Swedish firm Lindex Group's revenue at $207 mn in Q1 FY24

The company's Lindex division saw an increase in revenue, rising to €130.6 million from €126.5 million, with a 2.7 per cent growth in local currencies. Sales growth was reported across all main markets. Conversely, the Stockmann division experienced a downturn, with revenue decreasing to €62.2 million from €72 million, the company said in a press release.

Despite the fluctuations in revenue, the group maintained a stable gross margin at 56.3 per cent, nearly unchanged from 56.4 per cent in the prior period.

Operating performance varied across divisions. The Lindex division’s adjusted operating result fell to €4.2 million from €5.6 million, primarily due to higher freight costs linked to logistic challenges in the Red Sea. The Stockmann division saw a more significant decline, with its adjusted operating result worsening to minus €9.4 million from minus €7 million.

Overall, the Group's adjusted operating result decreased to minus €6.5 million from minus €2.4 million. The operating result also declined to minus €7.6 million from minus €2.9 million.

The net result for the quarter was significantly lower, standing at minus €15.4 million compared to a positive €19.5 million in the same quarter last year. Earnings per share followed the downward trend, dropping to minus €0.10 from €0.13.

“During the first quarter, we progressed well with strategy implementation in both divisions. On 21 March 2024, our annual general meeting made the decision to change the parent company’s name from Stockmann plc to Lindex Group plc. The name change reflects the Lindex division’s strengthened role in the group’s business and emphasises that the group has moved on to a new strategic phase where it aims to further grow shareholder value,” said CEO Susanne Ehnbage.

Fibre2Fashion News Desk (DP)