04/08/2021 | Press release | Distributed by Public on 04/07/2021 23:56
With revenue growth of 16% in local currencies, the company delivered double-digit year-on-year growth for the third quarter in a row. It was also the second consecutive quarter with positive EBIT and positive free cash flow. The Q3 results were driven by targeted sales and marketing initiatives, improved channel performance and high demand for home entertainment products.
CEO Kristian Teär comments:
'Despite the global component shortage and lockdowns caused by COVID-19, we achieved double-digit growth for the third quarter in a row and delivered positive EBIT and free cash flow. We are pleased with the results, which were driven by strong channel performance, targeted sales and marketing initiatives, higher global demand for home entertainment products, and not least our portfolio of innovative and award-winning products.'
'The progress we made in the quarter confirms that our strategy is working. The cost reduction programme progressed as planned, core markets grew across all key channels, and we continued to strengthen our digital focus, which enabled us to more than double our online revenue and enhance the consumer experience. We still have a lot of work ahead of us and COVID-19 will also impact our business in the fourth quarter. But we remain on track to deliver on our expectations for the financial year, and I want to thank my passionate colleagues and all our partners for their hard work and efforts in a challenging quarter.'
Financial highlights, Q3 2020/21
Strategic initiatives
Despite supply challenges and mandatory store closures, the financial performance in Q3 proved that the strategy in place is effective.
Outlook
The company maintains the outlook for revenue and EBIT before special items, whereas the outlook for free cash flow has been narrowed to the upper end of the range. The company's outlook is as follows:
·Revenue: |
DKK 2.3bn to 2.5bn (unchanged) |
·EBIT before special items: |
DKK -50m to +25m (unchanged) |
·Free cash flow: |
DKK 0m to +100m (Previously DKK -50m to +100m) |
The outlook is based on certain assumptions and continues to be subject to high uncertainty due to COVID-19.
Conference call for analysts and investors
The company will host a webcast on 8 April 2021 at 10:00 CEST, where the financial development for Q3 2020/21 will be presented.
The webcast can be accessed at https://streams.eventcdn.net/bo/202104q3
Dial-in details for participants in the Q&A:
DK: +45 8233 3194
UK: +44 333 300 9274
US: +1 833 526 8396
For further information, please contact:
Martin Raasch Egenhardt
Investor Relations
Phone: +45 5370 7439
Jens Gamborg
Group Communications
Phone: +45 2496 9371
Attachments
Attachments:
Interim report Q3 2020-21.pdf
BO_2023_Interim report Q3 2020-21_UK.pdf