Lindex’s operating result for 2020 amounted to 323* MSEK (340* MSEK 2019). The rapid digital growth and the fashion company’s effective cost saving actions contributed to the stable full year result. Lindex also reports a strengthened margin for the fourth quarter as well as for the full year.
“It has undeniably been a turbulent time, defined by the global corona situation with restrictions, reduced store traffic and periodically closed stores in the majority of our sales markets. We have really been challenged but also learned and achieved a lot. I am proud of how quickly we have managed to adapt to meet our strong digital growth and how we with the right priorities, effective actions and fantastic contribution from all committed employees parried the situation together. We report a full year result for 2020 that is almost on par with the previous year's very strong result,” says CEO Susanne Ehnbåge.
Lindex's total sales for 2020 decreased by 10.9 percent in local currencies and by 12.6 percent in SEK. Total sales during the fourth quarter decreased by 13.4 percent in local currencies and by 15.3 in SEK. The fashion company shows a better sales growth than the market for both 2020 and the fourth quarter in all the Nordic sales countries.
Lindex continued its strong growth online with a sales increase of 103 percent for the full year and 145 percent for the fourth quarter. The company's e-commerce doubled and even tripled in certain markets for both the full year and the fourth quarter. Sales with external online partners doubled for the full year and more than tripled for the fourth quarter. In total, the digital sales amounted to 15.6 percent of Lindex's sales in 2020 (6,6 percent 2019) and 21.8 percent during the fourth quarter (7,3 percent Q4 2019).
“With our competitive and more sustainable offer, we have gained market shares in all our Nordic sales markets. We are constantly developing our offer based on the customer's needs and we recently launched Lindex activewear, seamless pieces made from recycled materials designed with comfort and wellbeing in mind. We will see continued increased clarity in our fashion concepts and we are taking further steps in developing the Lindex brand. In order to remain strong and secure a resilient company, our strong investments in digital development, the integration of our sales channels and the optimisation of our store portfolio continue. How we meet and create value for our customer are crucial for our success, where innovation and sustainability, from all aspects, are central to us,” says Susanne Ehnbåge.
*Lindex's operating result is reported excluding IFRS16 leasing agreements.