Clas Ohlson AB

Latest Results (13.06.2024):

Q4 Financial Performance

In the fourth quarter of the fiscal year 2023/24, Clas Ohlson AB reported a significant improvement in financial results. Sales, excluding the acquired Spares Group, increased by 12% to 1,998 MSEK, demonstrating an organic growth of 13% and a 12% increase in comparable units. The operating profit for the quarter was 65 MSEK, a substantial rise from a loss of 7 MSEK in the same quarter of the previous year. This positive shift resulted in an operating margin of 3.0%, compared to -0.4% previously.

Annual Financial Highlights

For the full fiscal year 2023/24, Clas Ohlson AB's sales, excluding the acquired Spares Group, rose by 10% to 9,885 MSEK, with an organic growth of 11%. The operating profit significantly increased to 717 MSEK from 305 MSEK in the previous year, and the adjusted operating profit reached 921 MSEK. The company also reported a robust operating margin of 7.0%, and profit after tax improved to 509 MSEK. Earnings per share were 8.03 SEK, and a dividend of 4.25 SEK per share has been proposed.

Post-Year-End Sales Growth

Following the end of the fiscal year 2023/24, Clas Ohlson AB continued to experience strong sales performance in May 2024. Sales, excluding the acquired Spares Group, increased by 15% to 772 MSEK, with an organic growth of 13% and a 10% increase in comparable units. This post-year-end growth indicates a sustained positive trajectory for the company's business operations.

CEO's Commentary

CEO Kristofer Tonström expressed satisfaction with Clas Ohlson AB's performance, highlighting the first positive fourth-quarter result since the fiscal year 2016/17. He attributed this success to strategic focus on product niches, brand development, and customer engagement. The full-year organic sales growth of 11% surpassed the target of 5%, and the operating margin closely aligned with the profitability target of 7-9%. The increase in dividend to 4.25 SEK per share reflects the company's strong earnings and ongoing investment in growth.

Future Outlook and Strategies

Looking ahead to the fiscal year 2024/25, Clas Ohlson AB plans to continue its growth initiatives, including expanding its store network with an aim of adding approximately 10 new stores. The company is also focusing on IT enhancements to reduce operational costs and improve efficiency. These efforts are part of Clas Ohlson's strategy to achieve sustainable and profitable growth while enhancing customer and shareholder value.