Kährs Group: Interim report January-September 2015

Steady growth and increased profit

Third quarter in brief

  • Net sales totalled SEK 689 million (627), an increase of SEK 62 million or 10 per cent compared with the same period in 2014

  • Operating profit before depreciation, amortisation and non-recurring items (adjusted EBITDA) was SEK 78 million (64), corresponding to an operating margin of 11.3 per cent (10.2) and a profit increase of 22 per cent compared with the third quarter of 2014

  • Operating profit before non-recurring items (adjusted EBIT) for the third quarter was SEK 55 million (SEK 41), corresponding to 8.0 per cent (6.5)

  • Consolidated profit for the quarter was SEK -15 million (13) and was negatively affected by refinancing costs of SEK 53 million

  • Kährs Group arranged for new financing during the summer to achieve a more efficient capital structure with substantially lower interest rates and improved cash flow. Kährs Group’s new bank financing arrangement is more traditional and replaces the bonds that were listed on Nasdaq OMX Stockholm

President and CEO Christer Persson comments:
“The third quarter of 2015 was a good quarter for Kährs Group. The Group continued to demonstrate steady growth in the period, with an increase in net sales of 10 per cent and improved operating profit, before depreciation and non-recurring items, by 22 per cent compared with the previous year. The majority of our sales regions contributed to the growth with strong underlying sales development in Sweden, UK, Germany, Switzerland, Austria and the US.

With a supply and production chain that solidly supports our activities, a streamlined organisation, desirable premium products and a presence in all of our key markets – Kährs Group is well-equipped for continued growth.”

For further information, please contact:
Christer Persson, President and CEO, tel: +46 70 271 20 14
Jonas Bäck, CFO, tel: +46 70 510 61 43

About Kährs Holding AB (publ)
Kährs Holding AB (publ) is a world-leading flooring manufacturer in hardwood and resilient flooring with a number of strong brands in its product portfolio, including Kährs, Karelia and Upofloor. The Company's innovations have shaped the industry throughout history and Kährs Group is dedicated to providing the market with innovative new flooring solutions. Kährs Group, which delivers products to more than 70 countries, is the market leader in Sweden, Finland, Norway and Russia and holds a strong position in other key markets, such as the UK and Germany. The Group has approximately 1,550 employees and annual sales of EUR 300 million. www.kahrsgroup.com

About Us

Kährs Group is a Europe-leading wood- and resilient flooring company with well-known and globally recognized brands such as Kährs, Karelia and Upofloor. The company’s innovations have shaped the industry and Kährs purposefully work to bring new innovations to the flooring market. Kährs Group deliver products for homes, commercial applications and public spaces in more than 70 countries. The Group have a market leading position in Sweden, Finland and Russia as well as a strong position in other important markets such as Norway, the UK and Germany.