Marimekko Oyj's Q3 2024 Report Shows Resilient Performance Amid Market Challenges

...

Marimekko Oyj has released its interim report for Q3 2024, showcasing a strong performance despite challenging market conditions.

Marimekko Oyj's Q3 2024 Report Shows Resilient Performance Amid Market Challenges

Sammanfattning

Marimekko Oyj's Q3 2024 report highlights a stable financial performance with net sales nearly matching the previous record levels. Despite market challenges, the company continues to execute its growth strategy, focusing on international expansion, especially in Asia.

Marimekko Oyj, the Finnish lifestyle design company renowned for its original prints and colors, has released its interim report for the third quarter of 2024. The report reveals that Marimekko's net sales for Q3 were nearly at the record levels of the previous comparison period, reaching EUR 47.2 million, just shy of the EUR 47.9 million recorded previously.

Despite a challenging market environment characterized by global supply chain disruptions and inflationary pressures, Marimekko maintained an excellent operating profit margin of 23.5%. This was slightly lower than the 27.4% recorded in the same period last year, primarily due to increased fixed costs associated with brand marketing and personnel expenses.

KPI Q3 2024 Q3 2023 Change (%)
Net Sales (EUR million) 47.2 47.9 -1.5%
Operating Profit (EUR million) 11.1 13.1 -15.3%
Operating Profit Margin (%) 23.5 27.4 -3.9pp
Net Income (EUR million) 8.5 10.0 -15.0%
Earnings per Share (EUR) 0.21 0.25 -16.0%

Marimekko's strategic focus on international markets, particularly in the Asia-Pacific region, continues to bear fruit. International sales grew by 9% in Q3, driven by robust wholesale sales in Asia-Pacific and Scandinavia. The company's SCALE strategy, aimed at expanding its global footprint, is progressing well, with new store openings and an enhanced online presence contributing to growth.

In Finland, Marimekko's domestic market, retail sales grew by 8%, indicating the brand's strong appeal despite economic headwinds. However, total net sales in Finland decreased by 9% due to lower non-recurring promotional deliveries compared to the previous year.

Looking ahead, Marimekko remains optimistic about its growth prospects but acknowledges the uncertainties posed by geopolitical tensions, inflation, and consumer confidence. The company aims to continue its international expansion, with a particular emphasis on Asia, where it plans to open 10–15 new stores and shop-in-shops in 2024.

In conclusion, Marimekko's Q3 2024 performance underscores its resilience in navigating a challenging market environment. The company's strong brand appeal, strategic focus on international growth, and robust financial position make it well-positioned to capitalize on future opportunities.

...

Källa

INTERIM REPORT OF MARIMEKKO, 1 Jan - 30 Sept 2024: Marimekko's net sales in Q3 nearly at the record level of the comparison period despite the timing of non-recurring promotional deliveries, operating profit margin remains excellent

Sammanfattning

Marimekko Corporation released its interim report for January-September 2024, highlighting that its net sales in the third quarter were nearly at record levels despite lower non-recurring promotional deliveries. The operating profit margin remained strong. Marimekko expects its net sales for 2024 to grow from 2023 levels, with an estimated operating profit margin of 16-19%. The company faces uncertainties due to global supply chain disruptions, inflation, and consumer confidence, particularly in Finland. In Q3, international sales grew by 9%, with significant growth in the Asia-Pacific region and Scandinavia. However, total net sales in Finland decreased by 9%. Marimekko's financial position remains robust, with a focus on scaling profitable growth and expanding its brand globally. The company is celebrating the 60th anniversary of its Unikko print and launched its first denim collection, Marimekko Maridenim, which has been well-received. Marimekko's strategy for 2023-2027 emphasizes growth in Asia, with plans to open 10-15 new stores primarily in this region. The company is monitoring economic conditions and adjusting its operations accordingly. A media and investor conference will be held to discuss the report further.