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SkiStar
Annual Report • Oct 1, 2021
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Annual Report
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YEAR-END REPORT
SEPTEMBER 2020 - AUGUST 2021
| 3 MONTHS SUMMARY, SEK MILLION 1 Jun–31 Aug |
FULL YEAR 1 Sep-31 Aug |
||||
|---|---|---|---|---|---|
| 2020/21 | 2019/20 | 2020/21 | 2019/20 | ||
| Revenue* | 246 | 162 | 2,751 | 2,794 | |
| Operating income* | 301 | 199 | 2,821 | 2,839 | |
| Profit/loss before tax | -5 | -135 | 246 | 350 | |
| Profit/loss after tax | 80 | -101 | 234 | 287 | |
| Earnings per share, SEK | 0.87 | -1.23 | 3.04 | 3.71 | |
| Cash flow from operating activities | 41 | 24 | 699 | 735 | |
| Operating margin, % | 6 | neg | 10 | 14 | |
| Equity/assets ratio, % | 40 | 43 | 40 | 43 | |
| Equity/assets ratio, % excluding IFRS 16 | 51 | 48 | 51 | 48 |
*) With effect from Q2 2020/21, all payments from SkiStar's customers for accommodation are recognised as revenue and the Company's payments to accommodation owners are recognised as an operating expense on the line 'Goods for resale'. The Company previously reported the difference between revenue from rental activities and payments to accommodation owners as net commission income under revenue. The comparative figures in this report have been restated (see also under the heading 'Accounting principles' in the notes to the financial statements on page 17).
SKISTAR CLOSES THE FINANCIAL YEAR AFTER A RECORD WINTER IN SWEDEN AND SUMMER SUCCESS – HISTORICALLY HIGH BOOKINGS FOR THE WINTER SEASON AT +10 PERCENT
- During the financial year, SkiStar updated their strategic plan and the repositioning of SkiStar the winter ski lift company as SkiStar the year-round mountain tourism company focusing on Scandinavia.
- The focus on summer during the fourth quarter resulted in higher guest numbers, which led to an increase in sales in all revenue categories.
- On 1 July, SkiStar took over the operation of six hotels and lodges in the Scandinavian mountain resorts, creating a new business area: Operation of Hotels.
- Earnings continue to be negatively affected by the absence of foreign guests, mainly in Norway, due to the pandemic and entry rules.
Fourth quarter
- Net sales for the fourth quarter were SEK 246 (162) million, an increase of SEK 83 million (51 percent) compared with the previous year.
- Profit after tax was SEK 80 (-101) million, an increase of SEK 180 million (180 percent) compared with the previous year.
- Operating profit was positively affected by SEK 198 million related to transfers of hotel properties, building rights and indirectly jointly-owned (50%) companies, all through conveyances to the already established joint venture company Skiab Invest AB.
- Earnings per share amounted to SEK 0.87 (-1.23).
Full Year
- Net sales for the full year were SEK 2,751 (2,794) million, a decline of SEK 44 million (2 percent) compared with the previous year.
- Profit after tax was SEK 234 (287) million, a decline of SEK 53 million (19 percent) compared to the previous year.
- Earnings per share amounted to SEK 3.04 (3.71), a decline of 18 percent.
- The Board proposes a dividend of SEK 1.50 (0) per share, totalling SEK 118 (0) million.
Further information is avialable from: Stefan Sjöstrand, CEO tel +46 (0)280 841 60 Anders Örnulf, CFO tel +46 (0)280 841 60
YEAR-END REPORT
SEPTEMBER 2020 - AUGUST 2021
COMMENT FROM THE CEO
We end a year in which we have delivered positive results, in the middle of an ongoing pandemic, with an extremely strong momentum in business development, acquisitions and divestments. All Swedish and Norwegian destinations remained open throughout the winter season with more new guests visiting us. However, the absence of foreign guests has had an adverse effect on our earnings. Our new focus on the summer months, with SkiStar Sports & Adventures, has contributed to more summer guests.
To strengthen our position as the leading tour operator for Scandinavia, we completed two major strategic transactions during the year. The first was the sale of our majority shareholding in the ski resort of St. Johann in Tirol in Austria, which we expect to conclude shortly. The second was a deepening of our collaboration with Peab in Skiab Invest AB, where we jointly own the six best hotels and lodges in Sälen, Trysil and Hemsedal. As a result of the transaction, SkiStar runs all hotels in a new hotel division from 1 July. The transaction enables us to offer our guests an even better overall experience when they visit us. In December 2021, we are opening our latest addition: SkiStar Lodge Hundfjället, a brand new lodge in the Sälen mountains and a key part of the development of SkiStar Sälen into an international mountain resort.
The new focus on the summer season was among the drivers that enabled us to increase our Q4 sales to SEK 246 (162) million. The strong inflow of guests has resulted in an increase in all revenue categories, and we are also seeing additional revenue from our new hotel operations.
It is very pleasing to be able to report a profit after tax of SEK 234 (287) million for the full year 2020/21 in an industry that has been affected by the pandemic and restrictions on travel and socialising. The absence of foreign guests, particularly in Norway, is having a negative impact on earnings.
Our cooperation and dialogue with the wider industry, healthcare services, the authorities and our skiing associations prior to the winter season ensured that we were well prepared for another Covid-adapted winter season. At the same time, we invested in digitalisation, including digitalised check-in/check-out and SkiPass purchasing, which has been appreciated by our guests. I am very proud of our Covid-safe precautions, which resulted in nearly 90 percent of our guests feeling safe and secure while staying with us, which is a testament to the hard work our employees put in to give our guests memorable mountain experiences. It is also particularly pleasing that 7 percent of our guests were new to SkiStar during the winter season.
As a further step in SkiStar's strategic shift from a winter ski lift company to a year-round tourism company, we launched SkiStar Sports & Adventures in summer 2021, with a range of activities such as trail biking, climbing parks and lift-assisted hiking. Interest in staycation breaks and active holidaying all year round remains high, which is also reflected in our visitor figures: 30 percent more visitors used the lift system and activities on the mountain in summer 2021 than in the previous year. We also see that as many as one in four of our visitors have not visited us before in the summer and
one in three have not visited us in the winter either. This creates a range of opportunities for increased visitor numbers and revenue in both summer and winter.
Our retail operations continue to grow strongly, particularly online at skistarshop.com, with growth of 16 percent during the financial year. Our digital platforms (skistar.com, skistarshop. com and SkiStar App) had 32 million visits during the year, an increase of 14 percent. The number of MySkiStar members reached 1.3 million (+36 percent).
We have taken several steps forward in the area of sustainability this year, with a new sustainability strategy that includes ambitious targets to reduce our emissions by 50 percent by 2030, while getting more people moving. We do this by offering more activities at our destinations all year round, and also in dialogue and interaction with our stakeholders and partners.
Interest in alpine mountain tourism in Scandinavia is greater than ever as we approach winter, with many booking early and many foreign guests, particularly from Denmark, returning as travel restrictions are eased. This means that our bookings for winter 2021/22, expressed as the number of overnight stays booked through SkiStar's accommodation agency, are 10 percent up on the same period the previous year. With the 2018/19 winter season as the comparative period, the increase is even greater at 15 percent, indicating that the recovery is accelerating and the staycation trend is here to stay.
We are better equipped than ever for the coming financial year, having successfully conducted our operations over two summer seasons and two winter seasons during the pandemic. Despite Covid-19, we have confidence in all the experience and knowledge we have built up as a company during this sometimes challenging period. Our core business of alpine skiing, spending time outdoors in the fresh air and having active holidays with family and friends stands firm in adverse conditions, both today and in the future.
Stefan Sjöstrand, CEO
SIGNIFICANT EVENTS DURING THE FOURTH QUARTER AND AFTER THE END OF THE PERIOD
Fourth Quarter
02/06/2021
SkiStar opens the summer season: several new activities for all the family
Soon it will finally be time to open SkiStar's destinations to people who also want to enjoy an active holiday during summer. First off the mark in the new SkiStar Sports & Adventures summer initiative are SkiStar Sälen, Åre and Trysil: Åre and Sälen are having brand new climbing parks installed, all three will be offering several new cycle trails, while Sälen is introducing new features such as padel and adventure golf – a host of activities to suit everyone in the family. In addition, camps are being offered together with SkiStar's ambassadors in Sweden, along with Valle Kids Club and Teen Camp Bike for children. Summer at SkiStar Åre gets underway on 10 June when Åre Bike Park and parts of the lift system open.
23/06/2021
The staycation trend continues: Historically high bookings at SkiStar for the summer season
On Midsummer's Eve, it is SkiStar Sälen's turn to open the doors for SkiStar Sports & Adventures and a host of new features for people who want an active summer holiday in the fantastic mountain world. At the same time, more lifts and the new climbing park at SkiStar Åre will open on 24 June. Bookings are high, +83% up to the end of week 23 at all SkiStar destinations in Sweden and Norway*. In addition, there is more interest than ever in booking complete packages of cycling, hiking, accommodation and camps for old and young alike. Work on Covid-proofing destinations also continues, with a focus on safety and security and encouraging everyone to care for the wildlife and nature there.
*Bookings up to and including week 23, expressed as the number of overnight stays for the summer season booked through SkiStar at all destinations in Sweden and Norway, compared with the same period the previous year.
29/06/2021
SkiStar's Pantamera bottle collection initiative is supporting WWF Sweden's work to save the Arctic fox this year
We now have the final total for this year's Pantamera funds raised at SkiStar's Swedish destinations. The initiative has generated over SEK 420,000 during the 2020/21 winter season, with SkiStar and its guests returning 450,200 PET bottles. The collaboration is an important part of SkiStar's sustainability work and efforts to make a difference to the environment in the mountains.
02/07/2021
Conditions met for SkiStar and Peab to deepen the Skiab collaboration on management and development of properties in the Scandinavian mountains
As announced by SkiStar on 27 May 2021, SkiStar and Peab have entered an agreement whereby the companies intend to manage and develop jointlyowned companies and properties in the Scandinavian mountains under a joint venture structure. Skiab Invest AB, the existing joint venture company that is indirectly half-owned by the parties, will constitute the parent company in the joint venture structure. All conditions for completion of the transaction enabling the collaboration have now been met: SkiStar's shareholders' meeting has approved the transaction and external financing has been obtained.
05/07/2021
Relaunch of the international route to Scandinavian Mountains Airport – Scandinavian ski resorts more accessible to Dutch ski enthusiasts once again
Dutch company BBI Travel is relaunching its flights from Groningen Eelde Airport to Scandinavian Mountains Airport, starting on 19 December 2021. On Thursdays and Sundays each week, Dutch travellers will be able to fly to SkiStar's Scandinavian ski resorts again, with a more efficient and faster journey.
05/08/2021
Activity boom at SkiStar: 85,000 visitors this summer
The holiday weeks have been marked by full activity at SkiStar's destinations in Scandinavia. The combination of very high demand for active summer holidays in the mountains, several new features from SkiStar Sports & Adventures and beautiful weather has increased the number of guests by more than 60% compared with the previous year: in Trysil, Åre and Sälen alone, more than 85,000 visitors have tried out trail biking, downhill biking or lift-assisted hiking this summer*. SkiStar's guest surveys also show that 1 in 4 have never before visited the mountains in summer.
26/08/2021
SkiStar's Chairman of the Board Eivor Andersson declares herself unavailable for re-election at the 2021 AGM
Eivor Andersson, the present Chairman of the Board of SkiStar AB (publ), has informed the nomination committee that she will not be available for re-election at the annual general meeting in December 2021. The nomination committee has begun the process of finding a successor. Eivor Andersson joined the SkiStar Board in 2011 and has been Chairman since 2019.
30/08/2021
Jämtkraft and SkiStar join forces to support sustainable mountain tourism
The aim of the partnership between the energy company Jämtkraft and the Scandinavian tour operator SkiStar is to work together to find future climate and energy solutions for mountain destinations. As a first step in the partnership, which was launched today, a working group made up of energy and real estate experts from the two companies will be formed to find innovative new solutions for sustainable housing and transport.
31/08/2021
Completion of SkiStar's divestment of its ownership of the Austrian ski resort of St. Johann in Tirol slightly delayed
As announced on 5 May 2021, SkiStar is divesting its 68 percent ownership of the Austrian ski resort of St. Johanner Bergbahnen GmbH. This is part of SkiStar's strategy to consolidate its position as the leading tour operator for Scandinavia.
The conditions for the transaction – approvals under Austrian regulations – were expected to be fulfilled before the end of SkiStar's financial year on 31 August. However, not all approvals have been received at the time of writing, although SkiStar and the buyer Schultz Gruppe are still working to complete the transaction as soon as possible once the approvals are obtained.
After the end of the period
01/09/2021
Winter offers opportunities for seasonal jobs in the mountains: The keen interest in working at SkiStar continues
It will soon be winter again and the winter season means thousands of jobs in the mountains, with 2,200 seasonal jobs to be filled at tour operator SkiStar. More than 12,000 young people aged 18-24 have been employed by SkiStar over the last 11 years.
21/09/2021
Rush to hold active mountain conferences at SkiStar destinations: 11% increase
As restrictions on meetings and gatherings are eased in Sweden, the need for companies to meet physically with their employees has never been greater. At the same time, many people want to be active together with work colleagues and preferably be outdoors. This is why SkiStar is currently experiencing high demand for conference trips to mountain destinations. We see an 11 percent increase in the number of bookings for winter compared with the same period in 2019/20, i.e. the pre-Covid-19 period.
SIGNIFICANT EVENTS DURING THE FOURTH QUARTER AND AFTER THE END OF THE PERIOD (CONTINUATION)
22/09/2021 Varied skiing for everyone, lodging with a high level of comfort, memorable and sustainable mountain experiences: SkiStar presents news for the 2021/22 winter season
With Sweden and Norway's widest and largest alpine skiing offer for all levels, SkiStar is reaffirming its role as the leading holiday tour operator for Scandinavia this winter. In addition to improvements to the ski systems, several new developments will be introduced, ranging from continuing digital solutions, the new SkiStar Lodge Hundfjället to investment in sustainable mountain destinations with better options and activities for guests.
More people have discovered the Scandinavian mountains during the pandemic, and the importance of spending time outdoors and to have an active holiday with alpine skiing as the focus. As a complement, SkiStar is therefore developing a SkiStar Cross Country Arena in Sälen, which already exists in a similar form in Åre, similar to other ski resorts in Sweden: high-quality cross-country skiing and a number of new services and products such as lit trails, parking, toilets and wax facilities in the arena, as an addition to SkiStar SkiPass.
Live better away than at home
New guests and new holiday habits also place different demands on comfort and better accommodation away from home, as well as a wider range of restaurants, preferably with sustainable local elements and local ingredients from the region. SkiStar will therefore be opening the new SkiStar Lodge Hundfjället in December – state-of-the-art accommodation with a high cosiness factor and good ski-in-ski-out location, plus two brand new restaurants signed by restaurateur and entrepreneur Pontus Frithiof.
Sustainable mountain destinations
Another important part for SkiStar is to offer sustainable mountain destinations. This winter, SkiStar will introduce a number of sustainability innovations:
- Increased number of charging stations for electric cars at all destinations.
- Providing better information to guests about recycling through the SkiStar app, and new recycling bags are on site in SkiStar's own and conveyed accomodations.
- In Norway, renewable diesel (HVO) is being introduced in all piste machines, which has already been introduced in Sweden.
• Thanks to SkiStar's new partnership agreement with Jämtkraft, all facilities in Sweden and Norway (via the company Scandem AS) are operated with renewable energy from solar, wind and hydro power, and in Sweden the electricity is also labelled as "Bra Miljöval" ("Good for the environment").
• The two hotels Radisson Blu Mountain Resort & Residences and the Radisson Blu Resort in Trysil, which SkiStar now operates, are environmentally certified according to the Miljøfyrtjårn.
• The new SkiStar Concept Store in Lindvallen at the shopping centre will open in June 2022. The construction is eco-certified with the "Miljöbyggnad silver" ("Environmental construction silver"). SkiStar has started the journey with self-produced electricity and will install solar cell panels on the building facade. The entire project with the new SkiStar Concept Store in Lindvallen aims to become a pioneer for how SkiStar can work in a more circular and climate-neutral way with everything from operations, rentals and recycling.
Safety measures due to Covid-19
Based on good experiences from previous summer and winter seasons, SkiStar continues to focus on safety and security for all guests. We encourage everyone to use the SkiStar app and pre-book activities and purchase SkiPass at www.skistar. com or in the app. Check-in and check-out to the accommodation takes place digitally whenever possible. In addition, we follow the general advice and restrictions from the authorities and encourage all our guests to take responsibility and keep themselves up-to-date with current entry regulations between the countries.
Here follows an overview of all the news at SkiStar destinations in Sweden and Norway Sälen
- extended opening hours strengthens Sälen as the largest ski resort in northern Europe.
- Opening of SkiStar Lodge Hundfjället.
• The SkiStar Cross Country Arena is a new initiative to meet the increased interest in training and cross-country skiing among our guests, and as a complement to Alpine skiing in Sälen. Common to both the arenas in Lindvallen and Tandådalen/ Hundfjället are that they offer illuminated tracks and tracks for both classic and skating. Activity areas are being created at the arenas with a focus on fun cross-country skiing and developing your skiing technique in a playful way, suitable for the whole family.
• New parking spots and service facilities for motorhomes in Lindvallen.
- Vemdalen
- A new SkiStarshop Concept Store service shop will open.
- Improved snow-making facilities.
• During the last season, many people discovered that the Klövsjö-Storhogna ski areaoffers both a wide variety of skiing and more leeway even during high season. The area is also constantly developing, with new accommodation including the new Klövsjöfjäll Hotell, which has been developed into one of the most modern mountain hotels and has been nominated for the 2021 "Stora Turismpriset" Prize. Åre
• As part of our work to make Åre's ski system wind and weather safe in order to strengthen and "protect" the ski area during different types of weather and thus improve the guest's skiing experience, the project is being started by installing a wind rack on Sadelberg this winter to "steer" the wind to ensure the operation of the Sadelexpressen (6-seater lift).
• To improve capacity and skiing, not least for younger and perhaps more inexperienced skiers, the old Vargen lift is replaced (button lift), with more than double capacity.
• SkiStar Cross Country Arena in Åre Björnen and Ullådalen are complimented with an arena in Åre Duved. The service offered will be improved, including toilets, a wax room and parking. Hemsedal
• The red slope Hemsedalparken is returning in a new and modern design. In addition, several other slopes have been improved and snow-making facilities further developed.
• Locally produced food is a timely trend and will become an increasingly natural part of the food offer at restaurants in Hemsedal. Deli di Montagna serves Italian food for lunch and dinner while parts of O`Learys' premises, which boast the very best ski-in, ski-out location by the children's area, are being renovated. Trysil
• This winter, a new button lift opens in the children's area at the Tourist Centre.
• For ski lovers from Scandinavia and Europe, Trysil and Sälen will be even more accessible this winter, with the new international routes to Scandinavian Mountains Airport Sälen-Trysil. Both SAS, BRA, Alsie and BBI Travel offer routes from London – Heathrow, Kastrup – Copenhagen, Aalborg, Sønderborg, Aarhus and Groningen.
27/09/2021
Anders Sundström proposed as new Chairman of the Board in SkiStar
After SkiStar's present Chairman of the Board, Eivor Andersson, informed in August that she declines re-election at the Annual General Meeting in December 2021, the Nomination Committee has prepared the proposal for new Chairman. The Nomination Committee now proposes that the present Board Member Anders Sundström is appointed new Chairman of the Board at the Annual General Meeting.
As a result of the Nomination Committee's proposal, Anders Sundström resigns from his position as a Member of the Nomination Committee as of this day. The Nomination Committee has decided that a new Member shall be appointed. Mats and Fredrik Paulsson incl. family and company have appointed Per Gullstrand new Member of the Nomination Committee replacing Anders Sundström.
The Nomination Committee's work with other proposals prior to the Annual General Meeting is in progress and will be presented in the notice to attend the Annual General Meeting.
A full list of press releases is always available at skistar.com.
Fourth quarter REVENUE AND EARNINGS
The Group's revenue for the fourth quarter amounted to SEK 301 (199) million, an increase of 51 percent compared with the previous year. Changes in the NOK/SEK and EUR/SEK exchange rate had a positive effect of SEK 3 million on revenue. The increase in revenue comes manily from increased activity during the summer season and the new Operation of Hotels segment, which amounted to approximately SEK 30 million in the fourth quarter The Group's operating profit for the fourth quarter was SEK 19 (-128) million. Operating profit was positively affected by SEK 198 million related to transfers of hotel properties, building rights and indirectly jointly-owned (50%) companies, all through conveyances to the already established joint venture company Skiab Invest AB. In the fourth quarter, the subsidiary St. Johanner Bergbahnen GmbH reported a positive result, partly due to government support of SEK 44 million. This accrued profit has resulted in further impairment, with a negative effect of SEK 42 million on the Group's earnings.
Changes in the NOK/SEK and EUR/SEK exchange rates had a negative effect of SEK 6 million on operating profit for the quarter. Profit from associated companies/joint ventures increased to SEK 16 (-4) million, including capital gains of SEK 0 (0) million on exploitation activities. The increase is partly an effect of a profit share of SEK 21 million from Skiab Invest AB, which is increasing its activities through the property acquisitions. Net financial items for the quarter declined by SEK 17 million to SEK -24 (-7) million, including SEK 5 (19) million related to changes in the value of interest rate derivatives. The Group's profit after tax amounted to SEK 80 (-101) million, an increase of SEK 180 million, or 180 percent.
Revenue from Operation of Ski Resorts amounted to SEK 266 (111) million, with a profit/loss of SEK -184 (-151) million. Revenue from Property Development & Exploitation amounted to SEK 9 (76) million, with a profit of SEK 7 (21) million. Profit from exploitation activities related to plot and land sales and the sale of shares in housing associations and Vacation Club for the quarter amounted to SEK 4 (28) million. Other activities in Property Development & Exploitation are primarily related to rental of accommodation to the Operation of Ski Resorts segment and shares from associated companies
that rent out accommodation.
With effect from 1 July 2021, SkiStar will carry out operations in a third segment: Operation of Hotels. Revenue from Operation of Hotels amounted to SEK 30 million in the period 1 July to 31 August, with a profit/loss of SEK -5 million.
Assets held for sale
On 5 May 2021, SkiStar entered into an agreement to sell its 68-percent share in the Austrian ski resort of St. Johanner Bergbahnen GmbH. As part of this transaction, SkiStar will receive a EUR 15 million repayment of shareholder loans totalling EUR 19.5 million paid to St. Johann and a cash purchase consideration of EUR 2. Assets (value SEK 308 million) and liabilities (value SEK 151 million) included in the transaction are reported as assets and liabilities held for sale. The transaction is subject to regulatory approval in Austria and is conditional on approval from the Board, auditor and other shareholders of St. Johann in accordance with Austrian regulations. The conditions of the transaction were expected to be fulfilled before the end of SkiStar's financial year on 31 August. However, all approvals had not been received on that day, although SkiStar and the buyer Schultz Gruppe are still working to complete the transaction as soon as possible once the approvals are obtained.
Full Year
The Group's revenue for the full year amounted to SEK 2,821 (2,839) million, a decline of 1 percent from the previous year. The decline is due to the restrictions that have affected our resorts in Norway and Austria, which will have a major negative effect on our full-year results. Changes in the NOK/SEK and EUR/ SEK exchange rates had a negative effect of SEK 17 million on revenue. The Group's operating profit for the period amounted to SEK 296 (394) million. Changes in the NOK/SEK and EUR/SEK exchange rates had a positive effect of SEK 4 million on operating profit for the financial year. Profit from associated companies/joint ventures increased by SEK 35 million to SEK 38 (3) million, including capital gains of SEK 39 (13) million on exploitation activities. Net financial items for the period decreased by SEK 5 million to SEK -49 (-44) million. The SEK 5 million decline was related to changes in the value of
interest rate derivatives. The Group's profit after tax was SEK 234 (287) million, a decline of SEK 41 million, or 14 percent.
Revenue, including internal revenue, from Operation of Ski Resorts amounted to SEK 2,607 (2,643) million, with a profit of SEK 84 (335) million. Revenue from Property Development & Exploitation amounted to SEK 237 (219) million, with a profit of SEK 32 (56) million. Profit from exploitation activities related to plot and land sales and the sale of shares in tenant-owner associations and Vacation Club during the financial year amounted to SEK 68 (118) million, SEK 39 (13) million of which was through associated companies. Other activities within Property Development & Exploitation relate primarily to the rental of accommodation to the Operation of Ski Resorts segment. With effect from 1 July 2021, SkiStar conducts operations in a third segment, Operation of Hotels. Revenue for the period 1 July to 31 August from Operation of Hotels amounted to SEK 30 million, with a profit/loss of SEK -5 million. Revenue and expenses related to the segment, but arising before 1 July 2021 and reported under Operation of Ski Resorts, have been restated for the comparative period.
SkiStar received government support totalling SEK 76 million in Sweden, Norway and Austria for the full year. This included reduced employer contributions of SEK 9 million, subsidised sick pay costs of SEK 3 million and furloughing support of SEK 1 million. The remainder consists of other government support, including SEK 44 million paid to St. Johanner Bergbahnen GmbH in the fourth quarter. The lower employer contributions and furloughing support are reported as a reduction in personnel costs, while other government support is reported as other income.
Seasonal effects
SkiStar's operations are subject to significant seasonal variations. Most revenue and earnings are generated in the second and third quarters. The timing of the big holiday weeks is dependent on the calendar. The number of days off during Christmas and New Year, and whether Easter falls early or late, also bring variations in earnings. Over half of the revenue is paid in advance.
QUARTERLY VALUES, SEK MILLION
| 2020/21 | 2019/20 | 2018/19 | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Kv 4 | Kv 3 | Kv 2 | Kv 1 | Kv 4 | Kv 3 | Kv 2 | Kv 1 | Kv 4 | Kv 3 | Kv 2 | Kv 1 | |
| Revenue* | 246 | 1,023 | 1,328 | 154 | 162 | 580 | 1,931 | 121 | 109 | 939 | 1,431 | 196 |
| Operating profit/loss | 19 | 126 | 444 | -292 | -127 | 15 | 833 | -326 | -222 | 319 | 716 | -209 |
| *) Changed accounting principles, see page 17. |
DISTRIBUTION OF REVENUE, SEK MILLION
| 3 MONTHS 1 Jun-31 Aug |
FULL YEAR 1 Sep-31 Aug |
|||
|---|---|---|---|---|
| 2020/21 | 2019/20 | 2020/21 | 2019/20 | |
| SkiPass | 32 | 17 | 1,143 | 1,231 |
| Accommodation* | 57 | 20 | 666 | 693 |
| Ski Rental | 7 | 2 | 127 | 163 |
| Ski School/Activities | 0 | 0 | 41 | 50 |
| Sporting goods outlets | 21 | 19 | 207 | 179 |
| Property services | 12 | 8 | 113 | 102 |
| Restaurants | 15 | - | 15 | - |
| Other | 102 | 96 | 439 | 375 |
| Total* | 246 | 162 | 2,751 | 2,794 |
*) Changed accounting principles, see page 17.
FINANCIAL POSITION, TAXES AND INVESTMENTS
Cash flow
Cash flow from operating activities after changes in working capital during the year amounted to SEK 699 (735) million. Cash flow from investing activities amounted to SEK -630 (-653) million. The largest single investment was the acquisition of Ski Invest Sälen AB and the increased ownershio share in Skiab Invest AB. Divestments of subsidiaries have generated a cash flow item of SEK 486 million. Acquisitions of financial assets amounted to SEK -563 million, including a shareholder contribution of SEK 512 million to Skiab Invest AB. Cash flow from financing activities amounted to SEK -74 (-94) million. Loans discharged during the year amounted to SEK 704 million, of which SEK 447 million ceased through divestment. Proceeds from new loans amounted to SEK 457 million, of which SEK 340 million arose through acquisitions.
Liquidity and financing
The Group's cash and cash equivalents at the end of the period amounted to SEK 27 (60) million, of which SEK 27 million was reclassified as assets held for sale. Unused credit facilities amounted to SEK 675 (533) million. The credit facilities have been extended until 2026. Interest-bearing liabilities amounted to SEK 3,191 (2,675) million, (excluding IFRS16, SEK 1,751 million), an increase of SEK 516 million from the previous year. The average interest rate during the period was 2.21 (2.07) percent. Net financial debt was SEK 3,114 (2,514) million (excluding IFRS16, SEK 1,675 million) at the end of August, an increase of SEK 600 million from the previous year. The equity/assets ratio fell to 40 (43) percent. The equit/asset ratio excluding IFRS16 was 51 percent.
Tax
Tax expense for the period amounted to SEK -12 (-63) million and is mainly attributable to changes in temporary differences on sold properties and recognised tax loss carryforwards.
Investments
Investments for the period amounted to SEK 632 (656) million (gross) and SEK 628 (653) million (net). The difference between gross and net is the divestment of financial assets and property, plant and equipment. Depreciation and amortisation in the same period amounted to SEK 536 (373) million, SEK 150 million of which was impairment of subsidiaries.
Looking ahead to 2021/22
With very high demand for the winter season, we can say that total bookings ahead of the new winter season (measured as the number of overnight stays booked through SkiStar's accommodation agency) are 10 percent higher than at the same time last year. While domestic demand for an active holiday in the mountains is strong, we are also seeing increased demand from international guests. Other business areas, such as SkiStar Business (group and conference activities), are also experiencing increased demand for the coming winter.
Future operational investments totalling SEK 160 million have been approved. The investments consist mainly of replacements, modernisation and snow production capacity. Some of the investments are also connected with SkiStar Sport & Adventures for summer 2022.
THE SCANDINAVIAN MARKET RELATING TO SALE OF SKIPASS
According to statistics published by SLAO, SkiPass sales in Sweden increased by 21 percent in the 2020/21 winter season compared with the previous season.
SkiStar's market share of SkiPass sales was 53 (53) percent in Sweden and 17 (29) percent in Norway. The market share in Scandinavia was 41 (43) percent.
OTHER INFORMATION
The SkiStar share
The number of shareholders was 51,843 at 31 August 2021, which is an increase of 5,108 (11 procent) since 31 Augusti 2020. SkiStar's class B shares are listed on the Nasdaq Stockholm, Mid Cap. The number of shares was 78,376,056, of which 74,728,056 are class B shares. The closing price of the SkiStar share was SEK 182.00 at 31 August 2021.
Personnel
The average number of employees was 1,216, an increase of 50 from the previous year, including 16 employees in the newly established hotel operations. The increase is mainly due to pandemic-related effects, as the previous year's average number of employees was lower than normal due to the early end of the season.
Parent company
Net sales in the Parent Company totalled SEK 2,241 (1,985) million for the period. Net investments amounted to SEK 206 (154) million.
Related-party transactions
Mats and Fredrik Paulsson together with their family and companies are the principal owners of SkiStar, with 47 percent of the votes and 24 percent of the capital as at 31 August 2021, and they are also the principal owners of Peab with which SkiStar has a business relationship.
At the extraordinary general meeting of shareholders ("EGM") in SkiStar AB (publ) held today, 22 June 2021, it was resolved to approve certain transactions with related parties. The EGM's decisions were taken with the required majority of shareholders holding not less than nine-tenths of both the shares voted and of the shares represented at the general meeting. The approval refers to the necessary parts of the transaction created by SkiStar and Peab's deepened collaboration for management and development of properties in the Scandinavian mountains which SkiStar announced on 27 May 2021.
Purchases from Peab during the period amounted to SEK 269 (357) million. The outstanding liability to Peab was SEK 15 (41) million. Sales to Peab amounted SEK 461 (1) million and the outstanding receivable was SEK 95 (0) million.
Purchases from associated companies during the period amounted to SEK 57 (88) million and sales to associated companies amounted to SEK
18 (22) million. Net receivables from associated companies totalled SEK 24 (195) million, SEK 22 (194) million of which related to loans to associated companies. The Parent Company has transactions with subsidiaries, in addition to the Group's related-party transactions. Disclosures of related-party transactions and a description of the nature of these transactions can be found in note 36 of the 2019/20 Annual Report.
Risks and uncertainties
The risks and uncertainties described below apply to both the Parent Company and Group. The number of guests at SkiStar's destinations is influenced by weather and snow conditions. A late winter with a lack of cold weather and natural snow in time for Christmas means lower demand. Lower demand can also arise in winters with with prolonged cold periods and good snow conditions in the southern, more densely populated parts of Scandinavia, as snow, cold weather and skiing opportunities are available closer to home. SkiStar addresses these risks through continuous development of snow-making systems to guarantee skiing and by making strategic sales aimed at ensuring that the majority of the accommodation capacity is booked by the Christmas week when the high season starts. SkiStar's operations also depend on there being no limits on travel within or between mainly the Scandinavian countries. The spread of the new coronavirus in 2020 demonstrated that there are scenarios in which the company cannot or should not keep its core operations up and running. This risk is managed through proactive dialogues with authorities, regional governments and local municipalities as well as continuing to work for financial stability. Fluctuations in the value of the domestic currencies against other currencies affect travel patterns and therefore also the number of guests at SkiStar's destinations. Fluctuations in the value of the domestic currencies against other currencies affect travel patterns and therefore also the number of guests at SkiStar's destinations. SkiStar's earnings are also affected by the relationship between the Swedish krona and Norwegian krone and Euro. The number of days off over the Christmas and New Year period, and whether Easter falls early or late, also affect travel patterns. A more detailed description of risks and uncertainties can be found in the administration report and note 32 of the Annual Report for 2019/20.
Extraordinary general meeting
A total of 142 shareholders participated in SkiStar's extraordinary general meeting on 22 June 2021 by postal vote. The meeting decided to approve proposed related-party transactions. For more information, see www.skistar.com/en/ corporate.
Proposal on distribution of profit
The Board proposes that the AGM adopt a dividend of SEK 1.50 (0) per share, totalling SEK 118 (0) million. The dividend represents 50 (0) percent of the Group's profit after tax. The proposed record date is 14 December 2021, meaning that the dividend to Swedish shareholders will be paid on 17 December 2021.
Annual general meeting
Annual general meeting will be held on 11 December 2021, at 2.00 p.m. CET in Sälen.
Nomination Committee prior to SkiStar's AGM
The Nomination Committee prior to the 2021 Annual General Meeting of SkiStar AB (publ) consists of Lennart Mauritzson (chairman), Per Gullstrand, Niklas Johansson and Marianne Nilsson. Sharehoders wishing to provide the Nomination Committe with proposals can reach the Committee in writing at [email protected], or SkiStar AB, Att: Valberedningen, 780 67 Sälen.
Financial information
Financial year 2020/21
The annual report will be published and be available on www.skistar.com/en/corporate during week 46.
Financial year 2021/22
The interim reports and the year-end report will be published as follows;
- Interim Report Q1, 1 September 2021-30 November 2021, 20 December 2021, at 07.15 CET.
- Half-Year Report Q2, 1 September 2021-28 February 2022, 17 March 2022, at 07.15 CET.
- Interim Report Q3, 1 September 2021-31 May 2022, 17 June 2022, at 07.15 CET.
- Year-End Report, Q4 1 September 2021-31 August 2022, 4 October 2022, at 07.15 CET.
DEFINITIONS OF KEY PERFORMANCE MEASURES
The financial key figures are used in Swedish listed companies and by analysts. The alternative performance measures are used by management to monitor and control operations and by analysts. See page 15 for comparative reconciliation of alternative performance measures.
Average interest expenses
Interest expenses divided by average interestbearing liabilities.
Cash flow per share
Cash flow before changes in working capital divided by the average number of shares.
Earnings per share
Profit/loss for the year attributable to shareholders of the Parent divided by the average number of shares.
Equity per share
Equity divided by the average number of shares for the reporting period.
Equity/Assets ratio
Equity as a percentage of total assets.
Equity/Assets ratio excluding IFRS 16 - Leasing
Equity excluding effects of IFRS 16 as a percentage of total assets excluding assets of IFRS 16.
Financial net debt
Interest-bearing receivables less interestbearing liabilities.
Gross Margin
Operating profit/loss before depreciation/amortisation as a percentage of revenue.
Interest-bearing liabilities
Current and non-current liabilities to credit institutions, provisions for pensions and items in other current liabilities that are interestbearing.
Net margin
Profit/loss before tax as a percentage of revenue.
Operating margin
Operating profit/loss after depreciation/amortisation as a percentage of revenue.
Operating profitperating profit/loss
Revenue less cost of goods for resale, personnel costs, other operating expenses, depreciation, profit/loss from joint ventures/associates and negative goodwill.
Return on average equity
Profit/loss after tax in relation to average equity.
Return on capital employed
Profit/loss after net financial items plus finance costs as a percentage of average capital
employed. Capital employed is defined as assets less non-interest-bearing liabilities.
Return on total assets
Profit/loss after net financial items plus finance costs as a percentage of average total assets.
Share price/cash flow
Share price at the reporting date divided by cash flow from operating activities.
Share price/equity
Share price at the reporting date divided by equity per share.
OTHER DEFINITIONS
ALF
Norske Alpinanlegg og fjelldestinasjoner (Norwegian Ski Lift Association).
Booking volume
A comparison of the number of booked overnight stays between two defined periods.
Financial Year
SkiStar's financial year covers the period 1 September to 31 August. First quarter (Q 1) September – November Second quarter (Q 2) December – February Third quarter (Q 3) March – May Fourth quarter (Q 4) June – August
Occupancy Rate
Accommodation bookings as a percentage of the beds mediated by SkiStar at 100% capacity in the period beginning the third week in December and ending the third week in April.
Overnight stay
One booked night in a cabin, apartment or hotel room.
Skier Days
One day's skiing with a SkiPass.
SkiPass
Card providing access to ski lifts.
SLAO
Svenska Skidanläggningars Organisation (Swedish Ski Lift Organisation).
CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
| 3 MONTHS 1 Jun-31 Aug |
FULL YEAR 1 Sep-31 Aug |
||||
|---|---|---|---|---|---|
| SEK THOUSANDS | 2020/21 | 2019/20 | 2020/21 | 2019/20 | |
| Operating Income | Revenue* | 245,559 | 162,198 | 2,750,514 | 2,794,166 |
| Other income | 55,438 | 36,913 | 70,343 | 44,795 | |
| Total operating income* | 300,997 | 199,111 | 2,820,857 | 2,838,961 | |
| Operating Expenses | Goods for resale* | -46,686 | -34,951 | -683,977 | -707,286 |
| Other external expenses | -131,761 | -82,856 | -667,944 | -663,220 | |
| Personnel costs | -102,837 | -69,122 | -653,423 | -632,304 | |
| Cost of sold interests in accommodation/ exploitation asset |
-65,367 | -44,498 | -219,002 | -71,263 | |
| Share in profit/loss of joint ventures/ associates |
15,885 | -4,401 | 37,212 | 2,736 | |
| Depreciation/amortisation of tangible and intangible fixed assets** | -149,280 | -91,096 | -536,074 | -373,260 | |
| Capital gain on property transaction*** | 198,104 | - | 198,104 | - | |
| Operating profit/loss | 19,056 | -127,816 | 295,754 | 394,363 | |
| Net financial items | -24,042 | -7,256 | -49,579 | -44,304 | |
| Profit/loss before tax | -4,986 | -135,072 | 246,175 | 350,059 | |
| Tax | 85,192 | 34,456 | -12,542 | -63,345 | |
| Profit/loss for the period | 80,206 | -100,616 | 233,633 | 286,715 |
*) With effect from Q2 2020/21, all payments from SkiStar's customers for accommodation are recognised as revenue and the Company's payments to accommodation owners are recognised as an operating expense on the line 'Goods for resale'. The Company previously reported the difference between revenue from rental activities and payments to accommodation owners as net commission income under revenue. The comparative figures in this report have been restated (see also under the heading 'Accounting principles in the notes to the financial statements on page 17).
**) Depreciation/amortisation of tangible and intangible fixed assets includes an impairment loss of SEK 150 million for the full year on the shareholding in the subsidiary St. Johanner Bergbahnen GmbH.
***) Net result of property transaction, of which SEK 295 million is a capital gain on the sale of subsidiaries and associates, SEK 59 million is a capital loss on the sale of subsidiaries and associates and SEK -38 million is the effect of sale and leaseback transactions in accordance with IFRS16. The difference between the actual outcome and the estimated outcome when the transaction was announced is due to the effect of IFRS 16 and accrued losses between the pro forma statement and the finalisation of the transaction.
Other Comprehensive Income
| Items that may be reclassified to profit or loss | ||||||
|---|---|---|---|---|---|---|
| Change in fair value of cash flow hedges for the period | 216 | 1,703 | 6,757 | 6,776 | ||
| Deferred tax on cash flow hedges | -375 | -375 | -1,407 | -1,490 | ||
| Exchange differences on translation of foreign operations for the period | 287 | 7,514 | 3,351 | -59,224 | ||
| Other comprehensive income for the period | 128 | 8,843 | 8,701 | -53,938 | ||
| Total comprehensive income for the period | 80,334 | -91,772 | 242,334 | 232,777 | ||
| Profit/loss for the period attributable to: | ||||||
| Shareholders of the Parent | 67,830 | -96,438 | 238,119 | 291,014 | ||
| Non-controlling interests | 12,376 | -4,177 | -4,487 | -4,299 | ||
| Profit/loss for the period | 80,206 | -100,616 | 233,633 | 286,715 | ||
| Comprehensive income for the period attributable to: | ||||||
| Shareholders of the Parent | 67,938 | -86,561 | 247,284 | 239,692 | ||
| Non-controlling interests | 12,396 | -5,211 | -4,951 | -6,915 | ||
| Total comprehensive income for the period | 80,334 | -91,772 | 242,334 | 232,777 | ||
| Earnings per share, SEK | 0.87 | -1.23 | 3.04 | 3.71 | ||
| Number of shares outstandig at the end of the period | 78,376,056 | 78,376,056 | 78,376,056 | 78,376,056 | ||
| Average number of shares outstanding | 78,376,056 | 78,376,056 | 78,376,056 | 78,376,056 |
CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
| ASSETS, SEK THOUSANDS | 31 Aug 2021 | 31 Aug 2020 | |
|---|---|---|---|
| Non-current assets | |||
| Intangible assets | 178,112 | 181,609 | |
| Property, plant and equipment | 3,611,397 | 3,886,780 | |
| Right of use assets | 1,413,661 | 712,577 | |
| Investments in joint ventures/associates | 762,568 | 394,684 | |
| Other investments and securities held as non-current assets | 33,784 | 34,935 | |
| Other non-current receivables | 72,890 | 220,290 | |
| Total non-current assets | 6,072,412 | 5,430,875 | |
| Current assets | |||
| Inventories | 198,674 | 229,995 | |
| 198,674 | 229,995 | ||
| Trade receivables | 30,576 | 16,522 | |
| Tax receivables | 70,419 | 60,221 | |
| Other current receivables | 67,953 | 127,971 | |
| Prepaid expenses and accrued income | 97,728 | 98,100 | |
| Assets held for sale | 308,034 | - | |
| 574,710 | 302,814 | ||
| Cash & cash equivalents | 26,556 | 59,567 | |
| Total current assets | 799,941 | 592,376 |
TOTAL ASSETS 6,873,997 6,023,251
EQUITY AND LIABILITIES, SEK THOUSANDS
| TOTAL EQUITY AND LIABILITIES | 6,873,997 | 6,023,251 | |
|---|---|---|---|
| Total liabilities | 4,099,971 | 3,462,727 | |
| Total current liabilities | 1,424,328 | 1,113,485 | |
| Liabilities held for sale | 155,619 | - | |
| Accrued expenses and deferred income | 112,728 | 110,362 | |
| Other current liabilities | 280,838 | 231,838 | |
| Short-term lease liabilities | 93,294 | 78,207 | |
| Tax liabilities | 63,825 | 72,717 | |
| Trade payables | 154,354 | 147,240 | |
| Liabilities to credit institutions | 563,670 | 473,121 | |
| Current liabilities | |||
| Total non-current liabilities | 2,675,643 | 2,349,241 | |
| Deferred tax liabilities | 126,448 | 186,364 | |
| Derivatives | 15,416 | 29,475 | |
| Other provisions | 144 | 9,366 | |
| Long-term lease liabilities | 1,372,010 | 619,851 | |
| Provisions for pensions | 14,535 | 15,183 | |
| Liabilities to credit institutions | 1,147,090 | 1,489,002 | |
| Non-current liabilities | |||
| Total equity | 2,774,026 | 2,560,525 | |
| Non-controlling interests | 15,720 | 49,505 | |
| Equity attributable to shareholders of the Parent | 2,758,305 | 2,511,020 | |
| Retained earnings, including profit/loss for the period | 2,405,537 | 2,167,418 | |
| Reserves | -64,399 | -73,565 | |
| Other contributed capital | 397,573 | 397,573 | |
| Equity | Share capital | 19,594 | 19,594 |
*) A rental contract has been signed with Skistar Lodge Hundfjället AB for the hotel building, which is expected to be ready for operation in December 2021. The contract runs for 15 years and is expected to generate a lease liability of SEK 446 million. The contract will be recognised in the balance sheet at the start of the lease term.
CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
EQUITY ATTRIBUTABLE TO SHAREHOLDERS OF THE PARENT
| SEK THOUSANDS | Share capital |
Other contributed capital |
Translation reserves |
Hedging reserves |
Retained earnings and profit for the year |
Total | Non controlling interests |
Total equity |
|---|---|---|---|---|---|---|---|---|
| Opening equity, 1 Sep 2019 | 19,594 | 397,573 | -9,609 | -12,634 | 2,150,720 | 2,545,644 | 56,420 | 2,602,064 |
| Profit/loss for the period | 291,014 | 291,014 | -4,299 | 286,715 | ||||
| Other comprehensive income for the period | -56,608 | 5,286 | -51,322 | -2,616 | -53,938 | |||
| Comprehensive income for the period | -56,608 | 5,286 | 291,014 | 239,692 | -6,915 | 232,777 | ||
| Acquisitions | ||||||||
| Dividend | -274,316 | -274,316 | -274,316 | |||||
| Closing equity, 31 Aug 2020 | 19,594 | 397,573 | -66,217 | -7,348 | 2,167,418 | 2,511,020 | 49,505 | 2,560,525 |
| Opening equity, 1 Sep 2020 | 19,594 | 397,573 | -66,217 | -7,348 | 2,167,418 | 2,511,020 | 49,505 | 2,560,525 |
| Profit/loss for the period | 238,119 | 238,119 | -4,487 | 233,633 | ||||
| Other comprehensive income for the period | 3,815 | 5,351 | 9,166 | -464 | 8,702 | |||
| Comprehensive income for the period | 3,815 | 5,351 | 238,119 | 247,285 | -4,951 | 242,335 | ||
| Transactions with non-controlling interests | -28,834 | -28,834 | ||||||
| Dividend | ||||||||
| Closing equity, 31 Aug 2021 | 19,594 | 397,573 | -62,402 | -1,997 | 2,405,537 | 2,758,305 | 15,720 | 2,774,026 |
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
| 3 MONTHS 1 Jun-31 Aug |
FULL YEAR 1 Sep-31 Aug |
||||
|---|---|---|---|---|---|
| SEK THOUSANDS | 2020/21 | 2019/20 | 2020/21 | 2019/20 | |
| Operating activities | Profit/loss after financial items | -4,987 | -135,071 | 246,173 | 350,059 |
| Adjustment for non-cash items | 14,546 | 166,449 | 335,051 | 410,033 | |
| 9,559 | 31,378 | 581,224 | 760,092 | ||
| Tax paid | -736 | -4,800 | -91,745 | -88,726 | |
| Changes in working capital | 31,792 | -2,589 | 209,022 | 63,280 | |
| Cash flow from operating activities | 40,615 | 23,989 | 698,501 | 734,646 | |
| Investing activities | Acquisition of property, plant and equipment | -136,453 | -99,187 | -581,817 | -598,199 |
| Acquisition of subsidiaries | -10,978 | -17,826 | -118,618 | -17,826 | |
| Sale of property, plant and equipment | - | -10,600 | 4,717 | 3,332 | |
| Other investing activities | 70,644 | -1,746 | 65,489 | -39,886 | |
| Cash flow from investing activities | -76,787 | -129,359 | 630,229 | -652,579 | |
| Financing activities | Proceeds from borrowings | 102,268 | 301,886 | 557,453 | 1,030,887 |
| Repayment of borrowings | -27,591 | -153,714 | -521,239 | -767,827 | |
| Repayment of lease liabilities | -52,356 | -46,946 | -110,606 | -82,426 | |
| Dividend paid | - | - | - | -274,316 | |
| Cash flow from financing activities | 22,321 | 101,226 | -74,392 | -93,682 | |
| Cash flow for the period | -13,851 | -4,144 | -6,120 | -11,615 | |
| Cash & cash equivalents at beginning of year | 67,523 | 63,564 | 59,567 | 71,253 | |
| Exchange differences | -341 | 147 | -116 | -71 | |
| Cash & cash equivalents reported in assets held for sale | -26,775 | -26,775 | |||
| Cash & cash equivalents at end of period | 26,556 | 59,567 | 26,556 | 59,567 |
*) Reclassification of the assets and liabilities of the subsidiary St. Johanner Bergbahnen GmbH has been returned to the balances when the cash flow was calculated. The change in working capital for the year is, therefore, not affected by this reclassification as it does not have a cash effect before completion of the transaction.
THE GROUP'S OPERATING SEGMENTS
| SEK, THOUSANDS | 3 MONTHS | FULL YEAR | ||||
|---|---|---|---|---|---|---|
| OPERATION OF SKI RESORTS | 1 Jun-31 Aug 2020/21 |
2019/20 | 1 Sep-31 Aug 2020/21 |
2019/20 | ||
| External revenue* | 259,238 | 111,307 | 2,581,674 | 2,610,495 | ||
| Internal revenue | 7,301 | 27 | 25,676 | 31,297 | ||
| Capital gains | 1 | 84 | 325 | 1,210 | ||
| Total operating income* | 266,538 | 111,418 | 2,607,676 | 2,643,002 | ||
| External operating expenses* | -475,808 | -185,661 | -2,188,466 | -1,992,520 | ||
| Costs from other segments | -8,701 | -4,630 | -60,965 | -51,888 | ||
| Capital losses | - | -277 | - | -607 | ||
| Rearesultatandel från intressebolag | 3,344 | - | 3,344 | - | ||
| Profit/loss from investments in joint ventures and associates | -314 | 206 | -4,751 | 1,408 | ||
| Depreciation/amortisation | 31,012 | -68,772 | -272,531 | -264,233 | ||
| Operating profit/loss | -183,929 | -147,715 | 84,306 | 335,161 | ||
| Intangible assets | 178,112 | 181,609 | 178,112 | 181,609 | ||
| Property, plant and equipment | 3,179,542 | 3,089,986 | 3,179,542 | 3,089,986 | ||
| Financial assets | 49,262 | 68,350 | 49,262 | 68,350 | ||
| Operating loans | 1,132,543 | 1,089,825 | 1,132,543 | 1,089,825 | ||
| PROPERTY DEVELOPMENT & EXPLOITATION | ||||||
| External revenue | 4,160 | 3,039 | 15,612 | 21,434 | ||
| Exploitation revenue | 7,425 | 72,613 | 184,744 | 176,076 | ||
| Internal revenue | 2,052 | 4,455 | 36,072 | 20,473 | ||
| Capital gains | 0 | 355 | 944 | 1,179 | ||
| Total operating income | 13,636 | 80,462 | 237,372 | 219,162 | ||
| External operating expenses | -13,338 | -8,868 | -60,887 | -64,567 | ||
| Costs from other segments | 258 | 149 | 125 | 118 | ||
| Costs of sold exploitation assets | -1,746 | -44,498 | -155,380 | -71,263 | ||
| Capital losses | - | -534 | -4,224 | -9,256 | ||
| Profit/loss from investments in joint ventures and associates | 12,856 | -4,607 | 38,620 | 1,329 | ||
| Depreciation/amortisation | -4,733 | -1,206 | -24,029 | -19,730 | ||
| Operating profit/loss | 6,930 | 20,897 | 31,597 | 55,794 | ||
| Property, plant and equipment | 713,698 | 796,794 | 713,698 | 796,794 | ||
| Financial assets | 819,979 | 581,532 | 819,979 | 581,532 | ||
| Operating loans | 578,217 | 872,326 | 578,217 | 872,326 | ||
| OPERATION OF HOTELS | ||||||
| External revenue | 30,174 | 279 | 37,559 | 28,568 | ||
| Total revenue | 30,174 | 279 | 37,559 | 28,568 | ||
| External operating expenses | -33,007 | -3,329 | -63,000 | -33,715 | ||
| Costs from other segments | -909 | - | -909 | - | ||
| Depreciation/amortisation | -1,303 | - | -1,303 | - | ||
| Operating profit/loss | -5,045 | -3,050 | -27,653 | -5,147 | ||
| Property, plant and equipment | 26,192 | - | 26,192 | - | ||
| Operating loans | - | - | - | - | ||
| Internal revenue | -9,352 | -4,482 | -61,748 | -51,770 | ||
| Internal costs | 9,352 | 4,482 | 61,748 | 51,770 | ||
| Consolidated revenue* | 300,995 | 187,677 | 2,820,857 | 2,838,962 | ||
| Consolidated costs | -483,036 | -317,544 | -2,732,607 | -2,453,154 | ||
| Consolidated operating profit/loss | -182,041 | -129,870 | 88,251 | 385,807 | ||
| Consolidated intangible assets | 178,112 | 181,609 | 178,112 | 181,609 | ||
| Consolidated property, plant and equipment | 3,919,432 | 3,886,780 | 3,919,432 | 3,886,780 | ||
| Consolidated financial assets | 869,242 | 649,882 | 869,242 | 649,882 | ||
| Consolidated operating loans | 1,710,760 | 1,962,151 | 1,710,760 | 1,962,151 | ||
Segment reporting
In the segment report, all leasing contract are reported as operational leasing.
*) Changed accounting principles, see page 17.
RECONCILIATION BETWEEN SEGMENT REPORT AND CONSOLIDATED COMPREHENSIVE INCOME, SEK THOUSAND
| 2020/21 | 2019/20 | |
|---|---|---|
| 1 Sep-31 Aug | 1 Sep-31 Aug | |
| Operating profit according to segment report | 88,251 | 385,806 |
| Reversal of leasing cost attibuted to IFRS 16 | 97,275 | 97,852 |
| Depreciations attributable to IFRS 16 | -87,875 | -89,296 |
| Rearesultat från fastighetstransaktion Operating profit according to consolidated comprehensive income |
198,104 295,753 |
- 394,362 |
CONDENSED INCOME STATEMENT – PARENT COMPANY
| 3 MONTHS 1 Jun-31 Aug |
FULL YEAR 1 Sep-31 Aug |
||||
|---|---|---|---|---|---|
| SEK THOUSANDS | 2020/21 | 2019/20 | 2020/21 | 2019/20 | |
| Operating income | Revenue* | 155,915 | 98,551 | 2,240,680 | 1,985,208 |
| Other operating income | 2,020 | 21,718 | 6,502 | 24,793 | |
| Total operating income* | 157,935 | 120,268 | 2,247,183 | 2,010,002 | |
| Operating expenses | Goods for resale* | -41,127 | -27,466 | -592,437 | -534,728 |
| Other external expenses | -153,257 | -99,051 | -676,334 | -625,336 | |
| Personnel costs | -67,415 | -48,442 | -483,881 | -445,339 | |
| Cost of sold interests in accommodation/exploitation | -120 | -814 | -30,107 | -5,321 | |
| Depreciation/amortisation of assets | -43,275 | -40,598 | -159,520 | -156,534 | |
| Operating profit/loss | -147,259 | -96,102 | 304,903 | 242,745 | |
| Net financial items** | -2,884 | -4,915 | -155,394 | 72,109 | |
| Profit/loss after net financial items | -150,143 | -101,017 | 149,510 | 314,853 | |
| Appropriations | -3,541 | 1,100 | -3,541 | 1,100 | |
| Profit/loss before tax | -153,684 | -99,917 | 145,968 | 315,953 | |
| Tax | 38,710 | 34,500 | -60,917 | -39,759 | |
| Profit/loss for the period | -114,974 | -65,417 | 85,052 | 276,195 |
*) With effect from Q2 2020/21, all payments from SkiStar's customers for accommodation are recognised as revenue and the Company's payments to accommodation owners are recognised as an operating expense on the line 'Goods for resale'. The Company previously reported the difference between revenue from rental activities and payments to accommodation owners as net commission income under revenue. The comparative figures in this report have been restated (see also under the heading 'Accounting principles' in the notes to the financial statements on page 17).
**) Net financial items include an effect on write-downs of the holding and forfeited receivables in the subsidiary St. Johanner Bergbahnen GmbH for SEK 137 million.
| Other comprehensive income | |
|---|---|
| Total comprehensive income for the year | -115,133 | -64,088 | 90,401 | 281,481 |
|---|---|---|---|---|
| Other comprehensive income for the year | -159 | 1,329 | 5,350 | 5,286 |
| Deferred tax on cash flow hedges | -375 | -374 | -1,407 | -1,490 |
| Change in fair value of cash flow hedges for the period | 216 | 1,703 | 6,757 | 6,776 |
| Items that may be reclassified to profit or loss |
CONDENSED BALANCE SHEET – PARENT COMPANY
| ASSETS, SEK THOUSANDS | 31 Aug 2021 | 31 Aug 2020 | |
|---|---|---|---|
| Non-current assets | Intangible assets | 72,782 | 74,334 |
| Property, plant and equipment | 1,747,366 | 1,702,840 | |
| Financial assets | Investments in Group companies | 201,417 | 299,377 |
| Investments in joint ventures/associates | 2,812 | 2,812 | |
| Other investment and securities held as non-current-assets | 19,091 | 19,211 | |
| Other non-current receivables | 13,715 | 13,664 | |
| Receivables from Group companies | 0 | 265,097 | |
| Total non-current assets | 2,057,181 | 2,377,335 | |
| Current assets | |||
| -Inventories | Goods for resale | 95,553 | 102,084 |
| 95,553 | 102,084 | ||
| -Current receivables | Trade receivables | 7,589 | 10,072 |
| Receivables from Group companies | 638,659 | 462,070 | |
| Tax receivables | 60,099 | 53,651 | |
| Other current receivables | 25,832 | 53,810 | |
| Prepaid expenses and accrued income | 67,382 | 73,395 | |
| 799,561 | 652,998 | ||
| -Cash and cash equivalents | Cash and bank balances | 786 | 994 |
| Total current assets | 895,899 | 756,075 | |
| TOTAL ASSETS | 2,953,081 | 3,133,410 | |
| EQUITY AND LIABILITIES, SEK THOUSANDS | |||
| Equity | |||
| -Restricted equity | Share capital | 19,594 | 19,594 |
| Statutory reserve | 25,750 | 25,750 | |
| Development fund | 4,309 | 4,309 | |
| 49,653 | 49,653 | ||
| -Non-restricted equity | Share premium reserve | 4,242 | 4,242 |
| Retained earnings | 816,167 | 534,701 | |
| Profit/loss for the year | |||
| 85,052 | 276,195 | ||
| Total equity | 905,460 955,112 |
815,137 864,790 |
|
| Non-current liabilities -Non-current interest-bearing liabilities |
Liabilities to Group companies | 0 | 685,211 |
| Liabilities to credit institutions | 437,735 | 487,735 | |
| -Provisions | Provisions for pensions | 14,535 | 12,212 |
| Other provisions | 0 | 78 | |
| -Non-current non-interest-bearing liabilities Derivative liabilities | 10,494 | 15,374 | |
| Deferred tax liabilities Total non-current liabilities |
148,798 611,562 |
147,932 1,348,543 |
|
| -Current liabilities | Liabilities to credit institutions | 145,491 | 417,473 |
| Liabilities to Group companies | 836,198 | 161,577 | |
| Trade payables | 94,705 | 74,396 | |
| Other current liabilities | 237,133 | 202,782 | |
| Accrued expenses and deferred income | 72,879 | 63,850 | |
| Total current liabilities | 1,386,407 | 920,077 | |
| Total liabilities | 1,997,968 | 2,268,620 | |
| TOTAL EQUITY AND LIABILITIES | 2,953,081 | 3,133,410 |
Intra-group receivables and liabilities are largely attributable to the overdraft facility.
THE GROUP'S KEY PERFORMANCE INDICATORS AND DATA PER SHARE
| FULL YEAR 1 Sep-31 Aug |
|||||
|---|---|---|---|---|---|
| KEY PERFORMANCE INDICATORS | 2020/21 | 2019/20 | 2018/19 | 2017/18 | 2016/17 |
| Revenue, SEK thousand* | 2,750,514 | 2,794,166 | 2,675,902 | 2,535,705 | 2,306,024 |
| Operating income, SEK thousand* | 2,820,857 | 2,838,961 | 2,688,061 | 2,548,204 | 2,311,454 |
| Profit/loss before tax, SEK thousand | 246,174 | 350,059 | 553,242 | 586,629 | 477,756 |
| Profit/loss after tax, SEK thousand | 233,632 | 286,714 | 460,400 | 486,368 | 386,707 |
| Cash flow from operating activities, SEK thousand | 698,408 | 734,646 | 722,351 | 679,160 | 629,108 |
| Total cash flow, SEK thousand | -6,120 | -11,615 | -1,678 | -39,014 | 15,343 |
| Return on: | |||||
| -capital employed, % | 6 | 9 | 15 | 17 | 14 |
| -equity, % | 9 | 11 | 18 | 22 | 20 |
| -total assets, % | 5 | 8 | 13 | 14 | 12 |
| Gross margin, %* | 19 | 27 | 33 | 34 | 33 |
| Operating margin, %* | 10 | 14 | 22 | 24 | 22 |
| Net margin, %* | 9 | 12 | 21 | 23 | 21 |
| Equity/assets ratio, % | 40 | 43 | 51 | 50 | 46 |
| 2020/21 | 2019/20 | |||||||
|---|---|---|---|---|---|---|---|---|
| Q 4 | Q 3 | Q 2 | Q 1 | Q 4 | Q 3 | Q 2 | Q 1 | |
| Revenue, SEK thousand* | 245,559 | 1,023,345 | 1,327,861 | 153,749 | 162,198 | 580,001 | 1,931,032 | 120,935 |
| Operating income, SEK thousand* | 300,997 | 1,024,255 | 1,339,531 | 156,074 | 199,111 | 580,302 | 1,935,028 | 124,521 |
| Profit/loss before tax, SEK thousand | -4,986 | 112,154 | 445,970 | -306,965 | -135,070 | -2,593 | 809,245 | -321,524 |
| Profit/loss after tax, SEK thousand | 80,206 | 39,153 | 365,183 | -250,911 | -100,615 | -9,860 | 641,821 | -244,632 |
| Cash flow from operating activities, SEK thousand | 40,615 | -93,241 | 660,156 | 90,971 | 23,989 | 504,345 | 880,543 | 334,459 |
| Total cash flow, SEK thousand | -13,851 | -386,437 | 422,457 | -28,289 | -4,144 | -50,543 | 72,072 | -29,001 |
| Gross margin, % | 42 | 22 | 40 | neg | neg | 20 | 48 | neg |
| Operating margin, % | 6 | 12 | 33 | neg | neg | 3 | 43 | neg |
| Net margin, % | neg | 11 | 33 | neg | neg | neg | 42 | neg |
| 31 Aug | |||||
|---|---|---|---|---|---|
| DATA PER SHARE 1) | 2021 | 2020 | 2019 | 2018 | 2017 |
| Share price, SEK | 182.00 | 104.00 | 116.00 | 101.00 | 93.25 |
| Average number of shares | 78,376,056 | 78,376,056 | 78,376,056 | 78,376,056 | 78,376,056 |
| Earnings, SEK | 3.04 | 3.71 | 5.95 | 6.25 | 4.96 |
| Cash flow from operating activities, SEK | 8.91 | 9.37 | 9.22 | 8.67 | 8.03 |
| Share price/cash flow, times | 20.4 | 11.1 | 12.6 | 11.7 | 11.6 |
| Equity, SEK | 35 | 33 | 33 | 31 | 27 |
| Price/equity, % | 514 | 315 | 349 | 327 | 350 |
| 2020/21 | 2019/20 | ||||||
|---|---|---|---|---|---|---|---|
| Q 4 | Q 3 | Q 2 | Q 1 | Q 4 | Q 3 | Q 2 | Q 1 |
| 78,376,056 | 78,376,056 | 78,376,056 | 78,376,056 | 78,376,056 | 78,376,056 | 78,376,056 | 78,376,056 |
| 0.87 | 0.60 | 4.70 | -3.12 | -1.23 | -0.07 | 8.04 | -3.03 |
| 0.52 | -1.19 | 8.42 | 1.16 | 0.31 | 6.43 | 11.23 | 4.27 |
| 35 | 34 | 34 | 29 | 33 | 34 | 34 | 30 |
*) With effect from Q2 2020/21, all payments from SkiStar's customers for accommodation are recognised as revenue and the Company's payments to accommodation owners are recognised as an operating expense on the line 'Goods for resale'. The Company previously reported the difference between revenue from rental activities and payments to accommodation owners as net commission income under revenue. The comparative figures in this report have been restated. However, the comparative figures for 2018/19 and earlier have not been restated (see also under the heading 'Accounting principles' in the notes to the financial statements on page 17).
1) Recalculated with respect to the 2:1 split carried out on 17 January 2019 as resolved at the annual general meeting on 15 December 2018. Number of shares for previous periods have been adjusted.
RECONCILIATION OF ALTERNATIVE PERFORMANCE MEASURES
| SEK THOUSANDS | FULL YEAR 1 Sep-31 Aug |
|||
|---|---|---|---|---|
| FINANCING AND INTEREST-BEARING LIABILITIES | 2020/21 | 2019/20 | ||
| Non-current interest-bearing liabilities to credit insti tutions |
1,164,694 | 1,489,002 | ||
| Long-term leasing liabilities | 1,354,406 | 619,851 | ||
| Provisions for pensions | 14,535 | 15,183 | ||
| Current interest-bearing liabilities to credti institutions | 572,101 | 473,121 | ||
| Short-term lease liabilities | 84,863 | 78,207 | ||
| Net interest-bearing liabilities | 3,190,599 | 2,675,365 | ||
| Other non-current receivables | 72,890 | 220,290 | ||
| Non-interest-bearing part of non-current receivables | -35,519 | -141,393 | ||
| Interest-bearing current receivables | 12,441 | 22,427 | ||
| Cash and cash equivalents | 26,556 | 59,567 | ||
| Interest-bearing receivables | 76,368 | 160,890 | ||
| Financial net debt (interest-bearing receivables - net interest-bearing liabilities) |
3,114,231 | 2,514,475 |
| SEK THOUSANDS | 2020/21 | 2019/20 | 2018/19 | 2017/18 | 2016/17 | |||||
|---|---|---|---|---|---|---|---|---|---|---|
| RETURN ON CAPITAL EMPLOYED | Q 4 | Q 4 | Q 4 | Q 4 | Q 4 | |||||
| Profit after financial items | 246,174 | 350,059 | 553,242 | 586,629 | 477,756 | |||||
| Finance income | 32,562 | 46,656 | 49,029 | 55,283 | 13,067 | |||||
| Finance costs | -82,142 | -90,960 | -99,571 | -79,548 | -49,096 | |||||
| Net financial items | -49,599 | -44,304 | -50,542 | -24,265 | -36,030 | |||||
| Profit after financial items, plus finance costs | 328,315 | 441,021 | 652,812 | 666,177 | 526,852 | |||||
| 2020/21 | 2019/20 | 2018/19 | 2017/18 | 2016/17 | ||||||
| CAPITAL EMPLOYED | Q 4 | Aug 2020 | Q 4 | Aug 2019 | Q 4 | Aug 2018 | Q 4 | Aug 2017 | Q 4 | Aug 2016 |
| Assets | 6,873,998 | 6,053,251 | 6,053,251 | 5,065,776 | 5,065,776 | 4,870,568 | 4,870,568 | 4,507,860 | 4,507,860 | 4,107,146 |
| Non-current non-interest-bearing liabilities | 142,008 | 225,206 | 225,206 | 226,546 | 226,546 | 221,113 | 221,113 | 190,107 | 190,107 | 149,441 |
| Current non-interest-bearing liabilities | 767,365 | 562,156 | 483,949 | 478,637 | 478,637 | 537,253 | 537,253 | 455,254 | 455,254 | 334,910 |
| Total non-interest-bearing liabilities | 909,373 | 787,361 | 709,154 | 705,182 | 705,182 | 758,366 | 758,366 | 645,361 | 645,361 | 484,351 |
| Capital employed | 5,964,625 | 5,265,889 | 5,344,097 | 4,360,594 | 4,360,594 | 4,112,202 | 4,112,202 | 3,862,499 | 3,862,499 | 3,622,795 |
| Average capital employed | 5,615,257 | 4,852,345 | 4,236,398 | 3,987,350 | 3,742,647 | |||||
| Return on capital employed | 6% | 9% | 15% | 17% | 14% | |||||
| RETURN ON EQUITY | ||||||||||
| Equity | 2,774,026 | 2,590,524 | 2,590,524 | 2,602,064 | 2,602,064 | 2,421,089 | 2,421,089 | 2,090,251 | 2,090,251 | 1,869,945 |
| Average equity | 2,682,275 | 2,596,294 | 2,511,576 | 2,255,670 | 1,980,098 | |||||
| Profit after tax | 233,632 | 286,750 | 460,400 | 486,368 | 386,707 | |||||
| Return on equity | 9% | 11% | 18% | 22% | 20% | |||||
| RETURN ON TOTAL ASSETS | ||||||||||
| Total assets | 6,873,998 | 6,053,251 | 6,053,251 | 5,065,776 | 5,065,776 | 4,870,568 | 4,870,568 | 4,507,860 | 4,507,860 | 4,107,146 |
| Average total assets | 6,463,624 | 5,559,513 | 4,968,172 | 4,689,214 | 4,307,503 | |||||
| Return on total assets | 5% | 8% | 13% | 14% | 12% |
Conducting skiing operations requires large capital investments and a stable financial base is therefore important. SkiStar uses these alternative key performance indicators as part its monitoring of the financial base.
| 2020/21 | 2019/20 | |
|---|---|---|
| EQUITY/ASSETS RATIO EXCLUDING IFRS 16 | Full Year | Full Year |
| Equity | 2,784,037 | 2,565,768 |
| Total assets | 5,460,336 | 5,331,913 |
| Equity/assets ratio, % excluding IFRS 16 | 51 | 48 |
Figures for 2018/19 and earlier have not been adjusted for IFRS 16, as the Company decided to use the simplified transition approach. The first year of IFRS 16 was the financial year 2019/20.
NOTES Pledged assets and contingent liabilities
| 2021-08-31 | 2020-08-31 |
|---|---|
| 2,046,810 | 1,638,055 |
| 531,923 | 540,399 |
| 473,963 | 616,110 |
| 1,514,269 | 1,539,443 |
Accounting Principles
This Year-End Report has been prepared in accordance with IAS 34 Interim Financial Reporting. The consolidated financial statements were prepared in accordance with International Financial Reporting Standards (IFRS) as adopted by the EU and the Swedish Annual Accounts Act. The Parent Company's accounts were prepared in accordance with the Annual Accounts Act and the Swedish Financial Reporting Board's RFR 2 Accounting for Legal Entities. The accounting policies and methods of calculation applied for the Group and Parent Company are the same as those applied in preparing the most recent annual accounts and consolidated financial statements, apart from recognition of revenue from accommodation. The Company previously reported the difference between revenue from rental activities and payments to accommodation owners as net commission income under revenue. With effect from Q2 2020/21, all accommodation payments from SkiStar's customers are instead recognised as revenue and the Company's payments to accommodation owners are recognised as an operating expense on the line 'Goods for resale'. On a net basis, this change does not affect the Group's or the Parent Company's operating profit or earnings per share.
The reason for the amendment is that the Company has reassessed whether SkiStar is the principal or the agent in terms of the accommodation provided through SkiStar to SkiStar's customers. In recent years, SkiStar has gradually made changes to agreements with accommodation owners, which has, in a review, made it increasingly clear that SkiStar should be seen as the principal with regard to these accommodation services. A company is the principal if it controls the identified product or service before the product or service is transferred to the customer. SkiStar signs an agreement with accommodation owners for at least one year to rent out accommodation through its website. For this, SkiStar pays the accommodation owner rent which is revenue-based in its entirety. The following indicators show that SkiStar is the principal when arranging accommodation for its customers:
- SkiStar has primary responsibility for fulfilling the promise to provide the accommodation service, including responsibility for the service being acceptable; the customer approaches SkiStar's on-site reception for service matters or accommodation deficiencies,
- SkiStar has sole discretion in establishing the price of the accommodation service and this cannot be influenced by the accommodation owner,
- SkiStar has the opportunity to package accommodation and create campaigns in combination with other products such as ski rental, ski school, SkiPass and various ski products.
The amended policy described above should be seen as a correction of an error. Comparative figures have been restated for the 2019/20 financial year in this report.
Preparation of financial statements in compliance with IFRS requires Company management to make accounting estimates and judgements, as well as to make assumptions that affect the application of the accounting policies and the carrying amounts of assets, liabilities, income and expense. The actual outcome may differ from these estimates and assumptions. Certain statements contained in this report are forward-looking and reflect the current assessments of the Company and Board of Directors as regards future circumstances.
Effects of the amended accounting policy for revenue from accommodation on the consolidated and parent comapny income statements for the financial year 2019/20
| Group | Reported according to annual report |
Effect of amended policy |
Restated income statement |
|---|---|---|---|
| Revenue | 2,361,636 | 432,530 | 2,794,166 |
| Other operating income | 44,795 | - | 44,795 |
| Total operating income | 2,406,431 | 432,530 | 2,838,961 |
| Goods for resale | -274,757 | -432,530 | -707,287 |
| Other external expenses | -663,221 | -663,221 | |
| Personnel costs | -632,304 | -632,304 | |
| Vacation Club costs | -71,262 | -71,262 | |
| Share of profit/loss of associates | 2,736 | 2,736 | |
| Depreciation/amortisation of assets | -373,260 | -373,260 | |
| Operating profit/loss | 394,363 | - | 394,363 |
| Parent Company | Reported according to annual report |
Effect of amended policy |
Restated income statement |
| Revenue | 1,660,214 | 324,994 | 1,985,208 |
| Other operating income | 24,793 | - | 24,793 |
| Total operating income | 1,685,007 | 324,994 | 2,010,001 |
| Goods for resale | -209,734 | -324,994 | -534,728 |
| Other external expenses | -625,336 | -625,336 | |
| Personnel costs | -445,339 | -445,339 | |
| Vacation Club costs | -5,321 | -5,321 | |
| Depreciation/amortisation of assets | -156,534 | -156,534 | |
| Operating profit/loss | 242,743 | - | 242,743 |
Assets held for sale
Non-current assets/disposal groups are classified as held for sale if their carrying amount will be recovered principally through sale rather than through continuing use and it is highly probable that a sale will occur. They are measured at the lower of the carrying amount and fair value less costs to sell. Non-current assets are not depreciated as long as they are classified as held for sale. Interest and other costs associated with the liabilities of a disposal group held for sale are recognised on an ongoing basis. Non-current assets classified as held for sale and the assets of a disposal group classified as held for sale are presented separately from other assets in the consolidated balance sheet.
Leasing Agreement
Revenue recognition principles are applied to determine whether a sale and leaseback transaction should be reported as a sale. When the transaction criteria to be regarded as a sale is met, the right of use arising from the leaseback transaction is valued at the proportion of the previously reported value of the asset that continues to be maintained by the Group. Thus, only profit or loss that relates to the rights transferred to the buyer/ lessor is recognized as income.
Notes, continuation next page.
NOTES (CONTINUATION)
Segment reporting
With effect from 1 July 2021, operations are monitored and presented in the segments Operation of Ski Resorts, Property Development & Exploitation and Operation of Hotels.
Operation of Ski Resorts comprises the operation of ski resorts and the sale of all products and services in this area, such as SkiPass, accommodation, activities, articles in ski shops etc. The focus is on sales and efficient operation. Earnings are charged with the segment's own costs as well as internal rents, mainly for guest accommodation rented from Property Development & Exploitation. The segment's non-current assets are mainly property, plant and equipment used directly in the operations, such as pistes and lifts, or used or rented out for activities that complement the segment, such as ski shops, equipment hire and restaurants.
Property Development & Exploitation comprises the management of assets that can be exploited or used in the segment or leased to the Operation of Ski Resorts segment. Segment revenue consists of the sale of land and other properties, the sale of weekly shares in Vacation Club, and the renting of accommodation, both through the segment and associated companies, to guests in the Operation of Ski Resorts segment. The segment's assets consist of land and other properties, as well as shares in tenant-owner associations and associated companies focusing on hotels and the renting of cabins and apartments close to the Group's skiing areas.
Operation of Hotels includes activities related to hotels conducted under the SkiStar brand and under SkiStar's management from 1 July 2021. SkiStar's operation of hotels is conducted as a tenant of the hotel properties in question. Operation of Hotels includes revenue from accommodation, restaurants and other goods and services provided in connection with the hotels. The hotels included in the new segment are SkiStarLodge Experium Lindvallen, Sälen, SkiStar Lodge Hundfjället, Sälen (opening December 2021), SkiStar Lodge Suites, Hemsedal, SkiStar Lodge Alpin, Hemsedal, Radisson Blu Resort, Trysil and Radisson Blu Mountain Resort & Residences, Trysil.
DISTRIBUTION OF REVENUE PER SEGMENT, SEK MILLION
| 3 MONTHS 1 Jun-31 Aug |
FULL YEAR 1 Sep-31 Aug |
|||
|---|---|---|---|---|
| OPERATION OF SKI RESORTS | 2020/21 | 2019/20 | 2020/21 | 2019/20 |
| SkiPass | 32 | 17 | 1,143 | 1,231 |
| Accommodation* | 38 | 20 | 640 | 664 |
| Ski rental | 7 | 2 | 127 | 163 |
| Ski school/Activities | 0 | 0 | 41 | 50 |
| Sporting goods outlets | 21 | 19 | 207 | 179 |
| Restaurants | 7 | - | 7 | - |
| Property services | 12 | 8 | 113 | 102 |
| Other | 91 | 20 | 239 | 177 |
| Total Operation of Ski Resorts* | 207 | 86 | 2,517 | 2,567 |
| PROPERTY DEVELOPMENT& EXPLOITATION Total Property Development & Exploitation |
9 | 76 | 197 | 198 |
| OPERATION OF HOTELS | ||||
| Accommodation | 19 | 26 | 29 | |
| Property | 1 | 1 | ||
| Restaurants | 8 | 8 | ||
| Other | 2 | 2 | ||
| Total Operation of Hotels | 30 | - | 37 | 29 |
| Group total* | 246 | 162 | 2,751 | 2,794 |
DISTRIBUTION OF REVENUE PER SEGMENT AND COUNTRY, SEK MILLION
| 3 MONTHS 1 Jun-31 Aug |
FULL YEAR 1 Sep-31 Aug |
|||
|---|---|---|---|---|
| REVENUE PER COUNTRY | 2020/21 | 2019/20 | 2020/21 | 2019/20 |
| Sweden | ||||
| - Operation of Ski Resorts* | 121 | 69 | 2,164 | 1,928 |
| - Property Development & Exploitation | 8 | 43 | 98 | 163 |
| - Operation of Hotels | 3 | 3 | ||
| Norway | ||||
| - Operation of Ski Resorts* | 77 | 10 | 333 | 548 |
| - Property Development & Exploitation | 1 | 33 | 99 | 35 |
| - Operation of Hotels | 27 | 34 | 29 | |
| Austria 1) | 9 | 7 | 20 | 91 |
| Group total* | 246 | 162 | 2,751 | 2,794 |
*) Changed accounting principles, see page 17.
1) There are no Property Development and Expolitation operations or Operation of Hotels in Austria.
This Year-End Report has not been subject to review by the company's auditor.
The Board of Directors and the CEO assure that this Year-End Report provides a true and fair view of the parent company's and the group's operations, financial position and performance, and describes the material risks and uncertainties faced by the parent company and the other group companies.
Sälen, 30 September 2021
Eivor Andersson Stefan Sjöstrand Chairman CEO
Board Member Board Member Board Member
Gunilla Rudebjer Anders Sundström Patrik Svärd Board Member Board Member Employee Representative
Lena Apler Sara Karlsson Fredrik Paulsson
This information is information that SkiStar AB is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact persons set out above, at 1 October 2021, 07.30 a.m. CET.
SKISTAR IN BRIEF
SkiStar AB (publ) is listed on the Mid Cap list of the Nasdaq Stockholm exchange. The Group owns and operates alpine ski resorts in Sälen, Vemdalen, Åre and Hammarbybacken (Stockholm) in Sweden, Hemsedal and Trysil in Norway and St. Johann in Tirol in Austria. Based on SkiPass sales, SkiStar's market share in Sweden is 53%, in Norway 17% and in Scandinavia 41%. Operations are divided into three segments: Operation of Ski Resorts, Property Development & Exploitation and Operation of Hotels. As the leading holiday tour operator for Scandinavia, SkiStar's business concept is to create memorable mountain experiences, develop sustainable destinations, offer accommodation, activities, products and services of the highest quality with our guests in focus.
SKISTAR AB (PUBL)
SE-780 67 SÄLEN Corporate Identity Number: 556093-6949 Tel: +46 280 880 50 E-mail: [email protected] www.skistar.com