Inside information, profit warning: Stockmann Group lowers its 2023 guidance for the revenue due to the exchange rate impacts and increases its guidance for the adjusted operating result

STOCKMANN plc, Inside Information 17.7.2023 at 16:00 EEST

 

Inside information, profit warning: Stockmann Group lowers its 2023 guidance for the revenue due to the exchange rate impacts and increases its guidance for the adjusted operating result

 

Stockmann provides an update to its financial guidance for the full-year 2023. The Group has decided to lower its 2023 guidance for the development of the company’s revenue and increase its 2023 guidance regarding the development of adjusted operating result.

 

• Stockmann now expects the Group’s revenue to be in the range of EUR 940–1 000 million in 2023 and the Group’s adjusted operating result to be EUR 65–85 million in 2023, subject to foreign exchange rate fluctuation.

 

• Previously Stockmann expected the Group’s revenue to be in the range of EUR 960–1 020 million and the Group’s adjusted operating result to be EUR 60–80 million, subject to foreign exchange rate fluctuation.

 

The change in revenue is related to the impact of the fluctuation of exchange rates that have a significant impact on Stockmann’s performance. Especially the weak Swedish krona and the Norwegian krone have had an adverse impact on revenue and result. The change in adjusted operating result is due to stronger than expected gross margins and the successful execution of cost saving measures.  

 

New guidance for 2023:
In 2023, Stockmann expects the Group’s revenue to be in the range of EUR 940–1 000 million and the Group’s adjusted operating result to be EUR 65–85 million, subject to foreign exchange rate fluctuation. The guidance is based on the assumption that the continuing high inflation will increase costs from 2022 and have an adverse impact on consumer demand. At the same time, the Stockmann Group continues taking firm measures to minimise the impacts of cost increases.

 

Previous guidance for 2023:
In 2023, Stockmann expects the Group’s revenue to be in the range of EUR 960–1 020 million and the Group’s adjusted operating result to be EUR 60–80 million, subject to foreign exchange rate fluctuation. The guidance is based on the assumption that the continuing high inflation will increase costs from 2022 and have an adverse impact on consumer demand. At the same time, the Stockmann Group continues taking firm measures to minimise the impacts of cost increases.

 

Stockmann will publish its half-year financial report on 21 July 2023. Due to the silent period, Stockmann will not give any further comments on its result before publishing the half-year financial report. Stockmann will hold a webcast for analysts and media on the day of the results release. The participants will have an opportunity to ask questions from the company’s management during that webcast.

 

Further information:
Annelie Forsberg, CFO, via Stockmann Group’s media desk tel. +358 50 389 0011

investor.relations@stockmann.com

 

STOCKMANN plc

 

Susanne Ehnbåge
CEO

 

Distribution:
Nasdaq Helsinki,
Principal media