Clas Ohlson year-end report 2014/15

Regulatory

2015-06-10 07:00 CET

Fourth quarter

  • Sales increased by 8% to 1,498 MSEK (1,386), 6% in local currencies
  • Operating loss amounted to 8 MSEK (loss: 18)
  • Loss after tax amounted to 5 MSEK (loss: 12)
  • Loss per share was 0.07 SEK (loss: 0.19)
  • Two store contracts signed, Svolvær in Norway and Karlstad in Sweden

Financial year

  • Sales increased by 8% to 7,330 MSEK (6,808), 6% in local currencies
  • Operating profit increased by 12% to 596 MSEK (531)
  • Profit after tax increased by 13% to 459 MSEK (405)
  • Earnings per share increased by 13% to 7.27 SEK (6.42)
  • Cash flow from operating activities amounted to 647 MSEK (689)
  • The proposed dividend is 5.25 SEK per share (4.75)

Events after the end of the reporting period

  • Sales in May increased by 8% to 554 MSEK (512), 7% in local currencies.
  • Decision by the Board of Directors to exercise the Annual General Meeting’s authorisation to buy back shares to secure LTI 2015
  • Contracts have been signed regarding three stores in Hamburg in Germany to be established from summer 2016

CEO’s comments

“We are breaking new records and taking further steps internationally

We round off the financial year at record levels, with higher sales and strengthened fourth-quarter earnings. A strong offering and a clear spring range has given us a good start in the new financial year.

It is gratifying to end Clas Ohlson’s 2014/15 financial year with record-breaking results. During the year, we increased sales by 8 per cent to 7,330 MSEK and increased operating profit by 12 per cent to 596 MSEK.

We noted a positive sales trend in all of our sales channels during the spring, particularly in Finland and Norway. In total, sales in the quarter increased by 8 per cent to 1,498 MSEK.

We had a good start to the new fiscal year with sales growth of 8 per cent in May.

Enhanced efficiency in supply chain

Enhanced efficiency in the supply chain, particularly due to the long-term transport agreements for deliveries to and from the company effective as of July last year, benefited Clas Ohlson during the quarter, thus offsetting the effect of the USD. Delays in inventories and a favourable sales mix also help the company withstand such effects.

Exchange-rate fluctuations present a challenge for us going forward. We will continue to work on actions to counteract the effect of the trend in the USD as far as possible.

We are taking the next step in our international expansion

We announced today that as part of our review of the existing store network in the UK we will close our store in Birmingham and open a new, more space-efficient store in St Albans just outside London in September.

As for our expansion into the German market, it is fantastic that we now have finalised three store contracts in Hamburg. The stores will be established beginning in summer 2016 and are located in Hamburg's city center, in the district of Altona and in Hamburg's largest shopping mall in the district Alstertal. With these three store contracts, we have created the very best conditions for a good start in Germany. We indeed have exciting times ahead.”

Press and analyst conference

A press and analyst conference will be held on Wednesday 10 June at 08:30 a.m. at Clas Ohlson’s store at Drottninggatan 53 in Stockholm and can also be followed on about.clasohlson.com or www.financialhearings.com

For more information please contact:
Sara Kraft Westrell, Director of Information and IR, phone +46 (0)247-649 13