Odd Molly International AB (publ)
Stockholm, Sweden, August 20, 2015Positive development continues
January 1 – June 30, 2015
· Net sales amounted to SEK 157.2 million (133.9), an increase of 17 percent.
· The gross profit margin was 54.7 percent (55.2).
· Operating profit amounted to SEK 3.3 million (-3.2).
· Net profit amounted to SEK 2.7 million (-3.2).
· Earnings per share amounted to SEK 0.47 (-0.55).
April 1 – June 30, 2015
· Net sales amounted to SEK 56.5 million (51.2), an increase of 10 percent.
· The gross profit margin was 55.5 percent (57.5).
· The operating loss was SEK -6.2 million (-6.8).
· The net loss was SEK -5.0 million (-5.7).
· Earnings per share amounted to SEK -0.86 (-1.00).
Events during and after the quarter
In June Odd Molly opened its own store in Femmans shopping center, in Göteborg.
During the quarter a contract was signed on an Odd Molly store in Frölunda Torg, opening in September.
In August a contract was signed to open the first of Odd Molly’s own stores in Finland, in October.
Comment from the CEO
Odd Molly is increasing sales and improving earnings – and as a whole the first half-year 2015 shows that the company is continuing in the right direction.
Operationally, everything is developing in line with our expectations. As in previous quarters, our own retail sales are rising in both new and established stores. We opened a new store in Göteborg in June and today have 10 stores we operate ourselves in the Swedish market.
All our stores are profitable – and we will open more. Our feeling is that brick-and-mortar Odd Molly stores help to boost sales by our retailers and our web shop, while also strengthening the brand. At the same time our retailers are opening more shop-in-shops for the same reason. Next month another store opens in the Göteborg area, in Västra Frölunda, and in October we open our first store in the Finnish market, in the Kamppi shopping center in Helsinki.
If unfavorable exchange rates hadn’t weighed down our earnings last quarter, I would have been very pleased. Right now currencies are taking a bite out of the gross profit margin, which is having an impact on all the way down the income statement – especially in a seasonally slower quarter.
The new product groups, Home and Swimwear, are selling well, though volumes are still small. We are continuously launching smaller collections based on season or need. Timing was especially good for Odd Molly’s first mini-collection of rainwear and rain boots that reached stores this summer. The common denominator for all these collections is that they support our clothing collections and contribute to the flow of new merchandise as well as to Odd Molly as a design concept. Right now we are selling a limited footwear collection for next summer, and I see several future opportunities here.
In a growing business change happens all the time. I am pleased to welcome a former employee back to a new position with responsibility for Odd Molly’s digital business development at the same time that we are sad to see our CFO, Henrik Fredin, leave this fall for a position outside the Group.
During the summer we launched Odd Project, where we in a concrete way celebrate women who dare to go their own way. Basically, Odd Molly is helping girls to reach their dreams. I look forward to seeing the first dream realized and to further strengthening Odd Molly’s position in the market.
Anna Attemark, CEO
For full report, please see attached PDF.
For further information, please contact:
Anna Attemark, CEO, phone: +46-8-522 28 502
Henrik Fredin, CFO, phone: +46-8-522 28 514
About Odd Molly
Odd Molly is a Swedish company that designs, markets and sells distinctive fashion. The company’s products are mainly sold through agents to retailers in around thirty countries around the world, which facilitates expansion with limited capital requirements. Odd Molly is responsible for selling to external retailers in the Scandinavian market and also manages 10 of its own physical stores and its own web shop. The Odd Molly share is traded as of June 21, 2010 on Nasdaq OMX Stockholm.
Scheduled information dates
The interim report for July-September 2015 will be released on October 21.
The information in this press release has been published by Odd Molly International AB on August 20, 2015 at 8.00 am CET in accordance with the Securities Market Act and/or the Financial Instruments Trading Act.
Odd Molly International AB, Kornhamnstorg 6, SE-111 27 STOCKHOLM, Sweden
Phone: +46 8 522 28 500
Press photos can be downloaded from Odd Molly’s website at www.oddmolly.com under “press”. Odd Molly also produces a newsletter with reports on daily operations. To subscribe, go to www.oddmolly.com