Fiskars Oyj Abp — Interim / Quarterly Report 2021

Apr 29, 2021

Fiskars interim report January-March 2021

Fiskars interim report January-March 2021

Fiskars Corporation
Interim report
April 29, 2021 at 8:30 a.m. (EEST)

Fiskars interim report January-March 2021

Exceptionally strong start to the year driven by all Business Areas

This release is a summary of the Fiskars Corporation’s January–March 2021
interim report published today. The complete interim report with tables is
attached to this release as a pdf-file. It is also available at
http://fiskarsgroup.com/investors/reports-presentations/interim-reports and on
the company website at www.fiskarsgroup.com. Investors should not rely on
summaries of the interim reports only, but should review the complete interim
reports with tables.

First quarter 2021 in brief:
•    Net sales increased by 17.9% to EUR 302.1 million (Q1 2020: 256.2)
•    Comparable net sales1) increased by 23.3% to EUR 302.1 million (245.1)
•    EBITA increased to EUR 49.1 million (11.9)
•    Comparable2) EBITA increased by 162.9% to EUR 49.8 million (18.9)
•    Cash flow from operating activities before financial items and taxes
increased to EUR 10.7 million (-37.5)
•    Earnings per share (EPS) were EUR 0.10 (0.06)

Outlook for 2021 upgraded on April 19, 2021:
Fiskars Corporation upgraded its guidance on the outlook for 2021, which was
originally issued on February 5, 2021 and upgraded on March 24, 2021. The
company expects the strong momentum in the first quarter to continue, and now
expects the comparable EBITA for 2021 to be in the range of EUR 130 – 145
million.

Visibility continues to be low due to the COVID-19 pandemic, which is profoundly
impacting consumers’ lives in terms of changes in for example disposable income,
purchasing choices and consumer behavior. These may bring challenges as well as
opportunities for Fiskars Group. The seasonality of both trade and consumer
demand may continue to differ from a typical year.

President and CEO, Fiskars Group, Nathalie Ahlström:
Fiskars Group had an excellent start to the year, driven by broad-based positive
development. The strong momentum from the second half of 2020 continued in the
first quarter. I am proud of our talented team, who has been able to continue to
deliver such solid results during these exceptional times.

During the quarter, more time spent at home supported demand and consequently
supported net sales growth in many of our categories. We have been able to
capitalize on the surge in demand, improve the direct channel, create great
consumer experiences and strengthen our brands. The positive momentum has been
visible in many parts of our business. Demand in the US market has continued to
be strong, particularly in the gardening category, where our customers have
placed orders earlier than usual. Our growth efforts in Continental Europe have
also continued to show good results. Additionally, the Vita segment has
continued to grow in China as well as in the important e-commerce channel. It is
however, good to remember that the first quarter of 2020 was challenging for
Vita, as the pandemic started to have a negative impact already in late January
last year.

The strong demand and challenges in the global logistics chains have put
pressure on our supply chain, during 2021 in particular. Despite this, we have
been able to serve our customers successfully. While the strong net sales
development supported our profitability, the strong growth in comparable EBITA
was also enabled by other factors. We improved the product mix and gained
increased benefits from our ongoing Restructuring and Transformation programs.
Temporary cost-cutting measures supported our profitability in the full year
2020, and these measures only had a minor impact on our results in the first
quarter of 2021.

As we have stated previously, in 2021 we will focus on executing on our strategy
and completing the ongoing programs. Within our strategy, we are continuing to
sharpen our focus to creating growth, which is essential for us in the long
term. To support the work, we made several important changes during the first
quarter. The most notable change concerns the digital space, the importance of
which has only increased during the pandemic. We appointed Peter Cabello
Holmberg as Chief Digital Officer and member of the Group Leadership Team. He
and his team will have a central role in improving our agility to adapt to the
rapidly changing digital landscape, as well as realizing benefits in internal
processes and the digital consumer experience.

In addition to the increased focus on digital, we continue to strengthen our
consumer centric culture, which includes building a more insightful dialogue
with consumers and stakeholders. To reach this, we need to further align
communications, brand management, sustainability and digitalization. A consumer
centric culture is crucial for realizing the ambition of building a strong
portfolio of internationally loved brands and making the consumers’ everyday
extraordinary.

We continue to accelerate our sustainability work toward 2030, by creating a
shared ambition and refreshed approach to further integrate sustainability into
our business practices. Sustainability is at the core of what we do, and we have
now raised our ambition. During the quarter, we published our long-term
sustainability ambition, which is to be the sustainability leader in our
industry. At the same time, we also renewed our sustainability commitments,
which are against a throwaway culture, for a carbon neutral future, and for
increased joy. These commitments will guide our work and describe our priorities
on our sustainability journey.

As the strong momentum has continued in 2021, we expect the comparable EBITA to
be in the range of EUR 130 – 145 million. However, visibility still continues to
be low as a result of the COVID-19 pandemic. As previously said, the pandemic
has altered consumer habits and needs, shifting the seasonality of both trade
and consumer demand. This phenomenon may continue, and create differences
compared to a typical year. At the same time, consumers are seeking experiences
in their everyday, and we are all continuously committed to catering to those
needs.

1) Comparable net sales excludes the impact of exchange rates, acquisitions and
divestments
2) Items affecting comparability in EBITA include items such as restructuring
costs, impairment or provisions charges and releases, integration-related costs,
and gain and loss from the sale of businesses

Group key figures

[][]
+---------------------------------+-------+-------+------+-------+
|EUR million |Q1 2021|Q1 2020|Change| 2020|
+---------------------------------+-------+-------+------+-------+
|Net sales | 302.1| 256.2| 17.9%|1,116.2|
+---------------------------------+-------+-------+------+-------+
|Comparable net sales[1)] | 302.1| 245.1| 23.3%|1,101.5|
+---------------------------------+-------+-------+------+-------+
|EBITA | 49.1| 11.9| | 125.8|
+---------------------------------+-------+-------+------+-------+
|Items affecting comparability in | -0.7| -7.0| | -11.0|
|EBITA[2)] | | | | |
+---------------------------------+-------+-------+------+-------+
|Comparable EBITA | 49.8| 18.9|162.9%| 136.8|
+---------------------------------+-------+-------+------+-------+
|Operating profit (EBIT) | 45.9| 8.4| | 98.0|
+---------------------------------+-------+-------+------+-------+
|Profit before taxes | 41.9| 8.5| | 89.8|
+---------------------------------+-------+-------+------+-------+
|Profit for the period | 8.1| 5.1| 59.0%| 68.5|
+---------------------------------+-------+-------+------+-------+
|Earnings/share, EUR | 0.10| 0.06| 60.8%| 0.83|
+---------------------------------+-------+-------+------+-------+
|Equity per share, EUR | 8.90| 9.11| | 9.30|
+---------------------------------+-------+-------+------+-------+
|Cash flow from operating | 10.7| -37.5| | 223.8|
|activities before financial items| | | | |
|and taxes | | | | |
+---------------------------------+-------+-------+------+-------+
|Equity ratio, % | 54%| 51%| | 57%|
+---------------------------------+-------+-------+------+-------+
|Net gearing, % | 25%| 44%| | 19%|
+---------------------------------+-------+-------+------+-------+
|Capital expenditure | 6.1| 5.0| 21.1%| 30.0|
+---------------------------------+-------+-------+------+-------+
|Personnel (FTE), average | 5,908| 6,374| -7.0%| 6,104|
+---------------------------------+-------+-------+------+-------+
1)     Using comparable exchange rates.
2)     In Q1 2021, items affecting comparability consisted mainly of items
related to the restructuring program.

FISKARS CORPORATION

Nathalie Ahlström
President and CEO

Webcast
A webcast on the first quarter results will be held on April 29, 2021 at 11:00
a.m. It will be held in English and can be followed at:
https://fiskars.videosync.fi/fiskars-group-q1-results

Presentation materials will be available at www.fiskarsgroup.com

An on-demand version of the webcast will be available on the company website.
Personal details gathered during the event will not be used for any other
purpose.

Media and investor contacts:
Kristian Tammela, Director, Investor Relations, tel. +358 40 708 1181

Making the everyday extraordinary
Fiskars Group’s vision is to create a positive, lasting impact on our quality of
life. Our brands Fiskars, Gerber, Iittala, Royal Copenhagen, Waterford, and
Wedgwood are present in people’s everyday lives – at home, in the garden, and
outdoors. This gives us an opportunity to make the everyday extraordinary today,
and for future generations. We have a presence in 30 countries, and our products
are available in more than 100 countries. Our shares are listed on the Nasdaq
Helsinki (FSKRS). Please visit us at www.fiskarsgroup.com for more information
and follow us on Twitter @fiskarsgroup.

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