MQ delivers stable earnings while Joy is affected by adaptation work
The MQ Group has shown a continued high rate of development in the first quarter. During an autumn packed with campaigns, the MQ chain has delivered stable earnings of SEK 34 million (34), which is in line with the previous year. The Joy chain’s earnings of SEK 2 million (8) have been affected by the adaptation work in the form of store conversions and the introduction of external brands. Nevertheless, the Joy chain is cautiously optimistic because to date the adaptation has generated a clear increase in footfall.
First quarter (September 2017 – November 2017)
- Net sales amounted to SEK 429 million (433), down 1.0 per cent. Like-for-like sales declined 1.9 per cent (according to HUI Research like-for-like sales for the market as a whole declined by 2.3 per cent).
- The gross margin was 62.1 per cent (63.0).
- Operating profit was SEK 36 million (42), which corresponds to an operating margin of 8.3 per cent (9.7).
- Profit after tax for the period amounted to SEK 27 million (32), which equates to SEK 0.77 (0.91) per share after dilution.
- Cash flow from operating activities was SEK -6 million (-10).
Events during the first quarter
- Two new MQ stores have opened: Hallarna in Halmstad and Drottninggatan (south) in Stockholm.
- The MQ stores in Kista and Visby have relocated to new premises, and the MQ store in Vågen, Örebro, has been refurbished.
- Outlet by MQ opened in Jägersro, Malmö.
- The Fiveunits brand was launched at MQ Shop Online.
- Design collaboration launched, Stockhlm by Maria Westerlind.
- Thirteen Joy stores have been remodelled and relaunched with a new store concept.
- The Joy store in Uppsala was relocated and re-opened after being closed for six months.
Events after the end of the reporting period
- The last MQ store in Norway closed as planned, which means the entire Norwegian operation has now been wound up.
- The Joy stores at Marieberg in Örebro, Borås and Emporia in Malmö have been remodelled and relaunched with a new store concept.
For further information, please contact:
Christina Ståhl, President and CEO: Tel: +46 (0)31 388 80 10
Tony Siberg, Deputy CEO and CFO: Tel: +46 (0)31 388 84 01
This information is information that MQ Holding AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at December 19, 2017 at 07:15 a.m. CET.
MQ Holding AB owns and operates fashion stores under two business areas: MQ and Joy. MQ is Sweden’s largest retailer of fashion brands today. Through a combination of proprietary and external brands, MQ offers high-fashion menswear and womenswear in attractive stores. Joy targets fashion-conscious women at midlife who desire excellent quality, fit and comfort. The two business areas currently comprise a total of 177 stores as well as online shopping. The MQ Holding share has been listed on the NASDAQ OMX in Stockholm since 18 June 2010. For more information, see www.mq.se