Net Assets

Total assets decreased by 2% to EUR 3,721 million at the end of fiscal year 2025 (December 31, 2024: EUR 3,782 million). This development is mainly attributable to a lower inventory position as well as a decline in property, plant, and equipment and right-of-use assets, which more than offset an increase in cash and cash equivalents.

The share of current assets slightly increased to 50% as of December 31, 2025 (December 31, 2024: 49%), mainly reflecting an increase in cash and cash equivalents. Accordingly, the share of non-current assets also amounted to 50% at the end of fiscal year 2025 (December 31, 2024: 51%). The equity ratio amounted to 42%, thus above the prior-year level (December 31, 2024: 38%). Consolidated Financial Statements, Consolidated Statement of Financial Position

Trade net working capital (TNWC) increased by 5% currency-adjusted, mainly due to lower trade payables. Inventories were down 10% currency-adjusted year-over-year, reflecting disciplined inventory management alongside robust top-line momentum in the fourth quarter of 2025. As a percentage of Group sales, inventories stood at 21.5%, and thus well below the level at the end of fiscal year 2024 (December 31, 2024: 24.9%). At the same time, trade receivables were up 10%, mainly reflecting our robust performance in both brick-and-mortar and digital wholesale in the final quarter of 2025. Trade payables, on the other hand, came in well below the prior-year level. This development primarily reflects lower order volumes as part of our measures to reduce core merchandise inflow going forward. The moving average of TNWC as a percentage of sales based on the last four quarters amounted to 20.0%, thus 40 basis points above the level recorded in the prior year (December 31, 2024: 19.6%). Notes to the Consolidated Financial Statements, Notes 12 and 13

Property, plant, and equipment, intangible assets, and right-of-use assets declined by 4% compared to the prior-year level, totaling EUR 1,700 million at year-end (December 31, 2024: EUR 1,775 million). This development primarily reflects the Company’s focus on capital expenditure efficiency, resulting in lower investment levels in fiscal year 2025, as well as a reduction in right-of-use assets following selective store closures, which more than offset new store openings. Cash and cash equivalents amounted to EUR 343 million at the end of fiscal year 2025, well above the prior-year level (December 31, 2024: EUR 211 million), reflecting the particularly strong cash flow generation in the fourth quarter. Notes to the Consolidated Financial Statements, Notes 8 and 14, Financial Position, Statement of Cash Flows and Free Cash Flow

Total current and non-current lease liabilities, primarily related to the rental of retail store locations as well as logistics and administration properties, decreased by 8% to EUR 887 million as of the reporting date (December 31, 2024: EUR 959 million). This development was mainly driven by a moderate reduction of our global store footprint, primarily through the utilization of expiring lease contracts. Current and non-current financial liabilities, at EUR 296 million, remained largely on the prior-year level (December 31, 2024: EUR 297 million). Provisions and deferred tax liabilities increased 8% to EUR 202 million (December 31, 2024: EUR 187 million), mainly reflecting higher deferred taxes. Notes to the Consolidated Financial Statements, Notes 9, 17, 19, and 20, Financial Position, Capital Structure and Financing