This is not an interim report in accordance with IAS 34. The company complies with the semi-annual reports required by the Securities Markets Act and normally publishes business reports for the first three and first nine months of the year, which present key information describing the company's financial development. Unaudited financials presented below:
Good sales in high season despite challenging market conditions
March 2024–May 2024 "Q3 2024" (comparable figures in parenthesis 3/2023-5/2023):
- Net sales increased 0,6% to
EUR 37.9 million (EUR 37.7 million ). Net sales with comparable currencies increased 2.7 %. Organic net sales increased 2.7%. -
Adjusted EBITDA was
EUR 3.4 million (EUR 4.1 million ) with an adjusted EBITDA margin of 9.1% (10.8%). -
Adjusted EBITA was
EUR 3.2 million (EUR 3.8 million ) with an adjusted EBITA margin of 8.4% (10.1%). -
Adjusted operating profit was
EUR 2.5 million (EUR 3.1 million ) with a margin of 6.6% (8.3%).
September 2023–May 2024 "1-9/2024" (comparable figures in parenthesis 9/2022-5/2023):
- Net sales increased 4.6% to
EUR 93.1 million (EUR 89.0 million ). Net sales with comparable currencies increased 4.3 %. Organic net sales decreased 2.6%. -
Adjusted EBITDA was
EUR 5.5 million (EUR 5.0 million ) with an adjusted EBITDA margin of 5.9% (5.7%). -
Adjusted EBITA was
EUR 4.8 million (EUR 4.4 million ) with an adjusted EBITA margin of 5.2% (4.9%). -
Adjusted operating profit was
EUR 2.8 million (EUR 2.7 million ) with a margin of 3.0% (3.0%). -
Earnings per share was
EUR -0.006 (EUR -0,04 ) at end ofMay 2024 .
Outlook for financial year 2024 (unchanged)
Market uncertainty and weakness will persist in financial year 2024. Overall challenging market situation has lowered consumer confidence and demand. These factors will weaken the predictability and therefore
CEO
The third quarter was largely in line with our expectations, net sales and adjusted EBITA close to the previous year's level. Net sales increased by 0.6 percent and adjusted EBITA was
Logistics challenges due to market disruptions delayed certain deliveries. Some manufacturers have adapted their production to lower demand, which has led to difficulties in product availability. To ensure the availability of products to dealers, we kept stock levels slightly higher. The competitive situation remained unchanged and various players are looking for growth outside their traditional markets. We expect the decline in interest rates to have a positive impact on consumer behaviour, but the direct impact will be delayed.
Among the product categories, cycling showed signs of recovery, especially in
We announced a reorganisation to better support the execution of our strategy with a stronger market focus. The new operating model will also allow for more effective integration at Group level to accelerate organic growth. This change will also provide a stronger basis for purchases and product portfolio development. The profitability improvement programme, which has so far focused on the Nordic countries and has moved from planning to execution mode.
Key figures and ratios | Q3 2024 (3/2024-5/2024) | Q3 2023 (3/2023-5/2023) | 1-9 2024 | 1-9 2023 (9/2022-5/2023) | 2023 (9/2022-8/2023) |
Net sales | 37,904 | 37,673 | 93,073 | 88,967 | 118,832 |
Net sales growth, % | 0.6 | 7.4 | 4.6 | -0.4 | -4.2 |
Net sales growth with comparable currencies, % | 2.7 | 8.1 | 4.3 | 1.7 | -1.0 |
Organic net sales growth with comparable currencies, % | 2.7 | -10.3 | -2.6 | -14.7 | -15.6 |
Gross margin | 9,453 | 9,301 | 23,015 | 21,794 | 28,344 |
Gross margin, % | 24.9 | 24.7 | 24.7 | 24,5 | 23.9 |
EBITDA | 3,172 | 3,472 | 2,428 | 4,205 | 4,307 |
EBITDA margin, % | 8.4 | 9.2 | 2.6 | 4.7 | 3.6 |
Items affecting comparability, Gross margin | - | - | - | - | 131 |
Items affecting comparability, EBITDA | 269 | 584 | 3,099 | 823 | 1,193 |
Adjusted EBITDA | 3,441 | 4,056 | 5,527 | 5,028 | 5,499 |
Adjusted EBITDA margin, % | 9.1 | 10.8 | 5.9 | 5,7 | 4.6 |
EBITA | 2,928 | 3,235 | 1,743 | 3,547 | 3,401 |
EBITA margin, % | 7.7 | 8.6 | 1.9 | 4.0 | 2.9 |
Adjusted EBITA | 3,197 | 3,819 | 4,842 | 4,370 | 4,594 |
Adjusted EBITA margin, % | 8.4 | 10.1 | 5.2 | 4,9 | 3.9 |
Operating profit | 2,233 | 2,554 | -337 | 1,869 | 1,041 |
Operating profit margin, % | 5.9 | 6.8 | -0.4 | 2.1 | 0.9 |
Adjusted operating profit | 2,502 | 3,138 | 2,762 | 2,692 | 2,234 |
Adjusted operating profit margin, % | 6.6 | 8.3 | 3.0 | 3,0 | 1.9 |
Earnings per share, basic, EUR | -0.003 | 0.02 | -0.006 | -0.04 | -0.1 |
Earnings per share, diluted, EUR | -0.003 | 0.02 | -0.006 | -0.04 | -0.1 |
Number of outstanding shares at the end of the period, basic | 1,038,546,116 | 30,545,474 | 1,038,546,116 | 30,545,474 | 30,545,474 |
Number of outstanding shares at the end of the period, diluted | 1,038,546,116 | 30,545,474 | 1,038,546,116 | 30,545,474 | 30,545,474 |
Weighted average number of shares, basic | 1,038,546,116 | 30,213,459 | 572,003,019 | 27,058,301 | 27,937,259 |
Weighted average number of shares, diluted | 1,038,546,116 | 30,213,459 | 572,003,019 | 27,058,301 | 27,937,25 |
Investments in tangible and intangible assets excluding acquisitions | 189 | 394 | 628 | 1,477 | 2,481 |
Net debt | 27,086 | 48,585 | 27,086 | 48,585 | 38,248 |
Net working capital | 57,665 | 61,756 | 57,665 | 61,756 | 49,873 |
Operating free cash flows | 3,214 | 12,177 | -4,345 | 5,793 | 16,392 |
Operational key figures | Q3 2024 (3/2024-5/2024) | Q3 2023 (3/2023-5/2023) | 1-9 2024 | 1-9 2023 (9/2022-5/2023) | 2023 (9/2022-8/2023) |
Number of brands | 548 | 557 | 548 | 557 | 562 |
Share of own brand sales, % of total | 16.3 | 19.1 | 19.3 | 23.0 | 21.8 |
Share of online sales, % of total | 26.4 | 24.4 | 25.8 | 23.7 | 24.7 |
Equity ratio, % | 53.1 | 34.3 | 53.1 | 34.3 | 38.6 |
Full-time equivalent employees* | 217 | 218 | 218 | 229 | 218 |
*) Including seasonal employees and 24 TranAm employees from
Net sales, EUR thousand | Q3 2024 (3/2024-5/2024) | Q3 2023 (3/2023-5/2023) | 1-9 2024 | 1-9 2023 (9/2022-5/2023) | 2023 (9/2022-8/2023) |
Nordics | 19,482 | 22,459 | 50,267 | 54,774 | 69,926 |
Rest of | 18,422 | 15,217 | 42,806 | 34,193 | 48,906 |
Total | 37,904 | 37,673 | 93,073 | 88,967 | 118,832 |
Financial position and cashflow
Significant events during the reporting period
Magnus Miemois, CEO, interim role in Nordics market responsibility
Jarkko Ämmälä, Commercial Director,
Pellervo Hämäläinen, Communications and Investor Relations Manager
Significant events after review period
Medium-term financial targets (3-5 years) (unchanged)
Growth: Net sales in the range of
Profitability: adjusted EBITA margin of at least 13% in the medium-term.
Leverage: net debt to adjusted EBITDA ratio in the range of 2-3. Leverage may temporarily exceed the target range (for example, in conjunction with acquisitions).
Duell’s Financial Reporting and Annual General Meeting in 2024
- Financial Statements Bulletin for the fiscal year 9/2023–8/2024 (Q4 2024) on
Wednesday, October 9, 2024 .
Annual Report the week starting on
Duell’s Annual General Meeting of shareholders is scheduled for
The financial reviews and the annual report will be available after publication on the company's investor website at (https://investors.duell.eu/en/reports_and_presentations).
Further information
Magnus Miemois, CEO
+358 50 558 1405
magnus.miemois@duell.eu
Pellervo Hämäläinen, Communications and IR Manager
+358 40 674 5257
pellervo.hamalainen@duell.eu
Certified Advisor
Attachments
Duell Corporation September 2023-May 2023 Financial Report.pdf
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