NOTE 16 STOCK
THE GROUP
FINANCIAL INFORMATION
NOTE 16 STOCK
SEK million |
2017 |
2016 |
Raw materials |
34,9 |
28,9 |
Work in progress |
8,7 |
9,7 |
Goods in transit |
144,0 |
126,1 |
Good for resale in stock |
2 455,8 |
2 331,7 |
Total |
2 643,4 |
2 496,4 |
Stocks consist of clothes , gift items and accessories for resale and raw materials . The stocks are valued by applying the FIFO principle , at the lowest of the cost and net sales value on the balance sheet date . Deductions are made for internal profit made from deliveries between Group companies . There is a low risk that the net sales value is lower than the cost in the Corporate Promo operating segment since much of the product range consists of timeless basic products which are in demand season after season .
For sales within the Sports & Leisure operating segment , orders to the factory are placed once the purchase order has been received from the customer , which considerably reduces the risk that the net sales value is lower than the cost . Remaining sales are mainly made up of basic items with a limited fashion risk . Within the Gifts & Home Furnishings operating segment , most of the volume consists of classic , best-selling products that in many cases have a product cycle of more than 20 years , which limits the risk that the net sales value is lower than the cost . As of 31 December 2017 , the Group ’ s stock has been written down with SEK 106.0 million ( SEK 115.1 million ), of which SEK 0 million ( SEK 7.1 million ) relates to raw materials . Impairment related to merchandise on stock amounted to 4.1 % ( 4.4 %).