NWG // FINANCIAL INFORMATION
the Group had in this quarter . The cash flow from operating activities improved by SEK 373.7 million and amounted to SEK 173.3 ( -200.4) million .
It was a weaker market in the fourth quarter but in line with our expectations . Net sales decreased slightly compared to the previous year and most of our regions decreased . Only Central Europe had growth . The Group reduced net sales in both sales channels . The segments Corporate and Gifts & Home Furnishings were at the same level as last year , while Sports & Leisure decreased net sales . The gross profit margin has continued to improve and was higher than the previous year . We have good cost control and excluding currency changes and acquisitions , the increase was related to higher costs for premises and marketing . Operating result decreased by SEK 28.5 million to SEK 518.7 ( 547.2 ) million . The operating margin remains strong and amounted to 19.0 ( 19.4 )% in the quarter .
Net sales for the year amounted to SEK 9,512.9 million , which was an increase of 8 % ( 4 % excluding currency changes ), of which acquired operations contributed 6 %. The promo sales channel increased by 12 %, which is mainly related to acquired business and the retail trade was on par with last year . The Corporate segment increased by 15 %, of which acquired operations had a positive impact of 11 %. The segment had strong growth during the first three quarters of the year and a weaker development during the last quarter . Although market efforts have increased , costs have been kept at an appropriate level , therefore the operating margin is at the same level as last year . Sports & Leisure also started the year strong but had weaker development thereafter and for the whole year the segment increased by 2 %. The segment increased mainly in Sweden and Central Europe , but net sales decreased in the Other countries region . Investments in Craft have continued and the brand is developing well . During the year , significant market investments were made . We also have good cost control in this segment . However , our costs have increased as the result of more marketing activities and the operating margin was lower than last year . Net sales for Gifts & Home Furnishings decreased by 3 %. After a weak start to the year , things improved in the second half of the year . The segment had lower net sales in all regions . Increased marketing activities and more personnel have caused the operating result to decrease compared to last year .
The Group once again had a strong year that resulted in an operating result of SEK 1,577.2 ( 1,505.1 ) million and with an operating margin that amounted to 16.6 ( 17.0 )%. The financial net increased during the year as last year ' s acquisition and inventory build-up gave a higher net debt during a period of increasing interest rates rose . In line with a weaker market , the Group has adapted its inventory to current volumes and demand . The year ' s net result amounted to SEK 1,119.0 ( 1,168.8 ) million . The inventory reduction has also contributed to the cash flow from operating activities improving by SEK 1,323.8 million and amounting to SEK 963.8 ( -360.0 ) million and the debt to equity ratio being reduced to 31.4 ( 39.5 ) %. Investing activities decreased and amounted to SEK -220.9 ( -552.2 ) million , where last year includes SEK 398.7 million regarding the acquisition of B . T . C Activewear Ltd . The equity ratio improved and amounted to 60.2 ( 53.8 )% and the Group ' s net debt decreased by SEK 300.7 million and amounted to SEK 2,028.9 ( 2,329.6 ) million as of December 31 .
Net sales
Net sales amounted to SEK 9,512.9 million , which was 8 % higher than the previous year ( SEK 8,843.6 million ). Exchange rate effects had a positive impact on sales with SEK 359.5 million , or 4 %. Acquired operations had a positive impact of SEK 520.5 million or 6 %.
Net sales in the USA increased by 1 % with improvement in Sports & Leisure but declines in Corporate and Gifts & Home Furnishings . Sweden was on par with last year with Sports
Net sales |
|
|
|
|
SEK million 2023 |
Share of net sales 2022 |
Share of net sales |
Change |
Percentage change |
USA |
2 156.2 |
23 % |
2 139.0 |
24 % |
17.2 |
1 % |
Sweden |
2 014.1 |
21 % |
2 010.1 |
23 % |
4.0 |
0 % |
Central Europe |
2 217.9 |
23 % |
1 639.1 |
19 % |
578.8 |
35 % |
Nordic countries excl . Sweden |
1 074 . 5 |
11 % |
1 083.6 |
12 % |
-9.1 |
-1% |
Southern Europe |
1 297.3 |
14 % |
1 179.3 |
13 % |
118 . 0 |
10 % |
Other countries |
752.8 |
8 % |
792.5 |
9 % |
-39.7 |
-5% |
Total |
9 512.9 |
100 % |
8 843.6 |
100 % |
669.3 |
8 % |
064 // ANNUAL REPORT