Home / Knowledge / News / Fashion / Stockmann posts reasonable results in difficult market conditions
Stockmann posts reasonable results in difficult market conditions
16
Mar '09
Stockmann's sales in the fourth quarter were up 13 per cent to EUR 652.8 million (EUR 578.8 million in 2007). Fourth-quarter operating profit fell to EUR 58.4 million (EUR 70.8 million). Full-year sales grew by 36 per cent, totalling EUR 2 265.8 million (EUR 1 668.3 million). Consolidated operating profit declined during the financial year to EUR 121.9 million (EUR 125.2 million).

Net financing expensesgrew as planned as a result of the Lindex acquisition, and with the weakening of the Swedish krona a deferred tax liability of EUR 27.2 million, which nevertheless has no effect on cash flow, was recognized on the basis of the unrealized exchange gain on the foreign currency loan. For these reasons, net profit for the financial year declined from the previous year, amounting to EUR 39.1 million. Earnings per share were EUR 0.67 (EUR 1.59).

Without the increase in deferred tax liability due to the weakening of the Swedish krona, the earnings per share would have been EUR 1.13. The Board of Directors will propose the payment of a dividend of EUR 0.62 per share. The Board also proposes that it be authorised to decide at its discretion, by 31 December 2009, on the payment of a dividend of no more than EUR 0.38 per share, the company's financial standing permitting, in addition to the above-mentioned dividend decided by the Annual General Meeting.

The Stockmann Group's sales in 2008 grew by 36 per cent, totalling EUR 2 265.8 million (EUR 1 668.3 million). The strong growth came as a result of Lindex joining the Group in December 2007. Seppälä's sales were up, the Department Store Division's sales were on a par with the previous year's level, and Hobby Hall's sales were down on the 2007 figure.

Sales in Finland were up 5 per cent to EUR 1 224.8 million. Consolidated sales abroad totalled EUR 1 041.0 million, a growth of 110 per cent. Without Lindex, the corresponding figure would have been 2 per cent. Growth in sales abroad was adversely affected by the closure of the department store in the Smolensky Passage shopping centre in Moscow in May due to the unlawful activities of its lessors, as well as the weakening of the Swedish krona, Norwegian krone and Russian rouble against the euro. International operations accounted for an increased share of consolidated sales, rising from 30 per cent to 46 per cent.

Other operating income on the sale of an unbuilt plot and certain equities totalled EUR 4.2 million (EUR 9.7 million the previous year).

The Group's operating gross margin increased by EUR 300.1 million to EUR 907.0 million, and its relative gross margin was 48.3 per cent (43.4 per cent). The improvement in the Group's relative gross margin was mainly due to the inclusion of Lindex in the consolidated figures. Lindex's relative gross margin was at an all-time high. Hobby Hall's relative gross margin improved, Seppälä's relative gross margin was at the previous year's level and the Department Store Division's relative gross margin decreased slightly. Operating costs increased by EUR 273.2 million and depreciation by EUR 24.5 million.


Must ReadView All

Uzbekistan, S Korea to launch textile techno park in Sept

Textiles | On 19th Feb 2018

Uzbekistan, S Korea to launch textile techno park in Sept

Uzbekistan and South Korea plan to launch a modern textile techno...

Hyosung to invest Rs 3,000 cr in Maharashtra spandex unit

Textiles | On 19th Feb 2018

Hyosung to invest Rs 3,000 cr in Maharashtra spandex unit

The largest global spandex producer Hyosung Corporation of South...

Courtesy: VF Corporation

Apparel/Garments | On 19th Feb 2018

VF Corp Q4 revenue climbs 20% to $3.6 billion

The revenue of VF Corporation, a global leader in branded lifestyle...

Interviews View All

Top executives
Textile industry, India

Such fairs are a must for industry to showcase new innovations

Milind Khandwe
Hindoostan Innovation Centre

‘Modern technical textile is an indispensable tool for science and...

Top executives
Textile & apparel bodies

The mid-term review of FTP is progressive, growth oriented

Riddhi Jain

Conceived in Europe and curated in New Delhi, NeceSera is a...

Sugandha Bhardwaj

<div>New Delhi-based Brinjal Designs Pvt Ltd manufactures home furnishing...

Rikesh Mistry

Jupiter Comtex Pvt Ltd, established in 1973, started its textile machinery ...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Nisha Chanda
Whistling Woods International School of Fashion

<div>A lack of upgraded courses in costume designing and fashion as per...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

February 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
70.6%
No
12.7%
Skip
16.7%

Total Votes: 102

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.7%
No
29.4%
Skip
6.9%

Total Votes: 102

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
88.2%
No
8.8%
Skip
2.9%

Total Votes: 102

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
83.3%
No
7.8%
Skip
8.8%

Total Votes: 102


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search