Flügger Group (FLUG) Q3 24/25 earnings summary

Executive summary

• Q3 2024/25 revenue rose 1% year-over-year to DKK 447 million, with YTD revenue up 3% to DKK 1,690 million, driven by strong consumer sales and international segment performance, especially in Poland.

• International segment delivered 15% YTD growth, with Poland as a key driver, while the professional segment in Denmark and Sweden declined.

• New POS system launched in Denmark to streamline transactions, with rollout to other countries planned within six months.

Financial highlights

• Q3 2024/25 revenue guidance: DKK 2.2–2.4 billion, EBIT guidance: DKK 85–95 million, with EBIT guidance raised from previous range of DKK 75–95 million.

• International markets grew 7% in Q3 (YTD: 15%), led by Poland's 10% reported growth and seven new shops opened YTD.

• Partnerships segment Q3 revenue fell 6% year-over-year, mainly due to currency headwinds in Ukraine.

• Currency effects contributed +3% in Q3 and +5% YTD to international growth.

Outlook and guidance

• 2024/25 outlook remains cautiously optimistic, expecting continued positive effects from new strategy and normalized margins.

• Revenue expected to grow 0–9% year-over-year; EBIT expected to increase 25–40% year-over-year.

• Full-year 2024/25 guidance unchanged: revenue DKK 2,200–2,400 million, EBIT DKK 85–95 million.

• Focus on winning small- and medium-sized painters in Nordics, expanding international growth, and reducing debt.

• Long-term guidance discussed, with mention of legal actions to support future objectives.