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New Wave Group AB — Interim / Quarterly Report 2019
Apr 25, 2019
3081_10-q_2019-04-25_9dd42394-afdf-48b9-936e-b8ea923ffc82.pdf
Interim / Quarterly Report
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2019
INTERIM REPORT January – March
TRADEMARKS IN FOCUS
CORPORATE
INTERIM REPORT NEW WAVE GROUP AB
PERIOD 1 JANUARY - 31 MARCH 2019
- Net sales amounted to SEK 1,504.9 million, which was 18 % (11 % in local currencies) higher than last year (SEK 1,272.8 million).
- Operating result amounted to SEK 46.0 (18.6) million.
- Result for the period amounted to SEK 26.0 (6.0) million.
- Earnings per share amounted to SEK 0.41 (0.10).
- Cash flow from operating activities amounted to SEK -65.1 (6.6) million.
- Equity ratio amounted to 45.9 (51.3) %.
- Net debt to equity ratio amounted to 73.7 (54.5) %.
3
" For the quarter to achieve an operating result of SEK 46.0 million and a result for the period of SEK 26.0 million pleases me.
CEO COMMENTS
It is gratifying that 2019 started just as good as 2018 ended. Sales growth of 18 %, of which 11 % in local currencies, is strong! It was also the 19th consecutive quarter of sales growth showing that we are in a period of strong development! Operating result rose from SEK 18.6 million to SEK 46.0 million and result for the period increased from SEK 6.0 million to SEK 26.0 million. Both results are all-time high for a first quarter.
NET SALES
All our three segments had growth. Sports & Leisure continued to develop very strongly and showed 21 % growth. Corporate was not far behind with growth of 19 % and Gifts & Home Furnishings managed to cross the zero line, even if growth was a modest 2 %. The Group's net sales passed some milestones as it was the first time we crossed the SEK 1.5 billion for a first quarter – and the first time we crossed the SEK 6.5 billion on a rolling 12 months (SEK 6,523 million). We probably had a somewhat positive effect compared to the previous year as Easter this year is in the second quarter.
RESULT
The first quarter is always the weakest but it is still very nice to begin the year well. For the quarter to achieve an operating result of SEK 46.0 million and a result for the period of SEK 26.0 million pleases me. We also pass a milestone in terms of operating result and for the first time we passed SEK 500 million on a rolling 12-month period.
BALANCE SHEET
IFRS 16, which we report according to for the first time, affects the comparison between the years and the new standard has resulted in an increase in net debt by SEK 633.2 million. In addition, the quarter was affected significantly by changes in exchange rates which increased stock by SEK 103.8 million. But I am satisfied that we have a strong balance sheet with an equity ratio of almost 46 % despite IFRS 16.
THE FUTURE
I still feel that we stand very strong! Even in the future there can be quarters that are less favorable but I am confident that the investments we have already made will generate growth in both sales and result for many years to come! It is a tremendous benefit for me to lead such a strong and driven organisation which we currently have and skilled staff are essential for success. We also have a number of strong brands, good products, high level of service etc. which makes it even better!
Thank you all for the first quarter!
Torsten Jansson, CEO
COMMENTS
SUMMARY OF THE QUARTER JANUARY - MARCH
The Group had net sales growth of 18% (11% excluding currency changes). The improvement took place in all segments, but mainly within Sports & Leisure and Corporate, which increased by 21% and 19%, respectively. Sports & Leisure had growth in all regions but mainly in Sweden and the Nordic region. Corporate increased mainly in the United States and the Nordic countries excluding Sweden, but the other regions also had good growth. Gifts & Home Furnishings increased by 2% and sales increased primarily in the Nordic countries excluding Sweden.
The promo sales channel increased by 19% and the improvement is related to Corporate and Sports & Leisure. The retail sales channel increased by 17%, which is mainly attributable to Sports & Leisure.
The gross profit margin improved compared with last year and amounted to 47.1 (46.8) %.
The Group's costs increased compared with last year. External costs have increased mainly due to an increase in market activities and improvement measures in our distribution centers. Volumerelated costs have also contributed to the increase. The increase in personnel costs is related to an increase in the number of employees within sales, warehousing and customer service.
Operating result increased by SEK 27.4 million compared with last year and amounted to SEK 46.0 million (18.6) and the result for the period amounted to SEK 26.0 million (6.0).
Cash flow from operating activities amounted to SEK -65.1 (6.6) million. The lower cash flow is primarily an effect of increased inventory purchases and the payment thereof. Inventories increased by SEK 535.0 million and amounted to SEK 3,345.3 (2,810.3) million, of which exchange rates have increased the value by SEK 103.8 million. The increase is mainly attributable to new product lines and inventory build-up in North America.
When visiting Kosta, you can stay at the Kosta Lodge, or enjoy a spa weekend at Kosta Boda Art Hotel.
JANUARY - MARCH
NET SALES
Net sales amounted to SEK 1,504.9 million, which was 18 % higher than last year (SEK 1,272.8 million). Exchange rates affected sales positively by SEK 85.9 million, which corresponds to 7 %.
Net sales in Sweden increased by 11 % and the improvement occurred in both sales channels. USA increased by 20 % and it was primarily the promo sales channels that had good growth. Exchange rate changes when converted into SEK, affected net sales positively and sales in local currencies increased by 7 %. Nordic countries excluding Sweden had growth of 19 % and both sales channels increased. Net sales in Central and Southern Europe increased by 16 % and 20 % respectively, which is related to both promo and retail. Here too, changes in exchange rates impacted positively and net sales in local currency increased by 12 % and 16 % respectively. Other countries increased by 32 %, which is related to the operations in Asia and Canada as well as the promo sales channel.
GROSS PROFIT
The gross profit margin improved and amounted to 47.1 (46.8) %. It is Sports & Leisure and Gifts & Home Furnishings that have an improved margin while Corporate had a slightly lower margin than last year.
OTHER OPERATING INCOME AND OTHER OPERATING EXPENSES
Other operating income increased by SEK 1.3 million to SEK 17.2 (15.9) million. Other operating income is mainly attributable to operating currency gains but also other remunerations and should be compared to the result row Other operating expenses where mainly currency losses are reported. Other operating expenses decreased by SEK 3.6 million and amounted to SEK -8.2 (-11.8) million. The net total of above items amounted to SEK 9.0 (4.1) million and the improvement is attributable to other remunerations.
COSTS AND DEPRECIATIONS
The Group has previously decided to increase the level of service and to continue with a high level of sales and marketing activities. These activities have resulted in higher costs and are expected to affect even the coming quarters.
External costs increased by SEK 21.2 million to SEK -338.4 (-317.2) million. The increase is mainly related to the abovementioned activities but also volume related costs have contributed. Personnel costs increased by SEK 36.6 million and amounted to SEK -283.0 (-246.4) million, which is mainly due to an increase in the number of employees, mostly in sales, warehousing and customer service. Exchange rates have increased the above costs by SEK 37.2 million, while accounting according to IFRS 16 has reduced external costs by SEK 30.6 million.
Amortizations, depreciations and write-downs were higher than last year and amounted to SEK -51.0 (-17.6) million. The increase is primarily an effect of IFRS 16, which affected depreciation by SEK -28.1 million.
OPERATING MARGIN
The operating margin increased compared to last year and amounted to 3.1 (1.5) %. The increase is related to higher net sales growth.
NET FINANCIAL ITEMS AND TAXES
Net financial items amounted to SEK -14.0 (-10.2) million. Accounting according to IFRS 16 affected financial costs by SEK 4.5 million.
Tax expense for the period amounted to SEK -6.0 (-2.4) million and the change is attributable to the improved result.
RESULT FOR THE PERIOD
Result for the period amounted to SEK 26.0 (6.0) million and earnings per share amounted to SEK 0.41 (0.10).
World champions!
Craft collaborates with and develops ski suits for the Swedish cross country skiing team that won gold in Seefeld. Pictured above: Ebba Andersson, Frida Karlsson, Charlotte Kalla and Stina Nilsson.
Swedish brand of the year
Sweden's leading magazine for the sports industry - Sportfack - has named Craft the 2018 winner of the "Swedish brand of the year" award. The prize was received at the magazine's annual Gear of the Year, where the sports industry's main brands, products and innovations are selected.
Pictured right: Fredrik Johansson, Export Sales Manager
REPORTING OF OPERATING SEGMENTS
New Wave Group divides its operations into segments Corporate, Sports & Leisure and Gifts & Home Furnishings. The Group monitors the segments' and brands' sales as well as EBITDA. The operating segments are based on the Group's operational management.
CORPORATE
Net sales for the first quarter increased by 19 % and amounted to SEK 737.6 (620.5) million. All regions had good growth, but the US and the Nordic region excluding Sweden had slightly higher growth than the segment as a whole. It was mainly the promo sales channel that increased their sales. EBITDA increased by SEK 34.6 million and amounted to SEK 77.4 (42.8) million. The improved result is related to the increased turnover but the segment also had higher costs. The higher overheads were in the form of increased sales and marketing activities and higher costs for distribution centers. The cost increase for the distribution centers was related to larger premises as well as other improvement measures to increase the service level. IFRS 16 had a positive impact of SEK 19.4 million on EBITDA.
SPORTS & LEISURE
Net sales for the period January - March increased by 21 % and amounted to SEK 642.8 (530.5) million. Sales increased in both sales channels whereby promo sales increased by 21 % and retail by 21 %. The segment had growth in all regions. EBITDA increased by SEK 23.8 million and amounted to SEK 37.1 (13.3) million. The improved result is related to the increased turnover and an improved gross profit margin, but the segment also has higher costs in the form of increased sales, marketing and distribution centers. IFRS 16 had a positive impact of SEK 9.2 million on EBITDA.
GIFTS & HOME FURNISHINGS
Net sales increased 2 % and amounted to SEK 124.5 (121.8) million. Sales increased somewhat in both sales channels. Growth is primarily occurring in the Nordic region excluding Sweden. EBITDA improved slightly compared with last year and amounted to SEK -17.6 (-19.9) million, which is attributable to improved gross profit margin and that IFRS 16 had a positive impact of SEK 2.0 million on EBITDA.
CAPITAL TIED UP
Capital tied up in stock amounted to SEK 3,345.3 million and increased by SEK 535.0 million, compared with last year (SEK 2,810.3 million). The increase is related to the new product lines as well as continued buildup of stock in North America. In addition, the currency exchange rates increased the value by SEK 103.8 million. The Group has a well-balanced stock and the level of service is good. The stock value is expected to be at a higher level even during the coming quarters due to our extended promo range. Stock turnover is on par with last year and amounted to 1.0 (1.0) times.
| SEK million | 2019-03 | 2018-03 |
|---|---|---|
| Raw materials | 48.5 | 34.5 |
| Work in progress | 14.9 | 10.3 |
| Goods in transit | 124.0 | 146.7 |
| Merchandise on stock | 3,157.9 | 2,618.8 |
| Total | 3,345.3 | 2,810.3 |
Accumulated write-down of inventories amounted to SEK 124.5 (106.0) million and write-down related to merchandise on stock amounted to 3.8 (3.9) %.
Accounts receivable amounted to SEK 991.7 (856.5) million where growth is mainly related to the higher turnover.
INVESTMENTS, FINANCING AND LIQUIDITY
This quarter's cash flow from operating activities amounted to SEK -65.1 (6.6) million. The Group's purchases of goods have been higher than last year and the lower cash flow is mainly attributable to the timing of payments of these. Cash flow from investing activities amounted to SEK -38.3 (-39.8) million.
Net debt increased by SEK 922.3 million, of which SEK 633.2 million is attributable to IFRS 16, and amounted to SEK 2,614.5 (1,692.2) million. Net debt to equity ratio and net debt in relation to working capital amounted to 73.7 (54.5) % and 76.5 (57.7) % respectively, see also the note related to IFRS 16 on page 26.
The equity ratio decreased by 5.4 percentage points compared to last year and amounted to 45.9 (51.3) %, where 4.1 percentage points of the decrease are attributable to IFRS 16.
The Group's total credit line as of 31 March amounted to SEK 2,761
million, of which SEK 2,000 million runs until and including March 2022 and USD 28 million has a maturity which runs until and including January 2024. The other SEK 500 million has a term of between three months and six years. The credit facility amount is limited to and dependent on the value of some underlying assets. The funding agreement means that financial ratios (covenants) must be fulfilled in order to maintain the credit facility.
Based on the present forecast, management estimates that the Group will be able to meet these ratios with a satisfactory margin.
PERSONNEL AND ORGANISATION
The number of employees as of 31 March amounted to 2,604 (2,527) of whom 52 % were women and 48 % were men. Of the total number of employees 605 (602) work in production.
The production contained within New Wave Group is attributable to AHEAD (embroidery), Cutter & Buck (embroidery), Dahetra, Kosta Boda, Orrefors, Paris Glove, Seger, Termo and Toppoint.
RELATED PARTY TRANSACTIONS
There are lease agreements with related companies. Related companies to the CEO have bought merchandise and received payments for consulting services performed. In addition, there are transactions with related parties to immaterial values. All transactions are on market terms.
THE PARENT COMPANY
Total income for the first quarter amounted to SEK 32.2 (31.9) million. Result before appropriations and taxes amounted to SEK 2.5 (2.6) million. Net debt amounted to SEK 1,876.5 (1,578.4) million. The Parent company's net financing to subsidiaries amounted to SEK 1,741.9 (1,434.8) million. Cash flow from investing activities amounted to SEK -3.0 (-1.9) million. The balance sheet total amounted to SEK 4,431.4 (3,846.8) million and shareholders' equity, including the equity share of untaxed reserves, to SEK 1,963.8 (1,866.2) million.
ANNUAL GENERAL MEETING
The Annual General Meeting will be held on 17 May at 1.00 p.m. CET in Kosta. The annual report is available at the Group's headquarters in Gothenburg, Sweden, as well as on www.nwg.se.
DIVIDEND
The Group's dividend policy is that 40 % of the Group's results after tax will be distributed over a business cycle. The Board has decided to propose a dividend of SEK 2.00 (1.70) per share, amounting to SEK 132.7 (112.8) million. This proposal corresponds to 37 (32) % of the year's result.
NOMINATION COMMITTEE
The nomination committee for the board election at the 2019 Annual General Meeting is:
- Arne Lööw, representantive for Fjärde AP-fonden
- Torsten Jansson, CEO and representative of Torsten Jansson Förvaltnings AB
- Ulf Hedlundh, representantive of Svolder
For more information about the nomination committee and its work, please see www.nwg.se.
CALENDAR
The company's auditors have not conducted any review of the report for the first quarter of 2019.
The Board of Directors and CEO declare that the interim report gives a true and fair overview of the company's and Group's operations, financial position and earnings, and describes the significant risks and uncertainty factors that the company and the companies included in the Group face.
GOTHENBURG, APRIL 25, 2019 NEW WAVE GROUP AB (PUBL)
OLOF PERSSON Chairman of the Board
M JOHAN WIDERBERG Member of the Board
CHRISTINA BELLANDER Member of the Board
MATS ÅRJES
Member of the Board
TORSTEN JANSSON CEO and Group CEO
FOR MORE INFORMATION, PLEASE CONTACT:
CEO AND GROUP CEO
Torsten Jansson Phone: +46 (0) 31–712 89 01 E-mail: [email protected]
CFO Lars Jönsson Phone: +46 (0) 31–712 89 12 E-mail: [email protected]
This information is information that New Wave Group AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons detailed above, at 7.00 a.m. CET on 25 April 2019.
Team Sunweb
From the start of the 2019 season, Team Sunweb and Craft Sportswear will enter a long-term partnership. The partnership includes race clothing, casual clothing and formal clothing for all riders and staff, including the WorldTour Men, WorldTour Women and Development program, and will run for at least four years.
Orrefors in collaboration with Volvo Cars
CONSOLIDATED INCOME STATEMENT
| SEK million | Note | 3 months Jan - Mar 2019 |
3 months Jan - Mar 2018 |
12 months Jan - Dec 2018 |
12 months Jan - Dec 2017 |
|---|---|---|---|---|---|
| Net sales | 3, 4, 5 | 1 504.9 | 1 272.8 | 6 290.6 | 5 597.3 |
| Goods for resale | -795.3 | -677.5 | -3 359.4 | -3 018.1 | |
| Gross profit | 709.6 | 595.4 | 2 931.2 | 2 579.2 | |
| Other operating income | 17.2 | 15.9 | 74.8 | 51.2 | |
| External costs | 8 | -338.4 | -317.2 | -1 336.4 | -1 128.9 |
| Personnel costs | -283.0 | -246.4 | -1 063.0 | -940.3 | |
| Amortizations, depreciations and write-downs of tangible and intangible fixed assets |
3, 8 | -51.0 | -17.6 | -77.9 | -65.3 |
| Other operating costs | -8.2 | -11.8 | -44.8 | -25.2 | |
| Share of associated companies' result | -0.2 | 0.4 | -1.1 | -1.6 | |
| Operating result | 3 | 46.0 | 18.6 | 482.8 | 469.1 |
| Financial income | 1.3 | 1.5 | 5.5 | 5.1 | |
| Financial expenses | 8 | -15.3 | -11.7 | -46.4 | -57.0 |
| Net financial items | 3 | -14.0 | -10.2 | -40.9 | -51.9 |
| Result before tax | 3 | 32.0 | 8.4 | 441.8 | 417.2 |
| Tax expense | -6.0 | -2.4 | -81.8 | -63.2 | |
| Result for the period | 26.0 | 6.0 | 360.0 | 354.0 | |
| Other comprehensive income: Items that can be reclassified into profit or loss: |
|||||
| Translation differences | 85.4 | 69.9 | 157.3 | -54.2 | |
| Cash flow hedges | 1.2 | 2.3 | 0.5 | 2.2 | |
| Sum | 86.6 | 72.2 | 157.8 | -52.0 | |
| Income tax related to components of other comprehensive income |
-0.3 | -0.5 | -0.1 | -0.5 | |
| Total other comprehensive for the period | 86.3 | 71.7 | 157.7 | -52.5 | |
| Total comprehensive income for the period | 112.3 | 77.7 | 517.6 | 301.5 | |
| Result for the period attributable to: | |||||
| Shareholders of the Parent company | 27.0 | 6.6 | 363.4 | 354.0 | |
| Non-controlling interest | -1.0 | -0.6 | -3.4 | 0.0 | |
| 26.0 | 6.0 | 360.0 | 354.0 | ||
| Total comprehensive income attributable to: Shareholders of the Parent company |
112.9 | 77.8 | 520.2 | 301.9 | |
| Non-controlling interest | |||||
| -0.6 112.3 |
-0.1 77.7 |
-2.6 517.6 |
-0.4 301.5 |
||
| Earnings per share (SEK)* | 0.41 | 0.10 | 5.48 | 5.34 | |
| The average number of outstanding shares* | 66 343 543 | 66 343 543 | 66 343 543 | 66 343 543 | |
| *Earnings per share and the average number of outstanding shares are the same before and after dilution. |
CONSOLIDATED CASH FLOW STATEMENT
| 3 months | 3 months | 12 months | 12 months | ||
|---|---|---|---|---|---|
| Note | Jan - Mar 2019 |
Jan - Mar 2018 |
Jan - Dec 2018 |
Jan - Dec 2017 |
|
| SEK million Operating activities |
|||||
| Operating result | 46.0 | 18.6 | 482.8 | 469.1 | |
| Adjustment for items not included in cash flow | 49.0 | 21.9 | 74.4 | 76.4 | |
| Received interest | 1.3 | 1.5 | 2.2 | 3.7 | |
| Paid interest | -15.3 | -11.6 | -43.2 | -55.5 | |
| Paid income tax | -31.6 | -29.2 | -86.5 | -42.7 | |
| Cash flow from operating activities before changes in working capital |
49.3 | 1.2 | 429.7 | 451.0 | |
| Changes in working capital | |||||
| Increase/decrease of stock | -58.3 | -117.4 | -494.0 | -208.5 | |
| Increase/decrease of current receivables | 126.2 | 140.9 | -27.5 | -119.7 | |
| Increase/decrease of current liabilities | -182.3 | -18.1 | 314.4 | 85.0 | |
| Cash flow from changes in working capital | -114.4 | 5.4 | -207.1 | -243.2 | |
| Cash flow from operating activities | -65.1 | 6.6 | 222.6 | 207.8 | |
| Investing activities | |||||
| Investments in tangible fixed assets | -34.8 | -34.1 | -147.1 | -86.9 | |
| Sales of tangible fixed assets | 4.3 | 0.8 | 4.3 | 5.5 | |
| Investments in intangible fixed assets | -7.8 | -2.5 | -15.4 | -29.4 | |
| Acquisition of financial fixed assets | 0.0 | -1.5 | -2.0 | 0.0 | |
| Raised long-term receivables | 0.0 | 0.0 | -2.9 | 0.0 | |
| Repayment of long-term receivables | 0.0 | -2.5 | 0.0 | 0.2 | |
| Cash flow from investing activities | 3 | -38.3 | -39.8 | -163.2 | -110.6 |
| Cash flow after investing activities | -103.4 | -33.2 | 59.4 | 97.2 | |
| Financial activities | |||||
| Loan raised | 75.3 | 5.1 | 152.1 | 0.0 | |
| Amortization of loan | 0.0 | 0.0 | 0.0 | -16.7 | |
| Amortization of leasing liabilities | -26.1 | 0.0 | 0.0 | 0.0 | |
| Dividend paid to the shareholders of the Parent company | 0.0 | 0.0 | -112.8 | -89.6 | |
| Cash flow from financial activities | 49.2 | 5.1 | 39.3 | -106.3 | |
| Cash flow for the period | -54.2 | -28.1 | 98.7 | -9.1 | |
| Liquid assets at the beginning of the period | 312.2 | 202.4 | 202.4 | 218.9 | |
| Translation differences in liquid assets | 7.0 | 6.2 | 11.1 | -7.5 | |
| Liquid assets at period-end | 265.0 | 180.5 | 312.2 | 202.4 | |
| Liquid assets | |||||
| Cash at bank and in hand | 265.0 | 180.5 | 312.2 | 202.4 | |
CONSOLIDATED BALANCE SHEET
| Note SEK million |
31 Mar 2019 |
31 Mar 2018 |
31 Dec 2018 |
31 Dec 2017 |
|---|---|---|---|---|
| ASSETS | ||||
| Intangible fixed assets | 1 507.7 | 1 410.0 | 1 469.4 | 1 393.9 |
| Tangible fixed assets 8 |
1 238.5 | 444.4 | 587.4 | 415.5 |
| Shares in associated companies Other long-term receivables |
39.1 13.7 |
55.0 13.0 |
39.3 13.5 |
53.3 10.2 |
| Deferred tax assets | 112.4 | 96.9 | 111.1 | 91.5 |
| Total non-current assets 3, 5 |
2 911.3 | 2 019.3 | 2 220.6 | 1 964.5 |
| Stock | 3 345.3 | 2 810.3 | 3 230.9 | 2 643.4 |
| Current tax receivables | 42.3 | 24.5 | 38.1 | 21.2 |
| Accounts receivable | 991.7 | 856.5 | 1 084.1 | 982.8 |
| Other receivables | 82.4 | 99.2 | 90.3 | 62.3 |
| Prepaid expenses and accrued income | 83.3 | 63.4 | 85.2 | 76.5 |
| Liquid assets | 265.0 | 180.5 | 312.2 | 202.4 |
| Total current assets | 4 810.0 | 4 034.4 | 4 840.8 | 3 988.6 |
| TOTAL ASSETS 3, 6 |
7 721.3 | 6 053.7 | 7 061.4 | 5 953.1 |
| EQUITY | ||||
| Share capital | 199.1 | 199.1 | 199.1 | 199.1 |
| Other capital contributions | 219.4 | 219.4 | 219.4 | 219.4 |
| Reserves | 520.8 | 348.7 | 434.9 | 279.4 |
| Retained earnings including result for the period | 2 589.1 | 2 317.7 | 2 561.6 | 2 308.7 |
| Equity attributable to shareholders of the parent company | 3 528.4 | 3 084.9 | 3 415.0 | 3 006.6 |
| Non-controlling interest | 18.2 | 22.0 | 19.2 | 22.6 |
| Total equity | 3 546.6 | 3 106.9 | 3 434.2 | 3 029.2 |
| LIABILITIES | ||||
| Long-term interest-bearing liabilities 7, 8 |
2 450.6 | 1 799.8 | 1 795.5 | 1 757.5 |
| Pension provisions | 18.7 | 17.7 | 18.3 | 16.5 |
| Other provisions | 1.6 | 1.9 | 3.1 | 2.0 |
| Deferred tax liabilities Total non-current liabilities |
147.7 2 618.6 |
132.6 1 952.0 |
144.6 1 961.6 |
129.9 1 905.9 |
| Short-term interest-bearing liabilities 7, 8 |
428.9 | 73.0 | 347.7 | 82.2 |
| Accounts payable | 668.6 | 545.8 | 752.2 | 536.7 |
| Current tax liabilities | 57.7 | 35.3 | 78.0 | 53.3 |
| Other liabilities | 143.0 | 127.2 | 172.3 | 108.7 |
| Accrued expenses and prepaid income | 257.9 | 213.5 | 315.4 | 237.1 |
| Total current liabilities | 1 556.1 | 994.9 | 1 665.6 | 1 018.0 |
| Total liabilities 3, 6 |
4 174.7 | 2 946.8 | 3 627.2 | 2 923.9 |
| TOTAL EQUITY AND LIABILITIES | 7 721.3 | 6 053.7 | 7 061.4 | 5 953.1 |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
| SEK million | Share capital | Other capital contributions |
Reserves | Retained earnings incl. result for the period |
Total | Non controlling interest |
Total equity |
|---|---|---|---|---|---|---|---|
| Opening balance 2018-01-01 | 199.1 | 219.4 | 279.4 | 2 308.7 | 3 006.6 | 22.6 | 3 029.2 |
| Result for the period | 6.6 | 6.6 | -0.6 | 6.0 | |||
| Other comprehensive income | |||||||
| Translation differences | 69.9 | 69.9 | 69.9 | ||||
| Cash flow hedges | 2.3 | 2.3 | 2.3 | ||||
| Reclassification of previous years' cash flow hedge | -2.2 | 2.2 | 0.0 | 0.0 | |||
| Income tax related to components of other comprehensive income | -0.5 | -0.5 | -0.5 | ||||
| Transactions with shareholders | |||||||
| Dividends to shareholders of the Parent company | 0.0 | 0.0 | 0.0 | ||||
| Closing balance 2018-03-31 | 199.1 | 219.4 | 348.9 | 2 317.5 | 3 084.9 | 22.0 | 3 106.9 |
| SEK million | Share capital | Other capital contributions |
Reserves | Retained earnings incl. result for the period |
Total | Non controlling interest |
Total equity |
|---|---|---|---|---|---|---|---|
| Opening balance 2019-01-01 | 199.1 | 219.4 | 434.9 | 2 561.6 | 3 415.0 | 19.2 | 3 434.2 |
| Result for the period | 27.0 | 27.0 | -1.0 | 26.0 | |||
| Other comprehensive income | |||||||
| Translation differences | 85.4 | 85.4 | 85.4 | ||||
| Cash flow hedges | 1.2 | 1.2 | 1.2 | ||||
| Reclassification of previous years' cash flow hedge | -0.5 | 0.5 | 0.0 | 0.0 | |||
| Income tax related to components of other comprehensive income | -0.3 | -0.3 | -0.3 | ||||
| Transactions with shareholders | |||||||
| Dividends to shareholders of the Parent company | 0,0 | 0,0 | 0,0 | ||||
| Closing balance 2019-03-31 | 199.1 | 219.4 | 520.8 | 2 589.1 | 3 528.4 | 18.2 | 3 546.6 |
| Accumulated translation differences in equity | Jan - Mar 2019 |
Jan - Mar 2018 |
| Accumulated translation differences at end of period | 527.0 | 354.2 |
|---|---|---|
| Translation differences in foreign Group companies for the period | 85.4 | 69.9 |
| Accumulated translation differences at the beginning of the period | 441.6 | 284.3 |
FINANCIAL KEY FIGURES
| 3 months Jan - Mar 2019 |
3 months Jan - Mar 2018 |
12 months Jan - Dec 2018 |
12 months Jan - Dec 2017 |
|
|---|---|---|---|---|
| Net sales growth, % | 18.2 | 0.7 | 12.4 | 6.9 |
| Number of employees | 2 604 | 2 527 | 2 605 | 2 495 |
| Gross profit margin, % | 47.1 | 46.8 | 46.6 | 46.1 |
| Operating margin before depreciation, % | 6.4 | 2.8 | 8.9 | 9.5 |
| Operating margin, % | 3.1 | 1.5 | 7.7 | 8.4 |
| Profit margin, % | 2.1 | 0.7 | 7.0 | 7.5 |
| Net margin, % | 1.7 | 0.5 | 5.7 | 6.3 |
| Return on shareholders' equity, % | 3.0 | 0.8 | 11.2 | 12.2 |
| Return on capital employed, % | 3.2 | 1.6 | 9.4 | 9.8 |
| Equity ratio, % | 45.9 | 51.3 | 48.6 | 50.9 |
| Net debt, SEK million | 2 614.5 | 1 692.2 | 1 831.0 | 1 637.3 |
| Net debt to equity ratio, % | 73.7 | 54.5 | 53.3 | 54.1 |
| Net debt in relation to working capital, % | 76.5 | 57.7 | 57.0 | 54.7 |
| Interest coverage ratio, times | 3.1 | 1.7 | 10.5 | 8.3 |
| Capital turnover, times | 0.8 | 0.9 | 1.0 | 1.0 |
| Stock turnover, times | 1.0 | 1.0 | 1.1 | 1.2 |
| Cash flow before investments, SEK million | -65.1 | 6.6 | 222.6 | 207.8 |
| Net investments, SEK million | -38.3 | -39.8 | -163.2 | -110.6 |
| Cash flow after investments, SEK million | -103.4 | -33.2 | 59.4 | 97.2 |
| Shareholders' equity per share, before and after dilution, SEK | 53.46 | 46.83 | 51.76 | 45.66 |
| Share price as at December 31, SEK | - | - | 47.40 | 54.50 |
| Dividend/share, SEK | - | - | 1.70 | 1.35 |
| P/E-ratio | - | - | 8.70 | 10.20 |
| P/S-ratio | - | - | 0.50 | 0.60 |
| Share price/Shareholders' equity | - | - | 0.90 | 1.20 |
For definition of alternative performance measures, please go to p. 30.
INCOME STATEMENT
| SEK million | 3 months Jan - Mar 2019 |
3 months Jan - Mar 2018 |
12 months Jan - Dec 2018 |
12 months Jan - Dec 2017 |
|---|---|---|---|---|
| Net sales | 25.2 | 22.3 | 105.3 | 69.8 |
| Other operating income | 7.0 | 9.5 | 40.4 | 22.4 |
| Total income | 32.2 | 31.9 | 145.6 | 92.2 |
| External costs | -17.7 | -15.8 | -77.1 | -65.2 |
| Personnel costs | -8.9 | -8.7 | -35.7 | -29.3 |
| Amortizations, depreciations and write-downs of tangible and intangible fixed assets |
-1.4 | -1.5 | -6.4 | -5.2 |
| Other operating costs | -6.3 | -8.5 | -32.6 | -19.2 |
| Operating result | -2.1 | -2.6 | -6.2 | -26.7 |
| Net income from shares in Group companies | 0.4 | -0.2 | 131.4 | 387.2 |
| Changes in write-downs of financial fixed assets | 0.0 | 0.0 | 9.9 | -76.5 |
| Financial income | 13.1 | 15.7 | 49.4 | 66.5 |
| Financial expenses | -8.9 | -10.4 | -33.5 | -51.7 |
| Net financial items | 4.6 | 5.2 | 157.3 | 325.6 |
| Result before appropriations and tax | 2.5 | 2.6 | 151.1 | 298.9 |
| Appropriations | 0.0 | 0.0 | 56.9 | 61.0 |
| Tax expense | -0.4 | 0.0 | -14.6 | -9.9 |
| Result for the period | 2.1 | 2.6 | 193.3 | 350.0 |
Total comprehensive income for the period corresponds with result for the period.
CASH FLOW STATEMENT
| SEK million | 3 months Jan - Mar 2019 |
3 months Jan - Mar 2018 |
12 months Jan - Dec 2018 |
12 months Jan - Dec 2017 |
|---|---|---|---|---|
| Operating activities | ||||
| Operating result | -2.1 | -2.6 | -6.2 | -26.7 |
| Adjustment for items not included in cash flow | 1.4 | 1.5 | 6.4 | 5.2 |
| Received dividends | 0.4 | 0.0 | 0.0 | 42.7 |
| Received interest | 13.1 | 15.7 | 49.4 | 66.5 |
| Paid interest | -8.9 | -10.4 | -33.5 | -51.7 |
| Paid income tax | -2.4 | -7.0 | -16.0 | -5.8 |
| Cash flow from operating activities before changes in working capital |
1.6 | -2.8 | 0.2 | 30.2 |
| Changes in working capital | ||||
| Increase/decrease in current receivables | -68.0 | -23.3 | -197.7 | 298.7 |
| Increase/decrease in current liabilities | -69.0 | 19.3 | 271.8 | -116.2 |
| Cash flow from changes in working capital | -137.0 | -4.0 | 74.1 | 182.5 |
| Cash flow from operating activities | -135.4 | -6.8 | 74.3 | 212.8 |
| Investing activities | ||||
| Shareholders contribution to Group companies | 0.0 | 0.0 | -39.5 | -56.4 |
| Repayment of shareholders contribution from Group companies | 0.0 | 0.0 | 9.4 | 0.0 |
| Shareholders contribution to associated companies | 0.0 | -1.5 | -2.0 | 0.0 |
| Investments in tangible fixed assets | 0.0 | -0.3 | -0.5 | -0.7 |
| Investments in intangible fixed assets | 0.0 | -0.1 | -1.8 | -6.4 |
| Acquisition of shares | -14.0 | 0.0 | 0.0 | 0.0 |
| Long-term loan given to Group companies | 11.1 | 0.0 | -50.1 | 0.0 |
| Raised long-term receivables | -0.1 | 0.0 | -2.0 | 0.0 |
| Cash-flow from investing activities | -3.0 | -1.9 | -86.6 | -63.5 |
| Cash-flow after investing activities | -138.4 | -8.7 | -12.3 | 149.3 |
| Financial activities | ||||
| Loan raised | 134.3 | 12.8 | 128.3 | 0.0 |
| Amortization of loan | 0.0 | 0.0 | 0.0 | -62.9 |
| Dividend paid to shareholders of the Parent company | 0.0 | 0.0 | -112.8 | -89.6 |
| Cash-flow from financial activities | 134.3 | 12.8 | 15.5 | -152.5 |
| Cash flow for the period | -4.1 | 4.1 | 3.2 | -3.2 |
| Liquid assets at the beginning of the period | 4.5 | 1.3 | 1.3 | 4.5 |
| Liquid assets at period-end | 0.4 | 5.4 | 4.5 | 1.3 |
| Liquid assets | ||||
| Cash at bank and in hand | 0.4 | 5.4 | 4.5 | 1.3 |
BALANCE SHEET
| SEK million Note ASSETS |
31 Mar 2019 |
31 Mar 2018 |
31 Dec 2018 |
31 Dec 2017 |
|---|---|---|---|---|
| Intangible fixed assets | 9.9 | 13.1 | 11.0 | 14.2 |
| Tangible fixed assets | 3.0 | 4.1 | 3.3 | 4.1 |
| Shares in Group companies | 2 297.1 | 2 123.3 | 2 324.6 | 1 517.7 |
| Shares in associated companies | 43.0 | 56.0 | 43.0 | 54.5 |
| Receivables on Group companies | 370.4 | 298.5 | 370.4 | 903.2 |
| Other long-term receivables | 4.5 | 4.0 | 4.5 | 2.4 |
| Total fixed assets | 2 727.9 | 2 498.9 | 2 756.8 | 2 496.1 |
| Receivables on Group companies | 1 663.7 | 1 304.0 | 1 563.7 | 1 283.2 |
| Current tax receivable | 0.7 | 3.2 | 4.0 | 0.0 |
| Other receivables | 29.9 | 29.5 | 29.7 | 25.2 |
| Prepaid expenses and accrued income | 8.8 | 5.8 | 9.5 | 7.6 |
| Liquid assets | 0.4 | 5.4 | 4.5 | 1.3 |
| Total current assets | 1 703.4 | 1 347.9 | 1 611.3 | 1 317.3 |
| TOTAL ASSETS | 4 431.4 | 3 846.8 | 4 368.1 | 3 813.5 |
| EQUITY | ||||
| Share capital | 199.0 | 199.1 | 199.1 | 199.1 |
| Restricted reserves | 249.4 | 249.4 | 249.4 | 249.4 |
| Total restricted equity | 448.4 | 448.5 | 448.5 | 448.5 |
| Retained earnings | 1 427.8 | 1 347.3 | 1 234.5 | 997.3 |
| Share premium reserve | 48.0 | 48.0 | 48.0 | 48.0 |
| Result for the period | 2.1 | 2.6 | 193.3 | 350.0 |
| Total unrestricted equity | 1 478.0 | 1 397.9 | 1 475.8 | 1 395.3 |
| Total equity | 1 926.4 | 1 846.4 | 1 924.3 | 1 843.8 |
| Untaxed reserves | 47.9 | 25.4 | 47.9 | 25.4 |
| LIABILITIES | ||||
| Long-term interest-bearing liabilities 7 |
1 574.7 | 1 521.8 | 1 429.3 | 1 506.5 |
| Total non-current liabilities | 1 574.7 | 1 521.8 | 1 429.3 | 1 506.5 |
| Short-term interest-bearing liabilities 7 |
302.2 | 62.0 | 300.5 | 61.3 |
| Accounts payable | 275.8 | 214.1 | 366.5 | 217.1 |
| Liabilities to Group companies | 292.2 | 167.7 | 268.5 | 146.1 |
| Current tax liability | 3.1 | 1.9 | 8.3 | 5.7 |
| Other liabilities | 3.6 | 1.2 | 16.2 | 1.1 |
| Accrued expenses and prepaid income | 5.5 | 6.2 | 6.5 | 6.4 |
| Total current liabilities | 882.4 | 453.3 | 966.6 | 437.8 |
| Total liabilities | 2 457.1 | 1 975.1 | 2 395.8 | 1 944.3 |
| TOTAL EQUITY AND LIABILITIES | 4 431.4 | 3 846.8 | 4 368.1 | 3 813.5 |
CHANGES IN EQUITY
| SEK million | Share capital | Restricted reserves |
Retained earnings |
Share premium reserve |
Result for the period |
Total equity |
|---|---|---|---|---|---|---|
| Opening balance 2018-01-01 | 199.1 | 249.4 | 997.3 | 48.0 | 350.0 | 1 843.8 |
| Transfer according to decision at AGM | 350.0 | -350.0 | 0.0 | |||
| Result for the period | 2.6 | 2.6 | ||||
| Total changes excluding transactions with shareholders |
0.0 | 0.0 | 0.0 | 0.0 | 2.6 | 2.6 |
| Dividends | 0.0 | 0.0 | ||||
| Closing balance 2018-03-31 | 199.1 | 249.4 | 1 347.3 | 48.0 | 2.6 | 1 846.4 |
| SEK million | Share capital | Restricted reserves |
Retained earnings |
Share premium reserve |
Result for the period |
Total equity |
|---|---|---|---|---|---|---|
| Opening balance 2019-01-01 | 199.1 | 249.4 | 1 234.5 | 48.0 | 193.3 | 1 924.3 |
| Transfer according to decision at AGM | 193.3 | -193.3 | 0.0 | |||
| Result for the period | 2.1 | 2.1 | ||||
| Total changes excluding transactions with shareholders |
0.0 | 0.0 | 0.0 | 0.0 | 2.1 | 2.1 |
| Dividends | 0.0 | 0.0 | ||||
| Closing balance 2019-03-31 | 199.1 | 249.4 | 1 427.8 | 48.0 | 2.1 | 1 926.4 |
NOTES NOTE 1 - ACCOUNTING POLICIES
This report is prepared in accordance with IAS 34 Interim Financial Reporting and the Annual Accounts Act. The interim report for the Parent Company has been prepared according the Annual Accounts Act as well as RFR 2 - Reporting for Legal Entities.
New accounting policies for 2019 are described in the Annual Report for 2018, Note 1 Accounting Policies under the section New and amended accounting policies, p. 70-71. Applied accounting policies are otherwise consistent with the 2018 Annual Report.
NEW ACCOUNTING POLICIES FOR 2019
Starting from January 1, 2019, New Wave Group applies IFRS 16 Leases. The Group has applied the simplified transition method and has not recalculated the comparative figures. The simplification rule, that the right of use asset shall correspond to the lease liability, has been applied at the transition. Hence, no transition effect is recorded in the equity of the Group. Complete accounting policies for leasing are presented in the 2018 Annual Report.
The Parent company has chosen to apply the exemption rules in RFR 2, which imply that all lease agreements will continue to be recorded as operational leases.
NOTE 2 - RISKS AND RISK CONTROL
New Wave Group's international operations mean that it is continuously exposed to various financial risks. The financial risks are interest rate risks, currency risks and liquidity and credit risks. In order to minimize the effect these risks may have on earnings, the Group has a financial policy. For a more detailed description of the Group's risk management please refer to the Annual Report 2018, note 17, p. 92-98. The annual report is available at the Group's headquarters in Gothenburg, Sweden, as well as on www.nwg.se.
The Group's policy is to have short fixed-rate interest periods, which means that fluctuating short-term interest rates have a rapid impact on the Group's net interest income.
The Group's reported risks are deemed to be essentially unchanged.
NOTE 3 - REPORTING OF OPERATING SEGMENTS
NET SALES AND EBITDA PER OPERATING SEGMENT
| SEK million | 3 months | 3 months | 12 months | 12 months |
|---|---|---|---|---|
| Corporate | Jan - Mar 2019 |
Jan - Mar 2018 |
Jan - Dec 2018 |
Jan - Dec 2017 |
| Net sales | 737.6 | 620.5 | 3 069.0 | 2 648.7 |
| EBITDA | 77.4 | 42.8 | 353.1 | 289.7 |
| Sports & Leisure | ||||
| Net sales | 642.8 | 530.5 | 2 573.7 | 2 311.5 |
| EBITDA | 37.1 | 13.3 | 218.2 | 230.3 |
| Gifts & Home Furnishings | ||||
| Net sales | 124.5 | 121.8 | 647.8 | 637.1 |
| EBITDA | -17.6 | -19.9 | -10.6 | 14.4 |
| Total net sales | 1 504.9 | 1 272.8 | 6 290.6 | 5 597.3 |
| Total EBITDA | 97.0 | 36.2 | 560.7 | 534.4 |
| Total EBITDA | 97.0 | 36.2 | 560.7 | 534.4 |
| Amortizations, depreciations and write-downs | -51.0 | -17.6 | -77.9 | -65.3 |
| Net financial items | -14.0 | -10.2 | -40.9 | -51.9 |
| Result before tax | 32.0 | 8.4 | 441.8 | 417.2 |
ASSETS AND LIABILITIES PER OPERATING SEGMENTS
| SEK million | Total assets |
Fixed assets* |
Deferred tax assets |
Net investments |
Amortizations, depreciations and write-downs |
Total liabilities |
|---|---|---|---|---|---|---|
| 31 Mar 2019 | ||||||
| Corporate | 4 013.1 | 1 104.4 | 37.9 | -22.4 | -30.7 | 2 629.4 |
| Sports & Leisure | 3 029.4 | 1 337.5 | 52.1 | -13.7 | -18.6 | 1 075.1 |
| Gifts & Home Furnishings | 678.8 | 304.3 | 22.4 | -2.1 | -1.8 | 470.2 |
| Total | 7 721.3 | 2 746.2 | 112.4 | -38.3 | -51.0 | 4 174.7 |
| 31 Mar 2018 | ||||||
| Corporate | 3 160.5 | 611.5 | 35.6 | -24.1 | -8.9 | 1 849.4 |
| Sports & Leisure | 2 288.9 | 1 033.5 | 49.7 | -8.0 | -7.5 | 640.3 |
| Gifts & Home Furnishings | 604.3 | 209.4 | 11.6 | -7.7 | -1.2 | 457.1 |
| Total | 6 053.7 | 1 854.4 | 96.9 | -39.8 | -17.6 | 2 946.8 |
| 31 Dec 2018 | ||||||
| Corporate | 3 564.8 | 682.9 | 38.4 | -101.0 | -40.4 | 2 274.8 |
| Sports & Leisure | 2 757.3 | 1 087.5 | 50.1 | -33.9 | -32.6 | 860.2 |
| Gifts & Home Furnishings | 739.3 | 286.4 | 22.5 | -28.2 | -4.9 | 492.2 |
| Total | 7 061.4 | 2 056.8 | 111.1 | -163.2 | -77.9 | 3 627.2 |
* Financial fixed assets are not included
NOTE 4 - NET SALES PER SALES CHANNEL
| SEK million | 3 months Jan - Mar |
3 months Jan - Mar |
12 months Jan - Dec |
12 months Jan - Dec |
|---|---|---|---|---|
| Sales channel promo | 2019 | 2018 | 2018 | 2017 |
| Corporate | 719.8 | 603.5 | 2 981.4 | 2 575.6 |
| Sports & Leisure | 174.9 | 145.1 | 690.7 | 587.1 |
| Gifts & Home Furnishings | 15.9 | 15.1 | 85.6 | 84.1 |
| Total | 910.6 | 763.7 | 3 757.7 | 3 246.8 |
| Sales channel retail | ||||
| Corporate | 17.8 | 17.0 | 87.7 | 73.1 |
| Sports & Leisure | 467.9 | 385.4 | 1 883.0 | 1 724.4 |
| Gifts & Home Furnishings | 108.6 | 106.7 | 562.1 | 553.0 |
| Total | 594.3 | 509.1 | 2 532.8 | 2 350.5 |
| Total net sales | 1 504.9 | 1 272.8 | 6 290.6 | 5 597.3 |
NOTE 5 - REPORTING OF GEOGRAPHIC AREAS
NET SALES PER GEOGRAPHIC AREA
| SEK million | 3 months Jan - Mar 2019 |
Share of net sales |
3 months Jan - Mar 2018 |
Share of net sales |
Change SEK million |
Change % |
|---|---|---|---|---|---|---|
| USA | 375.7 | 25% | 313.4 | 25% | 62.3 | 20% |
| Sweden | 328.4 | 22% | 296.1 | 23% | 32.3 | 11% |
| Central Europe | 260.9 | 17% | 224.1 | 18% | 36.9 | 16% |
| Nordic countries excl. Sweden | 195.2 | 13% | 163.5 | 13% | 31.7 | 19% |
| Southern Europe | 190.1 | 13% | 158.9 | 12% | 31.2 | 20% |
| Other countries | 154.5 | 10% | 116.9 | 9% | 37.6 | 32% |
| Total | 1 504.9 | 100% | 1 272.8 | 100% | 232.1 | 18% |
| SEK million | 12 months Jan - Dec 2018 |
Share of net sales |
12 months Jan - Dec 2017 |
Share of net sales |
Change SEK million |
Change % |
|---|---|---|---|---|---|---|
| USA | 1 579.7 | 25% | 1 423.7 | 25% | 156.0 | 11% |
| Sweden | 1 529.9 | 24% | 1 463.8 | 26% | 66.1 | 5% |
| Central Europe | 986.4 | 16% | 891.1 | 16% | 95.3 | 11% |
| Nordic countries excl. Sweden | 807.1 | 13% | 727.7 | 13% | 79.4 | 11% |
| Southern Europe | 716.5 | 11% | 630.8 | 11% | 85.7 | 14% |
| Other countries | 670.9 | 11% | 460.2 | 8% | 210.7 | 46% |
| Total | 6 290.6 | 100% | 5 597.3 | 100% | 693.3 | 12% |
FIXED ASSETS AND DEFERRED TAX ASSETS PER GEOGRAPHIC AREA
| SEK million | 31 Mar 2019 Fixed assets* |
Deferred tax assets |
31 Mar 2018 Fixed assets* |
Deferred tax assets |
31 Dec 2018 Fixed assets* |
Deferred tax assets |
|---|---|---|---|---|---|---|
| USA | 1 159.8 | 55.4 | 930.8 | 44.7 | 988.2 | 53.8 |
| Sweden | 673.6 | 16.3 | 499.4 | 14.3 | 593.0 | 16.8 |
| Central Europe | 363.9 | 13.4 | 226.0 | 22.9 | 230.7 | 12.9 |
| Nordic countries excl. Sweden | 258.7 | 3.9 | 39.1 | 4.0 | 63.1 | 4.8 |
| Southern Europe | 177.9 | 17.5 | 101.6 | 5.5 | 140.0 | 17.1 |
| Other countries | 112.3 | 5.9 | 57.5 | 5.5 | 41.9 | 5.7 |
| Total | 2 746.2 | 112.4 | 1 854.4 | 96.9 | 2 056.8 | 111.1 |
* Fixed assets classified as financial assets are not included.
NOTE 6 - FINANCIAL INSTRUMENTS
| SEK million | 31 Mar 2019 |
31 Mar 2018 |
31 Dec 2018 |
31 Dec 2017 |
|---|---|---|---|---|
| Assets at fair value | 0.0 | 6.7 | 0.0 | 2.5 |
| Assets at amortised cost | 1 338.5 | 1 137.5 | 1 485.2 | 1 254.8 |
| Total financial assets | 1 338.5 | 1 144.2 | 1 485.2 | 1 257.3 |
| Liabilities at fair value | 1.2 | 1.3 | 1.2 | 1.3 |
| Liabilities at amortised cost | 3 940.7 | 2 749.6 | 3 373.9 | 2 715.1 |
| Total financial liabilites | 3 941.9 | 2 750.9 | 3 375.1 | 2 716.4 |
Financial instruments are measured at fair value or amortised cost according to classification in the balance sheet. Financial instruments include, in addition to financial net debt, also accounts receivable and accounts payable. Financial instruments measured at fair value in the balance sheet belongs to level two or three in IFRS 13 hierarchy.
NOTE 7 - PLEDGED ASSETS AND CONTINGENT LIABILITIES
| GROUP | ||||
|---|---|---|---|---|
| Pledged assets | 31 Mar | 31 Mar | 31 Dec | 31 Dec |
| SEK million | 2019 | 2018 | 2018 | 2017 |
| Floating charges | 657.5 | 537.5 | 537.5 | 543.5 |
| Property mortgages | 175.4 | 190.3 | 171.8 | 183.2 |
| Net assets in Group companies | 3 034.5 | 2 844.0 | 3 158.1 | 2 152.0 |
| Shares in associated companies | 8.3 | 0.0 | 0.0 | 0.0 |
| Stock and accounts receivable | 693.4 | 420.8 | 521.0 | 465.9 |
| Total | 4 569.1 | 3 992.7 | 4 388.5 | 3 344.7 |
| Contingent liabilities | 31 Mar | 31 Mar | 31 Dec | 31 Dec |
| SEK million | 2019 | 2018 | 2018 | 2017 |
| Duty guarantees | 10.0 | 14.5 | 10.0 | 16.3 |
| Rent guarantees | 190.7 | 109.2 | 189.1 | 104.8 |
| PRI | 2.0 | 2.0 | 2.0 | 2.0 |
| Other guarantees | 0.4 | 2.5 | 0.4 | 1.9 |
| Guarantees for associated companies | 6.0 | 6.0 | 6.0 | 6.0 |
| Total | 209.1 | 134.2 | 207.5 | 131.0 |
| PARENT COMPANY | ||||
| Pledged assets | ||||
| SEK million | 31 Mar 2019 |
31 Mar 2018 |
31 Dec 2018 |
31 Dec 2017 |
| Floating charges | 30.0 | 30.0 | 30.0 | 30.0 |
| Shares in Group companies | 1 771.4 | 1 758.0 | 1 771.4 | 1 152.3 |
| Shares in associated companies | 8.3 | 8.3 | 8.3 | 8.3 |
| Total | 1 809.7 | 1 796.3 | 1 809.7 | 1 190.6 |
| Contingent liabilities | ||||
| SEK million | 31 Mar | 31 Mar | 31 Dec | 31 Dec |
| 2019 | 2018 | 2018 | 2017 | |
| Guarantees for Group companies | 907.0 | 704.6 | 940.1 | 671.5 |
| Guarantees for associated companies | 6.0 | 0.0 | 0.0 | 0.0 |
| Total | 913.0 | 704.6 | 940.1 | 671.5 |
NOTE 8 - IFRS 16 LEASING
Presented below is the impact IFRS 16 has had on the financial reports for the period.
| Consolidated balance sheet | 31 Mar 2019 |
of which effect from IFRS 16 |
31 Mar 2019 excl. effect from IFRS 16 |
|---|---|---|---|
| Tangible fixed assets | 1 238.5 | 631.2 | 607.3 |
| Total equity | 3 546.6 | -2.0 | 3 548.6 |
| Long-term interest-bearing liabilities | 2 450.6 | 530.7 | 1 919.9 |
| Short-term interest-bearing liabilities | 428.9 | 102.5 | 326.4 |
| Consolidated income statement | Jan - Mar 2019 |
of which effect from IFRS 16 |
Jan - Mar 2019 excl. effect from IFRS 16 |
| External costs | -338.4 | 30.6 | -369.0 |
| Amortizations, depreciations and write-downs of tangible and intangible fixed assets | -51.0 | -28.1 | -22.9 |
| Financial expenses | -15.3 | -4.5 | -10.8 |
| Total | -404.7 | -2.0 | -402.7 |
| EBITDA per operating segment | Jan - Mar 2019 |
of which effect from IFRS 16 |
Jan - Mar 2019 excl. effect from IFRS 16 |
| Corporate | 77.4 | 19.4 | 58.0 |
| Sports & Leisure | 37.1 | 9.2 | 28.0 |
| Gifts & Home Furnishings | -17.6 | 2.0 | -19.6 |
| Total | 97.0 | 30.6 | 66.4 |
| Financial key figures | Jan - Mar 2019 |
of which effect from IFRS 16 |
Jan - Mar 2019 excl. effect from IFRS 16 |
| Operating margin before depreciation, % | 6.4 | 2.0 | 4.4 |
| Net debt, SEK million | 2 614.5 | 633.2 | 1 981.3 |
| Net debt to equity ratio, % | 73.7 | 17.9 | 55.8 |
| Net debt in relation to working capital, % | 76.5 | 18.5 | 58.0 |
| Interest coverage ratio, times Equity ratio, % |
3.1 45.9 |
-1.1 -4.1 |
4.2 50.0 |
QUARTERLY CONSOLIDATED INCOME STATEMENTS
SEK million
| 2019 | 2018 | 2017 | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Quarter | Q1 | Q4 | Q3 | Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | |||
| Net sales | 1 504.9 | 1 943.4 | 1 551.2 | 1 523.2 | 1 272.8 | 1 630.3 | 1 331.1 | 1 371.7 | 1 264.2 | |||
| Goods for resale | -795.3 | -1 042.3 | -835.3 | -804.2 | -677.5 | -886.8 | -692.8 | -745.7 | -692.8 | |||
| Gross profit | 709.6 | 901.1 | 715.8 | 719.0 | 595.4 | 743.5 | 638.2 | 626.0 | 571.4 | |||
| Gross profit margin % | 47.1 | 46.4 | 46.1 | 47.2 | 46.8 | 45.6 | 47.9 | 45.6 | 45.2 | |||
| Other operating income | 28.3 | 19.3 | 11.3 | 15.9 | 22.9 | 10.4 | 7.0 | 10.9 | ||||
| External costs | -390.6 | -323.5 | -305.1 | -317.2 | -304.9 | -265.4 | -270.1 | -288.6 | ||||
| Personnel costs | -338.4 -283.0 |
-298.0 | -257.7 | -260.9 | -246.4 | -262.2 | -217.1 | -233.0 | -228.1 | |||
| Depreciations and write-downs | -51.0 | -21.6 | -20.2 | -18.5 | -17.6 | -18.2 | -16.4 | -15.7 | -15.0 | |||
| Other operating costs | -8.2 | -9.8 | -15.0 | -8.3 | -11.8 | -6.1 | -7.4 | -3.9 | -7.8 | |||
| Share of associated companies' result | -0.2 | 0.1 | -1.3 | -0.3 | 0.4 | -2.5 | 0.6 | 0.2 | 0.4 | |||
| Operating result | 46.0 | 209.4 | 117.5 | 137.3 | 18.6 | 172.5 | 143.0 | 110.5 | 43.2 | |||
| Financial income | 1.3 | 1.5 | 0.7 | 1.8 | 1.5 | 1.3 | 1.6 | 1.0 | 1.3 | |||
| Financial expenses | -15.3 | -14.2 | -12.3 | -8.2 | -11.7 | -14.3 | -14.8 | -14.1 | -13.8 | |||
| Result before tax | 32.0 | 196.6 | 105.9 | 130.9 | 8.4 | 159.4 | 129.8 | 97.4 | 30.7 | |||
| Tax expense | -6.0 | -37.7 | -17.5 | -24.2 | -2.4 | -12.6 | -24.5 | -20.3 | -5.8 | |||
| Result for the period | 26.0 | 158.9 | 88.4 | 106.8 | 6.0 | 146.8 | 105.3 | 77.0 | 24.9 | |||
| Total other comprehensive income for the period |
86.3 | 2.7 | -37.8 | 121.1 | 71.7 | 45.3 | -43.3 | -42.4 | -12.2 | |||
| Total comprehensive income for the period | 112.3 | 161.6 | 50.5 | 227.9 | 77.7 | 192.1 | 62.0 | 34.7 | 12.7 | |||
| Earnings per share before and after dilution (SEK)* |
0.41 | 2.42 | 1.36 | 1.60 | 0.10 | 2.20 | 1.60 | 1.16 | 0.38 | |||
| 2016 | 2015 | 2014 | ||||||||||
| Quarter | Q4 | Q3 | Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | Q4 | Q3 | Q2 | Q1 |
| Net sales | 1 548.6 | 1 300.4 | 1 257.3 | 1 130.8 | 1 405.3 | 1 272.0 | 1 191.3 | 1 096.1 | 1 259.5 | 1 122.3 | 983.3 | 908.5 |
| Goods for resale | -832.3 | -693.3 | -685.0 | -616.3 | -773.5 | -697.8 | -659.1 | -595.7 | -669.6 | -621.9 | -531.8 | -497.7 |
| Gross profit | 716.3 | 607.1 | 572.3 | 514.5 | 631.8 | 574.2 | 532.2 | 500.4 | 589.9 | 500.4 | 451.5 | 410.8 |
| Gross profit margin % | 46.3 | 46.7 | 45.5 | 45.5 | 45.0 | 45.1 | 44.7 | 45.7 | 46.8 | 44.6 | 45.9 | 45.2 |
| Other operating income | 14.9 | 14.5 | 12.2 | 9.4 | 8.0 | 22.1 | 7.8 | 9.3 | 10.1 | 5.1 | 5.4 | 7.1 |
| External costs | -300.1 | -268.5 | -249.6 | -279.8 | -284.0 | -273.0 | -258.9 | -270.1 | -260.5 | -216.6 | -216.9 | -229.5 |
| Personnel costs | -242.9 | -208.3 | -213.0 | -217.4 | -231.5 | -202.8 | -212.0 | -205.3 | -204.7 | -174.8 | -176.7 | -179.5 |
| Depreciations and write-downs | -15.2 | -14.1 | -13.4 | -13.2 | -14.2 | -13.7 | -14.3 | -14.9 | -14.2 | -14.4 | -13.2 | -12.4 |
| Other operating costs | -6.2 | -5.8 | -8.1 | -5.6 | -1.7 | -9.3 | -6.7 | -18.5 | -7.4 | -4.1 | -2.6 | -2.4 |
| Share of associated companies' result | 0.2 | 0.0 | -0.2 | 0.2 | 0.0 | -1.2 | 0.6 | 0.9 | -1.0 | 0.1 | 0.5 | 0.0 |
| Operating result | 167.0 | 124.9 | 100.2 | 8.1 | 108.4 | 96.3 | 48.7 | 1.8 | 112.2 | 95.7 | 48.0 | -5.9 |
| Financial income | 0.0 | 1.0 | 0.9 | 1.2 | 0.7 | 1.4 | 3.2 | 1.9 | 1.2 | 1.1 | 1.2 | 1.4 |
| Financial expenses | -15.9 | -16.4 | -15.7 | -15.0 | -28.6 | -19.0 | -16.9 | -17.0 | -14.5 | -12.1 | -10.6 | -9.7 |
| Result before tax | 151.1 | 109.5 | 85.4 | -5.7 | 80.5 | 78.7 | 35.0 | -13.3 | 98.9 | 84.7 | 38.6 | -14.2 |
| Tax expense | -23.3 | -23.0 | -18.4 | 1.1 | -17.2 | -13.6 | -7.2 | 2.4 | -7.0 | -17.8 | -9.2 | 2.9 |
| Result for the period | 127.8 | 86.5 | 67.0 | -4.6 | 63.3 | 65.1 | 27.8 | -10.9 | 91.9 | 66.9 | 29.4 | -11.3 |
| Total other comprehensive income for the period |
||||||||||||
| Total comprehensive income for | 35.1 162.9 |
26.4 112.9 |
47.2 114.2 |
-15.5 -20.1 |
-36.9 26.4 |
7.1 72.2 |
-43.9 -16.1 |
101.7 90.8 |
91.2 183.1 |
53.1 120.0 |
53.5 82.9 |
1.4 -9.9 |
| the period | ||||||||||||
| Earnings per share before and after dilution (SEK)* |
1.90 | 1.31 | 1.01 | -0.06 | 0.94 | 0.98 | 0.41 | -0.17 | 1.38 | 1.01 | 0.44 | -0.17 |
* The average number of outstanding shares. before and after dilution, has been 66,343,543 in all periods in the table.
QUARTERLY CONSOLIDATED CASH FLOW STATEMENTS
SEK million
| 2019 | 2018 | 2017 | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Quarter | Q1 | Q4 | Q3 | Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | |||
| Cash flow from operating activities before | ||||||||||||
| changes in working capital | 49.3 | 184.1 | 116.1 | 128.3 | 1.2 | 154.9 | 153.3 | 105.0 | 37.8 | |||
| Increase/decrease of stock | -58.3 | 44.6 | -310.4 | -110.8 | -117.4 | 129.5 | -200.4 | -63.7 | -73.9 | |||
| Increase/decrease of current receivables | -3.6 | -128.6 | -36.2 | 140.9 | -78.5 | -113.8 | -40.4 | 113.0 | ||||
| Increase/decrease of current liabilities | -182.3 | -50.7 | 239.9 | 143.2 | -18.1 | -71.4 | 150.5 | 49.2 | -43.3 | |||
| Changes in working capital | -114.4 | -9.7 | -199.1 | -3.7 | 5.4 | -20.4 | -163.7 | -54.9 | -4.2 | |||
| Cash flow from operating activities | -65.1 | 174.4 | -83.0 | 124.6 | 6.6 | 134.5 | -10.4 | 50.1 | 33.6 | |||
| Investing activities | -38.3 | -39.7 | -42.1 | -41.6 | -39.8 | -37.7 | -36.9 | -16.0 | -19.9 | |||
| Cash flow after investing activities | -103.4 | 134.7 | -125.1 | 83.0 | -33.2 | 96.8 | -47.3 | 34.1 | 13.7 | |||
| Loan raised | 75.3 | 0.0 | 104.9 | 58.0 | 5.1 | 0.0 | 30.2 | 47.1 | 0.0 | |||
| Amortization of loan | 0.0 | -15.9 | 0.0 | 0.0 | 0.0 | -54.6 | 0.0 | 0.0 | -39.4 | |||
| Amortization of leasing liabilities | -26.1 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | |||
| Dividend paid | 0.0 | 0.0 | 0.0 | -112.8 | 0.0 | 0.0 | 0.0 | -89.6 | 0.0 | |||
| Cash flow from financial activities | 49.2 | -15.9 | 104.9 | -54.8 | 5.1 | -54.6 | 30.2 | -42.5 | -39.4 | |||
| Cash flow for the period | -54.2 | 118.8 | -20.2 | 28.2 | -28.1 | 42.2 | -17.1 | -8.4 | -25.7 | |||
| Liquid assets at the beginning of the period | 312.2 | 192.6 | 215.4 | 180.5 | 202.4 | 155.6 | 178.9 | 191.9 | 218.9 | |||
| Translation differences in liquid assets | 7.0 | 0.8 | -2.6 | 6.7 | 6.2 | 4.6 | -6.2 | -4.6 | -1.3 | |||
| Liquid assets at period-end | 265.0 | 312.2 | 192.6 | 215.4 | 180.5 | 202.4 | 155.6 | 178.9 | 191.9 | |||
| 2016 | 2015 | 2014 | ||||||||||
| Quarter | Q4 | Q3 | Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | Q4 | Q3 | Q2 | Q1 |
| Cash flow from operating activities | ||||||||||||
| before changes in working capital | 132.0 | 116.2 | 89.4 | -4.2 | 90.6 | 73.8 | 54.6 | -9.2 | 129.1 | 93.1 | 38.8 | -7.1 |
| Increase/decrease of stock | 151.2 | -109.6 | 62.4 | -49.7 | 175.6 | -132.1 | -88.5 | -200.6 | -126.1 | -309.6 | -86.8 | -50.6 |
| Increase/decrease of current receivables | 31.9 | -106.8 | -76.9 | 85.3 | 85.2 | -117.2 | -23.0 | 129.5 | -40.7 | -124.2 | -28.0 | 172.3 |
| Increase/decrease of current liabilities | -34.2 | 115.7 | 13.7 | 32.5 | 24.1 | 14.3 | 1.0 | 51.4 | -16.9 | 50.0 | 48.3 | -25.8 |
| Changes in working capital | 148.9 | -100.7 | -0.8 | 68.1 | 284.9 | -235.0 | -110.5 | -19.7 | -183.7 | -383.8 | -66.5 | 95.9 |
| Cash flow from operating activities | 280.9 | 15.5 | 88.6 | 63.9 | 375.5 | -161.2 | -55.9 | -28.9 | -54.6 | -290.7 | -27.7 | 88.8 |
| Investing activities | -26.3 | -25.8 | -21.2 | -16.3 | -24.1 | -15.0 | -40.7 | -26.7 | -29.4 | -12.4 | -17.5 | -11.3 |
| Cash flow after investing activities | 254.6 | -10.3 | 67.4 | 47.6 | 351.4 | -176.2 | -96.6 | -55.6 | -84.0 | -303.1 | -45.2 | 77.5 |
| Loan raised | 0.0 | 22.9 | 16.1 | 0.0 | 0.0 | 173.9 | 179.1 | 0.0 | 121.3 | 289.8 | 129.6 | 0.0 |
| Amortization of loan | -211.4 | 0.0 | 0.0 | -74.6 | -349.1 | 0.0 | 0.0 | -13.9 | 0.0 | 0.0 | 0.0 | -109.8 |
| Amortization of leasing liabilities | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 |
| Dividend paid | 0.0 | 0.0 | -66.3 | 0.0 | 0.0 | -1.0 | -66.3 | 0.0 | 0.0 | 0.0 | -66.3 | 0.0 |
| Cash flow from financial activities | -211.4 | 22.9 | -50.2 | -74.6 | -349.1 | 172.9 | 112.8 | -13.9 | 121.3 | 289.8 | 63.3 | -109.8 |
| Cash flow for the period | 43.2 | 12.6 | 17.2 | -27.0 | 2.3 | -3.3 | 16.2 | -69.5 | 37.3 | -13.3 | 18.1 | -32.3 |
| Liquid assets at the beginning of the period | 172.9 | 157.1 | 136.3 | 165.5 | 167.7 | 169.5 | 159.0 | 216.0 | 169.6 | 176.0 | 153.1 | 185.1 |
| Translation differences in liquid assets | 2.8 | 3.2 | 3.6 | -2.2 | -4.5 | 1.5 | -5.7 | 12.5 | 9.1 | 6.9 | 4.8 | 0.3 |
| Liquid assets at period-end | 218.9 | 172.9 | 157.1 | 136.3 | 165.5 | 167.7 | 169.5 | 159.0 | 216.0 | 169.6 | 176.0 | 153.1 |
DEFINITIONS OF ALTERNATIVE PERFORMANCE MEASURES
Guidelines concerning non-IFRS performance measures for companies with securities listed on a regulated market in the EU have been issued by ESMA (The European Securities and Markets Authority). These guidelines are to be applied to alternative performance measures (APM) applied as of July 3, 2016. The Interim Report refers to a number of non-IFRS performance measures used to assist investors and company management to analyze the company's operations. Because not all companies calculate the financial measures in the same way, these are not always comparable to measures used by other companies. These financial measures should not be seen as a substitute for measures defined under IFRS. A description of the various non-IFRS performance measures used as a complement to the financial information reported according to IFRS and how they are used, is presented below.
shareholder value over time.
| PERFORMANCE MEASURES | DEFINITION/CALCULATION | PURPOSE |
|---|---|---|
| GROSS PROFIT MARGIN | Net sales less goods for resale in percent of net sales. | The measure is used for showing the Group's margins before the effect of costs such as selling and admin istrative costs. |
| OPERATING MARGIN | Operating result as a percentage of the period's net sales. |
The measure is used to show operating profability and how the Group meets its targets. |
| PROFIT MARGIN | Result before tax as a percentage of the period's net sales. | The measure enables the profitability to be compared across locations where corporate taxes differ. |
| NET MARGIN | Result after tax as a percentage of the period's net sales. | The measure is used to show net earnings in relation to income. |
| ORGANIC GROWTH | Organic growth refers to sales growth from existing operations cleared from currency effects. The currency effect is calculated by recalculating this year's sales in local currency to last year's rates and compared to previous year's sales. |
The measure is used to show growth in existing business since currency effects are beyond the Group's control and to measure how the Group meets its targets. |
| EBITDA | Operating result before depreciation, amortization and write-downs of tangible and intangible fixed assets. |
The measure is used to show result from operating activities, regardless of depreciation, amortization and write-downs. |
| NET FINANCIAL ITEMS | The total of interest income, interest expenses, currency differences on borrowings and cash equivalents in foreign currencies, other financial income and other financial expenses. |
The measure reflects the Group's total costs of the external financing. |
| RETURN MEASURES | DEFINITION/CALCULATION | PURPOSE |
| RETURN ON CAPITAL EMPLOYED |
Result before tax plus financial expenses as a percentage of average capital employed. The average capital employed is calculated by taking the capital employed per period end and the capital employed at year-end for the previous year divided by two. |
The measure is used to analyze profitability by putting result in relation to the capital needed to operate the business. |
| RETURN ON EQUITY | Result for the period according to the income statement as a percentage of average equity. For the Parent company it is calculated as result after tax as a percentage of average adjusted equity. In adjusted equity, 78 % of untaxed reserves |
The measure is used to analyze profitability over time, given the resources available to the Parent company's owners. |
| are included. | ||
| DATA PER SHARE | DEFINITION/CALCULATION | PURPOSE |
| CAPITAL MEASURES | DEFINITION/CALCULATION | PURPOSE |
|---|---|---|
| EQUITY | The equity reported in the consolidated balance sheet consists of taxed equity increased by the equity portion of the Group's untaxed reserves and non-controlling interests. Deferred tax lia bility in untaxed reserves has been calculated at the applicable tax rates for the companies in each country, as decided and communicated at the balance sheet date. |
The measure is the difference between the Group's assets and liabilities, which corresponds to the Group's equity contributed by owners and the Group's accumulated profits. |
| CAPITAL EMPLOYED | Total assets less provisions and non-interest bearing liabilities, which consist of accounts payable, current tax liabilities, other liabilities and accrued expenses and prepaid income. |
The measure indicates how much capital is needed to run the business, regardless of type of financing (borrowed or equity). |
| WORKING CAPITAL | Total current assets, excluding liquid assets, less short-term non-interest bearing liabilities. |
The measure is used to show how much capital is needed to finance operating activities. |
| NET DEBT | Interest-bearing liabilities (current and non-current) less cash and cash equivalents. |
The measure shows financing from borrowings. |
| STOCK TURNOVER | Goods for resale in the income statement divided by average stock. |
The measure is used to show the stock's turnover per year, since the stock is central for the Group to keep a good service level, i.e. to be able to deliver goods fast. |
| NET DEBT TO EQUITY RATIO |
Net debt as a percentage of equity. | The measure helps show financial risk and is useful for management to monitor the level of the indebtedness. |
| NET DEBT IN RELATION TO WORKING CAPITAL |
Net debt divided by working capital. | The measure is used to show how much of the work ing capital is financed through net debt. |
| INTEREST COVERAGE RATIO |
Result before tax plus financial costs divided by financial costs. | The measure is used to calculate the Group's ability to pay interest costs. |
| EQUITY RATIO | Equity as a percentage of total assets. | The measure shows how much of the Group's assets are financed by the shareholders through equity. An equity ratio is a measure of financial strength and how the Group meets its targets. |
| OTHER MEASURES | DEFINITION/CALCULATION | PURPOSE |
|---|---|---|
| EFFECTIVE TAX RATE | Tax on profit for the period as a percentage of result before tax. | This measure enables comparison of income tax across locations where corporate taxes differ. |
| EFFECTIVE INTEREST RATE | Net financial items in relation to average net debt. | The measure enables comparison of cost for the net debt. |
| CASH FLOW FROM OPERATIONS |
Cash flow from operating activities including changes in work ing capital and before cash flows from investing and financing activities. |
The measure is used to show the cash flow generated by the company's operations. |
| NET INVESTMENTS | Cash flow from investing activities according to the cash flow analysis which includes investments and divestments of build ings, acquisitions, investments in tangible and intangible assets and raised long-term debt. |
The measure is used to regularly estimate how much cash is used for investments in operations and for expansion. |
New Wave Group is a growth group that designs, acquires and develops brands and products in the corporate, sports, gifts and home furnishings sectors.
The Group shall achieve synergies by coordinating design, purchasing, marketing, logistics and distribution of the assortment. The Group shall offer its products to the promo market and the retail market in order to achieve good risk diversification.
NEW WAVE GROUP AB (publ) Corp. id number 556350-0916 Kungsportsavenyen 10, SE-411 36 Gothenburg Phone +46 (0) 31 712 89 00 | [email protected] www.nwg.se