The strong growth of the XXL Group continued in the first quarter 2015 with a growth rate of 32 per cent compared to the same quarter last year. Various market conditions and winter clearance campaigns affected the gross margins. However, the cost focus across the Group lead to a stable EBITDA-margin year over year and is achieved despite the establishment in Finland with lower margins.
Highlights Q1 2015
- Now the largest sports retailer in the Nordics
- Total revenues of NOK 1 369 million (NOK 1 035 million), up 32 per cent
- E-commerce growth of 75 per cent
- EBITDA increased by 31 per cent to NOK 95 million
- Opened one new store in Finland
Outlook
XXL has signed 8 new lease agreements for new store openings in 2015. One store might be postponed to spring 2016 due to local regulations. The Group expects the new store openings to be back-end loaded. The first store opened in Finland on 24 March 2015 (Espoo – Helsinki west).
The main share of the growth will be outside Norway. Finland is still under establishment and it will be an achievement to deliver positive EBITDA in 2015. Sweden had a good improvement in the margin in 2014 due to the new central warehouse. Margin improvement going forward will not be in the same pace as in 2014. The Group maintains the following long term objectives (as compared to 2013 figures): - Like-for-like growth of mid-single digits over time - E-commerce share of total revenues of low double digits - Gross margins to be stable. For Norway maintained at the same level, increasing to high 30’s in Sweden and Finland - EBITDA-margin stable as a result of stable gross margins and operating expenses. In Norway at low 20’s, in Sweden low double digits and in Finland high single digits.
For further information please find attached the quarterly report and the presentation material.
The results will be presented at 08:00 CET by CEO Fredrik Steenbuch and CFO Krister Pedersen. The presentation will take place at our headquarters in Oslo, Strømsveien 245, Alna Senter (entrance on the right side of Maxbo). The presentation will be held in English and will be webcasted at www.xxlasa.com. You may also follow the presentation live by telephone. Dial-in details - +47 21 56 33 18 (Norway) and +44(0) 20 3003 2666 (International), passcode – XXL ASA.
For further queries, please contact: Tolle O. R. Grøterud, Head of Investor Relations, XXL ASA Tel: +47 90 27 29 59 E-mail: ir@xxlasa.com
This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act
About XXL ASA XXL is a leading sports retailer with stores and e-commerce in Norway, Sweden and Finland. It is the largest and the fastest growing among the major sports retailers in the Nordic. XXL pursues a broad customer appeal, offering a one stop shop experience with a wide range of products for sports, hunting, skiing, biking and other outdoor activities. XXL’s concept is to have the largest stores with the lowest prices and the widest assortment of products, focusing on branded goods.