Fiskars Corporation has released its interim report for Q1 of 2017, reporting strong net sales growth. First quarter 2017 in brief:
- Net sales increased by 3.3% to EUR 306.2 million (Q1 2016: 296.2)
- Comparable net sales1) increased by 4.8%
- Comparable2) EBITA increased by 28% to EUR 32.0 million (25.0)
- EBITA increased to EUR 30.9 million (26.8)
- Cash flow from operating activities before financial items and taxes amounted to EUR -46.4 million (-36.2)
- Earnings per share (EPS) were EUR 1.07 (0.01). Operative earnings per share3) totaled EUR 0.19 (0.10)
Outlook for 2017 unchanged:
Fiskars expects the Group’s net sales, excluding the net sales of businesses divested in 2016 (2016: EUR 1,180 million) and comparable EBITA (2016: EUR 107 million) to increase from the previous year.
Interim President and CEO, Fiskars, Teemu Kangas-Kärki said “Fiskars Group had a strong start to the year, with increased net sales and comparable EBITA. The Functional segment net sales grew in all geographies, and both Living and Functional segments delivered solid results, as the comparable EBITA nearly doubled in the Living segment and grew by 17% in the Functional segment.
The solid first quarter was supported by favorable weather conditions and strong sell-in in the gardening category, the timing of spring campaigns as well as our improved cost structure. In addition, we have succeeded in winning big customer accounts, thanks to our in-store excellence, presence in several markets and customer focus. Inspiring consumers with a family of iconic lifestyle brands is at the core of our business and several of our brands, Fiskars, Royal Copenhagen, Arabia, Gilmour, and Royal Doulton demonstrated double digit growth.
I am pleased with the excellent performance in the Scandinavian Living and Functional businesses, reflecting the persistent work and focus our team has manifested over time. During the first quarter, we continued to see the benefits of the transformation programs that have been initiated during the past few years. The solid results speak of our ability to create value, generate growth with our strong brands and drive operational efficiencies.
The trade continued to face lower traffic in traditional channels, especially in department stores, as consumers continued to move to online and e-commerce platforms across various categories in the Living business. Building omni-channel capabilities with our trade partners, in own retail and digital channels is a strategic priority and we continue to invest in e-commerce to increase net sales in these channels.
Our long-term financial targets, shared earlier this year, outline the ambition level as we determinedly pursue continued profitable growth. The new organization structure with two Strategic Business Units and a global supply chain will help us in increasing cohesion and alignment, both of which we need in order to build global businesses and brands.
Fiskars has a family of globally recognized brands, including Fiskars, Gerber, Iittala, Royal Copenhagen, Waterford, and Wedgwood, a clear purpose to make the everyday extraordinary, and a strong balance sheet that provides us the flexibility to invest in opportunities that can create sustainable value for our stakeholders.”