In Budapest, Alfred Kralik and Klara Novak work together at Matuschek and Company, a modest gift shop. Despite their constant bickering and clashing personalities at work, they are unaware that they have been maintaining an anonymous romantic correspondence with each other through letters. Each believes they're in love with a stranger, finding comfort and connection in their secret pen pal, while growing increasingly frustrated with their real-life co-worker.

As Christmas approaches, tensions rise within the store due to misunderstandings and personal problems, leading to a series of revelations and emotional moments among the employees. Alfred and Klara continue to navigate their complicated work relationship, unaware of their true feelings for one another. The film delicately weaves humor and heartache, exploring themes of love, perception, and identity, culminating in a poignant discovery that reshapes their understanding of themselves and each other.