3 November 2021
The Weekly

Stockmann Group’s third quarter was very strong. The operating result improved by € 18.9mn compared to the reference period. Lindex made its best quarterly result ever, € 31.6mn, and the Stockmann division improved its performance clearly, by € 4.7mn, reaching a positive result. Due to the increasing vaccination rate, the customer flows started to reach healthier levels in the third quarter. Lindex generated an outstanding result due to increased sales in all markets and business areas, and a very high gross margin. Sales in the brick-and-mortar stores were boosted due to higher visitor levels, and the strong development in the online store continued.

For the first time since the fourth quarter in 2019, the Stockmann division delivered a positive result, slightly above zero. Sales in the brick-and-mortar stores increased clearly during the third quarter and changed the balance between the sales channels. Both channels showed healthy growth during the quarter. The Riga Delicatessen was re-opened in September after being closed and renovated for two months. The execution of Stockmann’s restructuring programme has proceeded according to the plan. It is based on the continuation of Stockmann’s department store operations, the sale and leaseback of the department store properties located in Helsinki, Tallinn and Riga and the continuation of Lindex’s business operations as a fixed part of the Stockmann Group. The properties’ sale and leaseback projects are progressing in all three countries. The aforementioned properties must be sold by 31 December 2021 at the latest at the risk of the restructuring programme lapsing., unless the Supervisor postpones the deadline for the sale until 31 December 2022 for a justified reason. Stockmann expects a clear increase to the Group revenue and the adjusted operating result to be clearly positive assuming that no major COVID-19 restrictions are imposed. Key data for the period:

July–September 2021:

  • Consolidated revenue was € 237.8mn (207.6), up 12% in comparable currency  rates.
  • Gross margin was 59.5% (57.4%).
  • Operating result was € 33.2mn (€14.3mn).
  • The adjusted operating result was € 33.3mn (€16.5mn).
  • Earnings per share were € 0.15 (€0.01).
  • Adjusted earnings per share were € 0.15 (€0.04).

January–September 2021:

  • Consolidated revenue was € 621.5mn (€558.7mn), up 8.8% in comparable  currency rates.
  • Gross margin was 59.1% (55.3).
  • Operating result was € 31.8mn (-14.0).
  • The adjusted operating result was € 39.0mn (-9.3).
  • Earnings per share were € 0.08 (-0.69).
  • Adjusted earnings per share were € 0.13 (-0.62).