Kid Brands, Inc. (KID) is a public company. Kid Brands'​ business is composed of four wholly-owned subsidiaries: Kids Line, LLC; LaJobi, Inc; Sassy, Inc.; and CoCaLo, Inc. serving parents, infants, and kids with great design led and branded proudcts globally. Through these subsidiaries, the Company designs and markets branded infant and juvenile products in a number of complementary categories including, among others: infant bedding and related nursery accessories and decor (Kids Line ® and CoCaLo ® ); nursery furniture and related products (LaJobi ® ); and developmental toys and feeding, bath and baby care items with features that address the various stages of an infant's early years (Sassy ® ). In addition to the Company's branded products, the Company also markets certain categories of products pursuant to various licenses, including Carter's ® , Disney ® , Graco ® and Serta ® . Founded in 1963. It has 7 employees. Annual revenue is $174.7M.

Transcript

Marianne Fulford — CEO

Morning everyone, and welcome to our presentation of second quarter. I am Marianne Fulford, CEO at Kid, and with me today I have Mads Kigen, CFO at Kid. We will walk you through the presentation together. We deliver a solid second quarter, driven by strong development across both Kid and Hemtex. We deliver strong sales growth across both online and physical stores. This despite a negative Easter calendar effect in Norway. Growth was driven by a highly commercial seasonal assortment and an increase in the number of transacting customers. The solid online growth continues through second quarter, and online revenues increased significantly. Online growth was driven by positive development across both Kid and Hemtex. We also delivered a solid growth in EBITDA and a strong gross margin in the quarter. Overall, costs were in line with our expectations. As the business grew, we continued to invest in marketing, technology, and commercial initiatives while maintaining good cost control. Several of these investments are designed to support future growth opportunities, improve customer experience, and increase operational efficiency over time. Mads, he will walk you through the cost drivers in more details later. Let us take a closer look at the operational highlights from the quarter. First of all, second quarter was negatively affected by the timing of Easter, which has a greater impact on sales in the Norwegian market.