiontopurchasesharesfromApril 23,2015toMay 5,2015inanofferingrangefromEUR 16.50

toEUR 20.50.Thedemandfrominvestorssignificantlyexceededthenumberofsharesofferedforpurchase.The

companysettheissuepriceshareatEUR 18.50onMay 5,2015.

InthecourseoftheIPO,windeln.degeneratedacashinflowofEUR 97.2m,afterdeductingthebasefeewithheldby

banks. The Greenshoe option granted by the underwriters was not exercised.

Management Board

Themanagementdirectorsofwindeln.deGmbH,AlexanderBrandandKonstantinUrban,havebeenappointedas

membersofthemanagementboardofwindeln.deAG.Inaddition,Dr. NikolausWeinbergerhasbeenappointedas

a member of the management board.

Supervisory Board

Thefollowingsixpersonswereappointedasmembersofthefirstsupervisoryboard:ofwindeln.deAG:Dr.Christoph

Braun,FaustoBoni,NenadMarovac,DavidReis,FrancescoRigamontiandWilliSchwerdtle.WilliSchwerdtleisthe

chairman of the supervisory board.

AsofApril 21,2015therehasbeenachangeinthesupervisoryboard.FaustoBonihasleftthesupervisoryboardon

hisownrequestandDr.EdgarCarlosLangehasbeenappointedasmemberofthesupervisoryboard.


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2. Accounting Principles

ThecondensedinterimconsolidatedfinancialstatementsasofJune 30,2015werepreparedinaccordancewiththe

InternationalFinancialReportingStandards(IFRS)asadoptedintheEuropeanUnion(EU).Theseinterimconsolidated

financialstatementsconformwiththeregulationIAS34“InterimFinancialReporting”.

Thecondensedinterimconsolidatedfinancialstatementsdonotincludeallinformationanddisclosuresrequiredfor

consolidatedfinancialstatementsasofyear-endandmustthereforebereadinconjunctionwiththeconsolidated

financialstatementsfortheyearendingDecember 31,2014.

Thesameaccountingandmeasurementprincipleswereappliedasintheconsolidatedfinancialstatementsforthe

financialyearendingDecember 31,2014.Exceptionsarerelatedtonewrespectivelyrevisedaccountingstandards

applicableasoffinancialyear2015.Forthiswerefertosection4.2“NewIASBAccountingPrinciples”ofournotes

totheconsolidatedfinancialstatementsasofDecember 31,2014.IFRSstandardsrespectivelyrevisedstandards

applicableforthefirsttimeinthisreportingperiodhavenoeffectsonthenetasset,financialandincomeposition

of the windeln.de Group.

3. Scope of Consolidation

TheGroup’sscopeoffullconsolidationasofJune 30,2015hasbeenextendedbypannolini.itS.r.l.(comparetonext

section)comparedtoDecember 31,2014.Thesameconsolidationmethodsappliedintheconsolidatedfinancial

statementsfortheyearendingDecember 31,2014.

AcquisitionAgreementregardingtheAcquisitionofFeedoSp.z o.o.

OnApril 17,2015,windeln.deAGentered intoanacquisitionagreement regarding theacquisitionofFeedoSp.

z o.o.,Warsaw,Poland,thatoperatestheonlineretailshops“www.feedo.cz”,“www.feedo.sk”and“www.feedo.pl”

togetherwith itssubsidiaries(MyMedias.r.o.,Prague,CzechRepublic,andMyMediaSp.z o.o.,Warsaw,Poland).

FeedoGroupisafastgrowingpure-playonlineretailerfocusedonbabyandtoddlerproducts.Registeredoffice

ofthegroupcompanyisPoland,targetcustomersofFeedoGrouparelocatedinPoland,theCzechRepublicand

Slovakia.Initsfinancialyear2014,FeedoSp.z o.o.hadgeneratedconsolidatedrevenuesofapproximatelyEUR 6m

almostallofwhichweregeneratedfromCzechcustomers.Withthisacquisition,theGroupintendstoexpandtothe

Eastern European market.

AstheacquisitionissubjecttodifferentclosingconditionswhichwerenotfullymetasofJune 30,2015,andwindeln.

deAGdidnothavecontrolovertheFeedoGroup,theFeedoGrouphasnotbeenconsolidatedasofJune 30,2015.

Formation of a further Group Company

AsofApril 24,2015windeln.deAGhasestablishedpannolini.itS.r.l.asa100 %subsidiary.Asaservicecompany,the

company will render intercompany services in connection with the access to the Italian market.


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LiquidationofUrban-BrandSchweizGmbH

InApril 2015, themanagementboarddecided todissolveUrban-BrandSchweizGmbHwith registeredoffice in

Männedorf, Switzerland. The company does not carry out any business activities anymore as all activities are

carriedoutthroughwindeln.chAGwithregisteredofficeinUster,Switzerland.Therearenomaterial impactson

thenetasset,financialandincomepositionofthegroupduetotheliquidation.AsofJune 30,2015,totalassets

ofthecompanyamountstoEUR 39kandconsistalmostfor100 %ofcash,whichwillstaywithintheGroupafter

liquidation,respectivelyequity.

4. Notes to the Consolidated Statement of Financial Position and to the Consolidated Statement of

ProfitandLoss

4.1Equity

CapitalIncreases,ConversionandAuthorizedCapital

WithresolutionasofMarch 25,2015,apartofthecapitalreserveintheamountofEUR 19,831,954wasconverted

into share capital through the issuanceof new shareswith anominal valueof EUR1. The capital increaseonly

becameeffectiveuponregistrationwiththecommercialregisteronApril 16,2015.

Aftertheeffectivenessofthecapitalincrease,thesharecapitalofthecompanyintheamountofEUR 19,994,511has

becomethesharecapitalofthenewlyformedwindeln.deAG.Thesharecapitalisdividedinto19,994,511ordinary

bearershares(shareswithno-parvalue).

In addition, an authorized capital in the amount of EUR 9,997,255 has been created (Authorized Capital 2015),

exercisableuntilMarch 24,2020.

WithresolutionasofMay 4,2015,thesharecapitalwasincreasedbyEUR 5,400,000utilizingtheAuthorizedCapital

2015.ThecapitalincreasebecameeffectiveuponregistrationwiththecommercialregisteronMay 5,2015.

WithresolutionasofMay 4,2015,theAuthorizedCapital2015wasincreasedtoEUR 12,697,255.Thelimitationwas

extendeduntilMay 3,2020.TheregistrationwiththecommercialregistertookplaceonMay 19,2015.

Issued Capital

Asof June 30,2015, the issuedcapitalof theparentcompanyamounts toEUR 25,394,511 (December 31,2014:

EUR 162,557).Ithasbeenpaidinfullandconsistsoutof25,394,511no-parvalueordinarybearershares(shares

withno-parvalue).

Share Premium

AsofJune 30,2015,thesharepremiumamountstoEUR 150,058k(December 31,2014:EUR 68,911k).Theshare

premium is composed as follows:


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The increase of the premium from financing rounds respectively IPO, which is presented in share premium,

representsintotaltheincomeinconnectionwiththeIPOinMay2015.Also,thechangeintransactioncostsofthe

financingroundsrespectivelyIPO,whicharepresentedinsharepremium,isrelatedtothecostsincurredtothe

companyinconnectionwiththeIPO,reducedbytherelatedincometaxeffects.

Theincreaseofshare-basedpayments,whicharepresentedinsharepremium,ismainlyrelatedtothemodification

ofthevirtualstockoptionprograminthefirstquarter2015,comparesection4.3. Inaddition,the issuedbonus

sharesandpreferencesharesinconnectionwithanemployeeprogramintheamountofEUR 76kareincludedin

this line.

AccumulatedLoss

The accumulated loss is the result of losses carried forward from the previous reporting period as well as from the

result of the current reporting period.

The development of equity is presented in detail in the consolidated statement of changes in equity.

4.2 Earnings per Share

Undilutedearningspersharearecalculatedasaquotientfromconsolidatedearningsfortheperiodtobeallocated

to the shareholders of the parent company and the weighted average of issued shares during the reporting period.

InlinewithIAS33.26,theweightedaverageofissuedsharesduringthereportingperiodisadjustedby19,831,954

newly issued shares in April 2015, as the increase of the shares happenedwithout a corresponding change in

resources.

Dilutedearningspersharearecalculatedbydividingtheconsolidatedearningsfortheperiodtobeallocatedtothe

shareholders of the parent company by the weighted average quantity of issued shares in circulation during the

reportingperiodandthenewlyissuedsharesinApril2015plusthesharesequivalentsleadingtothedilution.


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4.3Share-basedPayments

Inthefirstquarter2015,theexistingshare-basedpaymentagreementswithninecurrentandformeremployees

oftheGroupweremodifiedduetothepotentialfutureIPO.Themodifiedagreementsarenowtreatedasequity

settledshare-basedpaymentarrangementsaccordingtoIFRS 2.Theincrementalfairvalueofallmodifiedoptions

amountstoEUR 15,064(EUR 0.02peroption)asofthemodificationdate.Thefairvalueofthemodifiedoptionsis

determined by Monte Carlo Simulation. Market input parameters are estimated in the same way before and after

modification.

Inadditiontotheshare-basedpaymentagreementswhichalreadyexistedasofDecember 31,2014,furthereight

share-basedpaymentarrangementswereconductedwithemployeesoftheGroupinthefirstquarter2015.These

aretreatedinlinewiththeexistingmodifiedagreementsasequitysettledshare-basedpaymentarrangements.

Inthesecondquarter2015,thecompanyenteredintoashare-basedpaymentarrangementwithamemberofthe

managementboard.Thisarrangement includescash-settledshare-basedpayments (stockoptions)andashare-

basedpaymentforwhichthecompanyhastheoptionhowtosettle(RestrictedStockUnits,RSU).Asthecompany

plantosettleinrealequityinstrumentstheaccountingofthispartofthearrangementwillbedoneasequity-settled

share-basedpayments.ThesharepricewasdeterminedviaBloombergoutoftheXETRAtradingsystemclosingrate

asof June 30,2015.Thevolatilitywasdeterminedasmaturity-adequatehistoricalvolatilityofsimilarcompanies

(peer group) over remaining period. The respective expected volatility is based on the assumption that you can

projectfromthehistoricalvolatilitytofuturetrends,sothatthevolatilityoccurredinfactcanbedifferenttothe

adopted assumptions. The expected dividend yield is based on marked assumptions with regards to the amount of

expecteddividendofthewindeln.desharefortheyears2015and2016.Theriskfreeinterestrateweredetermined

using market rates with the same expected maturity as the valued options.

Inthefirsthalfof2015theexpensesrecordedfortheseshare-basedpaymentsamounttoEUR 3,402k(H12014:

EUR 1,653k).Therespectiveexpenseinthesecondquarter2015amounttoEUR 531k(Q22014:EUR 821k).

AsofJune 30,2015,thecarryingvalueoftheliabilityfromcashsettledshare-basedpaymentsamountstoEUR 12k

(December 31,2015:EUR 6,349k).Theobligationhasbeenrecordedasnon-currentliability.

AsofJune 30,2015anamountofEUR 9,739khasbeenrecordedforequity-settledshare-basedpaymentsinshare

premium(December 31,2014:-).

The options recorded in equity developed as follows:

*DuetothemodificationthenumberofshareshasbeenchangedcomparedtoQ1.Thepresentationwasadjusted

accordingly.


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The following input parameters were used in the Monte Carlo Simulation:

In the course of the IPO the company issued bonus shares and preference shares in connection with an employee

programinthesecondquarter2015.TherespectiveexpensesamounttoEUR 76k.

Inconnectionwiththeacquisitionofwindeln.chAGendof2013,ashare-basedpaymentarrangementwasgranted

to a member of the management team and the respective shares were issued already in the point of closing. The

respectivepersonnelexpensewillbespreadpro-rataonastraight-linebasisoverthevestingperiodoftwoyears.

Theexpensesrecordedinthefirsthalfof2015amounttoEUR 358k(H12014:EUR 358k).Therespectiveexpensein

thesecondquarter2015amounttoEUR 179k(Q22014:EUR 179k).

4.4FinancialLiabilities

OnApril 9,2015,windeln.deAGenteredintoasecuredcreditframeworkagreementwithDZBANKAGDeutsche


andassignmentofreceivables(Globalzession)andprovidesforcustomarycovenants,forexamplethattheCompany

mustensureacertainmonthlyliquidityratio.TheagreementterminatesonMarch 31,2016.

AsofJune 30,2015,theoverdraftfacilityinconnectionwiththisagreementwasdrawnbyEUR 5k.

4.5DisclosuresonFairValueMeasurement

Allassetsandliabilitiesforwhichfairvalueismeasuredordisclosedinthefinancialstatementsarecategorized

withinthefairvaluehierarchy,describedasfollows:

• Level1:Quotedunadjustedmarketpricesinactivemarketsforidenticalassetsorliabilities;

• Level2:Directlyorindirectlyobservableinputfactors,whicharenotcategorizedinlevel1;

• Level3:Unobservableinputfactors.

Forassetsandliabilitiesthatarerecognizedinthefinancialstatementsonarecurringbasis,theGroupdetermines

whethertransfershaveoccurredbetweenlevelsinthehierarchybyreassessingcategorization(basedonthelowest

levelinputthatissignificanttothefairvaluemeasurementasawhole)attheendofeachreportingperiod.

If a financial instrument is to be classified as Level 3, themanagement boarddecideswhich valuationprocess

willbeused.Inordertohelpinthedecision-makingprocess,thein-housevaluationdepartmentpresentvarious

alternativestothemanagementboard.Afterhavingselectedavaluationprocess,thiswillbeusedcontinuouslywith

regardstothisfinancialinstrument.Thefairvaluewillbemeasuredatleastquarterly.


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ThefollowingtableshowstheassetsandliabilitiesmeasuredatfairvalueasofJune 30,2015:

ThefollowingtableshowstheassetsandliabilitiesmeasuredatfairvalueasofDecember 31,2014:

Therewereno reclassificationsbetween thedifferent levels during the reportingperiod. If circumstances arise

whichrequireachangeinclassification,theaffectedfinancialinstrumentswillbereclassifiedquarterly.

Contingent Consideration

Aspartof thepurchaseagreementwhichwasclosedwith thepreviousownersofwindeln.chAG,aconditional

considerationcomponentwasagreedupon.Accordingtothis,areturnofupto2,784sharestotheGroupbythe

former owners may become necessary under certain conditions. The fair value of the contingent consideration is

measured on a quarterly basis. The valuation approach used for this estimation is described in detail in the notes

totheconsolidatedfinancialstatementsasofDecember 31,2014insection7“Groupinformationandbusiness

combinations”andwasappliedconsistentlyduringthereportingperiod.Thisfinancialinstrumentisclassifiedas

Level 3, since future estimated revenues andEBITDA values areused in the calculationof the fair value. As of

June 30,2015,cumulatedrevenuesofEUR12,271k (December 31,2014:EUR 11,600k)andacumulatedEBITDA

underEUR -1,575k(December 31,2015:EUR -1,575k)isexpectedfortherelevantbusinesssectorandtherelevant

time span.

AsofJune 30,2015,thefairvalueofthecontingentconsiderationamountedtoEUR 2,125kcomparedtoEUR 2,211k

asofDecember 31,2014.

Changestothefairvaluearerecognizedinfinancialincomeorfinancialexpensesinprofitorloss.Inthefirsthalfof

2015,duetochangesinthefairvalueofthefinancialinstrument,financialexpensesarerecordedintheamountof

EUR 86k(H12014:financialincomeofEUR 2,661k).Inthesecondquarter2015therespectiveexpenseamountto

EUR 84(Q22014:incomeintheamountofEUR 345).

ObligationsunderFinanceLease

Leasedassets,whichcanbeconsideredasacquiredassetswith long-termfinancing,wereclassified in linewith

IAS 17asfinanceleasearrangements.Thecorrespondingassetsarecapitalizedatthecommencementofthelease

at the inception date fair value of the leasedproperty or, if lower, at the present value of theminimum lease

payments.Thecorrespondingfinanceleaseliabilityisrecognizedinthestatementoffinancialpositionasfinancial

liabilityandclassifiedasLevel2.


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4.6AdditionalDisclosuresinFinancialInstruments

Thefollowingtableshowscarryingamountsandfairvaluesofallfinancialinstrumentsrecordedintheconsolidated

financialstatementsandhowtheassetsandliabilitiesorpartsofthetotalsofeachcategoryareclassifiedintothe

valuationcategoriesaccordingtoIAS 39respectivelythevaluationaccordingtoIAS 17:


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Duetotheshortmaturityofthecashandcashequivalents,tradereceivablesandtradepayablesaswellasother

current financial assets andother current financial liabilities, it is assumed for these items, that the fair values

correspond with the carrying amounts.

Inothernon-currentfinancialassets,theinvestmentinUrban-BrandManagementLtd.isincludedwithavalueof

EUR 1(December 31,2014:EUR 1).Inothernon-currentfinancialassets,members’sharesinacooperativeinthe

amountofEUR 4kareincluded(December2014:EUR 4k).Bothfinancialassetsareclassifiedas“availableforsale”.

Asinregardstothevaluation,anactivemarketortradedpricecannotbeomittednorcanthefairvaluebereliably

measured,bothassetsaremeasured“atcost”.

Thefairvaluesof thecurrentfinancial liabilitiescorrespondwiththeircarryingamounts,sincethecontractually

agreedinterestratesdonotdeviatesignificantlyfromthemarket-standardinterestrates.

Classificationsremainedunchangedduringthereportingperiod.


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5.SegmentReporting

Formanagementpurposeswindeln.deGroupisorganizedintobusinessunitsbasedonitsdifferentonline-shops

and,inlinewiththerulesofIFRS 8,hasthefollowingreportablebusinesssegments:

• Thebusinesssegment“windeln.de”operatestheonline-shopwindeln.deandsinceMay2015theonline-

shop pannolini.it.

• Thebusinesssegment“windelbar”operatestheonline-shopwindelbar.de,whichoffersitsservicesaspart

of a free subscription to an online shopping club.

• Thebusinesssegment“windeln.ch”operatestheonline-shopswindeln.ch,kindertraum.chandtoys.ch.

The management board monitors revenues and adjusted operating results of its business units separately for the

purpose of making decisions on resource allocation and performance assessment. Segment performance is evaluated

basedonprofitorlossandismeasuredconsistentlywithprofitorlossintheconsolidatedfinancialstatements.

Financial result, income taxes, rental expenses related to office buildings and depreciation and amortization

are managed on a Group basis and are not allocated to operating segments. The performance measure “EBIT

contribution”perbusinesssegmentconsistsofgrossprofit lessallocatedselling,distributionandadministrative

expenses as well as the proportional other operating income and expenses. The business departments Human

Resources, IT, Finance aswell as themanagement team render services to the group (shared services). These

expenses are not managed on individual business segments and are disclosed in the position “Corporate”.

There are no intersegment transactions in the internal reporting structure. There is no information available on

segment assets or liabilities.

TheGroup’soperatingbusinessisnotsubjecttoanymaterialseasonaldeviations.


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Thesegmentsdevelopedasfollowsinthefirsthalfyear:


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6.RelatedPartyDisclosures

The following material changes with regards to transactions with related parties compared to the consolidated

financialstatementsasofDecember31, 2014werenoted:

A contingent consideration of EUR 2,125k (December 31, 2014: EUR 2,211k) was granted to amember of the

management team in connection with the acquisition of windeln.ch AG. In addition, in connection with this

transaction,aprepaymentforshare-basedpaymentswasgrantedtoamemberofthemanagementteam.Acurrent

non-financialassethasbeenrecordedintheamountofEUR 359asofJune 30,2015(December 31,2014:EUR 717k).

InconnectionoftherechargeofIPOrelatedcoststodispensedshareholdersintheamountofEUR 2,059k,intotal

EUR 216kwererechargedtotwomembersofthemanagementboardandonememberofthemanagementteam.

Theincomeisrecognizedinthesecondquarter2015inotheroperatingincome.AsofJune 30,2015receivablesdue

from two members of the management board and one member of the management team were recorded in the

amountofEUR 257k,whicharepresentedinotherfinancialassets.

7.SubsequentEvents

7.1AkquisitionofFeedoSp.z o.o.

WiththeapprovalofthetransactionbythesupervisoryboardonJuly 3,2015,thelastclosingconditionmentioned

intheacquisitionagreementregarding100 %ofthesharesinFeedoSp.z o.o.,datedonApril 17,2015,wasmet.

AsofJuly 3,2015,thefollowingcompaniesareina100 %ownershipoftheGroupandthereforetheyhavetobefully

consolidated as of this date:

• FeedoSp.z o.o.,Warsaw,Poland

• MyMedias.r.o.,Prague,CzechRepublic

• MyMediaSp.z o.o.,Warsaw,Poland

Atacquisitiondate,thefairvalueoftheidentifiedassetsandliabilitiesoftheFeedoGroupisasfollows:


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ThreeinvestorsaswellasbothfoundersoftheFeedoGroupwereshareholdersofFeedoSp.z o.o.Bothfounders

getnewmanagingdirectorcontractsasofJuly 3,2015.

TheconsiderationtransferredfortheacquisitionofFeedoSp.z o.o.iscomposedofthreepurchasepricecomponents,

cash,sharesinwindeln.deAGaswellasacontingentconsideration(EarnOut).Inadditionshare-basedpayment

arrangements were negotiated.

7.2Cash

AsofJuly 3,2015allshareholdersofFeedoSp.z o.o.receivecashinthetotalamountofEUR 8,050k.

7.3Sharesinwindeln.deAG

AsofJuly 3,2015oneoftheinvestorsreceivesafixnumberofsharesinwindeln.deAG.Underconsiderationof

thesharepriceasofJuly 3,2015intheamountofEUR 11.74,thefairvalueofthesharesasoftheacquisitiondate

amountstoEUR 79k.

On July 3, 2015, both founders of the Feedo Group receive a fix number of shares in windeln.de AG. Under

considerationofthesharepriceasofJuly 3,2015intheamountofEUR 11.74,thefairvalueofthesharesasofthe

acquisitiondateamountstoEUR 1,728k.

Theshareswereissuedbywindeln.deAGnewlyoutoftheAuthorizedCapital2015.

7.4ContingentConsideration

Inaddition,oneoftheinvestorsaswellasbothfounderswillreceiveacontingentconsideration(EarnOut).Theearn

outamountwillbecalculatedbasedontherevenuegrowthwithcustomerslocatedinPoland,CzechRepublicaswell

asSlovakiafortheyears2014until2017andconsistsoutofthreeinstalments(2015,2016,2017).Acorresponding

revenue multiple will be determined based on the annual revenue growth which is the basis for the future valuation.

Fortheyears2015until2017,eachofthebeneficiarieswillreceiveapartoftheEarnOutbasedon15 %ofthe

preassigned valuation. The issuance of shares in windeln.de AG should be settled through the payment of the

nominalvalueofthesharesintheamountofEUR 1.00.Theamountofshareswillbedeterminedbytheamountof

the respective earn out and the unweighted average of closing prices of the windeln.de AG share during the month

of March of the year following the relevant Earn Out year. The Earn Out will be settled in March of the following year

usingthesharepriceatthatpointoftime.Windeln.deAGhasthediscretionofmakingacashpaymentinstead.

ThecontingentconsiderationcancomeuptoamaximalundiscountedamountofEUR 18,087,butatleastEUR 182k.

7.5Share-basedPayments

The issuance of shares in windeln.de AG to both founders as well as the contingent consideration granted to the

foundersarecharacterizedasemployeebenefitsasbothfoundersneedtobeemployedwithintheGroupfora

periodof36monthsstartingasofJuly 3,2015(socalledvestingperiod)inordertoreceivethefullamountofthe

commitment.IftheyleavetheGroupwithinthe36monthsperiodtheyneedtosell1/36thofthealreadyreceived

shares to windeln.de AG for each month they leave before the end of the vesting period. The repurchase price is

dependingonthereasonfortheretirementandiscalculatedas%ofthesharepriceatthattime.Theoutstanding

Earn Out will be reduced as well depending on the reason of retirement respective the date of retirement.

Hence, in line IFRS 2 this share-basedpaymentneeds tobeaccounted for separatelyas realequity instrument

granted for the provision of job performance.


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7.6PurchasePrice

Atthepointintimewhentheinterimfinancialstatementsarepreparedtheallocationofthecomponentsofthe

contract intopurchasepriceand intoshare-basedpaymentsaswellas thedeterminationof the respective fair

valuesisincompleteasdifferentapproachesarepossibleandtheassessmentofthecircumstanceshasnotbeen

finalizedyet.

Hence,thefollowingrequirednotesasforIFRS3.B64f,g,kandlinconnectionwithIFRS3.B66cannotbedisclosed

or only partially disclosed: Notes for allocation of contract obligation components between the purchase price and

share-basedpayments,disclosuresoffairvalueofcontingentconsiderationaswellasthesubsequentmeasurement

ofthose,disclosurestoshare-basedpaymentsaswellastherespectivesubsequentmeasurementanddisclosures

relating to the amount of goodwill.

ItisexpectedthattheallocationofthepurchasepriceforFeedoGroupresultsinapositivedifferencewhichwill

becapitalizedasgoodwill.Basisforthisgoodwillaretheexpectedsynergiesresultingfromthecombinedbusiness

activities,thestrengthenedaccesstotheEasternEuropeanmarket,andotherintangibleassetswhichdonotmeet

the recognition criteria.

ThetransactioncostsrelatedtotheacquisitionofFeedoSp.z o.o.arerecordedasexpensesandarepresentedas

administrativeexpenses.Inthiscontext,EUR 144kexpenseswererecordedinthefirsthalfof2015.

BetweenJanuary 1andJuly 2,theFeedoGrouphasgeneratedrevenuesintheamountofEUR 4,648k,whilstlosses

totaledEUR 847kinthesameperiodoftime.

7.7AcquisitionAgreementregardingtheAcquisitionofBebitusRetailS.L.

OnAugust 10,2015,windeln.deAGenteredintoanacquisitionagreementregardingtheacquisitionof100 %ofthe

sharesinBebitusRetailS.L.BebitusRetailS.L.isafastgrowingpureplayonlineretailerfocusingonbabyandtoddler

products.BasedinBarcelona,targetcustomersarelocatedinSpain,PortugalandFrance.Inthefinancialyear2014,

thecompanygeneratedrevenuesofapproximatelyEUR 7m.Thetotalpurchasepriceamountstoapproximately

EUR 5mandanadditionalcontingentconsideration,whichissubjecttotheachievementofdefinedrevenuetargets

fortheyears2015to2015.Inadditionashare-basedpaymentarrangementwillbegrantedtobothfoundersasthey

should be employed within the group going forward as well. The acquisition is subject to certain closing conditions

which have been met only partially yet.

7.8CapitalIncreases

WithresolutionasofJuly 3,2015,thesharecapitalwasincreasedbyEUR 153,937utilizingtheAuthorizedCapital

2015.ThecapitalincreasebecameeffectiveuponregistrationwiththecommercialregisteronJuly 27,2015.After

partialutilization,theAuthorizedCapitalamountstoEUR 12,543,318.

WithresolutionasofJuly 3,2015,thesharecapitalwasincreasedbyEUR 197,378utilizingtheAuthorizedCapital

2015.ThecapitalincreasebecameeffectiveuponregistrationwiththecommercialregisteronAugust 7,2015.After

partialutilization,theAuthorizedCapitalamounttoEUR 12,345,940.


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7.9LongTermIncentivePlan2015WithresolutionasofAugust 4,2015,thesupervisoryboardhasdecidedtosetupaLongTermIncentivePlanfor

selected key employees as well as managing directors of foreign subsidiaries. The plan consists out of Stock Options

ontheonehandandoutofRestrictedStockUnitsontheotherhand.

Munich,August 21,2015

AlexanderBrand KonstantinUrban Dr.NikolausWeinberger


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Declarationofthelegalrepresentatives

Tothebestofourknowledge,wedeclarethat,accordingtotheprinciplesofproperconsolidatedreportingapplied,

theconsolidatedfinancialstatementsprovideatrueandfairviewofthecompany‘snetassets,financialposition

andresultsofoperations,thattheconsolidatedmanagementreportpresentsthecompany‘sbusinessincludingthe

resultsandthecompany‘spositionsuchastoprovideatrueandfairviewandthatthemajoropportunitiesandrisks

ofthecompany‘santicipatedgrowthfortheremainingfinancialyeararedescribed.

Munich,August27,2015

The Management Board


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Service

1.Glossar

Site visits

WedefineAdjustedOtherSG&AExpenses(in%ofrevenues)asAdjustedOtherSG&AExpensesdividedbyrevenues.

WedefineAdjustedOtherSG&AExpensesassellinganddistributionexpensesplusadministrativeexpensesand

otheroperatingexpenselessotheroperatingincome,butexcludingmarketingandfulfillmentcosts,share-based

compensationexpenses,aswellasextraordinaryornon-recurringexpensesorincomerelatedtotheIPO,acquisi-

tions,theintegrationofnewsubsidiariesandexpansion.

MobileVisitShare

WedefineMobileVisitShare(in%ofSiteVisits)asthenumberofvisitsviamobiledevices(smartphonesandtablets)

toourmobileoptimizedwebsitesdividedbythetotalnumberofSiteVisitsinthemeasurementperiod.Wehave

excludedvisitstoouronlinemagazineandvisitsfromChina.WeexcludevisitsfromChinabecausethemostcom-

mon online translation services on which most of our customers who order for delivery to China rely to translate

ourwebsitecontentarenotabletodosofromtheirmobiledevices,andthereforeveryfewofsuchcustomersorder

from their mobile devices. Measured by Google Analytics.

Mobile Orders

WedefineMobileOrders(in%ofNumberofOrders)asthenumberofordersviamobiledevicestoourmobileop-

timizedwebsitesdividedbythetotalNumberofOrdersinthemeasurementperiod.Wehaveexcludedordersfrom

China. Measured by Google Analytics.

Active Customers

WedefineActiveCustomersasthenumberofcustomersplacingatleastoneorderinthe12monthsprecedingthe

endofthemeasurementperiod,irrespectiveofreturns.

Number of Orders

WedefineNumberofOrdersasthenumberofcustomerordersplacedinthemeasurementperiodirrespectiveof

returns. An order is counted on the day the customer places the order. Orders placed and orders delivered may

differduetoordersthatareintransitattheendofthemeasurementperiodorhavebeencancelled.Everyorder

whichhasbeenplaced,butforwhichtheproductsintheorderhavenotbeenshipped(e.g.,theproductsarenot

availableorthecustomercancelstheorder),isconsidered‘‘cancelled’’.

Average Orders per Active Customer

WedefineAverageOrdersperActiveCustomerasNumberofOrdersdividedbythenumberofActiveCustomersin

the measurement period.


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Share of Repeat Customer Orders

WedefineShareofRepeatCustomerOrdersasthenumberofordersfromRepeatCustomersdividedbytheNum-

ber of Orders during the measurement period.

Gross Order Intake

WedefineGrossOrderIntakeastheaggregateEuroamountofcustomerordersplacedinthemeasurementperiod

minus cancellations. The Euro amount includes value added tax and excludes marketing rebates.

AverageOrderValue

WedefineAverageOrderValueasGrossOrderIntakedividedbytheNumberofOrdersinthemeasurementperiod.

Returns(in%ofNetMerchandiseValue)

WedefineReturns(in%ofNetMerchandiseValue)astheNetMerchandiseValueofitemsreturneddividedbyNet

MerchandiseValueinthemeasurementperiod.

Marketing Cost Ratio

WedefineMarketingCostRatioasmarketingcostsdividedbyrevenuesforthemeasurementperiod.Marketing

costsconsistmainlyofadvertisingexpenses,includingsearchenginemarketing,onlinedisplayandothermarketing

channelexpenses,aswellascostsforourmarketingtoolsandallocatedoverheadcosts,butnotcostsrelatedtoour

loyaltyprogram.Allocatedoverheadcostsincluderentanddepreciation,butnotcostsofsharedservices.

FulfillmentCostRatio

WedefineFulfillmentCostRatioasfulfillmentcostsdividedbyrevenuesforthemeasurementperiod.Fulfillment

costs consist of logistics and rental expenses.

AdjustedOtherSG&AExpenses(in%ofrevenues)

WedefineAdjustedOtherSG&AExpenses(in%ofrevenues)asAdjustedOtherSG&AExpensesdividedbyrevenues.

WedefineAdjustedOtherSG&AExpensesassellinganddistributionexpensesplusadministrativeexpensesand

otheroperatingexpenselessotheroperatingincome,butexcludingmarketingandfulfillmentcosts,share-based

compensationexpenses,aswellasextraordinaryornon-recurringexpensesorincomerelatedtotheIPO,acquisi-

tions,theintegrationofnewsubsidiariesandexpansion.

2. Financial Calender

Publicationofthesecondquarterresults2015: 27.August2015

Annualanalystconference2015 14.September2015

Publicationofthethirdquarterresults2015: 26.November2015


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3.Legalnotice

Editorial team and contact windeln.de AG

Hofmannstrasse51

81379Munich,Germany

corporate.windeln.de

Investor Relations AlexandravonKempis

E-Mail:[email protected]

Corporate communications AmelieHeinz

E-Mail:[email protected]

Concept,text,layoutanddesignwindeln.de AG

Picture credits Fotolia,iStock

Statement relating to the future

This interim report contains statements that relate to the future and are based on assumptions and estimates

made by the management of windeln.de AG. Even if the management is of the opinion that these assumptions and

estimatesareappropriate,theactualdevelopmentandtheactualfutureresultsmayvaryfromtheseassumptions

andestimatesasaresultofavarietyoffactors.Thesefactorsinclude,forexample,changestotheoveralleconomic

environment,thestatutoryandregulatoryconditionsinGermanyandtheEUandchangesintheindustry.windeln.

de AG makes no guarantee and accepts no liability for future development and the actual results achieved in the

future matching the assumptions and estimates stated in this interim report.

It is neither the intention of windeln.de AG nor does windeln.de AG accept a special obligation to update statements

related to the future in order to align them with events or developments that take place after this report is published.

TheinterimreportisavailableinEnglish.Iftherearevariances,theGermanversionhaspriorityovertheEnglish

translation.It’sisavailablefordownloadinbothlanguagesathttps://corporate.windeln.de/

windeln.de AGHofmannstraße 5181379 München

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