As of this month, Globetrotter is sporting a new corporate design to better reflect its connection with the three Scandinavian outdoor retail chains that belong to the Fenix Outdoor group – Naturkompaniet in Sweden, Partioaitta in Finland and Friluftsland in Denmark. A previous earthy red has been replaced by green, and instead of its former abstract logo, a bear adorns the German chain's banner.
The four retail companies will continue to operate independently at the local level, but purchasing, stocking and marketing will be bundled to save costs and allow them to offer products at a discount.
Meanwhile, Globetrotter has continued to expand its smaller city-based retail format with new stores in Karlsruhe and Nuremberg, adding to those recently opened in Leipzig, Regensburg and Hannover. They are also staging events such as seminars and workshops. In presenting the results of the Fenix group for the second quarter ended on June 30, its chief executive, Martin Nordin, said the new store format was performing better than expected on the sales front.
On the other hand, Nordin admitted a few weeks ago that Globetrotter was still having problems during the quarter with its new logistical apparatus, which was unable to supply its e-commerce customers and its retail stores with sufficient merchandise, leading to higher costs and lost sales. He added that he could not promise that the logistical problems will be completely solved by the end of this year, but indicated that Fenix' Danish and Finnish operations showed substantial improvement during the quarter, and its Swedish operations performed well, leading to relatively stable revenues of €123.1 million in the group's Retail division during the quarter as compared to €123.7 million in the same quarter a year earlier.
In the group's Brands division, which includes Brunton, Fjallräven, Hanwag, Primus, Royal Robbins and Tierra, sales grew by 9.9 percent to €72.9 million. Nordin said the group managed to resolve some product recall issues, but indicated that it suffered some damage as a result. Nevertheless, the subsidiaries that sell more than one brand reported sales increases of 36 percent in North America and 50 percent in Asia-Pacific. Order books for the balance of the year were reported to be positive.
Overall, the group's quarterly revenues rose by 6.4 percent to €132.0 million for the period. Profits increased by 8.6 percent, excluding the effect of the application of new IFRS 16 accounting rules, resulting in an Ebit margin of 8.8 percent, up from 8.4 percent in the year-ago period, and net earnings increased to €7.5 million from €6.4 million. The net profit showed an increase also for the first six months of the year, and already the Ebit margin was down by one full percentage point to 11.5 percent on total revenues of €268.1 million.