#1HYPEBEAST FY 21/22 Annual Results June 2022 150.HK#2Disclaimer This Presentation contains information pertaining to Hypebeast Limited and/or its subsidiaries, affiliates, related entities, directors, officers and employees (collectively "Hypebeast"), and is intended to be used solely for your personal reference. It does not nor intends to, in any way or manner, constitute an inducement or invitation to invest in Hypebeast. This Presentation does not intend to provide, and you may not rely on it as providing, a complete and/or comprehensive analysis or overview of Hypebeast. Any and all matters, explanations, financials and information set out in this Presentation is subject to change at any time without notice, hence no reliance should be placed on the fairness, accuracy, completeness or correctness of any contents herein. Hypebeast (including its advisors or representatives) shall not bear any liability (in negligence or otherwise) for any loss and damage whatsoever or howsoever arising from any use or reliance of this Presentation, its contents or otherwise arising in connection herewith. Any questions, responses and factual statements hereto simply aims to provide an outline and covers the basic information of Hypebeast for informative purposes only.#3୮ HK$ Hypebeast Ltd. 150.HK Financial Snapshot 1,000M 750M 500M 250M HYPEBEAST OM Total Revenue 53% 385M FY18 50% + Gross Profit Margin 672M FY19 51% 751M FY20 50% 674M FY21 61% 896M FY22 70% 60% 50% 40% 30% HK$'000 Revenues Gross Profit Gross Profit Margin S&M Expense (as % of Revenues) A&O Expense (as % of Revenues) EBITDA¹ EBITDA Margin One-Off Merger Expense² Adjusted EBITDA³ Adjusted EBITDA Margin 1. EBITDA calculated as Profit Before Tax + Interest Expenses + Depreciation and Amortization Expenses. 2. One-Off Merger Expense relates to one-time legal and professional fees paid for the merger recorded for FY2022 while no such cost was recognized in FY2021. 3. Adjusted EBITDA is defined as EBITDA excluding one-off merger expenses. FY2022 895,632 549,313 61% 160,391 18% 202,650 23% 174,252 19% 30,185 204,437 23% FY2021 674,212 334,127 50% 112,791 17% 125,005 19% 122,596 18% 122,596 18% % Change 33% 64% 42% 62% 42% ΝΑ 67% Hypebeast Ltd. 150.HK | 3#4r Hypebeast Ltd. 150.HK Growing Social Media Following & Website Traffic HYPEBEAST Monthly Unique Visitors 15.6M 16.4M FY21 Average Monthly Unique Visitors¹ FY22 Social Media Followers 26.1M March 31, 2021 32.4M March 31, 2022 2 Social Media Followers 1. Average Monthly Unique Visitors refer to the number of user who requests webpages across the Hypebeast, Hypebae and Popbee platforms in a month during the years ended March 31. 2. Social media followers refer to the total number of followers on all third-party social media platforms (including Facebook, Instagram, Twitter, etc.). Figures as of March 31. Hypebeast Ltd. 150.HK 14#5Hypebeast Ltd. 150.HK 41 Division North American Headquarters HYPEBEAST HBX E E The New York Times Hypebeast Makes a 7-Story Bet on Its Future Ahead of an expected I.P.O., the streetwear giant is opening a new store and headquarters in Lower Manhattan. To Hypebeast's founder, the move is more than just a flex for the market. BX MBX Hypebeast Ltd. 150.HK | 5#6୮ Hypebeast Ltd. 150.HK Record Revenue and Profitability HYPEBEAST YoY +33% Total Revenue HK$896M YoY +64% Gross Profit HK$549M Cost of Sales HK$346M YoY +53% Profit Before Tax HK$142M Source: FY21/22 Annual Financial Results 1. One-Off Merger Expense relates to one-time legal and professional fees paid for the merger recorded for FY2022 while no such cost was recognized in FY2021. Net Profit HK$100M Selling and Marketing Expense HK$160M Admin and Operating Expense HK$203M One-Off Merger Expenses¹ HK$30M YoY +42% Other Income/Expense, Net HK$14M Income Tax HK$42M Hypebeast Ltd. 150.HK | 6#7୮ HK$ Hypebeast Ltd. 150.HK Healthy Balance Sheet to Support Organic Growth Net Operating Working Capital 600M 450M 300M 150M OM -150M HYPEBEAST 210M Cash & Bank Balance 197M Trade & Other Receivables 42M Inventories -118M Trade & Other Payables March 31, 2021 284M Cash & Bank Balance 183M Trade & Other Receivables 70M Inventories -146M Trade & Other Payables March 31, 2022 1. FY21/22 Annual Financial Results 2. CAPEX refers to Property, Plant, and Equipment line of Cash Flow Statement 3. FCF is calculated as Net Cash (Used In)/Generated from Operating Activities - CAPEX Improved liquidity and treasury position Net operating working capital continues to improve Increased cash position to HK$284M (as at March 31, 2021: HK$210M)¹ . CAPEX and Free Cash Flow CAPEX amounted to HK$37M (FY2021: HK$17M)² FCF amounted to HK$122M (FY2021: HK$179M)³ . Working Capital Cycle Account receivables turnover days: 59 days (as at March 31, 2021: 111 days)¹ Inventory turnover days: 158 days (as at March 31, 2021: 160 days)¹ Hypebeast Ltd. 150.HK#8HYPEBEAST Media & Agency FY21/22 Annual Results | 8#9r Hypebeast Ltd. 150.HK Media Segment - Increased Profitability & Contract Values HYPEBEAST 447M FY21 Revenue YoY +46% Source: FY21/22 Annual Financial Results 654M FY22 Media Revenue (HK$) Gross Profit 55% 245M FY21 69% 451 M FY22 Media Gross Profit (HK$) Media Gross Profit Margin Cost of Sales O 45% 202M FY21 31% 203M FY22 Media Cost of Sales (HK$) O Media Cost of Sales as % of Media Revenue Media & Agency 19#10r Hypebeast Ltd. 150.HK Media Growth from North America and EMEA 36% +98% Americas % of Total Media Revenue % Change vs Prior Year HYPEBEAST 24% +105% EMEA 39% +3% APAC Media & Agency | 10#11୮ HK$ Hypebeast Ltd. 150.HK Branching Out To New Segments with Successful Results Media Revenue 700M 525M 350M 175M OM HYPEBEAST Creative Agency Revenue Digital Media Revenue 260M 27% 73% FY17/18 431M 34% 66% FY18/19 474M 43% 57% FY19/20 Source: FY21/22 Annual Financial Results 447M 52% 48% FY20/21 YoY +46% 654M 41% 59% FY21/22 FY22 Brand Clients TAG HELLER NIKE RIMOWA 2 LEXUS CHIVAS SAMSUNG Gillette Amazon Fashion PORSCHE adidas X LOUIS VUITTON BALMAIN PARIS ebay ASUS Media & Agency 11#12HYPEBEAST E-Commerce & Retail FY21/22 Annual Results | 12#13r HK$ Hypebeast Ltd. 150.HK Streamlining E-Commerce Operations E-Commerce & Retail Revenue and Gross Profit E-Commerce & Retail Revenue E-Commerce & Retail Gross Profit 300M 225M 150M 75M OM HYPEBEAST 125M 47% FY17/18 242M 45% FY18/19 278M 37% FY19/20 227M 39% FY20/21 242M 41% FY21/22 1. Average order value is calculated by total sales divided by the number of orders during FY2022. 1.00 USD: 7.785 HKD 2. Average unit value is calculated by total retail price of products sold / number of sold products during FY2022. 1.00 USD: 7.785 HKD 3. Order conversion rate is calculated by average monthly unique visitors of HBX website divided by average orders per month during FY2022. $ en YOY +3% HK$1,995 (-US$256) Average Order Value¹ YOY +3% HK$1,081 (-US$139) Average Unit Value² 1.04% Order Conversion Rate³ E-Commerce & Retail | 13#14r Hypebeast Ltd. 150.HK Boosting Full Price Sell-through to Achieve Profitability Gross Profit HYPEBEAST 39% 89M FY21 41% FY22 E-Commerce and Retail Gross Profit (HK$) O E-Commerce and Retail Gross Profit Margin 98M 1. FY21/22 Annual Financial Results 2. Represents HBX sales Cost of Inventory 61% 138M 59% 144M FY21 Cost of Inventory (HK$) Cost of Inventory as % of E-Commerce revenue FY22 Percentage of Full Price Sales 37% 63% 29% 71% FY21 FY22 Mark Down as % of E-Commerce and Retail Revenue Full Price as % of E-Commerce and Retail Revenue E-Commerce & Retail | 14#15୮ Hypebeast Ltd. 150.HK Product Diversification Driving High Value Purchases HBX Sales By Category Menswear encompasses highest SOV, while Lifestyle division has enjoyed growth in collectibles and interest in expanded categories including home décor and fragrances. 100% 75% 50% 25% 0% HYPEBEAST Menswear Womenswear 4% 35% 61% FY21 Lifestyle 6% 34% 60% FY22 HK$ HBX Average Order Value Customer basket uplifts observed from Lifestyle division and lower entry-point upsells and cross sells 2,000 1,500 1,000 500 0 Average Order Value 1,500 FY19 1,700 FY20 1,929 FY21 1,995 FY22 E-Commerce & Retail | 15#16Q&A Thank you. HYPEBEAST#17HYPEBEAST Appendix FY21/22 Annual Results | 17#18r Financial Information & Ratio Summary HYPEBEAST Profit & Loss Revenues Gross Profit Gross Profit Margin Selling & Marketing Expense (as % of Revenues) Admin & Operating Expense (as % of Revenues) EBITDA EBITDA Margin Net Profit Net profit Margin EPS (HKD/USD Cent) EPS Diluted (HKD/USD Cent) Balance Sheet Non-Current Assets Inventories Trade and Other Receivables - Trade Receivables Cash and Bank Balances Trade and Other Payables Bank Borrowings Net Operating Working Capital² CAPEX³ FCF4 Cashflow Statement Net Cash From Operating Activities Net Cash Used In Investing Activities Net Cash Used In Financing Activities Net Increase in Cash and Cash Equivalents Cash and Cash Equivalents at the Beginning of Year Effect of Exchange Rate Changes Cash and Cash Equivalents at the End of Year 1. USD equivalents are used as illustration purposes only. 1.00 USD: 7.785 HKD 2. Net Operating Working Capital is calculated as (Cash + Trade and Other Receivables + Inventories) - (Trade and Other Payables) 3. CAPEX refers to Property, Plant, and Equipment line of Cash Flow Statement 4. FCF is calculated as Net Cash (Used In)/Generated from Operating Activities - CAPEX HK$'000 FY20/21 674,212 334,127 50% 112,791 17% 125,005 19% 122,596 18% 70,584 10% 3.47 3.45 121,195 42,389 196,942 83,793 209,575 117,886 5,996 331,020 (16,932) 178,783 195,715 (12,264) (43,027) 140,424 67,251 1,900 209,575 US$'000¹ 86,604 42,919 50% 14,488 17% 16,057 19% 15,748 18% 9,067 10% 0.446 0.443 15,568 5,445 25,298 10,763 26,920 15,143 770 42,520 (2,175) 22,965 25,140 (1,575) (5,527) 18,038 8,639 244 26,920 HK$'000 FY21/22 895,632 549,313 61% 160,391 18% 202,650 23% 174,252 19% 100,167 11% 4.88 4.87 167,383 69,702 183,018 128,898 284,269 145,708 7,363 391,281 (36,987) 121,581 158,568 (70,110) (15,746) 72,712 209,575 1,982 284,269 US$'000¹ 115,046 70,560 61% 20,603 18% 26,031 23% 22,383 19% 12,867 11% 0.627 0.626 21,501 8,953 23,509 16,557 36,515 18,717 946 50,261 (4,751) 15,617 20,368 (9,006) (2,023) 9,340 26,920 255 36,515 % Change 33% 64% 42% 7% 62% 42% 42% 41% 41% 38% 64% (7%) 54% 36% 24% 23% 18% 118% (32%) (19%) 472% (63%) (48%) 212% 4% 36% Appendix | 18#19୮ Websites, Links & Contact Media HYPEBEAST http://www.hypebeast.com hypebae http://www.hypebae.com POPBEE https://popbee.com Agency HYPEMAKER https://hypemaker.co Commerce HBX https://hbx.com HYPEBEAST Corporate http://hypebeast.ltd Investor Relations Contact [email protected] Appendix | 19