Kjell Group AB (Publ) – Interim report Q3, 1 January – 30 September 2023

Third quarter

• Net sales increased 5.5% to MSEK 650.8 (617.0)
• Comparable growth amounted to 3.4% (1.1)
• Gross profit increased 4.5% to MSEK 279.7 (267.6) and the gross margin was 43.0% (43.4)
• Adjusted EBITA totalled MSEK 42.9 (40.8) and the adjusted EBITA margin was 6.6% (6.6)
• Operating profit amounted to MSEK 38.0 (36.4) and the operating margin to 5.8% (5.9)
• Net profit for the quarter amounted to MSEK 25.2 (25.7)
• Cash flow from operating activities totalled MSEK 131.2 (83.4)
• Earnings per share before and after dilution amounted to SEK 0.81 (0.83)

1 January – 30 September

• Net sales declined 2.6% to MSEK 1,797.5 (1,846.0)
• Comparable growth amounted to -4.5% (6.6)
• Gross profit declined 1.7% to MSEK 775.1 (789.0) while the gross margin improved to 43.1% (42.7)
• Adjusted EBITA totalled MSEK 51.7 (77.7) and the adjusted EBITA margin was 2.9% (4.2)
• Operating profit amounted to MSEK 37.5 (64.7) and the operating margin to 2.1% (3.5)
• The net loss for the period amounted to MSEK -0.1 (profit: 39.6)
• Cash flow from operating activities totalled MSEK 102.4 (29.3)
• Earnings per share before and after dilution amounted to SEK -0.00 (1.27)

Significant events during and after the end of the quarter

• In September, Kjell & Company was named Sweden’s strongest consumer electronics brand in the Evimetrix Swedish Brand Awards
• In October, Kjell & Company was named the top consumer electronics company at Market magazine’s Market Awards
• In August, a collaboration was initiated with 24SJU, with the goal of having established Kjell & Company Express at all of the franchise chain’s 86 unmanned stores in Sweden by the end of the year

“We consider this profitable sales growth to be a very positive sign and confirmation of the strength of Kjell Group and our business. Through systematic improvements, we have also improved our working capital efficiency and generated a very strong cash flow that has significantly reduced our net debt”, says Andreas Rylander, CEO Kjell Group.

Webcast in connection with the publication of the interim report
Andreas Rylander, President and CEO, and Niklas Tyrén, CFO, will hold a webcast in connection with the publication of the interim report at 10:00 a.m. on 31 October 2023. To participate in the conference, follow the link: https://ir.financialhearings.com/kjell-group-q3-2023
The presentation material is available on the Group’s website:
https://www.kjellgroup.com/investerare/finansiella-rapporter/.

Interim reports
The complete interim report for the period January–September 2023 and earlier reports are available on www.kjellgroup.com.