Marimekko - No big surprises
Marimekko reported Q1 results broadly in line with our expectations. Q1 topline came in slightly above our expectations while EBIT fell short of our estimates. The company reiterated its guidance for 2023.
- Group result: Q1 net sales decreased by 2% y/y to EUR 35.3m, roughly in line with our expectations (34.8/34.1m Evli/cons.). The decline was driven by strong comparison figures as well as softer wholesale and licensing sales. Net sales were supported by the growth of Finnish retail and Int’l wholesale sales. EBIT was impacted by softer gross margin and increased fixed costs. Q1 adj. EBIT amounted to EUR 3.8m (10.9% margin), that fell short of our expectations (4.3/4.6m Evli/cons.), but contained no big surprises. Adj. EPS amounted to EUR 0.06 (0.08/0.09 Evli/cons.).
- Finland: Net sales amounted to EUR 18.0m (Evli: 17.5m), reflecting y/y decline of 3%. Sales developed positively in retail while wholesale sales decreased as expected.
- Int’l: Net sales came in in line with our estimates at EUR 17.3m (Evli: 17.3m), reflecting a y/y decline of 1%. The decline was driven by the EMEA region (-31%) as well as North America (-11%). Net sales development was positive in Scandinavia (+16%) and the APAC region (+16%).
- 23 market outlook: Finnish sales expected to grow, driven by additional wholesale deliveries in H2. The APAC region expected to grow. 10 to 15 new stores opening, with most of them located in Asia. Licensing sales expected to decline y/y.
- 23 guidance intact: Net sales to grow and EBIT margin between 16-19%.