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Analyst Comment

Stockmann: Swedish clothing market grew by 1% in June

By Rauli JuvaAnalyst
Lindex Group

Translation: Original comment published in Finnish on 7/11/2023 at 8:31 am.

Stocka110723Source: Svensk Handel ,*Inderes’ estimate

The June figures for the Swedish clothing market were published this morning. The clothing market grew by 1% in June from last year. Comparison figures for 2019 levels are no longer published, but the comparison figure for June 2022 (vs. 2019) was good (7% above 2019 levels), so compared to this we feel growth is a good performance. During January-June, the market grew by 2%.

Sweden accounts for more than half of Lindex’s sales

Sweden is Lindex's largest market and generates more than half of Lindex's sales. Our estimate for Lindex’s Q2'23 revenue expects a 7% decrease, depressed by weaker SEK and NOK than in the comparison period as they represent around 2/3 of Lindex’s sales. At current exchange rates, SEK is about 8% weaker and NOK is over 10% weaker. The positive development of the Swedish market during Q2 has been slightly better than we expected, but on the other hand, currencies have continued to weaken during the quarter, so we see no need to change our estimates in EUR.

 

Lindex Group operates in the retail sector. The Group manages a number of stores in major shopping centres and large commercial premises located throughout the Nordic market. The Group is a retailer of several brands and the range consists of clothing, shoes and related accessories. The company has its headquarters in Helsinki.

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