Inside information, profit warning: Fiskars lowers its guidance for 2023
Fiskars Corporation
Inside information
July 5, 2023 at 3:00 p.m. EEST
Inside information, profit warning: Fiskars lowers its guidance for 2023
Fiskars Corporation lowers its guidance for 2023 as the volatility in the market environment continues and demand for the company’s products is expected to be weaker than earlier anticipated in the second half of the year. The company now expects comparable EBIT in 2023 to be in the range of EUR 120-130 million. Previously the company expected comparable EBIT to be slightly below the 2022 level (2022: EUR 151.0 million).
Rationale for updating the guidance
As anticipated, the market environment was volatile in the first half of the year. Visibility in the market continues to be low, and currently there are no meaningful signs of improving market conditions in the second half of the year. Low consumer confidence in the company’s main markets as well as the high inventory levels of the Group’s retailer customers will affect demand and sales more negatively than earlier anticipated in the second half of the year.
In January 2023, Fiskars announced targeted organizational changes, which are expected to result in savings supporting the company’s EBIT from the second half onwards. The changes are estimated to result in total annual cost savings of approximately EUR 30 million, out of which approximately half are expected to realize in the second half of 2023. The company also remains focused on prudent cost management, but continues to invest in key strategic building blocks at the same time.
New guidance for 2023:
Fiskars expects comparable EBIT to be in the range of EUR 120-130 million (2022: EUR 151.0 million).
Previous guidance for 2023:
Fiskars expects comparable EBIT to be slightly below the 2022 level (2022: EUR 151.0 million).
Fiskars will publish its Half-year Financial Report on July 20, 2023 at approximately 8.30 a.m. EEST. A webcast on the second quarter results will be held on the same day at 11:00 a.m. (EEST).
FISKARS CORPORATION
Nathalie Ahlström
President & CEO
Further information:
Essi Lipponen, Director, Investor Relations, tel. +358 40 829 1192
Jussi Siitonen, CFO, tel. +358 204 3910
Fiskars Group in brief
Fiskars Group (FSKRS, Nasdaq Helsinki) is the global home of design-driven brands for indoor and outdoor living. Our brands include Fiskars, Gerber, Iittala, Royal Copenhagen, Moomin Arabia, Waterford, and Wedgwood. Our brands are present in more than 100 countries and we have approximately 350 own stores. We have close to 7,000 employees and our global net sales in 2022 were EUR 1.2 billion.
We are driven by our common purpose: Pioneering design to make the everyday extraordinary. Since 1649, we have designed products of timeless, purposeful, and functional beauty, while driving innovation and sustainable growth.
Read more: fiskarsgroup.com