Puuilo (PUUILO) Q1 2023 earnings summary

Executive summary

• Q1 FY2023 net sales rose 10.3% to €65.0m; like-for-like sales grew 4.9%.

• Adjusted EBITA increased €1.1m YoY to €7.3m, with an 11.2% margin; customer numbers rose 12%.

• Operating free cash flow reached €10.3m, supported by sales growth, EBITA and lower inventories.

Financial highlights

• Gross profit was €23.7m versus €20.6m; gross margin rose 1.5 percentage points to 36.5%, supported by lower logistics costs and price adjustments.

• EBIT was €7.0m versus €5.9m; net income was €4.8m versus €4.2m, and EPS was €0.06 versus €0.05.

• Operating free cash flow was €10.3m versus €3.2m.

Outlook and guidance

• FY2023 net sales and adjusted EBITA in euros are forecast to increase versus FY2022; outlook was unchanged.

• Long-term targets include FY2025 net sales above €400m, annual organic growth above 10%, adjusted EBITA margin of 17–19% and net debt/adjusted EBITDA below 2.0x.

• At least five store openings were planned for FY2023; at least four openings are targeted annually thereafter.