Lindex increases sales and greatly improves its result
Today, Lindex presents its result and sales for the second quarter of 2021 and reports a continued good development with greatly improved result and increased sales.
Lindex's operating result* for the second quarter of 2021 increased by 141 MSEK and amounted to 308 MSEK, which is an increase of 84 per cent compared with the same period last year and 56 per cent compared with 2019 (167 MSEK 2020, 197 MSEK 2019).
Lindex’s operating result for the first half of the year amounted to 162 MSEK (-12 MSEK 2020, 65 MSEK 2019). The adjusted operating result for the first half of the year amounted to 217 MSEK, which is more than tripled compared with the same period both last year and 2019. A good sales growth and strengthened margin, as well as good cost control, have all contributed to the strong result.
“It is very gratifying that we, during the second quarter, managed to strongly increase our sales compared with both previous year and 2019, despite the challenges with continued periodically closed stores in the majority of our sales markets. We deliver a greatly improved result for both the second quarter and the first half of the year, which reflects Lindex's successful development and growth, where our fantastic assortment and all committed employees' great customer focus and efforts have been central” says CEO Susanne Ehnbåge.
Lindex's total sales for the second quarter increased by 25.6 per cent in local currencies and by 26.2 per cent in SEK. Compared with the same period in 2019, sales increased by 4.1 per cent in local currencies and by 0.9 per cent in SEK. The fashion company shows better sales growth than the market for the second quarter in all the Nordic sales countries.
Lindex continued its strong growth online with a sales increase of 51.4 per cent for the quarter. In total, the digital sales amounted to 19.5 per cent of Lindex's sales during the second quarter, compared with 16.2 per cent for the same period last year.
“As we have been able to reopen our stores, our digital sales have continued its strong growth, which shows that our customers appreciate our offer and the possibility to shop where they want. Buying patterns and customer behaviours are changing at an ever faster pace and we continuously work to provide an even more inspiring shopping experience and meet our customer where they want to be met. During the spring, we launched our appreciated Lindex app in several markets and where we see great potential going forward as it is introduced in more and more markets” says Susanne Ehnbåge.
Lindex has a strong digital growth both through its own e-commerce and together with global fashion platforms. The fashion company continues to develop its strong offering based on the customer's needs, while the strategic investments in the digital development, the integration of sales channels, optimisation of the store portfolio, as well as innovation and sustainability continues.
“We have taken important steps in our sustainability promise and our circular transformation, where our pilot with Lindex second hand and a new circular business model is an example of our work to prolong the lifetime of clothes and save natural resources. We are proud to have been ranked as one of the global leaders in the transition to more sustainable materials and circularity by Textile Exchange. At present, more than 70 per cent of our garments are made from recycled or more sustainably sourced materials and we continue our work to reach our goal of 100 per cent by 2025. During the past year, we have strengthened our brand and we as a company stand stronger than before. Our success is based on how we create value and exceed the customer’s expectations,” says Susanne Ehnbåge.
*Lindex's operating result and adjusted operating result are reported excluding IFRS16 leasing agreements.
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Lindex is one of Europe's leading fashion companies, with approximately 460 stores in 19 markets and sales online worldwide through third-party partnerships. Lindex offers inspiring and affordable fashion and the assortment includes several different concepts within womenswear, kidswear, lingerie and cosmetics. Lindex is growing, both in own channels and together with global fashion platforms. Lindex’s higher purpose is to inspire and empower women everywhere, and Lindex’s sustainability promise is to make a difference for future generations by empowering women, respecting the planet and ensuring human rights. Lindex is a fully owned subsidiary of STOCKMANN plc. Further information is available at www.lindex.com.