Lindex Group (LINDEX) Q4 2024 earnings summary

Executive summary

• Q4 2024 saw improved adjusted operating profit for both divisions, driven by cost efficiency, digital transformation, and automation, despite a volatile fashion market and slight full-year revenue decline.

• Lindex division led growth with strong digital sales and margin improvement, supported by the launch of a new automated Omnichannel Distribution Centre.

• Stockmann division improved profitability through efficiency measures, though revenue declined year-over-year.

• Strategic assessment to refocus on Lindex and explore alternatives for Stockmann is ongoing, expected to conclude by June 2025.

• Ongoing restructuring programme with most undisputed debts paid; one major disputed claim remains.

Financial highlights

• Q4 2024 revenue was €273.7 million, nearly flat year-over-year; full-year revenue was €940.1 million, down 1.2%.

• Q4 adjusted operating result increased to €36.1 million; full-year adjusted operating result decreased to €74.9 million.

• Q4 net result improved to €19.8 million; gross margin rose to 58.1% from 57.5% year-over-year.

• Earnings per share for Q4 increased to €0.12.

• Digital share of revenue increased to 18.1% for the year; digital revenue growth in local currencies was 6.3%.

Outlook and guidance

• 2025 revenue in local currencies expected to grow 0% to +4% versus 2024; adjusted operating result estimated at €70–€90 million.

• Foreign exchange rate fluctuations may significantly affect results; macroeconomic environment expected to remain challenging in H1 2025, with possible improvement in H2.