HALF-YEAR RESULTS2017/2018

DECEMBER 2017

2

NO. 1 FRENCH ONLINE HIGH-TECH BRAND AND LEADER IN

OMNICHANNEL RETAILING

€479,9M

2017/18

revenues

Over 700

employees

12brands including

7 commercial

websites

4countries covered:

France / Belgium / Luxembourg / Switzerland

39,000 m²

dedicated

logistics platform

27

LDLC.COM

stores

(at 01/12/2017)

1 700

high-tech brand

partners

50,000

catalogued

products

First half 2017/2018(1 April – 30 September)

RESULTSANALYSIS

4

▪ HIGH-TECH BUSIENSS DISRUPTED BY CONTINUED SURGE IN MEMORY COMPONENT

PRICES (MEMORY MODULES AND SSDS)

▪ RETURN TO DYNAMIC GROWTH CONFIRMED FOR THE BTOB BUSINESS

▪ REDUCTION IN NET DEBT DRIVEN BY EFFICIENT OPTIMISATION OF WORKING CAPITAL

▪ RESILIENT PERFORMANCE BACKED BY STRONG FUNDAMENTALS DESPITE SUSTAINED

CAPEX POLICY

▪ SEPTEMBER 2017 RELOCATION TO NEW HEAD OFFICE IN LIMONEST

▪ FOLLOWING ON FROM THE SUCCESSFUL INTEGRATION OF MATERIAL.NET, SIGNING

OF AGREEMENT TO ACQUIRE OLYS GROUP

▪ STRONG AMBITIONS CONFIRMED, WITH TARGET TO HIT THE ONE BILLION EURO

REVENUE MARK BY 2021

FIRST HALF 2017-2018: KEY POINTS TO NOTE

5

GROUP REVENUES PER QUARTER

IN €M 2017/2018 2016/2017 % change

Q1 100.8 104.2 -3.3%

Q2 114.7 116.9 -1.9%

TOTAL H1 REVENUES 215.5 221.1 -2.5%

Memory component prices have tripled, thus penalising the product mix

Cross-channel selling: 26 stores at 30 September 2017 vs 21 last year

Growth in BtoB sales in Q2 vs last year (initial impact of restructuring launched in 2016)

6

INDIVIDUAL BRAND CONTRIBUTIONS TO REVENUES

IN €M Q1 rev. Q2 rev. H1 Total H1 change

BtoC 69.6 85.4 155.0 -3.7%

Incl. Cross-channel 11.5 12.6 24.1 +19.3%

BtoB 28.2 26.4 54.6 +0.4%

OTHER 3.0 2.9 5.9 +3.5%

TOTAL 100.8 114.7 215.5 -2.5%

61%25%

11%3%

BtoC (excluding stores)

BtoB

Stores

Other

7

INCREASED PERFORMANCE INDICATORS

Average basket growth (€ excl. VAT)

227,500 new customers

Over 2 million Around 600,000 Around 90,000

H 1 1 5 / 1 6 H 1 1 6 / 1 7 H 1 1 7 / 1 8

330311 334

Number of new accounts

LDLC Group: a household name (around 2.8 million fans in total)

(Total new accounts BtoB + BtoC)

95,000 Around 6,000

8

CHANGE IN GROSS MARGIN

IN €M2017/2018

6 MONTHS

2016/2017

6 MONTHS

Revenues 215.5 221.1

Gross margin 36.0 36.6

Gross margin as % of revenues

Growth in gross margin rate despite the surge in memory component prices and increase in

the number of stores

16.5%

15.8%

16.7%

H1

2016/2017

H2

2016/2017

H1

2017/2018

The Group is entering a recovery phase

9

CHANGE IN EBIT

Structuring and

strengthening of

management

teams

Capex sustained /

relocation

IN €M2017/2018

6 MONTHS

2016/2017

6 MONTHS

Revenues 215.5 221.1

Gross margin 36.0 36.6

Other purchases and external costs (12.0) (10.4)

Staff costs (16.3) (15.3)

Miscellaneous taxes (0.5) (0.4)

Other costs (0.5) (0.4)

EBITDA 6.6 10.1

Depreciation and provisions (2.2) (2.2)

EBIT 4.4 7.8

10

SUMMARY INCOME STATEMENT

IN €M2017/2018

6 MONTHS

2016/2017

6 MONTHS

Revenues 215.5 221.1

EBITDA 6.6 10.1

Underlying EBIT 4.4 7.8

EBIT 4.1 7.8

Financial profit (0.4) (0.4)

Earnings before tax 3.7 7.4

Tax (1.3) (2.9)

Net income 2.5 4.6

11

CASH FLOW STATEMENT

Major initiative to optimise working capital

Construction of head office: total investment of €23.5m (including fit-out

work), of which €22m financed by lease purchase

IN €M 30 Sept 2017 31 March 2017 30 Sept 2016

Free cash flow 5.9 17.1 9.5

Change in working capital 23.0 (1.4) (3.2)

Cash flow from operating activities 27.6 11.2 4.0

Cash flow from investing activities (25.6) (1.9) (1.2)

Cash flow from financing activities 20.3 4.5 5.9

Change in cash 22.4 13.8 8.7

Cash b/fwd 10.3 (3.5) 3.5

Cash c/fwd 32.7 10.3 5.2

12

BALANCE SHEET

ASSETS (in €M) 30 Sept 2017 31 March 2017

Non-current assets 73.9 50.8

o/w PP&E 39.4 17.7

Inventories and WIP 76.5 75.4

Trade receivables 18.4 17.1

Other receivables 17.6 16.9

Cash and cash equivalents 32.8 10.6

Current assets 145.3 120.0

Total assets 219.2 170.8

EQUITYAND LIABILITIES (in €M) 30 Sept 2017 31 March 2017

Shareholders' equity 57.6 54.9

Short-term borrowings 58.8 40.4

Non-current liabilities 63.1 44.9

Loans and borrowings 7.6 6.2

Trade payables 72.0 44.8

Others payables and

provisions18.4 20.0

Current liabilities 98.5 71.0

Total equity and liabilities 219.2 170.8

Improvement in debt-to-equity ratio through tight management of working capital: 0.58

vs 0.66 at 31/03/2017

Over 2 years, the Group has expended €65m (Materiel.net and new head office), €45m

of which was financed by debt loans

Sharp increase in property, plant and equipment

STRATEGIC PRIORITIES

GROUP NEWS

14

OUR ROADMAP

Continue growth

in online BtoC

Roll out

our store network

Strengthen our

position in BtoB

A STRATEGY THAT COMBINES ORGANIC

GROWTH WITH ACQUISITIONS

15

GROWTH IN ONLINE BTOC

GROW OUR MARKET SHARE

▪ Catalogue depth and synergies between brands

▪ Development of Hardware.fr ▪ Expert reputation and image▪ Quality of service

INNOVATING

▪ Creation of a PC configurator https://www.ldlc.com/configurateur-pc/

▪ Launch of 1st fully water-cooled PC by Materiel.net▪ Development of R&D unit ▪ Customer service: introduction of Live Chat facility

Customer Service of the Year award for the fourth year running100% of emails answered within 1 business day 15 seconds: average waiting time before speaking to an adviser100% of answers on social media

16

GROWTH IN ONLINE BTOC

FINALISE SYNERGIES WITH MATERIEL.NET IN H2 2017/2018

▪ Goal: capitalise on 2 complementary logistics platforms

(LYON / NANTES)

INTERNATIONAL EXPANSION

▪ Hiring of a Business Development Manager▪ Launch of LDLC website in Spanish and opening of 1st pilot store in Madrid

early FY 2018/2019

17

CROSS-CHANNEL DEVELOPMENT

27 LDLC stores and 10 materiel.net concept stores

at 1 December 2017

2021 TARGET

REVENUES OF AROUND €300M

100 STORES

Appointment of Eric Schneider

CEO of LDLC Distribution

140 employees currently

work in LDLC’s stores

Ramp-up of store opening

from H2 2017/2018

LOGISTICS CENTERS

LDLC.COM STORES

18

DEVELOP RELATED BUSINESSES

ONLINE BTOC GROWING

▪ Maginea.com: optimisation of catalogue

▪ L’armoiredebébé.com: promising start

Launch of 1st pilot store near Lyon in 2018

Already 70,000 fans

OTHER BUSINESSES

19

RAMP-UP OF DEVELOPMENT IN BTOB

STRENGTHENING OF ORGANISATIONAL STRUCTURE

▪ Initial benefits of divisional restructuring in 2017/2018▪ Creation of a sales and logistics unit in Gennevilliers

Goal: expand footprint in the Paris region ▪ 70 salespersons over the medium term ▪ Further shorten delivery lead times

ACQUISITION OF OLYS

▪ APPLE Premium Reseller for professionals (BtoB - 60%) and individual consumers (BtoC - 40%)

20

ACQUISITION OF OLYS

OLYS MARKETS THE BIMP BRAND AND, IN NOVEMBER 2017, ACQUIRED GDA, WHICH

MARKETS THE ITRIBU BRAND

OLYS NOW NO.1 APPLE PREMIUM RESELLER

IN FRANCE

14 branches including 10 stores:

Lyon, Marseille, Valence, Grenoble, Chambéry,

Saint Etienne, Clermont Ferrand, Besançon,

Montbéliard, Compiègne

140 employees

including 25 BtoB salespersons

4 Apple Premium Reseller stores:

Nîmes, Montpellier, Mauguio, Perpignan

30 employees

21

TERMS OF OLYS ACQUISITION

A STRUCTURAL ACQUISITION

CREATING VALUE ADDED

Acquisition of entire share capital

Acquisition subject to the approval of the French Competition Authority

Price: €15m - 100% debt financing

Closing due by 31 January 2018

The managers will remain in the company

OLYS KEY FIGURES

▪ 2017 REVENUES (p): €60M

▪ EBITDA (p): €3M

22

INVESTMENT IN NEW HEAD OFFICE

MORE THAN JUST A HEAD OFFICE… AN ENTIRE LDLC CAMPUS

3 buildings: offices, LDLC School and the dome-shaped “Hub”, focus of campus life.

▪ 18 months of construction

work

▪ 2.5 acres of land

▪ 7,000 m² of office space

▪ 3,400 m2 of greenery

▪ 60 trees planted

▪ 300 parking lots

▪ 390 employees and 80 students

KEY FIGURES

TOTAL INVESTMENT OF €23.5M

(INCLUDING FIT-OUT WORK)

23

THE HUB, THE CENTRE OF CAMPUS LIFE

LDLC SCHOOL INTEGRATED

OFFICES

THE LDLC CAMPUS

CONCLUSION

25

▪ BTOC BUSINESS STILL DISRUPTED BY RISING MEMORY COMPENANT PRICES

▪ INTEGRATION OF OLYS GROUP AND SEARCH FOR FURTHER OPPORTUNITIES

▪ DEVELOPMENT OF BTOB IN PARIS REGION

▪ RAMP-UP OF STORE OPENINGS

▪ LAUNCH OF BTOC BUSINESS IN SPAIN (ONLINE & CROSS-CHANNEL)

▪ CONTINUED DRIVE TO STRENGTHEN FUNDAMENTALS

H2 2017-2018: ROADMAP

26

LDLC GROUP: 2021 TARGETS CONFIRMED

€1bnrevenues

5.5 / 6%EBITDA

100stores

INVESTOR NOTEBOOK

SHARE CAPITAL & LISTING2017/2018 TIMETABLE

28

SHARE CAPITAL

Total number of shares at 30 November 2017: 6,322,106

De la Clergerie family*: 40.61%

Laurent de la Clergerie 19.80%

Caroline de la Clergerie 9.94%

Olivier de la Clergerie 9.74%

Suzanne de la Clergerie 1.13%

Public float: 37.25%

Domicorp: 10.94%

Treasury shares: 0.2%

* No action in concert: this segment includes

members of the De la Clergerie family

Keren Finances***: 6.10%

Amiral Gestion**: 4.90%

** according to 26 July 2017 disclosure

*** according to 13 November 2017 disclosure

29

SHARE PRICE MOVEMENTS

Share price over 5 years

Euronext – Compartment B

FR00000755442 LDL

Market capitalisation: €135m

1 yr high: €37.50

1 yr low: €19.0

Analysts tracking the LDLC share:

Gilbert Dupont/Ning Godement

Oddo/Antoine Augier de Lajallet

Listing

25 January 2018 Q3 2017/2018 revenues

26 April 2018 FY 2017/2018 revenues

14 June 2018 FY 2017/2018 results

Timetable