Puuilo (PUUILO) Q4 2021 earnings summary

Executive summary

• FY2021 net sales reached €270.1m, up 13.2% YoY; like-for-like sales grew 2.6% after an exceptionally strong comparison year.

• Adjusted EBITA rose €5.3m to €48.4m, with a 17.9% margin; Q4 delivered 15.1% sales growth and 3.1% like-for-like growth.

• Four stores opened in FY2021, bringing the year-end network to 34; the growth strategy and financial targets remain unchanged.

Financial highlights

• FY2021 revenue was €270.1m, up 13.2% YoY; Q4 revenue was €62.3m, up 15.1%.

• FY2021 adjusted operating profit (EBITA) increased €5.3m to €48.4m; adjusted EBITA margin was 17.9%.

• Q4 adjusted EBITA was €9.8m, up €1.3m YoY; margin was 15.7%, unchanged YoY.

• Gross margin increased 0.4 percentage points YoY to 36.9%, supported by own-brand sales and improved purchasing terms.

• Operating free cash flow was €10.8m, down €28m YoY, mainly reflecting planned working-capital growth and ERP investment.

Outlook and guidance

• FY2022 net sales and adjusted operating profit in euros are forecast to increase versus FY2021; no FY2022 EBITA margin forecast was given.

• Long-term targets through FY2025, ending January 2026, remain net sales above €400m and adjusted EBITA margin of 17%–19%.

• Three store openings are planned for FY2022 in Sastamala, Lieto, and Tornio; four additional stores are contracted for 2023.

• The store-network opportunity is estimated at ~60 Finnish locations; the target pace is three to four openings annually.