Westwing Group SE: A Promising Outlook

Westwing Group SE has reported strong financial performance as part of its value creation strategy. The company's Q4 results reveal a 9% year-over-year increase in gross merchandise value (GMV), reaching €163 million. This growth was propelled by strong sales during key events such as Black Week. Consequently, FY25 sales increased by 6.7% to €449 million.

The company's fourth-quarter adjusted EBITDA margin rose to 15%, exceeding previous estimates. Westwing's adjusted EBITDA more than doubled, reaching €21.6 million, a significant leap attributed to cost control and increased sales from the Westwing Collection.

The management has raised its FY25 guidance, anticipating sales of approximately €449 million and an adjusted EBITDA of €42-45 million. The company generated €25 million in cash during FY25, demonstrating robust operational performance and improved inventory management.

Looking forward, Westwing aims to continue its growth trajectory into FY26, largely driven by international expansion. The company has successfully entered ten European markets and plans to further expand into the UK, a promising market for growth.