#1allegro allegro Categories V Search for anything search many Promotion with Coins Coupons Allegro Protect Sell on Allegro Spring savings for the new season SEE MORE Allegro.eu Q4 2022 Results presentation Discover new benefits allegro SMART Free deliveries and returns Recently viewed 30 March 2023 All categories SEARCH ☐ yu SMARTO aca v SB 口 (M) S Deals for you Search for deals Buy conveniently via the app Collect Coins Sell on Allegro GREAT PRICE PLN 134.99 SMARTO PLN 39.59 SMARTO Zwirek drewniany dla kota Cat's Best Cars Best Orignal do Plus) 10 Original 40 PLN 2.99 SMARTO EMPIRE KARMA DLA KOTÓW DŁUGOWLOSYCH NA ODKLACZANIE PLN 5.99 SMARTO Empire Karma Dia Kotów Dugowych 50g PLN 139 SMARTO Kama dia Kota Ph Hairball 1.2kg NEW PLN 1,799.00 PLN 41.99 SMARTO Dewozmywak Schock MONO N-100S CATS BEST ORIGINAL ZWIREK Magma DREWNIANY DLA KOTA 10L 1320 people purchase 1 pesan purchased Spple punthased#2Disclaimer This presentation ("Presentation") has been prepared by Allegro.eu, a public limited liability company (société anonyme) incorporated and existing under the laws of the Grand Duchy of Luxembourg, having its registered office at 1, rue Hildegard von Bingen, L - 1282 Luxembourg, Grand Duchy of Luxembourg and being registered with the Luxembourg Register of Trade and Companies (Registre de Commerce et des Sociétés, Luxembourg) under number B 214830 ("Allegro.eu), and its subsidiaries (together the "Allegro Group"). 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Forward looking statements speak only as at the date of this presentation. Any forward looking statements in this Presentation must not be understood as Allegro Group's assurances or projections concerning future expected results of Allegro Group. The Presentation is not and shall not be understood as a forecast of future results of Allegro Group and as a consequence, no undue reliance shall be placed on any forward-looking statement contained in this Presentation. Allegro.eu expressly disclaims any obligations or undertaking to release any update of, or revisions to, any forward looking statements, except as required by applicable law or regulation. | 2#3Agenda Highlights Financial results: Polish Operations Mall Segment Group Management outlook Q & A 3#4Highlights 4#5Polish GMV up 14% YoY, with Adjusted EBITDA growing by 41% YoY Q4 2022 Financial Highlights Everyday shopping selection and attractive prices make Allegro performance resilient despite challenging Polish macro Active Buyers and average annual spend per buyer grew as structural shift to online continues Monetization: co-financing and success fee changes made in Q1-Q3 lift the Take Rate; ads revenue grew >2x faster than GMV Adjusted EBITDA from Polish Operations grew from GMV growth, monetization and "Fit-to-grow" cost control focus Excellent performance and continued roll-out of Allegro Pay, outperforming FY 2022 financial targets On track to launch 3P marketplace in Czechia in 2023 as Mall 1P business turnaround continues Group leverage significantly reduced as profitability improved Consolidated GMV: 25.2% YoY (+14.0% YoY ex. Mall Segment²) Consolidated Revenue: +92.6% YoY (+26.5% YoY ex. Mall Segment) Active Buyers (ex. Mall Segment): +4.2% YoY (+560k), +1.8% QoQ (+245k) GMV per Active Buyer (ex. Mall Segment): +11.3% YoY, +1.9% QoQ Take Rate (ex. Mall Segment) up to 10.91% in Q4'22 (+1.06pp YoY) Advertising revenue (ex. Mall Segment): +29.7% YoY, up to 1.4% of GMV in Q4'22 Consolidated Adj. EBITDA: +33.3% YoY in Q4'22 Adj. EBITDA (ex. Mall Segment) +41.2% YoY in Q4'22 Adj. EBITDA / GMV margin (ex. Mall Segment) 4.90%, +0.94pp YoY >PLN 5.5bn loans originated (up from PLN 2.0 bn in 2021) vs FY'22 target of PLN 4.0bn Mall Segment YoY GMV change: -5.5% YoY³ Mall Segment Adj. EBITDA: -PLN 39m (vs -PLN 50m in Q3'22 and -PLN 67m in Q2'22) Down to 2.9x in Q4'22 (vs 3.4x in Q3'22 and 3.5x in H1'22) 1. Consolidated growth rates include the impact of first time consolidation of the Mall Segment (Mall Group and WE | DO) since Q2 2022 2. Mall Group a.s. and WE | DO s.r.o. (CZ) and their operating direct and indirect subsidiaries as of FY 2022: WE | DO s.r.o (SK), Internet Mall a.s., Internet Mall Hungary Kft, Mimovrste, spletna trgovina d.o.o., Internet Mall Slovakia s.r.o., Internet Mall d.o.o., Netretail Sp. z.o.o. in liquidation, m-HU Internet Kft., E-commerce Holding a.s., CZC.cz s.r.o., AMG Media a.s. These entities comprise the "Mall Segment" reportable in the Group's financial statements 3. Pro-forma YoY change | 5#6Management continues to work on Seven Priorities Costs Growth Poland CE-51 1 Strong in Poland 2 Win in Czechia / Slovakia with our marketplace model 3 Scale up Allegro Pay 4 Improve Smart! and delivery economics 5 Mall 1P business turnaround 6 Fit to grow 7 People & Culture 1. Croatia, Czechia, Hungary, Slovakia, Slovenia Framework to report progress across the organization | 6#7Growth Priority 1: Focus on customers in difficult times help us make progress on Strong in Poland Grow selection SEARCH co PLN Free debat Priority 1 Retail basics Sharp pricing allegro BLACK WEEK -70% Advertising Improve convenience e9 JAKOŚĆ OBSŁUGI 2023 Artykuł sponsorowany Jak prezentują się Samsung Galaxy S23, S23+ i S23 Ultra? mki na zdjęcia Double-digit YoY growth in new merchants acquisition >290m active offers, and 32% YoY growth of unduplicated offers >160 new significant brands and retailers added to the platform Go-to platform for online shopping, with lowest price for 9 out of 10 most popular products¹ Strong increase in the number of price-monitored products Attractive deals for increasingly price-conscious buyers offered during Q4 campaigns: Smart! Week, Black Week and Christmas • Received Star of Customer Service Quality Award² for 6th consecutive year Christmas order delivery cut-off extended by two full days, driving incremental GMV The most popular e-comm app in Poland by total time spent and cumulative downloads with >11 million avg monthly active users³ Advertising revenues up +29.7% YoY, >2x faster than GMV growth in Q4 Key growth drivers: ° Rising merchants penetration о Expanding internal inventory 0 Higher ROI for advertisers enabled higher bidding and cost per click 1. Lowest price on Internet as measured by PDR - Price Defect Rate 2. Star of Customer Service Quality - awarded based on customers' opinion survey, carried out by the Polish Quality Program 3. Allegro as the most popular e-commerce app in Poland, by average monthly active users, cumulative downloads, and total time, data as of Q4 2022 by data.Al | 7#8Growth Priorities 2 and 3: 3P Czech platform launch on track. Allegro Pay again outperformed targets Priority 2 3P launch in CE-5 Kupujete dopravou ZDARMA e SMART! Priority 3 Allegro Pay Launched Smart! in Mall to introduce Czech customers to free shipping subscription program ahead of allegro.cz launch Allegro.cz core consumer path developed, with ongoing Friends & Family testing Targeted and relevant selection secured for launch with price monitoring in place Mall.cz & CZC onboarding readiness to become allegro.cz merchants Local logistics and payments solution at highly advanced stage of integration • Outperforming financial targets in FY 2022: 。>PLN 5.5bn loans originated vs PLN 4.0bn target and up by 174% YoY, with Non-Performing Loans under tight control 。 PLN 388.8m loan book vs PLN 358.8m PY balance (up by only 8% YoY, with PLN >1.5bn of loans sold to Aion) Extended cooperation with Aion to include also BNPL¹ sales, releasing working capital and further lifting ROI Signed term sheet with Aion, aiming to launch new financial products and services (i.e. saving and payment accounts) in BaaS² model 1. BNPL - Buy Now Pay Later consumer loans 2. BaaS Bank-as-a-Service | 8#9Cost Priorities 4, 5 and 6: Improving efficiency and Mall 1P turnaround Smart! allegro SMART NA START Sposoby na oszczędzanie mają! Zaoszczędź nawet 115 zł na dostawach i zwrotach. Priority 4 Priority 5 Delivery experience Mall 1P turnaround allegro Priority 6 Fit to grow Smart! pricing changes helps to offset the indexation impact on delivery costs since mid-November: • Increased MOV1 (to PLN 45 for lockers and PUDO2 and PLN 65 for courier), up from PLN 40 Annual subscription fee increase to PLN 59.90, up from PLN 49 Churn stable after Smart! pricing changes 1. Minimum Order Value 2. Pick Up, Drop Off point 3. Key Value Item Strong Christmas peak performance, with 99.6% of orders delivered before Christmas as promised Over 2,500 installed APMS as of FY'22. Focus on utilization in FY'23 Price increases absorbed across all major delivery partners • Broad cost optimisation in progress Focus on coverage of KVIS³, availability of top sellers and selection Inventory turnover increase improving cash flow profile Big improvements in service quality and customer convenience . Strong focus on cost savings, productivity improvement and prioritization of development projects Key cost savings generated in staff costs, contractors and consulting costs lines Limited and tightly controlled hiring since Q2'22 First headcount reductions completed in Q1 in Mall Group, Delivery Experience and Recruiting | 9#10Commitment and comprehensive approach to ESG driving MSCI rating upgrade to AA MSCI ESG Rating upgrade to AA from A MSCI ESG RATINGS AA CCC B BB BBB A AA AAA Environmental outputs Climate targets approved by SBTi¹ 0 о Reduction of scope 1 and 2 GHG2 emissions by 38% by 2030 vs 2021 Commitment for Scope 3 that 73% of Allegro's suppliers³ will have SBTS by 2027 10.4% YoY lower carbon footprint 23% of energy consumption from renewable sources by Guarantee of Origins 98% of waste was recycled in warehouses and depots Diversity & Inclusion Allegro among Diversity Leaders recognised by the Financial Times & Statista: highest-ranked Polish company and no. 1 in Retail4 Equal pay: Polish Operations met the 5% target for gender pay gap5 Social & charity PLN 56m donations made by Allegro customers thanks to charity platform - Allegro Charytatywni Introduced a volunteering day off for employees Corporate Governance Mr Pedro Arnt appointed as an independent Director, bringing Allegro closer to its Board independence target 1. SBTI Science Based Targets initiative 2. GHG - greenhouse gases 3. Suppliers by total expenditure covering purchased goods & services, capital goods, and downstream transportation and distribution 4. The FT-Statista ranking of Europe's Diversity Leaders is based on independent perception studies of more than 100,000 employees across the continent, Allegro ranked number 6 in Europe among 850 companies 5. Target indicated in the EU Pay Transparency Directive 6. In 2021 the Board of Directors of Allegro.eu approved a target to have at least a majority of independent directors on the Board by September 2026 | 10#11Financial results 11#12Polish Operations Q4 and FY 2022 key results: Polish Operations¹ GMV Active Buyers² GMV per Active Buyer³ PLN 14,443m Q4'22 +14.0% YoY 14.1m Q4'22 +4.2% YoY PLN 3,515 Q4'22 +11.3% YoY PLN 49,389m FY'22 +15.9% YoY Take Rate4 10.91% Q4'22 +1.06pp YoY 10.82% FY'22 +0.59pp YoY Revenue PLN 2,025m Q4'22 +26.5% YoY PLN 6,645m FY'22 +24.1% YoY Adjusted EBITDA PLN 708m Q4'22 +41.2% YoY PLN 2,309m FY'22 +11.6% YoY Adj. EBITDA / GMV margin 4.90% Q4'22 +0.94pp YoY 4.68% FY'22 -0.18pp YoY Cash Conversion5 81.8% Q4'22 +11.81pp YoY 71.3% FY'22 -8.99pp YoY 1. The sum of "Allegro", "Ceneo" and "Other" reportable segments 2. Active Buyer represents, as of the end of a period, each unique email address connected with a buyer that has made at least one purchase on any of Allegro.pl, Allegrolokalnie.pl or eBilet.pl in the last twelve months (LTM) 3. Represents LTM GMV divided by the number of Active Buyers as of the end of a period 4. Defined as 3P Marketplace Revenue / (GMV - 1P GMV) 5. Defined as (Adjusted EBITDA - Capex)/ Adjusted EBITDA | 12#13Polish Operations Nearly 245k new Active Buyers added in Q4, with rising average annual spend, underscores resilient demand for Allegro's wide selection at attractive prices Active Buyers (period end)1 m LTM GMV / Active Buyer (period end)1 PLN m 13.5 11.3% 4.2% -0.5% 1.2% 1.7% 1.8% 3.4% 2.6% 13.4 13.6 13.8 14.1 3 158 3 265 3 350 2.9% 1.9% 3 449 3515 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 QoQ YoY QoQ YOY 1. Active Buyer represents, as of the end of a period, each unique email address connected with a buyer that has made at least one purchase on any of Allegro.pl, Allegrolokalnie.pl or eBilet.pl in the preceding twelve months | 13#14Polish Operations Q4 Polish GMV grew by 14.0% for Q4 2022 despite retail sales slowing by 6.4pp1 GMV² PLN bn 16.7% 12.8% 16.0% 21.4% 14.0% 12.7 12.1 12.0 10.8 14.4 • LTM GMV³ was PLN 49.4bn, up 15.9% YoY and advancing by nearly PLN 1.8bn QoQ Some YoY slow-down visible over November and December as anticipated GMV growth driven by increase in both ASP4 and transactions, with AOV5 continuing to trend upwards despite some trading- down by consumers eBilet contributed 0.5pp to Q4 YoY growth rate, driven by strong demand for big events tickets Smart! price changes having minimal impact on spend and churn despite 23% of subscriptions already migrated to new pricing in Q4 2022 Q4 2021 Q1 Q2 Q3 Q4 2022 2022 2022 2022 YoY 1. Retail sales growth reported by the Central Statistical Office (GUS) down from 21.9% YoY in September 2022 to 15.5% YoY in December 2022 2. GMV of Allegro Polish Operations: Allegro.pl marketplace and eBilet 3. LTM in the last twelve months 4. Average Selling Price 5. Average Order Value 14#15Polish Operations Revenue growth driven by marketplace, advertising and retail Revenue Bridge PLN m Take Rate¹ % 26.0% 29.7% 10.4% 32.9% 32.3% 26.5% 319.9 45.3 5.6 46.7 6.8 2 025.0 1 600.7 Q4'22 Take Rate up by 1.06pp YoY, resulting from monetization initiatives introduced in Q1 and Q3, seasonally lower QoQ 10.46 10.81 11.05 10.91 9.84 Q4 2021 Market Advertising place Price compa- (1P) rison Retail Other Q4 2022 Q4 Q1 Q2 Q3 Q4 2021 2022 2022 2022 2022 YOY 1. Defined as 3P Marketplace Revenue / (GMV - 1P GMV) | 15#16Polish Operations Adjusted EBITDA grew by 41% YoY in Q4 mainly driven by success fee and co-financing increases combined with improving SG&A efficiency Adjusted EBITDA bridge in Q4 20221 PLN m 4.0% 31.3% 501.2 44.7 319.9 4.9% 34.9% 32.1 707.7 -1.2 -135.9 -53.0 Q4 2021 Market place Advertising Net costs Net other EBITDA of delivery items² Marketing costs Other SG&A³ Q4 2022 . • GMV growth at higher take rates drive marketplace revenue growth Growing contribution of margin-accretive advertising revenue Net costs of delivery up by 0.52pp of GMV YoY4 driven by increasing Smart! GMV share and November cost indexation, with courier share broadly flat YoY and down by approx. 3pp QoQ Q4 saw the full lapping of 2021 courier MOV drop, with delivery cost indexation driving approx. 7% YoY rise in delivery cost per unit Tight cost control, with adjusted SG&A5 growth slowing to 11% YoY in Q4 (vs 26% in FY 2022), helped by limited and tightly controlled hiring since Q2 and a steady marketing spend to GMV ratio revenue % GMV margin % Revenue margin 1. All amounts calculated after excluding items treated as adjustments to EBITDA 2. Other revenue, price comparison revenue, retail margin and payments charges. Includes the impact of PLN21.9m reclassification described in footnote number 4 3. Other SG&A incl. staff costs, IT costs, net impairment costs and other expenses (where not included in advertising EBITDA contribution) 4. Including PLN 21.9m of Smart! delivery subsidies reclassified from 1P cost of sales to! net cost of delivery in Q4 2022 5. SG&A costs adjusted in line with EBITDA adjustments | 16#17Polish Operations Capital investment down in Q4 driven by capex controls and optimisation Capital expenditures¹ by type PLN m 62.6% 662.0 369.4 407.1 -14.4% 182.2 150.4 128.8 292.6 87.7 67.0 224.8 62.7 61.7 нн Q4 Q4 FY FY 2021 2022 2021 2022 % cash conversion² 70.0% 81.8% 80.3% 71.3% % of revenue 9.4% 6.4% 7.6% 10.0% YOY Capitalised development costs Other • • Refocus of Delivery Experience streams to improving network utilisation to drive economics Office development projects completed by Q3 2022 Fit-to-grow project increased capex controls Capitalized development spend stabilizing along with brake on staff growth since Q2 1. Presented values are related to cash flow from investing activities and do not include leased assets (which are presented in balance sheet and financing cash flow) 2. Defined as (Adjusted EBITDA - Capex)/ Adjusted EBITDA | 17#18Mall Segment Q4 and FY 2022 key results: Mall Segment¹ GMV PLN 1,424m Q4'22 -5.5% YoY pro-forma² PLN 3,911m FY'22 pro-forma² -6.3% YoY pro-forma² Active Buyers³ GMV per Active Buyer5 4.2m Q4'22 pro-forma² -5.9% YoY pro-forma² PLN 936 pro-forma² -0.4% YoY pro-forma² Take Rate6 12.36% Q4'22 N/A8 Revenue Adjusted EBITDA Adj. EBITDA / GMV margin 1P Gross margin PLN 1,061m Q4'22 -7.8% YoY pro-forma² PLN 39.4m Q4'22 N/A4 -2.77% Q4'22 -2.11pp YoY pro-forma² PLN 2,997m FY'22 pro-forma² -9.8% YoY pro-forma² PLN 197.0m FY'22 pro-forma² N/A4 -5.04% FY'22 pro-forma² -3.62pp YoY pro-forma² 12.7% Q4'22 N/A8 12.3% FY'22 pro-forma² N/A8 1. Mall Group a.s. and WE | DO s.r.o. (CZ) and their operating direct and indirect subsidiaries as of FY 2022: WE | DO s.r.o (SK), Internet Mall a.s., Internet Mall Hungary Kft, Mimovrste, spletna trgovina d.o.o., Internet Mall Slovakia s.r.o., Internet Mall d.o.o., Netretail Sp. z.o.o. in liquidation, m-HU Internet Kft., E-commerce Holding a.s., CZC.cz s.r.o., AMG Media a.s. These entities comprise the "Mall Segment" reportable in the Group's financial statements 2. Estimates of pro-forma prior year comparative information for the same Mall organizational structure, together with WE | DO, as acquired by Allegro in April 2022 3. Represents, as of the end of a period, each unique email address connected with a buyer that has made at least one purchase on any of mall.cz, mall.sk, mall.hu, www.mimovrste.com, mall.hr, czc.cz in the preceding twelve months 4. Not applicable, as the pro-forma comparative was a negative number with Adjusted EBITDA loss of (-PLN 10.0m) and (PLN -58.9m) in the comparable pro-forma periods for Q4 2021 and FY 2021, respectively 5. Represents LTM GMV divided by the number of Active Buyers as of the end of a period 6. Defined as 3P Marketplace Revenue / (GMV - 1P GMV) 7. Defined as (Retail revenue - cost of goods sold) / Retail revenue 8. Comparative pro-forma information for prior year not available | 18#19Q4 2022 1,507.4 1,424.1 -5.5% Mall Segment Mall 1P business turnaround in progress, with Q2-Q4 2022 results in line with expectations Mall Segment results Income Statement PLN m (unaudited) GMV % YoY Q4 2021 pro-forma¹ Q2-Q4 2021 pro-forma¹ Q2-Q4 2022 3,185.5 3,107.0 of which 3P 207.2 241.9 377.2 490.6 % YoY 16.8% +30.1% • of which 1P 1,300.2 1,182.2 2,808.3 2,616.3 % YoY -9.1% -6.8% Revenue 1,150.9 1,060.6 2,503.6 2,365.8 % YoY -7.9% -5.5% EBITDA -26.1 -55.6 -88.8 -198.3 Adjusted EBITDA -10.0 -39.4 -55.4 -156.8 Capex 19.2 28.8 59.4 60.2 -2.5% • Adjusted EBITDA loss seasonally lower in Q4 (down to -PLN 39.4m in Q4'22 vs -PLN 50m in Q3'22 and -PLN 67m in Q2'22) Q4 EBITDA adjustments reflect integration costs, retention bonuses, AIP for Mall key employees and restructuring provisions Revenue decline reflects lower 1P GMV with falling consumer discretionary spending across the Mall Segment 3P GMV increased by 16.8% YoY in Q4'22, reaching nearly 17% share Progress in top sellers availability and price competitiveness in Mall's 1P business along with focus on costs Improving inventory management with 6 days lower YoY inventory days outstanding and released PLN 130m in working capital 1. Historical GMV data for Mall based on pro-forma for the same organizational structure as acquired by the Group | 19#20Group Consolidated Q4 and FY 2022 key results: Consolidated¹ Group, including 9M (Q2-Q4) Mall Segment GMV Adjusted EBITDA Take rate PLN 15,867m Q4'22 +25.2% YoY PLN 668m Q4'22 +33.3% YoY 10.93% Q4'22 +1.09pp YoY PLN 52,496m FY'22 +23.2% YoY PLN 2,153m FY'22 +4.1% YoY 10.83% FY'22 +0.60pp YoY Revenue PLN 3,083m Q4'22 +92.6% YoY PLN 9,005m FY'22 +68.2% YoY Adj. EBITDA / GMV margin 4.21% Q4'22 +0.26pp YoY 4.10% FY'22 Cash Conversion² 76.4% Q4'22 +6.4pp YoY -0.75pp YoY 66.4% FY'22 -13.9pp YoY 1. Consolidated Group includes Polish Operations and the first time consolidation of the Mall Segment (Mall Group and WE | DO) since Q2 2022 2. Defined as (Adjusted EBITDA - Capex)/ Adjusted EBITDA | 20#21Group Consolidated Leverage down to 2.91x as of 2022 year end driven by rising LTM EBITDA and extended scope of consumer loan sales Pro-forma¹ • PLN m (unaudited) 31.12.2021 01.04.2022 30.09.2022 31.12.2022 LTM² Adjusted EBITDA Polish 2,068.5 1,995.8 2,103.0 2,309.4 Operations LTM² Adjusted EBITDA Mall N/A N/A (117.4) (156.8) Segment Adjusted EBITDA LTM² 2,068.5 1,995.8 1,985.6 2,152.7 • Borrowings at amortized 5,366.3 6,856.2 6,953.1 6,453.5 cost Lease liabilities Cash 251.1 458.9 728.5 690.2 (1,957.2) (800.8) (853.2) (877.6) Net Debt 3,660.2 6,514.4 6,828.5 6,266.1 Leverage 1.77x 3.26x 3.44x 2.91x Equity 9,454.1 10,910.6 8,866.6 Net debt to Equity 38.7% 59.7% 77.0% 8,981.3 69.8% 1. Estimate of pro-forma leverage immediately after the completion of the Mall Group acquisition 2. LTM last twelve months 3. Buy Now Pay Later • • Rapid deleveraging from strong EBITDA growth, lower YoY capex spend and working capital inflow Extended cooperation with Aion to include fast-rotating BNPL3 loans: PLN 730.5m of loans sold in Q4, including PLN 168.0m of BNPL loans, significantly improving working capital Repaid PLN 500m RCF drawn for Mall acquisition, bringing Group's gross debt down to PLN 6.5bn All gross debt due in October 2025 after PLN 1bn bridge loan from Mall acquisition refinanced with senior debt on existing senior debt terms PLN 4,125m of gross floating rate debt hedged to fixed to mid 2024 at WIBOR rate 1.32% (3.47pp benefit on total blended cost of borrowing of 6.09%) Focus on further deleveraging in 2023 | 21#22Management outlook | 22#23Mid-term aspirations Continue profitable GMV growth in Poland, focusing on under-indexed categories, to achieve a low double-digit GMV CAGR Enhance the Polish marketplace model with expansion of Allegro Pay and increasing penetration of Advertising services Priority focus on efficiency to move Poland GMV margin back towards a 5% target and improve Mall's legacy 1P business Accelerate Group GMV growth through international Allegro marketplace launches, starting with Mall footprint countries Drive both SG&A and capital discipline across the extended TAM¹ to improve Group margins and sequentially reduce leverage 1. Target Addressable Market | 23#242023 key Priorities: Strong Polish performance, launch the Allegro.cz, further reduce Group leverage Growth 1 Strong in Poland Grow GMV with ca. a third of growth driven by under-indexed categories. Raise combined share of advertising and promotion to support margins and monetization. 2 Win in Czechia / Slovakia with our marketplace model Launch allegro.cz 3P with investment scaled around test results and macro situation. 3 Scale up Allegro Pay Scale-up of Allegro Pay, financed mainly by 3P partners. Work towards launching banking services in BaaS model. Costs 4 Improve Smart! and delivery economics Partial swing-back towards APMs from courier. Smart! pricing changes to partly offset indexation impact with delivery costs to rise moderately as % of GMV. Focus APM project on utilisation. 5 Mall 1P business turnaround Reduce Mall 1 P losses. Open Mall 1P as allegro.cz merchant. 6 Fit to grow Optimise costs and improve efficiency throughout the Group. Significantly lower capex YoY. Support cash flow improvement and continued deleveraging. 7 People & Culture Using our talent pool efficiently to meet our business ambitions, strengthen our core values and ensure sustainability. | 24#252022 completed in line with expectations. Allegro switching policy to provide quarterly outlook Polish Operations Mall Segment³ Group Consolidated 2022 Q2-Q4 2022E Actual Q1'23E 2022E Q2-Q4 2022 Actual 2022 Q1'23E 2022E Actual Q1'23E GMV 15-17% YoY growth 15.9% 13-14% Low single- -2.5% 1-2% YoY YoY growth digit % YoY decline pro-forma 22-24% YoY growth 23.2% 20-21% YoY growth decline4 Revenue 23-26% YoY growth 24.1% 20-22% YoY growth Low single- digit % YoY decline -5.5% 2-4% YoY pro-forma 67-71% YoY growth 68.2% 64-66% YoY growth decline4 Adjusted EBITDA1 10-12% YoY growth 11.6% 20-23% YoY growth PLN 120-160m PLN 157m loss PLN 75-80m loss5 2-6% YoY growth 4.3% 3-6% YoY growth loss CAPEX² PLN 650-700m PLN 662m PLN 100-110m PLN 70-100m PLN 60m PLN 20-30m5 PLN 720-800m PLN 722m PLN 120-140m 1. Adjusted EBITDA defined as EBITDA pre transaction costs, management fees (monitoring fees), stock-based compensation, restructuring costs, and other one-off items 2. Represents cash capex and does not include leased assets (which are presented in balance sheet) 3. GMV and revenue YoY change expectations and actuals for the Mall Segment are calculated on a pro-forma basis 4. Including positive impact from PLN/CZK FX rate changes 5. Including approximately PLN16m start-up losses and PLN10m of capitalized development expenses related to 3P marketplace launch preparation in Czechia | 25#26Q & A | 26#27Thank you | 27