Outlook for 2016/17

The Group’s Premium brands are expected to drive the total revenue development. Revenue growth is expected to be driven by both the wholesale channel as well as the retail channel where new stores are expected to impact positively – both stores opened during the financial year 2015/16 as well as store openings planned for 2016/17. At present, the Group’s Premium brands expect to open 10–15 new stores during the financial year 2016/17.

Specifically, we expect to realize a revenue growth rate measured in local currency of at least 6%.

Based on the exchange rates of the Group’s primary sales currencies (primarily SEK, NOK and GBP), this corresponds to a reported revenue growth rate of at least 5%.

The consolidated earnings are expected to be positively impacted by a higher gross margin whereas the number of store openings mentioned above will lead to a higher level of costs.

Consequently, we expect the Group’s EBIT margin to attain a level of approx. 9%.

Investments for the financial year 2016/17 are expected to attain a level of approx. 3-5% of the annual revenue. These investments are undertaken to maintain existing assets – including store

Outlook for 2016/17 Realized 2015/16 Previous guidance Current guidance Status
Revenue growth measured in local currency 1.9% N/A At least 6% N/A
EBIT margin 9.1% N/A Approx. 9% N/A
CAPEX (in % of full-year revenue) 3% N/A 3-5% N/A

Last update: September 1, 2016