Lindex's operating result* for the first half of 2022 increased by 264 MSEK and amounted to 426 MSEK, which is an increase of 163 per cent compared with the same period last year and six times higher compared with 2019 (162 MSEK 2021, 65 MSEK 2019). Operating result* for the second quarter increased by 82 MSEK and amounted to 390 MSEK, which is an increase of 27 per cent compared with the same period last year and 98 per cent compared with 2019 (308 MSEK 2021, 197 MSEK 2019).
‘We reach new record levels and report a greatly improved result and a strong increase in sales for both the first half of the year and the second quarter. For the past twelve months, our operating result amounts to a record high of 954 MSEK and our sales to 6,9 BSEK. We continue our good sales growth in our physical stores while maintaining our digital sales at a strong level. It is a good proof of strength, that our customers appreciate our offer and that we are available where they want to meet us’, says CEO Susanne Ehnbåge.
Lindex's sales during the first half of the year increased by 25.2 per cent in local currencies and by 27.9 in SEK. Sales during the second quarter increased by 18.2 per cent in local currencies and by 20.0 per cent in SEK. Compared with the same period in 2019, before the pandemic, sales increased during the second quarter by 21.9 per cent in local currencies and Lindex shows better sales growth than the market for all Nordic sales countries.
Lindex's sales in the physical stores increased during the first half of the year by 31.8 per cent and by 23.1 per cent during the quarter compared with the same period last year. The fashion company's digital sales increased during the first half of the year by 2.3 per cent and decreased by 3.0 per cent during the quarter. In total, the digital sales during the second quarter accounted for 15.9 per cent of Lindex's total sales.
‘With our fantastic assortment, strong brand offering and our employees' great customer focus, our loyalty program More at Lindex has had a strong growth and development, which we see as a great opportunity to continue building long-term relationships with our customers’, says Susanne Ehnbåge.
During the quarter, Lindex continued to take important steps both in its investment in femtech and its transformation to a more sustainable and circular business. As part of exploring new circular business models and prolonging the lifetime of clothes, the fashion company has opened a pop-up store with second-hand baby clothes. Another important step in Lindex's transformation to increase the reuse of materials and reduce the use of virgin raw material is the fashion company's investment in a new fibre that is based on an innovative process for large-scale recycling of textiles.
‘Our investment in a new fibre with raw materials from recycled textiles is one of several important steps in our transformation to a more sustainable and circular assortment. At present, 78 percent of our garments are made from materials from recycled or more sustainable sources and where our goal is to reach 100 percent by 2025. We are in a transformation where the Lindex Group is growing in new ways and where the transformation to circular business models, digitalisation and our investment in femtech are important parts of our growth strategy. Creating sustainable growth and continuing to develop our customer offer with new services is a key on our way forward.
It is a challenging time with everything happening in the world and it is more important than ever that we are responsive to our customers' needs and that we continue to be flexible, fast-paced and open to change. But with challenges also come opportunities and I am convinced that we, with all Lindex employees' fantastic commitment and efforts, will continue to stand strong and well positioned for the future’, says Susanne Ehnbåge.
*Lindex's operating result is reported excluding IFRS16 leasing agreements.