JANUARY - JUNE
NET SALES
COSTS AND DEPRECIATIONS
Net sales amounted to SEK 3,193.9 million, which was 14%
higher than the previous year (SEK 2,796.0 million). Exchange
rate effects had a positive impact on sales of SEK 157.9 million,
which is equivalent to 6%.
External expenses increased by SEK 46.4 million and amounted
to SEK -668.7 (-622.3) million. The increase is mainly related to
previously decided sales and marketing initiatives as well as impro-
vement measures in our distribution units. Volume related costs
have also contributed to the increase. Personnel costs increased by
SEK 66.3 million and amounted to SEK -573.6 (-507.3) million,
which is related to more employees in sales, warehousing and
customer service. Exchange rate fluctuations have increased the
above costs by SEK 65.8 million, while reporting in accordance
with IFRS 16 has reduced external costs by SEK 61.8 million.
Net sales in Sweden increased by 8% and the improvement was
achieved in the retail sales channel. The USA increased by 21%
and both sales channels had good growth. The exchange rate
change when translated to SEK had a positive impact on sales
and sales in local currency increased by 10%. The region Nordic
countries excluding Sweden increased by 9% and both sales
channels increased. Net sales in Central and Southern Europe
increased by 12% and 16% respectively, which is related to both
promo and retail. Again, exchange rate fluctuations have had a
positive impact and sales in local currencies have improved by 8%
and 12%, respectively. Other countries increased by 21%, which
is related to operations in Asia and Canada as well as the promo
sales channel.
Depreciations and write-downs were higher compared to last
year and amounted to SEK -103.8 (-36.1) million. The increase
is primarily an effect of IFRS 16, which affected depreciations by
SEK -56.8 million.
OPERATING RESULT
Operating profit improved slightly compared to last year and
amounted to SEK 165.6 (155.9) million. However, the operating
margin decreased compared to the previous year and amounted
to 5.2 (5.6)%. The decrease is related to the Group's higher
costs, which are due to our activities within sales, marketing and
distribution units.
GROSS PROFIT
The gross profit margin was on a par with last year and amounted
to 46.8 (47.0)%. For Sports & Leisure, the margin improved, while
Corporate and Gifts & Home Furnishings had a slightly lower margin
than last year.
NET FINANCIAL ITEMS AND TAX
OTHER OPERATING INCOME AND OTHER
OPERATING EXPENSES
Net financial items amounted to SEK -29.9 (-16.6) million.
Accounting in accordance with IFRS 16 affected financial
expenses by SEK -9.0 million. The Group has slightly higher
interest expenses due to a higher net debt.
Other operating income increased by SEK 5.5 million to SEK
32.7 (27.2) million. Other operating income is mainly attri-
butable to the currency gains of the operations but also other
remunerations and should be compared to the result row
Other operating expenses, where primarily the currency losses
are reported. Other operating expenses decreased by SEK
4.2 million and amounted to SEK -15.9 (-20.1) million. The
net of the above items amounted to SEK 16.8 (7.1) million
and the improvement is attributable to other remunerations.
Tax expense for the period amounted to SEK -25.9 (-26.6) million.
RESULT FOR THE PERIOD
Result for the period amounted to SEK 109.7 (112.7) million and
earnings per share amounted to SEK 1.68 (1.70).
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