Stockmann Group’s Interim Management Statement, 1 January – 31 March 2022

Stockmann Group had a positive first quarter with clearly improved results across both divisions

STOCKMANN plc, Interim report, 29.4.2022 at 8:00 EET

January–March 2022:
- Stockmann Group’s revenue was EUR 196.1 million (155.7), up 27.1% in comparable currency rates.
- Gross margin increased to 57.8% (56.3).
- Operating result increased to EUR 9.8 million (-27.6).

- The adjusted operating result was EUR -3.7 million (-21.1).
- Adjustments in Q1 consist mainly of excluding the gain from selling the Riga property, EUR 14.1 million.
- Earnings per share were EUR 0.02 (-0.39).
- Adjusted earnings per share were EUR -0.07 (-0.30).
- Net result for the period amounted to EUR 2.8 million (-29.4).

Guidance for 2022:
Stockmann expects an increase in the Group’s revenue and that the adjusted operating result will be clearly positive. Geopolitical instability in the world with high inflation and challenges in the supply chains and international logistics as well as the challenges of COVID-19 restrictions require that both divisions have to be adaptive and flexible to meet the future.

Events after the reporting period:
On 7 April 2022, Stockmann announced that the sale of the department store property in Helsinki city centre to the new domestic owner, the pension provider Keva, has been completed. All secured and unsecured confirmed debts were paid in April.

CEO Jari Latvanen:
Stockmann Group had a positive first quarter and both divisions continued to improve their business clearly. The Group’s operating result improved by EUR 37.4 million to EUR 9.8 million compared to the reference period. Adjusted operating result excluding selling the Riga real estate improved by EUR 17.4 million to EUR -3.7 million.

Lindex returned a very strong result: the adjusted operating result improved by EUR 13.1 million to EUR 5.5 million. The Stockmann division achieved an excellent result, improving its adjusted operating result by EUR 4.8 million to EUR -7.3 million. The first quarter is typically negative for both divisions due to seasonal variation.

Lindex generated the strongest first-quarter sales and operating profit ever, due to increased sales in all channels and business areas. Sales in the brick-and-mortar stores increased by 47.5% compared to the same period in the previous year, while the digital sales, including both online and third-party sales, generated 8.2% growth. This, together with good margins and good cost control, contributed to the good operating result for the division.

The Stockmann division’s revenue grew by 9.2%. Sales in the brick-and-mortar stores increased because of higher visitor volumes and changed the balance between the sales channels. The brick-and-mortar stores generated 87.8% (78.8) and the online store 12.2% (21.2) of sales. The sales during the Crazy Days campaign improved significantly compared to the campaign last spring.

Stockmann’s department store properties in Tallinn, Riga and Helsinki are now sold, and the proceeds from the sale have been used to repay fully both the secured restructuring debts and the undisputed unsecured restructuring debts that were subject to the corporate restructuring payment programme.

After selling the department store properties, Stockmann’s balance sheet is stronger, with significantly lower interest-bearing debts as the illustrative balance sheet shows.

I would like to thank our teams in both divisions for their major contributions to the company and efforts to serve our customers, and also for the resilience during the exceptional occurrences in the operating environment which have affected Stockmann operations significantly during the last very challenging years.


Revenue, EUR mill. 196.1 155.7 899.0
Gross margin, % 57.8 56.3 58.6
Operating result (EBIT), EUR mill. 9.8 -27.6 82.1
Adjusted operating result (EBIT), EUR mill. -3.7 -21.1 68.3
Net result for the period, EUR mill. 2.8 -29.4 47.9
Earnings per share, undiluted and diluted, EUR 0.02 -0.39 0.42
Cash flow from operating activities, EUR mill. -57.8 -17.1 150.4
Capital expenditure, EUR mill. 6.3 2.3 16.9
Equity per share, EUR 1.73 2.38 1.74
Equity ratio, % 19.6 12.7 18.9

Where applicable, figures have been adjusted to correspond with the change in accounting policy.


Most of the measures and undertakings, as specified in Stockmann plc´s restructuring programme, have already been completed during 2021, and they are explained in the annual report 2021.

The sale and leaseback agreement for Stockmann’s Riga department store property was signed in December 2021, but the closure took place in January 2022. Therefore the transaction is booked in the first quarter of 2022, and the proceeds from sale of the property were used, according to the restructuring programme, in full, to reduce the secured restructuring debts.

On 21 March 2022, Stockmann agreed on the sale of its department store property in Helsinki city centre to the pension provider Keva. Stockmann has used the proceeds from the sale of the property, EUR 391.3 million, to repay in full both the secured restructuring debts, EUR 342.6 million, and the undisputed unsecured restructuring debts, EUR 22.7 million, that were subject to the corporate restructuring payment programme. Stockmann will continue its department store operations in the entire building under a long lease-back agreement with the new owner. Leases with Stockmann’s tenants will continue with the current concept. On 7 April 2022, Stockmann announced that the sale of the department store property in Helsinki city centre has been completed and in April 2022 all undisputed secured and unsecured debt was paid.

On 23 March 2022, the Company’s Board of Directors decided, in accordance with the restructuring programme and pursuant to the authorisation granted by the Annual General Meeting, to issue 284 337 new shares in the company (the “Conversion Shares”), in deviation from the shareholders’ pre-emptive subscription rights, to a creditor whose previously conditional or disputed restructuring debts under the restructuring programme have been confirmed in their final amounts by 21 January 2022 (the “Share Issue”) and has approved the subscription made in the Share Issue. The subscription price in the Share Issue was EUR 0.9106 per share, which has been paid by setting off restructuring debt in accordance with the restructuring programme. As a result of the Share Issue, the total number of shares in the company increased by 284 337 shares to a total of 154 749 420 shares. (Stock Exchange Release, 23 March 2022)


The Stockmann Group’s customer volumes and average purchases have continued to increase during the first quarter and retail sales grew by 27.1% compared to 2021.

In the Lindex division, sales during the first quarter grew strongly and, despite Covid-19 restrictions in some markets at the beginning of the quarter, the fashion company increased its sales significantly. Lindex has increased its sales by 18.7% compared to the same period in 2019, before the pandemic, which is a real strength. 

In the Stockmann division, the disbanded COVID-19-related restrictions shifted the visitor traffic from the online store to the brick-and-mortar stores. Increased customer volumes combined with higher average purchases in all channels resulted in first-quarter sales exceeding the previous year’s first quarter sales.


Uncertainty in the global economy is expected to persist throughout 2022. The geopolitical instability will affect the supply chains and international logistics and the COVID-19 pandemic will continue to have an impact on the economy across the world until the coronavirus situation is under better control. Additionally the accelerating inflation has an impact on households and consumption and will also lead to increased operating costs. The retail market is expected to remain challenging due to changes in consumer behaviour and confidence.

The Stockmann division will continue to execute the restructuring programme and Lindex to explore new growth opportunities.

Interim Management Statement
This company announcement is a summary of the Stockmann's Interim Management Statement for 1 January – 31 March 2022 and includes the most relevant information of the report. The complete report is attached to this release as a pdf file and is also available on the company's website at

The press and analyst briefing will be held on 29 April 2022 at 10:00 as a live webcast, that can be followed by this link. The recording and presentation material are available on the company's website after the event.

Further information:
Jari Latvanen, CEO, tel. +358 9 121 5606
Annelie Forsberg, CFO, tel. +46 706 43 00 59


Jari Latvanen

Nasdaq Helsinki
Principal media

Stockmann Interim Management Statement Q1 2022.pdf