"The coronavirus pandemic began to affect our business gradually, starting in Asia and spreading to all our key markets in the first quarter of the year," said Sari Pohjonen, Fiskars' interim CEO, CFO in a press release. CEO Jaana Tuominen resigned two weeks ago.
Fiskars' profit before taxes fell to EUR 8.5 million in January – March, compared with EUR 22.7 million a year earlier. Earnings per share decreased to EUR 0.06 from EUR 0.21.
Operating profit in the first quarter was EUR 8.4 million instead of EUR 16.9 million in the previous year.
Net sales decreased by 4.6 per cent to EUR 256.2 million. The Vita business unit for tableware and interior decoration products was particularly affected by the pandemic, where net sales decreased by 15 percent.
- Our own online store continued to grow in double digits. At the same time, store closures in several markets and a sharp decline in consumer demand in March affected the performance of the Vita segment in particular, Pohjonen says.
Net sales of Terra Garden Products and Cream Cooking Products increased. Sales channels for these products have been open in several markets during the pandemic.
Decreased sales volumes and increased marketing expenses reduced comparable profitability at Vita and Terra. In Cream, comparable profitability improved.
Fiskars estimates that the corona pandemic will have a significant negative impact in the second quarter. According to the company, due to the spread of the coronavirus, it is unlikely that comparable ebita will grow in
In March, Fiskars withdrew its earnings and net sales guidelines for the current year due to the interest rate crisis.