Fenix Outdoor, the holding company of brands such as Fjällräven, Hanwag, Primus and Tierra as well as of the retailing operations under the Naturkompaniet flag, reports strong figures for the first six months of 2009: The group’s overall sales were up by 19 percent and reached 537.6 million Swedish kronor (€52.5m-$74.2m). Operating profit jumped by 30 percent to SEK 75.5 million (€7.4m-$10.4m).
The wholesale revenues from its brands soared from SEK 353 million to 419.3 million (€41m-$57.9m), and their operating profit improved from SEK 76.6 million to 82.4 million (€8.1m-$11.4m). Naturkompaniet’s sales were up from SEK 98 million to 118.3 million (€11.6m-$16.3m). The profit out of these purely Swedish retail operations significantly improved from SEK 0.8 million to 6.4 million (€0.6m-$0.9m) while the number of the chain’s shops increased by three to 28 compared with the previous year’s period.
In the brands and wholesale sector, Germany remained as Fenix’ largest market with sales at SEK 155.9 million (€15.2m-$21.5m), followed by the Benelux countries at SEK 77.8 million (€7.6m-$10.7m), Nordic countries besides Sweden generated sales of SEK 67.2 million (€6.6m-$9.3m) while sales in Sweden were slightly down to SEK 32.1 million (€3.2m-$4.4m).
In the second quarter alone (April through July), the group’s net sales increased from SEK 228.2 million to 239 million (€23.4m-$33m). The operating profit was slightly down from SEK 27 million to 26.2 million (€2.6m-$3.6m) compared with the second quarter of 2008.
Martin Nordin, the group’s chief executive, commented that the growth of the Fenix brands is in line with the general growth of the outdoor industry in Europe. Sales in Sweden were softer due to decreased re-orders among Swedish retailers.
Fenix Outdoor is not altering its expansion strategy after its planned acquisition in the U.S. was scuppered earlier this summer. The Swedish group had signed a letter of intent for an American buy earlier this year, but decided to give up after due diligence in June. The two parties failed to agree on the terms of the transaction, not for strictly financial reasons. Fenix Outdoor declined to identify its former take-over target.