Net sales growth of 42% in the first 9 months despite lower customer engagement.

•Net sales increased 14.5% to SEK 239.5 (209.1) million. Organic net sales growth for the period was -20.9% (36.6%).
 
•Gross margin for the period was 82.8% (84.6%). Gross Margin excluding Poster Store was 83.4% (84.6%).
 
•Operating profit amounted to SEK 17.4 (50.1) million, corresponding to an operating margin of 7.3% (24.0%).
 
•Adjusted EBITA was SEK 29.2 (54.9) million, corresponding to an adjusted EBITA margin of 12.2% (26.3%).
 
•Cash flow from operating activities amounted to SEK 21.5 (40.7) million.
 
•Earnings per share was SEK 0.00 (0.27) before dilution and SEK 0.00 (0.26) after full dilution.
 
Significant events during and after the period
A new subsidiary in the Czechia, DGFC S.R.O, has been established to handle the new logistics centre. In October the first orders from the new logistics centre were dispatched.

Comments from Fredrik Palm, CEO:
“After a second quarter below our expectations, we saw a positive growth trend at the beginning of the third quarter. However, the recovery halted towards the end of August and this trend continued throughout the quarter. In our Q2 report, we mentioned that forecasting developments of the easing of Covid-19 restrictions was difficult, but we assessed that we would see a return to more normal consumer behaviour during the third quarter. This has not been the case.”
“While we have seen decreasing traffic volumes, there are positive signs; we have maintained average order value and conversion rates in line with 2020. Active customers amounted to 3.6 million, up 74% from last year and our Trustpilot score remains at 4.6 indicating strong customer appeal.”
 
“The current market situation necessitated certain actions. During the quarter, we made strategic adjustments in our marketing efforts to increase efficiency and we streamlined organizational costs, by further integrating Poster Store.”
 
“As a consequence of the unpredictable customer behaviour that characterized the market during the autumn, Desenio Group has decided to remove our detailed full-year guidance for 2021, but rest assured that we remain committed to deliver on the expectations for the fourth quarter 2021. I look forward with confidence to 2022 and beyond. Our medium- and long-term financial targets thus remain intact.”
 
Financial calendar 2021
16 February, 2022
Interim Report January -December 2021, Q4 2021
 

About us

Desenio Group is a Swedish, fast growing digital direct-to consumer company with a leading position as an online based provider of affordable wall art in Europe. The Company offers its customers a unique and curated assortment of over 6,000 designs as well as frames and accessories in 35 countries via 20 local websites. Leveraging a data-driven strategy both for the creation of art and for attracting new customers, Desenio has grown rapidly and profitably since 2015. Desenio’s shares are publicly listed on First North Growth market under the ticker “DSNO” with FNCA Sweden AB as its Certified Adviser; info@fnca.se, +46 8 528 00 399. Desenio Group’s bonds are listed on Frankfurt Stock Exchange Open Market Quotation Board. For more information, please visit www.deseniogroup.com.

For further information, please contact:

Fredrik Palm, CEO
fredrik.palm@deseniogroup.com, +46 70 080 76 37
 
Linda Vikström, Head of IR
ir@deseniogroup.com, +46 73 534 17 62

This information is information that Desenio Group is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 2021-10-27 07:00 CEST.

Attachments

Desenio Group Q3 Report 2021

© Modular Finance, source Nordic Press Releases