Fiskars’ third quarter 2013: Strong performance maintained through determined efforts
Fiskars Corp. Interim Report January 1 – September 30, 2013 November 1, 2013 at 8.30 am EET
Third quarter 2013 in brief:
- Net sales increased by 6% to EUR 177.9 million (Q3 2012: 168.0)
- Comparable net sales (currency neutral and excluding Royal Copenhagen) at 2012 levels
- Operating profit (EBIT) decreased by 38% to EUR 8.7 million (14.0)
- Operating profit (EBIT) excluding non-recurring items increased by 17% to EUR 15.4 million (13.2)
- Non-recurring restructuring costs related to the previously announced EMEA 2015 program totaled EUR 2.0 million and impairment charges were EUR 4.6 million
- Earnings per share were EUR 0.16 (0.22)
- Cash flow from operating activities was EUR 23.1 million (23.5)
- Outlook for 2013 unchanged: full-year net sales and operating profit excluding non-recurring items to be above 2012 levels
Fiskars’ President and CEO, Kari Kauniskangas:
“During the third quarter, our sales force pushed on with determination and maintained good momentum in our core categories. In effect, our garden business performed strongly in a quarter that is usually low season and in a year that had a weak start. In Europe, the first ever pan-European garden campaign gained traction for the fall season and successful business-to-business initiatives brought both the Fiskars and Gerber brands to new consumers in Central and Eastern Europe. In the Americas, we expanded the distribution of our superior axes. These are exciting and encouraging examples of how our strategy is coming to life.
The good performance in the third quarter is the result of a joint effort across the whole organization. The clarity of our common direction and unrelenting focus paid off in the form of operational efficiency and controlled cost levels. This enabled us to deliver a clear increase in operating profit excluding non-recurring items while our structural evolution continued with changes in the supply chain and the single biggest system implementation of our five-year investment program.”
Group key figures
| EUR million | Q3 2013 | Q3 2012 | Change | Q1–Q3 2013 | Q1–Q3 2012 | Change | 2012 |
| Net sales | 177.9 | 168.0 | 6% | 586.0 | 557.5 | 5% | 747.8 |
| Operating profit (EBIT)* | 8.7 | 14.0 | -38% | 49.4 | 50.8 | -3% | 63.9 |
| Operating profit excluding non-recurring items | 15.4 | 13.2 | 17% | 59.8 | 50.0 | 20% | 63.1 |
| Share of profit from associated company | 12.1 | 9.8 | 24% | 31.7 | 28.1 | 13% | 47.8 |
| Change in the fair value of biological assets | 0.1 | 0.7 | -88% | 0.7 | 1.0 | -32% | 5.6 |
| Profit before taxes** | 17.8 | 22.8 | -22% | 78.5 | 163.4 | -52% | 200.4 |
| Profit for the period** | 13.2 | 18.4 | -28% | 61.3 | 147.1 | -58% | 178.9 |
| Earnings per share, EUR*** | 0.16 | 0.22 | -28% | 0.75 | 1.79 | -58% | 2.18 |
| Equity per share, EUR | 7.42 | 7.21 | 3% | 7.56 | |||
| Cash flow from operating activities**** | 23.1 | 23.5 | -2% | 40.5 | 56.4 | -28% | 95.0 |
| Equity ratio, % | 59% | 64% | 66% | ||||
| Net gearing, % | 31% | 17% | 12% | ||||
| Capital expenditure | 8.6 | 8.8 | -3% | 28.8 | 21.2 | 36% | 32.8 |
| Personnel (FTE), average | 4,049 | 3,371 | 20% | 4,085 | 3,377 | 21% | 3,364 |
* Incl. non-recurring costs of the EMEA 2015 program of 2.1 MEUR in Q1 2013, 1.7 MEUR in Q2 2013 and 2.0 MEUR in Q3 2013. In addition, in Q3 2013 a real-estate write-down of 0.9 MEUR and a goodwill impairment of 3.7 MEUR in EMEA
** Incl. a 87.0 MEUR non-recurring profit from the sale of Wärtsilä shares in Q2 2012 and 0.8 MEUR from the release of a provision in Q3 2012
*** Including EUR 1.06 per share from the sale of Wärtsilä shares in Q2 2012
**** Including a dividend from Wärtsilä of 25.6 MEUR in Q1 2013 (26.8)
Full Interim Report
The full interim report is published as a pdf file attachment to this summary stock exchange release and is available on the company's Web site at www.fiskarsgroup.com.
News conference:
A news conference on the third quarter results will be held on Nov 1, 2013, at 10:00 am at the company’s headquarters, Fiskars Campus, Hämeentie 135 A, Helsinki. Presentation material will be available at www.fiskarsgroup.com.
FISKARS CORPORATION
Kari Kauniskangas
President and CEO
Further information:
- President and CEO Kari Kauniskangas, tel. +358 204 39 5500
- CFO Ilkka Pitkänen, tel. +358 204 39 5054
Fiskars is a leading global supplier of consumer products for the home, garden and outdoors. The group has a strong portfolio of respected international brands, including Fiskars, Iittala and Gerber. Founded in 1649 and listed on NASDAQ OMX Helsinki, Fiskars is Finland's oldest company. Fiskars recorded net sales of EUR 748 million in 2012, and employs some 4,100 people in over 20 countries. www.fiskarsgroup.com