Financials -Photobox - nicola - 28 Nov 2016

Photobox Group revenues up 34% year-on-year

Group revenues up 34% year-on-year, supported by increasing customer migration to mobile
Moonpig active customer base breaks through the 5 million mark
Consumers increasingly shifting from ‘big day’ to ‘everyday’ gifting

London/Munich/Paris – 28 November 2016 – PhotoBox Holdco Limited (the Photobox
“Group”), Europe’s largest digital personalised products and gifts company and parent of the
Photobox, Moonpig, Sticky9, Hofmann and posterXXL brands, is pleased to announce a further
year of double-digit revenue and earnings growth.

This strong financial performance for the twelve months ended 30 April 2016, was driven by
continued loyalty from our existing customers and the ongoing attraction and engagement of
new customers, keen to experiment with personalised gifting for the first time. These
dynamics, supported by the increasing ease and availability of our mobile platform and the
continued expansion of our product categories, have resulted in higher average order values
across each of our key brands.

Commenting on the results Jody Ford, Group Chief Executive Officer, said:

“With 34% year on year growth, this has been a stellar year for Photobox Group and I couldn’t
be more excited to have come on board.

“We increasingly live out our lives in photos – with the average mobile user snapping, sharing
and saving several thousand of them every year. Many of those mean something special to the
people behind and in front of the lens and in the last year alone we’ve helped bring half a billion photos to life for our customers.

We are the clear European leader in this market and intend to invest heavily in the next few
years to make the experience even easier for our customers, continuously working on being
more mobile, more relevant and more imaginative in the products we offer.

In the meantime, with Christmas around the corner, our range of gifts, photobooks, flowers,
canvasses, cards, prints and much more, combined with late order times and next day delivery
will ensure our customers enjoy a truly memorable shopping experience.”

Results headlines

Double-digit revenue growth

  • 34% year-on-year Group revenue growth, on a reported basis, up from 23% in FY14/15
  • PhotoBox revenue up 10% year-on-year, driven by customer growth in core markets
  • Moonpig revenue up 17% year-on-year, with over 50% of sales now taking place on
  • mobile

Increasing customer loyalty and reach

  • 72% of sales from repeat customers
  • International (outside UK) accounted for more than 50% of Group sales, supported by
    recent acquisitions.
  • Strong profit growth

  • Underlying EBITDA up 60%, driven by posterXXL acquisition and full-year Hofmann
    contribution
  • Key numbers

    Figures are on a reported basis and include the figures for posterXXL from 31 July 2015 to 30
    April 2016

    Performance review

    Group revenue hit an all-time high of £288.5m in the twelve month period to 30 April 2016.
    Each of our brands has contributed to this growth, as our focus on improving the shopping
    experience – including offering more interactive functionality, new products and faster delivery
    – has helped us to retain customers and win the trust of new ones.

    Moonpig breaks through the 5 million mark

    Moonpig has had a phenomenal year, reaching a landmark 5 million active customers last
    month. Beyond the 12 million cards we send annually, we continue to offer other exciting
    products to delight customers across the year. In the run up to Valentine’s Day we were the
    number one online destination for flowers, selling a million rose stems, and last month
    launched our first jewellery range. Our focus has also centred on improving our customer
    experience, including the launch of the Moonpig Rewards loyalty programme. Our mobile
    platform is more popular than ever, with 50% of Moonpig’s sales now originating on mobile.

    Photo businesses sell over 4 million photobooks as they set the standard across Europe

    The Group’s photo businesses are performing better than ever, with photobooks in particular
    flying off the shelves, reaching well over 4 million in the last year alone through our PhotoBox,
    Hofmann and posterXXL brands. The combined photo businesses also recently hit the 5 million
    active customer mark for the preceding twelve months and are the leading players in the UK,
    France and Spain (with the acquisition of Hofmann in 2014) and the lead challenger in the
    German market through the posterXXL acquisition in 2015.

    Looking ahead

    The Group enters FY16/17 with good momentum – on the back of strong growth in its key
    markets and across its portfolio of brands, growing customer numbers (both new and more
    loyal existing), improved technology, and more product categories than ever before. We are
    committed to investing more in order to create even better customer experiences.
    To help steer our Group toward this opportunity, Jody Ford joined as Group CEO in May. Jody
    brings with him a wealth of experience, fresh thinking and an ambition to further tap into those
    27 million[2] people who personalise a product every year in the UK as well as those worldwide.