Tokmanni Group Corporation withdraws its guidance for 2020
Tokmanni Group Corporation Stock exchange release 26 March 2020 12:40 am
Due to the uncertainty caused by the coronavirus, the economic and industry’s outlook has changed rapidly. Since it is still difficult to assess the financial impact of the situation, Tokmanni Group Corporation cancels its outlook for 2020 issued on 7 February 2020.
Tokmanni's first-quarter business has so far developed in line with the outlook given earlier. However, after the emergency regulations came into force in March, the customer flows have clearly declined in Tokmanni stores. In the current situation, it is clear that Tokmanni's sales will be affected at least in the second quarter due to the restrictions on movement. On the contrary it is very challenging to estimate the development in the second half of the year at this moment. Once visibility improves and the material uncertainties have cleared, Tokmanni will update its outlook and issue a new guidance.
Previous outlook for the financial year 2020 (published 7 February 2020 in the Financial Statements Release):
Tokmanni expects good revenue growth for 2020, based on the revenue from the new stores acquired and opened in 2019 and new stores to be opened in 2020, as well as on slight growth in like-for-like revenue. Group profitability (comparable EBIT margin) is expected to improve on the previous year.
“We are living in a very unusual situation right now. Preparations for the spread of the coronavirus are widely seen in society as well as in consumer behaviour. We work closely with suppliers and logistics to ensure that our products are delivered to stores and that our customers have enough to buy. It is especially important that our employees remain healthy, and that our customers are safe in our stores even during the epidemic. I am confident that together we will cope with this exceptional situation," says Tokmanni’s CEO Mika Rautiainen.
Further Information, please contact
Mika Rautiainen, CEO
tel. +358 20 728 6061, mika.rautiainen(at)tokmanni.fi
Markku Pirskanen, CFO
tel. +358 20 728 7390, markku.pirskanen(a)tokmanni.fi
Tokmanni in brief
Tokmanni is the largest general discount retailer in Finland measured by number of stores and revenue. In 2019, Tokmanni’s revenue was EUR 944.3 million and it has approximately 3,700 employees. Tokmanni is the only nationwide general discount retailer in Finland, with 190 stores across Finland.